Performance Measurement And Management Research Articles

Characterising the performance measurement and management system in the primary health care systems of Malawi.

Performance Measurement and Management (PMM) systems are levers that support key management functions in health care systems. Just like many low- and middle-income countries (LMICs), Malawi strives to improve performance via evidence-based decision making and a suitable performance culture. This study sought to describe PMM practices at all levels of primary health care (PHC) in Malawi. This study targeted three levels of PHC, namely the district health centres (DHCs), the zones, and the ministry headquarters. This was a qualitative exploratory research study where decision-makers at each level of PHC were engaged using key-informant interviews (KII) and focus group discussions (FGDs). We found that there is a weak link among levels of PHC in supporting PMM practices leading to poor dissemination of priorities and goals. There is also failure to appropriately institute good PMM practices, and the use of performance information was found to be limited among decision-makers. Though PMM is acknowledged to be key in supporting health service delivery systems, Malawi's PHC system has not fully embarked on making this a priority. Some challenges include unsupportive culture and inadequate capacity for PMM.Contribution:This study contributes to the understanding of the PMM processes in Malawi and further highlights the salient challenges in the use of information for performance management. While the presence of policies on PMM is acknowledged, implementation studies that deal with challenges are urgent and imperative.

Innovation for zero-deforestation sustainable supply chain management services: a performance measurement and management approach

Purpose Food sector supply chains have significant negative environmental impacts, including the expansion of global food commodity production, which is driving tropical deforestation – a major climate and biodiversity problem. Innovative supply chain monitoring services promise to address such impacts. Legislation also designates “forest-risk commodities”, demanding supply chain due diligence of their provenance. But such data alone does not produce change. This study investigates how theory in performance measurement and management (PMM) can combine with sustainable supply chain management (SSCM) and decision theory (DT) via case study research that addresses paradoxes of simplicity and complexity. Design/methodology/approach Given existing relevant theory but the nascent nature of the topic, theory elaboration via abductive case study research is conducted. Data collection involves interviews and participatory design workshops with supply chain actors across two supply chains (coffee and soy), exploring the potential opportunities and challenges of new deforestation monitoring services for food supply chains. Findings Two archetypal food supply chain structures (short food supply chains with high transparency and direct links between farmer and consumer and complex food supply chains with highly disaggregated and opaque links) provide a dichotomy akin to the known/unknown, structured/unstructured contexts in DT, enabling novel theoretical elaboration of the performance alignment matrix model in PMM, resulting in implications for practice and a future research agenda. Originality/value The novel conceptual synthesis of PMM, SSCM and DT highlights the importance of context specificity in developing PMM tools for SSCM and the challenge of achieving the general solutions needed to ensure that PMM, paradoxically, is both flexible to client needs and capable of replicable application to deliver economies of scale. To advance understanding of these paradoxes to develop network-level PMM systems to address deforestation impacts of food supply chains and respond to legislation, a future research agenda is presented.

Socioenvironmental assessment and application process for IOT: A comprehensive approach

The study outlines the development and the implementation phases of an assessment tool designed to evaluate the socioenvironmental effectiveness of the Internet of Things (IoT) in manufacturing companies and their supply chains, considering sustainability (Triple Bottom Line – TBL) and circularity (Circular Economy) principles. The assessment tool covers expectations, engagement, barriers, challenges, IoT characteristics, Performance Measurement and Management (PMM) of the company (meta-evaluation), and IoT practices. The tool is grounded in fundamental premises, including an assessment-driven management approach, integration of organizational theories, integration of sustainability into organizational strategy, incorporation of sustainability into PMM, macro-congruence, micro-congruence, alignment between organizational strategy and PMM, and alignment between technology and PMM. The tool can be used as a comprehensive survey instrument for extensive exploration within the manufacturing sector. However, for in-depth exploration, it is recommended to employ the case study methodology, following the proposed ‘four-stage assessment process'. The research methodology adheres to the PRISMA statement and Jabareen's framework. To the best of our knowledge, a dedicated assessment tool for IoT with a specific focus on sustainable manufacturing is currently unavailable. It's important to mention that the assessment tool was developed primarily through a comprehensive literature review without empirical validation. Consequently, there is a pressing need for refinement and validation, providing an avenue for future investigations to seek expert contributions and insights using the Delphi process. Moreover, subsequent studies may also include rigorous statistical tests, such as assessments of validity and reliability, to enhance the tool's robustness and accuracy.

