A performance measurement model incorporating 360-degree evaluation of corporate values / Juanita Esther Erasmus

Corporate governance and management by values have become vital for organisations in SouthAfrica. Recent allegations of corruption, corporate failures and the abuse of leadership powerhighlight the need for solid moral and ethical foundations. A set of shared values in an organisationmay prove to be a significant competitive advantage. The competence of employees as reflectedthrough the evaluation of their individual job goals has been widely measured for many years.Currently, limited information is available on the measurement and evaluation of the conformanceof employees to corporate values. This study explores the conformance of individual members tocore values as part of a regular, systematic performance measurement system. Introducing such asystem may assist in enforcing accountability for individual ethical behaviour.Literature on the topic advises that the core values of an organisation should be carefully andcorrectly identified before individual conformance to the values can be measured. Managing byvalues entails that preferred behaviours should be entrenched in all codes, policies, andprocedures of an organisation, including the performance measurement system. A 360-degreeevaluation is considered the most appropriate method to evaluate individual conformance tocorporate values.Information gathered from the model development part of this study indicates the following:360-Degree evaluation of values conformance may be incorporated into any existingperformance measurement system that conforms to the criteria established in this study.A performance/values template used for the evaluation of job performance and valuesconformance results effectively differentiates employees into categories.The model developed in this study was effectively implemented and tested in an organisation.It is expected that the implementation of the model will enhance the performance ofindividuals and ultimately facilitate the creation of a motivating climate within the organisation.