The Philanthropic Consequence of Government Grants to Nonprofit Organizations

Do government grants displace or leverage private donations to nonprofit organizations? Although research on this topic is flourishing, the findings remain extremely contradictory, creating difficulty in developing a cumulative knowledge available to scholars and practitioners. This study employs a meta‐analysis to systematically synthesize the competing findings from the existing literature. Using a sample of sixty original studies with 637 effect sizes, this study finds government grants have almost no correlation with private donations. In addition, this study demonstrates, through meta‐regression, that nonprofit subsector variation, organizational age as a control, longitudinal data structure, and endogeneity correction help explain the effect size heterogeneity within and across original studies. Nonprofits should be more concerned about the capacity of competing for different funding sources rather than the tradeoff among them.     

What Accounts for the Variations in Nonprofit Growth? A Cross-National Panel Study

Previous studies of nonprofit growth have lamented the lack of cross-national longitudinal data measuring the size of the nonprofit sector across countries, which has made it difficult to assess the current state of knowledge about the nonprofit sector beyond national boundaries. Recent progress in measuring nonprofit growth using panel studies or cross-national data has compensated for the limitations of the existing research, but even the recent data are either country specific or cross sectional in nature. This study takes on the challenge of supplementing the current research by measuring nonprofit growth using internationally comparable longitudinal data. Specifically, this study focuses on whether certain key indicators of the overall state of the economy can be used to predict and explain the size of nonprofit sectors cross-nationally. The overall state of the economy has considerable relevance for nonprofit growth, as it influences the levels of government funding and private philanthropy that benefit the nonprofit sector. The results indicate that the existing theories about the nonprofit sector account for variations in nonprofit growth but are limited in their explanations of the underlying dynamics of such variations beyond national boundaries. Social origins theory is a useful addition that helps to explain cross-national variations in nonprofit growth. Importantly, the interplay among the government, private philanthropy, and the nonprofit sector is dynamic, and its effect on economic indicators varies across nonprofit regime types when sociodemographic variables are controlled.     

What do we know about government public relations (GPR)? A systematic review of GPR in public relations literature

Despite the importance of public relations within local, national, and international government organizations, government public relations (GPR) is still an understudied field in public relations research when compared to its corporate and nonprofit counterparts and has been critiqued for lacking theoretical development (Liu & Horsley, 2007). To present the accumulated knowledge about GPR, this study used content analysis and bibliometric network analysis to systematically review 155 articles published in key public relations journals from 1976 to 2021. Our findings illustrate the status of GPR scholarship in terms of publication trends, authorship, research contexts, research topics, theoretical knowledge structure, methodological approaches, and ethical considerations. Findings suggest that GPR is a fast-growing field attracting international and multidisciplinary scholarly interests; yet has not been clearly defined and theorized. With strong theoretical roots in relationship management, GPR has the potential to develop context-relevant theories capturing the distinctive relational dynamics in various government communication situations. This study proposes a work-in-progress definition of GPR, identifies critical research gaps, and suggests future research directions to assist GPR in developing into a distinct and promising subfield of public relations research.     

Success and Failure of Nonprofit Organizations: Theoretical Foundations,Empirical Evidence,and Future Research

Success and failure of nonprofit organizations (NPOs) have been prominent themes in the nonprofit community for more than 30 years. However, since there is no common understanding on success and failure of NPOs, the research field is still fragmented. Drawing from research on organizational success and failure in the for-profit context as a theoretical background, this paper systemizes the academic knowledge on NPO success and failure. By shedding light on theoretical approaches used, empirical evidence on the determinants of these constructs, and the sectors analyzed most frequently in this regard, the paper develops an instructive research agenda concerning studies on success and failure of NPOs.     

