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Article
Publication date: 1 July 2006

Siu Mee Cheng and Leslee J. Thompson

A performance management system has been implemented by Cancer Care Ontario (CCO). This system allows for the monitoring and management of 11 integrated cancer programs (ICPs…

1146

Abstract

Purpose

A performance management system has been implemented by Cancer Care Ontario (CCO). This system allows for the monitoring and management of 11 integrated cancer programs (ICPs) across the Province of Ontario. The system comprises of four elements: reporting frequency, reporting requirements, review meetings and accountability and continuous improvement activities. CCO and the ICPs have recently completed quarterly performance review exercises for the last two quarters of the fiscal year 2004‐2005. The purpose of this paper is to address some of the key lessons learned.

Design/methodology/approach

The paper provides an outline of the CCO performance management system.

Findings

These lessons included: data must be valid and reliable; performance management requires commitments from both parties in the performance review exercises; streamlining performance reporting is beneficial; technology infrastructure which allows for cohesive management of data is vital for a sustainable performance management system; performance indicators need to stand up to scrutiny by both parties; and providing comparative data across the province is valuable. Critical success factors which would help to ensure a successful performance management system include: corporate engagement from various parts of an organization in the review exercises; desire to focus on performance improvement and avoidance of blaming; and strong data management systems.

Practical implications

The performance management system is a practical and sustainable system that allows for performance improvement of cancer care services. It can be a vital tool to enhance accountability within the health care system.

Originality/value

The paper demonstrates that the performance management system supports accountability in the cancer care system for Ontario, and reflects the principles of the provincial governments commitment to continuous improvement of healthcare.

Details

Journal of Health Organization and Management, vol. 20 no. 4
Type: Research Article
ISSN: 1477-7266

Keywords

Article
Publication date: 13 November 2009

Francesco Sole

This paper seeks to analyse the characteristics of performance measurement and management systems in public organizations and to highlight the main factors driving performance in

3990

Abstract

Purpose

This paper seeks to analyse the characteristics of performance measurement and management systems in public organizations and to highlight the main factors driving performance in this sector.

Design/methodology/approach

A literature review is carried out in order to outline the main issues related to the adoption and implementation of performance measurement and management systems in public organizations.

Findings

The paper provides better information on the performance measurement and management systems in public organizations, by analyzing the performance dimensions, the use of performance measures and the factors influencing the implementation of the performance management process.

Research limitations/implications

The paper presents a model for driving the implementation of a performance measurement system within public organizations and identifies the main factors influencing this process. The paper is conceptual in its nature and will be further developed through an empirical research investigating the role played by the identified factors.

Originality/value

The paper identifies the factors driving the performance management process in public organizations.

Details

Measuring Business Excellence, vol. 13 no. 4
Type: Research Article
ISSN: 1368-3047

Keywords

Article
Publication date: 6 July 2012

Chandan Kumar Sahoo and Sambedna Jena

The purpose of this paper is to illustrate the various performance management systems utilized by the manufacturing units.

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Abstract

Purpose

The purpose of this paper is to illustrate the various performance management systems utilized by the manufacturing units.

Design/methodology/approach

The paper reviews the performance management literature to extract the factors that would help to explain the effect of performance management system on manufacturing units.

Findings

This research revealed important issues and practices of performance management in manufacturing sectors.

Originality/value

The paper improves understanding of the different approaches utilized to manage and measure performance management system in the manufacturing sector.

Details

Industrial and Commercial Training, vol. 44 no. 5
Type: Research Article
ISSN: 0019-7858

Keywords

Article
Publication date: 20 July 2023

Arnaldo Camuffo and Alberto Poletto

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…

Abstract

Purpose

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.

Design/methodology/approach

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.

Findings

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.

Research limitations/implications

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.

Practical implications

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..

Social implications

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.

Originality/value

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.

