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The essential investments in new product development (NPD) made by industrial companies entail effective management of NPD activities. In this context, performance measurement is one of the means that can be employed in the pursuit of effectiveness.

This study aims to investigate the relative weight of financial and non-financial performance measures used to evaluate production managers (such as shop floor managers or foremen) in a modern manufacturing setting.

Using survey data from Japanese factories, the paper examines the association between the choice of profit, cost, and non-financial performance measures with two characteristics of manufacturing systems: interdependence and multi-tasking.

The results indicate that interdependence has a significant and positive association with the importance of profit information, while multi-tasking is associated negatively with the importance of profit information, and positively with non-financial information for performance evaluation.

In recent years, a significant shift has been observed in Japanese production management with many companies now focusing on profit information instead of cost information. For example, the past studies show that large Japanese manufacturing companies are now using micro-profit centres and include profit information when evaluating factories. However, little empirical evidence is available on performance measurement at the shop floor foreman level, and even less is known about the importance of profit information in the evaluation of these lower level managers.

This paper intends to ascertain a general guideline for performance measurement and management by social enterprises, combining public and private tasks.

The conceptual systems approach is used as a framework. Maintenance service delivery by Dutch housing associations is used as a case study to show how the conceptual systems approach to performance measurement can be helpful to address the managerial problems of social enterprises, the actors involved and the possible consequences of new policies and interventions.

The system approach to performance measurement has the tools to bring transparency to the aims and means of the various participants in the production process of social enterprises having complex aims and tasks both in the market and in the public domain. The identification of key performance indicators, as well as the input, throughput, output and outcome indicators, ensures the effectiveness and efficiency of the internal business process and also covers the accountability to external stakeholders.

The conceptual systems approach to performance measurement was tested by Dutch housing associations. Researchers are encouraged to test the conceptual systems approach to performance measurement in other social enterprises.

The complexity of the public housing sector and generally social enterprises needs transparent performance measurement. This complexity – due to dynamics in the surroundings – also causes measurement problems. When deciding on performance indicators it is essential to gain a clear idea of the manageable and unmanageable dynamics and to adjust the performance measurement system accordingly.

The importance of performance measurement by social enterprises is growing. The paper shows how the conceptual systems approach can still be very helpful to identify performance indicators combining tasks in the market and public domain.

This study explores how information and communication technologies (ICT) can contribute to empowerment in an Industry 4.0 setting.

The results are based on a case study of a Norwegian manufacturing organisation that has highly automated production and an integrated ICT platform. Data analysis was guided by the Smith and Bititci (2017) framework for performance measurement and management.

When powered by advanced ICT, the performance measurement system matures. The design and development of the ICT platform also reinforce the organisation's existing performance management practices. Empowerment is strengthened when automated collection, analysis and reporting of performance data free up middle managers' time so that they, together with operators, can drive continuous improvement.

The findings are limited to a single case study and require further testing for transferability to other organisations. Future research should explore whether performance management practices are also reinforced by ICT in more command- and control-oriented organisations.

The paper suggests an alternative strategy of Industry 4.0 transformation for organisations committed to empowerment. Such organisations should rely on in-house, iterative ICT development and build digital competence broadly.

This article contributes to the understanding of how performance measurement and management are interrelated and evolve in the context of Industry 4.0. To the best of the authors’ knowledge, highlighting the role of middle managers in empowering operators through continuous improvement is novel in the performance measurement and management literature.

Shows how the pursuit of excellence and the organizational change required by lean production leads to a management‐by‐process organization, and that management by process influences the performance measurement system (PMS). Uses Zanussi‐Electrolux ‐ the biggest European producer of domestic appliances ‐ as a case study example. Provides a detailed analysis of the organizational change and its effects on performance measurement.

Notes limitations to measuring the performance of design activity in particular, and non‐production activities in general. First, validity and reliability in specific measures are strongly negatively correlated, making it hard to achieve both. Second, outcome measures are jointly determined by engineering design and other activities to varying degrees, and this problem of shared outcomes is only partly reduced by measuring at higher levels of aggregation. Third, there is no definite stopping rule for engineering design activity, yet unambiguous outcome measures rely on the existence of such a rule. Fourth, outcomes attributable to engineering design can sometimes only be measured a long time after completion of the activity, making them ineffective for most managerial purposes. There are also considerable problems in properly accounting for environmental variables. However, the use of performance measures have some benefits, e.g. correcting wrong inferences among engineering managers. Results point to the appropriate use of performance measurement in engineering design for raising questions and detecting discrepancies in performance at aggregate levels. They suggest that using measurement is inappropriate for managerial control, for attributing results to engineers or the environment, and for concluding problem solving activities.

Presents an original integrated production performance measurement system (IP2MS) based on a model able to examine simultaneously several production performances of different operation centres of a firm. The need for an integrated examination of the performances is of crucial importance for today’s manufacturers in order to achieve a competitive advantage. Obtains a quantitative and homogeneous appraisal of the production performances; furthermore, identifies activities responsible for the major differences between actual and desired levels of performance. The proposed model has been empirically tested in some significant medium‐large enterprises of Northern Italy.

