Helen AtkinsonIntroductionPerforman

Helen Atkinson

Introduction
Performance measurement is an important area of
academic and practitioner activity. This chapter will
review the weaknesses of traditional performance
measures and evaluate a number of key frame-
works. In the context of the hospitality industry
characteristics and trends, it will review the hospi-
tality literature in performance measurement and
propose areas for future research.
A rationale for change
The measurement of corporate performance has
been recognized as an important topic in manage-
ment accounting for many years, but it was not until
the late 1980s and early 1990s that the focus of both
academic and practitioners’ attention grew dramatically (Kaplan,
1994). Neely reported that between 1994 and 1996 publication vol-
umes were equivalent ‘to one new article on business performance
measurement appearing every five hours of every working day’
(1999:2tY7). The move from the industrial age to the information
age with the dramatic developments in the nature and intensity of
business and commerce changed the way companies compete. It
is no longer sufficient to be first to market with new technological
innovations; to be successful companies now have to focus on cus-
tomers not products, relationships rather than lead times and they
need to 'exploit intangible or invisible assets’ (Kaplan and Norton,
1996b:3).
Neely (1999) identified seven main reasons for this recent inter-
est including: the ‘changing nature of work increasing competi-
tion; specific irnprovement initiatives national and international
awards and the power of information technology’ 09991210).
Atkinson and Brander Brown (2001) argue that deregulation and
privatization, globalization and product differentiation, increas-
ingly sophisticated customers, increased emphasis on the supply
chain and stakeholders has resulted in ‘an emerging new com-
petitive order’ (2tX)1:128), where companies are changing the way
they monitor and measure performance.
Traditional performance measurement has been criticized for
creating single focus, short-term orientation for companies that
inhibits investment in new markets and new technologies and
so reduces international competitiveness (Doyle, 1994; Cross and
Lynch, 1992). Traditional performance measures that focus on
financial performance and are dominated by the shareholders
demands for return on investment have rapidly grown out of wa-
chrony with the way companies are operating. A radical change
was prescribed by Professor Robert Eccles for the way perform-
ance is mmsured; he advocated taking a radical decision where the
status of financial measures must be subjugated to other measures
which are more relevant in terms of the company's strategy and
competitive arena. Thus ‘giving them equal (or even greater)
status in determining strategy promotions, bonuses and other
rewards’ (Eccles, 1991 :l31 ).
Atkinson and Brander Brown (2001 :l28) identified a number of
fundamental weaknesses,
including: imitations in their accuracy and neutrality; a
dominance of laglresult over leadldeterrninant measures;
an emphasis on the short term — often at the expense of
strategic issues; llttle appreciation of the links and rela-
tionshias between key areas and aspects of an organisa-
tion; and an overall lack of balance.

