Search results

The paper tests if and to what extent lean management system adoption generates abnormal profitability, and how it accrues over time. Configurational approaches to lean management systems and “S-curve” effects in lean implementation are used to ground the paper's hypotheses and interpret its findings.

Using the emerging view of lean as enterprise-wide management systems, this quasi-experimental study uses a difference-in-differences approach to estimate the abnormal profitability (ROIC) attributable to lean management system adoption. The paper leverages a unique data set of lean adopters nested in a panel data set (19 years) of 2,088 industrial firms matched by industry and firm size. It applies a variety of regression methods (two-way fixed effect panel estimator, propensity score matching, instrumental variable two-stage-least squares) to estimate the size of the abnormal profitability attributable to lean management systems, addressing endogeneity issues related to non-random sampling, omitted variable bias and reverse causation. It also analyzes the cross-firm variability of such abnormal profitability and how it accrues over time.

For the average non-adopter in the sample (44.3 million euro revenues), lean adoption generates abnormal ROIC ranging from 1.4% to 3.9%. These results come into effect approximately three years after starting lean adoption and peak after eight years. While the average abnormal profitability attributable to lean adoption is sizable, it varies significantly across firms and over time. This significant variation is compatible with firms' diverse ability to understand the complex inner workings of lean systems, and to design and implement them so that they improve profitability.

The conceptualization of lean as enterprise-wide management system can be further refined to more effectively categorize the components of lean systems and investigate the nature of their relationships. Lean system adoption measurement can be fine-tuned to better capture cross-firm and longitudinal heterogeneity. Future work can explore other dependent variables of interest to different stakeholders including shareholders' value, employment and environmental and social sustainability.

The financial benefits of adopting lean can be reaped to the extent to which managers embrace lean as a philosophy and implement it pervasively in the organization. A firm can use the study's estimates as a basis for making calculations about the returns of investment in lean adoption. The paper also shows that “getting the lean system right” makes a significant difference in terms of abnormal profitability, which is twice as large for the best lean adopters..

Compared with the promises of many lean proponents and supporters, the paper provides a more realistic view of what to expect from lean adoption in terms of profitability. Adopting lean as a comprehensive, enterprise-wide management system is not a universal panacea, but a complex endeavor, characterized by multiple complex decisions that require considerable capabilities, coordinated efforts and consistency of action.

Differently from extant research, this study does not study the correlation between the adoption of lean operation practices and financial performance but focuses on the abnormal profitability generated by the adoption of lean as a pervasive, enterprise-wide management system. Its research design allows to identify the differential profitability attributable to lean adoption and documents that it accrues non-linearly.

This paper aims to improve our understanding of performance measurement systems in the health and care sector, by focussing on employee reactions to core performance measurement practices. Targets and monitoring are hypothesised to be associated with employee perceptions of job control, supportive management and job demands, which in turn, are expected to be linked to employee-wellbeing and organisational commitment.

Matched employee workplace data are extracted from a nationally representative and publicly available survey. Structural equation models are estimated.

Performance measurement systems are neither perceived as resources nor additional demands. Setting many targets and a focus on productivity can lead to negative employee outcomes, since these positively correlate with perceptions of job demands, which negatively correlate with employee wellbeing. However, monitoring financial performance and monitoring employee performance may be helpful to managers, as these are positively associated with employee perceptions of job control and supportive management, which positively correlate with job satisfaction and organisational commitment and, negatively, with anxiety. Overall, common criticisms of performance measurement systems in healthcare are questioned.

Given the lack of consensus on how performance measurement systems can influence employee experiences and outcomes, this study combines theories that argue for performance measurement systems in managing operations with models developed by psychologists to describe how perceptions of the work conditions can affect employee attitude and wellbeing. A conceptual model is therefore developed and tested, and potential direct and indirect effects of performance measurement systems in the health sector are inferred.

The main purpose of this paper is twofold: to present a proposal for a model of educational quality management system within a process approach context for technical universities, and a conceptual model of a performance measurement system (PMS) towards the assessment of the quality level of management, core and support processes.

The paper encompasses two main parts: a theoretical portion and a case study. Within the theoretical background, the authors discuss the issue of educational quality management supported on a process approach perspective as well as performance measurement system in high education (HE). The case study reports the development of the concept of performance measurement system for technical universities.

