Managing for Results Differently: Examining Managers’ Purposeful Performance Information Use in Public,Nonprofit,and Private Organizations

Abstract

Performance information (PI) is only valuable when decision makers use it to improve their organization. Despite its importance, evidence on PI use is still limited, particularly about PI use in different contexts and for specific purposes. This article examines managers’ use of PI for specific purposes (purposeful PI [PPI]) and compares cross-sector differences in reported PPI use with a survey of nearly 1,000 top-level hospital managers in public, private, and nonprofit hospitals in the United States, while controlling for task. Findings show significant cross-sector differences in reported PPI use in three decision areas: personnel, day-to-day operations, and service efficiency, and that public managers use PI significantly less than their private and nonprofit counterparts in most decision areas. Results are discussed within the literature on performance management and cross-sector differences.