Performance measurement and improvement
DOI link for Performance measurement and improvement
Performance measurement and improvement book
This chapter discusses the improvement approaches of business process management, business process re-engineering and continuous improvement (CI). Performance measurement involves both choosing the measures that will be used to identify where improvements should take place and determining whether improvement has taken place after the change has been implemented. Operations strategy considers that the focus of improvement should be directed towards appropriate areas of the operation where any increase in performance will help the organization meet its strategic goals. To identify where performance improvement should take place, it is necessary to compare the performance measure against a performance standard. CI programmes are associated with incremental changes in the organization, and their cumulative effect is to deliver an increased rate of performance improvement. CI is also associated with the concept of the learning organization, which aims to create an environment that builds knowledge in the organization and can use that to improve performance.