Knowledge
Performance Management
Performance management is the organisational process that informs managers and board members on progress in achieving agreed objectives and allows them to take decisions based on the organisation’s accomplishments.
Measuring performance of nonprofit organisations is not easy because outcomes are difficult to define and quality is often as important as quantity. In addition, outcomes are often the result of the efforts of a number of organisations.
Nevertheless, measuring outcomes is growing in importance as funders and other stakeholders want to know what nonprofit organisations have achieved. The effort that is being put into this area is consequently growing rapidly at present.
Performance management sets out to inform people:
- What, overall, the organisation, division or service has achieved
- Whether agreed developments have been introduced on schedule
- What funders and users think of the services
- Whether they are providing value for money.
This should enable board members, managers, staff and volunteers to focus the organisation‘s people and funds on the achievement of the agreed objectives.
More on Performance Management
Measurement Controversy.
The Balanced Scorecard.
Outcome Measurement.
Social Return on Investment.
Compass Presentations on Performance Management
Introduction to Performance Management.
For:ACEVO
Date:2000
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Books on Performance Management
Practical Monitoring and Evaluation: A guide for voluntary organisations
Jean Ellis, Charities Evaluation Services, 2002
A series of four booklets on monitoring and evaluation for voluntary and community organisations.
Two levels of guidance are offered - a BASIC guide for those new to evaluation and a more in depth ADVANCED guide for those who need more sophisticated material. The guides come with a TOOLKIT of practical working methods.
Your Project and Its Outcomes
Sally Cupitt with Jean Ellis
Charities Evaluation Services
A valuable introduction to outcomes and how to measure them.
Download from The Big Lottery Fund...
Articles on Performance Management
The Guidestar Effect - Smarten it up
This article describes eight actions charities should take to improve the presentation of their organisation and its achievements on the UK Guidestar site.
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Outcome Monitoring, Charities Evaluation Services
This paper helps organisations respond to the increasing emphasis by funders on outcomes – on showing that your services really do make a difference to people‘s lives.
Outcomes are explained, and the benefits of monitoring them are shown.
Mission Impossible?: Measuring Success in Nonprofit Organizations
John C. Sawhill, David Williamson, Nonprofit Management and Leadership, Spring 2001
An insightful article reporting on interviews with 30 leading nonprofits in the US and the development of a performance measurement system at The Nature Conservancy (the US equivalent of UK’s National Trust)
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Download from Wiley InterScience...
Strategic Performance Measurement and Management in Nonprofit Organizations
Robert S. Kaplan, Nonprofit Management and Leadership, Spring 2001
Robert Kaplan applies his now legendary Balanced Scorecard to three very different nonprofit organisations, a local United Way, a children‘s hospital and a venture philanthropy fund
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Download from Wiley InterScience...
Chapters on Performance Management
Managing at the Leading Edge
Mike Hudson, Directory of Social Change, 2003
Chapter 3 Managing Performance
Lessons from leading edge organisations in the US on performance management including:
- grasping the opportunity
- recognising legitimate concerns
- selecting measures to fit the organisation‘s mission
- using results to drive decision making
- embedding performance into organisation culture.
Managing Without Profit
Mike Hudson, Directory of Social Change, 2002
Chapter 8 Managing Strategic Performance
An introduction to performance management concepts including:
- the process of managing performance
- performance indicators
- benchmarking
- links with financial management.
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Last updated: February 2008