Organizational Performance Measures Research Articles

Implementing organizational performance measurement systems: measures and success strategies

PurposeThis study assesses performance measurement (PM) system implementation efforts across various organizational contexts and investigates which factors are critical to achieving implementation success (IS).Design/methodology/approachAn empirical field study was conducted to refine a framework of PM system IS that consists of 5 dimensions of success and 29 factors. A survey questionnaire was used to investigate actual organizational practice and exploratory factor analysis was conducted to refine constructs corresponding to potential factors and dimensions of IS. The resulting variables were then investigated using multiple regression analysis to identify critical success factors for implementing PM systems.FindingsThe survey was completed by representatives from 124 organizations and the exploratory factor analysis results indicated that there are three underlying dimensions of IS (i.e. Use of the System, PM System Performance, and Improved Results and Processes) and 12 factors. Of the factors, nine can be considered critical success factors having a significant relationship with at least one dimension of IS: Leader Support, Design and Implementation Approach, Reward System Alignment, Organizational Acceptance, Organizational Culture and Climate, Easy to Define Environment, IT Infrastructure Capabilities, PM System Design Quality, and PM Participation and Training.Originality/valueThe results show that there are distinct dimensions of IS and, although some factors are associated with all dimensions, most are more closely related to only one dimension. This suggests that different strategies should be utilized based on the types of challenges experienced during implementation.

How to Increase Employees’ Innovative Behavior? A Study in A State-Owned Electricity Company

Objective: This research investigates the impact of high-performance human resource practices (HPHRPs) on employees’ innovative behavior (EIB) both directly and through the mediating effects of work engagement (WE) and psychological capital (PsyCap) in a state-owned electricity company. Design/Methods/Approach: The data was gathered by conducting a survey questionnaire among 722 employees who work in an electricity company. The collected data was then validated through confirmatory factor analysis. The data was analyzed using the covariance-based Structural Equation Modeling (CB-SEM) technique to test the hypotheses. Findings: The findings indicate that HPHRP has a positive impact on Employee Innovative Behaviour (EIB), both directly and indirectly, through the mediation of Work Engagement (WE) and Psychological Capital (PsyCap) in a state-owned electricity company. Originality/Value: This paper is unique as it provides empirical evidence on how high-performance human resource practices impact employees' innovative behavior directly and with the mediation of work engagement and psychological capital. Practical/Policy implication: HR Managers should focus on employee participation and communication to increase employee work engagement and psychological capital, which will impact innovative behavior among employees. Researchers are encouraged to study employee and organizational performance measures other than Work Engagement and Psychological Capital influenced by high-performance work practices.

Prioritizing Work Health, Safety, and Wellbeing in Corporate Strategies: An Indicative Framework

As a prominent organizational issue, there was limited evidence in the literature regarding the relationship between organizational strategy, workplace health, safety, and wellbeing, and performance measurements that demonstrate a measurable impact on organizational performances. Based on this gap in the literature, the purpose of the study was to examine business practices, health, safety, and wellbeing practices, and measurement systems to inform the development of a health, safety, and wellbeing strategy and employee engagement framework in order to add strategic value to businesses beyond standard practice. An exploratory mixed methods study, consisting of eight semi structured interviews and ninety-five survey responses from a cross section of private and public sectors leaders and health, safety, and wellbeing and human capital professionals was undertaken. Thematic analyses and exploratory factor analyses revealed a seven-factor health, safety, and wellbeing strategy framework that integrates key concepts, resilience engineering, wellbeing, health and safety management, employee engagement, risk management, and corporate governance. The final strategy framework provides empirical evidence supporting a suitable framework for businesses to improve individual and organizational performance.

