A Study of Impact the Performance Management

1. INTRODUCTION

I would to introduce about this journal which the tittle is a study of impact on performance. This study investigates the use of performance measures and how performance measurement impacts performance. The performance measurement had a positive impact on organizational performance, further analysis suggested that the more rigorous the research method used, the less likely performance measurement would be found to have a positive impact. This study was conducted through multiple case studies in a single organization. Comparisons are made between performance measurement practices in comparable high and average-performing business units. The findings suggest that current research into the impact of performance measurement on performance may be too simplistic in its approach as much of the research relies on studying the physical and formal systems used, ignoring the types of factors found to be important in this study. Average-performing business units used the performance measurement system as a simple control system, whereas high performing business units were using the measurement on performance to \be developed. This journal highlights the importance of using performance measures interactively and suggests further research into Simon’s concept of ‘interactive control’.

1. SUMMARY

There are numerous balanced performance measurement frameworks and multiple processes for the design of performance measurement system. The problems if implementation has also been studied, but the whole area of how performance measures are used has attracted less attention until recently. This now appears to be the focus of current research and the use of performance measure is the subject of this paper. Currently there is a continuing debate in the performance measurement literature as to whether performance measurement has a positive impact on business performance or not.

Many practitioners embarking upon a redevelopment of their performance measurement system assume that their efforts will have a positive impact on the organization’s overall performance. This often their basic reason for beginning such a project, but published research suggests that success is not certain. The conclusion has to be that the research findings are contradictory. Whilst some studies have found that the use of non-financial performance measures has a positive impact on business performance. The impact of external context on perceptions of performance measurement effectiveness and one study that made the link to organizational performance. The impact of internal context has been more widely researched and there are many aspects cited, from organization size and structure, culture and management style, management resources and capabilities, to the interface between the measurement system and other processes and the maturity of the system itself. The measurement system is concerned with what is being measured and how the measures are structured. For example, the specific definition of the measure themselves is important, both the designer of the measures to clarify strategy and to the user of the measures to influence behavior and direct action.