The proposed system of educational quality management supported on a process approach, together with a conceptual model of the performance measurement system, can be implemented in every technical university. The identification of processes in the education quality management system permitted the development of the PMS. The model covers 32 key performance indicators (KPIs) for management processes, 39 for core processes and 19 for supporting ones.

The proposed performance measurement system is limited in its focus on educational processes and support of these processes. The evaluation of scientific and research activity and aspects related to financial resources is not pursued.

Elaboration of a conceptual model of a performance measurement system towards the assessment of the quality level of management, core and support processes is dedicated to technical universities.

The aim of this paper is to analyse how technological innovations in performance measurement systems make it possible to overcome some of the challenges that public healthcare organizations face where management and control are concerned. The changes that could be applied to the performance measurement system of healthcare organisations were analysed together with an evaluation of the responses developed in order to achieve these changes.

The paper contains an in-depth case-study of a public university hospital which utilises an innovative information system.

The case-study highlights how technological innovations in performance measurement systems impact the management and monitoring information system in a public university hospital, through the implementation of a multidimensional management dashboard.

The limitation of this paper is that only one case-study is analysed, albeit in depth, while it would be interesting to consider more public university hospitals.

The paper highlights the fundamental role of middle management in change processes in the healthcare sector.

The case-study highlights how critical the active involvement of middle management is in performance measurement and management, and how this is achieved thanks to the adoption of a simple, clear method which ensures comprehensible communication of the objectives, as well as the measurement of performance by means of radar plots.

Scholars have pointed out the need for improvement and refinement in public management research, also depending on the role of public administration for sustainable development. Because government organizations employ a substantial portion of the workforce, management practices in the public sector are critical areas for designing, implementing and delivering policies that can achieve the goals set forth in the 2030 Agenda for Sustainable Development. For these purposes, and in implementation of the Next Generation EU (NGEU) programme, Italy recently launched an ambitious National Recovery and Resilience Plan (NRRP) which includes, among other things, upskilling goals for staff employed, following the modernization process that has involved the Italian public sector in the last decades, with the Decree n. 150/2009. Aiming both to understand the extent of the application of the reform and to answer some basic questions (why, what and how) concerning Individual Performance Appraisal Systems (IPAS), we conducted a content analysis on the 220 documents already produced by the Italian Ministries. The study has been conducted in two different steps of the reform process and provides solid evidence of the reforms' effects on designing and implementing individual performance systems. The analyzed documents reveal no longer-term vision in implementing the IPAS that involves some critical performance management utilities such as training, development, fair pay and deployment of employees, raising new questions about a sustainable approach to the individual performance management process even in public organizations.

Social enterprises (SEs), part of the third sector, are hybrid organizations combining the pursuit of social scopes with commercial business solutions. In seeking for social value, they pair for-profit and non-profit features, thereby compensating for shortcomings of both the public sector and the commercial market. Therefore, the performance management of such organizations assumes a crucial relevance. Among the available tools, the balanced scorecard (BSC) aims to capture performance multidimensionality, at the same time fostering legitimacy towards stakeholders.

In general terms, the BSC has the limit to follow a linear and static logic of construction and functioning. For this reason, scholars combine it with system dynamics (SD) to create dynamic balanced scorecards (DBSCs). However, literature seems to devote scarce attention to the adoption of such analytic tools in the third sector, particularly in SEs. This chapter wants to contribute to bridging this gap by proposing a tailored application in the context of a social cooperative, active in the clothing recycle and in the re-integration of disadvantaged social categories. By referring to previous literature about DBSC, two modelling strategies are identified: the BSC-driven and the SD-driven. The latter, based on inductive reasoning, is the one privileged for the study because of its wider flexibility. The modelling outputs consider different perspectives than the ones within traditional BSCs, contain elements of circular causality and show how financial and non-financial performances interplay and co-determine each other. Insights from the proposed model can be useful to support both decision-making and stakeholder engagement.

The aim of this study is to empirically explore and analyze the concrete tasks of output measurement and the inherent challenges related to these tasks in a traditional and autonomous professional public work setting – the judicial system.

The analysis of the tasks is based on a categorization of general performance measurement motives (control-motivate-learn) and main stakeholder levels (society-organization-professionals). The analysis is exploratory and conducted as an empirical content analysis on materials and reports produced in two performance improvement projects conducted in European justice organizations.

