Missing performance management and measurement aspects in performance-based contracting

2018 ◽  
Vol 38 (11) ◽  
pp. 2062-2095 ◽  
Author(s):  
Andreas H. Glas ◽  
Florian U. Henne ◽  
Michael Essig
Keyword(s):  
Systematic Review ◽  
Performance Measurement ◽  
Performance Management ◽  
Pay For Performance ◽  
Future Research ◽  
Monetary Incentives ◽  
Process Step ◽  
Content Type ◽  
Performance Specification ◽  
And Performance

Purpose Performance-based contracting (PBC) is a business model for the adaptive and innovative delivery of product-service systems. In PBC, the provider is paid according to the service performance with the aim of providing monetary incentives to safeguard possible outcomes as much as possible for the PBC customer. Performance measurement and its management are crucial for PBC success and, in particular, for the pay-for-performance link. However, the literature on PBC performance management is rather sparse, and there has been no systematic review on the topic. Thus, the purpose of this paper is to fill that gap and to present a comprehensive and systematic review of performance measurement and management in the PBC context. Design/methodology/approach The paper builds on a literature review based on a sample of 102 subject-relevant articles from academic journals. The content analysis follows a two-step procedure. First, the articles are coded following a process-based research framework. Second, the content of each process step is assessed in a qualitative text analysis. Findings The results show a surprising scarcity of papers that explicitly address performance management topics in the context of PBC. Only the topics of performance specification and performance indicators are broadly addressed, whereas in all of the other areas, e.g., strategic alignment, data capture and reporting, only limited specific findings could be found. Research limitations/implications The paper concludes that future research on performance management in PBC should expand its theoretical framework and empirical efforts in four specific proposed directions. Originality/value The paper provides an up-to-date review that is focused on performance management and measurement in the emerging context of PBC.

scholarly journals Interplay between performance measurement and management, employee engagement and performance

2017 ◽  
Vol 37 (9) ◽  
pp. 1207-1228 ◽  
Author(s):  
Marisa Smith ◽  
Umit Sezer Bititci
Keyword(s):  
Performance Measurement ◽  
Performance Management ◽  
Employee Engagement ◽  
Longitudinal Research ◽  
Two Dimensions ◽  
Performance Measurement System ◽  
Future Research ◽  
Content Type ◽  
Performance Measurement Systems ◽  
And Performance

Purpose The purpose of this paper is to recognise the importance of the interplay between performance measurement, performance management, employee engagement and performance. However, the nature of this phenomenon is not well understood. Analysis of the literature reveals two dimensions of organisational control, technical and social, that are used to develop a conceptual framework for studying this phenomenon. Design/methodology/approach The authors conducted explorative action research involving pilot and control groups from two departments of a UK bank. Findings The authors show that an intervention on the social controls has led to changes in technical controls of the performance measurement system resulting in significant improvement in employee engagement and performance. Research limitations/implications The research was undertaken with two cases from a single organisation. Further fine-grained, longitudinal research is required to fully understand this phenomenon in a wider range of contexts. Practical implications The paper contributes to the theory on performance measures and gives guidance on how organisations might design their performance measurement systems to enhance employee engagement and performance. Originality/value The study makes three contributions. First, the authors introduce a new theoretical framework based the organisational control theory providing a basis for future research. Second, through nine propositions, the authors establish a causal relationship between performance measurement, performance management, employee engagement and performance. Third, the authors identify a gap in knowledge concerning the design of organisational controls in the context of the process that is being managed.

Enabling continuous learning and quality improvement in health care

2018 ◽  
Vol 31 (6) ◽  
pp. 587-599 ◽  
Author(s):  
Robert William Smith ◽  
Elaina Orlando ◽  
Whitney Berta
Keyword(s):  
Quality Improvement ◽  
Organizational Learning ◽  
Performance Management ◽  
Future Research ◽  
Performance Management System ◽  
Continuous Learning ◽  
Learning Models ◽  
Content Type ◽  
Organizational Learning Theory ◽  
And Performance

Purpose The purpose of this paper is to examine how the design and implementation of learning models for performance management can foster continuous learning and quality improvement within a publicly funded, multi-site community hospital organization. Design/methodology/approach Niagara Health’s patient flow performance management system, a learning model, was studied over a 20-month period. A descriptive case study design guided the analysis of qualitative observational data and its synthesis with organizational learning theory literature. Emerging from this analysis were four propositions to inform the implementation of learning models and future research. Findings This performance management system was observed to enable: ongoing performance-related knowledge exchange by creating opportunities for routine social interaction; collective recognition and understanding of practice and performance patterns; relationship building, learning for improvement, and “higher order” learning through dialogue facilitated using humble inquiry; and, alignment of quality improvement efforts to organizational strategic objectives through a multi-level feedback/feed-forward communication structure. Research limitations/implications The single organization and descriptive study design may limit the generalizability of the findings and introduce confirmation bias. Future research should more comprehensively evaluate the impact of learning models on organizational learning processes and performance outcomes. Practical implications This study offers novel insight which may inform the design and implementation of learning models for performance management within and beyond the study site. Originality/value Few studies have examined the mechanics of performance management systems in relation to organizational learning theory and research. Broader adoption of learning models may be key to the development of continuously learning and improving health systems.

