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TECHNOLOGICAL CAPABILITY AND PERFORMANCE MEASUREMENT Alina Shamsuddin DMEM 1 st. Year PhD Supervisor: Prof. Umit Bititci. The Performance Management Process is the process by which the company manages its performance in line with its corporate and functional strategies and objectives
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TECHNOLOGICAL CAPABILITY AND PERFORMANCE MEASUREMENT Alina Shamsuddin DMEM 1 st. Year PhD Supervisor: Prof. Umit Bititci
The Performance Management Process is the process by which the company manages its performance in line with its corporate and functional strategies and objectives Management of technology links engineering, science and management discipline to plan, develop and implement technological capabilities to shape and accomplish the strategic and operational objectives of an organization Technological capability is the resources needed to generate and manage improvements and innovations in products, process and production
Performance Measurement Management Of Technology
Why is performance measurement important for business? Basis for designing the information system Basis for Continuous Improvement Process Basis for defining, strategy, objectives as well as lagging and leading indicators Vehicle for cultural change
Performance Measurement Frameworks • Integrated Performance Measurement System Reference Model (Bititci et. al, 1998) • Balanced Scorecard (Kaplan and Norton 1992) • Performance Prism (Neely et. al.,2001) • Etc.
Financial measures Strategy Customer measures Learning & growth measures Internal process measures Balanced Scorecard Kaplan & Norton 1992
Integrated Performance Measurement Systems Reference Model Bititci et. al.,1996 Business measures External PM Understand stakeholder requirements Business Unit Measures Understand competitive position Strategy Core process measures Internal PM Deploy internal performance measures Support process measures
Performance Prism Neely et. al., 2001 S/holder needs Strategy Processes Capabilities S/holder contribution
Technology People Systems Processes
Technology Component Sophistication Technological Capability Level Technology Strategy Options Source: Sharif, 1994
Is technological capability relate to learning organization? • How can technological capability be integrated in the performance measurement systems? • Can business strategy and technology strategy be integrated? • What are the measures for technological capabilities? • Is it possible to forecast the needs of technological capabilities needed in a firm?