Measuring Organizational Performance: a Case for Subjective Measures

Singh, Satwinder and Darwish, Tamer K and Potocnik, Kristina (2016) Measuring Organizational Performance: a Case for Subjective Measures. British Journal of Management, 27 (1). pp. 214-224. ISSN 1045-3172

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Abstract

We review the organisational performance (OP) measurement literature highlighting the limitations of both objective and subjective measures of performance. We argue that, with careful planning, subjective measures can be successfully employed to assess OP. This is because often consistent, reliable and comparable compatible objective data on OP measures—particularly across countries and sectors—is difficult to come by. Considering that an inflated OP measure can be cross-checked with the use of secondary data, managers have little incentive to report such figures. As a result, when quizzed over the stand-alone performance measures of their organisations or vis-à-vis their rivals, managers accurately assess and respond to questions on the performance of their organisations. An in-depth statistical exercise conducted on the subjective measures of OP as reported by managers of four sets of companies in four separate countries, show consistent results, thus lending support to this premise.

Item Type: Article
Article Type: Article
Subjects: H Social Sciences > H Social Sciences (General)
Divisions: Schools and Research Institutes > Business School > Business and Human Resource Management
Research Priority Areas: Applied Business Research
Depositing User: Tamer Darwish
Date Deposited: 29 Sep 2015 13:09
Last Modified: 18 Mar 2017 02:15
URI: http://eprints.glos.ac.uk/id/eprint/2652

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