Latino Faces,Corporate Ties: Latino Advocacy Organizations and Their Board Membership

Although they have increased exponentially since the 1960s, social scientists know little about ethnic advocacy organizations. These nonprofits are important bridges between underresourced communities and mainstream funding organizations and their directors are established ethnic leaders. Sociologists study interlocking directorates—or shared board membership—to understand how organizations fit together within broader social networks. Network concepts, particularly the theory of institutional isomorphism, suggest that organizations are likely to be similar to the extent they are connected and operate within a common organizational field. We apply this logic to Latino advocacy organizations to examine the underlying source of cohesion across this ethnic field. We ask whether the organizations are tied by interlocking directorates of ethnic elites who sit on their boards of directors or if board members' common affiliation with other elite institutions creates the structural conditions that facilitate potential ideological or behavioral similarity. A social network analysis of five prominent Latino advocacy organizations reveals support for both hypotheses: Latino board members are both embedded in ethnic‐based networks and entrenched within elite organizational webs. This suggests that ethnic elites who sit on the boards of Latino advocacy organizations are also corporate elites, selected for the social capital they bring to these nonprofits.     

Representational Roles of Nonprofit Advocacy Organizations in the United States

This research explores what roles nonprofits play in political representation by applying the concept of the representational role to nonprofits. The representational role consists of representational focus and style. Representational focus shows those whom nonprofits aim to serve: members, constituents, or the general public. Representational style denotes the ways nonprofits advocate for their focal groups: the delegation, trusteeship, and education styles. The survey and regression analysis results demonstrate that nonprofits serving their members are most likely to convey their members’ voices directly to policy makers: the delegation style. In contrast, nonprofits advocating for their constituents are likely to pursue what they independently identify as their constituents’ interests: the trusteeship style. Finally, nonprofits speaking for the general public are most likely to work toward educating the general public: the education style. These results suggest that nonprofits play different roles in political representation, depending on the types of their focal groups.     

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.     

How does a board of directors influence within‐ and cross‐sector nonprofit collaboration?

Board members play a significant, yet largely unexamined, role in nonprofit collaboration. Processes, such as finding prospective partners, creating common ground with a partner, and establishing appropriate collaborative governance implicate nonprofit board members. In contrast to the scholarship of the role of interlocking directorates as potential networks for nonprofit collaboration, this paper examines the role of board members' social and human capital on nonprofit collaboration with other nonprofits, businesses, and government agencies. Drawing on online survey data from 636 nonprofit organizations, this paper finds that board social capital—but not board human capital—is positively related to the presence and number of within‐sector and cross‐sector nonprofit collaboration. However, board human capital enhances nonprofit‐government collaboration, when board social capital is also high. The results provide a novel perspective in nonprofit collaboration and board management research.     

An interview with bill scales

The mission of a mutual benefit association is so inexorably intertwined with its membership that a change in one cannot succeed without a corresponding change in the other. Two case studies of United Ways' state associations' “remissioning” initiatives give details on the dynamic interplay of mission and membership in mutual benefit associations, a fundamental characteristic that distinguishes them from public benefit nonprofits. To anticipate change, association managers must focus on the shifting demands from their members' stakeholders. They also must clearly understand the nature of their membership and who represent their members when members are organizations, and they must be ready to engage in intra-association politics to effect a change in mission.     

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.     

Membership Benefits Matter

Professional associations have provided various benefits to their members to bolster member retention and recruitment. This study explored factors that could influence members’ behavioral intentions in professional membership associations by surveying 13,229 members from eighteen associations. More specifically, this analysis focused on the effects of members’ perceptions of the personal and professional benefits offered by associations with which they are affiliated and their satisfaction with those benefits. Our results suggested that members’ perceptions of personal and professional benefits positively correlated with their intentions to renew and recommend membership. If a member perceived a higher level of benefits, he or she would demonstrate a greater likelihood of satisfaction with the benefits and therefore be more likely to renew membership or recommend it to others. This study could advance understanding of the factors that influence members’ behavioral intentions while also providing professional associations with strategies for retaining existing members.     

