Measuring Performance and Controlling Business: Models and Systems for Managers

This dissertation explores the importance of implementing new models and systems for managers to measure performance and control business. It discusses different models and systems adopted by managers for measuring and controlling business, their benefits, challenges, and more.

“MEASURING PERFORMANCE AND
CONTROLLING BUSINESS: MODELS AND
SYSTEMS FOR MANAGERS”
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Contents
Contents...........................................................................................................................................2
INTRODUCTION...........................................................................................................................3
1.1 Background of the research...................................................................................................3
1.2 Importance of the research.....................................................................................................3
1.3 Research questions.................................................................................................................4
1.4 Research aim and objectives..................................................................................................4
1.5 Snapshot of the methodology................................................................................................4
1.6 Rationale of the research.......................................................................................................4
1.7 Structure of the dissertation...................................................................................................5
LITERATURE REVIEW................................................................................................................6
Explain the concept of performance measurements?..................................................................6
What are the new models and systems that adopted by managers for measuring and controlling
business?......................................................................................................................................7
What are the benefits of implementing new models and systems for managers?.......................9
What are the challenges that would be faced by managers while implementing new models
and systems?..............................................................................................................................10
RESEARCH METHODOLOGY..................................................................................................12
RESULT AND FINDING.............................................................................................................15
INTERPRETATION OF RESULTS.............................................................................................18
CONCLUSION..............................................................................................................................33
RECOMMENDATION:................................................................................................................34
REFERENCES..............................................................................................................................36
APPENDIX....................................................................................................................................39
Interview....................................................................................................................................39
Questionnaire.............................................................................................................................39
Informed Consent Form.............................................................................................................42
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INTRODUCTION
1.1 Background of the research
Performance measurement introduces to the process of gathering, evaluating and reporting
information about the performance of a person, group or organisation. There are different models
of performance measurements such as balanced score card, value chain model, 360-degree and
many others. All these are main models that are effective for business in measuring their
employees as well as organisation performance effectively. Along with this, control within a
business setting involve the processes and procedures that guide, regulate and protect an
organisation (Beuster and et. al., 2021). Control management is important for an organisation as
it facilitates them to check errors as well as develop correction action, reducing deviation from
standards and keeps their project management on track. There are some traditional types of
control techniques in business management. These are budgetary control, standard costing,
financial ratio analysis, internal audit, break-even analysis and statistical control. All these are
effective and essential techniques of controlling business activities in effective and systematic
manner. There are also some modern techniques of control such as return of investment,
programme evaluation and review techniques, management audit and management information
system. Apart from this, it is important and necessary for manager to implement new models and
systems because it helps them in measuring performance and control business. This will also
beneficial for the growth and success of company as well as facilitate them in achieving long
term goals and objectives successfully.
1.2 Importance of the research
Implementing new model and systems are important part for organisation because these
helped them in improving their business performance as well as controlling unnecessary
activities. Strategic Performance Management Systems and 360-degree are effective ways in
measuring business performance effectively (Kavsak and et. al., 2021). Strategic Performance
Management Systems is a mechanism that links employees as well as organisational
performance to improve the performance orientation of the compensation system. It is defined as
an effective methodology to enhance performance measurements, monitoring and enhancement
to accomplish overall organisational goals and objectives. 360-degree is an essential tool of
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measuring employees along with organisational performance. Therefore, both are effective tools
used by managers for measuring performance as well as controlling business.
1.3 Research questions
“Is it necessary to implement new models and systems for managers to measure performance and
control business?”
1.4 Research aim and objectives
Research aim:
The aim of the current research is “To identify the importance of implementing new models and
systems for managers to measure performance and control business”.
Research Objectives:
 To develop basic understanding regarding the performance measurements
 To determine the new models and systems that adopted by managers for measuring and
controlling business
 To discern the benefits of implementing new models and systems for managers
 To examine the challenges that would be faced by managers while implementing new
models and systems
1.5 Snapshot of the methodology
Methodology is the process used by researcher for collecting and evaluating information
regarding a topic. There are different types of research methodologies that helps researcher in
gathering and analysing data regarding the importance of implementing new models and systems
for managers to measure performance and control business (Saura, Palacios-Marqués and
Iturricha-Fernández, 2021). These are deductive approach, positivism philosophy, quantitative
research, questionnaire and many others. All these are main methodologies that facilitate
researcher in attaining research aim and objectives in successful manner.
1.6 Rationale of the research
Main rationale behind conducting this research is to identify the importance of implementing
new models and systems for managers to measure performance and control business. This is a
main rationale regarding doing this research. Current research is important for different
stakeholders that are managers, business, researcher and students. For researcher, present
investigation is essential for them by improving their research skills that are data collection, time
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management, decision making, presentation and many others. For managers, this research
facilitates them by providing accurate information regarding the benefits of implementing new
models and systems at workplace (Sercel and et. al., 2021). For students, present investigation
assists them by increasing their knowledge about the significance of implementing new models
and systems for managers to measure performance and control business. For business, this
research helps them in improving their business performance through the use of new models and
systems.
1.7 Structure of the dissertation
There are various chapters that helps researcher in completing full dissertation
systematically. These are mentioned below;
 Chapter 1: Introduction: This is first chapter that includes research questions, research
aim and objectives and many others.
 Chapter 2: Literature review: This chapter facilitate in collecting secondary
information from books, journals and many others sources.
 Chapter 3: Research methodology: This chapter is essential in gathering data from
various methodologies that are deductive approach, positivism philosophy, quantitative
research and many others.
 Chapter 4: Results and findings: This chapter helps in evaluating gathered information
through research analytical tool (Van Renterghem and et. al., 2022). Frequency
