Analyzing the development of approaches to company performance measurement

2020 ◽  
Vol 19 (6) ◽  
pp. 1173-1188
Author(s):  
A.B. Kogan ◽  
A.N. Pristavka
Keyword(s):  
Comparative Analysis ◽  
Performance Measurement ◽  
Business Environment ◽  
Theoretical Research ◽  
Effectiveness Evaluation ◽  
Economic Science ◽  
Company Performance ◽  
Financial Indicators ◽  
Methodological Framework ◽  
Simple Set

Subject. The article presents various definitions of the efficiency concept, their changes as the economic science evolves, and describes various methods to measure company performance efficiency, ranging from a simple set of financial indicators to comprehensive systems for effectiveness evaluation. Objectives. The purpose of the study is to systematize the said definitions and identify a category that will meet the current condition of business environment. Methods. The study rests on the retrospective and comparative analysis of interpretations of the efficiency concept in the economic science. We also employ the historical and logical methods of general theoretical research. Results. We identify three approaches to the interpretation of the efficiency concept. Within the selected approaches, we consider the main methods for company performance measurement that have emerged since 1914. The paper formulates criteria, which were used to carry out the comparative analysis of these methods. The analysis enabled to trace all changes in the methods. Conclusions. We propose to use the term Integrated Company Efficiency and to develop methodological framework for measuring the comprehensive efficiency of companies operating in various industries.

A Company Level Performance Measurement through the Evaluation of Production Processes Performance

2014 ◽  
Vol 708 ◽  
pp. 233-238
Author(s):  
Matej Daňo ◽  
Natália Horňáková ◽  
Helena Vidová ◽  
Sebastian Saniuk
Keyword(s):  
Performance Measurement ◽  
Business Processes ◽  
Company Performance ◽  
Financial Indicators ◽  
Developed Economies ◽  
Production Processes ◽  
And Performance ◽  
Level Of Significance ◽  
A Company ◽  
Industrial Company

The presented paper is aimed at assessing the level of performance through an industrial company endpoints indicators, in which the efficiency and performance of business processes is transformed to. The paper describes the concept of company performance based on theoretical knowledge of authors from Slovakia as well as developed economies. It also provides concrete examples of financial and non-financial indicators and informs professionals and general public with a number of additional indicators. Likewise the paper characterizes most famous concepts of measurement and management of company performance based on results of a survey which was conducted by the Institute of Industrial Engineering and Management MTF STU in Trnava, as a part of the research project VEGA No. 1/0787 / 12th. Authors attach great importance to measure the process performance as an important part of performance measurement of an industrial company. They introduce the procedures for measuring the manufacturing processes, whole range of specific performance indicators of production processes as well as different methods of measuring the performance of production processes and the company as a whole unit. The level of significance is designed for each proposed indicator and measurement result consists of value reflecting the overall company performance (various departments), which can be used as a benchmark for individual departments or plants within a particular multinational group.

scholarly journals BALANCED SCORECARD UNTUK MENILAI KINERJA PERUSAHAAN (BARAYA TRAVEL BANDUNG)

2019 ◽  
Keyword(s):  
Performance Measurement ◽  
Balanced Scorecard ◽  
Business Environment ◽  
Measurement Tool ◽  
Company Performance ◽  
Transportation Services ◽  
Strategic Objectives ◽  
The Balanced Scorecard ◽  
Evaluation Measurement ◽  
Traditional Performance

Uncertainty in an increasingly competitive business environment, especially in the raising and emergence of several new companies in travel transportation services, should encourage a company to be able to have better performance to compete. Companies are faced with various threats and opportunities that emerge in the business environment, thus exposed to the uniformity of the company’s performance measurement tools as an instrument of the company’s performance evaluation. Measurement of company performance applied by Baraya Travel Bandung still use traditional performance measurement, incomprehensive and not optimal yet. Baraya Travel Bandung needs a performance measurement tool that can provide an overview of the overall achievement of the company’s business. The design of performance measurement tool that became the purpose of this research is Balanced Scorecard. The design of performance measuring tools using the Balanced Scorecard begins with translating the company’s vision, mission and strategic objectives that are linked into four perspectives in the Balanced Scorecard.

scholarly journals A Comparative Analysis of Modern Performance Measurement and Management Models of Companies

2015 ◽  
Vol 53 (2) ◽  
pp. 298-313 ◽  
Author(s):  
Vesna Janjić ◽  
Mirjana Todorović ◽  
Dejan Jovanović
Keyword(s):  
Comparative Analysis ◽  
Performance Measurement ◽  
Performance Management ◽  
Balanced Scorecard ◽  
Business Environment ◽  
Theory And Practice ◽  
Strategic Performance ◽  
The Balanced Scorecard ◽  
Management Models ◽  
Business Excellence