School Effectiveness: Institutional Benchmarking for Vocational High School Management

The disruption era presents a challenge for schools in the form of educational graduate standards in comparison to industry and the workforce. The government responded by instituting a policy of vocational schools to produce superior human resources. The adaptive strategy implemented is one of long-term quality improvement through the measurement of organizational performance using benchmarking models. The study aims to analyze the effectiveness of benchmarking techniques in improving educational services in Public Vocational High School. The research is qualitative in nature, employing case study techniques. The veracity of the data is checked using sources of principals, school public relation, and senior teacher. Data triangulation techniques and peer discussion were used to examining the data. The study's findings demonstrate technical benchmarking implementation through planning, analysis, integration, implementation, and maturity is known as institutionalist benchmarking. Benchmarking strategies for sustainable organizations are implemented concurrently through vision adaptation, mission and objectives toward strategic environments; benchmarking targeting focus determination, and goal determination through the fabric of school superior partnerships. Adaptation of the benchmarking outcomes program results in actualizing educational information system management, peer tutoring techniques, optimization of research activities, and strengthening internal supervision. In addition, interviews are the only method used to collect data for this study. Therefore, future research will investigate the school institution of others in Indonesia, particularly the development of vocational schools that have already integrated science and skill competencies.

Sharia governance and organizational performance in zakat management organization: evidence from Indonesia

Purpose This paper aims to investigate the impact of sharia governance on organizational performance in zakat management institutions in Indonesia over the period 2017–2021. Design/methodology/approach This study examined 33 zakat management organizations in Indonesia from 2017 through 2021 for 151 observations. Gross allocation ratio and growth of ZIS collection are used as organizational performance measures. The independent variables in this study are board of director size, educational background of the board of directors, sharia supervisory board size, sharia supervisory expertise, supervisory size and management size. Also, the study uses size, age and audit opinion as control variables to help measure the relationship between sharia governance and organizational performance. Findings This study shows that the board of directors and supervisory size positively and significantly affect organizational performance. Then, the educational background of board of directors has a negative and significant effect on organizational performance. In Model 1, sharia supervisory board size has a positive and significant effect on organizational performance, but in Model 2, sharia supervisory board size does not. Meanwhile, sharia supervisory expertise and management board size do not affect organizational performance. Practical implications The findings in this study illustrate the importance of transparency in the zakat management organization. Transparency helps minimize conflicts of interest and information asymmetry in the zakat management organization. In addition, sharia governance mechanism helps regulators and top management to make effective policies to improve and enhance organizational performance. Social implications Sharia governance is essential for zakat management organizations to increase accountability, credibility and public trust and support the practice of zakat management organizations. Originality/value This study discusses sharia governance and organizational performance in socioreligious organizations, especially zakat management organizations, which are still rarely carried out. Thus, this study broadens the insights of sharia governance and highlights the importance of performance appraisal in zakat management organizations.

Enchanting performance measurement and management with data envelopment analysis: Insights from bibliometric data visualization and analysis

While the breadth of applicative uses of data envelopment analysis (DEA) has increased over time, this non-parametric frontier methodology has proven effective for measuring how efficient decision-making units (DMUs) are. One of its uses is performance measurement in various organizations — from universities and banks to investment funds and entrepreneurial small and medium-sized enterprises. Following a search inquiry in the Scopus and Web of Science databases, we found no bibliometric analysis and keyword co-occurrence network visualization of just the use of DEA for performance management. With this study, we attempt to investigate the DEA literature for performance measurement and management, considering articles in scientific peer-reviewed journals, which are indexed in the Web of Science database. The analysis and visualization of the bibliometric data are based on 89 articles from the start of the century onward. We present the annual trends of published articles, journals, authors, and countries leading the scientific discussion and citation analysis. A detailed keyword visualization analysis was performed and is discussed in this article alongside the paths for future hotspots of the use of DEA for performance management. The findings have implications for both the academic community and practitioners, business leaders, managers, and policy-makers.

