Area Of Performance Measurement Research Articles

The need for metrics to measure progress on racial equity in global public health and medicine

The need for metrics to measure progress on racial equity in global public health and medicine

Liquidity and the Performance of the Nigerian Manufacturing Firms: an Economic Value-added Approach

Considering the possibility of finding a gap and a room for improvement, so much have been written about liquidity and performance. Notwithstanding, the emphasis has been on profitability as a yardstick for performance and little has been done on other areas of performance measurement. The emphasis has also been more on various economic sectors with the exception of the manufacturing industry. This paper intends to look at the impact, if any, of liquidity provision and availability on Nigeria’s manufacturing firm’s performance from the perspective of Economic Value Added (EVA). Economic value-adding is beyond just profitability or liquidity. The firm's value to the stakeholders, its sustainability and long-term values are defined. The study would apply liquidity theories, profitability and the economic value-added theories as it applies to a manufacturing firm in a developing economy like Nigeria. On its methodology, the article data is obtained from the World Bank’s World Development Indicators-WDI and then a regression analysis will be run on the data using the SPSS software and then an analysis of the results of the regression. The last section of the article would conclude and make recommendations from the study outcome and the empirical analysis with respect to the theories.

The emerging organizational role of the maintenance function: a strategic perspective

PurposeWith the growing importance of performance measurement and management, this exploratory study intends to examine the practices of maintenance managers with regards to maintenance measures, as used in their organizations. In this process, the study attempts to uncover the relevant maintenance performance dimensions from the perspectives of the surveyed managers. In addition, the mediating effect of information availability on the main performance measures utilization is studied.Design/methodology/approachThe research at hand is survey-based. It utilizes the responses of a sample of ninety-five (95) experienced maintenance managers to identify the most relevant maintenance performance measures. Factor analysis is then utilized to uncover the important dimensions of performance, as seen by the respondents. Additionally, using the Partial Least Squares method, several models were studied.FindingsThe findings of this exploratory research appear to suggest that maintenance managers are beginning to broaden their perspective with regard to performance management. While machine and plant-related performance measures are still emphasized, maintenance managers are slowly moving toward a wider organizational orientation. While the manufacturing organizations are becoming more and more customer-oriented open systems, the maintenance function of these organizations is still, for the most part, operating under the semi-open system orientation. Overall, it appears that an emerging maintenance strategy is slowly taking shape.Research limitations/implicationsFor the most part, performance measures and measurement related to maintenance have not received enough attention from researchers. Therefore, the literature dealing with the different facets of performance in maintenance has not been forthcoming. The study attempts to fill this apparent gap in the literature. This is important, as maintenance managers are being asked to contribute to the achievement of the competitive strategies of their organizations. Therefore, they must quickly learn how to view maintenance from a coherent strategic organizational perspective. Such a perspective should help in integrating the maintenance, resources, capabilities, and technical know-how in order to serve the strategic goal of their organization. The research at hand is limited to a sample from Portugal. Therefore, the results and conclusions must be interpreted accordingly.Practical implicationsAs maintenance managers struggle to move from a machine-orientation to a more organizational-wide strategic orientation, they are often left with many questions and few answers. This study attempts to bring this problem to the spotlight so that it can receive more systematic empirical and practical research. In this context, the role of maintenance managers in the process of organizational strategy formulation should be examined.Originality/valueThe study presented in this article has practical, as well as theoretical contributions. It deals with an area of performance measurement, which so far has been relatively ignored. It uses a system orientation (closed vs open), in addition to the strategic orientation (single vs multi-faceted strategy) in order to shed some light on the need to have consistency between the nature of the system and its strategic objective.

