An integrated logistics performance measurement system for logistics management

Multi Criteria Decision Making ◽

Measurement Systems ◽

Measurement Framework ◽

Integrated Logistics

In the 1980's there was a revolution that changed the nature of traditional performance measurement systems. Since then there has been an explosion in the number of scholars and practitioners seeking new and better ways of measuring organizational performance. Performance measurement systems (PMS) specialized for logistics management caught attention much later when more enterprises began to focus on logistics to reduce operational cost and increase profits. Meanwhile, there are more demands on logistics performance measurement systems (LPMSs). The role of an LPMS is beyond monitoring logistics performance, but also to provide logistics improvement suggestions, resolve trade-offs between different logistics activities and so on. To design an LPMS, this thesis addresses the following four objectives: 1) review the evolution of performance measurement systems (PMS) for logistics since 2000; 2) determine the requirements for the design an ILPMS; 3) propose an ILPMS that satisfies these requirements; and 4) apply the ILPMS to a case study. The ILPMS consists of three components: 1) a hybrid performance measurement framework, combining a hierarchical and process-based structure, to facilitate developing logistics performance measures and metrics; 2) different strategies for developing logistics performance measures and logistics activity metrics; 3) a hybrid multi-criteria decision making methodology, analytic network process (ANP) and decision-making trial and evaluation laboratory (DEMATEL), to prioritize performance measures and metrics for managerial purposes. The ILPMS developed illustrates the procedures to establish a logistics performance measurement system for a manufacturing company. The results from the ILPMS provide effective feedback for performance management process and suggestions about performance improvement for managers. Keywords: integrated logistics performance measurement framework (ILPMS), performance measures/metrics, multi-criteria decision making methodology (MCDM)

Performance measurement systems in auditing firms

Journal of Accounting in Emerging Economies ◽

10.1108/jaee-04-2012-0014 ◽

2015 ◽

Vol 5 (4) ◽

pp. 395-423 ◽

Cited By ~ 1

Author(s):

Mohamed Hegazy ◽

Myada Tawfik

Keyword(s):

Performance Measurement ◽

Performance Measures ◽

Measurement System ◽

Future Research ◽

High Quality ◽

Content Type ◽

Financial Measures ◽

Measurement Systems ◽

Purpose – The purpose of this paper is to investigate challenges facing auditing firms in designing and measuring their performance and discusses why and how the balance scorecard (BSC) could support the auditing firms overcome such challenges. The paper contributes to the existing literature by identifying the peculiarity of the auditing firms in designing and implementing performance measurement systems including the need for sound and advanced information systems, subjectivity embedded in measuring customer satisfaction, growth and success of the firms and restrictions imposed by regulations and auditing standards for the provision of non-audit services which may increase the firms’ revenues and profits to help maintain high-quality outputs. Also, the paper provided evidence for the use of non-financial measures in service industry in particular for customers and finance. The unique dilemma in the auditing firms to provide services to satisfy customers yet maintaining distance and independence from them represent an important research question requiring investigation and study. Design/methodology/approach – A review of the literature for performance evaluation in general and in particular BSCs in service industries was made to identify challenges facing auditing firms when measuring their performance. Data were collected using case study approach; two auditing firms, one of the Big 4 and a medium size auditing firm with international affiliation operating in the Egyptian market were selected. Interviews, document analysis and participant observations were used in the analysis of each firm performance measurement system. Findings – The paper suggests that major challenges face auditing firms in measuring their performance mainly the size of the firm and its affiliation with international auditing firm, the qualification and experience of partners and audit managers needed for the design and implementation of a BSC or similar performance measures, the resources required for the introduction of such performance measure and the peculiarity of the auditor and client relationship with the need to maintain independence and confidentiality while providing high-quality services. Although both auditing firms being studied have formal performance measurement systems, they differ in their degree of comprehensiveness. In particular, the performance measurement system of the larger firm is more elaborate than that of the smaller one and both place more emphasis on qualitative measures such as learning and growth and internal business processes than financial measures. Research limitations/implications – Overall, the results have implications for understanding the performance measurement process of auditing firms in general and in particular in an emerging economy such as Egypt. The identification of the challenges facing auditing firms in measuring their performance and how the implementation of BSC can help partners and employees to overcome those challenges will add to the literature for performance evaluation in service companies. Future research should be carried to compare and assess differences between the behavioural aspects of performance measures in auditing firms and possible application of BSC in such firms and those used in services industry. Also, the practicality of implementing a BSC measures for different auditing firms should be investigated further in future research. Originality/value – The research among the first to investigate the challenges facing auditing firms in designing and operating a performance measurement system and to discuss, using case studies, how a BSC could support the auditing firms to overcome such challenges. Further, the research provides insights into performance measures in auditing firms in developing economies like Egypt which are sparse since most studies have been conducted in developed economies. Also, the paper enriches the literature of performance measurement systems in service rather than the manufacturing sector especially for medium and small size firms.

