Management Information and Performance Evaluation Systems

The design of a management information and performance evaluation system should begin with an identification of the important types of strategic, managerial, and operational decisions required by the organization. Computers can help to achieve better management information if used to process properly designed information flows. Memory serves a number of important functions in the processes of financial planning and management control. The scale and time frame of evaluations must be such that management is assisted in formulating viable program improvements. An evaluation can focus on process—the extent to which programs are implemented according to predetermined guidelines—or on impact—the extent to which a program produces change in the intended direction. The highest priority in evaluations often is given to instrumental outcomes that are related to goals and objectives and serve as indicators of program effectiveness. The major purpose of evaluation is to identify changes in evaluative criteria that can be reasonably attributed to the program or activities under study.