The identified main tasks in the different categories are related to managing resources, controlling performance deviations, and encouraging improvement and development of performance. Based on the results, key improvement areas connected to output measurement in professional public organizations are connected to the improvement of objectivity and fairness in budgeting and work allocation practices, improvement of output measures' versatility and informativeness to highlight motivational and learning purposes, improvement of professional self-management in setting output targets and producing outputs, as well as improvement of organizational learning from the output measurement.

The paper presents empirically founded practical examples of challenges and improvement opportunities related to the tasks of output measurement in professional public organization.

This paper fulfils an identified need to study how general performance management motives realize as concrete tasks of output measurement in justice organizations.

Current literature recognised big data as a digital revolution affecting all organisational processes. To obtain a competitive advantage from the use of big data, an efficient integration in a performance measurement system (PMS) is needed, but it is still a “great challenge” in performance measurement research. This paper aims to review the big data and performance measurement studies to identify the publications’ trends and future research opportunities.

The authors reviewed 873 documents on big data and performance carrying out an extensive bibliometric analysis using two main techniques, i.e. performance analysis and science mapping.

Results point to a significant increase in the number of publications on big data and performance, highlighting a shortage of studies on business, management and accounting areas, and on how big data can improve performance measurement. Future research opportunities are identified. They regard the development of further research to explain how performance measurement field can effectively integrate big data into a PMS and describe the main themes related to big data in performance measurement literature.

This paper gives a holistic view of big data and performance measurement research through the inclusion of numerous contributions on different research streams. It also encourages further study for developing concrete tools.

This research studies the development of the evolving dynamic system model and explores the important elements or factors and what detailed attributes are the main influences model in achieving the success of a business, industry and management. It also identifies the real and major differences between static and dynamic business management models and the detailed factors that influence them. Later, this research investigates the benefits/advantages and limitations/disadvantages of some research studies. The studies conducted in this research put more emphasis on the capabilities of system dynamics (SD) in modeling and the ability to measure, analyse and capture problems in business, industry, manufacturing etc.

The research presented in this work is a qualitative research based on a literature review. Publicly available research publications and reports have been used to create a research foundation, identify the research gaps and develop new analyses from the comparative studies. As the literature review progressed, the scope of the literature search was further narrowed down to the development of SD models. Often, references to certain selected literature have been examined to find other relevant literature. To do so, a supporting tool (that connects related articles) provided by Google Scholar, Scopus, and particular journals has been used.

The dynamic business and management model is very different from the static business model in complexity, formality, flexibility, capturing, relationships, advantages, innovation model, new goals, updated information, perspective and problem-solving abilities. The initial approach of a static system was applied in the canvas business model, but further developments can be continued with a dynamic system approach.

Based on this study, which shows that businesses are developing more towards digitalisation, wanting the ability to keep up with the era that is moving so fast and the desire to increase profits, an instrument is needed that can help describe the difficulties of the needs and developments of the future world. This instrument, or tool of SD, is also expected to assist in drawing future models and in building a business with complex variables that can be predicted from the beginning.

This study will contribute to the SD study for many business incubator research studies. Many practical in business incubator management to have a benefit how to achieve the business performance management (BPM) in SD review.

The significant differences between static and dynamics to be used for business research and strategic performance management. This comparative study analyses some SD models from many authors worldwide. Their goals behind their strategic business models and encounter for their respective progress.

This paper aims to analyze the synergistic influence of performance appraisal (PA) practices and performance-driven culture (PDC) on the effectiveness of the performance management (PM) system, which is measured by employees' reactions, namely satisfaction and perceived utility. It also analyzes the type of relationship between PA practices and PA satisfaction, specifically whether it is additive or modeled as a latent factor.

This is a cross-sectional study. Data were collected from 513 managers and employees working in 135 public and private organizations. The research model and hypotheses were tested using structured equation modeling.

The results support the positive impact of a set of four PA best practices on PA satisfaction. It shows that PDC is an enabler for the effective deployment of PA practices. It also demonstrates that the perceived utility of the PM system plays a role as a mediator in the relationship between PA practices and PA satisfaction.

Data were collected using a questionnaire at a single point in time, and thus, cause-and-effect inferences were not possible.

The results provide guidance to organizations that are interested in designing and implementing PM systems and PA practices that contribute toward enhancing employees' managing performance experiences.

This study advances our understanding of the mechanisms by which organizational culture and PA practices influence the effectiveness of the PM system. It suggests that organizations, to benefit the most from a set of PA best practices, need to have a PDC.