How Can SMEs Succeed in The Vuca World: The Role of Performance Measurement and Management in The Challenging Business Climate

The world is changing. The changes are happening at an increasingly faster pace than ever. Organizations are facing significant impacts and must revisit their strategies outlined in the Performance Measurement and Management (PMM) System more often to ensure business sustainability. The primary objective of this conceptual research is to study how Small-Medium Enterprise (SME) industry operating in Penang is deploying PMM in the current high volatility, uncertainty, complexity, and ambiguity (VUCA) environment. This research applies a mixed mode research approach with a focus on in-depth case studies and group discussions with the managerial team in the organization as well as the employees in the selected company. A comprehensive literature review will be conducted as part of the analytical study to analyze the academic literature on the relevant topic that was published in the last 5 years. The goal of the analytical study is to gather statistical data and information on the approaches and models that were adopted in the industry. An empirical study will be carried out where the goal is to gain true insight into underlying reasons and motivations for the decision-making process associated with the PMM system within the organization in the SME industry. The overall objective of this research is to constitute several immense contributions, which include conceptual, empirical, and methodological contributions. This research is targeted to provide a reference to SME practitioners and managerial teams with strategic direction when developing PMM in challenging situations. The findings of this research can also be served contextually as a framework that provides another view of how the SME industry perceives PMM in the VUCA environment.

Expanding public sector performance measurement and management research with actor-centred approaches in new institutionalism

PurposeIn his 2022 paper, in the Journal of Public Budgeting, Accounting and Financial Management, Sven Modell reviews and reflects on the public sector's institutional research dealing with performance measurement and management (PMM) over the past decade. Modell suggests potential extensions of this body of research. This paper seeks to contribute to the path that Modell initiated. It offers directions in which institutional theory might contribute further to research on agentic aspects of PMM in the public sector.Design/methodology/approachThe paper is a rejoinder emphasizing how institutional theory could further nurture reflection on PMM research in the public sector. The authors draw upon Modell's article and ongoing research in the institutional theory field.FindingsModell insists that institutional research on PMM in the public sector should explore the constitutive effects of PMM practices while conceiving such practices as institutionally embedded phenomena. The authors seek to extend this approach by considering the role of agency in institutional processes. To do this, the authors build on recent institutional research on agency, discussing how those new conceptualizations could nurture and develop the understanding of PMM practices in the public sector. The authors further discuss implications for coupling and decoupling as sites of agency. Such literature is relevant for examining emerging themes in public-sector accounting because it allows the authors to better conceptualize the underlying mechanisms of agency in the context of public service provision characterized by institutional complexity.Originality/valueThis paper details several implications of the current developments in new institutional theory in examining agency in the relationship between institutions and PMM, pointing at the case of decoupling. In so doing, the authors seek to stimulate a constructive exchange between public-sector accounting and a broader institutionalist body of research and suggest ways of extending the PMM research agenda.

Understanding performance measurement and management as a social system: towards a theoretical framework

PurposeThe conceptual foundations of performance measurement and management (PMM) are predominantly rooted in control systems research. However, the appropriateness of this paradigm for volatile and uncertain environments has been questioned. This paper explores whether grounding PMM in social systems theory and viewing uncertainty from an organisational behaviour perspective provides new insights into the PMM theory–practice gap.Design/methodology/approachA framework, rooted in social systems theory and practice theory, is created that describes how organisational behaviour shapes the social processes associated with organisational change. Semi-structured interviews of 35 people from 16 organisations coupled with thematic analysis are employed to identify the organisational behavioural characteristics that influence how PMM is executed in practice. PMM is then reconceptualised from the perspective of this social systems-based framework.FindingsThis investigation proposes (1) performance management is concerned with elements of PMM-related practices open to flexible interpretation by human agents that change the effectiveness of organisational practices, whereas performance measurement is concerned with elements of PMM-related practices not open to interpretation but deliberately reproduced to provide a consistent comparison with the past; (2) the purpose of PMM should be to achieve organisational effectiveness (OE) and (3) the mechanisms underlying performance management and performance measurement are social intervention and embeddedness, respectively.Originality/valueThis first social systems perspective of PMM advances the development of PMM's theoretical foundations by providing a behaviour-based interpretation of, and framework for, PMM-mediated organisational change. This competing approach has strong links to practice.