Big data and performance measurement research: trends, evolution and future opportunities

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Alberto Sardi ◽  
Enrico Sorano ◽  
Valter Cantino ◽  
Patrizia Garengo
Keyword(s):  
Big Data ◽  
Performance Measurement ◽  
Performance Measurement System ◽  
Future Research ◽  
Holistic View ◽  
Content Type ◽  
Digital Revolution ◽  
Research Opportunities ◽  
And Performance ◽  
Number Of Publications

Purpose Current literature recognised big data as a digital revolution affecting all organisational processes. To obtain a competitive advantage from the use of big data, an efficient integration in a performance measurement system (PMS) is needed, but it is still a “great challenge” in performance measurement research. This paper aims to review the big data and performance measurement studies to identify the publications’ trends and future research opportunities. Design/methodology/approach The authors reviewed 873 documents on big data and performance carrying out an extensive bibliometric analysis using two main techniques, i.e. performance analysis and science mapping. Findings Results point to a significant increase in the number of publications on big data and performance, highlighting a shortage of studies on business, management and accounting areas, and on how big data can improve performance measurement. Future research opportunities are identified. They regard the development of further research to explain how performance measurement field can effectively integrate big data into a PMS and describe the main themes related to big data in performance measurement literature. Originality/value This paper gives a holistic view of big data and performance measurement research through the inclusion of numerous contributions on different research streams. It also encourages further study for developing concrete tools.

Performance management perception in Kenya

2020 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nickson Hebert Odongo
Keyword(s):  
Performance Management ◽  
Management Practices ◽  
Positive Impact ◽  
Performance Standards ◽  
Future Research ◽  
Social Scientists ◽  
Content Type ◽  
Performance Review ◽  
And Performance ◽  
Government Workers

Purpose This paper aims to present an analysis of the perception of performance management practices and transformations by investigating what devolved governments of Kenya are doing and ought to do after which the approaches of performance and performance management are evaluated. Design/methodology/approach A descriptive assessment of five devolved governments of Kenya is carried out. This study covered 518 respondents across the above-sampled governments. Findings The outcomes demonstrated that there are guidelines established by the counties to measure the performance of workers where tested variables about setting performance standards and performance review information against their effect on performance improvement and performance measurement, respectively, are statistically significant, and therefore have a positive impact on the eventual performance of devolved governments. Practical implications The results support scholars, practitioners and social scientists in development studies for the planning and management of public organizations. The thought of factors that enhance or impede devolved government workers’ performance can be explored in future research. Originality/value The thought of performance management perception, especially in a developing country, is a theoretical milestone.

Performance management to enhance employee engagement for corporate sustainability

2016 ◽  
Vol 8 (1) ◽  
pp. 84-102 ◽  
Author(s):  
Molraudee Saratun
Keyword(s):  
Performance Management ◽  
Employee Engagement ◽  
Practical Implication ◽  
Corporate Sustainability ◽  
Performance Outcomes ◽  
Future Research ◽  
Content Type ◽  
Psychological Conditions ◽  
Contextual Elements ◽  
And Performance

Purpose – The purpose of this paper is to examine literature in order to explore the reasons why performance management (PM) positively affects employee engagement (EE) as well as how PM should be conducted to achieve EE. It also provides future research suggestions. Design/methodology/approach – Derived from substantial literature review, approaches describing how three PM processes (performance agreement, on-going feedback, and performance evaluation) can enhance EE are discussed. Findings – Throughout the three PM processes, the following should be applied to foster EE: employee development facilitation and support, employee involvement, trust, and justice. In order to have a PM system achieve EE, the broad context and culture of organizations may have to change to be sustainability oriented. Research limitations/implications – Future research can test possible associations between a set of integrated PM activities and Kahn’s (1990) concept of three psychological conditions (meaningfulness, availability, and safety), leading to EE, and eventually sustainable corporate performance outcomes. Research examining associations between particular preceding sustainable contextual elements and PM, leading to engagement, also deserves attention. Practical implications – One practical implication of this paper is that it may provide possible guidance to managers seeking to engage their employees when managing their performance, and increase awareness of potential constraints created by non-sustainable contextual elements. Originality/value – This paper fulfills a need to explore how PM can be conducted to achieve EE, which is still scarce in current literature and research. The paper offers a holistic perspective that sustainable contexts in organizations are also needed, if PM to engage employees will flourish.

