Performance information use in a purpose-oriented network: A relational perspective

Abstract

Performance information use is an essential component of performance management, which is an important tool to manage purpose-oriented networks (PONs). Conceptualizing performance information use in PONs as network members’ presentation, discussion, and interpretation of performance information during their interactions and communication, this study explores its drivers. Extant studies on performance information use in PONs point out an association between its use and the relationships among network members, but they lack specificity regarding the association. This study focuses on and theorizes that association, relying on network theory (especially the embeddedness approach) and resource dependence theory. Network analysis techniques (Multiple Regression Quadratic Assignment Procedure and Exponential Random Graph Modeling) are applied to investigate the theory empirically, using a pair (dyad) of network members as the unit of analysis. The data were collected from 21 members in a health and human services network serving children and youth with serious emotional disturbance in a U.S. county. Two types of performance information were used in the PON: internally and externally produced information. Despite differences in the breadth and decision-making relevance of using information from these two sources, network analyses identify three relational characteristics consistently associated with the dyads’ use of internal and external performance information: (1) frequency of communication; (2) centrality of position; and (3) extent of mutual dependency. These findings suggest that network members are likely to use performance information in relationships where the benefits of developing a shared understanding of network performance outweigh the costs of using it.