The Relationship between Performance Measurement Systems and Strategic Proactiveness in Multinational Firms

2013 ◽  
Author(s):  
Lorenzo Patelli
Keyword(s):  
Performance Measurement ◽  
Multinational Firms ◽  
Measurement Systems ◽  
Performance Measurement Systems ◽  
The Relationship

Knowledge assets, capabilities and performance measurement systems: a resource orchestration theory approach

2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Kaveh Asiaei ◽  
Zabihollah Rezaee ◽  
Nick Bontis ◽  
Omid Barani ◽  
Noor Sharoja Sapiei
Keyword(s):  
Performance Measurement ◽  
Corporate Performance ◽  
Equation Modeling ◽  
Knowledge Assets ◽  
Content Type ◽  
Knowledge Resources ◽  
Measurement Systems ◽  
Resource Orchestration ◽  
Performance Measurement Systems ◽  
The Relationship

Purpose The pivotal role of knowledge management (KM) and its extensive implications have been debated in the academic literature with insufficient focus on its link to particular organizational control mechanisms such as performance measurement systems (PMS). To bridge this gap and building on resource orchestration theory, this paper aims to investigate the relationships between KM factors, PMS and corporate performance. Design/methodology/approach Based on a survey data set of 92 listed companies in Iran, the framework and hypotheses were tested using structural equation modeling (SEM) based on partial least squares (PLS). Findings The SEM-PLS results indicate that knowledge assets are significantly associated with both PMS and corporate performance while knowledge process capabilities (KPC) are not significantly associated with PMS and corporate performance. This study also shows that PMS mediates the relationship between knowledge assets and corporate performance. Practical implications The results suggest that the use of appropriate management control systems plays an effective role in synchronizing, aligning and orchestrating a company’s various knowledge resources, which, in turn, can lead to superior overall performance. Originality/value Building on a unique synthesis of resource orchestration theory and the knowledge-based view of the firm, the results of this study provide the first empirical evidence on how PMS intervenes in the relationship between knowledge resources (knowledge assets and KPC) and corporate performance.

Strategy, Choice of Performance Measures, and Performance

2006 ◽  
Vol 18 (1) ◽  
pp. 185-205 ◽  
Author(s):  
Wim A. Van der Stede ◽  
Chee W. Chow ◽  
Thomas W. Lin
Keyword(s):  
Performance Measurement ◽  
Performance Measures ◽  
Manufacturing Strategy ◽  
Measurement Systems ◽  
Nonfinancial Measures ◽  
Performance Measurement Systems ◽  
And Performance ◽  
The Relationship ◽  
Positive Effect ◽  
Extensive Performance

We examine the relationship between quality-based manufacturing strategy and the use of different types of performance measures, as well as their separate and joint effects on performance. A key part of our investigation is the distinction between financial and both objective and subjective nonfinancial measures. Our results support the view that performance measurement diversity benefits performance as we find that, regardless of strategy, firms with more extensive performance measurement systems—especially those that include objective and subjective nonfinancial measures—have higher performance. But our findings also partly support the view that the strategy-measurement “fit” affects performance. We find that firms that emphasize quality in manufacturing use more of both objective and subjective nonfinancial measures. However, there is only a positive effect on performance from pairing a qualitybased manufacturing strategy with extensive use of subjective measures, but not with objective nonfinancial measures.

The Roles of Organizational Politics and Fairness in the Relationship between Performance Management Systems and Trust

2015 ◽  
Vol 27 (1) ◽  
pp. 25-53 ◽  
Author(s):  
Chong M. Lau ◽  
Glennda Scully
Keyword(s):  
Performance Management ◽  
Performance Measures ◽  
Organizational Politics ◽  
Measurement Systems ◽  
Fairness Perceptions ◽  
Mediating Role ◽  
Perceptions Of Fairness ◽  
Performance Measurement Systems ◽  
Financial Performance Measures ◽  
The Relationship

ABSTRACT Organizational politics is ubiquitous in organizations. Yet to date, no prior research has investigated, in a systematic empirical manner, the mediating role of organizational politics in performance measurement systems. The primary purpose of this research is to investigate if perceptions of organizational politics mediate the relationships between performance measures and employees' trust in their superiors. As organizational politics may also affect employees' perceptions of fairness, a model is used to investigate (1) if performance measures affect organizational politics; (2) if organizational politics, in turn, affects procedural and interpersonal fairness; and (3) if fairness perceptions subsequently affect trust in superiors. Based on a sample of 104 responses, the partial least squares results indicate that organizational politics and fairness perceptions significantly mediate the nonfinancial performance measures and trust relationship. In contrast, the results indicate that the mediating effects of organizational politics and fairness on the relationship between financial performance measures and trust are generally insignificant.

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