BENCHMARKING AND PERFORMANCE MANAGEMENT IN LOCAL ADMINISTRATION: A CASE STUDY OF OLD TAFO MUNICIPAL ASSEMBLY
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Keywords

Benchmarking
Performance Management
Local Administration Performance

Abstract

Public sector organisations face increasing pressure to demonstrate accountability and performance effectiveness while serving the collective public good rather than pursuing profit. Unlike private entities, public institutions must balance social goals, fiscal responsibility, and the expectations of multiple stakeholder groups under resource constraints (Kearney, 2018). Despite this, limited empirical evidence exists on how benchmarking practices particularly their diversity and intensity contribute to performance improvement in local government administration in Ghana. This study examines the relationship between benchmarking diversity, benchmarking intensity, and local administration performance within a municipal assembly context. Using a stratified sampling technique, 273 employees were selected from a population of 930, representing core processes, immediate support, and support functions. Structural Equation Modelling (SEM), following the two-stage approach proposed by Anderson and Gerbing (1988), was used to test the hypothesised relationships. Findings reveal a significant positive association between benchmarking diversity, benchmarking intensity, and local administration performance. The study contributes to public sector performance literature by providing empirical evidence on how varied benchmarking practices enhance operational effectiveness within Ghanaian local governance. While the results are context-specific, they highlight the need for broader multi-district and multi-regional studies to deepen understanding of benchmarking’s role in improving administrative performance across the public sector.

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