Use of mathematical measurement in improving the accuracy (reliability) & meaningfulness of performance measurement in businesses & organizations

A review of the academic and best practice literature indicates that while there is no shortage of publications on performance measurement systems/performance measurement and management system (PMS&PMMS) in the business and organizational perspectives, but there is a dearth of research on how to measure activities/things more precisely and how they contribute to performance using an appropriate measurement theory. Key findings of the weaknesses of PMS&PMMS are: poor definitions of terms, too many terms are used, terms are used interchangeably or tautologically, and, no clear differentiation of measurement and performance measurement (M&PM). These show that the current ways in measuring activities/things and their performance are not reliable and meaningful. To overcome these weaknesses, using mathematical formulation of the hard and soft (social) sciences, a theoretical foundation of the measuring attributes (measures, metrics, indicators) of M&PM is ensconced and empirically tested using a numerical analysis. The key of this theory is accuracy (reliability) and meaningfulness of M&PM.