Details

International Journal of Operations & Production Management, vol. 44 no. 2
Type: Research Article
ISSN: 0144-3577

Keywords

Open Access
Article
Publication date: 31 August 2023

Lilian M. de Menezes and Ana B. Escrig-Tena

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…

1675

Abstract

Purpose

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.

Design/methodology/approach

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

Findings

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.

Originality/value

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.

Details

International Journal of Operations & Production Management, vol. 43 no. 13
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 1 May 1997

Umit S. Bititci, Allan S. Carrie and Liam McDevitt

The performance management process is seen as a closed loop control system which deploys policy and strategy, and obtains feedback from various levels in order to manage the…

20824

Abstract

The performance management process is seen as a closed loop control system which deploys policy and strategy, and obtains feedback from various levels in order to manage the performance of the business. The performance measurement system is the information system which is at the heart of the performance management process and it is of critical importance to the effective and efficient functioning of the performance management system. Research identifies two critical elements with respect to the content and structure of the performance measurement system. These are: integrity and deployment. The viable systems model (VSM) provides a framework for assessing the integrity of the performance measurement system. The reference model developed for integrated performance measurement systems provides a framework against which performance measurement systems can be designed and audited.

Details

International Journal of Operations & Production Management, vol. 17 no. 5
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 26 December 2022

Andrey Pavlov and Pietro Micheli

Traditional approaches to organizational performance management that emphasize objectivity, control and predictability are rapidly losing relevance in an environment characterized…

2549

Abstract

Purpose

Traditional approaches to organizational performance management that emphasize objectivity, control and predictability are rapidly losing relevance in an environment characterized by increasing levels of complexity and dynamism. This paper draws on complexity theory to suggest a new paradigm for managing performance in organizations.

Design/methodology/approach

The paper draws on the common features of complex systems and the corresponding concept of emergence to revisit key themes in organizational performance management and propose a set of implications for research and practice.

Findings

Understanding organizations as complex systems and performance as an emergent property of such systems leads to a set of new research questions, the adoption of alternative methods and the formulation of novel propositions. It also has various implications for both academic research and managerial practice, from moving away from the traditional notion of organizational alignment to adopting a more explicit stakeholder-based view in the design and use of measurement systems.

Originality/value

The paper highlights the great potential of complexity theory for addressing contemporary issues in the field of organizational performance management and charting the landscape for its future development.

Details

International Journal of Operations & Production Management, vol. 43 no. 6
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 11 April 2023

Aneta Kucińska-Landwójtowicz, Izabela Dagmara Czabak-Górska, Marcin Lorenc, Pedro Domingues and Paulo Sampaio

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…

Abstract

Purpose

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.

Design/methodology/approach

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.

Findings

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.

Research limitations/implications

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.

Originality/value

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.

Details

International Journal of Quality & Reliability Management, vol. 40 no. 10
Type: Research Article
ISSN: 0265-671X

Keywords

Article
Publication date: 3 November 2022

Jiangang Wang and Fanghong Liu

This study attempts to examine the performance differences between firms with and without integrated management systems (IMSs), and the impact of three integration strategies…

Abstract

Purpose

This study attempts to examine the performance differences between firms with and without integrated management systems (IMSs), and the impact of three integration strategies (i.e. implementing quality management system (QMS) first, then environmental management system (EMS) (QMS + EMS); implementing EMS first, then QMS (EMS + QMS); implementing QMS and EMS simultaneously (QMS − EMS)) on firm performance to reveal the IMS–performance relationship and provide empirical evidence.

Design/methodology/approach

Two panel datasets were collected during 2009–2019. This study used the Mann–Whitney non-parametric test and a sample of 33,155 observations from 4,316 Chinese listed firms to compare the performance differences between the IMS and non-IMS groups through performance indicators. This study also examined the effects of three integration strategies on firm performance using a cross-sectional time-series feasible generalized least squares (FGLS) regression model and a sample of 11,289 observations from 2,037 firms.