distribution analysis is used for evaluating quantitative data about the topic.
 Chapter 5: Conclusion: This chapter includes information about all chapters in clear and
systematic manner that helps in accomplishment of research aim and objectives.
 Chapter 6: Recommendations: This is a last chapter that helps in giving
recommendations to the managers about how to measures performance.
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LITERATURE REVIEW
Literature review is the chapter that takes out secondary information from different
secondary sources such as books, articles, newspapers, journals and many more. This is referred
as the scholar paper in which used and published information is utilised so that defined research
questions could be answered in a systematic way.
Explain the concept of performance measurements?
According to Wei and et. al., (2019), performance measurement is defined as the term
that happens in nearly every kind of company but an organisation uses different kinds of ways
for measuring it. Performance measurement is considered in an organisation to encourage
managers for making decisions that benefit the whole organisation and themselves. The
necessary element to good performance measurement technique is setting goals that are real and
that start decisions over which the managers have control. Performance measurement is quite
important in the corporation because it fosters organisational improvement. The importance of
having an great performance measurement procedure has only grown and developed as
companies large and small realise that long-term success and development depends upon
reaching greater goals with lower number of failures in today's competitive business world. The
significance of performance management is not at all easier task for justifying but it is essential
for the improvement in performance in the longer time. Effective and efficient performance
measurement is not an easy task because it requires great efforts as well as knowledge of
different methods of evaluating performance. Improvement in an individual, group or
organisational performance could not occur unless there is some method of getting feedback
about the performance (Halachmi, 2019). Feedback is generally defined as the results of work
conveyed to the employee, company or work group.
For an individual employee, performance measurements create a connection between
their own behaviour and the goals of the organisation. For the company or performance
measurement of work unit is the connection between decisions and company goals. It is being
recorded that before improving something, the company has to be able to evaluate and measure
it. These measurement could be done with the help of different techniques of measurement and
this can be quantified. Additionally, it has also seen that improvement in performance could give
outcome just from measuring it. Performance measurement is defined as the first step of the
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improvement. While evaluating and measuring is the procedure of quantification, its impact is to
increase positive action. Managers are aware that every measure has negative consequences if
they are considered incorrectly or in the wrong conditions and situations. Managers have studied
the environmental conditions and analysing these potential negative problems before adopting
performance measures. Performance measurement could be grouped into two basic kinds: some
which is related to outcomes such as financial performance or competitiveness and some that
focus on various determinants of the outcomes such as flexibility, quality, innovation and
resource utilisation (Pryshlakivsky and Searcy, 2017).
The performance measurement is an important activity for every organization as it is the
basis for organization to reward their employees for their effective and efficient performance
towards achievement of organizational goals they are the key on the basis of which business can
distinguish between the performance of its employees, its very important to carry out this task
effectively as there are various type of performance measurements out of which some can be
measured in terms of numbers or figures and the others are those which cannot be quantified
since those are based on some characteristics and affects of that person on the organization and
its environment. Managers of the resources are the ones who are directly in touch with the
employee, and they should regularly continue the two-way communication with their employees
that would help them to know the feedback of employees and bring any necessary changes if
required and also gives them opportunity to provide their feedback and inputs to the employees
that could improve his performance and contribution towards achievement of organizational
goals. Therefore, it is also necessary to make sure that once performance measurement activity is
completed, employees are provided with just benefits and rewards.
What are the new models and systems that adopted by managers for measuring and controlling
business?
According to Kamble and Gunasekaran (2020), there are various models which can be
used by the organisation in order to measure and control businesses. These are the practices
which are useful in order to attain business objectives and to acquire prominence into the market.
Using such practices would lead the business to deal with various issues in their business
management and business functions which are related with measuring employee performance
and controlling of the business. These models would be leading into managing their resources in
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such a manner that business may avail such benefits linked with sustainability. Some of the
models that can be used by businesses are elaborated as under:
Graphic rating scale: This is regarded as the performance appraisal method which is used by
the organisation to rate employees in respect of their traits and behaviour. These are essential to
be used by the businesses so that employee performance and productivity can be analysed and at
the same time effective results can be taken out (Tsan and Nguyen, 2017). When employees get
their rating on the basis of certain parameters so that improvement opportunities can be inhaled
by the organisation. The rating helps the employees to understand their behaviour towards work
and could be helpful in managing the same with higher improvement. This method of
performance appraisal can be a very useful tool for accessing employee attributes and how these
relates to their current job role. In this approach generally required data is gathered by the human
resource managers with the help of some questionnaires and these gathered data can shed the
focus and light on performance of the employee and engagement. It is suggested to make the
questionnaire as objective as possible and clearly define the criteria and desired criteria so that
the performance measurement can be done effectively.
360 degree feedback: This is the system of appraisal which is related with developing a system
in which confidential and anonymous feedbacks are taken from people those are working around.
Those people who are considered for the purpose of feedback can be different sources such as
colleagues, direct reports, clients etc. This is the feedback process in which from not only peers
but also from superiors feedback is taken so that evaluation can be performed. This is one of the
effective way which helps in overall development of the employees and in the same manner
commitment of the employees can be shown towards the company. It is a great method which
also benefits the individual in self development and improvement of his skills, knowledge and
performance. Moreover, it gives them way and feedback to improve their relationship with
people working around them. Often, groups are created and formed under this method depending
upon the people and their relationship with the appraisee for example senior, peer, junior, client
etc. This will help in providing the appraisee with his all-round performance feedback from
everyone around him and view his or her performance and do self-evaluation along with
organizational evaluation.
Management by objectives: This is a strategic model which is associated with improving of
organisational performance by clarifying objectives related with the organisation and individual
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employees as well. Since this method of appraisal and performance measurement is directly
based on the results of the company this is helping the organisation to compare actual and
forecasted performance of the individual so that better communication can be developed within
management and employees. Management by objective is supported by employees in which
success is claimed within executed efforts so that manager and other related people may
implement various processes aligned with the same. Under this the first step is related with
determining of organisational objectives for the company and the next step is related with
translating the same to employees so that active participation in setting organisational objectives.
Management by operation is related with creating goals that would be helpful in succession of
the organisation and such that employees can contribute their best with the help of their skill and
capabilities and the same would ultimately help in maximizing the results and benefits for the
company. (Bourne and et. al., 2018).
Behaviourally Anchored Rating Scale: This method of appraisal is also known by name
BARS. This scale is used in order to rate performance so that narrative benefits can be attained.
This is an appraisal method which is the combination of narrative benefits, critical incidents,
