ABSTRACT
This chapter engages directly with the issue of conceptualising performance within a not-for-profit (NFP) environment, and reflects on the two conflicting theoretical perspectives. It is structured as follows. In the first section, the evolution of organisational performance as it has been viewed in for-profit organisations is briefly examined. This is followed by a reflection of how organisational performance has been treated in the NFP literature, and then, a comparison of the similarities and differences between the sectors in terms of their performance implications. Next section examines two theoretical lenses, contingency and institutional, through which organisational performance in NFPs has been commonly viewed in the management control literature. This leads to an evaluation of the best vantage point from which NFP performance might be viewed. Finally, a conclusion which outlines the implications for both theory and practice and suggests avenues for future research is presented.
