Developing a Structured and Strategically Focused Performance Assessment System
The number and adequacy of Performance-Indicators
(PIs) for organisational purposes are core to the success of
organisations and a major concern to the sponsor of this research.
This assignment developed a procedure to improve a firm’s
performance assessment system, by identifying two key-PIs out of 28
initial ones, and by setting criteria and their relative importance to
validate and rank the adequacy and the right number of operational
metrics. The Analytical-Hierarchy-Process was used with a synthesismethod
to treat data coming from the management inquiries.
Although organisational alignment has been achieved, business
processes should also be targeted and PIs continuously revised.
[1] Neely, A., Gregory, M. and Platts, K., “Performance measurement
system design: a literature review and research agenda,” International
Journal of Operations and Production Management, vol. 25, no. 12, pp.
1228-1263, 2005.
[2] Franceschini, F., Galetto, M. and Maisano, D., Management by
measurement: Designing key indicators and performance measurement
systems. Torino: Springer, 2007.
[3] Porter, M., Competitive strategy: Techniques for analysing industries
and competitors. New York: The Free Press, 1998.
[4] Hammer, M., The process enterprise: An Executive perspective,
Hammer and Company, 2001.
[5] Bowlby, R., “Living the Future: Organizational Performance
Assessment,” Journal of Library Administration, vol.52, no. 6-7, pp.
626-652, 2012.
[6] Artz, M., Homburg, C. and Rajab, T., “Performance-measurement
system design and functional strategic decision influence: The role of
performance-measure properties,” Accounting, Organizations and
Society, vol. 37, no. 7, pp. 445-460, 2012.
[7] Neely, A., Mills, J., Platts, K., Richards, H., Gregory, M., Bourne, M.
and Kennerley, M., “Performance measurement system design:
developing and testing a process-based approach,” International Journal
of Operations and Production Management, vol. 20, no. 10, pp. 1119-
1145, 2000.
[8] Magretta, J. and Stone, N., What Management is: How it Works and
Why it’s Everyone’s Business. New York, NY: Free Press, 2002.
[9] Beamon, B., “Designing the green supply chain, Logistics Information
Management”, vol. 12, no. 4, pp. 332-342, 1999.
[10] Iveta, G., “Human resources key performance indicators,” Journal of
Competitiveness, vol. 4, no. 1, pp. 117-128, 2012.
[11] Kaplan, R. and Norton, D., “The balanced scorecard – measures that
drive performance,” Harvard Business Review, pp. 71-79, Jan-Feb.
1992.
[12] Eckerson, W., “Performance management strategies,” Business
Intelligence Journal, vol. 14, no. 1, pp. 24-27, 2009.
[13] Parmenter, D., Key performance indicators (KPI): Developing,
implementing and using winning KPI, 2nd ed., New Jersey: John Wiley
& Sons, Inc., 2010.
[14] Bossel, H., “Assessing viability and sustainability: a systems-based
approach for deriving comprehensive indicator sets,” Integrated Natural
Resource Management: Linking Productivity, the Environment and
Development, pp. 247-266, 2003.
[15] Office of the Auditor General of Canada (OAGC), 2008. Developing
performance measures for sustainable development strategies. (Online)
Available in: http://www.oag-bvg.gc.ca/internet/English/meth_gde_e_
23715.html (Acessed 31st October 2013).
[16] Saaty, T., “Decision making with the analytic hierarchy process,”
International Journal of Information Technology and Decision, vol. 8,
no. 1, pp. 7-27, 2008.
[17] Saaty, T., The analytic hierarchy process: planning, priority setting, and
resources allocation. New York: McGraw, 1980.
[18] Cabral, A., Melhoria do quadro de indicadores de avaliação do
desempenho numa empresa de bebidas. MSc Thesis, ISCTE-IUL,
Portugal, 2014.
[1] Neely, A., Gregory, M. and Platts, K., “Performance measurement
system design: a literature review and research agenda,” International
Journal of Operations and Production Management, vol. 25, no. 12, pp.
