Performance Measurement System Research Articles

Analysis of the Information Entropy on Traffic Flows

This paper aims to reveal the uncertainty of traffic flow by introducing a new quantity based on the concept of information entropy (IE). We discover the existence and analyze the properties of IE of traffic flows. It is revealed by both real-world trajectory data and simulation data that the IE of traffic flows can be clearly measured and observed. More importantly, the relationships between IE and other key quantities, those are space mean speed and density, in traffic flow analysis can be described by linear and parabolic functions. We also discover that these relationships are not sensitive to traffic volume. With the inspiration from IE, another new quantity termed speed entropy (SE) is then proposed. Tests with aggregated traffic data from Performance Measurement System (PeMS) show that the pattern of the relationship between SE and flow-weighted average speed illustrates different traffic conditions. In general, a key achievement of the IE analysis is that it gives us a new pathway to better capture the intricate traffic flows from the dimension of uncertainty, thus it has the potential to enhance existing models for traffic data analysis.

Process performance measurement framework for circular supply chain: An updated SCOR perspective

This paper presents a theoretical and conceptual approach for measuring the supply chain’s performance in the circular economy era. Since not only economic but also environmental, social, and especially circularity performance must be measured within circular supply chains, adapted performance measurement systems are required. The proposed performance measurement system is based on a SCOR model adapted for circular supply chains (including the processes use and recover) and provides a comprehensive composition of indicators to holistically measure the supply chain’s performance from an economic, environmental, social, and circular perspective.

Examining the Factors Influencing the Loan Performance at BMT An-Najjah Pekalongan, Indonesia

Today, most companies have been evaluated on the basis of their financial performance. The return on capital employed (ROCE) assesses a company's profitability and capital efficiency. Besides that, the overall financial performance is associated with non-economic components. Correction of weaknesses in overall economic performance can be measured by a balanced scorecard, which consists of growth, economic, patron, and inner commercial enterprise processes. Thus, this study investigates the factors influencing loan performance at BMT An-Najjah Pekalongan, Indonesia. A survey questionnaire was used to collect the data by delivering directly to BMT An-Najjah Pekalongan Regency branches. A total of 65 permanent employees at the BMT AN-NAJJAH participated in this study and analysed using multiple linear regression. The result indicated that the performance measurement system, management control system, organisational learning, and employee attitude significantly and positively affect loan performance at BMT An-Najjah in Pekalongan, Indonesia. In conclusion, this study has identified that the studied variables significantly influence loan performance.

Determinant Faktor Keberhasilan Penerapan Sistem Pengukuran Kinerja Sektor Publik

This study aims to examine the factors that influence the implementation of the Performance Measurement System and its effect on the Performance of Regional Apparatus Organizations in Cilegon City. The sample in this study were officials involved in the strategic planning process at the Regional Work Equipment Organization in Cilegon City. The sampling technique used was purposive sampling and data collection was done by distributing questionnaires directly to respondents. Analysis of the research data using the Partial Least Square method.The results of this study reveal that Information, Organizational Goals and Targets and Organizational Commitment have a positive and significant effect on the implementation of the performance measurement system. In addition, this study also succeeded in finding that the Performance Measurement System had a positive and significant effect on Organizational Performance.

Traffic flow forecasting using natural selection based hybrid Bald Eagle Search-Grey Wolf optimization algorithm.

In a fast-moving world, transportation consumes most of the time and resources. Traffic prediction has become a thrust application for machine learning algorithms to overcome the hurdles faced by congestion. Its accuracy determines the selection and existence of machine learning algorithms. The accuracy of such an algorithm is improved better by the proper tuning of the parameters. Support Vector Regression (SVR) is a well-known prediction mechanism. This paper exploits the Hybrid Grey Wolf Optimization–Bald Eagle Search (GWO-BES) algorithm for tuning SVR parameters, wherein the GWO selection methods are of natural selection. SVR-GWO-BES with natural selection has error performance increases by 48% in Mean Absolute Percentage Error and Root Mean Square Error, with the help of Caltrans Performance Measurement System (PeMS) open-source data and Chennai city traffic data for traffic forecasting. It is also shown that the increasing population of search agents increases the performance.

