The applicability of performance measurement indicators in Maltese local government : an assessment

Abstract

Purpose: Since the inception of Local Councils in Malta, no formal performance indicators have been introduced. The purpose of this study is to determine the performance management system/s that may be applicable to the Maltese Local Government. The state of knowledge and capabilities of Executive Secretaries on performance measurement together with the residents' viewpoint on the priorities and quality of Local Councils' services are also evaluated. Design: A mixed method approach was chosen to deal with the research objectives. In-depth, semi-structured interviews were conducted with representatives of the National Audit Office, the Local Council Association, the Department of Local Government and ten Executive Secretaries of Local Councils in different localities. The questionnaire was distributed to the general public on social media. Findings: Although every Local Council sets its priorities according to its respective locality, they all hold the same functions and responsibilities. While there was an agreement amongst Executive Secretaries regarding the importance of performance measurement, not all were equally knowledgeable about what this would entail and what would be required for such system to be implemented. The level of knowledge varied, as there was an inconsistency with regards to the basic and daily operations of Local Councils. With respect to capability, only one Executive Secretary was able to implement the potential performance indicators voluntarily. The aspects of performance which residents considered as important are almost identical to those chosen by Executive Secretaries. The level of satisfaction is not relatively high, especially on the selected priorities. Conclusion: There is a strong need for more consistency among the Executive Secretaries’ work. Benchmarking seems to be the ideal Performance Management System to be applied in Maltese Local Government. Implications: The idea of introducing performance indicators that fall under Economy, Efficiency and Effectiveness provide for both the financial and nonfinancial indicators to be exercised.