The “interactive” performance measurement system and team performance – Towards optimal organizational utility

Abstract

PurposeThis study aims to highlight the significance of Performance Measurement System (PMS) as an “interactive” system that adapts to the organization's peculiar operational setup, thereby delivering optimal employee performance management benefits. Using Schatzki's (2002) “site of the social” theoretical conceptualization, it aims to empirically investigate the influence PMS's such strategic adaptation could have on employees' team performance through its mediating effect on improving organizational learning and knowledge sharing.Design/methodology/approachIn pursuit of the set objective, we conducted a survey of 200 employees in public accounting firms located in the two major Indonesian cities of Jakarta and Surabaya. The survey yielded 89 responses of which 87 were deemed fit for empirical analyses. The statistical analyses of the data were performed using SmartPLS.FindingsThe statistical analyses using SmartPLS found evidence that the strategic use of the PMS positively influences team performance, both directly and indirectly, through its role in enhancing organizational learning; however, its role in enhancing knowledge sharing did not demonstrate leveraging team performance.Research limitations/implicationsThe study conclusions are based on a relatively small data sample and the context of a developing economy, and, hence, need to be replicated with caution.Originality/valueThe study contributes to the management accounting theory and practice and emphasizes the strategic use of PMS to help improve organizational performance. Its novel “site” and context directs researchers' and practitioners' attention to the “interactive”, rather than passive and standalone, use of PMS to influence team performance and instigates a new debate on the management tool's optimal use.

The Effect of Organizational Climate on Team Performance: The Role of Knowledge Sharing as Mediator

“…On the contrary, low group knowledge sharing will result in low team performance. The results of this study were supported by previous studies(Setiawan, 2020;Yuliansyah et al, 2021; Zulfadil et al, 2020), which also proved empirically that team performance is influenced by knowledge sharing.…”

“…Similarly, the lower the knowledge sharing in a team, the smaller the team's performance. Previous studies have empirically proven that knowledge sharing positively impacts team performance (Han et al, 2017;Setiawan, 2020;Yuliansyah et al, 2021;Zulfadil et al, 2020). Thus, the research hypothesis can be developed as follows: H3: Knowledge sharing has a positive impact on team performance.…”

Organizational learning, innovativeness and performance of financial service firms in an emerging market: examining the mediation effects of customer-focused strategy

“…Next, we worked on the aesthetics to facilitate the respondents in completing the survey and designed our questionnaire as a booklet, with a cover letter on its first page. Finally, the strategy applied by Yuliansyah et al (2016b) in their survey study on Indonesia is replicated by visiting the offices of companies after making appointments with the appropriate person in each company. The questionnaires were delivered by hand, and we visited the premises again over a period of two weeks to collect the completed questionnaires.…”

Environmental Education Performance Evaluation in a Higher Education Institution

“…Yuliansyah et al ( 2022 ) emphasize that PMS be an interactive system that adapts to the peculiar operational setup of the organization, thus providing benefits in performance management. Naji and Mousrij ( 2022 ) say that the performance evaluation system should be flexible and consider the particularities of each company.…”

“…The built evaluation model is easy to understand, easy to measure performance, identification of relevant issues and strategic focus, in addition to the operational one (Shriberg 2002 ); considers the uniqueness of the context and actors (Hamiti and Wydler 2014 ; Bero et al 2012 ; Micheli and Mari 2014 ; Leotta and Ruggeri 2022 ; Yuliansyah et al 2022 ); it is flexible, adaptable, interpretive and linked to the strategy (Micheli and Mari 2014 ; Marchand and Raymond 2018 ; Neely et al 1995 ; Naji and Mousrij 2022 ); and, it contributes to the development of actions and the decision-making process.…”