The effects of scaling strategies on the scaling of social impact: Evidence from Chinese social enterprises

Conventional nonprofit organizations (NPOs) and social enterprises (SEs) face constant challenges when scaling their social impacts, especially in societies undergoing transformation, such as China, where NPO and SE ecosystems are still nascent. Whereas previous studies have identified various scaling approaches for SEs, empirical investigations of the linkages between scaling strategies and scaling performance are lacking. To address this gap, we conducted a quantitative study of 293 Chinese SEs to examine how the four types of scaling strategies brought about different scaling performances and how the results varied upon organizational form. Our results revealed that three of these scaling strategies, namely knowledge dissemination, organizational growth, and contractual partnerships, contributed positively and significantly to scaling performance, whereas capacity building had a positive but not statistically significant effect. Our results also indicated that the positive contributions of organizational growth and knowledge dissemination to scaling performance were reinforced in SEs organized as nonprofits. Moreover, the results indicated that SEs that deployed combined and diversified scaling strategies demonstrated better scaling performance than those that deployed just one strategy. Our findings have important managerial implications for practitioners within the SE community, and especially providing a scientific basis for the managers of nonprofit SEs to select appropriate scaling strategies.     

Crisis on the Border: Specialized Capacity Building in Nonprofit Immigration Organizations

Traditional views of the nonprofit–government relationships suggest that while government may depend on nonprofit organizations to provide human services, nonprofits must also conform to government standards, monitoring, and regulation. In this paper, we argue that through specialized investments in capacity building, nonprofit providers can become irreplaceable to government funders. By developing a comparison case study of two organizations serving unaccompanied minor children who cross the U.S.–Mexico Border, we provide evidence of specialized capacity investments in a complex policy environment and discuss the implications of capacity building for both government and nonprofits.     

Complementary or Supplementary? The Relationship Between Government Size and Nonprofit Sector Size

Do government activities discourage or leverage nonprofit activities? The extant literature has proposed competing lines of arguments, making the net effect ambiguous. The present study conducts a meta-analysis to synthesize extant studies concerning the relationship between the level of government activities and the level of nonprofit activities within a locality and explore potential moderating effects. Through systematically reviewing 30 extant studies, the study finds a mostly positive association between the level of government activities and the level of nonprofit activities, but this relationship is generally weak and sometimes statistically insignificant. In addition, the moderator analysis concludes that data structure, unit of analysis, and field of activity significantly moderate effect size estimates across extant studies. Overall, the net relationship between the level of government activities and the level of nonprofit activities within a locality ranges from null to slight positive. Government activities generally seem not to discourage nonprofit activities, but may slightly leverage them.     

Managers as knowledge generators: The nature of practitioner‐scholar research in the nonprofit sector

As nonprofit management education develops, it has the opportunity to consider new premises concerning managers' roles. In the design and practice of traditional management education, managers are assumed to be the ultimate users of knowledge. Less attention is given to educating managers to be knowledge generators who combine intimate understanding of issues, problems, and settings with established theory and methods. Based on a discussion of three research projects undertaken in nonprofit settings by participants in a doctoral program for advanced practitioners at the Weatherhead School of Management at Case Western Reserve University, we describe seven dimensions of practitioner‐scholar inquiry. The pattern of practitioner‐scholar research that emerges from these research projects is contrasted with two other modes of knowledge production. Implications for practitioner‐scholar inquiry and for the education of practitioner‐scholars in the nonprofit sector are discussed.     

How the State Shaped the Nonprofit Sector: Public Funding in British Columbia

This article examines how the state has used its spending power to shape the nonprofit sector in British Columbia since the 1960s. The province's thriving nonprofit sector and its polarized political culture provide an ideal case study for exploring the relationship between the state and nongovernmental organizations. The following study documents changes in state policy, the trajectory of funding, funding patterns, and organizations that have received state funding. Although public funding for nonprofits in Canada has been pervasive for decades, there is little empirical evidence on the nature and scope of this funding. This article is based on an innovative new database that provides a comprehensive list of grants from the provincial government to nonprofit organizations between 1960 and 2014. Despite concerns regarding cuts to public funding in recent years, this study finds that there has been an overall increase in funding. However, there has also been a significant shift in funding from women's issues to Aboriginal peoples since the early 2000s.     