Findings

The results show that significant performance differences exist between IMS and non-IMS firms; however, the performance of firms with an IMS is not always better than that of firms without IMS. Furthermore, the simultaneous integration strategy has a positive impact, whereas sequential integration strategies (QMS + EMS and EMS + QMS) negatively affect firm performance. Compared with the EMS + QMS strategies, the QMS + EMS strategies have a more prominent effect on firm performance. Simultaneous strategies are more effective than sequential strategies.

Practical implications

Firms should fully consider the potential benefits and costs associated with the difficulties of IMS implementation and the implementation order of different management systems and the potential effects of the management systems in different conditions. Firms also should try to develop internal capabilities through implementing different integration strategies.

Originality/value

By comparing performance differences between firms with and without IMS, this study enriches the understanding of the performance benefits of IMS implementation in the Chinese context. By examining the impact of integration strategies that follow different sequences on firm performance, this study promotes an in-depth understanding of the integration strategies and their performance implications beyond simple descriptions and also provides new insights into operations strategy models.

Details

International Journal of Operations & Production Management, vol. 43 no. 2
Type: Research Article
ISSN: 0144-3577

Keywords

Article
Publication date: 4 August 2022

Grid Rangsungnoen

The Baldrige criteria for assessing business performance excellence (BCPE) suggests a relationship among seven self-assessment categories. The purpose of this paper is to take an…

Abstract

Purpose

The Baldrige criteria for assessing business performance excellence (BCPE) suggests a relationship among seven self-assessment categories. The purpose of this paper is to take an in-depth look at the BCPE by testing the causal relationship among categories grouped into four basic dimensions – driver triad, work core, outcomes, and brain centre. Identifying meaningful interrelationships for leaders helps them transform their organisations to achieve performance excellence.

Design/methodology/approach

A systems perspective supports system mapping for understanding meaningful interrelationships among dimensions and mediating factors affecting business performance excellence. A 35-item questionnaire designed to measure seven categories of the BCPE (version 2022–2023) was administered to export and import (EXIM) businesses across Thailand. Valid responses (n = 290) were analysed through SPSS and AMOS via structural equation modelling (SEM) to test the hypotheses and explore the influencing factors.

Findings

A strong systems perspective focus is essential for high organisational performance. The result reveals that all seven BCPE categories are significantly linked. In addition, mediation analysis (taking selected mediators) proved hypothesised cause-and-effect relationship as significant. The results demonstrate that the brain centre plays a crucial role in driving business success promulgating its influence within the model.

Research limitations/implications

This study provides the necessary backgrounding in systems perspectives confirming that the BCPE premises on a set of four basic dimensions: driver triad (leadership, strategy, and customers category), work core (workforce and operations category), brain centre (measurement, analysis, and knowledge management category), and outcomes (results category). These four dimensions define the essentials of an integrated management system. Further, the study shows that measurement, analysis, and knowledge management directly influenced customer focus, the highest coefficient path among the criterion in the Baldrige framework. This is the critical driver in predicting performance outcomes via meaningful feedback.

Practical implications

From a managerial point of view, the structured system management framework proposed provides a specific guide for the alignment in quality management, which can change its practice in business management and award assessment. The results evidence a significant relationship among driver triad, work core, brain centre, and outcomes to propose a form of system management. The findings help award examiners or business practitioners provide system mapping for evaluation – i.e. how well organisations meet their goals and how best to prepare feedback reports to applicants that paint meaningful pictures.

Originality/value

This study promotes a systems perspective when approaching business performance excellence, whereas other studies provide evidence to individual relationships. Moreover, the examined interrelationship among dimensions – driver triad, work core, outcomes, and brain centre – provide novel system mapping to guide managers, practitioners, or award examiners in evaluating quality management practice.

Details

The TQM Journal, vol. 35 no. 7
Type: Research Article
ISSN: 1754-2731

Keywords

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