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Performance management in not-for-profit organisations




                           The use of league tables and targets in

                           the public sector



               4.1 League tables

                    League tables have become a popular performance management tool in the
                     public sector in recent years.



                               A league table compares one organisation with another by ranking
                               them (using benchmarking) in order of ability/achievement.












                              Advantages                                    Disadvantages

                      Stimulates competition and                    Differences between
                       adoption of best practice.                     organisations make
                                                                      comparisons difficult.
                      Performance transparent.
                                                                     Providers focus on
                      Monitors and ensures                           performance measures rather
                       accountability.                                than quality of service.

                      Allows consumers to make                      Performance measures:
                       choices.
                                                                      –     may not capture all
                                                                            outcomes valued by
                                                                            society
                                                                      –     may be inaccurate due to
                                                                            poor quality data.


                                                                     A poor ranking:
                                                                      –     impacts employee morale,
                                                                            public trust
                                                                      –     can result in worsening
                                                                            future performance.






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