Suwimon Buathong and Sirilak Bangchokdee
The purpose of this paper is to examine the relationships between participation in performance measurement systems (PMS) and the use of performance measures; the use of…
Abstract
Purpose
The purpose of this paper is to examine the relationships between participation in performance measurement systems (PMS) and the use of performance measures; the use of performance measures and managerial performance; and participation in PMS and managerial performance in public hospitals in Thailand.
Design/methodology/approach
Data were collected using a mailed questionnaire. A total of 304 middle managers in public hospitals in Southern Thailand participated in the study. The data were analyzed using structural equation modeling.
Findings
The results reveal a positive relationship between participation in PMS and the use of performance measures, and a positive relationship between the use of performance measures and managerial performance. The results also indicate a positive relationship between participation in PMS and improved managerial performance.
Practical implications
Results indicate that top managers in hospitals should allow middle managers to have greater participation in their organization’s PMS. By sharing information between top and middle managers, a PMS can be developed that reflects the organization’s goals, as well as being suitable for departmental performance evaluation. This enhances PMS acceptance by middle managers, and reduces task ambiguity, leading to improved managerial performance.
Originality/value
As middle managers participate more in PMS, their acceptance of PMS increases. They then make greater use of both financial and non-financial performance measures to obtain comprehensive feedback about their department’s performance. This enhances their decision outcomes, resulting in improved managerial performance.
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Sirilak Bangchokdee and Lokman Mia
This paper aims to examine the role of senior managers’ use of financial and non-financial performance measures in the relationship between decentralization and organizational…
Abstract
Purpose
This paper aims to examine the role of senior managers’ use of financial and non-financial performance measures in the relationship between decentralization and organizational performance in the hotel industry.
Design/methodology/approach
Data were collected using a mailed questionnaire. General Managers in charge of medium-to-large hotels in Thailand completed the questionnaire. In total, 131 general managers, one from each hotel, participated in the study. Path analysis technique was used to test the hypotheses.
Findings
The results indicate that the general managers’ use of financial and non-financial performance measures fully mediates the relationship between the extent of decentralization of decision-making and hotel performance. The results reveal that the decentralization of decision-making alone is not enough to help a hotel improve its performance. Indeed, the relationship between decentralization of decision-making and hotel performance exists only via the general manager’s use of the performance measures. It is contended that a general manager’s use of the performance measures in a hotel encourages department managers to make appropriate decisions to successfully improve their department’s performance which, in turn, leads to increased performance of the hotel.
Originality/value
This study provides empirical evidence indicating how senior managers in hotels with decentralized decision-making could use performance measures to better manage their hotels, thereby improving the hotel’s performance. An in-depth analysis of the data reveals that the senior manager’s use of the non-financial, and not the financial, performance measures is a mediator of the relationship between decentralization of decision-making and hotel performance.
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Suwit Srimai, Nitirath Damsaman and Sirilak Bangchokdee
This paper aims to examine the role of performance measurement in the Thai public sector. It seeks to explore the interactive use of strategic performance measurement systems…
Abstract
Purpose
This paper aims to examine the role of performance measurement in the Thai public sector. It seeks to explore the interactive use of strategic performance measurement systems (SPMS) and organizational learning as a means to achieve strategic alignment at the provincial level of government, inter‐organizational networks of public agencies.
Design/methodology/approach
Questionnaires were sent to all chief officials of the Office of Governors in Thailand. Path analysis was used to test the hypotheses.
Findings
The findings revealed significant relationships between interactive use of SPMS and organizational learning and between interactive use of SPMS and strategic alignment. The results also showed an indirect effect of interactive use of SPMS on strategic alignment through organizational learning.
Originality/value
This paper provides a considerable contribution about the use of performance measurement in inter‐organizational networks which is relatively limited in the public arena.