Measuring up: do you have a scorecard?

Water Science & Technology Water Supply ◽

10.2166/ws.2002.0136 ◽

2002 ◽

Vol 2 (4) ◽

pp. 181-187

Author(s):

K. Johnson

Keyword(s):

Best Practices ◽

Performance Measurement ◽

Measurement System ◽

Balanced Scorecard ◽

Business Practices ◽

Actual Performance ◽

Measurement Systems ◽

A Performance

Performance measurement can be an effective tool in driving organization improvement to enable your utility to become more competitive, or improve customer satisfaction. WERF Project #99-WWF-7, Developing and Implementing a Performance Measurement System, is developing performance measurement systems by investigating a number of “best practices” in other industries and implementing selected practices at various water/wastewater utilities nationwide to determine how these practices can be adapted and applied. This joint WERF/AWWARF research project has been underway since mid-1999 to provide methods and tools that enable the utility to develop and implement a performance measurement system based on a demonstrated, proven approach. The Volume I Report summarizes the secondary research and project approach. Well designed, properly implemented performance measurement systems can enable utilities to achieve new levels of performance in terms of efficiency, quality, and effectiveness. Interest in performance measurement is increasing in all competitive businesses and industries today, and has been advanced through concepts such as the Balanced Scorecard. Utilities can employ these same concepts and learn “best practices” from other industries' experiences. While a performance measurement system alone does not improve performance or make a utility competitive, when combined with an appropriate business strategy and performance improvement initiatives, it can drive a cycle of change. A successful performance measurement system combines a holistic approach around improved business practices and effective human/organizational strategies in addition to actual performance information for operational decision-making.

Development of a Prototype Performance Measurement System for Strike Warfare Training Assessment

Proceedings of the Human Factors Society Annual Meeting ◽

10.1177/154193128803201807 ◽

1988 ◽

Vol 32 (18) ◽

pp. 1222-1226

Author(s):

J. I. Martin ◽

S. T. Breidenbach ◽

A. P. Ciavarelli

Keyword(s):

Performance Measurement ◽

Measurement System ◽

Automated Measurement ◽

Student Progress ◽

Training Assessment ◽

Measurement Systems ◽

Automated Measurement System

This paper describes methods for developing automated performance measurement systems used with training ranges and simulators. A prototype automated measurement system designed to assess aircrew performance during strike warfare training is presented as an application of this methodology. Methods are also presented for displaying information which is useful in assessing student progress and for diagnosing training results.

Perancangan Sistem Pengukuran Kinerja Dengan Metode Integrated Performance Measurement System (IPMS) (Studi Kasus: Program Studi Teknik Industri Universitas PGRI Adi Buana Surabaya)

WAKTU: Jurnal Teknik UNIPA ◽

10.36456/waktu.v9i1.899 ◽

2011 ◽

Vol 9 (1) ◽

pp. 16-24

Author(s):

Yunia Dwie Nurcahyanie

Keyword(s):

Performance Measurement ◽

Measurement System ◽

Performance Indicators ◽

Key Performance Indicators ◽

Measurement Systems ◽

Stakeholder Requirement ◽

Integrated Performance

Untuk menjamin kualitas pendidikan di Program Studi Teknik Industri Universitas PGRI Adi Buana surabaya, diperlukan sebuah rancangan sistem pengukuran kinerja (SPK) yang terintegrasi dengan metode IPMS (Integrated Performance Measurement Systems). Dengan metode IPMS, Key Performance Indicators (KPI) Program Studi Teknik Industri ditentukan berdasarkan stakeholder requirement melalui empat tahapan yaitu; identifikasi stakeholder requirement, external monitor, penetapan objectives, dan identifikasi KPIs. Hasil perancangan SPK di Program Studi Teknik Industri Universitas PGRI Adi Buana Surabaya, dapat mengidentifikasi 26 KPIs yang dikelompokkan dalam 9 kriteria kinerja Program Studi Teknik Industri, yaitu; kurikulum, mahasiswa, finansial, SDM, administrasi akademik, proses belajar mengajar, lulusan, evaluasi dan pengendalian, dan masyarakat