The nature of measurement across the hybridised social sector: A systematic review of reviews

AbstractPerformance measurement and management serve as the key elements for demonstrating accountability to funders and stakeholders for many social entities. Although substantial study has been completed to understand the measurement practices employed by specific models of social entities, there is an absence of studies taking a broader perspective on organisational performance measurement across the entire system. A systematic review of reviews methodology identified previous systematic and meta‐studies of social performance measurement and management practices across the entire sector. The 19 reviews identified examined the measurement and management practices of a range of hybrid social entities including non‐profits, social enterprises, corporate social responsibility undertakings, impact investments and bonds, government departments, and knowledge‐intensive public organisations. The motivations of demonstrating accountability and learning opportunities for improvement are congruous across all entities. However, the approaches and methods employed to measure impact and meet these objectives are distinct between the different entity forms. Furthermore, acknowledgement of the different measurement approaches of other hybrid social entities was notably absent perhaps indicating a lack of knowledge dissemination across the broader system. Some barriers and complexities seem to be generalised across all hybrid entities; however, other challenges appear to be unique to specific hybrid models and measurement approaches. Through amalgamating a broad range of papers, we present opportunities to strengthen performance measurement and management across an increasingly hybridised social sector.Points for practitioners Performance measurement and management are crucial for demonstrating accountability and improving social impact for all forms of hybrid entities including non‐profits, social enterprises, corporate social responsibility undertakings, impact investments and bonds, government departments, and knowledge‐intensive public organisations. While the measurement practices of these organisational entities have been studied separately, there has been a lack of understanding as to the common practices and deviations across a hybrid organisational system. Practitioners should explore the different approaches and methods employed by the various social impact entities to identify opportunities for improved practice. Meeting the information needs of the diverse range of stakeholders in social services sector poses a challenge for all social initiatives. However, our review highlights the importance of ensuring that the voice and perspectives of social service recipients are adequately represented.

Do Collaborative Management Actions Lead to Better Organizational Outcomes?

ABSTRACT This study examines the effects of managerial actions that promote inter-governmental collaboration on organizational performance at the sub-national level. Employing measures of organizational performance (i.e., fiscal performance and education in Colombia), I find that managerial actions that promote collaboration between organizations at the territorial level predict higher levels of organizational performance. Actions oriented toward collaboration enable bureaucrats to accomplish organizational goals by creating trust, increasing information exchange, and producing external collaborative structures. The article provides insights into the discussion about the role of managers in organizational dynamics in the public sector by showing new insights about how managers’ intentional efforts can improve public organizations’ outcomes. The research contributes to the literature on collaborative public management in a comparative context that focuses on sub-national governments.

From the inside looking out: towards an ecosystem paradigm of third sector organizational performance measurement

ABSTRACT Effective organizational performance measurement supports the long-term viability of third sector organizations. According to extant literature, it has been driven by accountability, legitimacy and improvement. While some aspects of these are outward-facing, their focus seems to be intra-organizational. Our study shows evidence of a different approach to third sector organizational performance: qualitative data from the Scottish social care third sector suggest a paradigm shift on what drives and enables performance measurement in this sector. Moving away from an instrumental, compliance- and inward-focused approach, our findings point to an organizational performance measurement ecosystem marked by adaptation, sustainability strategies and inter-organizational collaborations.

Enhancing Accountability and Transparency in the Public Sector: A Comprehensive Review of Public Sector Accounting Practices

This research uses a comprehensive bibliometric analysis to explore the literature on public sector accounting practices and their impact on accountability and transparency. The research used VOSviewer, a bibliometric analysis tool, to visualize and analyze the bibliometric network, revealing patterns of collaboration, influential publications, and key themes. The data collection process yielded 840 scholarly articles from leading academic databases, with a focus on English-language publications in the past decade. The results show six distinct publication clusters, each highlighting significant research themes. Cluster 1 emphasizes innovation and transparency, indicating the relevance of accounting change and performance measurement in public sector organizations. Cluster 2 centers on accounting reform and the adoption of accrual accounting practices, exploring the transition from cash-based to accrual-based accounting in the public sector. Cluster 3 studies forensic accounting and internal audit practices, reflecting the growing interest in fraud detection and risk management in public sector entities. Cluster 4 highlights the importance of information systems and efficiency in public sector accounting. Cluster 5 centers on the pressing issue of corruption in the public sector and the role of audit in combating corrupt practices. Cluster 6 explores the potential application of private sector accounting practices in the public sector. Keyword analysis identified the most frequently occurring keywords, such as "accountant", "public sector reform", "performance", and "service", underscoring their importance in the literature. Conversely, keywords with fewer occurrences, such as "transparency" and "information systems", indicate areas that require further attention and research.