quantified rating and many other scale. This is designed in such a manner that quantitative and
qualitative benefits can be given to employees and organisation as well. This method tends to
measure performance of employee so that performance against specific examples can be
analysed. Establishment of specific behaviour grading is giving higher accuracy measures to
relate the performance of individual (Appelbaum and et. al., 2017). This is possible in this
method of appraisal because it relies on unique individual behaviour required for each individual
position within the organization instead of those set of behaviours that can be evaluated in any
position across the board. It is presumed that it minimized the subjectivity in using basic rating
scales.
What are the benefits of implementing new models and systems for managers?
According to Rantala, Ukko and Rantanen (2018), there are various benefits that can be
adopted by managers in order to manage the business and to acquire success as well. These
benefits will lead to provide such sustainability to the business in which employee may be added
in decision making and at the same time their skills and capabilities can also be increased. Some
of the benefits related with implementing new models for the managers are detailed as under:
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Boosting employee morale: With the help of implementing new models and systems by the
managers employee morale can be boosted as employee get such ease to manage businesses
functions. Employee morale are regarded as one of the major force which is helpful in
developing employee efforts within the organisation so that their efforts can be used within the
business in order to attain objectives. With the help of employee efforts overall benefits can be
enjoyed by the organisation in terms of managing business functions (Kusumaningrum,
Sumarsono and Gunawan, 2019).
Enhancing productivity: With the help of implementing new models and systems this is easier
to boost productivity in which organisational aims and objectives can be attained. With the help
of increased productivity specific edge can be attained in the competitive market so that separate
position can be gained in terms of competitors.
Good relation with subordinates: With the help of implementing new methods good relation
can be maintained as these are related with boosting communication which could be helpful to
share thoughts with each other. When employees are comfortable in making communication then
this will lead into coming of new ideas which is helpful in gaining business benefits (de Waal,
van Nierop and Sloot, 2017).
Higher performance: When new methods and processes are added in the businesses then the
sole objective is related with developing organisational performance. This is associated with
managing the business with such resources in which employee may contribute to the fullest and
at the same time business productivity can be also be developed (Kotler and Keller, 2016). Using
such methods appropriate assistance can be given to the business in terms of developing
performance on individual basis.
What are the challenges that would be faced by managers while implementing new models and
systems?
According to Hourneaux Jr and et. al., (2018), there are various challenges which are
being faced by managers during implementing new methods and systems within the business.
These are the challenges which are related with business management and managing the business
functions as well. Some of these challenges are examined as under:
Resource planning: Resource planning is the one of the major issue which is faced by the
manager during implementing new models and systems within the business. When a new system
is required to be started then various resources are needed such as human resources, financial
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resources and many other. In order to get full results resource planning is the tool which is
needed and this is considered as the hardest part. As for manager this is difficult that to keep all
the dimensions into the mind (Goshu and Kitaw, 2017).
Employee engagement: Employee engagement is considered as process of involving employees
in decision making so that apt decisions can be taken and at the same time business objectives
can also be attained. For managers employee engagement is considered as the challenge which is
faced by them during introducing any new system or process. In this manner managers feel
issues in employee engagement due to resistance to change seen by employees.
Environment culture and behaviour: For implementing new process and system within the
organisation this is imperative that to have appropriate environment for that so that easy
implementation can be developed. When culture of the organisation is not appropriate then this
will develop issues for the managers in incorporating people in context of making positive
decisions. So it can be said that managers of the organisation are associated with the challenge of
examining business environment in relation to its implementation within the organisation
(Tomaževič, Tekavčič and Peljhan, 2017).
Resistance to change: It is a natural reaction or action of any human being to generally resist
towards any form of change as they tend to take away their comfort and the thing they are used
to do in their day to day activities. However, there is a flipside of this resistance that it takes
away the scope of future growth and development. Therefore, it can be certain that every
manager part of implementing any change in organization has to face this challenge of resistance
from the employees.
Lack of communication: It is important for success of any organization or team to establish a
healthy and effective communication process and mode among the juniors and managers else it
would make employees feel themselves as part of organization and any form of change and bring
out their concerns if any. But generally it is seen that there is a missing effective communication
between team and their managers and often that’s not 2 way as the result of which employees
fails to share their grievances and moreover they can’t take the message from their managers
positively (Morales and et. al., 2018). This can be a big challenge for managers while seeking
involvement and engagement from his team. Therefore, every manager has to establish a
effective communication process that would build trust and teamwork.
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RESEARCH METHODOLOGY
Research methodology is the chapter that assists in selecting research methods for the
accumulation and analysis of information (Ledford and Gast, 2018). It includes different kinds of
research methods so that defined aim and objectives could be easily attained.
Research Philosophy: Research philosophy is the method that assists investigator to
analyse information in systematic way. The philosophies may include: positivism, interpretivism
and realism philosophy. Investigator has chosen positivism philosophy so that gathered numeric
data could be analysed and evaluated. The major benefit of choosing the positivism philosophy is
it could easily provide diverse approach. This gives in-depth theory to analyse the information
about the various performance measurements. In simpler words, the major benefit of is
evaluation of numerical information and does not take longer period of time. On the other hand,
researcher also takes help of interpretivism philosophy because it evaluates qualitative piece of
information (Ørngreen and Levinsen, 2017).
Research Approach: Research approach is another methodology used for the procedure
of evaluating accumulated piece of information. The approaches are divided into three types that
are: inductive, deductive and abductive approach. Investigator has taken assistance of inductive
and deductive approach so that quantitative as well as qualitative information could be analysed
in an appropriate manner. Researcher has taken assistance of deductive approach because it
assists in analysing numerical piece of information. The major benefit of deductive approach is it
is scientific approach and has great contribution in analysing numerical data. On the other hand,
inductive approach is also used in the present research so that qualitative information could be
evaluated and examined (Snyder, 2019). Therefore, it can be summarised that researcher has
taken help of inductive as well as deductive approach.
Research Strategy: Research strategy is the methodology that assists in conducting the
investigation on measuring performance and controlling business. So for this there are several
kinds of strategies that may involve: interview, grounded theory, survey, archival research, case
study, systematic literature review and so on. The present research has taken helps of survey,
interview and systematic literature review for the collection of relevant and reliable information.
Survey is chosen as research strategy so that numerical and primary information could be
accumulated in minimum period of time. On the other hand, interview is also selected by
researcher because this assists in collecting in-depth information. In these respondents give out
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in-depth views and opinions shorter time period. Systematic literature review is also chosen by
investigator so that secondary information could be gathered from the sources such as books,
newspapers, articles and so on (Pandey and Pandey, 2021).
Research Choice: Research choice is referred as the research methodology that facilitates
in taking out information in the shorter time duration. The choice is divided into three main kinds
that are: mono method, mixed method and multi-mixed method. Investigator has chosen mixed
