Exploring performance paradox in public organizations: Analyzing the predictors of distortive behaviors in performance measurement

2021 ◽  
pp. 002085232110548
Author(s):  
Sungjoo Choi ◽  
Soonae Park
Keyword(s):  
Performance Measurement ◽  
Local Governments ◽  
Behavioral Control ◽  
Measurement Model ◽  
Public Organizations ◽  
Unintended Consequences ◽  
Performance Ratings ◽  
External Control ◽  
Performance Information ◽  
Goal Ambiguity

Scholars have argued that utilization of quantitative performance indicators by public organizations could generate unintended consequences that might outweigh the benefits of performance measurement. We examined the relationships between goal ambiguity and external control, and distortive practices in performance measurement in public organizations. The data from 47 agencies of the central and local governments in Korea were analyzed using fixed-effect ordered logistic regression methods. The results showed that goal ambiguity was positively and significantly associated with distortive practices in performance measurement. Goal ambiguity may incentivize public employees to misuse performance information to obtain rewards for higher performance ratings. Contrary to our expectation, reinforced external control was negatively and significantly related to distortive behaviors in performance measurement. Higher work autonomy was not significantly associated with manipulation of performance information. Employees with higher intrinsic motivation were less likely to distort performance measures, whereas the ones with higher extrinsic motivation were more likely to misuse performance information to achieve higher performance ratings. Points for practitioners To avoid the potential distortions in performance measurement, public managers should adopt a refined measurement model of performance customized to the unique characteristics of public services. Multiple sets of measures need to be developed and managed properly to respond to complex political environments which involve different key values and the stakeholders in the policy processes, and the nature of public service products and outcomes. Reinforced behavioral control in the process of measuring performance will also be necessary.

Advancing performance measurement

2015 ◽  
Vol 64 (1) ◽  
pp. 76-93 ◽  
Author(s):  
Francesca Manes Rossi ◽  
Natalia Aversano
Keyword(s):  
Performance Measurement ◽  
Performance Management ◽  
Local Governments ◽  
Service Performance ◽  
Performance Information ◽  
Management Tools ◽  
Content Type ◽  
Large Size ◽  
Reporting Service ◽  
Measurement Tools

Purpose – The purpose of this paper is to analyse the implementation of performance measurement tools by medium-to-large size Italian Local Governments (ILGs) with the aim of establishing their position in comparison with the content of the International Public Sector Accounting Standards Board’s (IPSASB’s) Consultation Paper (CP) on Reporting Service Performance Information and the points of views of other countries. Design/methodology/approach – A survey of all ILGs with more than 50,000 inhabitants has been carried out with the objective of evaluating which kind of performance management tools are implemented; moreover, these results are compared with the content of the IPSASB’s CP to evaluate the role of this guide as well as the main differences between the IPSASB’s approach and the current situation in Italy. Findings – Data collected highlight that several performance measurement tools required by law are generally prepared in ILGs even if a limited use of them for decision-making or accountability purposes occurs. Moreover, in accordance with the opinions of the countries that submitted letters of comment to IPSASB’s CP, Italian results reveal that information on the scope of the service performance information, on the entity’s objectives and their achievement, including a narrative discussion of this achievement, are perceived as relevant. Originality/value – The research investigates the future development of the CP by analyzing the points of view of the countries that submitted letters of comments to IPSASB. It also examines whether the current Italian situation is in line with the IPSASB’s position.

scholarly journals Current Practice Performance Measurement Model: A Case Study in Indonesia

2015 ◽  
Vol 6 (2) ◽  
pp. 34-41
Author(s):  
Mattoasi Mattoasi
Keyword(s):  
Performance Measurement ◽  
Local Governments ◽  
Measurement Model ◽  
New Order ◽  
Government Performance ◽  
Literature Study ◽  
Practice Performance ◽  
The Government ◽  
Early Performance ◽  
The Right

