The strategic management of operations system performance

The enterprises' operations systems environments, characterised by their complexity and dynamics, are challenging the strategic management models. This paper presents the development of a theoretical framework, organised as a set of design recommendations to guide the performance measurement system capabilities development. The developed theoretical construction is based on the literature review. A framework is constructed to represent the relationships between roles, capabilities and design recommendations of a performance measurement system. The measurement system is studied in the context of an Operations Strategic Management System (OSMS) and three different levels of analysis are used to organise the findings of this study. The results are presented in tables that identify the main roles that the measurement system should perform; establish the relationships between roles and required capabilities and generate a list of design recommendations. Based on the mediating function of the required organisational capabilities, the causal links are identified and the framework is generated.