Multiple constituencies and the social construction of nonprofit organization effectiveness

Abstract

Based on the social constructionism perspective and a multiple constituency model, this study investigates stakeholder judgments of nonprofit charitable organization effectiveness. The study also uses a Delphiprocess to identify criteria that some practitioner-experts regard as objective indicators of effectiveness. Data on various stakeholder judgments of organizational effectiveness and on the objective indicators were collected for a sample of 64 organizations, allowing for examination of the extent to which stakeholder judgments are consistent and for examination of the extent to which judgments are related to objective indicators. Among the major results of the study are that practitioner-experts define objective effectiveness as employing correct procedures; stakeholders frequently vary substantially in their judgments of the effectiveness of the same organization; stakeholder judgments of effectiveness seldom are related to objective (correct procedures) effectiveness; and different types of stakeholders use some of the same - most notably, board effectiveness - as well as different bases for making effectiveness judgments. Conclusions and implications are discussed. © 1997 Sage Publications, Inc.