The defence performance measurement framework: measuring the performance of defence organisations at the strategic level

Abstract

As the gap between strategic commitments and budgetary constraints continues to grow, defence organisations have introduced performance management initiatives to support decision-making and to improve governance. However, introducing managerial practices in public organisations, including defence, proves to be challenging. As performance management initiatives within defence suffer from an implementation gap, strategic benefits are not being harnessed. In our study, we first exploit the results of a Systematic Literature Review to better anchor the encountered challenges within literature. We then apply thematic analysis to a unique dataset from twelve NATO countries to propose a new defence-specific performance management framework for the strategic level. As the new framework preserves the benefits of existing initiatives while mitigating most recorded challenges, it is proposed as a new guide for designing and assessing defence performance management efforts. Thereby, professionals and scholars are provided with a powerful instrument to address the implementation gap. Moreover, the theoretical and empirical lens adopted ensures alignment between performance management initiatives, defence policy, defence strategy, and strategic objectives. Notably, policy goals and strategic "ends" are clearly connected to critical processes and resources. Thereby, the new framework better supports discussions with key defence stakeholders pertaining to the gap between commitments and constraints.

Security and defense are truly a priority for the member states of the European Union: fact of hoax?

“…Economy and society can only prosper if the state guarantees these. During the preparation of this article, very useful was also the publications and articles of other reputable authors such as Smith (2017), Kennedy (1983), Horák (1998), Dutta (2005), Hartley (2011) and Soares et al (2021), who in their works highlight the importance of economies of defence in practice and its impact on society and its security (Pruchnicki et al, 2022). From the domestic sources, we have used mainly work of Holcner et al (2012), Mikušová Meričková and Stejskal (2014), Medveď et al (2011), Ivančík (2012, Lasicová and Ušiak (2012) Kazanský (2015), or Hajdúková et al (2022) which stress the necessity of ensuring national defence and security for the peaceful development of society and the interconnection of the economy and national defence.…”

Revising a performance measurement and control system of an organization

“…An insufficient budget for “not-for-profit” organizations has a negative impact on their ability to achieve organizational goals. For example, Soares et al (2022) point out that when the gap between strategic commitments and budgetary constraints continues to grow within the defense industry, an implementation gap is generated, and strategic benefits are not harnessed. Although “not-for-profit” organizations do not use profit as a performance indicator, they mostly use quality and productivity indicators in their PMCS.…”