Managing Value Creation within the Firm: An Examination of Multiple Performance Measures

Journal of Management Accounting Research ◽

10.2308/jmar.2004.16.1.107 ◽

2004 ◽

Vol 16 (1) ◽

pp. 107-131 ◽

Cited By ~ 106

Author(s):

Lisa Bryant ◽

Denise A. Jones ◽

Sally K. Widener

Keyword(s):

Performance Measurement ◽

Outcome Measures ◽

Performance Measures ◽

Measurement System ◽

Value Creation ◽

Balanced Scorecard ◽

Business Processes ◽

Cross Sectional ◽

There has been an emphasis in recent years on understanding how value is created within the firm. To understand what drives value, managers must have in place performance measurement systems designed to capture information on all aspects of the business, not just the financial results. Many firms are implementing a Balanced Scorecard (BSC) performance measurement system that tracks measures across four hierarchical perspectives: learning and growth, internal business processes, customer, and financial perspectives. Although BSCs should ideally be tailored to each firm's unique strategy, evidence shows that managers tend to rely on generic measures, particularly as measures of the outcome of each perspective. We use cross-sectional data on seven archival measures from 125 firms over a five-year period to proxy for typical outcome measures of the four BSC perspectives. We find that a model that allows each outcome measure to be associated with outcome measures in all higherlevel BSC perspectives captures the value-creation process better than a relatively simple model that allows each measure to be a driver of only the next perspective in the BSC hierarchy. We also find differences in the relations among performance measures when firms implement a performance measurement system that contains both financial and nonfinancial measures versus one that relies solely on financial measures.

A Balancing Act? The Implications of Mixed Strategies for Performance Measurement System Design

Journal of Management Accounting Research ◽

10.2308/jmar-50356 ◽

2012 ◽

Vol 25 (1) ◽

pp. 71-98 ◽

Cited By ~ 27

Author(s):

Henri C. Dekker ◽

Tom Groot ◽

Martijn Schoute

Keyword(s):

Performance Measurement ◽

System Design ◽

Measurement System ◽

Low Cost ◽

Mixed Strategies ◽

Measurement Systems ◽

Multiple Strategies ◽

Strategic Emphasis ◽

ABSTRACT This paper examines how firms design performance measurement systems (PMSs) to support the pursuit of mixed strategies. In particular, we examine the implications of firms' joint strategic emphasis on both low cost and differentiation for their use of performance measurement and incentive compensation. Analysis of survey data of 387 firms shows that more than half of the sample to some extent or fully mixes strategic priorities, while strategic priorities resembling strategic archetypes (primarily low cost or differentiation) populate only 36 percent of the sample. Our analyses support that, as compared to archetypal strategies, pursuing mixed strategies elicits design of more comprehensive and complex PMSs that are aimed at balancing effort and decisions toward the multiple strategies pursued.

ENTERPRISE RISK MANAGEMENT, PERFORMANCE MEASUREMENT SYSTEMS AND ORGANIZATIONAL PERFORMANCE IN MALAYSIAN PUBLIC LISTED FIRMS

International Journal of Business and Society ◽

10.33736/ijbs.543.2017 ◽

2017 ◽

Vol 18 (2) ◽

Author(s):

Siti Zaleha Abdul Rasid ◽

Nargess Golshan ◽

Mozhdeh Mokhber ◽

Gi-Gi Tan ◽

Nor Aiza Mohd-Zamil

Keyword(s):

Risk Management ◽

Performance Measurement ◽

Organizational Performance ◽

Measurement System ◽

Enterprise Risk Management ◽

Listed Firms ◽

Measurement Systems ◽

Enterprise Risk ◽

There has been a call for integrating a strategic performance measurement system and enterprise risk management (ERM) as a proposed best practice for risk management. This study examines the effects of ERM and performance measurement systems (PMS) on organizational performance. In addition, this study also examines the effects of a linked ERM-PMS tool on organizational performance. The research method involved administering an online questionnaire survey to 196 public listed firms. The respondents were the head of risk management department of the firms. In the case of ERM and PMS effects on organizational performance, the result of simple linear regression supported the research hypotheses. However the results from the moderated multiple regression which was employed to test the joint effect of ERM and PMS on organizational performance did not support the research hypothesis. Based on the study results it is recommended that firms may practice ERM and PMS separately rather than linking them together, since their integration may complicate the PMS framework. Keywords: Enterprise Risk Management; Performance Measurement System; Balanced Scorecard; Organizational Performance.

