Factors characterizing the most effective nonprofits managed by volunteers

This article reports on an empirical study of thirty-nine volunteer-managed nonprofit organizations (voluntary associations, not paid staff nonprofits) in a small suburb of Boston. Reputation for effectiveness in achieving goals has been found to be significantly associated with nonprofit nature, governance, and formalization. Many hypotheses suggested by others for nonprofit organizations with paid staff do not seem to transfer to volunteer nonprofit groups. Practitioners can utilize the present findings to improve volunteer nonprofits.     

Degree and Direction of Paid Employee/Volunteer Interchange in Nonprofit Organizations

This study builds on an earlier one (Handy, Mook, and Quarter 2008) that examined the degree of interchangeability between volunteers and paid employees in nonprofit organizations. In the current study, we surveyed 836 nonprofits in Canada to understand what factors determine the degree of interchange between paid employees and volunteers, bearing in mind that this interchange can go in two directions: paid employees for volunteers and volunteers for paid employees. We found the degree of interchange to be widespread and in both directions. One of the most important predictors of the likelihood of interchange was the number of full‐time employees, suggesting that interchangeability occurs less frequently in organizations with a larger number of employees than in those with fewer employees. Religious congregations and organizations with workload increases were more likely to interchange tasks among volunteers and paid staff.     

Reporting Volunteer Labour at the Organizational Level: A Study of Canadian Nonprofits

Volunteer contributions in the production of services are an important resource internationally. However, few countries include volunteer contributions in their national accounts, even though many encourage their populations to engage in volunteering. At the organizational level, many nonprofit organizations using volunteers often limit their input to a footnote in annual reports acknowledging their contribution; few estimate their value in financial terms. As a result, their financial accounts lack information upon which to base decisions affecting the organizations and the communities they serve. Additional information is required to assess the impact of volunteers in individual nonprofits as well as the sector as a whole. This study focuses on Canada, one of the few countries that include volunteers in the national accounts, to examine to what extent nonprofit organizations estimate a financial value for these contributions and include this in their financial statements. This paper reports the results of an online survey of 661 nonprofits from across Canada. In order to understand why some organizations keep records for volunteer contributions and quantify them, two sets of explanatory factors are explored: organizational characteristics and the attitude of the executive director. We find larger organizations were more likely to engage in record keeping and estimating volunteer value, as were organizations with a relatively large group of volunteers and volunteer programs. The attitude of the executive director is important in determining which organizations engage in these practices.     

U.S. nonprofit organizations' demand for temporary foreign professionals

This article examines the demand by nonprofits in the United States for foreign professionals to fill a variety of specialized and managerial positions on a temporary basis. Our study contributes to understanding the demand side of the trend toward a more contingent workforce. We test predictors of nonprofit employers' pursuit of foreign labor for professional expertise and show an association between strategy to insource foreign labor and organizational resource level, mission, occupational need, and wage offer. Our findings suggest that government visa policies and practices affect labor pools for nonprofit organizations. Given that our study reveals varied interest by nonprofits in pursuing temporary foreign professionals, we end with a brief review and discussion of how the use of temporary and foreign professionals may influence the dynamics of nonprofit organizations and suggest additional research questions.     

What Influences the Location of Nonprofit Organizations? A Spatial Analysis in Brazil

What are the local characteristics influencing where new nonprofits will be established? How important are community needs, available resources, or the existence of similar organizations for nonprofits’ location? This paper analyzes how the characteristics of 5562 Brazilian municipalities in the year 2000 help explain the location of nonprofits formed between 2001 and 2010. Based on geographically weighted regressions, results indicate that neither access to resources nor poor socioeconomic indicators are powerful influences on nonprofit location in Brazilian municipalities. The main predictor of nonprofit entry is a high pre-existing density of nonprofits in that area. These findings, however, vary across regions and nonprofit fields of activity. By mapping the effect of key explanatory variables, this paper helps understand nonprofit location. The methodology and findings on nonprofit location presented here are novel and may contribute to research in other countries.     

