Managing amidst mosaic: Integrating values and rationalization in the nonprofit arts

Abstract

This ethnographic study of visionary art environment Philadelphia's Magic Gardens (PMG) draws on theories of rationalization in nonprofits to explore factors that influence the impact of this process on organizations. Responding to theories that rationalization attenuates expressive drivers of nonprofit activity, an analysis of PMG is used to explore and contextualize a literature-derived theoretical framework that suggests variables that may influence the outcome of rationalization processes in organizations. The PMG case supports and adds nuance to a notion that the strength of expressive and rationalizing impulses and the convergence or divergence of intra-organizational values influence whether growing nonprofits are able to integrate instrumental structures and expressive motivations. K E Y W O R D Sarts/culture, ethnography research, museums, nonprofit leadership, structure organizational

The Impact of Organisational Values on the Commercialisation of NGOs: Evidence Based on the Management by Values Theory

“…Vander-Velde (2020) emphasises the importance of organisational values for staff retention and commitment (Vidal, Valls, Grabulosa, 2008;Stride, Higgs, 2013). Reisman (2018) and Miles (2021) describe the motivational role of organisational values in working in public services. Moreover, Lee (2021) indicates the positive role of organisational values in the credibility of organisations.…”

“The advancing of management”: Cross‐sector agents and rationalization of nonprofits in Eastern China

“…Although recent literature focuses on nonprofit leaders' professional background and its association with rationalization, whether the professional networking carried by these leaders (Drori, Meyer, & Hwang, ; Owen‐Smith & Powell, ), either from the past or the present, makes a difference in nonprofit rationalization remains an open question (Marshall & Suárez, ). Also, extant research has tested the influence of business background and management training of nonprofit leaders and staff on rationalization (Maier et al, ; Hwang & Powell, 2009; Reisman, ; Suárez & Hwang, ), but the potential of their interaction effect on the nonprofit rationalization seems to be underscored.…”

“…Although recent literature focuses on nonprofit leaders' professional background and its association with rationalization, whether the professional networking carried by these leaders (Drori, Meyer, & Hwang, 2009;Owen-Smith & Powell, 2008), either from the past or the present, makes a difference in nonprofit rationalization remains an open question (Marshall & Suárez, 2014). Also, extant research has tested the influence of business background and management training of nonprofit leaders and staff on rationalization (Maier et al, 2016;Hwang & Powell, 2009;Reisman, 2018;Suárez & Hwang, 2013), but the potential of their interaction effect on the nonprofit rationalization seems to be underscored. Furthermore, because most of studies are based on nonprofits in Western societies, it is unclear whether or not the mechanisms that drive nonprofits to adopt rationalized models will vary in different contexts (regimes, social infrastructures) (Greenwood, Raynard, Kodeih, Micelotta, & Lounsbury, 2011;Scott, 2014).…”

“…For instance, the more a nonprofit is staffed by educated and credentialed personnel from business world, the more methodical and bureaucratic procedures will be applied. In line with them, research on rationalization also considered other antecedents that explain variations in nonprofits' adoption of business‐like practices (Reisman, ). A majority of research studies have examined the linkage of rationalization and nonprofit leaders who pursue particular interests or are driven by affective desires.…”

Editor's Note

“…Drawing evidence from the case of Goodwill Industries, Gibbons and Hazy (2017) offer managerial recommendations on how to steer a social enterprise. Taking an ethnographic point of view, Reisman (2018) describes the rationalization of a nonprofit arts organization, and points to value convergence and interpersonal work by managers as key drivers for purposeful integration of an expressive (and rational) logic. Lastly, reviewing the nonprofit management literature, Suykens, De Rynck, and Verschuere (2019) provide a detailed conceptualization and evidence‐based overview of the organizational effects of nonprofit‐business hybridity.…”