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Web enabled Performance Measurement System (WePMS):

Management Implications

Sai S NudurupatiSupervisor: Dr. Umit S Bititci

24 January 2002

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Problem area• There are lot of Frameworks and Models on

Performance Measurement Systems (PMS).• Most of these frameworks does not have an IT

platform.• Recently several software platforms to support PMS

started to emerge.• Also recently we are seeing companies starting to

adopt IT platforms to support PMS.• Some companies even started to use web to share

their performance information to make it more visible.

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Problem area (continued..)

• Eventhough some companies are successful, most of them are unsuccessful because…..

• ….. the social, management and business implications on IT / Web enabled PMS is not yet fully understood, because there has not been enough research focused on it.

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The Aim of the Overall Research

“To test the acceptability and usefulness of Web enabled Performance Measurement System (WePMS) and identify the management implications of it.”

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Specific Objectives• Develop a complete understanding of the dynamics of

PMS and assess the limitations of knowledge in this field.

• Develop and design such a dynamic system (WePMS) using available technologies

• Implement WePMS in four different collaborating companies using available IT technologies.

• Assess the impact of WePMS, resulting in Management implications

• Learn and disseminate the findings of the research within the academic and industrial community.

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Research Methodology

Framework & Architecture

Literature Review

Implementation in 4 companies

Monitoring the use of WePMS

Dissemination & Exploitation

Data Collection & Cross Case Analysis

Hypothesis Framework

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Academic Benefits

IndustrialBenefits

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Literature Review• Performance Measurement Literature

– Frameworks and Models– Different approaches in which, IT can be supported to

the above models– IT platforms available in the market

• Change Management Literature– People Factors (in the context of Technology)

• Pilot Case Study• Extended review on commercial software

available in the market

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Results of Pilot Case Study with Alcan

• Complete transparency of information• Dissemination of knowledge • More confident and proactive management style.• Provoke team behaviour• Resistance from some people as they are pulled

into light• People with lack-of-time to do things

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What made us use this approach in Alcan when

there are several software for PM are

available in the market?

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A detailed and structured review was undertaken on the following software products (vendors are shown below)

•Cognos Ltd.•CorVu Plc.•PB Views Ltd.•Lucidus IPM.•ProMeaSys.•Hyperion Solutions•Inphase Software•Gentia Software•QPR Software

•SAS Institute.•Active Strategy•Comshare Software•QuantiSoft•Pilot Software Ltd.•Oracle Corporation•SAP•PeopleSoft

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Key findings of software review

• The cost of all the software products are extremely high ranging from £ 30k + Development + Consulting + Training costs.

• Even though most of the software adopt different frameworks, they are build based on Balanced Scorecard.

• Most of the software are not good at controlling processes using statistical approach, which is extremely required for manufacturing organisations.

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From the case experience and the review (Literature), Web enabled Performance Measurement System

(WePMS) is developed

UsingHTML

Java ScriptNWA Quality Analyst

Web ServerMS Excel

A Demo Version is available at www.dmem.strath.ac.uk/csm

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Designing WePMS

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Hypothesis Framework

WePMSTechnical.

TechnologyPeople

Management Implications

Business Results Customer.

Results

People Results

FinancialResults

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Conclusions

Even though most of the Management Implications and factors which effect them

are anticipated, some other implications and their factors will result in action.

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Future Work

Implementation in 4 companies

Monitoring the use of WePMS

Dissemination & Exploitation

Data Collection & Cross Case Analysis

Framework & Architecture

Literature Review

Hypothesis Framework