Common Agency in Nonprofit Advocacy Organizations

Most theories of nonprofit organizations and nonprofit leadership recognize the multitude of stakeholders—including board members, donors and volunteers, funders, the media, and policy makers—that organizational leaders must contend with in doing their work. For nonprofits engaged in advocacy, demands from stakeholders may be even more challenging to meet. Although stakeholder theory recognizes the effect of various groups on an organization, it does not explain how leaders manage the preferences of their often‐competing stakeholders while they make choices for the organization. This study develops a common agency framework, evaluating the roles of three groups crucial to nonprofit advocacy organizations: the organization's board of directors, elected officials, and donors/members. The common agency framework is then illustrated with interviews with leaders of nonprofit advocacy organizations in California. Findings suggest that the leaders of these groups have a significant amount of discretion in guiding their organizations’ activities and operations.     

A social identity model of prosocial behaviors within nonprofit organizations

This study draws on social identity theory, while developing and testing the Social Identification Model of Prosocial Behavior among voluntary participants in nonprofit organizations. This model posits relationships between organization identification, commitment, satisfaction, and prosocial behavior among nonprofit volunteers. Path analysis results indicate successful identification of the model. Specifically, when volunteers identified with their nonprofit, they had higher levels of prosocial behaviors, commitment, and satisfaction. This study provides several important extensions to social identity theory and nonprofit literatures while highlighting the need for further research examining motivations behind prosocial behaviors within nonprofits.     

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.     

Accountability and nonprofit organizations: A historical perspective

American nonprofit organizations first developed in the nineteenth century as the organizational instruments through which Americans put their First Amendment freedoms of religion and political belief into practice. For one hundred years American nonprofits were held accountable by relatively small, compact communities of people who shared religious or other highly defined beliefs and values. In the twentieth century, many nonprofit organizations have grown very large and have adopted a scientific, general-service-to-the-community ethos. The legal, institutional, and cultural ideas and practices through which traditional nonprofits were, and are still, held accountable no longer seem to work equally well for the larger, more universal nonprofits of the late twentieth century.     

The effects of flexible work arrangements

Recognizing the dearth of research on flexible work schedules in nonprofit organizations, the author conducted a statewide survey of Illinois independent nonprofits as well as follow-up personal interviews with top administrators in select user organizations. Survey results indicate that a substantial proportion of these nonprofit organizations used flexible work arrangements. Four arrangement types in particular—flextime, parttime, compressed work week, and telecommuting—were found to be used more frequently in Illinois nonprofits than other research findings suggest. Although follow-up interviews revealed that the percentages of employees in the various types of arrangements were low, overall arrangement use improved staff retention and morale and maintained performance. More than half of the administrators interviewed expected the use of all arrangement types to increase in the future.     

Integrated Social Accounting for Nonprofits: A Case from Canada

Whereas social accounting has been strong in its critique of conventional accounting, to date it has not been as effective in developing accounting frameworks consistent with its principles. This is particularly true for nonprofit organizations. The costs of nonprofits can be easily measured; however, not captured by conventional accounting is the value of their nonmonetized resources such as volunteers. This paper argues that social accounting for nonprofits would benefit by creating accounting statements that combine the economic and social impact of an organization (referred to as an integrated approach). After discussing some historic examples of integrated social accounting, the paper presents a Canadian case study in which the value added by volunteers of a nonprofit organization is combined with its financial statements in an Expanded Value Added Statement. By combining social and economic information, a very different performance story of the organization emerges.     

Corporate Volunteering: Benefits and Challenges for Nonprofits

In the frame of corporate social responsibility, corporate volunteering is almost exclusively studied from the point of view of companies, while the perspectives of nonprofit organizations are neglected. Hence, this article focuses on the perspective of managers of nonprofit organizations on volunteer partnership projects with for‐profit companies. In the center of this article lie nonprofit managers' strategy and motivation for participating in corporate volunteering, conception of corporate volunteer activities, and the often‐cited win‐win‐win aspect. Key findings suggest that a majority of the questioned nonprofits lack strategic behavior and management tools for undertaking volunteer partnership projects with companies. Nevertheless, corporate volunteering is widely perceived as an opportunity and a promising method of raising donations for nonprofit organizations. This article suggests that the key to successful future cooperation between nonprofits and profit‐oriented organizations lies in the processes of internal evaluation and subsequent strategy development.     

