In order to make sure everything is adequately accounted for, more measures are added. It is a vicious cycle. Performance indicators need to include a balance of outcome and output measures. Britain's centralized Audit Commission publishes annual performance data for all local authorities and makes comparisons among them. This simple comparison causes local authorities to spend a lot of time arguing about their rank in a table or 'gaming' performance data to avoid negative media coverage and distracts efforts to make significant change that will lead to long-term improvement.
Performance evaluation needs to focus on continuous improvement.
Performance measures need to be used to identify performance gaps and strategies for improvement . Performance data is audited for accuracy. Data collection systems are audited to make sure they can produce credible data. Targets are audited to ensure they are realistic. Performance is audited to determine progress in meeting targets.