The use of performance measurement information in the work of middle managers

2017 ◽  
Vol 66 (4) ◽  
pp. 479-499 ◽  
Author(s):  
Aki Jääskeläinen ◽  
Niklas Luukkanen
Keyword(s):  
Decision Making ◽  
Performance Measurement ◽  
Middle Managers ◽  
Structured Interview ◽  
Strategy Implementation ◽  
Measurement Information ◽  
Performance Information ◽  
Content Type ◽  
Informal Controls ◽  
The Impact

Purpose The purpose of this paper is to investigate how middle managers utilize performance measurement information in their work. More specifically, the study gives understanding on the impact of performance measurement, policies and procedures (formal controls), and individual intuition and experiential knowledge (informal controls) on strategy implementation and decision making. The study also identifies hindrances to the use of measurement information. Design/methodology/approach The study is carried out as a semi-structured interview study in Finnish companies representing five industries and 29 interviewees. Empirical data were analyzed deductively according to the research framework combining informal and formal management controls with two managerial processes. Findings The work of middle managers is clearly affected by informal controls. Much of the managerial work relies on individual intuition and judgment based on experience instead of performance information or formal instructions. The study also unveiled that top management sees the status of utilizing performance measurement information in a more positive light than do middle managers. This is the case especially in strategy implementation. Deficiency of measurement information was found to be a key factor hindering the use of measurement information but improper analysis of results is also a challenge. Research limitations/implications This study examined the work of middle managers widely in different positions and industries which means that the findings are rather explorative. Simplification was required in order to operationalize the complex tasks of strategy implementation and decision making. Further, more contextually focused research is required in order to understand better the contextual causes of the findings and to provide more understanding on the appropriate ways of improving the utilization of performance measurement information. Practical implications The practical contribution of this study lies in the detailed description of strategy implementation and decision-making processes based on observations in several large companies representing different industries. The study also suggests areas to which development efforts should be concentrated on in order to improve the use of performance information among middle managers. Originality/value This study contributes to the earlier literature by highlighting the usage of performance measurement information as opposed to developing new measures. In addition, the novelty value of the paper relates to the focus in the work of middle managers which has gained less attention in the previous research.

The use of performance information in strategic decision making in public organizations

2015 ◽  
Vol 28 (7) ◽  
pp. 528-549 ◽  
Author(s):  
Ahmed Abdel-Maksoud ◽  
Said Elbanna ◽  
Habib Mahama ◽  
Raili Pollanen
Keyword(s):  
Decision Making ◽  
Performance Measurement ◽  
Information Use ◽  
Public Organizations ◽  
Strategy Implementation ◽  
Strategic Decision ◽  
Strategic Decision Making ◽  
Performance Information ◽  
Content Type ◽  
Assessment Decisions

Purpose – The purpose of this paper is to investigate how the importance of different components of strategic performance measurement systems (SPMS) and their deployment influence the use of performance information from the SPMS in making strategic decisions. Design/methodology/approach – Data were collected through a survey of 143 managers of Canadian public organizations. Findings – The findings indicate that two SPMS components, namely, the importance of non-financial performance measures and the use of operational efficiency measures, have significant positive associations with performance information use for strategy implementation and strategy assessment decisions. The extent to which SPMS models were used is found to be positively associated with performance information use for strategy implementation, but not for strategy assessment, decisions. Furthermore, the relationships between SPMS variables and strategic decision making are moderated by information systems/data limitations and management’s commitment to attaining strategic goals. Managerial skills acquired through training or experience with SPMS also contribute positively to such relationships. Research limitations/implications – The results are affected by limitations associated with the survey method used. Practical implications – The findings could be useful for supporting public policy, strategic decision making, public service improvement, operational efficiency, and effectiveness. Originality/value – The study contributes to public management and performance measurement literature by investigating multiple determinants of performance information use in a cross-section of Canadian public organizations.

