Page 101 - P5 Integrated Workbook TUTOR 2017-18

Human resource aspects of performance management

2.4 Berry, Broadbent and Otley

Identified the following problems associated with poorly designed performance
measurement systems:

1 Misrepresentation Creative reporting

2 Gaming
A form of dysfunctional behaviour

3 Sub-optimisation

4 Misinterpretation
For example, an undue focus on financial
performance
5 Myopia

6 Measure fixation
An undue focus on achievement of targets
to the detriment of long-term performance
7 Tunnel vision

Unwillingness to change scheme once set
8 Ossification
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