What is Old is New Again: Achieving Effectiveness with Volunteer Programs in Kazakhstan

Abstact This study based on Kazakhstan nonprofit organizations (NPOs) is the first to address the important issue of the relationship between volunteer management and volunteer program effectiveness in an international setting. Our inquiry is informed by findings of US scholars that show that the adoption of a recommended set of volunteer management practices is related to the level of effectiveness achieved with volunteer involvement in NPOs. The paper advances a path model to explain volunteer program effectiveness, with volunteer management practices the crucial intermediate variable. Based on data collected in a survey of Almaty (Kazakhstan) NPOs in 2004, the empirical analysis yields considerable support for a path model that focuses on both the adoption of these practices and the attainment of program effectiveness. Given the heterogeneity of NPOs, not every organization can be expected to benefit from the adoption of the recommended practices. Nevertheless, results suggest that they offer one workable means for successfully integrating volunteers.     

Nonprofit organizations in between the nonprofit and market spheres: Shifting goals,governance and management?

In spite of the belief instilled by the New Public Management reforms that nonprofit organizations (NPOs) can benefit from more management, more measurement and more market practices, systematic knowledge on the organizational effects of NPOs incorporating business practices in their day‐to‐day functioning remains absent to date. This research note addresses this limitation by reviewing 49 research articles. The focus lies on the redefinition of nonprofits' mission and income streams, changing governance arrangements and shifting management practices. We find that, despite numerous detrimental effects cited in the literature, (a) generating commercial income can contribute to the financial stability of NPOs, and (b) hybridization towards the market domain can strengthen the organizational legitimacy of NPOs, suggesting that imitating for‐profit enterprises might contribute to nonprofit functioning in perception, rather than in practice.     

Nonprofit Organizational Effectiveness: Contrasts Between Especially Effective and Less Effective Organizations

How do key stakeholders of nonprofit organizations (NPOs) judge the effectiveness of their organization? Are the judgments of stakeholders similar, and how are board effectiveness and the use of practitioner-identified correct management procedures related to judgments of effectiveness? This study focuses on a subset of especially effective and less effective NPOs from a larger sample and finds that the especially effective have more effective boards (as judged by various stakeholder groups), have boards with higher social prestige, use more practitioner-identified correct management procedures, and use more change management strategies. Practical implications discussed include adopting more correct management procedures and change management strategies.     

A New Deal for NPO Governance and Management: Implications for Volunteers Using Psychological Contract Theory

Two major evolutions have been reported to occur in the nonprofit sector during the past decades. Both the nature of nonprofit organizations (NPOs) and of volunteering style are changing. While this creates challenges for NPO governance and management, little is known about the process or the outcomes of these two developments. We propose a two-dimensional conceptual model to explain how the aforementioned evolutions influence the attitudes and behavior of volunteers, based on psychological contract theory. More specifically, we posit that both evolutions create tensions in volunteers’ psychological contracts that could lead to contract breach. We formulate twelve propositions on the nature of this psychological contract breach and the resulting attitudes and behavior of volunteers. Finally, we offer some possible solutions that NPO boards and managers can apply to cope with these challenges.     

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 Effect of Attitudinal and Behavioral Commitment on the Internal Assessment of Organizational Effectiveness: A Multilevel Analysis

Using a multilevel analysis including 207 volunteers and paid workers nested within 51 nonprofit organizations (NPOs), this study examines the effect of individual and group attitudinal and behavioral commitment on their assessment of organizational effectiveness. Drawing on classical attitude theories, our results indicate that individuals with higher affective organizational commitment tend to assess their NPO’s effectiveness higher, while individuals staying because of the lack of alternatives assess it lower. However, in line with behavioral commitment theories, both relationships are mediated by the effect of teamwork behavioral commitment. We also found a negative effect of normative attitudinal commitment partially nested at the group level. Overall, our results suggest that encouraging volunteers and paid workers to participate in concrete teamwork behaviors on a daily basis constitutes a twofold benefit: it adds to the effect of affective attitudinal commitment at the individual level, while counter balancing the negative effects related to normative individual and collective resistances.     

Mapping the Level of Development of Grassroots NPOs in China

Grassroots NPOs have emerged in China in large numbers. Although knowledge about the Chinese nonprofit sector, especially its relationship with the government is accumulating, knowledge regarding the operations of the grassroots NPOs is lacking. This study reviewed the level of development of 78 South China grassroots NPOs involving in rural education. By collecting organizational information on the NPOs’ products, structure and management, governance, human resources, finance and marketing, we developed a framework to assess their capacity. Based on organizations’ performance in the six domains, they were categorized into four different groups: the amateur do-gooders, the start-up charities, the grassroots in transition, and the aspiring young NPOs. We described the key characteristics of each group, and discussed how government policy and organizational leaders’ attitudes influenced organizations’ behavior and development. The assessment tool can be used to guide organizational capacity building in the future.     

