Towards dynamic performance measurement systems - A framework for manufacturing organisations

Consensus prevails that performance measurement systems should reflect the strategic direction of a company. Strategies are dynamic in nature while existing measurement systems are stable and predictable. The paradox of combining strategies with measurement systems has created problems for companies as the strategic context alters. Even though the literature surrounding the field is vast and dense there is a gap regarding how to keep measurement system up to date and dynamic.With the existing problem in mind, the objective of this research is to develop a framework that will support the realisation of dynamic performance measurement systems in manufacturing organisations.The research in this thesis has adopted a systems approach and is built around four case studies and two literature studies. The case studies have been conducted at manufacturing organisations on three different continents. The first literature study focused on the general literature in the field whilst the second literature study focused on the characteristics of dynamic performance measurement system in particular.The end-result of this research is a framework based on 19 factors systemised under five sub-headings: review process, IT system, management, employees and culture. In excess of the 19 factors, an additional two factors focalising on the realisation of the framework in practice finalises the end-result.As the research is derived from an industrial problem, this thesis provides an insight for academics of the contemporary struggles of manufacturing organisations with their performance measurement systems. Moreover, this framework provides practitioners with a foundation for making their performance measurement systems compatible and suitable for ever-changing content.