To be competent as a world-class manufacturer, manufacturing organizationsrnneed to have a number of critical ingredients: one such ingredient is that of anrnappropriate performance measurement system. Measurement systemsrnincorporating financial and non-financial measures have been a topic ofrnconsiderable interest to both business practitioners and academics for most ofrnthe 1990s. The main focus of this research thesis is to formulate a multi-criteriarnperformance measurement model that comprises critical both tangible &rnintangible measures.rnThis research paper reviews worldwide researches that address the correlationrnbetween applying appropriate performance measures, and their impacts onrnstrategic performance outcomes. The research has been conducted in a sample ofrn28 Ethiopian manufacturing enterprises. The vital financial results of thesernsurveyed companies are compared to the international industry benchmarks. Thernextent of utilization of financial & non-financial measures in strategic planningrnand organizational performance evaluation is also studied.rnThe results from this research study assure that one of the major constraints forrnperformance degradation in selected companies is the lack of proper performancernmeasurement systems and strategies. The negative impact of traditionalrnperformance measures and operation strategies on improvement of businessrnresults is clearly determined. Depending upon the research findings, a MCPMrnmodel with its implementation steps is recommended as a solution using thernneed assessments from participant enterprises.