Organizational Antecedents of Pay-for-Performance Systems in Nonprofit Organizations

The applicability of pay-for-performance systems (PfP-systems) in nonprofit organizations (NPOs) is discussed controversially both in literature and in practice. Existing theoretical models emphasize the importance of the employee’s motivation and output control for the effectiveness of PfP-systems. However, empirical evidence on which factors influence PfP-system’s introduction in NPOs is still lacking. Based on an exploratory study of nine Austrian NPOs, this paper develops hypotheses on what organizational factors distinguish NPOs that rely on PfP-systems for managing employees’ performance differences from those that use alternative approaches (e.g., job enrichment, NPO-spirit). Findings suggest that decisions on the application of PfP-systems are influenced by five determinants: perceived degree of competitiveness regarding funding and service provision; degree of strategic freedom; clarity of strategic objectives; existence of management instruments; and organizational culture.     

Resource Dependence Patterns and Organizational Behavior/Structure in Korean Nonprofit Organizations

This article examines the relationships among the three dimensions of resource dependence patterns (RDPs) and organizational formalization and goals in nonprofit organizations (NPOs). These three RDPs (that is, the appearance of the financial resource inflow) are resource dependency, resource diversity, and resource competitiveness. The empirical findings suggest that high dependency on government funding (high resource dependency) is positively associated with organizational formalization, although resource diversity does not have any explanatory power on organizational behavior and structure, and that a very competitive environment for resource acquisition significantly affects goal setting in NPOs. In particular, resource competitiveness well explains goal clarity and goal change in NPOs. NPOs with high resource competitiveness present clearer organizational goals or missions and are likely to experience frequent goal change.     

Board performance and organizational effectiveness in nonprofit social services organizations

This article examines the tasks and responsibilities of nonprofit boards of directors and explores the relationship between board performance and organizational effectiveness. Thirty-three activities in nine areas of board responsibility were examined through questionnaires and interviews with board members and chief executive officers of sixteen nonprofit organizations serving developmentally disabled adults. Rankings of organizational effectiveness were determined using external evaluators and accreditation surveys. A significant relationship between board performance and organizational effectiveness was found, and the board activities most strongly correlated with organizational effectiveness are reported, including policy formation, strategic planning, program monitoring, financial planning and control, resource development, board development, and dispute resolution.     

Nonprofit Comparative Research: Recent Agendas and Future Trends

Comparative research on nonprofit organizations (NPOs) has been a prominent approach for advancing our understanding of these organizations. This article identifies the primary drivers that shape the NPO comparative research agenda and explores new research trends. Based on a systematic literature review, nine definitional aspects and ten impulses are identified as drivers of NPO research. This article conducts a correspondence analysis to study the relationships between the definitional aspects and impulses that are discussed in 111 articles that were published in philanthropic and third-sector journals in the period January 2001–January 2015. Based on our results, we suggest three new clusters for future comparative research: investment and growth, participation and social impact, and social cohesion and civil society.     

Nonprofit Board Balance and Perceived Performance

Based on prior literature, this article offers a reconciliation of the core roles of nonprofit boards and aligns these role‐sets with organizational theories. A survey instrument was developed and validated to measure each of four role‐sets (monitoring, supporting, partnering, and representing) to assess whether emphasis on specific roles affects board members’ perception of performance. Our study of nonprofit boards in a midsized midwestern city found that balance across the role‐sets was associated with effective organizational performance. Furthermore, when board members describe any of the four role‐sets as deficient, they perceive the organization as less effective. The results of the study provide practitioners with a validated survey tool that provides nonprofit boards with a method to identify which roles their board emphasizes.     

Devolution of Services to Children and Families: The Experience of NPOs in Nanaimo,British Columbia,Canada

This study focuses on the current experience of Nanaimos nonprofit family and child service organizations (N = 29) providing services on behalf of government and their adaptation to this devolution. The effects and consequences of contracting on organizational practices, accountability, and services were explored through interviews and focus groups with executive directors, board members, line staff, government representatives, and the United Way. Results show that a significant proportion of funding comes from provincial government contracts. The funding climate is uncertain, and there is considerable confusion, stress, and time involved with the contracting process. Accountability requirements are demanding and nonprofit organizations (NPOs) express concern about a shift to a business management model. Recommendations include a need for increased collaboration between NPOs, a body that speaks for the voluntary sector, and improved relationships between NPOs and government funders.     

From Consultation to Participation

Empirical research in the literature on accountability of nonprofit organizations (NPOs) toward their beneficiaries is scarce, and the available studies have a number of limitations. Our study attempts to overcome some of them and focuses on one specific component of accountability toward beneficiaries: beneficiary impact on organizational decision making and output. Data were collected by surveying general managers of 790 Belgian NPOs in fourteen industries. Results show that most NPOs implement some mechanisms to involve beneficiaries and their representatives in organizational policy making, mechanisms that vary between and within industries. Despite the existence of such mechanisms, their perceived association with impact on policy making and associated potential organizational effects is weak, though positive.     

