Performance indicators are measurement tools that are used in organizations to monitor development strategies. They define various organizational strategies by providing information on the possibilities of successful realization of various objectives that are set for projects. They are also used to clarify the possibility of failure in idealistic situations. Various studies have revealed several changes in theoretical concepts of performance measurements.
In the olden days, many organizations implemented ancient performance indicators that included cost, time, and outcome of projects to foresee the future of their impending operations. However, such indicators have been gradually replaced by the development of modern methods of measuring performance such as the balanced scorecard (BSC) model to counter the limitations of the old techniques. This research proposal elaborates on the implementation of performance indicators in non-profit organizations with a view of foreseeing the feasibility of their business endeavors shortly.
In most cases, nongovernmental organizations (NGOs) measure their performance using both the progress and result indicators to foresee the future of their business activities. The progress indicators are mainly implemented for measuring the progress of various project activities that can involve training workshops in the awareness of human rights, gender equity, and embracement of cultural diversity among others (Ogunlana 228). On the other hand, the result indicators focus on measuring the success of the ongoing business activities. This indicator is always used as a post-activity to determine the nature of the outcome. It needs a detailed implementation process since it is vulnerable to failure if the executors delay or miss some of its essential steps (Ogunlana 229). Although the performance indicators have improved significantly, some organizations still face challenges of deciding the right techniques to foresee the possibility of successful business operations shortly. The performances of various organizations, especially in the social aspects, are still perceived as tales when there are no clarities on the overall operations, acceptable assessment frameworks, and integrity (Ogunlana 230).
The performance indicators are currently implemented by most non-profit organizations in projects to forecast their success. Managers and employees make decisions on different kinds of foreseeing performance indicators for success since most of the organizations vary in terms of objectives, aims, and missions among other characteristics. A research that was conducted by Nguyen et al. revealed that the success of a project depended on the achievement of the current stipulated objectives, definite beginning, and timeframe for its operations and completion (405). Furthermore, the budget and satisfaction of the stakeholders were deemed crucial in examining the probability of a project having a future continuation.
A combination of the interests of managers and perceptions of employees towards the future operations is essential in the success of non-profit organizations. This state of play is seen as a performance indicator or success factor since it embraces collective involvement and effective communication. The time to avail resources, operational activities, and management of risks, efficiency, and resolution of misunderstandings among others are dependent on the successful participation by each stakeholder with a view of achieving shared success. The future operations of the organization are highly dependent on such factors (Nguyen et al. 404).