Supplier performance assessment

PurposeThe discussion of supplier performance assessment and implementation challenges has been evidenced well in the academic literature. However, the analysis of supplier performance assessment has been limited in terms of inclusion of suppliers’ perspective, especially in terms of what key performance indicators they deem to be relevant and aligned with their goals. Therefore, the purpose of this paper is to shed light on supplier performance assessment, taking into account both manufacturing company’s and suppliers’ perspective, to evaluate to what extent the utilised performance measures are beneficial to all parties.Design/methodology/approachBased on literature review on supplier performance assessment, ten categories of performance measures were established and explored in a case study involving a UK manufacturing company and its suppliers. A questionnaire was distributed to the manufacturing company and their 30 suppliers, resulting with a total of 41 responses.FindingsFrom the established ten categories only five categories were highly rated which were: net profits, flexibility and responsiveness, delivery performance and time and cycle time, product quality and availability, which were aligned to financial and internal business process categories.Research limitations/implicationsThis study focused on a UK-based company and its relationship with its suppliers and how performance measures were assessed within this context. A further study needs to be conducted in terms of comparing the results of the study to other companies’ supplier performance assessment.Originality/valueThe research on the topic of supplier performance assessment often relates to measurement and highlights measures for assessing suppliers’ performance to a particular industry or area of performance measurement. Hence, this study embeds three distinctive angles including the academic literature on supplier performance assessment, suppliers’ and the manufacturing company’s perspectives.

Prioritising the performance measures of FMS using multi-criteria decision making approaches

The evaluation of the most appropriate performance measures in the manufacturing sector is one of the strategic issues that may affect the flexible manufacturing system (FMS). In this paper, five areas of performance measures, i.e., measures related to finance, measures related to customers, measures related to innovation and knowledge, measures related to internal business and miscellaneous measures with their sub-measures are considered. The purpose of this paper is to provide a framework to proactively manage performance measures. For this purpose, a comparative study of multi criteria decision making approaches, simple additive weighting (SAW) and weighted product method (WPM) are integrated with analytic hierarchy process (AHP) in order to get the best solution. AHP is used to determine the weights of the measures which are used in SAW and WPM approaches, for prioritising the performance measures so that management could take the decision regarding improvement. Here, fuzzy logic is used to change the qualitative measures into the quantitative measures.

A review of the Australian healthcare system: A policy perspective.

This article seeks to review the Australian healthcare system and compare it to similar systems in other countries to highlight the main issues and problems. A literature search for articles relating to the Australian and other developed countries’ healthcare systems was conducted by using Google and the library of Victoria University, Melbourne. Data from the websites of the Commonwealth of Australia, the Australian Institute of Health and Welfare, the Australian Productivity Commission, the Organisation for Economic Co-operation and Development and the World Bank have also been used. Although care within the Australian healthcare system is among the best in the world, there is a need to change the paradigm currently being used to measure the outcomes and allocate resources. The Australian healthcare system is potentially dealing with two main problems: (a) resource allocation, and (b) performance and patient outcomes improvements. An interdisciplinary research approach in the areas of performance measurement, quality and patient outcomes improvement could be adopted to discover new insights, by using the policy implementation error/efficiency and bureaucratic capacity. Hospital managers, executives and healthcare management practitioners could use an interdisciplinary approach to design new performance measurement models, in which financial performance, quality, healthcare and patient outcomes are blended in, for resource allocation and performance improvement. This article recommends that public policy implementation error and the bureaucratic capacity models be applied to healthcare to optimise the outcomes for the healthcare system in Australia. In addition, it highlights the need for evaluation of the current reimbursement method, freedom of choice to patients and a regular scrutiny of the appropriateness of care.

A probability-based indicator for measuring the degree of multimodality in transportation investments

Although decision makers may favor a “multimodal” transportation system, it can be difficult to indicate the extent to which a given transportation investment is, or is not, multimodal. This lack of an indicator can be acute when the project selection process requires consideration of how a given investment supports increased multimodality. In response to this need, this research reports on a taxonomy for classifying the degree of multimodality for transportation projects. Probability theory was employed with principal component analysis to create a new indicator based on both demand (modal shares) and supply (monetary investment for each mode). The indicator offers three main benefits in the area of performance measurement: (1) it is applicable in cases when some data are missing; (2) it provides a way of comparing multimodality from diverse projects such as high-occupancy toll lanes or multimodal centers; and (3) it can help decision-makers quantify how multimodality has changed over time. For example, application of the indicator to six U.S. public-private partnership projects in Colorado, Florida, Rhode Island, and Virginia showed that the degree of multimodality increased by an average value of 57%. (While the manner in which the impact boundary is defined affects this calculation for specific projects, the average value remained relatively stable whether the impact boundary was equal to the average commute trip length or less than half that amount.) Given that some planners view multimodality as societally beneficial, the indicator proposed herein can help one evaluate the multimodal potential of proposed transportation investments.

Assessment for improving the performance of NICUs: The Italian experience.

