Contemporary performance measurement systems: A review of their consequences and a framework for research

Abstract

a b s t r a c tThe main purpose of this paper is to develop a conceptual framework for understanding the literature on the consequences of contemporary performance measurement (CPM) systems and the theories that explain these consequences. The framework is based on an in-depth review of 76 empirical studies published in high-quality academic journals in the areas of accounting, operations, and strategy. The framework classifies the consequences of CPM into three categories: people's behaviour, organizational capabilities, and performance consequences. This paper discusses our current knowledge on the impact of CPM, highlighting inconsistencies and gaps as well as providing direction for future research.

Realising the richness of psychology theory in contingency-based management accounting research

“…To do so, studies can draw on a variety of psychology theories from cognitive, motivational and social psychology (Birnberg et al, 2007). For example, Franco-Santos et al (2012) identify several psychology theories used to understand the effects of contemporary performance measurement systems, such as information processing, goal setting and justice theories.…”

Alliance strategy: context, process, and requirements

“…The purpose of this review paper is to offer academics and practitioners a dynamic model of managing inter-organizational performance. Our review of background literature identified five approaches that help us deal with disciplinary strands of research pertaining to how organizations create value (Franco-Santos et al, 2012). 26 We thank one of the reviewers for this insight.…”

“…This has resulted in a variety of models (Bititci et al, 2012) that must be interrelated to make conceptual and empirical progress in inter-organizational performance management (Franco-Santos et al, 2012). Our query resulted in the identification of five approaches (Figure 1).…”

“…waiting time), monetary value of services, and costs (e.g. transportation or stocks) (Franco-Santos et al, 2012). A reductionist perspective has its pros and cons.…”

“…Organizations increasingly function as an open system, fostering bridges between their internal and external context (Franco-Santos et al, 2012). Ultimately, regardless of an organization's cooperative relationship, primary stakeholders of the organization expect an organization to take its responsibility for developing and successfully executing its own strategy (Neely and Adams, 2003).…”