Measuring business performance is crucial for functioning and reaching goals in organisations. The thesis is research-oriented with the objective of determining whether the Zasavje region municipalities are measuring their performance, how they are measuring it and what goals are they setting for themselves. Actual goals of municipalities Zagorje ob Savi, Trbovlje and Hrastnik are presented. The aim of the thesis is to produce a performance of municipalities’ measurement model. Local self-government with emphasis on the above mentioned municipalities is presented at the beginning of the thesis. This is followed by presenting the performance of individual municipalities, the means of measuring their performance, reasons for municipalities' performance and problems encountered during measuring, as well as all models used in the research process. Individual models are presented, namely a system of balanced indicators, the CAF model which is based on the EFQM model, and benchmarking. The research section of the thesis presents the general municipal administrations of municipalities Zagorje ob Savi, Trbovlje and Hrastnik. This is followed by an interview which I have conducted at individual municipalities, a presentation of the goals of the municipalities, a suggested performance measurement model based on the CAF model. The suggested model reveals which municipalities are monitoring certain goals, as well as actual values of indicators at individual municipalities. The finished study revealed that the municipality Zagorje ob Savi is the most successful among the municipalities of the Zasavje region.
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