This paper describes neonatal intensive care units (NICU) in Italy using a set of organizational variables identifying management profile. The correlations between variables, and how these are impacted by structural aspects of the department or hospital, are investigated. The research was conducted within the 5-year far-reaching and complex SONAR study run by the Italian Neonatal Network, which maps NICU, monitors outcomes of member centres, defines organizational models, and identifies best practices to improve care quality. Seven variables relating to activities, organization processes, and behaviour models used in the SONAR study were used here to assess NICU. Data from 54 Italian NICUs, 1601 nursing staff, and 643 doctors were used. We identified high levels of variation in NICUs for all aspects of organization. We also identified important opportunities for improvement, especially in the areas of performance measurement, quality improvement, and learning for healthcare staff. In terms of structural characteristics, we identified big differences between NICUs in the north and south of Italy. The findings provide a description of NICUs in Italy and identify a set of variables useful for management in assessing NICU, which are among the most complex and costly operational units in a hospital.

The Current State of Sensing, Health Management, and Control for Small-To-Medium-Sized Manufacturers.

The development of digital technologies for manufacturing has been challenged by the difficulty of navigating the breadth of new technologies available to industry. This difficulty is compounded by technologies developed without a good understanding of the capabilities and limitations of the manufacturing environment, especially within small-to-medium enterprises (SMEs). This paper describes industrial case studies conducted to identify the needs, priorities, and constraints of manufacturing SMEs in the areas of performance measurement, condition monitoring, diagnosis, and prognosis. These case studies focused on contract and original equipment manufacturers with less than 500 employees from several industrial sectors. Solution and equipment providers and National Institute of Standards and Technology (NIST) Hollings Manufacturing Extension Partnership (MEP) centers were also included. Each case study involved discussions with key shop-floor personnel as well as site visits with some participants. The case studies highlight SME's strong need for access to appropriate data to better understand and plan manufacturing operations. They also help define industrially-relevant use cases in several areas of manufacturing operations, including scheduling support, maintenance planning, resource budgeting, and workforce augmentation.

Development of Concepts and Models of Performance Evaluation from the 19th Century to the Present

Abstract The main aim of this paper is to provide a framework of concepts and models from the area of performance measurement. Due to the fact that the business environment is con-stantly changing, changes also occur in the trends relating to performance. Traditional financial performance measures have been highly criticized and the need identified to integrate non-financial perspectives, such as level of innovation, degree of motivation, intellectual capital and other criteria. Intellectual capital is often a crucial factor in the creation of value in a company. This paper provides a literature review supplemented by the author’s research in the field of performance. The article shows that the performance appraisal system is currently focused on several areas that could affect the performance of the company, which is also part of the overall performance of the economy in the form of GDP growth. Based on the research, it can be said that, for the sample tracked, the selection of performance evaluation system does not depend on the legal form of the business.

Has this large number of performance measurement publications contributed to its better understanding? A systematic review for research and applications

This paper uses a systematic review to answer two research questions: (1) has this large number of performance measurement systems (PMS) publications contributed to a better understanding of performance measurement? and (2) what would a better understanding of PMS lead us to? This paper found that the field has not evolved substantially for the past 30 years. While various PMS are discussed and proposed, there are many instances of a common ground on what were discussed but in a few instances, there is little to no agreement concerning the activities and characteristics used to describe them, and there is also a great deal of overlap in the meaning of definitions and terms. Nevertheless, the synthesis review revealed that many of the discussions of the fundamental characteristics useful and in certain cases, interesting and insightful. Research gaps were identified and narrowed by synthesising instances of a common ground, and if a common ground is not forthcoming, references to non-PMS articles were made in order to ascertain the ‘true’ meaning of terms, purposes and applications of PMS. This improves our understanding of PMS, and thus we can use the result of the review to conceptualise and present coherent arguments in the pursuance of a good PMS. This research has important implications for both practitioners and academics in the area of performance measurement within an organisation, and shall provide a basis on which ongoing and future research efforts on this field can be built upon.

