The Effect of Comprehensive Performance Measures on Managerial Performance: Testing for Mediation and Moderation
Abstract
Recent research shows that the performance measurement system can produce positive psychological effects, leading to higher levels of managerial performance. We extend this literature by examining the extent to which a comprehensive performance measurement system (CPM) may be associated with increased roles clarity (RC) and autonomous motivation (AM) and reinforced by a goal specificity (GS) with positive consequences for managerial performance (MP). The findings confirm our predictions. The results support the argument that the CPM can be very important to make the experience positive psychological and indirectly increase MP. Furthermore, GS also plays an important role in strengthening the relationship. Our study contributes further evidence of the beneficial role of psychological and GS played by the CPM in affecting performance.