...well-informed, well-trained Board of Directors (BOD) is absolutely essential to the success of the organization. The BOD for this organization is not unlike any other not-for-profit boards with less than 10 years in age. The boards of these organizations sometimes consist of inexperienced and unknowledgeable management professionals. New board members are excited to make good decisions and evoke proper change within the organization. They soon find out change is not quick and results aren’t seen over night. Due to this reality board members with tenure can become complacent and thereby miss opportunities for organizational growth. This can create barriers to performance for young board members and old board members alike. This paper argues the necessity of continual board development using assessment methodologies. It takes into consideration current knowledge on why and how development can detour ineffective job performance amongst board participants. This paper creates a possible framework for BOD development in non-profits. OUTLINE Introduction and Overview 4 Evidence or Support Statements 5 Warrants 6 Counterclaim Statement 7 Rebuttal Statement 8 Conclusion Statement 9 References 11 Introduction and Overview Board members are a significant asset to organizations. They make decisions based on strategic need and corporate responsibility. Rarely though do new members arrive on the board with years of experience in the nonprofit sector (Rubenstein and O’Flynn...
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...Best Practices: Nonprofit Corporate Governance One of the most significant and valuable developments of the post-Sarbanes-Oxley Act environment has been the emergence of governance “Best Practices” proposals designed to enhance and improve corporate responsibility and governance. These proposals have come from a wide variety of sources, ranging from self-regulatory agencies (e.g., NYSE, NASDAQ) and business groups (e.g., The Business Roundtable, The Conference Board, National Association of Corporate Directors) to professional associations (e.g., the American Bar Association) and major corporations (e.g., General Electric, WorldCom, TIAA/CREF). While most of these Best Practices proposals have been recommended for adoption by public companies, their relevance as an aspirational goal for nonprofit corporations and non-public companies is widely recognized. From these and other resources, we have developed the following set of guidelines as “food for thought” concerning governance “Best Practices” to assist nonprofit corporations in responding to the current “corporate responsibility” environment. To set the proper perspective, a few important caveats are in order. First, these are Best Practices guidelines, and do not in most instances, reflect current legal requirements. Instead, the guidelines reflect our perspective on evolving trends in nonprofit governance and law. In many circumstances, adoption of, and adherence to, “Best Practices” may reduce a nonprofit corporation’s exposure...
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...needs of society and human necessities. Nonprofit organizations function on responsibilities to society, profit organizations function on responsibilities to themselves. Nonprofit organizations foundation is the “pluralistic theory, it means that a mosaic of agencies try to meet the needs”, of others. Citizens view themselves as benevolent and truly care for others, their needs, and are ready at moments’ notices to assist with solving their basic needs. Charity dates back to the new world in New England as religious missions, and the people providing the services were referred to as overseers of the poor. The overseers sought basic necessities of life to allow the needed short term relief during distress of the poor. The public view of nonprofit organizations is a complex sociological concert and is a solid foundation of real return of resources. Nonprofit organizations have interactions with mutual benefits and it structure (“History and Theory” 2010). GOVERNANCE “Governance in South Africa” (2013) defined governance as the act of governing, it is what governing bodies do (govern). Governance deals with decisions which defines expectation, validates performance or awards power. It is a portion of the decision making process or the leadership process. Governance deals with the quality of governance within an organization and is compared to standard of good governance. When speaking of nonprofit organizations governance looks at management, intransigent policies...
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...Governance in Non-Profit Healthcare MGMT 640 Executive Summary Good leadership, financial management, and governance are the essentials for success in any organisation, whether the organisation is a non-profit organisation or a for-profit organisation. In non-profit healthcare the seamless interaction of all the parts makes the organisation successful as a whole. Service provided must be consistent with the goals of the organisation. Agencies and watchdogs have become even more visible seeking accountability and transparency. But how do leaders within the organisation work together to make it a success, how are they governed to achieve the goals of the organisation? In for-profit effective governance is easily recognisable, and achieved. The most important element in an organisation that operates for profit is its balance sheet, great sales and rising stock prices, profits being paid out as dividends, no mention of fraud in the company accounting, these are all excellent indicators of effective governance. In non-profits more so in healthcare, it is terribly difficult to measure or see effective governance. Also, the idea of optimum efficiency may have differing connotations for each stakeholder. Non-profits benefit from the luxury of not having to suffer agency conflicts; nevertheless they must ensure that there are measures in place that ensures transparency. Based on the five (5) overarching strategies suggested...