Collaboration Between Nonprofit and Business Sectors: A Framework to Guide Strategy Development for Nonprofit Organizations

Collaboration between nonprofit and business sectors is widely regarded as a value creation process that benefits society, business, and nonprofit organizations (NPOs). This process, however, has rarely been considered from a nonprofit perspective. In this paper, we discuss a new framework to assist NPOs in developing strategic collaborations with businesses. We argue that, by being strategically proactive rather than reactive to what businesses might offer, NPOs can increase the scale of their cross-sector collaborations and thus enhance their sustainability. Implications for research and practice are discussed.     

Organization and Management in the Third Sector: Toward a Cross‐Cultural Research Agenda

Third sector organizations in the industrialized and the developing world—and particularly the subset of third sector organizations known as development nongovernmental organizations (NGOs)—are becoming more culturally diverse in internal staff composition, management styles, and working environments. Although cultural issues have been largely absent from the nonprofit and the NGO research literatures, the organizational implications of societal culture and organizational culture are widely debated within other research fields. This article proposes a closer engagement between third sector management research and the wider study of cross‐cultural organizational issues within anthropology, development studies, and management theory. It argues that such an exchange is necessary if third sector organizational research agendas are to include changing organizational landscapes effectively, and the article concludes with some ideas for future research.     

Building and valuing global brands in the nonprofit sector

Global nonprofit brands are the world's new “super brands” (Wootliff and Deri, 2001). Nonprofit organizations command unprecedented levels of trust, and nonprofit brand valuations are on par with major international corporations. Leaders and managers of nonprofits face new challenges in the stewardship of their brands. Based on current thinking in nonprofit management and detailed interviews with close to one hundred executives of ten international nonprofit organizations, this article draws strategic lessons on brand building and brand valuation activities of international nonprofits. The multiple roles and stakeholders that global nonprofit brands must address make nonprofit brand building complex and challenging. In particular, differences between advocacy and relief organizations must be explained. Despite the complexity, international nonprofit organizations may have an advantage over for‐profits in leveraging public trust and brand communication. Advocacy organizations in particular successfully link brand and cause to good effect. The valuation of nonprofit brands is a new strategic challenge with significant appeal, but also significant concerns for international nonprofits. In addition to providing nonprofit leaders and managers with a better understanding of brandbuilding activities, imperatives, and best practices in the field, this article outlines the opportunities and threats associated with the valuation of nonprofit brands.     

Crisis in leadership or failure to plan?

During the past ten years, succession planning and managing executive transitions have emerged as important issues in the nonprofit sector. Demographers and economists have speculated for years about the potential effects of the retirement of baby boomers. The time has finally arrived: the oldest of the baby boomers are now eligible for retirement. The question that remains is how this trend will affect the nonprofit sector and the communities they serve. This study examines the issues of turnover and succession planning at the executive level, along with career development among young nonprofit professionals in Charlotte, North Carolina. Not only do the findings suggest that the community may very well see a crisis in leadership, but they also illustrate a growing disconnect between executive leaders and young professionals in nonprofit organizations. In addition to struggling with the realities of working in the nonprofit sector (limited benefits, challenging workloads), most young professionals reported that they felt undervalued by older managers and staff, and very few aspire to the position of executive director. Taken together, these findings have important implications for the local community and the broader nonprofit sector.     

“We Actually Trust the Community:” Examining the Dynamics of a Nonprofit Funding Relationship in New Zealand

Funding relationships in nonprofit management are increasingly defined by a philosophy of rational management, characterized by measurement of outputs and benchmarking, which represents an audit culture system (Burnley, Matthews, & McKenzie, 2005). There is concern that these approaches are constantly undermining the mission of community service nonprofit organizations (Darcy, 2002). In this research, we analyzed the management of funding relationships by examining dynamics within a nonprofit funding relationship in New Zealand. Through focus groups we explored the relationship between 17 representatives from nonprofit organizations and four Board members of a funding Trust. The management of this funding relationship was characterized by an appreciation of the diverse nature of nonprofit organizations, a balance between trust and control, and communication. We suggest that elements of these dynamics could be incorporated into nonprofit funding relationships in order to challenge an over-reliance on audit culture systems, and to re-establish relationships characterized by interaction between nonprofit organizations and their funders. Finally, we call for future research in this area.     

