Motivations Behind Using Performance Measurement: City-wide vs. Selective Users

Abstract

This article identifies and describes the utilisation of performance measurement in Florida local governments. Two research questions are considered here: which factors influence Florida city governments to use performance measurement? And how do the factors associated with cities that are city-wide users differ from cities that are selective users? The paper develops a framework constructed from literatures in performance measurement and management innovation to develop hypotheses that are tested with 2005 Florida local government data. This study finds strong support for the role of community attributes, form of government and internal capacity as contributors to the use of performance measurement. The study also finds the factors that influence city-wide users are different from factors that influence selective users, especially with regard to revenue size and the reward/incentive system.