An Analytical framework for examining changes in performance measurement systems within the banking sector

Rahat Munir, Sujatha Perera, Kevin Baird

Research output: Contribution to journalConference paper

Abstract

Drawing on institutional theory, more specifically DiMaggio and Powells (1983) notion of institutional isomorphism, and Olivers (1991) typology of strategic responses to institutional pressures, this paper develops an analytical framework to examine the factors that influence organisations to change their performance measurement systems, and the responses to consequential change efforts. The paper suggests that various macro-level factors (economic, technological, socio-cultural and political) that affect organisational functioning place pressure (mimetic, normative and coercive) on the organisation to change their performance measurement practices. The paper also suggests that rather than passively conforming to such pressure, organizations often respond strategically, and the strategic responses could take various forms including non-compliance. The proposed framework could be used to examine changes in performance measurement systems in organisations in general and organisations in the banking sector more specifically.
Original languageEnglish
Pages (from-to)1-44
Number of pages44
Journal2009 AFAANZ Conference proceedings
Publication statusPublished - 2009
EventAccounting and Finance Association of Australia and New Zealand Conference (2009) - Adelaide
Duration: 5 Jul 20097 Jul 2009

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Keywords

  • change in performance measurement systems
  • institutional theory
  • banking sector
  • strategic responses

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