Enterprise Performance Management and Flexibility: Factors of Effectiveness in Upstream Oil Industry in India

Abstract

Enterprise Performance Management is to help organization to discover efficient use of its resources to achieve its strategic goals. The objective of the paper is to identify the key factors of effectiveness of enterprise performance management system (EPMS) and flexibility in driving performance improvement in the organization. The dimensions of EPMS effectiveness have also to be identified. Further inter-relationships among contributing factors and effectiveness factors have also been explored. Macro variables that have emerged as predictors of enterprise performance are: strategy planning, strategic flexibility, strategy implementation, performance measurement system design, performance reporting and feedback, information system flexibility, and implementation issues and implementation issues being the major predictor. Inter-relationships among factors contributing to effectiveness have been found. EPMS effectiveness factors are strategic alignment, strategic monitoring, financial perspective, customer perspective, internal business process perspective, and learning and growth perspective and they are also inter-related.