Performance measurement systems in public service networks. The what, who, and how of control

Date01 May 2018
Published date01 May 2018
AuthorMichela Arnaboldi,Deborah Agostino
DOIhttp://doi.org/10.1111/faam.12147
Received: 3 December 2015 Revised: 18 August 2016 Accepted: 12 September 2016
DOI: 10.1111/faam.12147
ORIGINAL ARTICLE
Performance measurement systems in public
service networks. The what, who, and
how of control
Deborah Agostino Michela Arnaboldi
Departmentof Management, Economics and
IndustrialEngineering, Politecnico di Milano, Via
Lambruschini4b, Milano, 20156, Italy
Correspondence
DeborahAgostino, Department of Manage-
ment,Economics and Industrial Engineering,
Politecnicodi Milano, Via Lambruschini 4b,
Milano20156, Italy.
Email:deborah.agostino@polimi.it
Abstract
This study exploresthe concept of a network Performance Measure-
ment System (PMS) and how it helps in terms of what is being con-
trolled in the network, which exerts control and how this control is
achieved.In analyzing PMSs, the distinction was made between their
hierarchical and their socializing components. An exploratory case
study was carried out on a public service network in charge of a local
public transport. Findings from the case study are used to reach a
preliminary conceptualization whereby network PMSs are systems
consisting of three main building blocks activated on demand by
threemain network actors and where there is coexistence and blend-
ing between hierarchical and socializing practices.
KEYWORDS
hierarchical, network control, performance measurement, public
networks, socializing
1INTRODUCTION
This study aims to understand how a Performance Measurement System (PMS) used for controlling a public network is
structured. The control of public networks is a complex activity involvinga number of difficulties (Agranoff & McGuire,
2001; Dekker, 2004; Kenis & Provan,2006; Milward & Provan, 2003; Schillemans & Busuioc, 2015). The first prob-
lem concerns the conflicting objectives that come into play between network actors and between the actors and the
whole network (Agranoff & McGuire, 2001). The second problem is linked to the lack of a clear line of accountabil-
ity, since there is no clear distinction between the principal and the agent (Schillemans & Busuioc, 2015) creating
difficulties in respect of identifying specific responsibilities within the network (Acar, Guo, & Yang,2008). The third
problem is concerned with how actions are coordinated, an exercise necessary to orchestrate network actions and
deliver the network output (Agostino & Arnaboldi, 2015; Milward & Provan, 2003; Moynihan, 2009), which is, at the
same time, far from being straightforward because of the many interdependencies among network actors (Mandell &
Keast, 2007).
Financial Acc & Man. 2018;34:103–116. wileyonlinelibrary.com/journal/faam c
2018 John Wiley & Sons Ltd 103

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