First things first: Unselfconscious corporate virtuosity and corporate performance

AbstractThis article investigates the relationship between unselfconscious corporate virtuosity and corporate performance using a novel methodology. It contends that honesty in presenting CSR activities is a proxy for corporate virtuosity and that syntheticity of language indexes unselfconscious honesty in corporate reporting. The study's research question is: Is there evidence that being more corporately ethical in the absence of concern about being so perceived enhances hardcore measures of organisational performance? To answer this question, a linguistic analysis of sustainability reports of firms operating in the Mining, Crude Oil Production Industry is undertaken to reveal that firms' financial performance varies as a function of a particular kind of straightforward language use in corporate reporting. This exercise provides evidence that unselfconscious corporate virtuosity is associated with better corporate financial performance. Implications for practice of this finding are explored.

Calculative frames, compromising metrics, and the multiple values of innovation: The case of technology incubation in the UK

Complex organizations are faced with numerous demands that translate into different assessments of value. We focus here on the agency of performance metrics and how they represent and mediate multiple and contrasting values. We draw on a case study of technology incubation, a complex site where attempts to meet the sometimes conflicting demands of stakeholders inevitably lead to multiple assessments of the value of innovation. We propose a theoretical model inspired by Beunza and Garud’s (2007) notion of calculative frame, positing that each frame expresses value in terms of a dominant principle of worth, a metaphorical root, and the key metrics of worth. We then explore how and under what conditions the tensions among frames are mediated by compromising metrics. Our paper contributes to the literature on socio-materiality by strengthening the conceptual linkages between the elements of calculative frames and theorizing their co-constituted character. In this way we broaden the applicability of the calculative frame model to performance measurement in complex organizations. We also contribute to the management accounting literature on tensions and compromise by providing an account of the agency of performance metrics and the mechanisms of combinability through which they mediate a compromise among conflicting frames, and bridge frames that are not in conflict.

The Influence of E-Marketing Mix Strategy on Organizational Performance: An Empirical Analysis of Jordanian Smes

Purpose: The purpose of this empirical research article is to investigate the association between e-marketing mix strategy (EMMS) and organizational performance (OP) in Jordanian SMEs. Theoretical framework: The study used a quantitative research methodology to explore the impact of EMMS factors on OP indicators, such as product development, pricing strategies, promotional activities, and online distribution channels. Design/methodology/approach: The study's data is gathered using a survey questionnaire issued to 250 Jordanian SMEs. The dependent variables include OP indicators such as financial performance, customer happiness, market share, and innovation, whereas the independent variables are EMMS factors. Control factors including business size, firm age, and industry type are also taken into account. To evaluate the hypothesized correlations, the obtained data is analyzed using the PLS-SEM (PLS 4.0) technique. Findings: The results of this study show that in the Jordanian context, all e-marketing techniques, including product development, price strategies, promotional activities, and online distribution channels, have a significant positive impact on OP metrics Research implications: The findings of this study demonstrate the value of e-marketing and the necessity of sound e-marketing tactics for fostering the expansion and competitiveness of SMEs in the digital era. Practical and social implications: The study underscores the significance of implementing e-marketing strategies for SMEs in Jordan, as they contribute to enhancing OP. Policymakers can utilize these findings to develop supportive measures for SMEs, while practitioners can gain insights into the value of e-marketing strategies in achieving growth and competitiveness. Originality/value: This study adds to the current literature by investigating the association between EMMS and OP in Jordanian SMEs. The study adds to the field's knowledge base by providing empirical evidence and insights on the impact of various e-marketing methods on OP measures.

