On the Road to Improved Performance

Abstract

The rationale behind performance measurement requirements at all levels of government has to do with changing the way budget decisions are made. Supporters of performance measurement requirements argue that the use of performance measures will enhance, or even change, the way that budget discussions and subsequent decisions are made. This research addresses the following questions: How does the implementation and use of performance measures change the way that actors in the budget process communicate? Do performance measurement activities change traditional relations and communication patterns? Further, does communication with the public also change? This paper presents data from a recent national survey of state and local governments. Findings show that the implementation of performance measures and the use of performance data in the budget process change the perceptions and actual communication patterns of policymakers, budgeters, and agency and department staff, as well as the media and public. Comparisons are offered among levels of government, as well as across agency types and budget actors. An explanatory model is presented addressing the relation between organizational factors and communication outcomes. This research is important in furthering our understanding of how budget decision processes are affected by the implementation of performance measurement requirements and processes.

Keywords:

• budget process
• organizational communication
• performance data
• performance measurement