Towards a new model of success and performance in SMEs

PurposeThe purpose of this study is to develop an academic theoretical framework relating success and performance in small and medium‐sized enterprises (SMEs) so that future research could be carried out to identify the critical success factors (CSFs) for SMEs.Design/methodology/approachThe research used a literature review, in‐depth interviews with owner‐managers of SMEs and a knowledge elicitation exercise was carried out based on the experience of the researchers and on the interviews with owner‐managers.FindingsA new academic conceptual model was developed linking CSFs, definitions of success and performance to the characteristics of the business environment, the characteristics of the owner‐manager and the characteristics of the business. The relatively new idea that feedback on performance in the model could modify the strategic/tactical behaviour of the SME owner‐managers was introduced.Research limitations/implicationsThe many research problems posed by performance studies aimed at establishing CSFs in SMEs are still present in the current framework but a longitudinal research methodology could be employed to avoid these problems in future research.Practical implicationsThe theoretical framework offers a different way forward for both practitioners and business advisors in thinking about those factors that may be critical for success in SMEs.Originality/valueThis is a new framework that can be used to inform thinking and research design in the area of performance measurement and success.

Designing balanced scorecard for multi echelon repair inventory systems

PurposeA number of approaches have been suggested in the literature for maintenance performance measurement, including use of the balanced scorecard (BSC). However, its application towards assessing maintenance contribution to business objectives is limited. Currently, a framework integrating maintenance activities in a supply chain environment is lacking in the literature. The purpose of this paper is to develop a maintenance performance measurement framework using BSC for multi echelon repair inventory systems (MERIS) comprising of modular electronic equipment. The paper also suggests a large number of performance measures/indicators (PMs/PIs) pertaining to both maintenance and supply chain components including a few BSC implementation issues for such types of supply chains.Design/methodology/approachThe paper analyses a base model of a large maintenance organization and after carrying out SWOT analysis, identifies strategic themes/objectives for performance measurement. Performance measures for various objectives are identified for MERIS and implementation strategy including cascading of BSC is suggested. The developed performance measurement model is also validated using an action research (AR) based approach.FindingsA performance measurement system (PMS) for MERIS using BSC approach has been developed and an implementation strategy suggested. AR methodology is used for developing BSC for an organization using the selected performance measures. The importance of cause‐effect relationships between various performance objectives and measures is also established.Research limitations/implicationsQuantification of each of the developed PMs/PIs and establishing an effective information system for MERIS are the limitations of the present work and may be taken up for more research.Practical implicationsThe paper will be useful for practitioners in the field of MERIS of electronic repairables wherein relevant PMs/PIs can be selected for implementation as per the requirement of the application.Originality/valueThe paper is of value by being original, as no work towards performance measurement of MERIS using BSC concept (as applicable for non‐profit organizations like military, government, NGOs etc) is reported in literature so far. The paper is relevant in this context and its contribution lies in the area of performance measurement.

Diffusion of Management Accounting Practices in Gulf Cooperation Council Countries*

AbstractThis study examines how management accounting practices (MAPs) have been adopted and diffused by publicly listed firms in the Gulf Cooperation Council (GCC) countries. The results of our survey show that the adoption rates for MAPs in the area of cost management and strategy are low while those in the area of performance measurement are moderate. Overall, the respondents favorably perceived their success in implementing MAPs. Power and politics, not economic (or cost–benefit) reasons, were considered to be the most influential reasons for nonadoption of MAPs. The results provide partial support to the view that there is a global convergence of management accounting system designs and ideas and also indicate that the role of cultural differences is diminishing over time.

Understanding Process Performance Measurement Systems

Understanding Process Performance Measurement Systems The purpose of this paper is to analyze the current state of Process Performance Measurement Systems (PPMS) by means of a systematic review of literature. The PPMS literature is reviewed using a systematic approach. Based on an extensive literature review only twelve articles that contain the term PPMS in the title were found. The literature analysis showed that PPMS is a relatively new topic in the area of performance measurement. In order to understand PPMS, it was crucial to explain the concepts of business process management, business performance measurement and Performance Measurement System (PMS) which are well known and used in the literature and practice. PPMS is a special type of PMS that should be used in process-oriented organizations. Limitations of this research lie in the fact that all the conclusions were derived only from the literature, not empirical research. The results presented in the paper continue towards providing an updated overview of the current state of performance measurement, especially PPMS in order to identify the existing research gaps on which ongoing and future research efforts regarding this topic can be focused.

