Measuring Organizational Performance – Problems and Solutions A Systematic Review

Abstract

Performance of an organization is widely used in research as a dependent variable in a wide range of Organizational Behavior studies. Performance measurement is therefore a key for validating many studies. However, measuring the performance of an organization is challenging because of various factors that affect it in different proportions at various points of time. Despite being a difficult task, the importance of measuring performance of an organization cannot be discounted.In spite of its importance, it is evident from various studies that there are severe deficiencies in its measurement. In this study, the major problems in the measurement of performance is highlighted and the necessary steps to overcome these problems have also been discussed. This study therefore offers scope for future researchers to identify the potential problems in performance measurement as well as take steps to resolve these issues.