Performance measures, consensus on strategy implementation, and performance: : Evidence from the operational-level of organizations

• Autores: Joanna L.Y. Ho, Anne Wu, Steve Y.C. Wu
• Localización: Accounting, organizations and society: an international journal devoted to the behavioural, organizational and social aspects of accounting, ISSN 0361-3682, Vol. 39, Nº. 1, 2014, págs. 28-58
• Idioma: inglés
• Texto completo no disponible (Saber más ...)
• Resumen

  • In this article, we examine how consensus between operational-level managers and employees on strategy implementation affects the effectiveness of performance measures and employee performance. We use field-based surveys and proprietary archival data from a Taiwanese financial services company to answer our research questions. Consistent with the predictions of person�organization fit theory, we find that consensus on the implementation of the customer-oriented strategy is positively associated with frontline employees� performance. Our results also indicate that the incentive effect of using performance measures in performance evaluation and promotion is stronger for employees with a higher level of consensus. Our findings suggest that consensus is critical to the success of an organization�s strategy implementation and the effectiveness of performance measures.