The (ir)relevance of performance measurement to performance management?

Authored by: Lin Fitzgerald , Rhoda Brown , Ian Herbert , Ruth King , Laurie McAulay

The Routledge Companion to Performance Management and Control

Print publication date:  August  2017
Online publication date:  August  2017

Print ISBN: 9781138913547
eBook ISBN: 9781315691374
Adobe ISBN:

10.4324/9781315691374.ch14

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Abstract

Common threads from influential performance management frameworks suggest that strategy defines the measures that drive organisational performance; the combined effects of targets and rewards motivate individual behaviour, and information flows from this process enable learning and adaptability, thus contributing to current and future performance (Fitzgerald and Moon, 1996; Otley, 1999, 2003; Kaplan and Norton, 2008). Empirical studies have provided some support for these frameworks (see Ferreira and Otley, 2009, for a review), and each stage in this process has received considerable elaboration, including studies of the formation of deliberative strategy as a top-down process, communicated by strategy maps (Kaplan and Norton, 2008); the development of performance metrics providing goal-driven motivation (Simons, 2005); the design of rewards to provide incentives (Simons, 1995; Kaplan and Norton, 2008); and the use of information flows for diagnostic, interactive, feedback and feed-forward control (Grafton, Lillis and Widener, 2010; Kaplan, 2010).

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