1228-1263, 2005.
[2] Franceschini, F., Galetto, M. and Maisano, D., Management by
measurement: Designing key indicators and performance measurement
systems. Torino: Springer, 2007.
[3] Porter, M., Competitive strategy: Techniques for analysing industries
and competitors. New York: The Free Press, 1998.
[4] Hammer, M., The process enterprise: An Executive perspective,
Hammer and Company, 2001.
[5] Bowlby, R., “Living the Future: Organizational Performance
Assessment,” Journal of Library Administration, vol.52, no. 6-7, pp.
626-652, 2012.
[6] Artz, M., Homburg, C. and Rajab, T., “Performance-measurement
system design and functional strategic decision influence: The role of
performance-measure properties,” Accounting, Organizations and
Society, vol. 37, no. 7, pp. 445-460, 2012.
[7] Neely, A., Mills, J., Platts, K., Richards, H., Gregory, M., Bourne, M.
and Kennerley, M., “Performance measurement system design:
developing and testing a process-based approach,” International Journal
of Operations and Production Management, vol. 20, no. 10, pp. 1119-
1145, 2000.
[8] Magretta, J. and Stone, N., What Management is: How it Works and
Why it’s Everyone’s Business. New York, NY: Free Press, 2002.
[9] Beamon, B., “Designing the green supply chain, Logistics Information
Management”, vol. 12, no. 4, pp. 332-342, 1999.
[10] Iveta, G., “Human resources key performance indicators,” Journal of
Competitiveness, vol. 4, no. 1, pp. 117-128, 2012.
[11] Kaplan, R. and Norton, D., “The balanced scorecard – measures that
drive performance,” Harvard Business Review, pp. 71-79, Jan-Feb.
1992.
[12] Eckerson, W., “Performance management strategies,” Business
Intelligence Journal, vol. 14, no. 1, pp. 24-27, 2009.
[13] Parmenter, D., Key performance indicators (KPI): Developing,
implementing and using winning KPI, 2nd ed., New Jersey: John Wiley
& Sons, Inc., 2010.
[14] Bossel, H., “Assessing viability and sustainability: a systems-based
approach for deriving comprehensive indicator sets,” Integrated Natural
Resource Management: Linking Productivity, the Environment and
Development, pp. 247-266, 2003.
[15] Office of the Auditor General of Canada (OAGC), 2008. Developing
performance measures for sustainable development strategies. (Online)
Available in: http://www.oag-bvg.gc.ca/internet/English/meth_gde_e_
23715.html (Acessed 31st October 2013).
[16] Saaty, T., “Decision making with the analytic hierarchy process,”
International Journal of Information Technology and Decision, vol. 8,
no. 1, pp. 7-27, 2008.
[17] Saaty, T., The analytic hierarchy process: planning, priority setting, and
resources allocation. New York: McGraw, 1980.
[18] Cabral, A., Melhoria do quadro de indicadores de avaliação do
desempenho numa empresa de bebidas. MSc Thesis, ISCTE-IUL,
Portugal, 2014.
@article{"International Journal of Mechanical, Industrial and Aerospace Sciences:71770", author = "Isabel Duarte de Almeida and João Vilas-Boas and Ana Abrantes Cabral", title = "Developing a Structured and Strategically Focused Performance Assessment System", abstract = "The number and adequacy of Performance-Indicators
(PIs) for organisational purposes are core to the success of
organisations and a major concern to the sponsor of this research.
This assignment developed a procedure to improve a firm’s
performance assessment system, by identifying two key-PIs out of 28
initial ones, and by setting criteria and their relative importance to
validate and rank the adequacy and the right number of operational
metrics. The Analytical-Hierarchy-Process was used with a synthesismethod
to treat data coming from the management inquiries.
Although organisational alignment has been achieved, business
processes should also be targeted and PIs continuously revised.", keywords = "Strategic performance assessment systems, Key
Performance Indicators (KPIs), Analytical Hierarchy Process (AHP).", volume = "9", number = "6", pages = "1157-7", }
