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THE CONSTRUCTION OF PERFORMANCE INDICATORS IN THE MALAYSIAN PUBLIC SECTOR ORGANIZATION

GROUP E

PREPARED FOR:

PREPARED BY:

GROUP 1

Project requirements

Do a research on literature review and achieve the objectives. Complete 3.1 and 3.2

1. Objectives of the study

I. To describe the process of construction performance indicators for public sector organization

II. To explain the importance in constructing performance indicators for public sector organization

III. To discuss the obstacles in construction of performance indicators in Public Sector

2. Literature Review

3.1 Concept and definition of Performance Indicator in Public Sector

Government of Malaysia issued a manual called ‘guidelines for establishing performance indicators in government agencies’ in 1993 to guide agencies in implementing performance measures. (Ruzita Jusoh et al.)

3.2 The Construction of Performance Indicators

In order to measure performance of public sector’s organizations, it is crucial to apply suitable performance measurement approaches (Ingrida and Giedre, 2015). The construction of some performance indicators in the public sector is a difficult task because not all goals are measurable, so it is often resorted to benchmarking analyses. If initially the performance measurement was based on the results obtained, current theories have introduced the need to introduce inputs, process indicators used in obtaining the results and the outcomes indicators, namely the effects generated by results, creating a comprehensive performance management system. There are traditional and multidimensional model for measuring performance of public sector. Tools in multidimensional are Total Quality Management of public sector (TQM), Benchmarking and 5 E’s model.

References