Industrialized housebuilding business strategies and the design of performance management systems

Abstract

Performance management systems (PMS) are essential instruments for the evidence-based management of on-site production within the industrialized housebuilding (IHB) sector. The information required for more evidence-based decision-making is determined by the business strategies and should be reflected in the design of the PMS. The aim of this study is to clarify, report on and analyze the influence which different strategic orientations have on the PMS. For this purpose, a multiple case study was conducted within the IHB sector of Austria, Germany and Switzerland. The findings revealed those business strategies which led companies to develop specific features within their PMS and showed which specific indicators are relevant for managing on-site performance. In addition, the findings identify weaknesses in performance measurement but also best practice examples. Based on the findings, a differentiated approach towards the ongoing refinement of PMS is suggested, allowing management to be more focussed on strategic objectives.