The influence of organizational social responsibility on involvement behavior in community sport membership associations

Membership‐based associations are critical to their local communities and the overall social impact of the nonprofit sector. This study examines how organizational social responsibility within nonprofit membership associations influences positive member involvement behaviors, including volunteering, speaking positively about the club, and member loyalty. Self‐administered online questionnaires were completed by 735 members within seven grassroots membership associations in Ontario, Canada offering community‐based sport programs. Results show that members are somewhat aware of and felt positively about their organization's socially responsible efforts. Awareness of these efforts had a positive direct effect on the involvement behaviors of members, including intention to stay involved with their club and speaking positively about their club to others (i.e., word of mouth). Members' level of social consciousness was found to have a positive direct effect on word of mouth. Furthermore, members' positive evaluation of sport clubs' socially responsible initiatives was found to partially mediate the positive relationship between social consciousness and involvement behavior, as well as partially mediate the positive relationship between awareness of those efforts and involvement behavior. Results of this research provide grassroots membership associations with an in‐depth understanding of how their organization's efforts toward social responsibility influence member perceptions and behaviors, which may help them focus their efforts and more effectively manage their social change agenda moving forward.     

Advances in Research on Nonprofit Advocacy and Civic Engagement

Nonprofits are collective endeavors that supply a bewildering range of products and services, including some of value to their immediate members only. Many also advocate policy positions on issues of direct interest to themselves, their clients and beneficiaries, and/or the broader community. There is substantial variation in their advocacy strategies, the scope of policy goals they embrace, and the types of individuals they engage in such activities. Consequently, there are also differences in whether and how nonprofit advocacy activities reduce inequalities, enhance civic participation, and promote deliberative democracy. This symposium interprets and theorizes about emerging nonprofit challenges by showcasing research of nonprofit advocacy and civic engagement scholars. Collectively, the papers demonstrate the vibrancy of the field of nonprofit civic engagement and advocacy and identify important areas for future research to capture the complexity of nonprofits as actors guided by both instrumental and normative goals, serving organizational and social missions, and reducing some types of inequalities but creating new ones.     

Dynamics between fragmentation and unity: Identity and nonprofit relationship management in the Asian American Community

Focusing on community-based nonprofits with specific missions of serving the Asian American community, this study examined the dynamics between various layers of identity, including ethnicity and panethnicity, and identified how intercultural relationship management contributed to a sense of community and empowerment among minority communities. Interviews from both nonprofit community organizations and community members revealed the following major findings. First, Asian American community nonprofits needed to manage a myriad of identities within their community, particularly the interplay between diverse ethnic identities and the pan-Asian ethnic identity. To help manage these identities, these nonprofits adopted a dual approach using both segmented outreach and coherent advocacy. Second, these community nonprofits used intercultural relationship management to build a sense of community and efficacy, promoting outcomes such as health awareness, communicative activeness, cultural shift, political engagement, and community alliances. This study contributes to relationship management literature through introducing identity-based relationship building strategies.     

Commercial ventures of religious organizations

Religious groups represent almost 40 percent of all U.S. nonprofits. An empirical study of 105 religious-based commercial ventures suggests several conclusions and implications for practitioners and scholars. First, the earning of income is rarely the primary consideration or measure of success in the initiation and evolution of religious-based nonprofit enterprise. The primary purpose of religious venturing is to achieve social and spiritual aims, such as evangelism, provision of membership services, or economic development. Second, the philosophy of the groups studied was more cooperative than competitive vis-vis other nonprofit and for-profit groups. Third, the study's findings on staff difficulties within nonprofit enterprise are consistent with those of other studies and underscore the importance of using volunteers strategically and of clearly defining how enterprise activities fit into the organization's mission. Fourth, a spiritual dimension distinguishes the operation of religious nonprofits, especially the Christian groups, from secular enterprise.     

