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Proceedings of the 9 Symposium on Applied Science, Business & Industrial Research – 2017
ISSN 2279-1558, ISBN 978-955-7442-09-9

An Identification of Key Performance Indicators for Measuring
Organizational Performance in Team Leader Based Organization Cultural
Context: A Case Study

Jayasinghe JMNM, Wattegama EJ
Department of Industrial Management, Wayamba University of Sri Lanka
jayasinghe199nadee@gmail.com

ABSTRACT

The topic of organizational performance measurement has generated much
coverage over the years within the private and public sector organizations and widely
recognized in the development of multidimensional models for measuring the performance
in different organizational functions perspectives. Most of leading firms in the world follow
“leader based culture” and it has become a new trend among Sri Lankan firms as well. The
objective of this research is to identify the indicators to evaluate the performance in the
Team Leader Based Organization (TLBO) working culture. A tyre manufacturing firm in
Sri Lanka which has implemented the TLBO strategy was selected purposely. The
secondary data were used for the analysis. The results showed that “energy consumption”
and “number of defects” significantly affect the organizational performance (which was
measured using the overhead cost). Based on the findings, the study recommends some
managerial implications and the future research directions.

KEYWORDS: Culture, Organizational performance, Team Leader Based Organization
(TLBO)

1 INTRODUCTION is valuable to identify the key performance
indicators (KPIs) of the TLBO strategy to
Leadership and team work are the most
important factors that help establishing a evaluate the overall performance of the firm.
proper working culture. Literature has The objective of present study has been
revealed that leader based culture enhances established as to identify KPIs that help
the employee performance than the evaluating the organizational performance in
traditional boss-centred working culture. a TLBO working culture in Sri Lankan
Therefore, the firms take necessary steps for manufacturing industry.
improving the leadership skills/qualities of 2 LITERATURE REVIEW
their employees. However, mere
implementation of leader based strategy is An organizational culture is a system of
not enough for a firm to ensure the shared assumptions, values, and beliefs
achievement of its objectives. Therefore, it which manages how people behave within
is important to implement a strategy like an organization (Barney, 1986). It is linked
Team Leader Based Organization (TLBO) to the performance of the organization and
within the firm’s working culture to achieve can play a major role in generating
best performance from its employees. competitive advantage (Krefting & Frost,
1985). Renae and Jones (2005) have
Although the literature has shown the highlighted that a change may impact on
importance of introducing cultural change leadership, learning, motivation, and
and the team based concept in productivity of an organization. The
organizational contexts, there is a gap organizational culture and its reshaping
therein for identifying the indicators to capabilities are influential on the readyness
measure the successful implementation of of employees to adopt to an impending
TLBO strategy for achieving high organizational change. Casley and Kumar
organizational performances. Accordingly, it

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