Expected Role and Current Status of Use of Key Performance Indicators by Export-Oriented Firms in the Plantation Sector of Sri Lanka

Abstract

Key Performance Indicators (KPIs) are critical tools for aligning organizational performance with strategic objectives, particularly for export-oriented firms in the plantation sector. This study examines the role and current state of KPIs in enhancing performance within the industry, focusing on how firms institutionalize these metrics to measure and guide their success. Semi-structured interviews (n = 10) with managers from export-oriented firms provided insights into KPI challenges and opportunities. Thematic analysis using MAXQDA software revealed five key themes: barriers to KPI implementation, performance challenges, strategic synergy, market value addition, and technological innovations for optimization. Although essential for aligning performance with strategic goals, significant challenges remain in integrating KPIs into existing organization strategic plans including rapid KPI changes and stakeholders’ limited understanding of SMART objectives. The research highlights the need for KPIs to evolve alongside technological advancements, ensuring they remain intact and effective in guiding firms toward enhanced competitiveness and operational efficiency in the global market. Consequently, this study emphasizes the strategic importance of well-implemented KPIs for driving success and sustainability in Sri Lanka's export-oriented plantation sector