1 Adding Value to Performance Measurement by Using System Dynamics and Multicriteria Analysis Santos S, Belton V and Howick S Research Paper No. 2001/19 Sérgio P. Santos 1 , is a postgraduate doctoral student at the Management Science Department; Valerie Belton is a Professor at the Management Science Department and Susan Howick a Lecturer at the Management Science Department, Strathclyde Business School, Glasgow Abstract The design, implementation and use of adequate performance measurement and management frameworks can play an important role if organisations are to succeed in an increasingly complex, interdependent and changing world. Yet, despite widespread recognition of the importance of performance assessment, there are some issues which require further study if measurement systems are to be effective in supporting the decision making process. This article argues that the System Dynamics and Multicriteria Decision Analysis approaches can address some of these issues, and ultimately contribute to improve organisational performance. To support this claim, several problems that make performance measurement systems fall short of their potential are outlined and, a discussion about how System Dynamics and Multicriteria Analysis can help organisations overcome these problems is presented. Key words: Performance Measurement and Management, System Dynamics, Multicriteria Decision Analysis, Integrating Methods. Research News Join our email list to receive details of when new research papers are published and the quarterly departmental newsletter. To subscribe send a blank email to managementscience-subscribe@egroups.com. Details of our research papers can be found at www.managementscience.org/papers.asp. Management Science, University of Strathclyde, Graham Hills Building, 40 George Street, Glasgow, Scotland. Email: mgtsci@mansci.strath.ac.uk Tel: +44 (0)141 548 3613 Fax: +44 (0)141 552 6686 E-mail address: sergio@mansci.strath.ac.uk 1 Financial support for the research being carried out by the author has been gratefully received from the Fundação para a Ciência e a Tecnologia, under grant SFRH/BD/823/2000.