The purpose of this paper is to focus on the analysis of the characteristics and gaps of a literature fragment from the international scientific publications on performance evaluation in lean production, aiming to generate new knowledge and suggestions for future scientific research.

The authors have adopted “ProKnow-C” methodology, a qualitative research approach that is used for literature selection, identification, analysis and reflection on the established characteristics.

From a bibliographic portfolio of 67 research works, 91 per cent of the works have individual metrics and 84 per cent have sets of metrics. Evaluating the focus of the performance measurement system, 34 per cent of works measure performance, 43 per cent compare performance and only 18 per cent assist in strategic planning. Evaluating the phases of the PMS life cycle, 87 per cent attend to the design, and 66 per cent attend to the activities of data collection, allow diagnosis, evaluate performance and communicate results. However, only 3 per cent of the studies analysed the use of PMS after its implementation and no research evidenced the review of metrics and objectives based on strategic planning.

The search formula to capture the bibliographic portfolio (BP) was limited to the following terms: performance measurement, performance evaluation, performance assess*, performance appraisal, management, indicator*, critical factors, best practices, lean production, lean manufacturing and lean system. The BP was determined based on the limitations set by the research authors: articles published in English and Portuguese languages, from 2000 to 2018, in the Engineering Village, Scopus, EBSCO, Web of Science, ProQuest and Science Direct databases, which were freely available on the internet. Lastly, conceptual knowledge was used to select the articles, so there is a chance that unintentional losses could happen.

As practical implications for practitioners, the authors have identified that a PMS from an organisation that aims to become “lean” needs to be defined and revised considering its strategy, adjusting its set of metrics and targets to the internal and external challenges. As practical implications for researchers, opportunities have been identified to develop longitudinal studies in PMS utilisation and review to understand how the measurement system must evolve over time through changes in the internal and external environments of organisations.

This research adds value because its results allow researchers and practitioners to visualise the boundaries of the knowledge from the BP, about performance management in lean production, and what their gaps are in relation to the reference model of performance evaluation. This research is original because it was not observed in the literature review, a research that used the ProKnow-C methodology for analysis of the alignment and gaps between lean production and performance evaluation.

The purpose of this paper is to identify the fundamentals of a performance measurement system (PMS), in order to ascertain if they satisfy the measurement requirements of business process management (BPM) by means of a systematic review of the literature.

The paper uses meta‐analysis to systematically review and examine existing BPM and PMS from the business, non‐business and public sectors. A specific methodology using categorization concept was used to select the appropriate articles. In total, 42 relevant articles are selected and later analyzed. A subsequent content analysis of the information obtained is applied to identify the gaps in the current literature.

The growing interest in PMS has produced an extraordinarily large numbers of papers on the topic. This paper found that, by and large, the PMS as advocated by various authors for over 20 years (since 1990) failed to fulfill the measurement requirements of BPM. This is alarming, considering that past critics of PMS have indicated that the weaknesses of PMS in relation to BPM applied only in isolated or specific situations such as information technology (IT). These findings dispel the notion that a PMS is a prerequisite to the introduction of an effective BP in organizations.

This paper has identified the gaps (weaknesses) of current PMS in meeting the measurement requirements of BPM. This paper proposes a theoretical integrated framework which encompasses a management system, that combines with a measurement system and business processes, and which can be implemented using the popular value‐chain methodology to measure and compare performance within BP organizations.

The results presented contribute towards providing an updated overview of the current state of research into PMS and its relevance to BPM, in order to identify existing research gaps, issues and concerns upon which ongoing and future research efforts on this topic can be built.

The purpose of this paper is to clarify the prerequisites for performance measurement supporting purchaser-supplier relationships and value co-creation. It also explains the causes for the limited use of collaborative measurement.

Four case companies representing different contextual settings are studied. The primary source of empirical material is an interview study addressed to 24 interviewees. The empirical data are analyzed according to the constructs created as a result of the literature review.

The results reveal that prevailing performance measurement practices represent a more transactional than relationship-oriented approach to purchaser-supplier collaboration. The technical prerequisites for collaborative performance measurement are mostly not fulfilled, inhibiting the use of performance measurement in a collaborative manner. It is proposed that the differentiation between project and process production types has implications on the importance of collaborative performance measurement.

The paper illustrates the desirable characteristics of performance measurement supporting collaboration. It also presents an application of collaborative performance measurement in a single case context. The research reveals the need to develop non-financial performance measures further in order to facilitate the more proactive use of performance measurement supporting true value co-creation between purchaser and supplier companies.

The empirical research on the topic of performance measurement in purchasing and supply management (PSM) is often limited to intra-organizational measurement and highlights transactional approach to collaboration between parties, although PSM research has otherwise acknowledged the importance of value creation and relationships between organizations.