Accounting and Financial Management
Furthermore, if what gets measured gets done (Eccles, 1991), it is
important to focus management attention on the right things, thus
companies must carefully select the right metrics to ensure their
long-term business strategy is achieved. They must cease the ‘folly
of rewarding A whilst hoping for B’ (Kerr, l975:769). Measures
such as customer satisfaction, market share and quality are
arguably more important indicators of success than profitability.
This is especially true when one considers the inherent weaknesses
of the profit measure (Eccles, 1991; Kaplan and Norton, 1992) and
the fact that measures such as customer satisfaction and market
share are drivers of profitability, in other words are lead measures,
whereas profit is a lag indicator (Fitzgerald et al., 1991). As these
features become more important to the competitive advantage of
companies, they must be incorporated into the performance meas-
urement systems.
A range of models and frameworks has been developed to
address the above weaknesses. Before entering into a critical
review of these models and frameworks it is necessary to identify
the key features of the hospitality industry and the future trends
that provide a context for performance measurement systems
review.
Hospitality industry characteristics and developments
The hospitality industry is a complex and multifaceted sector of
the global economy. In the international arena, large corporate
entities are developing strong brands and expanding through a
range of mechanisms, such as franchising, whereas nationally in
Europe and the UK there is still a large proportion of small and
medium enterprise (SME) activity, in addition to the multi-unit
chain operations which proliferate in the restaurant and public
house sector. The characteristics and developments in the hospi-
tality industry are having an impact on the performance measure-
ment systems used and how effectively these are implemented.
The nature and characteristics of hospitality businesses
Hospitality businesses are multifaceted enterprises, for example,
l-larris (1995b) discusses the hotel industry where the product
and service elements are complex and interrelated. Harris explains
that a hotel product combines three different kinds of businesses
in a single operation (Figure 3.1). Harris defines the accommoda-
tion or rooms division of a hotel as pure service. The Food and
Beverage division or department encompasses restaurants and bars
of various types and involves service, stock management and pro-
duction functions. Each function presents different operational,
managerial and financial issues and priorities and thus makes a
hotel operation a complex business to manage.
In addition to the diversity of functions within the hotel oper-
ation, hospitality services generally cannot be stored, the perish-
ability of the product! service adds another dimension to managing
the business. The other features of services also apply. The involve-
ment of the customer in the production process leads to two key
characteristics. First, the unique nature of the service encounter
(heterogeneity) where every service encounter is different from the
last. Secondly, services are produced and consumed at the same
time (simultaneity) - this intensifies the impact of people in the
process. The behaviour of both employee and customer and the
way they interact will have a significant impact on performance.
The intangible nature of services adds further to the complexity
and difficulty of managing in a service environment. The high
level of intangibles makes customer service and customer satisfac-
tion key issues. Together these characteristics present particular
demands on management, which are collectively unique to hospi-
tality operations. These factors provide a challenging environment
in which to develop effective performance measurement systems.
The hospitality industry is also populated by many high fixed
cost businesses which, according to Kotas (1975), demonstrate a
particular business orientation. Brander Brown and I-Iarris (1999)
argue that the combination of factors such as cost structure, demand
fluctuation and capital intensiveness, result in a strong market
orientation compared to manufacturing companies where the busi-
ness focus is more cost orientated. However, they continue to
point out that due to the complexity and multifunctional nature
of hotels, in particular, the business orientation is not necessarily
homogeneous within a hotel or across the sector. In congruence
with Schmenner (1986), who classified service businesses into
four different types and showed that different service businesses
will experience different managerial imperatives, Brander Brown
and Harris (1999) argued that performance measures will need to
be tailored to meet the differing needs of not only the business
context but also the business orientation.
Recent trends
The hospitality industry, like many sectors of the economy, has
seen dramatic change over the last three decades; Harris and
Mongiello (2001) identify a rise in market demand and customer
expectations and the acceleration of globalization and product
differentiation (Atkinson and Brander Brown, 2001). 'I'he hospi-
tality industry, and in particular hotel sector performance, mir-
rors the business/ economic cycle. Significant world events (such
as the terrorist attacks in New York, the Iraq war and the Asian
SAKS epidemic) had dramatic effects in the early part of the 21st
century, but Hans Lindh (2(XlB:iv) reports that ‘unlike in previous
down tums there have not been a significant number of bank-
ruptcies and closures, hospitality companies have emerged both
learner and more focussed on maximising profitability by provid-
ing value to their guests, employees and owners’.
The hotel industry is characterized by large global brands and is
experiencing developments in approaches to finance with increas-
ing expansion through management contracts and an increasing
trend to separate ownership from operation. This trend can lead to
diverging interests and needs of hotel operators and hotel invest-
ment companies (Denton and White, 2(X)0; Sangster, 2(X)3) and
thus put pressure on performance measurement systems. The
demand for increasing return on investment (ROI) in conjunction
with rising costs will lead to increased demand for the sector as a
whole to improve productivity.
Competition is also intensifying in the restaurant and public
house sector. There is increasing consumer spend associated with
increased disposable incomes. Changing patterns of behaviour
towards ‘snacking and grazing’ are leading to a decreas

Results (English) 1:

