Abstract
Innovation is important for organizational survival, not only for private company but also for Public Service Company. When the private company needs to develop innovation to win the market competition, public service sector develops innovation in order to increase efficiency and public service quality. In order to evaluate and develop the successful innovation, the company needs to measure innovation performance. The purpose of this paper is to develop a framework for measuring innovation performance in the public service sector. This paper also identified the variables associated with innovation performance measurement in the public service sector. Using qualitative methods, we developed a performance measurement framework based on the literature review of innovation and performance measurement. The measured variables consist of inputs for innovation, innovation processes, innovation outputs, and the outcomes of implementing innovation. This research is expected to contribute to the literature used by academics and companies that have similar characteristics to measure innovation performance.
Highlights
Albury (2005) gave the definition of successful innovation as “the creation and implementation of new processes, products, services and methods of delivery which result in significant improvements in outcomes efficiency, effectiveness or quality of outcomes”
This paper presents a framework for measuring innovation performance in the public service sector
This paper developed a conceptual framework to measure innovation performance in public services
Summary
Albury (2005) gave the definition of successful innovation as “the creation and implementation of new processes, products, services and methods of delivery which result in significant improvements in outcomes efficiency, effectiveness or quality of outcomes”. An organization must develop its innovation capabilities to survive in the fierce market competition. The public service sector still at the beginning phase to realize the importance of innovation as a key to an organization's success in winning the competition. Some of the government public service competes with other private organizations. In 2012, Indonesian government gave appreciation for the stated-owned companies that developed its innovation (statedowned company award - BUMN Award). This event was held to encourage the companies to constantly develop innovations to increase the competitive advantage. Public service basically is a state-owned company funded by government and no venture capitalists (Borins, 2001). Some of the state-owned company reluctant to do an innovation because of the conservative mindset
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