Facilitating performance measurement and management through digital business strategy

PurposeThis study aims to focus on the connection between digital business strategy and performance measurement and management (PMM).Design/methodology/approachThe implications of digital business strategy and its dimensions with regard to PMM were investigated through a survey. The survey questionnaire provided 202 valid cases with a focus on senior management of small- and medium-sized enterprises. Strategic dimensions were identified from the literature on management in the context of digitalization to build a theoretical framework that highlights the mechanisms that companies should focus on when managing and implementing digital technologies successfully.FindingsThe aspects that comprise digital business strategy are grouped into five major dimensions: technological understanding, goals, resources, management and responsibilities. The study reveals a direct and positive relationship between goals and management related to digital business strategy and PMM.Research limitations/implicationsThe study contributes to the existing PMM literature in the context of digitalization.Practical implicationsThe results indicate that if a company has excellent goals and management with regard to its digital business strategy, it uses PMM in a more successful and effective way.Originality/valueTo the best of the authors’ knowledge, this study is among the first to examine PMM in terms of managing digital business strategy by trying to determine the extent to which the elements of digital business strategy can be integrated effectively into PMM.

PMM and beyond – reflections on the paper “new developments in institutional research on performance measurement and management in the public sector”

PurposeThis paper reflects on Sven Modell's (2022) study discussing uses of institutional theorising for studying performance measurement and management (PMM) in the public sector context. The paper provides arguments for critically analysing the assumptions and characteristics of PMM research.Design/methodology/approachFirst, the paper addresses PMM as a field of research linking scientific disciplines, schools of thought and academic scholars. Second, the paper discusses the role of institutional theorising in PMM research. Third, the paper analyses and reviews Modell's ideas on the future prospects of PMM research. The paper also elaborates on the ideas presented in Modell's paper.FindingsModell's paper suggests sociology of valuation and the discussion on hybrid governance as future developments for PMM research. This paper provides a conceptual perspective to link these areas together. Furthermore, the paper contributes to understanding PMM as a multi-disciplinary, inter-disciplinary and trans-disciplinary research area.Originality/valueThis paper contributes to the conceptualizations of values, valuation and hybridity in PMM research from the viewpoint of institutional theory.

Determinants of performance drivers in online food delivery platforms: a dynamic performance management perspective

PurposeThis study aims to demonstrate that the Dynamic Performance Management (DPM) framework, integrating performance management with system dynamics modelling, enables decision-makers to identify sustainable strategies in online food delivery platforms, thereby avoiding company failure.Design/methodology/approachThis study undertakes a multistep methodological approach. After the literature review, a retrospective case study approach was used. To build the DPM framework and the system dynamics simulation model, primary and secondary data were collected and analysed.FindingsThis study by adopting the DPM perspective highlights the critical role performance drivers play to assess the viability of alternative growth strategies in food delivery digital platforms. As such, the findings complement extant studies which highlighted the need for adopting a dynamic perspective in Performance Measurement and Management (PMM), particularly in complex and turbulent environments. Findings also highlight that in food delivery platforms, network effects may result insufficient to reach a critical volume of users and factors such as key drivers impacting platform attractiveness must be considered to design effective PMM.Research limitations/implicationsFuture studies may apply the DPM framework here suggested to multiple digital platforms, to validate this study's findings.Practical implicationsThis paper offers a guidance to practitioners and scholars to design effective PMM in food delivery digital platforms.Originality/valueThis study offers an innovative perspective to analyse the interdependences among main mechanisms underpinning the performance of food delivery platforms. As such, it contributes to enrich prior PMM literature and addresses the call for more empirical and theoretical PMM contributions in fast-changing and turbulent environments.