Understanding performance measurement in the public sector organization is very important in looking into the early performance of local governments. This is because having a good performance measurement model in place serves as part of the accountability to stakeholders (e.g., society as taxpayers). Choosing the right model of performance measurement will have an impact on the performance of the government. In this research, preliminary literature study conducted found that the model of performance measurement, which was used in Indonesia in the old order as well as the new order, was an old model (traditional). The traditional model tends to be input-oriented, causingthe model to be unfit or unsuitable with the current situation. In this concept paper, which also initially analyzing the contents of documents associated with Government Performance Accountability Report (LAKIP) for several years were reviewed and reveals that after the LAKIP model was applied in Indonesia, the local government performance which now focuses on the output level helps overcoming the disadvantages of the previous models in place.

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.

scholarly journals Performance measurement model for ranking of educational institutes: a fuzzy reasoning approach

2021 ◽  
Vol 1797 (1) ◽  
pp. 012012
Author(s):  
Mrinmoy Dam ◽  
Debasish Majumder ◽  
Rupak Bhattacharjee ◽  
Shyam Sundar Santra
Keyword(s):  
Performance Measurement ◽  
Fuzzy Reasoning ◽  
Measurement Model

scholarly journals Investigating the Sustainability Performance of PPP-Type Infrastructure Projects: A Case of China

2018 ◽  
Vol 10 (11) ◽  
pp. 4162 ◽  
Author(s):  
Shengqin Zheng ◽  
Ke Xu ◽  
Qing He ◽  
Shaoze Fang ◽  
Lin Zhang
Keyword(s):  
Sustainable Development ◽  
Local Governments ◽  
Large Scale ◽  
Behavioral Control ◽  
Equation Model ◽  
Perceived Behavioral Control ◽  
Actual Behavior ◽  
Infrastructure Projects ◽  
Positive Effects ◽  
Managerial Implications

In China, the demand for public infrastructure projects is high due to the acceleration of urbanization and the rapid growth of the economy in recent years. Infrastructures are mainly large scale, so local governments have difficulty in independently completing financing work. In this context, public sectors often seek cooperation from private sectors, in which public–private partnership (PPP) is increasingly common. Although numerous studies have concentrated on sustainable development, the unsustainability performances of infrastructures are often reported on various media. Furthermore, studies on the sustainability performances of PPP-type infrastructure (PTI) projects are few from the perspective of private sectors’ behaviors. In this study, we adopted the modified theory of planned behavior and the structure equation model and conducted a questionnaire survey with 258 respondents for analyzing the sustainable behaviors of private sectors. Results indicated that behavioral attitude, perceived behavioral control, and subjective norm interact significantly. They have direct positive effects on behavioral intention and then indirectly influence actual behavior through this intention. Actual sustainable behaviors of private sectors have significantly positive effects on the sustainable development of cities. We offer theoretical and managerial implications for public and private sectors on the basis of the findings to ensure and promote the sustainability performances of PTI projects.

The use of performance information in local government mergers

2019 ◽  
Vol 31 (3) ◽  
pp. 451-471 ◽  
Author(s):  
Karina Kenk ◽  
Toomas Haldma
Keyword(s):  
Attribution Theory ◽  
Local Governments ◽  
Eastern European Country ◽  
Eastern European ◽  
Performance Information ◽  
Case Study Method ◽  
Content Type ◽  
Different Types ◽  
Using Data

Purpose The purpose of this paper is to study more deeply the use of performance information (PI) in the context of the administrative-territorial reform, e.g. amalgamation in the local governments (LG) with an example of Estonian LGs. Design/methodology/approach The case study method is adopted, using data from publicly available documents and interviews with the politicians and officials at the five merger cases of Estonian LG units. The data are interpreted and analysed using attribution theory. Findings The results show that amalgamation patterns do have an influence on PI use – in particular, the authors see that PI is reported to be used more frequently in cases of voluntary mergers, which may be related to the different motivations to make attributions in cases of voluntary and compulsory mergers. Originality/value The study contributes to the debate on the importance and usefulness of different types of PI, as financial as well as non-financial information and for different information users in the light of LG reform in Estonia as being a Central and Eastern European country.

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