The impact of accreditation agencies and other powerful stakeholders on the performance measurement in Polish universities

2019 ◽  
Vol 14 (1) ◽  
pp. 84-102 ◽  
Author(s):  
Dorota Dobija ◽  
Anna Maria Górska ◽  
Anna Pikos
Keyword(s):  
Performance Measurement ◽  
Performance Information ◽  
Case Study Method ◽  
Content Type ◽  
Additional Layer ◽  
Using Data ◽  
Polish Higher Education ◽  
The Impact ◽  
Collection Methods

Purpose The purpose of this paper is to extend the understanding of how internal organisational processes change in response to external demands, by investigating the changes undertaken by two Polish business schools (b-schools) in anticipation of and in response to the demands of accreditation agencies (AAs) and other powerful stakeholders. Specifically, it examines the internal research-related performance measurement (PM) system and changes in the use of performance information (PI). Design/methodology/approach The case study method is adopted, using data from publicly available documents and interviews with the faculty and management at the two schools. The data are interpreted and analysed using the neo-institutional theory. Findings Powerful stakeholders are the primary reason for changes in PM systems and the manner in which PI is used. Specifically, AAs reflect an additional layer in the PM system, allowing for a downward cascading PI effect. This also leads to a wider use of PI across different organisational levels. Research limitations/implications This study focusses on two case studies in a region still undergoing transition. Thus, this analysis could be reinforced through additional cases, different data collection methods and cross-country and between-country comparative analyses. Originality/value The changes in PM systems and particularly the use of PI are discussed in the context of Polish higher education (HE) and, more broadly, the entire Central and Eastern Europe (CEE) region. Moreover, the consideration of two b-school cases facilitates a comparative analysis of the differences in PM systems and the use of PI in the context of stakeholders’ PI needs.

Drivers of personnel satisfaction towards performance information usage

2014 ◽  
Vol 27 (6) ◽  
pp. 530-547
Author(s):  
Aki Jääskeläinen ◽  
Juho-Matias Roitto
Keyword(s):  
Strategic Planning ◽  
Performance Measurement ◽  
Resource Sharing ◽  
Management Practices ◽  
Measurement Information ◽  
Research Approach ◽  
Performance Information ◽  
Data Set ◽  
Content Type ◽  
Quantitative And Qualitative Research

Purpose – The purpose of this paper is to identify the drivers of personnel satisfaction towards performance information (PI) usage in the local public administration context. Design/methodology/approach – The study utilizes both quantitative and qualitative research approach. Data are gathered with a survey receiving 194 responses from the departments of six different municipalities that all belong to the group of largest municipalities in Finland. Regression and variance analysis, as well as analysis of open-ended comments are utilized. Findings – A key observation is that high maturity level of performance measurement or information systems do not guarantee personnel satisfaction. Three main perspectives are found to positively affect satisfaction: use of PI in strategic planning, inter-administrative management with PI and communication of measurement information. Research limitations/implications – Common limitations of survey studies apply. The quantitative data set could have been wider and it should be complemented with more qualitative data. Also the survey itself has limitations due to its generic nature. Practical implications – The results indicate that managerial purpose of measurement needs to be better clarified. Greatest need for development is found in utilizing PI in resource sharing and in the analysis of current situation supportive to strategic planning. Originality/value – The efficient use of performance measurement is a commonly acknowledged challenge. Even though PI usage has been increasingly studied, the focus has often been in separate managerial tasks. Wider approach towards performance measurement and management practices has gained less attention. This study is one of the first attempts to apply private sector originating performance measurement maturity discussion in the public sector context.

Understanding how the contextual variables influence political behaviour in strategic decision-making

2014 ◽  
Vol 7 (3) ◽  
pp. 226-250 ◽  
Author(s):  
Said Elbanna ◽  
Ioannis C. Thanos ◽  
Vassilis M. Papadakis
Keyword(s):  
Decision Making ◽  
Strategic Decision ◽  
Strategic Decision Making ◽  
Strategic Decisions ◽  
Empirical Examination ◽  
Content Type ◽  
Political Behaviour ◽  
Practitioner Education ◽  
The Impact ◽  
Practical Implications