Should NPOs Follow International Standards for Financial Reporting? A Multinational Study of Views

Financial reporting is an important aspect of not-for-profit organisations’ (NPOs’) accountability. Globally, numerous and varying regimes exist by which jurisdictions regulate NPO financial reporting. This article explores whether NPOs should be required or expected to follow sector-specific international financial reporting standards. We investigate stakeholder perceptions on the nature and scope of any such developed standards, interpreting our findings through the lens of moral legitimacy. Using an international online survey of stakeholders involved in NPO financial reporting, we analyse 605 responses from 179 countries. Based on our findings, we argue that diverse stakeholder groups, especially those who are involved with NPO financial reporting in developing countries, are likely to grant moral legitimacy to developed NPO international accounting standards if the consequences are to enhance NPO accounting and accountability information, subject to agreement as to whether all or only NPOs of a certain size should comply and whether any such standards should be mandatory.     

Nonprofit entrepreneurial orientation: A systematic literature review and conceptual framework

The purpose of this study is to propose a set of factors that characterize the manifestation of entrepreneurial orientation (EO) in nonprofit organizations (NPOs), and we performed a systematic review of the literature. Initially, 17 studies were identified in different databases, and after a full reading of the documents that met the objective of this study, we selected and qualitatively analyzed 14 theoretical and empirical studies about EO in the nonprofit context. The studies analyzed allowed us to understand the characteristics of organizational entrepreneurship in NPOs, through the dimensions of innovativeness, proactivity, risk‐taking, autonomy, and competitive aggressiveness, in addition to the reciprocity dimension, which emerged from the literature. By adding reciprocity as the sixth dimension of the EO construct, it was possible to group a set factors related to each dimension which, after being refined, supported the proposition of a conceptual framework for an empirical analysis of entrepreneurial behavior in different contexts of NPOs. This study contributes to the systematization of factors that configure the manifestation of EO in the nonprofit sector, by proposing a conceptual framework entailing six dimensions of EO and propositions for future studies.     

Board practices and board effectiveness in local nonprofit organizations

This study of sixty-four locally governed nonprofit charitable organizations used a social constructionist perspective to investigate the relationship between the extent to which nonprofit boards use prescribed board practices and stakeholder judgments of the effectiveness of those boards. A social constructionist perspective implies that different stakeholders use and evaluate different kinds of information in making judgments about board effectiveness. The results suggest that there is wide variation in the use of the prescribed board practices, that judgments of board effectiveness often differ substantially, and that chief executives' judgments of the effectiveness of their boards is moderately related to the extent of use of recommended board practices.     

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.     

The Contribution of NPOs to Family Policy Formulation in EU Member and Applicant States

This paper examines the role of nonprofit organizations (NPOs) in the process of family policy formulation in eight member states and three applicant states of the European Union. Drawing upon interviews with representatives from the nonprofit sector, the author argues that the experiences of NPOs in family policy-making vary considerably between countries because of the way state–nonprofit relations operate. Social origins theory illustrates why these variations exist by pointing to broad societal influences on the nonprofit sector, but new empirical evidence presented here suggests that, in a particular policy field, other factors, such as the significance of the field on policy agendas, the strength of one particular organization in a specific cultural context, party ideology, and financial viability of the NPO, shape the role of organizations in the formulation of policies     

Accountability as a Managerial Tool in Non-Profit Organizations: Evidence from Italian CSVs

The long-term performance of NPOs is based on their ability to link and maximize social value as defined in their mission. This involves legitimacy obtained from stakeholders influenced by and influencing NPO activities, and their operational capacity or economic efficiency. Thus, NPOs have to utilize multiple level accountability systems which should be compatible with their multiple objectives and stakeholders’ claims. The accountability system of an NPO should focus on its operational capacity, because in order to maximize its efficiency, an NPO has to measure its resource use, cost structure, and financial structure. Legitimacy obtained from stakeholders is also integral. If an organization is considered a social contract between multiple stakeholders, it has to consider the social economic effects of its activities and it has the duty to account for them. However, since the mission of an NPO is to create and distribute social value to a certain specific group, its social value creation has the most important role and an NPO should measure the social value it has created. This article analyzes the accountability system of a specific type of Italian NPO called Centri di Servizio per il Volontariato (CSVs)—namely centers which provide services for voluntary associations. The aim of the research is to verify if the accountability system adopted by CSVs satisfies their need for multiple level information (operational, legitimacy, and social value) and accomplishes their stakeholder claims, and to determine its impact on the definition and implementation of their strategy and on their long-term performance. The research was carried out using the action research model, and the findings are based on the analysis of a sample of 64 CSVs situated throughout Italy.