Abstract Modern business conditions have led to the development of a large number of different models for strategic performance management, which view performance measurement through the prism of financial and non-financial indicators, from multiple perspectives. Strategic performance management models should enable efficient and effective management, i.e. an adequate response to continuous changes in the business environment. Theory and practice in this area suggest the development and implementation of various integrated frameworks (models) for performance management of companies, in order to achieve business excellence. In addition to the well-known integrated models, such as the Balanced Scorecard (BSC), Performance Pyramid, SAILS model (Strategy Aligned Integrated Linked Scoring System), GRASP model (Goals-Resources-Actions-Structure-People), and others, Kanji’s Business Excellence Model (KBEM) and Kanji Business Scorecard (KBS) have been developed as well. Kanji’s model was created with the objective of eliminating the weaknesses and shortcomings of previous models, particularly the Balanced Scorecard. The application of multidimensional performance measures should increase the informational power of management in making strategic business decisions. The goal set by this paper is to consider some of the basic features of modern performance measurement and management models of companies that are represented in theory and applied in practice, and, on the basis of comparative analysis, to draw conclusions about their advantages and disadvantages.

scholarly journals A Comparative Analysis Between The Balanced Scorecard And The French Tableau de Bord

2011 ◽  
Vol 7 (7) ◽  
Author(s):  
Mohsen Souissi
Keyword(s):  
Comparative Analysis ◽  
Balanced Scorecard ◽  
Business Environment ◽  
Financial Indicators ◽  
Bottom Line ◽  
Financial Measures ◽  
The Balanced Scorecard ◽  
Measurement Systems ◽  
Performance Measurement Systems ◽  
New System

Concern over the development of new performance measurement systems that that are in line of a complex business environment has increased. Problems with relying solely on financial measures have proven counterproductive. Recently, interest over non-financial measures has dramatically increased. Non-financial measures, however, are not problem-free. The issues are to translate improvements in these non-financial indicators into improvement in the bottom line. To overcome these problems, Kaplan and Norton have developed a new system called the Balanced Scorecard (BSC). Some French scholars argue that the BSC is a mere reproduction of the French Tableau de Bord (TDB) developed in the 1950s by French engineers. This paper seeks to draw a comparison between the BSC and The TDB.

Corruption as “one‑stop‑shop”: theory and empirical analysis

2018 ◽  
pp. 32-51
Author(s):  
R. Yu. Kochnev ◽  
L. I. Polishchuk ◽  
A. Yu. Rubin
Keyword(s):  
Comparative Analysis ◽  
Business Environment ◽  
Enterprise Performance ◽  
Double Jeopardy ◽  
One Stop ◽  
The Commons ◽  
Public Production ◽  
Performance Project ◽  
The Impact ◽  
Sector Theory

We present the comparative analysis of the impact of centralized and decentralized corruption for private sector. Theory and empirical evidence point out to a “double jeopardy” of decentralized corruption which increases the burden of corruption upon private firms and weakens the incentives of bureaucracy to provide public production inputs, such as infrastructure. These outcomes are produced by simultaneous free-riding and the tragedy of the commons effects. The empirical part of the paper utilizes data of the Business Environment and Enterprise Performance project.

FINANCIAL CONTROLLING IN THE SYSTEM OF FINANCIAL MANAGEMENT

2018 ◽  
Vol 28 (1) ◽  
pp. 137-141
Author(s):  
Petya Yordanova – Dinova
Keyword(s):  
Comparative Analysis ◽  
Financial Management ◽  
Financial Stability ◽  
Business Environment ◽  
Innovative Approach ◽  
Financial Sustainability ◽  
The Common ◽  
The Difference ◽  
Effective Use ◽  
And Control

This paper explores the comparative analysis of the financial controlling, who is a result from the common controlling concept and the financial management. In the specialized literature, financial controlling is seen as an innovative approach to financial management. It is often presented as the most promising instrument of financial diagnostics. Generally speaking, financial controlling is seen as a process of managing the company`s assets which are valued in monetary measures. The difference between the financial management and the financial controlling is that the second covers all functions of management, analysis and control of finances, aiming at maximizing their effective use and increasing the value of the enterprise. Financial controlling is often seen as a function of the common practice of financial management. Its objective is to preserve the financial stability and financial sustainability of enterprises operating in a highly aggressive business environment.

