Managerial Strategies to Influence Frontline Worker Understanding of Performance Measures in Nonprofit Child Welfare Agencies

Background and Purpose. In response to demands of funders and increased interorganizational competition, nonprofit child welfare agencies have invested in performance measurement (PM) to demonstrate the effectiveness and efficiency of their internal operations (Smith, 2012). Literature suggests that individual worker understanding and engagement in program monitoring is needed to support agency-wide PM (Julnes & Holzer, 2001). Yet, we lack information on how managers convey performance standards to their workers and promote their engagement (Sparrow, 2008). The purpose of this study is to understand the strategies used by administrators to engage their frontline staff in implementing PM systems (Brodkin, 2011). The research questions addressed are: What strategies do nonprofit child welfare agency managers use to increase the understanding of their frontline staff of required performance measures? And what is the relative contribution of multiple strategies (e.g., policy development, leadership involvement, and training) to promote worker understanding?

Methods. Quantitative data were analyzed from the 2011 National Survey of Private Child and Family Serving Agencies. This is the first national survey of private (nonprofit) child welfare agencies and it used a purposive, non-probabilistic sampling frame (N=332). Regarding the dependent variable, agency administrators rated their perceived level of frontline worker understanding of the performance measures upon which agency performance is evaluated, using a 5-point Likert-based scale. Scores were dichotomized to denote high vs. low levels of understanding. Administrators also reported whether they used any of six strategies to articulate performance measure outcomes to frontline staff and supervisors: a) written policy; b) formal training; c) discussion in staff meetings; d) formal communication by agency; e) frontline staff discussion with supervisor; and/or f) review or discussion by agency Board of Directors. Multivariate logistic regression analyses were conducted that controlled for organizational and operational characteristics. 

Results. Less than half (48%) of agency directors reported that their staff held a strong or very strong understanding of the agency’s performance measures. Multivariate analyses showed that frontline worker understanding of performance measures was positively associated with specific managerial strategies: Formal communication by agency leadership (OR 2.51; 95% CI 1.25, 5.01) and review/discussion by agency Board of Directors (OR 2.15, 95% CI 1.26, 3.68) increased frontline worker understanding of agency performance measures. Post doc analyses showed that managerial use of a comprehensive approach to PM (i.e., the use of a higher number of managerial strategies) was associated with perceived worker understanding of performance measures (OR 1.51, 95% CI 1.27, 1.83). 

 

Conclusion. Formal communication, board engagement, and combination of strategies were associated with worker understanding of performance measures. Our study suggests some variability in the relationship between conveyance strategies and worker uptake of performance measures, and supports investment in a comprehensive managerial strategy in this regard. Our findings highlight the importance of studying how nonprofit managers engage frontline staff in PM and the outcomes of frontline involvement in PM. More specifically, managerial communication and board involvement are important factors in informing frontline understanding of program performance measures.