Causality analysis in business performance measurement system using system dynamics methodology

dc.contributor.author Yusof, Zainuridah
dc.contributor.author Yusoff, Wan Fadzilah Wan
dc.contributor.author Maarof, Faridah
dc.date.accessioned 2020-01-29T12:35:02Z
dc.date.available 2020-01-29T12:35:02Z
dc.date.copyright 2014 en_US
dc.date.issued 2014
dc.description This article is not available at CUD collection.This article may be downloaded for personal use only. Any other use requires prior permission of the author and AIP Publishing. This article appeared in AIP Conference Proceedings 1605, 1201 (2014) and may be found at https://doi.org/10.1063/1.4887761. en_US
dc.description.abstract One of the main components of the Balanced Scorecard (BSC) that differentiates it from any other performance measurement system (PMS) is the Strategy Map with its unidirectional causality feature. Despite its apparent popularity, criticisms on the causality have been rigorously discussed by earlier researchers. In seeking empirical evidence of causality, propositions based on the service profit chain theory were developed and tested using the econometrics analysis, Granger causality test on the 45 data points. However, the insufficiency of well-established causality models was found as only 40% of the causal linkages were supported by the data. Expert knowledge was suggested to be used in the situations of insufficiency of historical data. The Delphi method was selected and conducted in obtaining the consensus of the causality existence among the 15 selected expert persons by utilizing 3 rounds of questionnaires. Study revealed that only 20% of the propositions were not supported. The existences of bidirectional causality which demonstrate significant dynamic environmental complexity through interaction among measures were obtained from both methods. With that, a computer modeling and simulation using System Dynamics (SD) methodology was develop as an experimental platform to identify how policies impacting the business performance in such environments. The reproduction, sensitivity and extreme condition tests were conducted onto developed SD model to ensure their capability in mimic the reality, robustness and validity for causality analysis platform. This study applied a theoretical service management model within the BSC domain to a practical situation using SD methodology where very limited work has been done. © 2014 AIP Publishing LLC. en_US
dc.description.sponsorship Malaysian Mathematical Sciences Society (PERSAMA),School of Mathematical Sciences,Universiti Sains Malaysia
dc.identifier.citation Yusof, Z., Yusoff, W. F. W., & Maarof, F. (2014). Causality analysis in business performance measurement system using system dynamics methodology. In AIP Conference Proceedings (Vol. 1605, pp. 1201–1206). https://doi.org/10.1063/1.4887761 en_US
dc.identifier.isbn 9780735412415
dc.identifier.issn 0094243X
dc.identifier.uri http://dx.doi.org/10.1063/1.4887761
dc.identifier.uri https://hdl.handle.net/20.500.12519/71
dc.language.iso en en_US
dc.publisher American Institute of Physics Inc. en_US
dc.relation Authors Affiliations: Yusof, Z., Telekom Malaysia Research and Development Sdn. Bhd., TM Innovation Centre, Lingkaran Teknokrat Timur, 63000 Cyberjaya, Selangaor, Malaysia; Yusoff, W.F.W., Graduate School of Management (GSM), Multimedia University, Persiaran Multimedia, 63100 Cyberjaya, Selangor, Malaysia; Maarof, F., Canadian University of Dubai, 1st Interchange, Sheikh Zayed Road, Dubai, United Arab Emirates
dc.relation.ispartofseries AIP Conference Proceedings;Vol. 1605
dc.rights Permission to reuse abstract has been secured from American Institute of Physics Inc.
dc.rights.holder Copyright : 2014 AIP Publishing LLC.
dc.subject Balanced Scorecard en_US
dc.subject Causality en_US
dc.subject System dynamics en_US
dc.subject Commerce en_US
dc.subject Computer simulation en_US
dc.subject Cultivation en_US
dc.subject Facsimile en_US
dc.subject Management science en_US
dc.subject Research en_US
dc.subject Strategic planning en_US
dc.subject Surveys en_US
dc.subject System theory en_US
dc.subject Environmental complexity en_US
dc.subject Experimental platform en_US
dc.subject Granger causality test en_US
dc.subject Performance measurement system en_US
dc.subject Sustainable development en_US
dc.title Causality analysis in business performance measurement system using system dynamics methodology en_US
dc.type Conference Paper en_US
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