Helen AtkinsonIntroductionPerformance measurement is an important area ofacademic and practitioner activity. This chapter willreview the weaknesses of traditional performancemeasures and evaluate a number of key frame-works. In the context of the hospitality industrycharacteristics and trends, it will review the house-tality literature in performance measurement andpropose areas for future research.A rationale for changeThe measurement of corporate performance hasbeen recognized as an important topic in manage-ment accounting for many years, but it was not untilthe late 1980s and early 1990s that the focus of bothacademic and practitioners ' attention grew dramatically (Kaplan,1994). Neely reported that between 1994 and 1996 publication vol-ms were equivalent ' to one new article on business performancemeasurement appearing every five hours of every working day '(1999: 2tY7). The move from the industrial age to the informationage with the dramatic developments in the nature and intensity ofbusiness and commerce changed the way companies compete. Itis no longer sufficient to be first to market with new technologicalinnovations; to be successful companies now have to focus on cus-tomers not products, relationships rather than lead times and theyneed to ' exploit intangible or invisible assets ' (Kaplan and Norton,1996b: 3).Neely (1999) identified seven main reasons for this recent inter-est including: the ' changing nature of work increasing competi-tion; specific irnprovement initiatives national and internationalawards and the power of information technology ' 09991210).Atkinson and Brander Brown (2001) argue that deregulation andprivatization, globalization and product differentiation, increas-ingly sophisticated customers, increased emphasis on the supplychain and stakeholders has resulted ing an emerging new com-petitive order ' (2tX) 1: 128), where companies are changing the waythey monitor and measure performance.Traditional performance measurement has been criticized forcreating single focus, short-term orientation for companies thatinhibits investment in new markets and new technologies andso reduces international competitiveness (Doyle, 1994; Cross andLynch, 1992). Traditional performance measures that focus onfinancial performance and are dominated by the shareholdersdemands for return on investment have rapidly grown out of wa-chrony with the way companies are operating. A radical changewas prescribed by Professor Robert Eccles for the way perform-ance is mmsured; he advocated taking a radical decision where thestatus of financial measures must be subjugated to other measureswhich are more relevant in terms of the company strategy andcompetitive arena. Thus ' giving them equal (or even greater)status in determining strategy promotions, bonuses and otherrewards ' (Eccles, 1991: l31).Atkinson and Brander Brown (2001: l2 8) identified a number offundamental weaknesses,including: imitations in their accuracy and neutrality; adominance of laglresult over leadldeterrninant measures;an emphasis on the short term — often at the expense ofstrategic issues; llttle appreciation of the links and rela-tionshias between key areas and aspects of an organisa-tion; and an overall lack of balance.Accounting and Financial ManagementFurthermore, if what gets measured gets done (Eccles, 1991), it isimportant to focus management attention on the right things, thuscompanies must carefully select the right metrics to ensure theirlong-term business strategy is achieved. They must cease the ' follyof rewarding A whilst hoping for B ' (Kerr, l975: 769). Measuressuch as customer satisfaction, market share and quality arearguably more important indicators of success than profitability.This is especially true when one considers the inherent weaknessesof the profit measure (Eccles, 1991; Kaplan and Norton, 1992) andthe fact that measures such as customer satisfaction and marketshare are drivers of profitability, in other words are lead measures,whereas profit is a lag indicator (Fitzgerald et al., 1991). As thesefeatures become more important to the competitive advantage ofcompanies, they must be incorporated into the performance meas-urement systems.A range of models and frameworks has been developed toaddress the above weaknesses. Before entering into a criticalreview of these models and frameworks it is necessary to identifythe key features of the hospitality industry and the future trendsthat provide a context for performance measurement systemsreview.Hospitality industry characteristics and developmentsThe hospitality industry is a complex and multifaceted sector ofthe global economy. In the international arena, large corporateentities are developing strong brands and expanding through arange of mechanisms, such as franchising, whereas nationally inEurope and the UK there is still a large proportion of small andmedium enterprise (SME) activity, in addition to the multi-unitchain operations which proliferate in the restaurant and publichouse sector. The characteristics and developments in the house-tality industry are having an impact on the performance measure-ment systems used and how effectively these are implemented.The nature and characteristics of hospitality businessesHospitality businesses are multifaceted enterprises, for example,l-laris (1995b) discusses the hotel industry where the productand service elements are complex and interrelated. Harris explainsthat a hotel product combines three different kinds of businessesin a single operation (Figure 3.1). Harris defines the accommoda-tion or rooms division of a hotel as pure service. The Food andBeverage division or department encompasses restaurants and barsof various types and involves service, stock management and pro-duction functions. Each function presents different operational,managerial and financial issues and priorities and thus makes ahotel operation a complex business to manage.In addition to the diversity of functions within the hotel oper-ation, hospitality services generally cannot be stored, the perish-ability of the product! service adds another dimension to managingthe business. The other features of services also apply. The involve-ment of the customer in the production process leads to two keycharacteristics. First, the unique nature of the service encounter(heterogeneity) where every service encounter is different from thelast. Secondly, services are produced and consumed at the sametime (simultaneity)-this intensifies the impact of people in theprocess. The behaviour of both employee and customer and theway they interact will have a significant impact on performance.The intangible nature of services adds further to the complexityand difficulty of managing in a service environment. The highlevel of intangibles makes customer service and customer satisfac-tion key issues. Together these characteristics present particulardemands on management, which are collectively unique to house-tality operations. These factors provide a challenging environmentin which to develop effective performance measurement systems.The hospitality industry is also populated by many high fixedcost businesses which, according to Kotas (1975), demonstrate aparticular business orientation. Brander Brown and I-Iarris (1999)argue that the combination of factors such as cost structure, demandfluctuation and capital intensiveness, result in a strong marketorientation compared to manufacturing companies where the busi-ness focus is more cost orientated. However, they continue topoint out that due to the complexity and multifunctional natureof hotels, in particular, the business orientation is not necessarilyhomogeneous within a hotel or across the sector. In congruencewith Schmenner (1986), who classified service businesses intofour different types and showed that different service businesseswill experience different managerial imperatives, Brander Brownand Harris (1999) argued that performance measures will need tobe tailored to meet the differing needs of not only the businesscontext but also the business orientation.Recent trendsThe hospitality industry, like many sectors of the economy, hasseen dramatic change over the last three decades; Harris andMongiello (2001) identify a rise in market demand and customerexpectations and the acceleration of globalization and productdifferentiation (Atkinson and Brander Brown, 2001). 'I'he house-tality industry, and in particular hotel sector performance, mir-rors the business/economic cycle. Significant world events (suchas the terrorist attacks in New York, the Iraq war and the AsianSAKS epidemic) had dramatic effects in the early part of the 21stcentury, but Hans Lindh (2 (XlB: iv) reports that ' unlike in previousdown tums there have not been a significant number of bank-ruptcies and closures, hospitality companies have emerged bothlearner and more focussed on maximising profitability by provid-ing value to their guests, employees and owners '.The hotel industry is characterized by large global brands and isexperiencing developments in approaches to finance with increas-ing expansion through management contracts and an increasingtrend to separate ownership from operation. This trend can lead todiverging interests and needs of hotel operators and hotel invest-ment companies (Denton and White, 2 (X) 0; Sangster, 2 (X) 3) andthus put pressure on performance measurement systems. Thedemand for increasing return on investment (ROI) in conjunctionwith rising costs will lead to increased demand for the sector as awhole to improve productivity.Competition is also intensifying in the restaurant and publichouse sector. There is increasing consumer spend associated withincreased disposable incomes. Changing patterns of behaviourtowards ' snacking and grazing ' are leading to a decreas

