Performance Measurement Systems Implementation Among Large Food and Beverage Processors in Nairobi Kenya

Abstract

Driven by increasing trend towards performance management, performance measurement is an important factor to drive firm performance. A study was conducted on Performance measurement systems implementation in large food and beverage processors in Nairobi county. The study had three objectives to achieve: To determine the performance measurement systems implementation in large food and beverage processors in Nairobi County; To establish the critical success factors in the implementation of performance measurement systems in large food and beverage processors in Nairobi County and to determine the relationship between Performance measurement systems implementation and firm performance in large food and beverage processors in Nairobi County. The researcher adopted a descriptive research design and census was used to collect primary data by use of questionnaires .The study targeted 46 large food and beverage processors in Nairobi County and 38 firms responded by filing the questionnaire. The data was analyzed and presented in tables and regression analysis was conducted to establish the relationship between performance measurement systems implementation and firm performance. The findings indicate large food and beverage processors in Nairobi County have implemented performance management and performance measurement systems and the critical success factors to drive firm performance. There is a positive correlation between implementation of performance measurement systems: Balanced Scorecard, Strategic Measurement Analysis and Reporting Technique system, Performance Measurement Matrix, Performance Prism, Busi ness Excellence Model, Theory of Constraints Model, The Kanji Business Excellence Measurement System and increase in firm productivity levels.