What Role Do Design Factors Play in Applying Performance Measurement Systems in Nonprofit Organizations?

Recent research on management control and performance measurement and management (PMM) points towards a concern to provide suitable systems in nonprofit organizations (NPOs). However, few attempts have been made to understand these organizations and how their peculiarities influence this process. This research empirically discusses NPOs’ features through the lens of performance measurement and how these features influence performance measurement system’ design, the first step for an iterative PMM. A case study with two NPOs in the United States of America and Brazil provides valuable insights into the design factors. Results indicate that various factors related to purpose, stakeholders, and management influence the design of the performance-measurement system. Their unique organizational characteristics impact the usability and viability of the application of performance-measurement systems.

Performance measurement and management practices of on-site activities in industrialized housebuilding

Measuring the performance of construction site processes is an essential for the continuous improvement in building production efficiency. However, little is known about how this is done by industrialized housebuilding (IHB) companies. The purpose of this paper was to extend the body of knowledge of IHB to on-site performance measurement and management (PMM), thereby identifying reference practices and potential areas for improvement in order to prepare the field for the further development of significant performance management systems (PMS). A multiple case study by means of semi-structured interviews with company managers of eight companies within the IHB sector from three Central European countries has been conducted. The results show that the companies, to a greater or lesser extent, collect data on: customer satisfaction, environmental protection and CO2 emissions, operating efficiency, productivity, quality and work safety. The data can be used to perform performance measurements that provide feedback on these criteria. Reference practices of performance measurements and their benefit are identified. Digital tools are increasingly being used for data collection on construction sites, although paper-based tools such as site and working time reports are still in use. The findings establish a basis for the further development of PMS within the IHB sector.

“What is going on in the ‘big tent’?” Current developments in (new) institutional theory and performance measurement and management research

PurposeIn a recent paper that was published in Journal of Public Budgeting, Accounting and Financial Management, Modell (2021) takes stock of the institutional research on performance measurement and management (PMM) in the public sector and proposes a number of avenues for further inquiry in the area. The aim of this comment is to contextualise some of his observations against the backdrop of current developments in (new) institutional theory.Design/methodology/approachThe recent scholarly debate about whether institutional theory needs any redirecting is the point of departure for this comment. Three of the themes from this debate are revisited and implications for research on PMM in the public sector are outlined.FindingsFirst, against the backdrop of an emerging plethora of organisational forms in the public sector, this comment focusses on the locus or “where” PMM can be analysed and how organisational forms affect PMM. The second point addresses the “what” of analysis, where it is argued that PMM instruments are embedded in an ecology of concepts and a relational perspective on diffusion is introduced. A third observation is related to methodological issues and discusses the “how”: how best to study manifestations of PMM systems.Originality/valueThe comment illustrates a number of implications of the current developments in (new) institutional theory for research on PMM. In so doing, the wider ambition is to stimulate an exchange between public-sector accounting and organisation studies.

Digital technologies and the balance between control and empowerment in performance management

PurposeThis paper aims to explore how manufacturing organisations’ performance measurement and management (PMM) systems are evolving when digital technologies (DTs) are deployed. It focusses on the operational level, asking whether DTs are used to promote command-and-control or empowerment-oriented performance management.Design/methodology/approachThe findings are based on a single case study from a department of a Norwegian electrochemical plant. The department recently implemented a performance measurement system (PMS) supported by DTs to capture, analyse and visualise close-to-real-time performance data on individuals and teams. The authors analysed both the management practices associated with the new PMS and how those related to other PMM-subsystems in the organisation.FindingsWhen seen in isolation, the new PMS was used to promote empowerment and operators reported a significant increase in perceived psychological empowerment. However, other parts of the organisation’s PMM system remained control-oriented, so that the overall balance between control and empowerment remained stable.Practical implicationsNew PMSs might be added to support local needs and create arenas for empowerment without disturbing the overall balance in the PMM system.Originality/valueBuilding on the insights from the case study, the authors propose that DTs may be deployed to promote both command-and-control and empowerment within different PMM subsystems in the same organisation. Hence, the deployment of DTs is likely to have contradictory effects, which are best understood through a “system of systems” perspective on PMMs.

