The term ‘After Action Review’ emerged from the US military, which formalised it after facing a range of disasters in the field, from Vietnam to the Middle East. Finally, it became obvious they were repeating the same mistakes, consistently.
They should have asked an accountant earlier.
Standard good management practise after a capital expenditure project has been to review the outcomes of the planned expenditure compared to the expected outcomes. Variations in outcome to the plan needed understanding, to ensure errors in judgement were not repeated.
In my experience, it rarely happens well enough; too much corporate politics and ego are involved. However, the idea is not a new one; it just makes absolute sense, which is why you should build it into the performance management culture of your business.
Five simple questions, the first is easy, that is the plan, the following three are where the gold of improved performance hides when you dig hard enough, and ensure the lessons are well learned. The last drives future action.
- What did you plan to make happen?
- What actually happened?
- What caused the difference?
- What can we learn?
- What specific changes will we make next time?
Such a process, embedded in your performance management culture will deliver guaranteed results. ‘Rinse and repeat’ the question process after every project. No matter how small the project may appear to be, an AAR should be automatic, simply a standard part of the process. After a while, it will become second nature to observe the things that may cause the unexpected, plan for them, and take steps to remove them before they occur.
Therein hides one of the secrets of continuous improvement in profitability.