The unprecedented effects of COVID-19 have been problematic for hotels. Therefore, implementing a performance measurement system (PMS) has become critical for hotel organisations. This study thus examined how the balanced scorecard (BSC) as a strategic PMS has a function in revealing hotel performance. Two contextual factors of hotels-external environmental uncertainty (EEU) and decentralised decision-making-were also investigated to understand their effects on the use of the BSC, which, in turn, determines hotel performance. A survey was conducted involving 145 four- and five-star hotels in Turkey. Partial least squares structural equation modelling was used to test the hypotheses. It was found that EEU is significantly related to decentralised decision-making but not to the BSC. Meanwhile, the BSC does not have an indirect effect on the relationship between EEU and hotel performance; however, it was found to act as a mediator between the decentralisation of decision-making and hotel performance. Finally, decentralised decision-making was found to act as a mediator between EEU and the BSC.
The Strategic Performance Measurement System and Organisational Performance Through the Lenses of Contextual Factors: Empirical Evidence from the Hotel Industry, 2023.
The Strategic Performance Measurement System and Organisational Performance Through the Lenses of Contextual Factors: Empirical Evidence from the Hotel Industry
Sainaghi, R
2023-01-01
Abstract
The unprecedented effects of COVID-19 have been problematic for hotels. Therefore, implementing a performance measurement system (PMS) has become critical for hotel organisations. This study thus examined how the balanced scorecard (BSC) as a strategic PMS has a function in revealing hotel performance. Two contextual factors of hotels-external environmental uncertainty (EEU) and decentralised decision-making-were also investigated to understand their effects on the use of the BSC, which, in turn, determines hotel performance. A survey was conducted involving 145 four- and five-star hotels in Turkey. Partial least squares structural equation modelling was used to test the hypotheses. It was found that EEU is significantly related to decentralised decision-making but not to the BSC. Meanwhile, the BSC does not have an indirect effect on the relationship between EEU and hotel performance; however, it was found to act as a mediator between the decentralisation of decision-making and hotel performance. Finally, decentralised decision-making was found to act as a mediator between EEU and the BSC.File | Dimensione | Formato | |
---|---|---|---|
10.2478_ejthr-2023-0001.pdf
Open Access
Descrizione: Paper
Tipologia:
Documento in Post-print
Dimensione
192.8 kB
Formato
Adobe PDF
|
192.8 kB | Adobe PDF | Visualizza/Apri |
I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.