Dell’s Performance Measurements and Control Systems

Introduction Measurement and management of performance is important to organizations that measure the success of governments and businesses and is one of the most difficult parts of strategic management (Wheelen & Hunger, 2012). According to Crosson & Needles (2014), performance indicators are "quantitative tools to measure the performance of an organization related to a specific goal or projected outcome" (p. 302). Many studies have shown that organizations need to use financial and non-financial performance indicators to evaluate their strategy and operation (Milost, 2013).

The basis for effective performance evaluation is an effective planning system that sets standards and performance standards for management arrangements and risk management systems. These provide the standard of the measurement process. In the measurement process, you can collect information in the following way. These information sources can be used individually or in combination. Direct observation includes inspection activity and monitoring of work environment (eg temperature, dust level, solvent level, noise level) and behavior related to people's health and safety. If properly designed, each risk management system incorporates a monitoring component to define the monitoring frequency (see Functions). It is more meaningful and effective to combine individual monitoring activities, rather than separately monitoring the workplace precautions associated with a particular risk management system.

Perhaps because the traditional measurement system comes from the finance department, there is a control deviation in the system. That is, in a conventional performance evaluation system, you specify the specific actions you want the employee to perform, then measure whether the employee actually performed these actions. In this way, the system will try to control its operation. This measurement system is consistent with engineering thinking in the industrial era. Balanced scorecards, on the other hand, are ideal for organizations many companies are entering. The scorecard focuses on strategy and vision, not control. It sets goals, but we assume that people take any action and take every action they need to achieve them. These measures are designed to attract people towards the overall vision.

As the company applied the Balanced Scorecard, we began to notice that the scorecard represents a fundamental change in fundamental assumptions about performance measurements. When the controllers involved in the research project and the vice president of treasurer regain their concept to the organization, the project participants will have a balance scorecard without participation of senior managers who most comprehensively understand the company's vision Can not be implemented. Priority This is beneficial as most existing performance assessment systems are designed and supervised by financial experts. Control staff rarely need to involve senior management