method choice because it helps in collecting information with the help of qualitative and
quantitative research choice. Qualitative research choice is selected by researcher so that
information which is available in theoretical could be accumulated. For the qualitative data
researcher conducts interview method so that more text and theoretical data could be
accumulated (Dźwigoł, 2018). On the other hand, quantitative research choice is also chosen by
researcher so that defined aim and objectives could be achieved in a numerical and statistical
manner. Therefore, the whole investigation is attained and conducted in the mixed manner of
quantitative and qualitative.
Data Collection: Data collection is referred as the significant part of research methods
because it provides sources to collect apt information. It consists of two significant parts that are:
primary and secondary data collection method. Researcher has chosen both the methods of data
collection so that pre-determined objectives and aim could be easily attained. The reason behind
choosing the primary data collection method is recording raw and first-hand information in the
short span of time. In the current research, investigator has taken help of questionnaire to
accumulate quantitative and first hand data. On the other hand, investigator has also used
secondary data collection method because it holds great contribution in recording second-hand
data. For this, it provides different kinds of sources which may include books, journals,
newspapers, publications, articles and many more (Nayak and Singh, 2021). Therefore,
investigator has taken help of both the methods of data collection so that objectives could be
easily achieved.
Data collection instruments: The instruments used for collecting data are: interview and
questionnaire in which open-ended and close-ended questions are included. Ordinal scale,
nominal scale and likert scale are used for designing and structuring the questions of
questionnaire. Data analysis is completed with the help of SPSS software for the gathered
primary piece of information (Zangirolami-Raimundo, Echeimberg and Leone, 2018).
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Sampling: Sampling is referred as the research methodology that helps researcher to
select particular number of respondents. The sampling plays major role when there is
requirement of selecting particular number of respondents so that defined aim could be attained.
The sampling consists of two major kinds that are: probability and non-probability sampling.
Researcher has chosen probability sampling so that large number of respondents could be
selected to gather apt information. The major motive of choosing probability sampling is it
works according to the random sampling method in which every respondent gets equal chance
giving out great piece of information (Mishra and Alok, 2017). 100 respondents are selected
from three companies that are: manufacturing company, service provider company and export-
import company. The respondents work as managers in these companies and they are selected
because they have knowledge about the models of performance and controlling. The other 5
managers are selected as participants because they have great information about the current topic
and they will be giving answers of interview questions. Basically they have provided in-depth
information about the topic as per their opinions and views.
Ethical Considerations: Ethics are very necessary while doing the whole investigation in
systematic manner. Researcher has cited all the gathered secondary information and given proper
credit. They had also generated proper access for the needed information by proper channel.
Human resource of every company is contacted to take consent so that managers could provide
detailed piece of information about the whole topic (Bairagi and Munot, 2019).
Limitations: There are certain limitations that are faced by investigator while conducting
the investigation. In the present research also, researcher has faced certain limitations that may
include: the managers selected by them had given one sided perspective and the people working
under them are not chosen (Goldberg and et. al., 2017). The other limitation is the current
investigation only depends upon the performance of business rather than employees.
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RESULT AND FINDING
This is that part of the research section that is used to test the reliability of the data collected.
In this two tools are used to check the data that is frequency distribution and thematic. The
frequency distribution is used because the information that is collected is in the form of numbers
and the researcher want to know the distribution of the figure according to the specific questions
asked by the investigator. In other hand thematic is selected because the examiner took the
interview of five of the random manger from all the three sector. In this section the researcher
has distributed their respondent in frequency according to the question they answered by using
SPSS tool. The frequency distribution is gathered by doing the coding on SPSS and then
analysing the descriptive frequency of the variable inserted. The distribution is shown in the
below tables;
What is your age
Frequency Percent Valid Percent Cumulative
Percent
Valid
25- 35 27 27.0 27.0 27.0
35-45 25 25.0 25.0 52.0
45-55 22 22.0 22.0 74.0
more than 55 26 26.0 26.0 100.0
Total 100 100.0 100.0
What is your position in the company
Frequency Percent Valid Percent Cumulative
Percent
Valid Accounts Manager 24 24.0 24.0 24.0
Recruitment Manager 24 24.0 24.0 48.0
Functional Managers 30 30.0 30.0 78.0
Technology Manager 22 22.0 22.0 100.0
Total 100 100.0 100.0
What is the number of subordinates working under you
Frequency Percent Valid Percent Cumulative
Percent
Valid 15 to 20 19 19.0 19.0 19.0
20 to 25 31 31.0 31.0 50.0
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25 to 30 21 21.0 21.0 71.0
more than 30 29 29.0 29.0 100.0
Total 100 100.0 100.0
Do you know the meaning of performance management
Frequency Percent Valid Percent Cumulative
Percent
Valid
Yes 54 54.0 54.0 54.0
No 46 46.0 46.0 100.0
Total 100 100.0 100.0
Do you think that performance management is important for the
organization
Frequency Percent Valid Percent Cumulative
Percent
Valid
Yes 50 50.0 50.0 50.0
No 50 50.0 50.0 100.0
Total 100 100.0 100.0
What models are adopted by you to measure the performance of your subordinates
Frequency Percent Valid Percent Cumulative
Percent
Valid
Management by objectives 36 36.0 36.0 36.0
360-degree feedback 32 32.0 32.0 68.0
Behaviorally Anchored
Rating Scale 32 32.0 32.0 100.0
Total 100 100.0 100.0
Do you think the measures of adopted are effective for performance management
Frequency Percent Valid Percent Cumulative
Percent
Valid highly effective 31 31.0 31.0 31.0
Effective 21 21.0 21.0 52.0
Neutral 23 23.0 23.0 75.0
less effective 25 25.0 25.0 100.0
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Total 100 100.0 100.0
What are the benefits that you encounter while adopting the models and system
Frequency Percent Valid Percent Cumulative
Percent
Valid
Boosting employee morale 22 22.0 22.0 22.0
Enhance productivity 21 21.0 21.0 43.0
Good relationship with
subordinate 26 26.0 26.0 69.0
Higher performance 31 31.0 31.0 100.0
Total 100 100.0 100.0
What are the challenges faced by you while implementing the models
Frequency Percent Valid Percent Cumulative
Percent
Valid
Resource planning 22 22.0 22.0 22.0
Employee engagement 24 24.0 24.0 46.0
Environment culture and
behavior 26 26.0 26.0 72.0
Lack of top level
commitment 28 28.0 28.0 100.0
Total 100 100.0 100.0
Do you feel that your subordinate is satisfied while measuring their performance
Frequency Percent Valid Percent Cumulative
Percent
Valid
Highly satisfied 25 25.0 25.0 25.0
Satisfied 25 25.0 25.0 50.0
Neutral 30 30.0 30.0 80.0
Dissatisfied 20 20.0 20.0 100.0
Total 100 100.0 100.0
Do you think that organization should invest their capital in measuring
employee performance
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Frequency Percent Valid Percent Cumulative
Percent
Valid
Yes 45 45.0 45.0 45.0
No 55 55.0 55.0 100.0
Total 100 100.0 100.0
INTERPRETATION OF RESULTS
Q1) What is your age Frequency distribution
25- 35 27
35-45 25
45-55 22
More than 55 26
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Interpretation: From the above gathered information from the mangers of different department
and from all the three major sector it is been analyzed that there are total 100 manger which has
feel the questionnaire. 27 respondent is from the age group of 25 to 35 which manages the
company. 25 applicant are from the age of 35- 45, 22 mangers are from 45- 55 age and the rest of
26 respondent are of more than 55 age. These all perform the duty to measured their staff of the
department they belongs.
Q2) What is your position in the company Frequency distribution
Accounts Manager 24
Recruitment Manager 24
Functional Managers 30
Technology Manager 22
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Interpretation: As per the graph it is noted that there are four departments in all the three
companies that are selected by the researcher. Out of the collected data 24 mangers holds the
position of account manager, they work in the accounting department of the organization. 24
mangers are also in the designation of Recruitment manager who belongs from the placement
cell of the company. 30 mangers are Functional mangers who perform the duty of mangers the
resources and the rest 22 hold the designation of technology managers who perform all the duty
of IT department of the organization.
Q3) What is the number of subordinates working under you? Frequency distribution
15 to 20 19
20 to 25 31
25 to 30 21
more than 30 29
20