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...provides the steps to develop goals and objectives that will move the organization’s forward. (b) The specific issues would be various due to different standards and analysis techniques which applied to strategic planning. However, generally it is critical to cover these aspects as follows. Identifying the nonprofit organization's direction and mission. What’s the reason of the organizations exist? What do the organizations try to accomplish? How do the organizations to do to achieve their goals? What are the organization’s guiding principles? Evaluating the Internal and External Environment, Clarifying Critical Issues An assessment of internal environment Strengths and weaknesses An assessment of the external/market environment All organizations are under the operations with complex political, social and macroeconomic changes, so a sensible plan must reflect the assumptions that management people makes about the external environment under their study in various factors, such as economic and demographic trends, policy changes, technical updates, so that enable the management to find the challenges and opportunity nonprofit organization faced. Formulating the nonprofit organization's Strategy and Setting Long-term Objectives Strategy is the method used to achieve the mission of the organization, and these methods may be included in the organization's mission statement. Strategy planning...
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...Organizational development and fundraising professionals, as well as board volunteers, have the opportunity to cross boundaries that divide people in other sectors. Whether we view this opportunity with apprehension or enthusiasm depends on our heritage, experiences, beliefs, and vision. Historically, nonprofit boards have offered limited opportunities to develop diverse leadership. 4 Beyond representation: Building diverse board leadership teams Maria Gitin OVER THE YEARS , dialogue on board diversification has evolved from focus on the importance of representing constituents, to “doing the right thing,” which is characterized by opponents as “political correctness,” to the current widely held view that a nondiverse board is missing key potential donors and opinion leaders. Diverse leaders can expand knowledge, create new resources, and open doors to partnerships necessary to fulfill an organization’s mission. Recommended strategies for board diversification must be understood in the context of the deeply divided society of the United States. Although North American cultural issues are the result of a unique history, most elements of diversity planning will apply in other countries as well. By the year 2015 the nonwhite portion of the U.S. population is expected to increase to 30 percent NEW DIRECTIONS FOR PHILANTHROPIC FUNDRAISING, NO. 34, WINTER 2001 © WILEY PERIODICALS, INC. 77 78 DIVERSITY IN THE FUNDRAISING PROFESSION (Changing Our World, 2001). In...
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...ReadingWhat is a Nonprofit?Key RolesThree Major Sections of Personnel in a NonprofitManagement Skills Generally Unique to NonprofitsCurrent Major Challenge: DevolutionRevenue: Fees and FundraisingUnique Nature and Struggles of Traditional Small NonprofitsGeneral ResourcesAdditional Perspectives on Nonprofit Organizations Also See the Library's Blogs Related to Nonprofit OrganizationsIn addition to the articles on this current page, see the following blogs which have posts related to Nonprofit Organizations. Scan down the blog's page to see various posts. Also see the section "Recent Blog Posts" in the sidebar of the blog or click on "next" near the bottom of a post in the blog. Library's Consulting and Organizational Development BlogLibrary's Leadership BlogLibrary's Nonprofit Capacity Building BlogLibrary's Supervision Blog Also seeRelated Library Topics Suggested Previous ReadingNote that the reader might best be served to first read the document Introduction to Organizations to understand the overall general nature of all organizations. As noted in that document, today's leaders are faced with continual change in their organizations. Consequently, today's leaders should have a strong sense of what their organizations are about. This document will accomplish that for nonprofit leaders. An organization is a collection of resources arranged to accomplish an overall goal. The purpose of a nonprofit organization is to meet one or more needs in a community. Each nonprofit describes...
