الإصدار 6 - العدد 18 (2026-09-20)

Managing Institutional Performance Indicators for Economic Efficiency and Organizational Excellence: An Integrated Strategic Management Framework

Prof. Dr: Ahmad Al-Sayed Omar

College of Business Administration- Department of Business Administration

Majmaah University-Kingdom of Saudi Arabia

Objective: This conceptual study develops an integrated strategic management framework explaining how institutional performance indicators may contribute to economic efficiency and organizational excellence when they are aligned with strategy, governance, decision-making, and resource allocation.

Design/methodology/approach: The study adopts a theory-synthesis and model-building design. It integrates performance measurement and management, strategic management, resource orchestration, management control, organizational learning, dynamic capabilities, and organizational excellence literatures. The analysis identifies core constructs, maps their theoretical roles, specifies proposed relationships, and develops a feedback-oriented architecture. No empirical data or statistical estimates are used.

Conceptual findings: The framework proposes that strategic alignment and indicator quality improve the usefulness of performance information; useful information supports decision quality; decision quality can improve resource-allocation effectiveness; and effective allocation can contribute to economic efficiency and organizational capability. Organizational excellence is treated as a broader system-level outcome involving quality, stakeholder value, capability, learning, governance, and sustained results. Learning and strategic adaptation provide a feedback mechanism through which indicators are reviewed, revised, or retired.

Practical and policy implications: Organizations should govern performance indicators as part of strategic management and resource-allocation systems rather than as stand-alone reporting devices. Indicator portfolios should explicitly consider productivity, cost-effectiveness, quality, outcomes, risk, capability, and opportunity cost.

Originality/value: The contribution lies in making the allocative mechanism explicit: economic efficiency is positioned between decision quality and broader organizational outcomes, while adaptive indicator redesign and the distinction between measurement capacity and management capacity are incorporated into the same conceptual architecture.