Results (English) 3:

海伦阿特金森简介



绩效测量是学术和实践活动的重要区域。本章将回顾传统的性能弱点

措施和评价一些关键帧
作品。在酒店行业的特点和发展趋势
上下文，它将审查医院以文学
性能测量和
提出未来研究的重点。理由

变化测量公司绩效
被确认为一个重要的课题管理管理会计
多年，但直到
80年代末和90年代初，两
学术和实践者关注的焦点（卡普兰，
大幅增长1994）。尼利报道1994和1996卷的出版
时间是相当于”对企业绩效测量
出现每五小时每工作日的一篇新的文章（
1999:2ty7）。从工业时代到信息时代与
在性质和业务强度和商务
戏剧性的发展改变了企业的竞争方式。它不再是足够
与新技术
市场fiRST创新；是成功的企业现在必须集中在中心的两
不是产品，关系而不是交货时间，他们需要利用
无形资产或无形资产”（卡普兰和诺顿，1996
：3）。（1999）确定
尼利七主要原因包括：近期间
EST“工作性质的变化增加了竞争
；具体的改良等措施，国家和国际奖项和
信息技术09991210电力）。阿特金森和布朗
布兰德（2001）认为，解除管制和私有化和全球化产品
，分化越复杂，增加客户对
，增加供应链和利益相关者强调
导致的一个新兴的COM -
竞争秩序”（两发-）1:128），公司都在改变他们的监视和测量性能
。
传统绩效评价一直被批评为
创建单焦点，短期导向的公司
抑制投资在新的市场和新技术，从而降低
国际竞争力（多伊尔，1994；交叉和
林奇，1992）。传统的绩效措施，重点对财务绩效和
主要由股东要求的投资回报
迅速发展出来的水性与
了公司经营。彻底改变
被教授罗伯特埃克尔斯的方式执行性能
mmsured；他主张采取激进的决策在
金融措施状况必须征服其他措施
这是更相关的在公司的战略和竞争的舞台上
。因此，给他们平等的（或更大）在确定战略地位
促销，奖金和其他奖励”（Eccles，
1991：L31）。阿特金森和布朗
布兰德（2001：L28）确定了一些基本的弱点

，包括：在精度和中立的模仿；在措施的优势leadldeterrninant
laglresult
；强调短期往往牺牲安娜
战略问题；升值的联系和关系
tionshias重点领域和方面之间的organisa -
和平衡性；整体上缺乏