Measuring coherence of performance measurement indicators in complex and changing environments

PurposeThis paper discusses and integrates the concept of complexity in the performance measurement and management (PMM) theory by providing a comprehensive framework to design and evaluate the overall coherence alignment of an indicators hierarchy in unstable and changing environment.Design/methodology/approachAn original, comprehensive and dynamic framework has been proposed and then applied on a sample case of a large-scale retail trade (LSRT) company, starting from relevant frameworks and criteria in the scientific literature.FindingsThis research shows that organizational changes may significantly impact the coherence alignment of an organization's indicators hierarchy. In addition, it finds that even though the alignment at the operational level is obtained, its effectiveness should be evaluated in relation to the organization's strategic orientation. Indeed, without assessing the strategic alignment of an indicators system, an aligned hierarchy at the operational level could lead to ineffective results.Research limitations/implicationsThis paper focuses on the topic of measuring the coherence inside an indicators hierarchy, which seems not to be addressed in the literature. Thus, it opens a new research stream, integrating the studies on performance indicators with an essential element that often causes flawed performance measures in organizations.Practical implicationsOrganizations could adopt this framework to design effective PMM systems and maintain them in light of the organizational changes.Originality/valueThis study introduces different metrics to evaluate the coherence and alignment of an indicators system, being one of the few research studies to address this topic in the context of complex and changing environments.

New developments in institutional research on performance measurement and management in the public sector

PurposeThis paper reviews and reflects on institutional research on performance measurement and management (PMM) in the public sector emerging over the past decade and discusses potential extensions of this body of research.Design/methodology/approachThe paper takes the form of a reflective review with an emphasis on how institutional theory has been used in PMM research in the public sector.FindingsAlthough institutional research on PMM in the public sector has continued to grow over the past decade, much of this research still pays relatively one-sided attention to the influence of pre-existing institutions on PMM practices and has left the constitutive effects of such practices under-researched. In order to address this shortcoming and nurture research that pays more equal attention to the institutional effects on and of PMM practices, a research agenda based on dialogue with the sociology of valuation and valuation studies is outlined. Such research is arguably well-suited for examining emerging themes in the public sector accounting and management literatures centred on the publicness of public service provision and notions of organisational hybridity.Research limitations/implicationsThe paper offers a starting point for research that can provide a more holistic and dynamic perspective on how PMM practices are implicated in the shaping of institutional fields over time.Originality/valueThe paper continues to advance an established research agenda in the public sector accounting and management literatures whilst suggesting ways of extending this research agenda.

Human resource management (HRM) in the performance measurement and management (PMM) domain: a bibliometric review

PurposeThe literature highlights the key role of human resource management in developing effective organizational performance measurement and management. To understand the state of the art of this role, the paper reviews the literature on human resource management in the performance measurement and management domain.Design/methodology/approachThe paper conducts a bibliometric literature review on 1,252 articles to identify the prevailing research trends and the conceptual structure of human resource management in the performance measurement and management domain.FindingsThe study highlights a growing number of publications and four themes related to human resource management in performance measurement and management. It also underlines the shift from static to the dynamic performance measurement and management systems within organization which is expected to be more suited to current and future contexts.Practical implicationsThe paper highlights the need to manage the identified themes as strategic organizational assets and further develop the strategic dimension of human resource management practices leveraging on project management and information systems.Originality/valueThe paper goes beyond the traditional focus on performance appraisal of human resource management studies and assumes the challenge of connecting two research fields: human resource management and performance measurement and management.