scholarly journals Combining ideal types of performance and performance regimes

2019 ◽  
Vol 32 (7) ◽  
pp. 721-740
Author(s):  
Giorgio Giacomelli ◽  
Nora Annesi ◽  
Sara Barsanti ◽  
Massimo Battaglia
Keyword(s):  
Performance Management ◽  
Public Management ◽  
Institutional Context ◽  
Integrated Approach ◽  
Future Research ◽  
Theoretical Frameworks ◽  
Content Type ◽  
Ideal Types ◽  
Regional Authority ◽  
And Performance

Purpose The purpose of this paper is to contribute to the scholarship on public management models and to advance the theoretical conceptualization of the complexity of performance management systems (PMSs). The paper explores how the characteristics of PMSs vary within and across different organizational units in common institutional context, based on the case of a regional authority in Italy. Design/methodology/approach A framework of analysis considering both objective and subjective factors was derived from a combination of performance typologies in the public sector, namely ideal types of managing performance (Bouckaert and Halligan, 2007) and performance regimes (Jakobsen et al., 2017). The combination of the characteristics of these two models across different Directorates General (DGs) has also been explored through a nested case study (Starman, 2013). Data were gathered via a desk analysis of official documents regarding the planning and programming of a regional authority along with in-depth interviews with top-level managers. Findings The results highlighted a clear differentiation of PMSs, both within and across DGs. The findings of the study reveal the hybrid nature of PMSs within a common institutional context. Originality/value Drawing on the theoretical frameworks of Bouckaert and Halligan (2007) and Jakobsen et al. (2017), the paper provides an integrated approach for analysing PMSs, considering both objective and subjective dimensions. Insights and indications for future research on hybridity at a meso level of public organizations are highlighted.

Performance indicators of public private partnership in Bangladesh

2019 ◽  
Vol 68 (1) ◽  
pp. 46-68 ◽  
Author(s):  
Mohammad Hossain ◽  
Ross Guest ◽  
Christine Smith
Keyword(s):  
Developing Countries ◽  
Performance Measurement ◽  
Performance Indicators ◽  
Developed Countries ◽  
Future Research ◽  
Risk Allocation ◽  
Content Type ◽  
Geometric Consistency ◽  
And Performance ◽  
Evaluation And Monitoring

Purpose The purpose of this paper is to develop weights of key performance areas (KPAs) and performance indicators for public private partnerships (PPPs) in Bangladesh. Since a variety of PPP arrangements is observable, different performance measurement approaches exist in the literature. However, analysing the relative importance of indicators influencing the performance score of particular projects using the perspective of developing countries remains unexplored. Design/methodology/approach The authors’ method involves application of the analytical hierarchy process (AHP) to develop weights for eight KPAs for which 41 contributing performance indicators have been developed. In total, 68 respondents (62 per cent of the PPP practitioners in Bangladesh) participated in a structured questionnaire survey and their judgements have been found to be consistent, using consistency ratios, a geometric consistency index and one-way ANOVA test. Findings “Feasibility analysis”, “life cycle evaluation and monitoring” and “optimal risk allocation” are the most significant performance indicators in Bangladesh. “Financing” is the most important KPA, followed by “planning and initiation” and “transparency and accountability”. Interestingly, unlike the cost, time and quality measures of the public sector comparator analysis used in most developed countries, a different set of indicators and KPAs are found dominant. Research limitations/implications This suggests that performance indicators and their weights may differ for developing countries. Future research could usefully focus on testing this model in different countries and applying it to derive performance scores for individual PPPs. Originality/value An application of AHP in determining weights of the performance indicators represents a major contribution to the literature on PPP performance measurement in the developing countries including Bangladesh.

scholarly journals Risk and performance management: are they easy partners?

