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A recent survey undertaken by PricewaterhouseCoopers (PwC) revealed some interesting results about performance management (PM), particularly in relation to perceived developments required in tomorrow’s PM practices.

Amongst the key findings of this survey, the respondents highlighted the following areas as weak and inadequate elements of their PM systems:

  1. Planning and budgeting
  2. Cost and profitability management systems
  3. Data quality and data integration


Respondents in particular indicated that these 3 shortcomings were a barrier towards attaining timely data analysis, and was rendering ad hoc reporting as difficult, time-consuming and not delivering what managers required. Why is this significant – what do organisational managers want nowadays with ad hoc reporting, and why?


The key areas for future development in PM, as indicated by the survey respondents, were:

  • Linking key performance indicators (KPIs) to strategic objectives
  • Improving cost management
  • Defining, tracking, and making KPIs
  • Product and/or customer profitability reporting
  • Improving understanding of organisational capacity
  • Better cost allocations to the business
  • Quantification of the cost process failures or waste
  • Improving support for pricing strategy
  • Shared service cost allocation/transfer pricing


Are you surprised at some of these results? Which results surprise you, and why? Do some (Internet) searching for additional surveys on management accounting practices (including PM) over the last decade or so, and try to make some comparisons. My hunch (but only that!) is that these results may not be so dissimilar to results say 10 years ago.



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