Interpretation: With the above assembled information it is analysed that 19 mangers has the 15
to 20 subordinates who are working with them from all the departments mentioned there. 20 to
25 numbers of staff work under 31 mangers; 21 superior manages 25 to 30 subordinated in an
organisation. The rest 29 mangers have more than 30 number of the subordinate who works with
them for the organisational objectives. The mangers have subordinate with them because by the
help of these employee department perform their specific duty in smooth manner so that their
departmental objective can be achieved.
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Q4) Do you know the meaning of performance management ? Frequency distribution
Yes 54
No 46
Interpretation: From the above collected data it is been measured that there are total 100
respondents from all the three companies. 54 mangers have answered YES that they know the
meaning of Performance management that is used by the organisation so that they can evaluate
the performance of the employee in more effective manner. This is done by them so the best and
the poor performer can be analysed so that they can provide proper training to them to improve
their performance. The rest of the 46 manger says that they exactly do not know the meaning of
performance management. The reason behind is that they measu4re the performance of their
employee on Yearly basis when they think that it is needed. This is the main reason behind not
knowing the exact meaning of performance management in context of the employee.
22

Q5) Do you think that performance management is important for
the organization
Frequency distribution
Yes 50
No 50
Interpretation: With the above accumulated piece of information, it is interpreted there is 50
managers who says that it is very important to measure the performance of the employee for the
organisation. It helps the company to align the personal and professional objective so that they
can attain their goals in very effective and efficient manner. It is also believed by them that it
will also assist them in tracking the performance of their employee so that they can see the
effectiveness of the coaching provided to them. One of the main reason that is given by some of
the mangers is that it will help in boosting the morale of the staff towards the work done by
them. The left out mangers that is 50 are of the view that it is not at all important for the
organisation to track their employee performance because it is very time consuming process as
well as lot of investing is also made on it
Q6)What models are adopted by you to measure the performance Frequency distribution
23

