Enabling Performance Measurement Systems: Effects on Justice, Motivation, and Managerial Performance

Abstract

This study examines enabling performance measurement systems and their effects on justice, motivation, and managerial performance. To achieve this, an inferential methodology was employed through a survey of 128 mid-level managers from Brazilian organizations. The analysis was conducted using structural equation modelling with the support of SmartPLS4 software. The main findings indicate that mid-level managers who perceive the work environment as enabling are more likely to develop a stronger sense of procedural justice that is, they view organizational processes as fair. Similarly, an enabling performance measurement system fosters greater motivation among mid-level managers to perform their work. Moreover, motivated managers are more likely to guide and lead their subordinates effectively in achieving organizational goals, ultimately resulting in higher managerial performance. These results contribute to the literature on self-determination theory, emphasizing that perceptions of justice in the organizational environment enhance managers' motivation. Additionally, these findings provide valuable insights for senior management, as fairness in work processes, transparency in organizational decision-making, and adherence to ethical and moral principles strengthen managers' motivation to fulfill their responsibilities.