Promoting social innovation amidst organizational complexity: Case study evidence from the German Red Cross

Social innovation is concerned with the creation and implementation of new solutions to social problems. Although research commonly frames social innovation as the domain of small, entrepreneurial organizations, an increasing number of large and well-established nonprofit organizations have started actively launching their own innovation initiatives. Using a case study of social innovation ventures within the German Red Cross (GRC), this study identifies organizational hurdles and viable management strategies targeting the promotion of social innovation within particularly complex organizations. Based on our results, we develop a conceptual framework highlighting that promoting social innovation in established organizations requires simultaneous attention to multiple dimensions of leadership and governance. Our study thereby offers a blueprint for management strategies that can guide nonprofit leaders in their quest to promote social innovation from within their organization.     

Interorganizational Partnerships as a Strategy for Lobbying: Nonprofit Administrators’ Perspectives on Collaborating for Systems-Level Change

Participation in coalitions has been identified as a policy advocacy behavior for nonprofit organizations, although few studies have examined nonprofit leaders’ perceptions of coalition building as a strategy for lobbying. This study conducted focus groups and in-person interviews with nonprofit administrators to explore how interorganizational collaboration is utilized to address their organizations’ policy advocacy goals. The findings indicate that nonprofit administrators view their participation in coalitions as a means of achieving several policy advocacy goals, including increasing their capacity to lobby and protecting them from exposure as lobbyists. Implications for practice and research are provided.     

An expanded theory of pluralistic interactions in voluntary nonprofit organizations

Demographic trends suggest a more culturally diverse society, yet research focusing specifically on the management of this diversity in nonprofit organizations is at a nascent stage. Furthermore, traditional ways of conceptualizing cultural diversity in U.S. society are becoming outmoded. Thus, nonprofit managers and leaders can benefit from new ways of thinking about and managing diversity. In this article, we extend our proposed representationinteraction model of diversity in voluntaristic nonprofits (Weisinger and Salipante, 2005) by more closely examining the interaction prong of our model in order to provide a more grounded understanding of this new approach to increasing pluralism. The expanded model that we discuss here is founded on interaction processes: in‐group identity and recategorization. This study enables us to transform our grounded theory into a theory of practices that leaders of voluntaristic organizations can directly apply. We present findings from a field study of a national nonprofit organization and discuss implications for practice and research.     

Transformational leadership,organizational culture,and innovativeness in nonprofit organizations

This is an exploratory study of leadership, organizational culture, and organizational innovativeness in a sample of nonprofit human service organizations: Associations of Retarded Citizens. Although leadership has been held out as one of the most important predictors of innovation, this study found it was not correlated with organizational innovativeness. Examination of the relationships between leadership and cultural variables provided some alternative explanations for this finding. Positive relationships among transformational leadership, organizational values, and cultural consensus (degree of agreement among employees on those values) indicate that leadership practices employed in this sample created strong cultural consensus around values that may inhibit innovation. These findings suggest that examining the link between leadership and organizational culture is important for understanding how leadership and innovation are related. This article sets out practical implications, based on the results of the study, that may help nonprofit managers create workplaces supportive of innovation.     

The responsiveness pyramid: Embedding responsiveness and interactivity into public relations theory

Responsiveness and interactivity are two terms that play an important part in any communicative process. Nevertheless, both academic studies and daily conversations tend to merge or transfer their meanings. Drawing on Rafaeli's interactivity model (Rafaeli, 1988) the purpose of this paper is to clarify the complex relationship between responsiveness and interactivity and to present the responsiveness pyramid, a model that suggests a clearer theoretical distinction between these concepts. In addition, responsiveness and interactivity are presented as relational maintenance strategies that may contribute to organization–public relationship building. This study is based on a field experiment and a content analysis of 799 organizational responses of Israeli businesses and nonprofit associations. The study reveals that organizational representatives, from both businesses and nonprofit associations, do not utilize the interactive and dialogic potential of their online responses in order to promote organization–public relationship building.