Central to our contribution is the notion that public organizations ongoing in performance measurement are able to create more social value by exploiting political, physical, or institutional inputs than organizations, which do not implement such organizational systems. We examine the role of organizational effectiveness concept in the contemporary thinking about management. Additionally we test how public management distinctive features affect the feasibility of the performance measurement systems. We propose that during rationalization-oriented transition performance prism, strategic planning and performance measurement, and strategic performance measurement ideas could improve organizational effectiveness in public sector, could reduce strategic restructuring and generate performance benefits. Our findings have implications for research on the value of the performance measurement in public management and contingencies of various performance measurement systems already known in private sector.