Study on performance measurement systems – Measures and Metrics (original) (raw)

Review on Performance Measurement Systems

Mediterranean Journal of Social Sciences, 2015

Performance Measurement System (PMS) is an important system in the purpose of improving the organization performance. PMS create a very significant connection between organizations due to measurement in the organization system directly related to the organization strategy. A well develop and implementation of comprehensive PMS helps the organization to develop and improvise the business environment thus improve better decision making process. Therefore, there is multi comprehensive approaches of PMS has been applied in both quantitative and qualitative are significant to measure, predict and evaluate on current and future organization performance. The adoption of different models has had on various dimensions and measure give the difference result of organization performance. Therefore, this paper discuss on the different PMSs which have been developed to be used in companies. As one of the first comprehensive attempts in the performance management area, in this article almost all popular PMSs have been reviewed. Many of company managers have their own preferable performance management, but the least number of them is aware of different available PSMs. However, this paper found some of most favorable PMSs developed for adaptation by the organization recently; and concludes with a need for a comprehensive model.

Review and Comparison of Performance Measurement Systems

The Journal of Organizational Management Studies, 2012

The main aim of this paper is to analyse, compare and summarize the strong and weak points of the most widely cited performance measurement systems on the basis of literature review. Specifically, the literature review was conducted with the goal to searching papers and case studies that are directly or indirectly concerned with performance measurement systems or models. Based on different background, characteristics and premises, comprehensive view on strengths and weaknesses of each system in the aspect of performance measurement is provided. The performed analysis presents that every conceptual performance measurement system has a clear theoretical background, but seldom provides detailed guidance on how a company should design its unique model. Therefore, it is necessary to conduct further research focused on fulfillment of the company specific measurement needs, particularly at the operational level.

Performance measurement and management: theory and practice

International Journal of Operations & Production Management

Performance measurement and management: theory and practice Introduction Performance measurement has been a key theme of this journal for many years (Neely et al., 1995; Neely, 2005). This should not come as a surprise since performance measurement and management plays a critical role in the operation of any organisation, be it a factory, business, hospital or school. As noted by Magretta and Stone (2002), performance measures are critical because they enhance communicationthey enable the organisation to address the following critical question-"Given our mission, how is our performance going to be defined?" Yet, it should also come as a surprise that in spite of this longevity of focus, this topic is still surprised by a great deal of confusion and conflict. For example, until more recently we have not agreed on what we mean by performance measurement (Franco

Performance Measurement: Questions for Tomorrow

strath.ac.uk

published their seminal article performance measurement gained increasing popularity both in practice and research with over 3600 articles between 1994 and 1996. A précis of the literature on global and business trends predicts that the world is heading towards a networking era dominated by global autopoietic networks. A systematic review of the performance measurement literature concludes that although historically the performance measurement literature had tracked the global business trends our current state of knowledge on performance measurement is not complete and a number of fundamental questions remain unanswered, particularly in the context of future trends.

A review of performance measurement: Towards performance management

Computers in Industry, 2005

Describes the evolution of performance measurement (PM) in four sections: recommendations, frameworks, systems and inter-organisational performance measurement. Measurement begins with a recommendation, which is a piece of advice related to the measures or structure of performance measurement; frameworks can be dichotomised into a structural and procedural typology that suggests structural framework development has outstripped procedural framework development. The basic requirements for a successful PM system are two frameworks-one structural and one procedural as well as a number of other performance management tools. Inter-organisational performance measurement may be divided into supply chain and extended enterprise performance measurement: the former relying solely on traditional logistics measures, while the latter incorporates the structural aspects of the supply chain system and adds non-logistics perspectives to its measurement arena. Finally, the encroachment of the performance measurement literature into the processes related to performance management is examined, and areas for future research are suggested. #

Assessing the Existing Performance Measures & Measurement

The global integration and rapid applicability of supply chain concepts in manufacturing industries creates both opportunities and challenges for developing countries. The developing countries are becoming more open to adapting and accepting Western business practices. One of the important issues in this context is the use of the standard performance measurement systems. In the current literature, the capability to measure the performance of manufacturing industry operations can be seen as an important prerequisite for improvement. Companies have increased the capabilities of their performance measurement systems. The manufacturing industries in developed countries have been developed and implemented successfully multi-dimensional performance measures, and measurement systems for their business success. Whereas research results and data related to developing country's state of performance measures are very minimal. With the recent global integration and economic relevance of developing countries, we investigated the level of performance measurement systems in Ethiopian. The paper presents the existing practices in performance measures, and measurement systems based on case studies on twelve companies and questionnaire survey on thirty two companies'. A survey and case study results show that manufacturing industries still largely use financial and productivity performance measures. Despite the powerful advantages of performance measurement, it has not been widely implemented in the manufacturing industry in developing countries. The current performance measurement systems have faced different challenges what they did not encounter in developed nations companies.

Performance Management Systems – Proposing and Testing a Conceptual Model

Studies in Business and Economics

The utility of performance measurement and management system can be said to have been proven, but the problem faced by both the theoreticians and practitioners is to set the right performance indicators. Developed models are tools that managers can use to measure and manage performance, but they need to be tailored to the context. Also, the trend towards using non-financial performance indicators makes it very difficult for managers to design a performance measurement and management system because it involves the integration of qualitative and non-quantitative variables and a profound understanding of the internal and external environment of the company.

State of the art literature review on performance measurement

Fuel and Energy Abstracts, 2011

The performance measurement revolution started in the late 1970s with the dissatisfaction of traditional backward looking accounting systems. Since then the literature in this field is emerging. Most of the focus was on designing performance measurement system (PMS), with few studies illustrating the issues in implementing and using PMS. Although Management Information Systems (MIS) and change management are important enablers of PMS, their role is not very well understood. Hence the objective of this paper is to review literature on the role of MIS and change management throughout the lifecycle of performance measurement, i.e. design, implementation and use stages. This paper not only discusses the role of MIS and change management throughout PMS lifecycle but also discusses PMS in the context of emerging business environment such as globalization, servitization, and networking in the context of multi-cultural environment. Finally it identifies research challenges for PMS in the emerging business environment.

Understanding performance measurement through the literature

Performance measurement has been defined and redefined over the years. Researchers have tried to explain this important area of management control with respect to their area of specialty. However, very few researches have tried to adopt a multi-disciplinary approach. This has resulted in a departure from a generalist understanding of performance measurement to a specialty focus. This study tries to build a general understanding of definition, characteristics and evolution of performance measurement through the review of literature. It also points out some of the issues in the more recently developed “integrated” performance measurement systems. The discussion is concluded by explaining briefly the need for empirical studies in the area and extension in focus from strategy to performance measurement at operational and lower level of the organization.