Human Resource Management Strategy in Organisational Digital Transformation

In the rapidly evolving digital age, organisations around the world are facing new challenges in managing their human capital. Digital transformation has significantly changed the business landscape, affecting the way organisations operate, communicate and compete in an increasingly competitive marketplace. This research aims to identify HRM best practices that can help organisations overcome the challenges of digital transformation and achieve success in the adoption of new technologies. The focus of this study is primarily qualitative. Methods for gathering data include paying close attention to detail while viewing and recording data, and then using analytical techniques such as data reduction, visualisation, and inference to draw conclusions. The study concluded that HRM strategies in organisations' digital transformation are key to the success of companies in facing the changes of the digital era. By focusing on improving employees' digital competencies, cultural and leadership changes, proper organisational restructuring, talent management, performance measurement, effective communication, flexibility, and good risk management, organisations can optimally leverage digital technology to achieve competitive advantage, improve business performance, and provide added value to customers.

The role of performance measurement and management systems in changing public organizations: An exploratory study

IMPACT The most recent administrative reforms aim not only to open up public organizations to citizens but also to encourage other organizations to take similar initiatives, namely in collaboration, transparency and the availability of information. So they need performance measurement and management systems (PMMS) that allow them to be closer to their stakeholders and dynamically promote effective organizational change. This article shows that a PMMS can be a mediation instrument in the effective implementation of administrative reforms. It will help managers and employees of public organizations understand how to improve performance measurement processes and mitigate dysfunctional behaviours that cause unintended effects on organizational performance.

Cross cultural adaptation on cooperative performance measurement

This research aims to develop a cooperative performance measurement for cross-cultural adaptation in Indonesian organization. It consists of adapted measurement, initial translation, translation synthesis, back-to-back translation, expert reviews, and pilot test. Organizational performance measurement was adapted in the current research. This research used three cooperative experts (academicians, cooperative boards, and government authorities) who duly reviewed the adaptation. A total of 35 cooperative boards participated in the pilot test to ensure measurement reliability. In the current research, the cooperative performance measurement consists of financial and non-financial performance. Financial performance focused on measuring performance in the sales context, return on sales, return on equity, and venture capital. While non-financial performance includes new product introductions, product quality, the total number of cooperative members, the efficiency of product or service marketing strategies , increased company value, and technical advancements. The finding indicates all items of this research were reliable and valid to measure performance of cooperative organization. A cooperative organization is pivotal for the social welfare of its members because it is the cornerstone of national economic progress. Therefore, financial and non-financial performance were appropriately assessed to evaluate cooperative organization performance. Moreover, practitioners and researchers are able to improve the performance of cooperative organization as a whole through financial and non-financial performance.

An Exploratory Study of the Critical Success Factors of the Global Shipping Industry in the Digital Era

The global shipping industry faces many uncertainties which impact on how organisations within this sector will perform in the future. Research in the critical success factors which impact the global shipping industry in the digital era is lacking. This study plugs the gap in the literature by identifying four key critical success factors which are innovation capability, risk governance capability, leadership and strategic capability, and technological capability. In addition, this study also found three organisational performance measures that are useful for senior management teams within the industry, namely, financial performance, operational performance and marketing performance. The results were then triangulated and validated by the case study method using a global shipping organisation. The findings establish a set of critical success factors and the corresponding relationships between the identified critical success factors and the identified organisational performance measures. The paper also provides managerial insights for industry practitioners for defining, prioritising and allocating resources in order to improve organisational performance.

