Toward Promoting Effective Strategic Performance: The Relevance of the Alignment of Performance Measurement and Competitive Strategic Choices

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Conference Proceeding

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This research mainly examines the relationship among competitive methods, performance measures, and strategic orientations utilised by 68 Portuguese manufacturing organisations from different industries. The findings reveal that the surveyed organisations appear to be following a hybrid-mixed strategy. The group with the best results adopted the most balanced strategic approach, as it emphasised most of the different strategic dimensions. The examination of the strategic orientations, performance dimensions, and most utilised performance measures reveals inconsistencies among the surveyed organisations, which clearly indicates that the strategic choices and performance measures and measurements are misaligned. This study has direct practical implications to executives of manufacturing organisations, as they attempt to integrate their organisational systems in pursuit of effective strategic competitive performance. Based on the results of this study, a conceptual framework is proposed to facilitate the alignment among the competitive methods, performance measurement, and selected strategy.