Introduction Although it has long been recognised that performance measurement has an important role to play in the efficient and effective management of organisations, it remains a critical and much debated issue. Significant management time is being devoted to the questions what and how should we measure while substantial research effort, by academics from a wide variety of management disciplines, is being expended as we seek to enhance our understanding of the topic and related issues (Neely,1999). Survey data suggest that between 40 and 60 per cent of companies significantly changed their measurement systems between 1995 and 2000(Frigo and Krumwiede, 1999). Most of these initiatives, however, appear to be static. Although many organisations have undertaken projects to design and implement better performance measures, little consideration appears to have been given to the way in which measures evolve following their implementation (Waggoner et al.,1999). It is important that performance measurement systems be dynamic, so that performance measures remain relevant and continue to reflect the issues of importance to the business (Lynch and Cross, 1991). In order to ensure that this relevance is maintained, organisations need a process in place to ensure that measures and measurement systems are reviewed and modified as the organisations circumstances change (Dixon et al.,1990). Yet few organisations appear to have systematic processes in place for managing the evolution of their measurement systems and few researchers appear to have explored the question what shapes the evolution of an organisations measurement system. The research reported in this paper seeks to address this gap in the literature by presenting a framework that describes the forces that shape the evolution of the measurement systems used by different organisations. Following this introduction the paper consists of a further six sections. The next section discusses the literature regarding the evolution of performance measurement systems, providing the context for the research. Descriptions of the research methodology, the case study findings and the resultant framework of factors affecting the evolution of performance measures are then presented. The subsequent discussion is followed by conclusions that are drawn in the final section. Question 3(25 Marks) Reflect on the data analysis methods utilised in the case studies within the paper, focusing on the techniques employed to interpret qualitative data collected from interviews. How did these analytical approaches enhance the understanding of the factors influencing the evolution of performance measurement systems?