Development of a performance measurement system for general practitioners’ office in China’s primary healthcare

BackgroundGeneral practitioners are the main providers of primary care services. To better strengthen the important role of general practitioners in primary healthcare services, China is promoting the general practitioners’ office system. There is a lack of well-accepted methods to measure the performance of general practitioner offices in China. We thus aim to develop a systematic and operable performance measurement system for evaluating the general practitioner’s office.MethodsWe establish an index pool of the performance measurement system of general practitioners’ offices by a cross-sectional study and the literature research method and adopt the focus group method to establish the preliminary system. The Delphi method is then used to conduct three rounds of consultation to modify indices, which aims to form the final indicator system. We determine the weight of each index by the analytic hierarchy process method, which together with the final indicator system constitutes the final performance measurement system. Finally, we select three offices from three different cities in Sichuan Province, China, as case offices to conduct the case study, aiming to assess its credibility.ResultsOur results show that the first office scored 958.5 points, the second scored 768.1 points, and the third scored 947.7 points, which corresponds to the reality of these three offices, meaning that the performance measurement system is effective and manoeuvrable.ConclusionsOur study provides support for standardizing the functions of China’s general practitioner’s office, improving the health service quality of generalists, and providing a theoretical basis for the standardization of the general practitioner’s office.

A Proposed Performance-Measurement System for Enabling Supply-Chain Strategies

Existing performance-measurement systems in the supply-chain literature have been designed for specific supply chains. Without a business-appropriate performance-measurement system, practitioners devise strategies that are neither scientific nor supported by data. The objective of this paper was to propose a performance-measurement system to support the enabling of supply-chain strategies. The proposed performance-measurement system (PMS), combining the Plan–Do–Check–Act cycle (PDCA) with the evidence-based management (EBM) concept, served as the basis for developing a procedural framework. The PMS was validated using the case logistics service providers (LSPs). The PDCA methodology was used to develop a structural framework for fourth-party logistics (4PL). In the Plan step, the research team identified the business problems of fourth-party logistics (4PL). In the Do step, the LSP literature was reviewed, to identify five performance dimensions (‘Service Quality’; ‘Social and Environmental’; ‘Inter-organizational Relationship’; ‘Financial’; and ‘Efficiency and Effectiveness’), and key performance indicators (KPIs). The 4PL management team participated in the finalization of the five performance dimensions and the 53 KPIs, which were used to propose a preliminary version of the structural framework for the 4PL. In the Check step, the data collected from 478 subcontractors of the 4PL were analyzed, using confirmatory factor analysis and structural equation modeling, and were used to validate the proposed structural framework for the 4PL. The validated structural framework was further presented at an academic conference, and to the 4PL for feedback, and was used to formulate supply-chain strategies through brainstorming. The findings include a validated structural framework containing five performance dimensions and 32 KPIs. The research revealed that input performance (‘Service Quality’, ‘Social and Environmental’, and ‘Inter-organizational Relationship’) positively affected output performance (‘Financial’ and ‘Efficiency and Effectiveness’). Supply-chain strategies were further suggested to the 4PL. The validating case in this study demonstrated that the employed procedural framework (PDCA and EBM) was applicable, and could be used to derive a structural framework and supply-chain strategies for the 4PL. This study contributes to the literature, by proposing a PMS for supply-chain strategy development. The paper’s illustrative case provides a practical application of how to develop a performance-measurement system.

Strategic stances and organizational performance: Are strategic performance measurement systems the missing link?

PurposeAlthough prior researchers have consistently established a significant relationship between different strategic stances and organizational performances across different research contexts, the mechanisms underlying this link remain unclear. This study attempts to fill this gap in the literature by testing the mediating effect of the use of strategic performance measurement systems (SPMS) on the relationship between strategic stances (prospector, defender, and reactor) and organizational performance in the public sector.Design/methodology/approachThis research is based on data collected by surveying 224 managers at public organizations in the Turkish Republic of Northern Cyprus (TRNC) and conducts an analysis using structural equation modeling (SEM).FindingsThe study findings show that prospector strategy is positively associated with organizational performance through the use of SPMS. The reactor strategy was negatively related to organizational performance through the use of SPMS. The defender strategy shows mixed results in terms of its effect on the use of SPMS and organizational performance.Research limitations/implicationsThe results obtained here provide strong evidence of the vitality of the use of SPMS for efficiency and effectiveness as a mediator between prospector strategy and organizational performance. To extend this position, future researchers could incorporate other contingent variables, such as structural autonomy, or use experimental design methods during economic austerity in the aftermath of the coronavirus disease 2019 (COVID-19) global pandemic.Originality/valueThis study represents an attempt to address public administration literature' general calls for grounded research that spells out to practitioners how different strategic stances are likely to affect the use of SPMS to achieve organizational performance levels in the public sector. The present study extends the public administration literature by examining the unexplored linkage of the use of SPMS through which strategic stances influence organizational performance in major public sector organizations.