2014 ◽  
Vol 37 (2) ◽  
pp. 152-166 ◽  
Author(s):  
Marika Arena ◽  
Michela Arnaboldi
Keyword(s):  
Risk Management ◽  
Performance Management ◽  
Management Systems ◽  
Future Research ◽  
Research Approach ◽  
Professional Literature ◽  
Content Type ◽  
Two Systems ◽  
Pros And Cons ◽  
And Performance

Purpose – This paper aims to provide a critical assessment of existing links between risk management systems (RMS) and performance management systems (PMS) through a general review of the literature. Design/methodology/approach – The research approach consists of a literature review, aimed at highlighting the “points of contact” between RMS and PMS along three main dimensions: scope of the system, measurement and ownership. Findings – Key papers and books published in the field are examined. Based on this review, an assessment of similarities and potential synergies between RMS and PMS is offered. In addition, possible avenues for future research are discussed. Practical implications – The paper provides managers with useful insights on pros and cons of integrating RMS and PMS. It highlights possible instruments and organizational arrangements that could be exploited by practitioners to connect the two systems and discusses the implications of different possible configurations. Originality/value – Whilst the professional literature is loaded with illustrations of RMS and PMS as “integrated” solutions, this issue has been only partially addressed by the academic literature that generally focuses on one of the two systems. Hence, the study overall contributes to enrich the knowledge of the relationship between performance and risk management by mapping how and where the two systems are linked.

scholarly journals Evaluating service quality and performance of higher education institutions: a systematic review and a post-COVID-19 outlook

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mark Anthony Camilleri
Keyword(s):  
Higher Education ◽  
Systematic Review ◽  
Service Quality ◽  
Performance Management ◽  
Online Teaching ◽  
Content Type ◽  
Education Services ◽  
Higher Educational ◽  
And Performance ◽  
The Impact

Purpose This study aims to present a systematic review on service quality in higher education. It discusses about the latest opportunities and challenges facing higher educational institutions (HEIs) following the outbreak of the coronavirus (COVID-19) pandemic. Design/methodology/approach The study relied on the grounded theory’s inductive reasoning to capture, analyze and synthesize the findings from academic and non-academic sources. The methodology involved a systematic review from Scopus-indexed journals, from intergovernmental and non-governmental policy documents, as well as from university ranking sites and league tables. Findings The comprehensive review suggests that HEIs can use different performance indicators and metrics to evaluate their service quality in terms of their resources, student-centered education, high-impact research and stakeholder engagement. Moreover, this paper sheds light about the impact of an unprecedented COVID-19 on higher education services. Practical implications During the first wave of COVID-19, the delivery of higher educational services migrated from traditional and blended learning approaches to fully virtual and remote course delivery. In the second wave, policy makers imposed a number of preventative measures, including social distancing and hygienic practices, among others, on HEIs. Originality/value This timely contribution has synthesized the findings on service quality and performance management in the higher education context. Furthermore, it investigated the effect of COVID-19 on higher education services. It deliberates on the challenges and responses in the short/medium term and provides a discussion on the way forward. In conclusion, it implies that HEI leaders ought to embrace online teaching models and virtual systems, as they are here to stay in a post-COVID-19 era.

The effect of monetary incentives on task attractiveness, effort and performance

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Michael Robinson ◽  
Maia Farkas
Keyword(s):  
Financial Incentives ◽  
Pay For Performance ◽  
Systems Design ◽  
Spillover Effects ◽  
Work Environments ◽  
Complex Task ◽  
Monetary Incentives ◽  
Content Type ◽  
And Performance ◽  
Practical Implications

PurposeThere is a longstanding debate regarding the effectiveness of financial incentives in improving work performance. This study is motivated by seemingly conflicting theory and mixed research evidence, and advances the management accounting literature on pay-for-performance by examining the separate and joint effects of task attractiveness and monetary incentives on allocation of effort and on performance.Design/methodology/approachThis study uses an online, multi-period, mixed design experiment with two independent groups of participants who receive either incentive pay or flat pay to perform a multidimensional job. The job tasks differ in complexity and participants can choose how to distribute effort between tasks. Observations are taken across two periods.FindingsIf the complex task is initially viewed as attractive it becomes less attractive over time, while the attractiveness of the simple task is stable. Participants who receive flat pay and who find the complex task attractive spent more time on working on that task than those compensated with incentives. Incentives caused higher initial performance than flat pay among participants who find the complex task to be attractive, but the differential is transient; dissatisfaction with initial performance seemingly contribute to a decline in attractiveness and deterioration in performance.Research limitations/implicationsThe results indicate that task attributes and personal preferences moderate the effects of incentives on performance and that further research is needed to examine strategies to mitigate spillover effects of deficient performance to subsequent periods. However, the findings may not be applicable to extremely complex work environments involving numerous tasks and/or group work.Practical implicationsShowing that incentives may have a positive but transitory effect on performance, because task attributes and personal preferences moderate the incentive-performance relationship, may have practical implications for hiring, job design and compensation systems design.Originality/valueThis paper contributes to the literature on pay-for-performance by using a setting that better represents contemporary work environments than prior studies have and introduces choice over effort allocation. Additionally, we contribute to theory by showing that economics and psychology theories should be viewed as complements in investigating the intricate relationship between incentives and performance.

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