Use of Executive Information Systems in Measuring Business Performance

Abstract

Much effort and research has concentrated on the need to formulate and implement business strategy, and the need to monitor performance against strategic plans. This paper, based on research carried out from July to September 1990, identifies the methodologies which organizations applied to define performance indicators presented on their Executive Information Systems and if these indicators helped steer the organizations towards their strategic objectives. Organizations applied either a critical success factor, an alternative top-down, or an evolutionary/prototype methodology to build their EISs. Unfortunately, not one organization which took part in the research modelled its EIS on its overall business strategy, thus limiting the use of their EIS to that of a glorified fire extinguisher rather than using it to help bridge the gap between formulating and implementing a business strategy.

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