Interorganizational network portfolios of nonprofit organizations: Implications for collaboration management

Increasingly, nonprofit organizations engage in interorganizational collaboration to address large‐scale social problems. Scholarship typically focuses on the characteristics of both within‐sector and cross‐sector partnerships of two collaborating organizations or all partnering organizations involved in a collaboration, but we know little about the patterns of interorganizational relationships that single nonprofit organizations maintain. This research draws upon surveys from 452 nonprofits and introduces nonprofit network portfolios, which we define as the number, integration, intensity, and duration of relationships that nonprofits purposefully develop with other organizations. Using 12 network measures, Ward cluster analysis revealed three distinct network portfolios: restricted within‐sector (n = 319, 70.58%), which included limited collaboration and prioritized within‐sector partnerships; robust within‐sector (n = 80, 17.70%), which included more nonprofit partnerships than restricted within‐sector portfolios; and cross‐sector (n = 53, 11.72%), which had a rich assemblage of integrative partnerships with nonprofits, businesses, and government agencies. Further, nonprofits that maintained each type of portfolio differed in their revenue and social mission, suggesting these factors are related to the types of collaboration that nonprofits maintain. This study makes contributions to existing research on interorganizational networks and cross‐sector collaboration and suggests practical and policy implications for nonprofit network management.     

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.     

Nonprofit management practices and work processes to promote gender diversity

Nonprofit organizations have long provided an important space for women to establish roles in public life. Using establishment‐level data on for‐profit and nonprofit organizations, we show that the proportions of women in full‐time and mission‐critical positions are higher in nonprofits. In contrast, for‐profit businesses have more women in part‐time jobs and in jobs that are peripheral to the organizational purpose. We also demonstrate that the greater proportions of women in full‐time and mission‐critical positions in nonprofits are due to the use of inclusive work processes and transparent human resource management practices. Our findings provide evidence to pursue the aspects of nonprofit organizations that expand opportunities for working women.     

The Relationship between Provision of Membership Benefits and Fulfillment of Representational Roles in Nonprofit Advocacy Membership Organizations

This article explores the ways nonprofit advocacy membership organizations can manage their resource dependence on members and fulfill the organizations' representational roles, focusing on the provision of membership benefits. Membership organizations rely on financial or other resources from members and thus are constrained by them. For a nonprofit that aims to primarily speak for members, constraints by members may help to focus organizational attention on members' interests. Contrarily, for a nonprofit that aims to mainly represent broader constituents, members' constraints may hamper an organization's ability to advocate for broader constituents because members do not necessarily share the same policy goals with broader constituents. The provision of membership benefits can be a useful strategy for organizations to fulfill their representational roles and to satisfy and engage members, because people often join an organization to enjoy certain membership benefits. For an empirical analysis, this study collected a large‐scale data set through web and mail surveys of nonprofit advocacy organizations across the United States. The mixed‐mode surveys achieved a 57.5 percent response rate (729 responses). The survey and regression analysis results show that member‐serving nonprofits providing members with opportunities to participate in advocacy work are more likely to represent members' interests directly. Although broader constituency‐serving nonprofits tend to prioritize members' opinions, these organizations are more likely to adhere to the mandates of broader constituents when providing selective material membership benefits. However, when providing purposive membership benefits, these nonprofits are more likely to represent members' opinions.     

Reforming Property Tax Exemption Policy in the Nonprofit Sector: Commercialism,Collective Goods,and the Donative Theory

This article develops, critiques, and tests the donative theory, which bases the tax treatment of nonprofits on their production of collective or public goods, through twelve variations for determining property-tax-exempt organizations in five nonprofit industry groups. Using a case study of Indianapolis nonprofits, the results reveal that a significant number of organizations in the nonprofit sector and most industry groups would experience the loss of their property tax exemption. The author calls for nonprofit managers and scholars to give greater future attention to property tax exemption policy in the nonprofit sector.     

The Effects of Prevailing Wage Laws: A Comparison of Individual Workers'' Wages Earned on and off Prevailing Wage Construction Projects

I evaluate the effects of prevailing wage laws using a unique data set that shows the wages paid to workers on prevailing wage projects and the wages paid to the same workers during the same time period for work on projects not covered by prevailing wage regulations. The wage comparison shows that workers are generally paid more for work on prevailing wage projects than they are for work on non-prevailing wage projects. Thus, prevailing wage laws likely do increase the cost of public construction. In addition, to the extent that the quality of construction is improved, prevailing wage laws appear to be an inefficient mechanism by which to achieve additional quality, as the regulations often result in workers being paid more than they earn in the private market.