B.

INFORMATION USED FOR

PERFORMANCE MEASUREMENT
1. FINANCIALINFORMATION

P e rfo rm a n c e a p p ra i sa l i s d o n e b y
analyzing the variance b e t w e e n
actual and budgeted performance.

Reve n u e variance Expenditure variance

2. Non-FinancialInformation Measurement by the
B a la n c e d S c o re c a rd m e th o d
involves four a s p e c t s

Non - financial i n f o r m a t i o n can

b e used as a n o t h e r
b e n c h m a r k . Non - financial
i n f o r m a t i o n can increase Financial perspective
c onfidenc e i n t h e q u a l i t y of The satisfaction
the management control perspective
process . W i t h t h e Balanced
Internal process
Scorecard , organizational
efficiency
p e r f o r m a n c e is measure d n o t perspective
only b y its financial aspects ,
b u t also non - financial aspects . Learning and growth
perspective
D. D E V E LO P M E N T O F VA LU E F O R
VALUE FOR MONEY IS THE CORE OF PERFORMANCE
MEASUREMENT IN GOVERNMENT ORGANIZATIONS .
MONEY I N D I C ATO R S

GOVERNMENT PERFORMANCE CANNOT BE

ASSESSED IN TERMS OF THE OUTPUTS PRODUCED , BUT
MUST CONSIDER INPUTS , OUTPUTS ,
AND OUTCOMES TOGETHER .

THE TERM PERFORMANCE MEASUREMENT "IS

BASICALLY DIFFERENT FROM THE TERM " PERFORMANCE
INDICATOR .
" PERFORMANCE MEASUREMENT REFERS TO
PERFORMANCE APPRAISAL DIRECTLY, WHILE
PERFORMANCE INDICATORS REFER TO PERFORMANCE
EVALUATION INDIRECTLY, IE THINGS
THAT ARE ONLY INDICATIONS OF PERFORMANCE .
 PLANNING AND
C O N TR O L S Y S TE M S

TECHNICAL
S P E C I F I C A TI O N S A N D
STANDARDIZATION MECHANISMS
TECHNICAL
C O M P E TE N C E A N D
TO DETERMINE
P R O F E S S IO N A LIS M
PERFOEMANCE
E CO N O M IC M E CH A N IS M S
AND MARKET
MECHANISMS
I N D I C AT O R
H U M AN R E S OU R CE S
MECHANISMS
 F. Development of Value for Money Indicators

T h e role of p e r f o r m a n c e i n d i c a t o r s is to p r o v i d e i n f o r m a t i o n a s a
c o n s i d e r a t i o n for d e c i s i o n m a k i n g .Va l u e for m o n e y i n d i c a t o r s a r e
d i v i d e d i nto t w o p a r t s , n a m e l y
(1 ) cost allocation indicators ( e c o n o m i c a n d efficiency)
( 2 ) s e r v i c e q u a l i t y i n d i c a t o r s ( e f fe c t i ve n e s s ) .

P e r f o r m a n c e i n d i c a t o r s c a n b e u s e d for
INTERNAL
EXTERNAL
 F. Development of Value for Money Indicators

T h r e e p o i n t s i n t h e i n d i c a t o r v a l u e for m o n e y

1 . e c o n o m y : p u r c h a s e g o o d s a n d services w i t h a c e r t a i n q u a l i t y level
a t t h e b e s t p r i c e ( s p e n d i n g less )
2.efficiency : c e r t a i n o u t p u t s c a n b e ac hi ev ed w i t h resources as l o w
as ( s p e n d i n g w e l l )
3.effectiveness : t h e c o n t r i b u t i o n of o u t p u t t o t h e a c h i e v e m e n t of
established goals a n d objectives ( s p e n d i n g wisely )
 CON CLUSION
Public sector performance measurement system is a system that aims to
help public managers assess the achievement of a strategy through
financial and non - financial measurement tools. Performance
measurement system is one of the organizational control tools because it
is strengthened by the existence of reward and punishment mechanisms .
Measurement of public sector performance is intended to help improve
government . performance , improve resource allocation and decision
making , and to facilitate the realization of public accountability .
measurement of government performance is a measurement of value for
money . Government performance must be measured in terms of inputs ,
outputs , and outcomes . The purpose of measuring value for money ,
namely to measure the economic level in the allocation of resources ,
efficiency in the use of resources and maximum results, and effectiveness
in the use of resources .
Thank you