HOW DO AUSTRALIAN FAST-GROWTH SMALL-TO-MEDIUM ENTERPRISES MEASURE PERFORMANCE?

摘要

Utilizing a case study methodology, this study investigates ways in which fast growth small-to-medium enterprises (FGSMEs) measure firm performance. This investigation, involving 21 interviews with 18 companies, revealed that FGSMEs seem to adopt a multi-level approach involving different sources and contexts to performance measurement. Apart from the application of standard financial performance measures such as profits and growth, FGSMEs also utilize measures of customer satisfaction, attainment of industry awards, receipt of client reports, website popularity, number and quality of successful innovations adopted, objective employee performance indices, and staff retention. Founders highlight the importance of providing employees with flexible environments and career opportunities as a way to reduce churn. These organizational characteristics signal non-financial benefits and incentives of working in these firms to potential employees and customers. These findings are in accord with extant literature and the balanced scorecard perspective, advocating associations between performance measurement systems and management strategies.