。会计与财务管理
此外，如果被衡量的事（Eccles，1991），它是
集中管理的注意力集中在正确的事情重要，因此
公司必须慎重选择合适的指标，以确保达到其
长期经营策略。他们必须停止“愚蠢
奖励当希望B”（克尔，l975:769）。
措施如客户满意度，市场占有率和质量
更为重要的成功指标不是盈利。
尤其是当一个人认为利润度量的固有弱点
（Eccles，1991；卡普兰和诺顿，1992）和
事实，如顾客满意度和市场份额措施
亲fi稳定司机，换句话说是铅的措施，
而利润是一个滞后指标（菲茨杰拉德等人。，1991）。这些特点成为

的企业竞争优势更重要的是，他们必须纳入绩效测量测量系统

。一系列的模型和框架已经发展到
解决上述缺点。在进入这些模型的一个关键
审查和框架，有必要确定
酒店业的主要特点和未来趋势
提供性能测量系统的上下文

评论。酒店行业的特点和发展
酒店行业是一个复杂的、多方面的全球经济部门
。在国际上，大型企业
实体发展强大的品牌，通过一系列的机制扩大
，如特许经营，而全国
欧洲和英国仍有一大部分的小中型企业（SME）
活动，除了多单元
链增殖业的餐馆和公共
房子。的特点和发展，医院以业
正在影响绩效衡量-
管理系统的使用和如何有效地实施这些是。酒店企业

酒店业务的性质和特点是多方面的企业，例如，
l-larris（1995b）对酒店业的产品和服务元素
是复杂和相互关联的。哈里斯解释
，酒店产品结合了三种不同企业
在一个单一的操作（图3.1）。哈里斯defiNES的调节作用-
或房间艾斯酒店纯服务部。食品和饮料部门
包括餐馆和酒吧
各种类型和涉及服务，库存管理和支持
生产函数。每一个功能提出了不同的操作，管理和财务问题
fi和优先级，从而使
酒店经营一个复杂的业务管理。
除了功能的多样性在酒店等接待服务运行
，一般不能储存，灭亡-
产品的能力！服务添加另一个维度
业务管理。服务的其他功能也适用。这涉及对
客户在生产过程导致两个关键
特性。首先，遇到的服务
独特性（异质性）在每一个服务接触不同于
最后。其次，服务的生产和消费在同一时间（同时）
这个强度在
fiES过程中人的影响。员工和客户的行为和他们互动的方式将有一个显
fi
斜面对性能的影响。服务的无形性增加了进一步的复杂性
和服务环境中管理的难度。高水平的无形资产
将顾客服务和顾客满意-
等关键问题。这些特点结合起来，提出了特别要求管理
所独有，医院以操作
。这些因素提供了一个具有挑战性的环境
在制定有效的绩效测量系统。
酒店业也居住着许多高固定成本的企业，根据
，科塔斯（1975），表明一个特定的业务取向
。布兰德布朗i-iarris（1999）
认为，如成本结构因素的组合，需求
fl浮动和资本密集，在一个强势市场
结果定位相比，制造企业的业务重点是成本导向
性。然而，他们继续
指出，由于在特定的复杂性和多功能性的酒店，以经营取向
，未必
酒店内或跨部门齐。在与同余
Schmenner（1986），谁分服务企业
四种不同的类型，显示不同的服务业务
将经历不同的管理的迫切需要，布兰德布朗
和Harris（1999）认为，绩效指标需要
满足不仅需要不同业务上下文
也是商业定位。最近的趋势

酒店行业的许多部门，如经济，具有
看到在过去的三年发生了戏剧性的变化；哈里斯
Mongiello（2001）确定一个市场需求和顾客的期望和全球化、产品

分化加速上升（阿特金森和布兰德Brown，2001）。”i'he
住院以行业特别是酒店业，和性能，米尔-
商业/经济周期误差。重大的世界事件（如
在纽约的恐怖袭击事件，伊拉克战争和亚洲
萨克斯流行）在第二十一
世纪早期的戏剧效果，但是汉斯林德（2（机：IV）报告说，“不像以前的
下匝没有大量银行
ruptcies和封锁，酒店公司已经出现两
学习更集中于最大化提供稳定的支持fi
对客人的价值，员工和所有者。
酒店行业特征的大型全球品牌和体验的发展途径
fiNance和增加了扩张
管理合同和增加趋势分开
所有权和经营。这种趋势会导致不同的利益和需要
酒店经营者和酒店投资
管理公司（丹顿和白，2（X）0；桑斯特，2（X）3）和
从而对绩效测量系统施加压力。提高投资回报（ROI）
需求结合
成本上升将导致需求增加的部门作为一个整体提高生产率

竞争也日趋激烈。在餐厅和公共
宫。有越来越多的消费者花与
增加可支配收入。改变行为模式，对“快餐”
放牧导致减少