The importance of criteria used in performance measurement systems in Czech construction companies

The importance of criteria used in performance measurement systems in Czech construction companies

Supply chain performance measurement systems: Benefits and drawbacks

Supply chain performance measurement systems: Benefits and drawbacks

Identification and Prioritization of Key Performance Indicators for the Construction Small and Medium Enterprises

The central purpose of this study is to propose a set of key performance indicators (KPIs) to measure the performance of construction small and medium enterprises (SMEs) that have been ignored in the performance management literature so far. Secondly, this study aims to determine the most crucial KPIs by using the fuzzy VIKOR method to improve cost-effectiveness in the performance measurement of construction SMEs. At the first stage of this study, KPIs proposed by the existing studies were identified via a literature survey. Then, the KPIs extracted from the literature survey were verified, and eight new KPIs were proposed as a result of focus group discussions with 12 participants who are owners/managers of construction SMEs. Additionally, the Balanced Scorecard (BSC) was modified in line with the needs of construction SMEs, and each KPI was grouped into a BSC perspective. A questionnaire survey followed this grouping to gather data associated with the KPIs. Based on these data, KPIs were prioritized by using the fuzzy VIKOR. It is found out that external indicators such as “effectiveness of monitoring market conditions” are determined as the most important KPIs, in contrast to the findings in the studies about large-scale companies. Furthermore, “Attracting new customers”; “Reliability of financial performance” and, “Competency of managers” are identified as important indicators. Four KPIs proposed by experts during the focus group discussion are placed among the most important KPIs, which highlights the need for a specific performance measurement system (PMS) for construction SMEs.

Comparing Team Performance Constructs Involved in Ground Combat and a Ground Combat Simulator

This paper aims at exploring whether a single team performance management system could effectively monitor team communication within active firefights in both real and simulated environments. While individual skills training in military settings has undergone extensive research, work focused on contrasting team constructs within real and simulated combat has seen comparatively little development. One hour of firefight footage taken from US Army engagements and one hour of firefight footage taken from groups using the ground combat simulator ARMA 3 were reviewed. Analysis revealed that the team metrics recorded by team performance measurement system are similar in quality and quantity. While this was an early exploratory study, these preliminary results support the proposition that teamwork in real and simulated ground combat environments is similar enough to use common metrics between them. These results may indicate a potential for more effective cross-training of military teams in simulated environments.

A BALANCED PERFORMANCE MEASUREMENT SYSTEM FOR AUTOMOTIVE SPARE PARTS SUPPLY CHAIN

This paper aims to provide a performance measurement system for the automotive spare parts supply chain. We focus on an independent distributor belonging to an independent channel. The framework encompasses different performance aspects for a high supply chain visibility, as well as the required categories, subcategories and key performance indicators for the automotive spare parts supply chain performance measurement. The framework is the first contribution that advances the performance measurement in the automotive aftermarket and allows assessing the performance of the automotive spare parts supply chain as a whole.

Crash prediction for freeway work zones in real time: A comparison between Convolutional Neural Network and Binary Logistic Regression model

Safety of drivers in freeway work zones has been a problem. Real-time crash prediction helps prevent crashes before they happen. This paper looks at real-time crash prediction in freeway work zones by using machine learning approaches. Both the Convolutional Neural Network and the Binary Logistic Regression model are introduced. For training and testing the models, crash data and traffic data from several freeways in D7 zone, Los Angeles, California, were used. Crash data were collected from California Highway Patrol Incident System, and traffic data were obtained from the Caltrans Performance Measurement System. Data processing and matching were conducted. Both the two models were trained and tested. Results show that the Convolutional Neural Network performed slightly better over the Binary Logistic Regression model in predicting crashes with a global accuracy of 79.50%. Despite this, the main merit of the Binary Logistic Regression model is that it is able estimate the impact of affecting variables on the probability of crashes and can help identify the factors related to risks in work zones. Machine learning approaches applied in this study perform well in crash prediction. In general, machine learning techniques and reliable real-time crash prediction applications can be promising in helping drivers and transportation engineers make timely responses to potential crashes on freeways.

Increasing Value Capture by Enhancing Manufacturer Commitment—Managing the Servitization Process

The interest in servitization has grown among manufacturers worldwide. Manufacturers recognize that shifting from a product to a service focus offers them opportunities to expand their competitive positioning and address key sustainability objectives. In this article, we share several key findings from the industrial servitization research. Specifically, we provide a summary of the core motivations for servitization and outline the stages manufacturers commonly go through in their transformation towards becoming effective providers of advanced services. We outline the importance of developing a comprehensive performance measurement system to manage and align the progress of the various initiatives that form part of the transformation process. We also describe the critical role of digital technologies in the development and delivery of service value propositions. Our article concludes with a summary of our key learning's regarding manufacturer servitization.

