TY - JOUR

T1 - Managing Multiple Logics: The Role of Performance Measurement Systems in Social Enterprises

AU - Nielsen, Janni Grouleff

AU - Lueg, Rainer

AU - van Liempd, Dennis

N1 - Funding: J.G.N. Ph.d.project was funded by Innovationsfonden Denmark. The APC was funded by University of Southern Denmark. Publisher Copyright: © 2019 by the authors.

PY - 2019/4/18

Y1 - 2019/4/18

N2 - This systematic literature review explores the role of performance measurement systems (PMSs) in managing multiple logics in social enterprises. Social enterprises are hybrid organizations that simultaneously pursue a social mission (social logic) and financial sustainability (commercial logic). Satisfying multiple logics often leads to tensions, which are addressed and managed through PMSs. For this, we conduct a systematic literature review to derive our conclusions. PMSs in social enterprises may assume the roles of mediator, disrupter and symbolizer. The PMS works as a mediator in combination with sincere stakeholder involvement when both logics are represented in the PMS. If a PMS represents only one logic, it increases tensions and the PMS becomes a disrupter. When the PMS is used to enhance legitimacy, the PMS assumes the role of a symbolizer. In particular, we find that PMSs are most useful for monitoring performance and enhancing legitimacy. The role of PMSs in decision-making is limited due to difficulties of integrating social and commercial logics into a single PMS. Several factors—such as decision-makers’ influence—further shape the role of PMSs

AB - This systematic literature review explores the role of performance measurement systems (PMSs) in managing multiple logics in social enterprises. Social enterprises are hybrid organizations that simultaneously pursue a social mission (social logic) and financial sustainability (commercial logic). Satisfying multiple logics often leads to tensions, which are addressed and managed through PMSs. For this, we conduct a systematic literature review to derive our conclusions. PMSs in social enterprises may assume the roles of mediator, disrupter and symbolizer. The PMS works as a mediator in combination with sincere stakeholder involvement when both logics are represented in the PMS. If a PMS represents only one logic, it increases tensions and the PMS becomes a disrupter. When the PMS is used to enhance legitimacy, the PMS assumes the role of a symbolizer. In particular, we find that PMSs are most useful for monitoring performance and enhancing legitimacy. The role of PMSs in decision-making is limited due to difficulties of integrating social and commercial logics into a single PMS. Several factors—such as decision-makers’ influence—further shape the role of PMSs

KW - performance measurement

KW - social enterprise

KW - tensions

KW - stakeholder involvement

KW - Management studies

UR - http://www.scopus.com/inward/record.url?scp=85066939035&partnerID=8YFLogxK

UR - https://www.mendeley.com/catalogue/04330425-087f-34e5-8e9e-a802a3cf1f34/

U2 - 10.3390/su11082327

DO - 10.3390/su11082327

M3 - Scientific review articles

VL - 11

JO - Sustainability

JF - Sustainability

SN - 2071-1050

IS - 8

M1 - 2327

ER -