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...community on kidney disease. NKF has officially opened their first dialysis centre at the Kwong Wai Shiu Hospital in 1982 and throughout they have gone ups and down before emerge as a premier charity organisation in Singapore. By July 2005, Singaporean were shocked when the news of NKF scandal broke following the collapse of defamation trial. It is unexpected due to the fact the NKF has already recognise as a lead charity organisation with the revenue of $116 million. Lots of allegation were slandering around and the spot light goes to the then NKF CEO, Mr Thambirajah Tharmudurai or better known as T.T. Durai. The news not only rock the nation but also has attracting interest of global parties. The scandal has cause the CEO and his board of Directors to resign. Therefore, this case study is significant for the group to analyse the organizational leadership issues and challenges. AIM The aim of this study is to analyse the case of National Kidney Foundation scandal in the context of Organizational Leaderships. OBJECTIVE Objective of this study is to answer the following question: 1. How is leadership related to responsibility? In what ways and to what extent was Durai a responsible leader? In which ways was he not responsible? 2. Comment on Durai’s actions that were revealed in the court proceeding. Do you...
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...New Media & Society, forthcoming Modeling the adoption and use of social media by nonprofit organizations Seungah Nah; Gregory D. Saxton Seungahn Nah and Gregory D. Saxton. (forthcoming). Modeling the adoption and use of social media by nonprofit organizations. New Media & Society, forthcoming. Abstract: This study examines what drives organizational adoption and use of social media through a model built around four key factors – strategy, capacity, governance, and environment. Using Twitter, Facebook, and other data on 100 large US nonprofit organizations, the model is employed to examine the determinants of three key facets of social media utilization: 1) adoption, 2) frequency of use, and 3) dialogue. We find that organizational strategies, capacities, governance features, and external pressures all play a part in these social media adoption and utilization outcomes. Through its integrated, multidisciplinary theoretical perspective, this study thus helps foster understanding of which types of organizations are able and willing to adopt and juggle multiple social media accounts, to use those accounts to communicate more frequently with their external publics, and to build relationships with those publics through the sending of dialogic messages. Keywords: social media, new media, nonprofit organizations, Facebook, Twitter, technology adoption and use, diffusion of innovation, dialogue, organization-public relations Modeling the Adoption and Use of Social Media 2 ...
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...Whistleblower Policy Nonprofit Public Benefit Corporation Made possible through the support of the Annenberg Foundation About This Form: Public Counsel’s Community Development Project has designed the attached form of Whistleblower Policy for a California Nonprofit Public Benefit Corporation to assist nonprofit organizations seeking to adopt or amend such a governance policy and the pro bono attorneys who represent them. This form is annotated with explanatory endnotes, including citations to applicable laws, alternatives and recommended practices. For further instructions on how to use this form, how to create a policy that will allow a corporation to answer “yes” to Section VI, Question 13 on the revised Form 990, and how to implement this governance policy, please see the endnotes. Public Counsel will update this form periodically for changes in law, recommended practices and available resources. For the latest version, see www.publiccounsel.org/practice_areas/community_development. Important Notes: In creating any governance policy, it is very important that a nonprofit corporation institute procedures that the corporation is likely to be able to comply with consistently in the long term. Therefore, this sample should be used only after carefully considering every provision, and a corporation should not adopt any provisions that will be too burdensome for the corporation to follow given its circumstances. A governance policy will not protect a corporation...
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...A Proposal to Introduce Value Based Management in NGOs of Bangladesh Munima Siddika1 Abstract: Presently the rapid growth and diversification of the gigantic NGO sector of Bangladesh has given rise to questions and concerns, about their trade-offs between sustainability and pro-poor orientation; the impact and quality of services; corporate governance; management and accountability. The paper is based on a proposal to introduce a modern management system viz. value based management (VBM) in the NGOs of Bangladesh. Value-based management can be defined as an integrated management control system that measures, encourages and supports the creation of net worth. The report of Transparency International Bangladesh ‘Problems of Governance in the NGO Sector: The Way Out’ (TIB) 2007 is used here as an information source of finding out the flaws of existing management techniques. Finally the paper recommended implementation techniques of VBM in order to regain the image of the NGOs as a pioneer of social welfare in Bangladesh. Keywords: NGO, Transparency, Governance, Management, Strategies, Value Addition, Value Based Management etc. 1. Introduction Bangladesh has largely failed to assist the poor or reduce poverty because of limited resources and faulty planning, while Non Government Organizations (NGOs) have grown dramatically and ostensibly to fill up this gap. There are more and bigger NGOs here than in any other country of equivalent size. Bangladesh’s NGO sector is remarkable for...
