Development and Design of a 'dynamic' Balanced Scorecard in Local Government

In the information economy, where managers are generally suffering from an overload of information, performance measurement systems are being used as filtering tools to focus attention on the main goals of a firm. However, despite the potential of performance measurement systems to act as filtering and focusing devices, there remain concerns that current systems are inadequate for these uses. This paper focuses on the design and development of a 'dynamic' measurement system that addresses a number of current concerns. Specifically, a case study carried out on a district council in New Zealand shows that, by extending the performance system design itself to include both a predesign and a post-design phase, the resultant performance system is well thought out, well integrated, and has a future focus thought to be missing from many current systems.