Modern Management Review (Dec 2016)
COMPREHENSIVENESS OF A STRATEGY EXECUTION MEASUREMENT SYSTEM
Abstract
The article describes the issue of strategy execution measurement taking into consideration two variables – the level of its comprehensiveness and the effectiveness of activities performed. The comprehensiveness was defined by means of three areas: the use of measurement tools, processes and regularity of the measurement work conducted. Whereas the effectiveness of strategy implementation was expressed through the level to which intended strategic objectives are achieved and income dynamics. The research sample included managers of 200 companies that have been operating for at least 5 years and are listed among the 500 largest Polish companies in the ranking of “Polityka” magazine and in the “Forbes Diamonds 2013” ranking. The study was conducted the PAPI (Paper and Pencil Interview) technique. The questions in the questionnaire were of nominal value (the respondents declared the existence of specific obstacles) and or ordinal variable nature (the respondents indicated the strength of their impact on a 5-point scale). In order to test the hypotheses, Pearson's correlation coefficient was calculated. The research has shown the existence of a positive correlation between these, indicating that the greatest role is played by appropriately designed measurement processes. Concurrently, it is important to take into consideration mutual interactions between the elements of the measurement system, in order to adopt a holistic perspective and design it using the comprehensive approach.
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