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Frameworks for Developing Performance Measures
There are a number of approaches which will be described here in broad terms:
At first glance, you may be thinking, why are there so many approaches and methodologies? Isn't there a best approach? The answer is no, there isn't one single best approach, at least not yet.
Each approach provides its own unique perspective. Each approach is valid and in its own way provides management with a lens with which to examine a particular situation.
Suppose 40 observations of a random system component have been recorded as shown in the table below (these numbers are sorted). 0.0345 0.1079 0.1313 0.1452 0.1788 0.2101 0.2249
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