Performance measurement and management (PMM) researchers have recently called for a closer inspection of social controls – the cultural and behavioural aspects of PMM inside organizations – as a complement to longstanding inquiries into technical controls – the rational and structural processes that enable measurement. The authors address this call by first reviewing the principal findings obtained in the field of social value measurement (SVM), which focuses on the measurement of how and to what extent individuals and groups perceive and realize subjective changes (i.e. in knowledge, access and health) from interactions with organizations. Subsequently, the authors distil the main characteristics of SVM research (i.e. the basic conceptualizations, stated purposes and normative principles). They find that SVM tends to highlight the importance of individual and group wellbeing and welfare, aim to understand how organizational actions influence these conditions, and focus on individuals’ lived experiences of measuring or being measured. In comparison, PMM research concentrates on technical controls, relies mainly on notions of systems and structured processes, and assumes people's behaviours are impacted by measures, but does not fully explore their responses. The authors argue that to acknowledge and integrate social aspects of PMM properly into research and practice, subjects – with their thoughts, emotions and experiences – should be included more explicitly in future studies and theorizations.
Purpose: This paper examines the influences of performance measurement (PM) on not-forprofit organizations' stakeholders by studying how PM practices interact with understandings of legitimate performance goals. This study invokes institutional logics theory to explain interactions between PM and stakeholders.Design/methodology/approach: An in-depth case study is conducted in a large not-for-profit organization in the United Kingdom. Managers, employees, and external partners are interviewed and observed, and performance-related documents analyzed.Findings: Both stakeholders and PM practices are found to have dominant institutional logics that portray certain goals as legitimate. PM practices can reinforce, reconcile or inhibit stakeholders' understandings and propensity to act towards goals, depending on the extent to which practices share the dominant logic of the stakeholders they interact with.
Research implications/limitations:A theoretical framework is proposed for how PM practices firstly interact with stakeholders at a cognitive level and secondly influence action. This research is based on a single case study, which limits generalizability of findings; however, results may be transferable to other environments where PM is aimed at balancing competing stakeholder objectives and organizational priorities.
Finally, we thank the leaders and employees of Youth Futures and Organic Earth for opening their doors to us and generously sharing their time, experiences, and insights. All authors contributed equally.
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