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Chapter 10

Performance management in

not-for-profit organisations

Outcome

By the end of this session you should be able to:

 highlight and discuss the potential for diversity in objectives depending on
organisation type

 discuss the difficulties in measuring outputs when performance is not judged in
terms of money or an easily quantifiable objective

 assess ‘value for money’ service provision as a measure of performance in not-
for-profit organisations and the public sector

 discuss the use of benchmarking in public sector performance (league tables)
and its effects on operational and strategic management and client behaviour

 discuss how the combination of politics and the desire to measure public sector
performance may result in undesirable service outcomes – e.g. the use of
targets

and answer questions relating to these areas.

The underpinning detail for this chapter in your Integrated Workbook can
be found in Chapter 10 of your Study Text

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