Document Type : Exploratory

Author

• Mohammad Ali Sarlak

Professor of Public Administration. Tehran. Iran

Abstract

The health of organizations, which is formed by the interaction of humans and structures in a dynamic environment, affects the economic and social well-being of society. In macroeconomics, the economic distress index, by combining two variables of inflation and unemployment, provides a snapshot of the state of the economy and provides a number that shows whether the situation has improved or worsened compared to the past or competing countries. At the organizational level, despite numerous performance management tools, there is still no comprehensive and standard index that can express the overall state of the organization in a numerical and clear manner. This article first shows the existing gap by critically reviewing the most important management indicators and then introduces the organizational distress index as a combined solution. This index, with three human, structural and environmental dimensions, provides a final number that measures the degree of organizational disorder. A hypothetical example is also presented to demonstrate the comparative application of this index. Finally, suggestions are made for researchers and executive institutions to develop and operationalize the model.

Keywords

• Organizational distress index
• economic distress
• composite index
• organizational disorder
• conceptual framework
• performance management