Functions of a performance measurement system, Strategic Management

Assignment Help:

The functions of a performance measurement system;

- Publicise direction for 'everyone to follow' e.g. partners, managers, directors, team members and other stakeholders.

- Control the organisation e.g. establishment of targets, reporting lines and accountability in order to measure performance over time.  Assessing performance regularly by comparing actual results to targets set; will help achieve greater control over the organisations direction. An effective process can avoid short-term behaviour and improve long-term direction and corporate goal congruence.

- Helps organise the businessactivities, processes as well as resources to help achieve performance measures e.g. to help allocate and plan resources like time, money and equipment. An effective process helps develop greater integration and better coordination over the organisation's activities when formalised

- It will help communicate performance within and outside the organisation e.g. communicate plans, objectives and goals down the formal chain of command with feedback communicated by the establishment of reporting lines and systems. It would also enhance stakeholder perceptions of the business e.g. investors andcustomers.

- Evidence designates performance of organisations can be enhanced when using an effective system of performance measurement.


Related Discussions:- Functions of a performance measurement system

What is competitor myopia, Instant competition blinds a company to latent c...

Instant competition blinds a company to latent competitors who can demolish the old ways of doing business.

Social choice mechanism, Assume a city of 1 million people, 75% of who are ...

Assume a city of 1 million people, 75% of who are willing to pay $1 maximum (each) to clean up pollution. The rest of the population is willing to pay $100 each to clean up polluti

Evaluate the dividend yield, Q. Evaluate the Dividend yield? Creating ...

Q. Evaluate the Dividend yield? Creating shareholder value  Dividend yield Dividend yield     = (Dividend per share / Market share price) x 100% The dividend yiel

Targeting , targeting strtegics with live examples

targeting strtegics with live examples

Material facts - sample case briefing, Material Facts: The defendant'...

Material Facts: The defendant's son held an "open invitation" party at  his  parent's home.  Guests, to include minors, were  encouraged  to  "bring their own  bottle." The p

Planning for sustainability, A university has a small dorm with four rooms,...

A university has a small dorm with four rooms, in which three sophomores, A, E, and J, and a freshman, C, are residing. Not being equipped with gas/electricity meters for individua

Dominant strategy combination, Janet decides to play a game with her childr...

Janet decides to play a game with her children, Jay and Jill (who are fraternal twins) and Mo. Each child is in their own room and cannot communicate with each other. Suppose Jill

Evaluate total shareholder return, Q. Evaluate Total shareholder return? ...

Q. Evaluate Total shareholder return? Total shareholder return (TSR) TSR = {(Dividend per share + Growth in share price) / (Market share price at the start of the period)

Write Your Message!

Captcha
Free Assignment Quote

Assured A++ Grade

Get guaranteed satisfaction & time on delivery in every assignment order you paid with us! We ensure premium quality solution document along with free turntin report!

All rights reserved! Copyrights ©2019-2020 ExpertsMind IT Educational Pvt Ltd