of your subordinates
Management by objectives 36
360-degree feedback 32
Behaviorally Anchored Rating Scale 32
Interpretation: As per the above collected information by the investigator out of the 105
respondent 36 mangers says that their company uses the management by objective as model or
system to evaluate the performance of their employee. Management by objectives is a strategic
model that is used by the management in which they try to improve the performance of their
employee by clearly defining the goals that are been set by the organization and the employee
together so that they can feel as part of the company and can participate in the decision making
process. 32 mangers say that they adopted the 360 model to evaluate the performance of their
staff, they feel that it is the most effective way of measuring their employee level. In this system
the employee receives the feedback from various stakeholder that are part of the company.
Stakeholders in the form of mangers, peers. Customer and many more. The rest 32 is of the view
that their company uses Behaviorally Anchored Rating Scale. It is a scale which uses behavior
24

statement to analyses the performance of the staff. In this they can uses five to seven scale point
and then rank the employee according to that point.
Q7) Do you think the measures of adopted are effective for
performance management
Frequency distribution
highly effective 31
Effective 21
Neutral 23
less effective 25
Interpretation: With the above gathered information out of the total participant 31 mangers says
that the models they adopted are highly effective for their organization because this help them to
track their employee performance which is proving better for their overall productivity. 21
mangers say that is slightly effective. 23 representatives are belonging to the category of neutral
that is they think it is effective as well as ineffective because time money resources all are being
utilized. 25 managers say that it is less effective because the capital is invested more as well as if
proper analyses is not made than they cannot give proper feedback as well as expertise is also
required.
25

Q8) What are the benefits that you encounter while adopting the
models and system
Frequency distribution
Boosting employee morale 22
Enhance productivity 21
Good relationship with subordinate 26
Higher performance 31
Interpretation: From the above graph made with the help of the collected information it is been
analyzed that performance management has benefited a lot to the company if it is used in proper
manner. 22 mangers says that by using this they are able to motivate their employee which help
in boosting their overall morale towards their work and job. 21 representative answered that it
helps in enhancing the productivity. This helps the employee enhance the production of the
organization so that they can enhance their sale. 26 participants belongs to the category of
Making a good superior- subordinate relationship. They sat by their they are engaging with their
26

employee in more better way and the conflict between them are reducing. The rest of the 31
mangers says it assist in higher performance. The employee is improving their performance
because they meant to be recognized as a best employee which made them to perform in more
effective way.
Q9) What are the challenges faced by you while implementing the
models
Frequency distribution
Resource planning 22
Employee engagement 24
Environment culture and behavior 26
Lack of top level commitment 28
27

Interpretation: With the assemble information by the researcher it is found that there are some
challenges that are being encounter by the mangers while implementing the performance
management model in the organization. 22 mangers say that the problem which occur is planning
resources in more effective way so that they can reduce the wasted and utilize it in better way. 24
representative say the challenge that they face is making an effective engagement with the
employee because of the communication gap that occurs initially, 26 mangers faces the problem
of environmental and cultural behavior. They say that while adopting any strategy the rules and
regulation also changes which hinders them and the left out 28 mangers occurs with the
challenges of lack of top level commitment by the senior directors of the organisation.
Q10) Do you feel that your subordinate is satisfied while
measuring their performance
Frequency distribution
Highly satisfied 25
Satisfied 25
Neutral 30
Dissatisfied 20
Interpretation: From the above graph of satisfaction level of subordinate to measure their
performance it is been evaluated that 25 mangers is of view that their employee are highly
28

satisfied if their performance is being tracked because this help them in developing their skills
and knowledge in carrier. 25 is from the category of satisfied because they think that it just only
helps them to know their poor performance in specific field. 30 mangers think their employee
satisfaction level is neutral and the left out 20 manger says that their subordinate are not at all
satisfied by the concept of performance management.
Q11) Do you think that organization should invest their capital in
measuring employee performance
Frequency distribution
Yes 45
No 55
Interpretation: From the above gathered data about the investing made by the organisation on
performance management it is measured that 45 mangers says YES that the company should
29

