Critical Success Factors

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Introduction
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Factors that are crucial for an organisational success key areas of activity in which favorable results are absolutely necessary to reach goals key areas where things must go right for the business to flourish factors that are critical to the success of the organization key areas of activities that should receive constant and careful attention from management a relatively small number of truly important matters on which a manager should focus attention

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Sources / Types of CSFs Rockhart defined five specific sources or types of CSFs for the organization as follows:

the industry in which the organization competes or exists an understanding of the organizations peers the general business climate or organizational environment problems, barriers, or challenges to the organization layers of management
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Industry CSF

- Unique set of CSFs that organizations in a particular industry must achieve to maintain or increase their competitive positions, achieve their goals, and accomplish their missions.

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Competitive position/ peer csf

- They define those CSFs that are specific to the organizations unique position relative to their peer group in the industry in which they operate or compete.

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Environmental CSF

- Environmental CSFs reflect the environmental factors over which the organization has very little control or ability to actively manage.

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Temporal CSF

- areas in which the organization must temporarily perform satisfactorily in order to ensure that its ability to accomplish its mission is not impeded.

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Management position CSFs

- Managers have different focuses and priorities depending on the layer of management in which they operate. This translates into a set of CSFs that reflect the type of responsibilities required by the managers position in the organization.

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Dimensions of CSF The dimensions of CSFs as described by Rockhart are internal external monitoring adapting - Internal CSFs are those CSFs that are within the span of control for a particular manager. External CSFs are those over which a manager has very little control. - Monitoring CSFs emphasize the continued scrutiny of existing situations. Adapting CSFs are focused on improving and growing the organization.

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Advantages of CSF

CSFs can reduce organizational ambiguity guiding force for the organization reflect the current operating environment of the organization. provide a key risk-management perspective for the organization to consider. can be valuable for course correction. Managers can use CSFs to realign their operating activities.

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