Balancing efficiency, effectiveness and equity: a holistic framework for performance in the visitor economy

Purpose This paper aims to critically explore how effectiveness, equity and efficiency (i.e. the “3Es”) are applied to evaluate service delivery across the hospitality, tourism and recreation fields. It addresses organizations’ and researchers’ tendency to work in silos, highlighting the need for a more integrated approach to performance measurement. Design/methodology/approach This paper adopts a comprehensive performance measurement system (CPMS) framework. Under this model, service delivery and staff commitment can be assessed based on three criteria: effectiveness – does the service deliver the intended benefits?; equity – are all stakeholders treated fairly?; and efficiency – how do inputs and outputs reflect effort, expense and/or waste? A review of the literature and contemporary empirical evidence informs this analysis. Findings Performance management systems have historically prioritized efficiency, often at the detriment of effectiveness and equity. This paper reveals sectoral variations: recreation emphasizes access and community outcomes; hospitality focuses on service quality; and tourism targets destination management. Rebalancing the 3Es is essential for delivering sustainable, inclusive outcomes. Practical implications Organizations in the visitor economy can use the 3Es framework to design performance systems that balance profitability with social fairness and environmental responsibility. More conscientious service delivery will follow. Originality/value By positioning the 3Es within the CPMS framework, this paper places a novel cross-sectoral lens on service delivery in the evolving visitor economy. It provides a structured yet refined foundation for promoting performance measurement that is equitable, effective and efficient.