Primary and secondary indicators in company performance measurement system

Автори: 
Oleksiv I. B., Charshuk V. Ju.

In the article principles of division indicators on primary and supportive are developed.
They are: primary indicators should describe strategic goals while supportive measures should
describe processes which are important for the enterprise; the division of measures should be combined with company strategy; the division of measures provide representation of
indicators that depict stakeholder interests both among primary and supportive measures;
method of indicator division on primary and supportive should combine knowledge of experts
with mathematical methods which permit to verify the division; method of indicator division
on primary and supportive should permit to view the selected group of indicators as a system;
method of indicator division on primary and supportive should permit to analyze strength of
influence of supportive measures on primary and to compare such strength between
alternative selection of indicators; tasks of performance measurement system should be
considered while the division of indicators on primary and supportive is conducted.
In the article sense and methods of indicator division on primary and supporting in company
performance measurement system were analyzed. In particular the following methods were
reviewed: method based on expert estimations, method based on calculation canonical correlations
and method based on calculation of primary indicators using complex estimations.
The disadvantage of expert methods is unavailability of verification of conducted division
on primary and supportive indicators.
The significant disadvantage of indicator division on primary and supportive indicators
is non-consideration of complexity of company strategic goals. The latter means that in the
capacity of primary measures simple indicators are used. In the same time complex indicators
that give wide understanding of strategic objectives of the company are omitted.
Considering the analysis of pros and cons method based on calculation of primary
indicators using complex estimations was recommended to be used for the division of
performance indicators on primary and supporting.