Non-financial performance measurement in manufacturing companies

Abdel-Maksoud, Ahmed; Dugdale, David; Luther, Robert

Abstract

The contemporary manufacturing environment is characterised by increased worker responsibility coupled with the measurement and reporting of numerous aspects of performance. At shop-floor level much of this performance measurement and reporting is non-financial. This paper reports on a large scale, empirical investigation of the measurement practices in British factories at the beginning of the 21st century. Descriptive statistics are provided as well as a classification model of shop-floor non-financial measures. In addition, the relationships between operational measures and contingent firm-specific and external variables are identified. Various partial relationships are found, and 'across the board' high levels of shop-floor performance measurement are found to be associated with a severely competitive environment, an upward communication corporate ethos, and with the adoption of JIT or TQM/TPM. © 2005 Elsevier Ltd. All rights reserved.

• Journal Article Type: Article
• Publication Date: Sep 1, 2005
• Journal: British Accounting Review
• Print ISSN: 0890-8389
• Publisher: Elsevier
• Peer Reviewed: Peer Reviewed
• Volume: 37
• Issue: 3
• Pages: 261-297
• DOI: https://doi.org/10.1016/j.bar.2005.03.003
• Keywords: performance measurement, manufacturing companies
• Public URL: https://uwe-repository.worktribe.com/output/1047563
• Publisher URL: http://dx.doi.org/10.1016/j.bar.2005.03.003