When methods and theories collide: Toward a better understanding of improving unit performance in a multimarket firm

Logistics research in the area of performance measurement continues to receive attention from a variety of perspectives. One well-received perspective is that of efficiency. Data envelopment analysis is a well-studied analytical tool to identify best-practicing efficient operating units of the firm. But a theoretical linkage remains absent from the literature. Drawing upon theoretical perspectives of organization search and knowledge transfer, this study identifies conditions in which suitable role models (according to reference set analysis) may be unrealistic and thus warrant refinements. Ironically, it is through the existence of these particular analytical tools that we are able to develop and then test our framework and illustrate the practical implications. Moreover, this study is ideally suited to illustrating how the methodology is widely applicable among the growing number of multi-unit multi-market (MUMM) firms around the world, particularly given the diffusion of sophisticated performance information gathering technologies widely used in today’s information age.

The use and efficacy of anecdotal performance reporting in the third sector

PurposeThis research paper seeks to examine the important issues of performance measurement and reporting in a third sector community organisation. It aims to highlight the dysfunctional nature of funding body performance reporting criteria, which do not always align with the values and goals of the voluntary organisation. In contrast, this paper aims to consider the value of using anecdotal performance data to provide a more informed perspective on the performance of third sector organisations.Design/methodology/approachThe paper examines the current literature regarding performance measurement from a voluntary sector perspective. It then considers the value and efficacy of anecdotal performance reporting and presents empirical findings from a single case study organisation.FindingsThe paper identifies that many forms of performance reporting frameworks used by funding bodies provide little or no value to the voluntary organisation, and that anecdotal performance reporting is often more aligned with the values of the voluntary organisation. This paper proposes that whilst anecdotal performance reporting is not common place, it has an inherent value to both a third sector organisation, and funding body, as it allows the organisation's achievements to be presented in a more empathic light. The paper concludes that anecdotal performance reporting is particularly appropriate where the funding body is of a philanthropic, rather than government or state nature.Research limitations/implicationsThis research was conducted from the perspective of one voluntary sector organisation, therefore providing limited generalizability.Originality/valueWith little research undertaken on the value of anecdotal performance reporting in this environment, this paper highlights a potential new area of performance measurement. This research is set within a New Zealand context, adding to the originality.

The Kentucky Initiative in Health Services Contracting: The Search for Contracting of Outcomes Measures

This article is based on a research project that provided information and recommendations to the Kentucky Cabinet for Health Services concerning contracting for health services to help enhance contracting practices. The health agencies of many states have expended considerable effort to enhance their contracting practices, particularly in the areas of performance measurement, results reporting, and the use of web-based systems for contracting activities, collecting data, and reporting results. The motivation for improving the collection of performance measures is principally driven by the need to better assess the efficacy and cost effectiveness of programs and to meet federal grant requirements and the performance based budgeting requirements being implemented by many states. States appear to be adopting a variety of strategies. Some states have implemented performance measurement and reporting systems (such as report cards). Other states have implemented strategies of how to improve performance (performance improvement plans). A few states have actually imbedded performance standards in their contracts. An overview of these systems and discusses changes that have been implemented by the Kentucky Cabinet for Health Services in an effort to move toward better contracting is provided.

Virtual integrated performance measurement

Refers to the increasing interest in the development of theoretical frameworks in the area of performance measurement. Companies have used them as a way of testing different business policies and strategies as well as measuring their performance. Literature shows that these frameworks are not providing an effective and robust measurement system, which is needed more than before in today’s dynamic market. For example, the existing frameworks do not relate to the actual strategies in place and none of them can be considered generic, which makes any attempt of integrating performance measurement virtually impossible. Discusses this problem and puts forward a solution. Describes briefly a proposed framework and explains in more detail a computer‐based system to select performance measurement to support the implementation process of this framework.

First catch your student: issues in qualitative evaluation

The paper aims to present some points for discussion around issues in qualitative evaluation to do with access to sites and individuals, and relationships between the researcher/evaluator and participants. It is based on evidence from three projects in which the authors are, or have recently been, involved: JUBILEE (about monitoring and evaluating user behaviour in information seeking), EASE‐IT (about the encouragement of innovative teaching in engineering), and Virtual Gallery (a small scale local case study of a one semester option on a history of art course). The projects have encountered similar problems in relation to the collection of first hand qualitative data, and have relevance for the whole area of performance measurement in library and information studies, which is increasingly needing to also collect qualitative data as part of the evaluation of both projects and services.