Towards a General Managerial Framework for Performance Measurement: A Comprehensive Highway Maintenance Application

This paper describes the application of Data Envelopment Analysis (DEA) to a highway maintenance setting, using measures of inputs, outputs and outcomes reported by New Zealand local authorities. A general framework of performance measurement is developed and illustrated through application to the highway setting. The framework encompasses a performance pyramid embodying multiple-perspectives of the organisation with a structure of measures linking critical success factors to process drivers, methods of data analysis and influencing factors such as professional culture. Distinctions between measures of outcome, output and input enable finer partitioning of analyses into managerial notions of efficiency, effectiveness and economy. The impact of environmental factors on efficiency is explored through two approaches suggested in the literature.