Title: A framework for a network-level performance measurement system in SME networks

Authors: Elina Varamaki, Marko Kohtamaki, Marko Jarvenpaa, Tero Vuorinen, Erkki K. Laitinen, Kirsti Sorama, Tom Wingren, Jukka Vesalainen, Petri Helo, Tommi Tuominen, Timo Pihkala, Jarkko Tenhunen

Addresses: Seinajoki University of Applied Sciences, Koulukatu 41, 60100, Seinajoki, Finland. ' University of Vaasa, P.O. Box 700, 65101, Vaasa, Finland. ' University of Jyvaskyla, PL 35, 40014, Jyvaskyla, Finland. ' University of Vaasa, P.O. Box 700, 65101, Vaasa, Finland. ' University of Vaasa, P.O. Box 700, 65101, Vaasa, Finland. ' Seinajoki University of Applied Sciences, Koulukatu 41, 60100, Seinajoki, Finland. ' University of Vaasa, P.O. Box 700, 65101, Vaasa, Finland. ' University of Vaasa, P.O. Box 700, 65101, Vaasa, Finland. ' University of Vaasa, P.O. Box 700, 65101, Vaasa, Finland. ' University of Vaasa, P.O. Box 700, 65101, Vaasa, Finland. ' Lappeenranta University of Technology, Lahti Unit, Saimaankatu 11, 15140, Lahti, Finland. ' Employment and Economic Development Centre for North Karelia, P.O. Box 8, FI-80101 Joensuu, Finland

Abstract: The present study aims to present a theoretical framework for a network-level performance measurement system. The suggested framework for the performance measurement system is composed of the factors that enable and cause the productivity and profitability of the network form of organisation. The framework developed in this study can be divided into six subdimensions: (1) network culture, (2) resources and competences, (3) models of action, (4) internal processes, (5) customer perspective and (6) financial indicators of the network. We argue that this framework provides research opportunities to study the performance of the network form of organisation; but even more importantly, it provides a unique framework to analyse and develop network organisations in practice.

Keywords: partnerships; performance measurement; SME networks; SMEs; small and medium-sized enterprises; productivity; profitability; network culture; resources; competences; networking.

DOI: 10.1504/IJNVO.2008.018830

International Journal of Networking and Virtual Organisations, 2008 Vol.5 No.3/4, pp.415 - 435

Published online: 19 Jun 2008 *

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