Conceptual issues include the identification of the users of the performance information, the uses to which the information will be put, the funding available for the assessment, and the probable consequences of not answering some of the performance questions being asked about the program. Other decisions are whether to compare performance with goals, targets, or standards and which corrections theory to use in choosing and interpreting measures. The seven steps in measuring performance are asking questions about performance; identifying the information needed to answer these questions; identifying the performance measure to be used; defining the data required; defining the data collection procedure and collecting the data; describing the performance; and comparing the performance with other programs, the previous year, or a target. Performance dimensions can include efficiency, cost-effectiveness, equity, service quality, unmet need, and conformance with government policies. Criteria for rating potential performance measures include technical adequacy, practicality, general utility, and utility for the particular use intended. Footnotes and a list of 16 references are included.