Executing strategy through comprehensive performance measurement systems

2017 ◽  
Vol 37 (4) ◽  
pp. 423-443 ◽  
Author(s):  
Pietro Micheli ◽  
Matteo Mura
Keyword(s):  
Performance Measurement ◽  
Performance Indicators ◽  
Company Performance ◽  
Content Type ◽  
Cost Leadership ◽  
Measurement Systems ◽  
Comprehensive Performance ◽  
Different Types ◽  
Performance Measurement Systems

Purpose The purpose of this paper is to investigate the mediating role of comprehensive performance measurement systems (PMS) – i.e. measurement systems that comprise financial and non-financial indicators, and which also consist of indicators related to different aspects of an organisation’s operations – in the relationship between strategy and company performance. Design/methodology/approach Survey data of top managers of large European companies were collected and analysed by means of exploratory factor analyses and hierarchical regressions in order to validate the proposed hypotheses. Findings This research shows that different strategies lead to the use of different types of performance indicators. Also, it finds that the utilisation of a comprehensive PMS enables the implementation of both differentiation and cost-leadership strategies. Specifically, a comprehensive PMS positively mediates the effect of differentiation strategy on organisational and innovative performance, and of cost-leadership strategy on organisational performance. Research limitations/implications Further research could be undertaken in other contexts and consider additional factors, such as the structure, maturity and different uses of PMS, and the cost of measuring performance. Qualitative studies could examine the role of PMS in dynamic environments, as well as the evolution of PMS during strategic transitions. Practical implications Greater consideration should be given to the utilisation of different types of performance indicators when implementing and re-formulating strategy. Originality/value This study clarifies the links between strategy and performance measurement, and it is the first to identify the mediating effect of comprehensive PMS between strategy and company performance.

COMPARATIVE ANALYSIS OF INTERNATIONAL STANDARDS IN THE FIELD OF NON-FINANCIAL REPORTING AND THE PRACTICE OF THEIR APPLICATION

2021 ◽  
Vol 2 (4) ◽  
pp. 146-152
Author(s):  
E. V. ANDRIANOVA ◽  
◽  
P. S. SHCHERBACHENKO ◽  
Keyword(s):  
Financial Reporting ◽  
Financial Statements ◽  
Business Environment ◽  
International Standards ◽  
Positive Trend ◽  
Financial Indicators ◽  
Additional Tool ◽  
Foreign Companies ◽  
High Level ◽  
Source Of Information

This article discusses and analyzes the most popular standards of non-financial reporting, which has a significant impact on the transformation of the business environment. Already, domestic and foreign companies with a high level of responsibility are beginning to publish non-financial statements in addition to financial statements, which is an additional tool for communication with stakeholders and a new source of information about their activities. To date, reports of this type are clearly unregulated, there are no verification standards, however, there is already a positive trend and the active introduction of non-financial indicators in the regular reporting of companies.

Benchmarking the practices of flexibility with maturity models and frameworks of organizational capabilities

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Sanjai Kumar Shukla ◽  
Sushil
Keyword(s):  
Information Technology ◽  
Comparative Analysis ◽  
Business Environment ◽  
Organizational Capabilities ◽  
Maturity Model ◽  
Human Capabilities ◽  
Maturity Models ◽  
Content Type ◽  
Wide Range ◽  
Flexibility Maturity

PurposeOrganizational capabilities are crucial to achieve the objectives. A plethora of maturity models is available to guide organizational capabilities that create a perplexing situation about what stuff to improve and what to leave. Therefore, a unified maturity model addressing a wide range of capabilities is a necessity. This paper establishes that a flexibility maturity model is an unified model containing the operational, strategic and human capabilities.Design/methodology/approachThis paper does a comparative analysis/benchmarking studies of different maturity models/frameworks widely used in the information technology (IT) sector with respect to the flexibility maturity model to establish its comprehensiveness and application in the organization to handle multiple goals.FindingsThis study confirms that the flexibility maturity model has the crucial elements of all the maturity models. If the organizations use the flexibility maturity model, they can avoid the burden of complying with multiple ones and become objective-driven rather than compliance-driven.Research limitations/implicationsThe maturity models used in information technology sectors are used. This work will inspire other maturity models to adopt flexibility phenomena.Practical implicationsThe comparative analysis will give confidence in application of flexibility framework. The business environment and strategic options across organizations are inherently different that the flexibility maturity model well handles.Social implicationsA choice is put to an organization to see the comparison tables produced in this paper and choose the right framework according to the prevailing business situation.Originality/valueThis is the first study that makes a conclusion based on comparative benchmarking of existing maturity models.

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