The Usefulness of Traditional and New Performance Measures Used in Nigerian Companies 
USEFULNESS OF TRADITIONAL AND NEW PERFORMANCE MEASURES: SOME EVIDENCE FROM NIGERIAN COMPANIES
BY
DR. (MRS.) S. L. ADEYEMI
DEPARTMENT OF BUSINESS ADMINISTRATION
UNIVERSITY OF ILORIN
ABSTRACT
This paper reports the findings of a survey on the usefulness of selected traditional and new performance measures used in some Nigeria companies that have adopted a flexible manufacturing strategy. The results indicate that majority of these companies considered the new performance measures useful particularly among the larger companies and among those with 5 years or less of business experience. Traditional measures are still useful, though to a much lesser extent. These results suggest that a combination of both traditional and new measures would be needed especially when Nigeria companies are going through the transition of implementing changes to their strategies from cost leadership to flexible manufacturing.
INTRODUCTION
The combination of slower economic growth and increased competition has forced firms in every industry to concentrate on efficient and effective deployment of resources. One result of these efforts has been the emergence of a new corporate position devoted to controllership. The controller is concerned with continuous measurement of a firm’s performance. In order to carry out the measurement process, controllership focuses on the assessment of resources deployment and goal attainment
Numerous research initiatives have identified the high correlation between superior performances and the development and use of sophisticated assessment or measurement capabilities. As early as 1985, A. T. Kuarney Consultants noticed that firm engaging in comprehensive performance realized improvements in overall productivity in the range of 14 to 22 percent.
Effort has been expended by establishments to improve the quality of information that their managers have at their disposal to measure, compare and guide performance. In most firms
BY
DR. (MRS.) S. L. ADEYEMI
DEPARTMENT OF BUSINESS ADMINISTRATION
UNIVERSITY OF ILORIN
ABSTRACT
This paper reports the findings of a survey on the usefulness of selected traditional and new performance measures used in some Nigeria companies that have adopted a flexible manufacturing strategy. The results indicate that majority of these companies considered the new performance measures useful particularly among the larger companies and among those with 5 years or less of business experience. Traditional measures are still useful, though to a much lesser extent. These results suggest that a combination of both traditional and new measures would be needed especially when Nigeria companies are going through the transition of implementing changes to their strategies from cost leadership to flexible manufacturing.
INTRODUCTION
The combination of slower economic growth and increased competition has forced firms in every industry to concentrate on efficient and effective deployment of resources. One result of these efforts has been the emergence of a new corporate position devoted to controllership. The controller is concerned with continuous measurement of a firm’s performance. In order to carry out the measurement process, controllership focuses on the assessment of resources deployment and goal attainment
Numerous research initiatives have identified the high correlation between superior performances and the development and use of sophisticated assessment or measurement capabilities. As early as 1985, A. T. Kuarney Consultants noticed that firm engaging in comprehensive performance realized improvements in overall productivity in the range of 14 to 22 percent.
Effort has been expended by establishments to improve the quality of information that their managers have at their disposal to measure, compare and guide performance. In most firms
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