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The purpose of this paper is to investigate the specific characteristics of performance measurement on the example of the Ministry of Defense and the Serbian Armed Forces. The calculation of financial and non-financial performance measures of the Ministry of Defense and the Serbian Armed Forces contributes to constant improvement or maximization of their ability to provide goods and services through the effective and efficient acquisition and use of different types of resources. The research was conducted using the data on selected financial and nonfinancial performances from the 31st Infantry Battalion reports in the period from 2012 to 2018. In order to confirm the hypothesis, the method of analysis, the synthesis method and the correlation analysis method were used. The empirical results of this study show that there is a high degree of interdependence between the financial management and control systems, on the one hand, and increased training of people and more adequate maintenance of motor vehicles, weapons and combat techniques, on the other. The main contribution of this paper is to emphasize the importance of performance measurement in the Ministry of Defense and the Serbian Armed Forces and their contribution to creating a certain level of socialwelfare.

SPECIFICITY OF PERFORMANCE MEASUREMENT IN THE MINISTRY OF DEFENSE AND THE SERBIAN ARMED FORCES