Process Performance Measurement System Characteristics: An Empirically Validated Framework

Abstract

With the proliferation of business process reforms in organizations, the need for process-centric performance measurement systems is discussed in several studies. However, although there is considerable research on Performance Measurement Systems (PMSs) in general business contexts, research on performance measurement in process-centric contexts (e.g. within the BPM field) is scarce, and the characteristics of such process performance measurement systems (PPMSs) still remain poorly conceptualized, hindering their design and implementation. PPMSs are different from traditional performance measurement systems as the data gathered, and the information generated and disseminated are focused on processes, rather than on functions. This paper presents a PPMS characteristics framework, resulting from a multi-staged study design. Initially 38 PPMS characteristics were identified through a structured literature review which were then re-specified and confirmed with two in-depth case studies. The study findings resulted in an empirically supported PPMS characteristics framework, consisting of 30 PPMS characteristics grouped within 7 core themes, namely; (1) Quality characteristics; (2) Measurement Scope; (3) Contextual features considered in designing PPMS; (4) Relationship to organizational systems and structures; (5) Efficiency of information gathering and use; (6) Feedback and reporting; and (7) Potential uses of feedback generated. This is the first evidence-based synthesis of PPMSs characteristics and it provides a clear conceptualization and an understanding of what aspects a PPMS should comprise. The resulting framework will assist practitioners in designing and redesigning measurement systems in process centric contexts, which could in turn better support processes such as identifying improvement needs, measuring improved processes, benchmarking and controlling the processes, process maturity assessments, and benefits realization. The findings will also facilitate future research on PPMSs.