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How different types of performance management systems affect organizational performance?
Measuring Business Excellence Pub Date : 2021-01-29 , DOI: 10.1108/mbe-03-2020-0045
Tarmo Kadak , Erkki K. Laitinen

Purpose

The purpose of this paper is to analyze the relationships between different types of performance management system (PMS) and organizational performance. The main task is based on an empirical typology of PMS to show how the different types of PMS are related to organizational performance.

Design/methodology/approach

The empirical typology is used on the creation on the sample of Estonian and Finnish firms.

Findings

The results show that the highest performance out of the four clusters is achieved by firms from strategy-focused multi-level and strategy-focused one-level clusters. They also show the highest quality of the key characteristics of PMS. Firms from the not-strategy-focused one-level cluster have the lowest performance and quality of the key characteristics of PMS.

Practical implications

The findings give a set of consistent guidelines on how to develop a PMS to achieve high organizational performance in different situations. These give hints, if strategic objectives are important to firm, then for achieving these objectives, also a strong emphasis of strategic aspects in PMS is necessary to gain performance; if the firm suffers from a lack of strategy, the firm should invest on the information aspects of PMS to get more relevant information to increase performance; if the firm, however, decides to move more strategy-oriented, then the strategy aspects of the PMS should get relatively more attention than other aspects in PMS, and they should be developed with care, otherwise performance will suffer.

Originality/value

This paper shows relations between empirically extracted clusters and organizational performance. The results show that clusters of PMS are systematically associated with the level of performance. Firms with different aspects of PMS do not achieve the equal level of performance. Firms with higher performance inside different PMS types have more desirable characteristics and aspects of PMS.



中文翻译:

不同类型的绩效管理系统如何影响组织绩效?

目的

本文的目的是分析不同类型的绩效管理系统(PMS)与组织绩效之间的关系。主要任务是基于 PMS 的经验类型学,以展示不同类型的 PMS 如何与组织绩效相关。

设计/方法/方法

经验类型学用于创建爱沙尼亚和芬兰公司的样本。

发现

结果表明,四个集群中的最高绩效是来自以战略为中心的多级集群和以战略为中心的一级集群的公司。它们还展示了 PMS 关键特性的最高质量。来自不以战略为重点的一级集群的公司在 PMS 的关键特征中的表现和质量最低。

实际影响

研究结果为如何开发 PMS 以在不同情况下实现高组织绩效提供了一套一致的指导方针。这些提示,如果战略目标对公司很重要,那么为了实现这些目标,在 PMS 中强调战略方面也是获得绩效的必要条件;如果公司缺乏战略,公司应该投资于 PMS 的信息方面,以获得更多相关信息以提高绩效;但是,如果公司决定更加以战略为导向,那么 PMS 的战略方面应该比 PMS 中的其他方面得到相对更多的关注,并且应该谨慎发展,否则绩效会受到影响。

原创性/价值

本文展示了经验提取的集群与组织绩效之间的关系。结果表明,PMS 集群系统地与绩效水平相关联。具有不同 PMS 方面的公司无法达到相同的绩效水平。在不同的 PMS 类型中具有更高绩效的公司具有更理想的 PMS 特征和方面。

更新日期:2021-01-29
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