MODEL RANCANGAN PENGUKURAN KINERJA DENGAN PENDEKATAN METODE INTEGRATED PERFORMANCE MEASUREMENT SYSTEM

Teknika: Engineering and Sains Journal ◽

10.51804/tesj.v1i1.66.33-40 ◽

2017 ◽

Vol 1 (1) ◽

pp. 33

Author(s):

Nurul Aziza ◽

Yusuf Eko Nurcahyo

Keyword(s):

Performance Measurement ◽

Measurement System ◽

Measurement Systems ◽

Integrated Performance

P2KP adalah Program penanggulangan Kemiskinan di Perkotaan atas prakarsa Departemen Pekerjaan Umum yang kemudian berganti nama menjadi PNPM Mandiri Perkotaan dimana program ini meliputi tingkat kelurahan, kecamatan, kabupaten dan propinsi. Dalam prakteknya, pelaporan kinerja PNPM Mandiri ini masih didasarkan pada laporan review Partisipatif dari masyarakat sebagai bentuk pertanggungjawabannya dimana harus dituntut transparan dan akuntabilitas. Sistem pengukuran kinerja sepeti itu tidak bisa mengukur kinerja organisasi secara pasti dan terukur nilainya. Oleh sebab itu dibuatlah rancangan sistem pengukuran kinerja organisasi dengan pendekatan Integrated Performance Measurement Systems yang mengintegrasikan semua elemen yang terlibat didalam organisasi. Berdasarkan rancangan pengukuran kinerja tersebut dan disimulasikan didapatkan hasil kinerja organisasi dan hasilnya berupa nilai pencapaian yang dapat terukur.

Supply Chain Performance Measurement: A Review and Reflection

Applied Mechanics and Materials ◽

10.4028/www.scientific.net/amm.813-814.1208 ◽

2015 ◽

Vol 813-814 ◽

pp. 1208-1216

Author(s):

Equbal Asif ◽

Rajkumar Ohdar

Keyword(s):

Supply Chain ◽

Performance Measurement ◽

Performance Measures ◽

Global Market ◽

Supply Chain Performance ◽

Market Place ◽

Measurement Systems ◽

Selection Of

In present global market place, to meet ever-changing customer needs timely and accurate assessment of overall supply chain and its individual component performance is of paramount importance but the process of choosing appropriate supply chain performance measures is difficult due to the complexity of these systems. This paper presents an overview of the performance measures used in supply chain models and also presents a basic to understand the selection of performance measurement systems for supply chains. A number of performance measures are identified as necessary components in any supply chain performance measurement system.

Performance Measurement System in Banking Services in India

Decision Management ◽

10.4018/978-1-5225-1837-2.ch054 ◽

2017 ◽

pp. 1192-1204

Author(s):

Vinod Kumar Yadav

Keyword(s):

Performance Measurement ◽

Measurement System ◽

Secondary Data ◽

Primary Data ◽

Banking Services ◽

Measurement Systems ◽

Level Of Understanding ◽

Measurement Practices

Increased competition and technological breakthroughs in banking services has sidelined the customer focus and opened new vistas of managing figures of success not only to show past performance rather as a strategy to sustain in business. This has led to many practices in banking as non standardized services. The non- core businesses subsidizing the core businesses on failure fronts also cause this deviation. Performance of any organization is one of the mechanisms to gain people's commitment towards achieving the stated objectives of the organization. This study is an attempt to address the questions, which includes: (a) the different performance measurement systems adopted by Indian companies in banking services; (b) the approaches used to measure the performance of the organization in banking services in India; (c) the different factors distorting the PMS of the organization and (d) the effectiveness of PMS and need for the change in the existing PMS. This study also aims to establish an equation between performance measurement practices and environmental variables in Indian banking services. The primary data as well as secondary data has been used to decipher the trends in performance measurement practices in banking services in India. The empirical study deciphers the trend used to identify the potential of banking services in context of economic and social changes underway in India. Although, banking industry is lagging behind in the level of understanding of performance measurement system, but the sector realizes the importance of effective PMS for the organization. The different banking companies are found to use different approaches to measure the performance. The performance measurement systems adopted by Indian companies are also found to be different than that followed by multinational banks. The role of social, economic and cultural factors is being realized by most of the service providers in India. Therefore, the development of performance measurement practices in this dynamic world is need of banking service business.