Performance measurement as an

eco-system: a shifting paradigm

for the third sector?

IRSPM Conference
19-21 April 2017

Laura Lebec
PhD Researcher
University of Glasgow
 Introduction and Aim

To explore how third sector organisations adopt and

implement performance measurement systems for
stakeholders.

The research makes a contribution to stakeholder

management.

The fit between performance measurement and

culture is considered understudied.
 The third sector
and performance measurement
Statutory services taken on by third sector
organisations leading to a growing emphasis on
performance frameworks.

Three main drivers responsible for third sector

performance;

o legitimacy
o accountability
o improvement of efficiency.
 Issue-focused
multi-stakeholder networks

Third sector organisations address complexity of

implementation of performance, through
participation in issue-focused multi-stakeholder
networks.

Issue-focused stakeholder management dominates

in multi-stakeholder networks.

Three multi-stakeholder networks have taken part in

the research.
 Legitimisation

Legitimisation was identified as a key driver of third

sector performance.
Research participants were highly sceptical of
organisations taking such an approach to
performance.

But its not really about the badge or the plaque on

the wall, for most of them, its about we are
improving as an organisation, lets celebrate that and
lets get that feedback from the team of assessors
that we can use to drive forward even more.
 Accountability

There was also evidence that funders are less

focussed on the compliance aspect of
accountability.

The process of getting funded organisations to

report to them isnt just a mechanistic accountability
did you spend the money and what difference did it
make? so that in turn is helping create a better
culture.
 Improvement of efficiency &
effectiveness

There was evidence from the emerging data of a

correlation between performance and
improvement of efficiency and effectiveness.

Actually, this whole business of evaluation,

performance, monitoring is useful. Its not just about
ticking a box, but it is actually for improvement at its
widest sense.
 Performance measurement:
an eco-system
The discourse contained elements not described in
the existing third sector performance literature.

it is like performance in all directions it is also the

culture and the way the organisation works. And then
there is a system..within an organisation you get to
see the system as in eco-system.
 Shifting paradigm?
The core elements identified in the emerging data
which fit under this heading of eco-system are;
vision, culture, belief and values.

Theres an element as well, I dont know how to

describe this, but you can have all your quality
systems and frameworks and all these things that
everybody has in some variety or other, but there is
also an element in terms of the cultural aspect of
the organisation and the values of your
organisation, like in how they are communicated
and how people understand their role in relation to
them.
 Conclusion: a shifting paradigm for
third sector performance?

The emerging evidence indicates that the paradigm

of performance measurement may be shifting
towards a collaborative, integrated concept, a living,
breathing, organisational eco-system, not wholly
imposed on an organisation, but organically grown to
form part of the organisations culture, values, belief
and vision.