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...general guidance about an aspect of nonprofit corporate governance in the specific and limited context of the governance questions contained in the new IRS Form 990 (published by the IRS in 2008 and applicable to 990 filers based on a 2009-2011 filing year phase-in period depending on the size of the nonprofit). It is intended to provide some general guidance on the establishment of processes and/or policies to address a specific governance question in the Form. The subject matter of that question implicates a broad array of legal and practical issues ranging far beyond the immediate subject matter of the question itself. This material may address some of those issues but does NOT attempt to review them comprehensively and is NOT intended to be relied on for guidance on how they should be addressed in any specific situation. Whether or not a nonprofit organization adopts a specific governance process or policy (or modifies an existing one), either in response to the disclosure requirements of the new IRS Form 990 or to change its governance practices for other reasons is a matter to be carefully considered by that organization, with input from its board and advisors and evaluation of its specific circumstances. The IRS has explicitly stated that adoption of the policies and practices about which the new Form 990 asks is not mandatory, although the IRS has also indicated that it attaches significance to the manner in which all tax-exempt nonprofit organizations govern themselves...
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...work will examine the framework of community-based nonprofit organizations and explore characteristics and challenges that affect their relevance and sustainability. It will also reference the key tenets of servant leadership as initially described by Robert Greenleaf in 1970 and describe how principles of servant leadership might effectively be applied to community-based nonprofit leadership, board governance and volunteerism. . Nonprofit organizations are an integral part of life; they operate to provide public benefit rather than serving their own special interest. A large percentage of nonprofits are community-based and especially vulnerable to the volatile nature of the economy and labor market, despite providing services and aid to the very segments also affected by those factors. Limited resources also restrict a small nonprofit’s ability to attract and retain talent capable of creating, sustaining and effectively achieving a viable vision for the nonprofit. By utilizing the tenets of servant leadership, community-based nonprofits may have an opportunity to tap into, and effectively develop, local talent that has an innate desire to serve the community. The principles of servant leadership are a natural fit for leadership framework in community-based organizations due to the innate nature of one serving the community in which they reside or work. This work will examine the framework of community-based nonprofit organizations and explore the characteristics and...
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...Leadership in Non Profit Organizations Institution Name Date Introduction It is evident that nonprofit organizations have proved to be indispensable in improving the vitality of communities in the current society. They enhance the quality of life, reinforce democracy and exemplify societal values. The purpose of this paper is to explore the foundational things that are necessary for leadership development in nonprofit organizations, to develop insights to avoid making mistakes in that leadership model, and to correlate Jazz music and leadership. Leadership in the nonprofit sector revolves around the fundamental values of transparency, accountability, strategic planning, quality governance, commitment, and stewardship of human and financial resources. Nonprofit organizations are faced with a legal and ethical obligation to embrace transparency and accountability in all their operations. This implies that they must openly convey information to the pubic concerning their objectives, activities, decisions and accomplishments. By doing so, organizations build public trust and understanding and thereby establish a good reputation (Minnesota Council of Nonprofits, 2014). The significance of strategic planning in nonprofit organization leadership cannot be underestimated because it is imperative that a general direction is set to ensure that the mission is accomplished in the end. In addition to adopting a clear strategic plan, organizations must ensure that it is acted upon...
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...Management of For-Profit and Nonprofit Organizations by Kamilah A’Vant Submitted to MGMT 640 9040 November 13, 2011 EXECUTIVE SUMMARY This paper will outline the similarities and differences between for-profit organizations and nonprofit and organizations. Many view for-profit and nonprofit companies as very different business organizations; however they have many commonalities. Both for-profit and nonprofit organizations are corporations. As a corporation, both are legal enterprises created to operate and transact business. Corporations hire employees to manage day-to-day activities and act in its best interests. For-profit and nonprofit companies work to control spending, find ways to bring in revenue, operate under organizational structures and utilize accounting practices to track and report how efficiently assets are used. Nonprofit organizations fall under a large umbrella in respect to size and mission. The environment under which they do business helps set them apart from for-profit companies. Nonprofit companies have a great need for their services, face cuts in funding and capital limitations. In this paper I will focus on the financial management techniques used by for-profit and nonprofit companies. I will address the following questions: • What are the sources of funds available to for-profit and nonprofit companies? • Is there a conflict between the mission and bottom line of nonprofit companies? • What types of...
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