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Metrics for Measuring the Effectiveness of Educational and Scientific Organizations: Problems and Prospects of Application

Metrics for Measuring the Effectiveness of Educational and Scientific Organizations: Problems and Prospects of Application

Journal of Economic Regulation, , Vol. 9 (no. 4),

The paper deals with the issues and possibilities of applying the quantitative estimates of effectiveness for optimization of the activities of educational and scientific organizations. The purpose of the paper is a critical revision of the dominant point of view in the economic and managerial literature, according to which the optimization of the activities of any organizations should be based on the pursuit of measurable goals and the quantification of achieved results through some indicators (metrics). The paper discusses the application of the concept of efficiency in relation to organizations. The paper makes a distinction between organizations that are managed by the entrepreneurs’ decision and organizations that are managed through bureaucratic procedures. The traditional interpretation of efficiency is relevant to the analysis of business organizations, rather than bureaucratic organizations, which include most educational and scientific organizations. Educational and scientific organizations usually do not have the goal of making a profit; therefore, the traditional interpretation of efficiency as a profit-cost ratio does not apply to them. The problem of evaluating their effectiveness is complicated by the fact that government agencies set goals for organizations that are not complementary to goals of organization members. Various indicators (metrics) are used to evaluating the effectiveness of organizations; their use in the management of organization by itself often causes the appearing of a negative effect on effectiveness of this organization. The paper discusses some of the ways which help to reduce the negative effect created by the use of metrics to manage educational and scientific organizations. A final solution to the metric traps problem must be goal of further research.

Keywords: effectiveness of organizations; metrics; institutional traps; educational organizations; scientific organizations

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