Purpose – The purpose of this paper is to enhance the knowledge of the antecedents of political behaviour. Whereas political behaviour in strategic decision-making (SDM) has received sustained interest in the literature, empirical examination of its antecedents has been meagre. Design/methodology/approach – The authors conducted a constructive replication to examine the impact of three layers of context, namely, decision, firm and environment, on political behaviour. In Study 1, Greece, we gathered data on 143 strategic decisions, while in Study 2, Egypt, we collected data on 169 strategic decisions. Findings – The evidence suggests that both decision-specific and firm factors act as antecedents to political behaviour, while environmental factors do not. Practical implications – The findings support enhanced practitioner education regarding political behaviour and provide practitioners with a place from which to start by identifying the factors which might influence the occurrence of political behaviour in SDM. Originality/value – The paper fills important gaps in the existing research on the influence of context on political behaviour and delineates interesting areas for further research.

Decision rules, escalation of commitment and sensitivity to framing in group decision-making

2016 ◽  
Vol 54 (7) ◽  
pp. 1649-1668 ◽  
Author(s):  
Petru Lucian Curseu ◽  
Sandra G. L. Schruijer ◽  
Oana Catalina Fodor
Keyword(s):  
Decision Making ◽  
Decision Rule ◽  
Group Decision Making ◽  
Group Decision ◽  
Decision Rules ◽  
Escalation Of Commitment ◽  
Group Level ◽  
Content Type ◽  
The Impact ◽  
Collaborative Decision

Purpose – The purpose of this paper is to test the influence of collaborative and consultative decision rules on groups’ sensitivity to framing effect (FE) and escalation of commitment (EOC). Design/methodology/approach – In an experimental study (using a sample of 233 professionals with project management experience), the authors test the effects of collaborative and consultative decision rules on groups’ sensitivity to EOC and FE. The authors use four group decision-making tasks to evaluate decision consistency across gain/loss framed decision situations and six decision tasks to evaluate EOC for money as well as time as resources previously invested in the initial decisions. Findings – The results show that the collaborative decision rule increases sensitivity to EOC when financial resources are involved and decreases sensitivity to EOC when time is of essence. Moreover, the authors show that the collaborative decision rule decreases sensitivity to FE in group decision making. Research limitations/implications – The results have important implications for group rationality as an emergent group level competence by extending the insights concerning the impact of decision rules on emergent group level cognitive competencies. Due to the experimental nature of the design, the authors can probe the causal relations between the investigated variables, yet the authors cannot generalize the results to other settings. Practical implications – Managers can use the insights of this study in order to optimize the functioning of decision-making groups and to reduce their sensitivity to FEs and EOC. Originality/value – The study extends the research on group rationality and it is one of the few experimental attempts used to understand the role of decision rules on emergent group level rationality.

Supplier performance measurement system use, relationship trust, and performance improvement: a dyadic perspective

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Vieri Maestrini ◽  
Andrea Stefano Patrucco ◽  
Davide Luzzini ◽  
Federico Caniato ◽  
Paolo Maccarrone
Keyword(s):  
Performance Measurement ◽  
Performance Improvement ◽  
Measurement System ◽  
Structural Equation ◽  
Performance Measurement System ◽  
Content Type ◽  
Performance Improvements ◽  
Supplier Performance ◽  
Performance Measurement Systems ◽  
The Impact

PurposeGrounding on resource orchestration theory, this paper aims to study the relationship between the way buying companies use their supplier performance measurement systems and the performance improvements obtained from suppliers, with relationship trust identified as a mediator in the previous link.Design/methodology/approachThe authors design a conceptual model and test it through structural equation modelling on a final sample of 147 buyer-supplier responses, collected by means of a dyadic survey.FindingsResults suggest that the buyer company may achieve the most by balancing a diagnostic and interactive use of the measurement system, as they are both positively related to supplier performance improvement. Furthermore, relationship trust acts as a mediator in case of the interactive use, but not for the diagnostic. This type of use negatively affects relationship trust, due to its mechanistic use in the buyer-supplier relationship.Originality/valueThe authors’ results contribute to the current academic debate about supplier performance measurement system design and use by analyzing the impact of different supplier performance measurement system uses, and highlighting their relative impact on relationship trust and supplier performance improvement. From a methodological perspective, adopting a dyadic data collection process increases the robustness of the findings.

