INDICATORS FOR MEASURING INSTITUTIONAL PERFORMANCE IN PUBLIC AGENCIES BETWEEN THEORY AND PRACTICE
Abstract
The rapid development of performance measurement indicators in institutions has garnered significant interest in understanding their impact on service quality and whether there are any challenges that organizations face in applying and activating these indicators. This study conducted a systematic literature review to explore institutional performance measurement indicators between theory and practice. It highlighted the gap between theory and practice in the field of institutional performance measurement and offered recommendations to enhance the effective use of these indicators in achieving the strategic objectives of institutions. Additionally, it provided new and tangible insights that contribute to the development of institutional performance and enhance its competitiveness in the dynamic and constantly changing business environment.
By analyzing 14 specific articles, the study identified various measurement indicators, including financial performance indicators, operational performance indicators, employee-related performance indicators, customer-related performance indicators, and environmental and social performance indicators. These indicators showed positive effects on improving service quality in institutions. The results also revealed several challenges that institutions face in applying performance measurement indicators, the most prominent of which are selecting appropriate indicators, challenges in data collection, analysis, and interpretation, and challenges related to interacting with dynamic market and environmental changes.
The study offered several proposals in light of successful institutional experiences, with specific reference to Saudi Arabia's experience in institutional performance measurement through the National Center for Performance Measurement of Public Agencies (Adaa), which is part of the programs aiming to achieve the goals of Vision 2030. The study also provided numerous recommendations, most notably the need to identify indicators that accurately reflect the goals and activities of institutions, achieving a balance between quantitative and qualitative indicators to obtain a comprehensive picture of performance, and providing necessary training and expertise for employees capable of effectively analyzing and interpreting data, ensuring that strategic decisions are based on sound data analysis.
