PERFORMANCE MEASUREMENT IN LOCAL GOVERNMENT UNITS IN THE FUNCTION OF PUBLIC SERVICE IMPROVEMENT

Abstract: In today’s turbulent environment, local self-government administrations are under pressure of various, often confl icting needs, demands and interests that aff ect their eff ective operations. Accordingly, an innovative model of local self-government eff ectiveness measurement has been applied in this research which eff ectively includes a broad spectrum of organizational goals. Measuring eff ectiveness of local self-government and municipal management structures provides a clearer insight in to how well developed is local self-government in order to identify key factors aff ecting its (non) effi ciency and business (non)eff ectiveness. Interdependence of the balanced scorecard model (BSC) development and eff ectiveness of local self-government is the subject of this paper. Eff ectiveness of local self-government has been observed on the basis of fi ve segments or fi ve perspectives of the balanced scorecard model. BSC modeling allows for successful development and implementation of a strategy that is causally linked to eff ectiveness of local self-government and improving public services. The results of the research have confi rmed that a greater degree of development of the balanced scorecard model has the potential to increase eff ectiveness of municipal management structures, and with that development and competitiveness of the local community and improving public services, as shown in this paper.

 

Key words: Local self-government, balanced scorecard model, improvement of eff ectiveness, public services