An experimental investigation of the impact of using big data analytics on customers’ performance measurement

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Marwa Rabe Mohamed Elkmash ◽  
Magdy Gamal Abdel-Kader ◽  
Bassant Badr El Din
Keyword(s):  
Big Data ◽  
Performance Measurement ◽  
Data Analytics ◽  
Positive Impact ◽  
Big Data Analytics ◽  
Unstructured Data ◽  
Future Research ◽  
Web Based ◽  
Content Type ◽  
The Impact

Purpose This study aims to investigate and explore the impact of big data analytics (BDA) as a mechanism that could develop the ability to measure customers’ performance. To accomplish the research aim, the theoretical discussion was developed through the combination of the diffusion of innovation theory with the technology acceptance model (TAM) that is less developed for the research field of this study. Design/methodology/approach Empirical data was obtained using Web-based quasi-experiments with 104 Egyptian accounting professionals. Further, the Wilcoxon signed-rank test and the chi-square goodness-of-fit test were used to analyze data. Findings The empirical results indicate that measuring customers’ performance based on BDA increase the organizations’ ability to analyze the customers’ unstructured data, decrease the cost of customers’ unstructured data analysis, increase the ability to handle the customers’ problems quickly, minimize the time spent to analyze the customers’ data and obtaining the customers’ performance reports and control managers’ bias when they measure customer satisfaction. The study findings supported the accounting professionals’ acceptance of BDA through the TAM elements: the intention to use (R), perceived usefulness (U) and the perceived ease of use (E). Research limitations/implications This study has several limitations that could be addressed in future research. First, this study focuses on customers’ performance measurement (CPM) only and ignores other performance measurements such as employees’ performance measurement and financial performance measurement. Future research can examine these areas. Second, this study conducts a Web-based experiment with Master of Business Administration students as a study’s participants, researchers could conduct a laboratory experiment and report if there are differences. Third, owing to the novelty of the topic, there was a lack of theoretical evidence in developing the study’s hypotheses. Practical implications This study succeeds to provide the much-needed empirical evidence for BDA positive impact in improving CPM efficiency through the proposed framework (i.e. CPM and BDA framework). Furthermore, this study contributes to the improvement of the performance measurement process, thus, the decision-making process with meaningful and proper insights through the capability of collecting and analyzing the customers’ unstructured data. On a practical level, the company could eventually use this study’s results and the new insights to make better decisions and develop its policies. Originality/value This study holds significance as it provides the much-needed empirical evidence for BDA positive impact in improving CPM efficiency. The study findings will contribute to the enhancement of the performance measurement process through the ability of gathering and analyzing the customers’ unstructured data.

Social and economic empowerment of women through financial inclusion: empirical evidence from India

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mukesh Pal ◽  
Hemant Gupta ◽  
Yogesh C. Joshi
Keyword(s):  
Decision Making ◽  
Social Welfare ◽  
Financial Inclusion ◽  
Rural India ◽  
Women Empowerment ◽  
Bank Account ◽  
Content Type ◽  
Financial Decision Making ◽  
Financial Decision ◽  
The Impact

PurposeWomen empowerment becomes an important policy discussion in development economics and modernization theory. The empowerment of women can lead to an increase in the quality viz-a-viz the capacity of human resources accessible for economic development. The purpose of this study is to evidence the impact of social and economic dimensions on women empowerment through financial inclusion in rural India.Design/methodology/approachTo reveal the research objective, the study has utilized a primary survey of women respondents from the Gujarat state of India by a simple random sampling method and applied a logistic regression approach to identify the relationship between the need of a bank account (determinant of financial inclusion) as a dependent variable and social and economic dimensions of women empowerment such as earning status, participation in financial decision-making, recipient of social welfare schemes and perception towards the safety of saving as independent variables.FindingsThe results of this study show that earning status, participation in financial decision-making at household level and recipient of social welfare schemes by women have a significant impact on women empowerment through financial inclusion; however, safety of their savings is observed as an insignificant variable, yet the odd value is very high (2.437) in the present study.Originality/valueThe present study is the first of its kind to examine the social and economic status of women and its impact on their requirement of a formal bank account for the overall empowerment of women in rural India.

