DefinePK

Abstract

Purpose: This study reviews the BCG Matrix for performance evaluation and approach of public sector entities in developing countries. The study is part of the doctoral thesis for performance evaluation of a Pakistani public sector organization under environmental factors. Approach: A systematic review of the literature has been used here to describe the BCG Matrix applications in the public sector, mainly in developing economies with scarce resources. Results: The review indicates that while the BCG Matrix is common in private firms, it is not yet popularly applied in the public sector. Still, information suggests that it can be a straightforward yet practical tool to assess an institution’s health, allocate budgets where needed, and identify issues within state-run organizations. Limitations: The review is restricted since few studies have used the BCG Matrix to analyze public sector organizations in developing economies. Practical Implications: The results from the review guide policymakers and administrators on how to use the BCG Matrix for strategic management and achieving more for the public. Among the first of its kind, this review shows how the BCG Matrix is useful for measuring performance in the public sector of developing countries.