The Design of Organizational Performance Measures for Human Decisionmaking, Part II: Implementation Example

An application of the approach to designing organizational performance measures described in Part I is presented and is intended to demonstrate how the methodology can be implemented. Each sequence of steps described in Part I is carried out in the context of measuring the performance of inspection personnel for a manufacturing concern. These steps include construction of the objective matrix, assessment of information preference functions, specification of the parameters of the information volume penalty function, and solving the instrument design problem.