Enhancing department performance : a comparative analysis of KPIs and OKRs in mainland Chinese firms | |
| Author | Nianci, Wen |
| Call Number | AIT RSPR no.SM-23-05 |
| Subject(s) | Management information systems--China Performance standards--China Performance--Management--China |
| Note | A Research Study Submitted in Partial Fulfillment of the Requirements for the Degree of Master of Science in Business Analytics & Digital Transformation |
| Publisher | Asian Institute of Technology |
| Abstract | Research on using Key Performance Indicators (KPIs) for performance management and appraisal has yielded mixed results on a global scale. KPIs offer clear results and ease of use while they also have disadvantages. In contrast, although less researched, the OKR appraisal method has shown the potential to foster individual innovation but it creates the challenges to communication. Furthermore, since OKR is a new method to manage performance in recent years, it has not been widely used in many firms in mainland China, so the relative research results of OKRs still need to be improved in mainland China. This research aims to research the effective utilization of KPIs and OKRs and the potential for both use of KPIs and OKRs in department performance management, focusing on the firms in mainland China, and considering the moderating influence of firm size. The research received 305 responses in total, with 221 samples that use KPIs as a performance management method in the department, 122 showing the use of OKRs, and 38 using both KPIs and OKRs as performance appraisals simultaneously. The analysis shows that a department\\\'s highly-effective use of KPIs and OKRs can enhance its performance, whether alone or simultaneously as a performance management tool. The study also discovers that the impact of KPIs on departmental performance decreases as the firm size increases. In contrast, OKRs positively influence departmental performance, regardless of the firm\\\'s size. This research study is innovative and original in its systematic analysis of the influence of OKRs on department performance in mainland China firms. We also concern about KPIs\\\' moderating effect on the impact of OKRs on the department performance. Additionally, the study introduces firm size as a moderating variable to examine its effect on the relationship between KPIs and departmental performance and between OKRs and department performance. This research is highly innovative in mainland China. |
| Year | 2023 |
| Type | Research Study Project Report (RSPR) |
| School | School of Management |
| Department | Other Field of Studies (No Department) |
| Academic Program/FoS | Master of Science in Business Analytics and Digital Transformation (M/Msc BADT) |
| Chairperson(s) | Badir, Yuosre F.M,; |
| Examination Committee(s) | Khan, Syed Shurid ;Endress, Tobias; |
| Scholarship Donor(s) | China Scholarship Council (CSC); |
| Degree | Research studies project report (M. Sc.) - Asian Institute of Technology, 2023 |
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