Unionization at Volkswagen in Chattanooga: A Postmortem

Declining unionization rates in the private sector have long been a major object of research across the social sciences and among students of the labor movement. Nowhere is this issue felt more acutely than in core productive sectors of the American South, where employers have beaten back nearly every significant organizing effort. These problems are epitomized by the United Autoworkers Workers’ 2014 defeat at the hands of German automaker Volkswagen in Chattanooga, Tennessee, where it failed to win an election despite management's ostensible neutrality. Though various competing explanations have been offered, I attribute the UAW's underwhelming performance principally to the union's own mistakes and shortcomings. Applying an analytical framework first proposed by Marshall Ganz, I argue that on three key measures of organizational performance—access to information, strategic capacity, and ongoing learning—the UAW fell short, ultimately sealing its fate. First, the UAW neglected to draw important lessons from its previous efforts to organize foreign-owned automakers, which often bore an uncanny resemblance to Volkswagen. Second, the UAW did not deploy its resources effectively, all but disregarding the widely held “best practices” and often displaying a more fundamental ineptitude. Finally, while successful unions adapt to changing conditions, the UAW suffered from path dependency, refusing to make necessary corrections when its pre-ordained strategy sent it veering off-course. These findings suggest, contra the dominant narrative, that the UAW bears some responsibility for its own organizing failures, with profound implications for the future of unions in the American South and beyond.

Do objectives and key results solve organizational performance measurement issues?

PurposeThis study aims to determine whether and how objectives and key results (OKRs) can be used to solve performance measurement issues encountered by organizations.Design/methodology/approachA total of 204 staff members from 26 Thai organizations that adopted OKRs were interviewed. Five senior executives and five operational staff members with experience using OKRs were selected from each organization. Content analysis was also performed.FindingsOKRs facilitate the acceptance of performance indicators and help solve issues of alignment between indicators and organizational strategies as well as improper target setting.Research limitations/implicationsThe results have limited generalizability because of the qualitative approach undertaken in the study. Further research can test whether the results hold true if OKRs are used for longer than six months.Practical implicationsThe results of this study can be used to help managers and employees set challenging targets, utilize their competencies and find a sense of relatedness, which can lead to organizational success.Originality/valueThis study is one of the first to thoroughly investigate the use of OKRs by adopting the self-determination theory (SDT) as the main theoretical framework.

Strategic Management Process and Performance of Construction and Engineering Company in Rwanda: A Case of NPD Ltd

The main purpose of this research is to investigate the effect of strategic management process on organizational performance of NDP Ltd construction and engineering company in Rwanda. The research used descriptive research design with a mixed approach of qualitative and quantitative data. The results determined the sample size of 217 respondents from 500 people using Krejcie and Morgan (1970). However, only 188 respondents participated in this research with response rate of 86.6% of 217 respondents. The results of the first objective revealed that environmental scanning plays a significant and a positive effect on organizational performance in Rwanda with overall mean of 1.621 tending to high score of to a very great extent. The results of the second objective revealed that strategy formulation plays a significant and a positive effect on organizational performance in Rwanda with overall mean of 1.324 tending to high score of to a very great extent. The results of the third objective revealed that a big number of respondents strongly agreed that strategy implementation plays a significant effect in organizational performance. Lastly, the results of the fourth objective revealed that strategy evaluation plays a positive and significant effect in performance of NPD Ltd. Hence, these are supported by correlation analysis results which revealed that there is a positive and significant relationship between environmental scanning and budgetary performance (r=0.717 and sig=0.00<0.01), and quality performance (r= 0.783 and sig=0.00<0.01). The strategy formulation and timely performance (r=0.647 and sig=0.00<0.01), and quality performance (r= 0.696 and sig=0.00<0.01). Another positive and significant relationship between strategy implementation and timely performance (r=0.650 and sig=0.00<0.01), strategy evaluation and quality performance (r= 0.707 and sig=0.00<0.01) level of significance. Hence, in conclusion since all the predictors of strategic management process have a positive and significant relationship with the measures of organizational performance, this implies that there is a positive and significant relationship between strategic management process and organizational performance of NPD Ltd in Kigali City of Rwanda. It is in this regard the research would like to recommend to managers, evaluators, and strategy formulators as well as implementers to ensure that strategies are well formulated, implemented and evaluated to ensure organizational performance. This recommendation is made because the results of the study indicated that strategic management process has a positive effect on organizational performance. Keywords: Strategic Management, Organizational Performance, Construction and Engineering Company Performance, NPD ltd, Rwanda