Empirical analysis of the Baldrige Criteria as both an organisational performance measure and a theoretical model

Purpose – The purpose of this paper is to test empirically two key measurement perspectives – measurements in the context of a theoretical model that predicts/explains results, and measurements in the context of generating an overall score on performance excellence – of the Baldrige Criteria for Performance Excellence (BCPE) using data from Australasian Business Excellence Award applicants. Design/methodology/approach – Two theoretical models corresponding to each measurement perspective were tested using data (n= 118 ) from the applicants for the New Zealand Businesses Excellence Award (based on the BCPE). The partial least squares method was used to test the validity of the measurement items of the BCPE. Qualitative data were also collected from applicants for the Australian Business Excellence Award. Findings – Most of the measurement items showed low levels of measurement validity under both measurement perspectives; the main reason for this was considered to be due to the design of the BCPE as it is a high level of integration and alignment between the various items and categories. Research limitations/implications – The study is based on a non‐probability sample, although this was unavoidable because the desire was to use data on national business excellence award applicants; such data are rarely available for research purposes. Practical implications – The paper shows that it is important for organisations to understand the relationships between the various categories/items. Also, the paper indicates that more research should be undertaken in this area to assist organisations to understand the relationships. Originality/value – The dual measurement perspectives of a BE model (using the same data) has not been tested before, and it is hoped that this study will help academia and the practitioner community to develop more refined performance excellence measures.