Contemporary performance measurement and management (PMM) in digital economies

Figures & data

Figure 1. Organisational strengths in three areas to benefit from big data (Barton and Court 2012).

Table 1. Resilient features of contemporary PMM.

No	Resilient features of contemporary PMM	Sources of evidence
1	Organisations collaborating on global network and the need to move from measurement to evaluation	Aurich et al. (2010), Chaffey and Ellis-Chadwick (2012), Keegan (2011), Micheli and Mari (2014), and Nudurupati et al. (2014)
2	Collaborating organisations co-creating value together in improving performance	Tuli, Kohli, and Bharadwaj (2007), Payne, Storbacka, and Frow (2008), Vargo and Lusch (2008), Vargo, Maglio, and Akaka (2008), Mukhtar, Ismail, and Yahya (2012), Barrutia and Gilsanz (2013), and Nudurupati et al. (2015)
3	Organisations do integrate sustainable agenda into PMM	Elkington (1994), Melnyk et al. (2010), Walker and Jones (2012), Taticchi et al. (2014), and Marshall et al. (2015)
4	Using IoT for innovative ways of improving performance	Geri and Geri (2011), Swan (2012), Kamalanathan et al. (2013), Tyagi, Darwish, and Khan (2014)
5	Organisations need to capture, store and process big data? Why and how does it influence PMM	Barton and Court (2012), Bititci et al. (2012), Chen, Chiang, and Storey (2012), Davenport and Patil (2012), McAfee and Brynjolfsson (2012), Waller and Fawcett (2013), and Mello, Leite, and Martins (2014)
6	Organisations need to innovate by transforming positivistic to pragmatic view of PMM	Chaffey and Ellis-Chadwick (2012), Bititci et al. (2012), Micheli and Mari (2014), and Nudurupati et al. (2015)
7	Organisations should transform its culture: • Develop capabilities to handle big data sets • Develop skills such as analytical and literacy • Develop knowledge workforce • Encourage facts/information based decision-making	Johnston and Pongatichat (2008), Bititci et al. (2012), Chen, Chiang, and Storey (2012), Davenport and Patil (2012), Franco-Santos, Lucianetti, and Bourne (2012), Barton and Court (2012), Melnyk et al. (2014), and Hogarth and Soyer (2015)

Table 2. Resilient features of contemporary PMM: evidence from case.

Themes	Resilient features of contemporary PMM	Findings from case
Collaboration and co-creation	• Organisations collaborating on global network and the need to move from measurement to evaluation • Collaborating organisations co-creating value together in improving performance	• Trust, security and responsibility are important in collaboration and co-creation • Create common platform to share relevant skills and resources and thus engage in joint continuous improvement activities through common goals and measures • Substitute traditional contracts with standard cost (positivistic) measures with outcome based contracts supplemented with behavioural measures
Sustainable agenda	• Organisations do integrate sustainable agenda into PMM	• In addition to economic measures, environmental and societal measures are necessary for competitive advantage • A comprehensive strategy should bring together all three aspects and provide a basis for environmental and societal metrics
Big data and IoT	• Using IoT for innovative ways of improving performance • Organisations need to capture, store and process big data? Why and how does it influence PMM	• Fallacy of embracing technology could lead to business disadvantage • Understand the benefits of new technological advancements and integrate its adoption through strategy • Most of the technological developments discussed lead to more data and hence simple to use techniques are needed for decision-makers • Useful technology that enhanced decision-making include: IoT and social media
Organisational culture	• Organisations need to innovate by transforming positivistic to pragmatic view of PMM • Organisations should transform its culture: • Develop capabilities to handle big data sets • Develop skills such as analytical and literacy • Develop knowledge workforce • Encourage facts/information based decision-making	• Transforming positivistic to pragmatic measurement mentality requires huge effort in behavioural transformation • Develop simple but easy to use analytical skills and capabilities to process both objective and subjective data for enabling proactive and evidence based decision-making • Knowledge work force is important in the digital era in order to cope with the frequent external business fluctuations and hence changes to their PMM • People should not only demonstrate their technical skills but also need to demonstrate people skills

Figure 2. Transforming organisational strategy and PMM in the digital era.

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