invest their capital in measuring the performance of their employee because it will help to them
to know that whether employee are working toward the goals or not. 55 mangers belong to No
category because they think it is waste of capital because if proper tools and methods is not
adopted than the capital will be at risk.
Theme 1: Views regarding the performance management
Q1) As per your opinion, what are your views regarding the performance management?
Manager 1: Manager 1 as one of the interviewees has answered that performance is one of the
necessary elements in the organisation because it helps in keeping track upon the various
activities of the whole organisation whether it is conducted as per the standards or not. They
think that this is the procedure by which company can know about the actual results.
Manager 2: Manager 2 as the other interviewee has answered that performance management is
one of the essential activities in the company because it helps in understanding the activities
completed by departments, employees and processes for managing particular tasks and
activities. Hence, they think it is one of the necessary practice in an organisation.
Manager 3: Manager 3 as another interviewee has said that performance management is one of
the crucial aspects of the organisation because it is directly connected to the human resource as
well as different departments of the whole organisation. This management makes sure that the
performance of every people working in the organisation is aligned with the defined objectives
of the company.
Manager 4: Manager 4 has answered that performance management holds great contribution in
the company because it helps in making sure that every activity and task is completed in
systematic and efficient manner. In simpler with the help of performance management, an
organisation could easily move towards development and success.
Manager 5: Manager 5 as one of the interviewees has responded that performance management
is very significant because in this activities and results meet the goals of the organisation in
effective and efficient manner. As per this interviewee performance management is necessary
and essential practice.
Theme 2: Performance measurement is an important practice in an organisation
Q2) Do you believe performance measurement is an important practice in an organisation? If
30

your answer is yes then explain why?
Manager 1: Manager 1 as one of the interviewees has responded that performance management
is significant practice in an organisation because it provides metrics through which company
could easily gauge. Basically this is important because it evaluates the performance of
employees and other associated stakeholders of the organisation. This assists organisation to
grow and develop as per their expectations.
Manager 2: Manager 2 has responded that they think performance measurement is not an
important practice in the company because this decreases the motivation level of employees. As
they develop mindset that they are not performing up to the mark and as per the expectations.
This could lead company to face high employee turnover and with the performance
measurement healthy competition disappears.
Manager 3: Manager 3 as given response that performance measurement is one of the important
practices because it assists in tracking activities of the individuals, groups and organisational
performance. Basically in the performance measurement feedbacks are received so that
objectives of the organisation could be attained.
Manager 4: Manager 4 has answered that performance measurement is significant in the
organisation because it helps in measuring and tracking the performance of employees and
other significant people of the company. In simpler words, with the assistance of performance
measurement right actions can be taken at right time so that activities could be aligned with the
fulfilment of the objectives.
Manager 5: Manager 5 has given an answer that performance measurement is something which
holds great significance because it helps in fostering improvement of the organisation. The
importance of having an effective and efficient performance measurement procedure is to
develop and grow business.
Theme 3: Best model of performance measurement adopted by you for managing subordinates
as well as improving the whole business performance
Q3) According to your perspective, what is the best model of performance measurement
adopted by you for managing subordinates as well as improving the whole business
performance?
Manager 1: Manager 1 has answered that as per their experience in the organisation as manager
31

graphic rating scale is the best system for measuring performance because it is directly
connected to managing subordinates. In this employees are rated as per the behaviours and traits
relevant for relevant employee performance and productivity.
Manager 2: Manager 2 has answered that 360 degree feedback is the right model for managing
performance of the subordinates. In this anonymous and confidential feedbacks are carried from
different who are working around that particular employee.
Manager 3: Manager 3 has responded that behaviourally anchored rating scale is most relevant
according to them because in this quantitative and qualitative benefits could be provided to
employees.
Manager 4: Manager 4 has said that 360 degree feedback is one of the significant types that
help in measuring the performance of employees and other related people because this helps in
taking out confidential and anonymous feedback.
Manager 5: Manager 5 has given answer that graphic rating scale is the important model
through which behaviours and traits are determined so that it could be aligned with the aim of
whole organisation.
32

CONCLUSION
From the above accumulated information, it is concluded that in the current modern
world that managers face many challenges and problems to measure performance and control the
whole organisation. It has created a dilemma for many managers whether they should select
traditional methods or modern ways or systems for achieving the desired things. The present
investigation has introduced two significant elements that would be focused for exploring. In this
the first element measures the performance of the people in the organisation and that ultimately
evaluates the performance of whole company. The second significant element is controlling.
Performance is referred as the outcome of the efforts and when it is not measured at right time, it
could lead to unwanted and devastated outcomes. Controlling is the other significant function
which is performed by many managers. Controlling is conducted by the conventional five-step
model and to measure the performance.
As per the gathered information, it is recorded that performance management in the
corporations has become tough and complex task. The management and measurement of the
performance includes different aspects of the controlling the whole organisation. In this strategic
performance management is defined and considered by every type of company to measure and
evaluate the performance of the whole organisation through managers. This is not an easy task
but it is not complicated if it is conducted in the organisation appropriately. In the conducted
investigation it is identified that earlier traditional systems and models were used to measure the
business performance. This clearly defines that it could be calculated on the behalf of financial
performance and measure the numbers after and before. These models and systems have
upgraded with time and considered 360 degree view of business performance from every aspect
and this helps in identifying performance of the business other than financial aspect. All these
improvements and modifications in the performance measurements help organisation to grow
and development in a more better and organised way. The people who are selected as managers
in the current modern world are using and preferring non-conventional methods for evaluating
the performance measurement because they are considered as more effective indicators, systems
and models.
Managers have become more concerned about the non-financial aspects of the whole
business while measuring the performance of business but this clearly does not define that proper
attention is not given to financial aspects of the organisation. There is always pressure on the
33