A comprehensive KPI network for the performance measurement and management in global production networks

The trend of globalization has led to a structural change in the sales and procurement markets of manufacturing companies in recent decades. In order not to be left behind by this change, companies have internationalized their production structures. Global production networks with diverse supply and service interdependencies are the result. However, the management of global production networks is highly complex. Key performance indicator (KPI) networks already exist at the corporate level and site level to support the management of complex systems. However, such KPI networks are not yet available to support the management of entire production networks. In this article, a KPI network for global production networks is presented, which links the key figures of the site level and the corporate level. By integrating both levels into a comprehensive KPI network, cause and effect relationship between the production-related KPIs and the strategic KPIs of a corporate strategy become transparent. To this end, this KPI network is integrated into a Performance Measurement and Management (PMM) methodology. This methodology consists of three phases: performance planning, performance improvement, and performance review. For testing the practical suitability, the PMM methodology is applied to the production network of an automotive supplier using a simulation model to estimate the effects of proposed improvement actions of the methodology.

Performance measurement and management in the public sector: state of the art and research opportunities

PurposeSince the 1980s, performance measurement and management (PMM) has been described as an essential element of new public management (NPM) reforms. The purpose of this paper is to provide an overview of the current state of the art and future research opportunities for PMM in public sector management.Design/methodology/approachThe paper carried out a bibliometric literature review using two main techniques named (1) performance analysis and (2) science mapping techniques. It investigated the academic research area describing the main publications' trend, the conceptual structure and its evolution from 1996 to 2019.FindingsThe results highlighted the growing relevance of PMM research in public organisations and confirmed a great interest of the business, management and accounting literature on PMM in public sector management. Furthermore, the results also described a conceptual structure of the public PMM literature analysed and its evolution being too generic to answer public organisations' needs. The results identified five main research gaps and research opportunities.Originality/valueAlthough the adoption of rigorous bibliometric techniques was recognised as being useful for assessing the academic research study, the paper describes the business, management and accounting literature contributing to new theoretical and practical future opportunities.

Diagnostic and Interactive Use of PMM by Japanese Local Governments: Does the Context Affect the Fitness of Use?

Efforts to “reinvent” government have emphasized the importance of performance measurement and management (PMM) systems to improve government operations. Although it seems clear why organizations adopt PMM systems, less is known about their actual consequences. This study, using a survey to Japanese local government departments, explores whether different uses of PMM and their interaction with the context (predictability and bureaucratic culture) can affect the impact of PMM on organizational performance. Results show that using PMM, not only having it, is not enough to generate performance improvements. It is shown that the fitness of use to the local government context is the way to foster performance. A strong bureaucratic culture shows a positive relation with performance in the Japanese setting.

Institutional work and implementation of a performance measurement and management system in a developing country

PurposeThis paper aims to investigate the actions and activities undertaken by public managers of a local government to institutionalise an externally mandated performance measurement and management (PMM) system in a developing country.Design/methodology/approachA qualitative case study of one of the best-ranked early adopters of PMM in a local government in Indonesia was undertaken, with interviews with public officers at various organisational levels, along with an extensive documentary review. An institutional work perspective was used to explain the types of work undertaken to institutionalise PMM at the organisation.FindingsThe PMM change was shown to be centralised and directed from the top and facilitated by other public officers. The Mayors’ instrumental and political view of PMM as a tool for efficiency and societal legitimacy enabled the adoption of PMM. The political and cultural work of the Mayor and the key officers involved constructing new rules pertaining to PMM, specifically in dealing with resource allocation and its associated sanctions and rewards, which encouraged more substantive implementation. The substantive implementation of PMM had a significant influence on the norms and values of the local government.Research limitations/implicationsThe case organisation is the local government of a relatively medium-sized city. Therefore, it may be easier to achieve tighter control and coordination as compared to the local government of other larger cities.Originality/valueThe paper highlights the interrelated nature of institutional work in the creation and disruption of institutions. In addition, the three main types of institutional work, i.e. political, cultural and technical work, are not mutually exclusive. The paper also indicates the processes involved in the implementation of PMM, which unfolds from the establishment of a policy, its impact, and the role of the actors in the process.