The Mediating Role of Interpersonal Trust in the Relationship between Formality of Performance Evaluation and Managerial Performance: Empirical Evidence from Malaysia

A Performance Measurement System (PMS) for performance evaluation is used primarily for motivation and evaluating employee performance. The mixed findings on behavioural consequences of performance evaluation from previous research suggest further research to examine its effect on individual performance. This research examined the role of interpersonal trust in the design and function of a control system, specifically the formality of a performance evaluation system in emerging economies. Data was gathered using survey questionnaires that were distributed to higher-level executives and managers of Malaysian Government-Linked Companies (GLCs). The research proposed that subordinates’ interpersonal trust may influence the relationship between the formality of a performance evaluationsystem and managerial performance. Using regression analysis, the research revealed that the use of PMS for performance evaluation may influence individual behaviour. The findings confirm the researchers’ expectation that the formality of performance evaluation has a significant influence on interpersonal trust, leading to enhanced managerial performance. There is also evidence of interpersonal trust having a mediating effect between the formality of performance evaluation and managerial performance when tested using the Sobel Test. These findings provide evidence that PMS as a formal performance evaluation may enhance trust, which is significant for improving individual performance. Keywords: formality of performance evaluation, interpersonal trust, managerial performance

Corporate social responsibility and performance measurement systems in Iran: A levers of control perspective

AbstractThis study draws on Simons' levers of control model to explore how companies rely on the balanced use of diagnostic and interactive performance measurement systems (PMS) to translate corporate social responsibility (CSR) into superior performance. Data were collected based on a survey data set from 98 CFOs of public listed companies in Iran. The theoretical model was tested using partial least squares structural equation modeling (PLS‐SEM, SmartPLS 3.0), which enjoys minimum demands concerning normality assumptions and sample size. The findings show that CSR is positively associated with PMS and organizational performance. Moreover, CSR is indirectly related to organizational performance through the mediating effect of PMS. This study extends the previous literature by simultaneously incorporating resource orchestration theory in the management accounting and CSR settings. The findings provide further insights into the issue of how adopting proper management control mechanisms (e.g., balanced use of PMS) can support organizations in orchestrating the social, environmental, and economic impacts more effectively.

Holistic multi-criteria performance measurement system for the maintenance function

Due to market globalization and technological development, companies are focusing more than ever on the performance of their maintenance function, which can only be achieved through a good performance measurement system. Although numerous works have been realized on this issue, there is still a lack of a flexible system that considers the particularities of each company and deals with all the performance measurement issues. For this reason, this paper introduces a maintenance performance measurement system, which allows the identification of all the relevant performance indicators using a hierarchical decomposition approach. Subsequently, the elementary performance indicators will be quantified using a measurement approach based on the fuzzy set theory, which deals with the unavailability and unreliability of data as well as time and resources limitation. Finally, an aggregation method based on the MACBETH method combined with the 2-additive Choquet integral was used in order to measure the global maintenance performance while considering the mutual interactions between the different criteria. Finally, to illustrate all these steps, the proposed system has been applied in a large Moroccan company operating in the chemical transformation sector.

The legitimacy and rationality of performance measurement systems. A case study

Purpose: The aim of the paper is to identify and explain the institutional mechanisms that shape performance measurement systems. In the empirical research of a system for evaluating the quality of scientific activities, measurement practices were explained using the constructs of contending legitimacy and counter-coupling. Methodology/approach: The research was conducted using a case study method. A very broad and diverse set of empirical material concerning the assumptions and application of selected measurement practices were analysed using the method of qualitative content analysis. Findings: The analysis of the empirical material revealed the impact of the divergent logics of an academic career in Poland. The multidimensional heterogeneity of the institutional environment was reflected in two identified layers of performance measurement practices related to logics: meritocratic and pragmatic-populistic. It has been shown that these layers were merged in the current evaluation system through blackboxing and legitimacy labelling tactics, creating a construction that is characteristic of counter-coupling. Research limitations/implications: The adopted research strategy means that the conclusions of the research should be verified by subsequent studies of the practices of measuring various types of achievement. Originality/value: The findings confirm that legitimacy in a heterogeneous and dynamic institutional environment has a specific impact on accounting practices, including performance measurement systems. The demonstrated mechanism of the influence of contending legitimacy explains why performance measurement practices may seem irrational from the perspective of normative recommendations.

Dynamic Simulation Analysis Based on the Evaluation of Transformation Performance of Puyang City

This paper takes Puyang City, Henan Province as an example to study its current transformation effect. It sets up five dimensions of economic benefit, resource benefit, people's livelihood development, ecological efficiency and scientific and technological construction level, and analyzes the impact of Puyang City through the entropy weight-TOPSIS model. Key indicators of transformation, and use the super-efficiency DEA model to measure the efficiency value of five dimensions year by year. After the evaluation of the transformation performance measurement system, it is found that the current urban transformation of Puyang is progressing well; from the research results, the transformation effect of Puyang city mainly depends on the high-quality development of resource efficiency and scientific construction, which will continue to promote more efficient and sustainable development in the future. Sustained development provides ideas, and also serves as a reference for other resource-based cities like Puyang to implement transformation.