Institutional isomorphism and nonprofit managerialism: For better or worse?

Hersberger-Langloh, Sophie E. and Stühlinger, Sara and von Schnurbein, Georg. (2020) Institutional isomorphism and nonprofit managerialism: For better or worse? Nonprofit management and leadership. pp. 1-20.

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Official URL: https://edoc.unibas.ch/78320/

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Nonprofit organizations (NPOs) have increasingly adopted business‐like practices as a response to institutional pressures. Some researchers argue that this development leads to mission drift, whereas others find a positive effect on organizational performance. However, the institutional pressures responsible for shaping the nonprofit sector have remained hard to distinguish from each other. This study explores the consequences of mimetic, normative, and coercive pressures, and looks at how they affect managerialism, organizational performance, and mission drift. We link these concepts through a structural equation model based on survey data and find that one aspect of managerialism, strategic behavior, is a key construct in influencing the response to isomorphic pressures and can positively affect organizational performance while holding off‐mission drift. Normative isomorphism even has a direct positive effect on organizational performance. Mission drift can take place when organizations are under coercive pressure without having strategies or internal processes in place. These findings imply that organizations should invest in their strategy and the professional development of their staff to increase organizational performance and avoid mission drift.
Faculties and Departments:08 Cross-disciplinary Subjects > Center for Philanthropy Studies (CEPS) > Stiftungsmanagement (von Schnurbein)
UniBasel Contributors:Hersberger, Sophie and Stühlinger, Sara and von Schnurbein, Georg
Item Type:Article, refereed
Article Subtype:Research Article
Note:Publication type according to Uni Basel Research Database: Journal article
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Last Modified:15 Sep 2020 09:53
Deposited On:15 Sep 2020 09:53

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