whole organisation measure the business performance financially because this is the significant
indicator of the success and growth of the whole organisation. The strategic performance of an
organisation could be turned positive if the strategic controlling and planning models and
methods are utilised appropriately. In this many studies have included which clearly say that
most of the organisations in the today's competitive world companies are focuses on Strategic
performance management systems for ensuring that performance management is done
appropriately and supporting performance measurement, plan and control. Therefore, it can be
concluded that for the accumulation of all the data, primary and secondary sources have used for
gathering raw and second-hand data in systematic manner. With the assistance of primary
sources, first-hand opinions and views are gathered through questionnaire and interview
instrument. On the other hand, investigator has used secondary sources for the collection of
published information about the topic of performance measurements from the multiple sources
such as journals, books, articles, publications and many more. This can be simply understood the
current investigation is the combination qualitative and quantitative piece of information so that
the reader could understand the topic from every perspective and have in-depth understanding
about the whole research.
RECOMMENDATION:
From the overall research it is suggested that performance management is an important
aspects which need to be adopted by the organisation if they want to gain success in the longer
period time. The companies need to learn in detailed the overall concept of performance
management so that they can adopt the best suitable model that fit for their employee. Gone are
the days when the organisation does not focus on their employee rather than their main focus is
on productivity. In the recent time tracking the employee is an important aspects for the overall
growth and development of the business. Performance management is to be implement by the
companies because it will help them to track the performance of their new employee so that they
can see the effectiveness of trainings and development session in their on- job performance. So
that they can know investing in that employee will be profitable for the company or not.
There are so many models that are given by many economists which can be used by the
organisation to measure their employee productivity level; some of them are 360 degree
feedback, management by objectives, graphical rating, Behavioural Behaviorally Anchored
Rating Scale and many more. These all are been suggested so that employee can know about
34

their performance and can work on it to improve their skills in better way. It is also
recommended that company should invest some capital on this because this will provide many
benefits to the organization. One of the main advantages that can be get is that they can gain
competitive advantage out of it as if they possess more productive and talented employee then
they can fight with their rivalry in more effective and efficient manner. If the mangers of
different department evaluate their department employee performance than this would be the best
way through which all the staff can be measured in proper way and less pressure will be created
on a single authority. It will also help in saving time which is wastage by the business on
providing training to those who does not need it.
It is also suggested that organization should implement this because the surrounding is so
dynamic and the employee need to be changed accordingly. Their performance should be guided
towards it so that they can recognize as the best employee. Tracking the performance of the staff
not only help the organization but also help the employee. Superior and subordinates can also
interact in better way. It is also suggest that by using this company can align their strategic goals
with the employee objectives.
35

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38

APPENDIX
Interview
Q1) As per your opinion, what are your views regarding the performance management?
Q2) Do you believe performance measurement is an important practice in an organisation? If
your answer is yes then explain why?
Q3) According to your perspective, what is the best model of performance measurement
adopted by you for managing subordinates as well as improving the whole business
performance?
Questionnaire
NAME (Optional):
Section A: Demographic section:
Q1) What is your age?
a) 25- 35
b) 35- 45
c) 45- 55
d) More than 55
Q2) What is your position in the company?
a) Accounts Manager
b) Recruitment Manager
c) Functional Managers
d) Technology Manager
Q3) What is the number of subordinates working under you?
a) 15 to 20
b) 20 to 25
c) 25 to 30
d) More than 30
Section B:
Q1) Do you know the meaning of performance management?
a) Yes
39

b) No
Q2) Do you think that performance management is important for the organisation?
a) Yes
b) No
Q3) What models are adopted by you to measure the performance of your subordinates?
a) Management by objectives
b) 360-degree feedback
c) Behaviourally Anchored Rating Scale
Q4) Do you think the measures of adopted are effective for performance management?
a) Highly effective
b) Effective
c) Neutral
d) Less effective
Q5) What are the benefits that you encounter while adopting the models and system?
 Boosting employee morale
 Enhance productivity
 Good relationship with subordinate
 Higher performance
Q6) What are the challenges faced by you while implementing the models?
a) Resource planning
b) Employee engagement
c) Environment culture and behaviour
d) Lack of top level commitment
Q7) Do you feel that your subordinate is satisfied while measuring their performance?
a) Highly satisfied
b) Satisfied
c) Neutral
d) Dissatisfied
Q8) Do you think that organisation should invest their capital in measuring employee
performance?
 Yes
40

 No
41

Informed Consent Form
You are invited to participate in this study on “To identify the importance of implementing
new models and systems for managers to measure performance and control business”.
Before you decide to participate in the research, please make sure you have read the
accompanying participant information sheet so that you can make an informed decision on
your participation.
If you have any questions about this study, please make sure you ask the researcher and receive
satisfactory answers to your questions before signing this consent form.
If you are happy to consent to participation, please complete the below by ticking YES to each of
the statements, and sign and date the form to acknowledge your consent. Please keep a copy of
your signed consent form.
Y
E
S
NO
I have read the participant information sheet and have understood what my
participation will involve.
Yes
I have had the opportunity to ask questions and have received satisfactory answers. Yes
I understand that my participation is completely voluntary and that I can withdraw
my data at any point, without providing a reason, until the time and date outlined
in the participant information sheet by contacting the lead researcher.
Yes
I have made a note of my participant number (provided in the box at the top of this
form), to provide to the lead researcher should I wish to withdraw my data.
Yes
I understand that my data will be treated confidentially and processed in
accordance with GDPR 2016 and the Data Protection Act 2018.
Yes
I am happy for my interview/focus group to be recorded. Yes
I am happy for my anonymised data to be used in the writing of a research project,
dissertation, and/or academic journal articles.
Yes
I consent to participate in the study. Yes
Participant name:
Participant signature: Date:
Researcher name:
Research signature: Date:
42

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