Impact of COVID-19 pandemic on indigenous contractors in a developing economy

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Nathaniel Ayinde Olatunde ◽  
Imoleayo Abraham Awodele ◽  
Bosede Olajumoke Adebayo
Keyword(s):  
Developing Economies ◽  
Sampling Technique ◽  
Structured Interview ◽  
Additional Cost ◽  
Developing Economy ◽  
Content Type ◽  
Construction Contracts ◽  
The Government ◽  
And Performance ◽  
The Impact

Purpose The purpose of this study is to examine the impact of coronavirus disease 2019 (COVID-19) on indigenous contractors in a developing economy with a view to enhancing their performance. Design/methodology/approach The study used a purposive sampling technique to select 37 indigenous contractors with ongoing construction contracts in Osun State, Nigeria who provided data for the study. A structured interview protocol was used to elicit the required information from the interviewees and frequency, percentage and content analysis were used for data analysis. Findings The results showed that the critical impact of COVID-19 on indigenous contractors in a developing economy is: time overrun, loss of profit and creation of dispute. Further results showed that other impacts are a disruption in supply of labour, locally sourced materials are with additional cost, the additional cost of implementing COVID-19 protocols, difficulty in sourcing imported materials and absence of new jobs with the corresponding retrenchment of workers. Practical implications The study recommended special palliatives for the indigenous contractors from the government so as to cushion the impact of the pandemic on them, thereby enhance their survival and performance. A special arbitration panel is set up in each state of the federation to look at disputes arising from the aftermath of the pandemic, this is with a view to adequately compensate indigenous contractors with genuine and properly compiled claims. inferring from the findings of the study, it suffices to say that the severity of the impact of the pandemic is very high on indigenous contractors in developing economies, as such a better preparedness strategy could lessen the impact of such pandemic in the future. Originality/value The study is an attempt to unearth the impact of COVID-19 on indigenous contractors with ongoing construction contracts in a developing economy. The study will be of value to construction stakeholders in providing the information needed to devise strategies to minimise the impact of a pandemic on indigenous contractors in future projects thereby enhance their performance.

scholarly journals Effect of economic vulnerability on entrepreneurial competencies among Malaysian micro-entrepreneurs

2018 ◽  
Vol 12 (2) ◽  
pp. 222-237 ◽  
Author(s):  
Abdullah Al Mamun ◽  
Rajennd A/L Muniady ◽  
Mohd Asrul Hery Bin Ibrahim ◽  
Noorshella Binti Che Nawi
Keyword(s):  
Positive Impact ◽  
Data Bank ◽  
Structured Interview ◽  
Peninsular Malaysia ◽  
Opportunity Recognition ◽  
Content Type ◽  
Economic Vulnerability ◽  
Development Organizations ◽  
Entrepreneurial Competencies ◽  
The Impact

Purpose This study aims to investigate the impact of economic vulnerability upon entrepreneurial competencies (i.e. commitment competency, conceptual competency, opportunity recognition competency, organizing competency, relationship competency and strategic competency) among respondents from varied development initiatives established by the eKasih program (National Poverty Data Bank) in Peninsular Malaysia. Design/methodology/approach Upon adopting the cross-sectional design, data were randomly gathered from selected 300 micro-entrepreneurs from the list of development organizations available in the eKasih (National Poverty Data Bank), located at four states in Peninsular Malaysia. The quantitative data were gathered by performing structured interview sessions from September until November 2017. Findings The outcomes of the study displayed that economic vulnerability has a significantly negative effect upon commitment, opportunity recognition, organizing and strategic competency. On the other hand, the results showcased that economi c vulnerability has a significantly positive effect on competency, but insignificantly positive impact upon conceptual competency. Originality/value These study outcomes appear to extend the scope of the resource-based view, apart from enriching the existing entrepreneurial competency literature, particularly within the Malaysian context. Hence, it is recommended that the government of Malaysia and development organizations should focus on maximizing the level of competency among micro-entrepreneurs as a viable approach to decrease the effect of economic vulnerability.

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