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Utformning och beteendeeffekter av individuella prestationsmått: En fallstudie av LKAB
2014 (Swedish)Independent thesis Basic level (degree of Bachelor), 10 credits / 15 HE creditsStudent thesis
Abstract [en]

Management Control involves using different systems to lead and manage members of an organization to achieve strategic objectives. Performance measurements are usually applied to verify and evaluate the achievement of objectives. Individuals in organizations face an increased demand of performance due to the last decades of business world changes. The use of individual performance measurements have become more common in organizations. The purpose of individual performance measurements is to motivate individuals towards achieving individual objectives, which should lead to achieving strategic objectives. Designing individual performance measurements is a complicated procedure that includes challenges for the organization. It is difficult not to have too many measurements and to measure the right activities that lead to achieving strategic objectives. If applying incorrect measures it can affect the individual to make wrong decisions unfavorable to the organization in the long term. Individual performance measurements can also have a negative behavioral effect on the individual, for example stress. The purpose of this study is to describe individual performance measurement through two perspectives; the management perspective and the individual perspective. The study will answer two research questions: What criteria is perceived as important when designing individual performance measurements, from a management perspective, and why are they important? What individual behavioral effects can be observed from the individual performance measurements and why? A case study was made at LKAB, at a unit applying individual performance measurements. The case study was made by four semi-structured personal interviews. The result of the study shows that four criteria are perceived as important when designing individual performance measurements. These are congruence, feedback, understanding and controllability. The first three criteria can be connected with the purpose of individual performance measurements; that they should lead to achieving strategic objectives. Controllability is perceived as important due to the fact that individuals are assessed on the performance measurements, and therefore should have control over them. The most distinguishable behavioral effect of individual performance measures is that they motivate the individual, this mainly because the individual is involved in the process of designing them. The conclusion of the study is that individual performance measurements are perceived as positive from both perspectives. From a management perspective, not all criteria are equally important when designing individual performance measurements. This seems to be an effect of what kind of activities conducted in the organization. Regarding the individual behavioral effects, it seems to be connected with the individual participating when designing them. The ambition of different individuals and other conditions at the organization also appear to be significant and management should consider this when designing individual performance measurements.

Place, publisher, year, edition, pages
Keyword [en]
Social Behaviour Law
Keyword [sv]
Samhälls-, beteendevetenskap, juridik
URN: urn:nbn:se:ltu:diva-51582Local ID: 8c98e195-fbd3-4613-b481-e25fc0a7b0b7OAI: diva2:1024944
Subject / course
Student thesis, at least 15 credits
Educational program
Business Administration, bachelor's level
Validerat; 20140617 (global_studentproject_submitter)Available from: 2016-10-04 Created: 2016-10-04Bibliographically approved

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