Unintended? The effects of adoption of the Sarbanes‐Oxley Act on nonprofit organizations

This article investigates the benefits and costs to nonprofit organizations emanating from the adoption of the Sarbanes‐Oxley Act (2002). The act was intended to stem financial malfeasance in the for‐profit sector; nevertheless the article finds that about half the surveyed nonprofits adopted provisions of the act and experienced effects in proportion to the level of adoption. About one in four of the nonprofits attributed benefits of better financial controls and reduced risk of accounting fraud to the adoption of the Sarbanes‐Oxley Act. More than one‐third of the nonprofit organizations reported increased fees for external audit, and about 15 percent cited “reallocation of resources from program to administrative expenses.” This article discusses the unintended positive and negative effects of public policy on nonprofit organizations.     

Voluntary contributions and wages in nonprofit organizations

Voluntary work provides a major source of labor for many nonprofit organizations. Consequences of volunteers and paid staff working alongside each other in nonprofits are well documented. This article contributes to this strand of literature and investigates whether the presence of volunteer work influences paid employees' wages in nonprofit organizations. We estimated a multilevel wage equation accounting for personal characteristics of workers and characteristics of nonprofits. The analysis revealed that nonprofit organizations engaging volunteers pay lower wages to their employees. Our findings contribute to the understanding of wage‐setting behavior of nonprofits and improve the methodological approach of empirical research in this field.     

Nonprofit cash holdings and spending: The missing role of government funding

Charitable nonprofit organizations have long been under scrutiny with regard to how they manage excess funds, particularly cash holdings. Given previous empirical evidence, agency problems have been treated as an effective lens to explain the consequences of cash holdings among nonprofits. That is, nonprofit managers spend cash holdings for their own interests as opposed to the social interests of the organization. This study revisits the question of how charities manage extra cash and further examines the role of government funding in nonprofits' spending decisions. The results suggest that nonprofit managers make decisions on how to manage extra cash in accordance with the level of cash holdings; therefore, agency problems do not effectively explain how nonprofits manage extra cash. Furthermore, the results illustrate two contrasting roles of government funding in nonprofits' financial behavior: government funding may be used to monitor unscrupulous behaviors among managers, but it may also restrain nonprofits from investing in human capital.     

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.     

A Faith‐Based Advantage?

This study explored whether religiously affiliated nonprofit schools participating in Milwaukee's long‐standing school voucher program engage in more fundraising and perform better on academic indicators than nonsectarian nonprofit schools. The analysis of three years of organizational‐level voucher school data reveals that a higher percentage of religious affiliated schools engage in fundraising, and that religious schools affiliated with umbrella organizations have higher test score indicators than nonsectarian schools. The author concludes that the religious advantage is likely in part a result of the broader access to networks and resources available to religious schools associated with umbrella organizations like a Catholic archdiocese or Lutheran synod. The results are relevant to policymakers who are considering implementing a reinvented government approach to the provision of public goods, as well as leaders of nonprofit corporations who seek to maximize performance.     

Professional Associations and Members' Benefits: What's in It for Me?

In this study we examine reasons that professionals become and remain members of professional associations. We looked at tangible and symbolic benefits that an association can provide to attract members. Satisfaction with these benefits was linked to overall membership satisfaction and intent to renew the membership. We also considered the role of customer service in shaping members' attitudes. Based on the responses of 1,980 members of a large international accounting association, we found that members who were satisfied with their benefits and with the quality of customer service reported higher membership satisfaction and intent to renew. We also found that professionals who were more involved in the association were more satisfied with it. Contrary to predictions, younger professionals were less concerned with the value of the benefits of membership. As expected, longer‐tenured members were more likely to consider maintaining their memberships. We conclude with a discussion of practical and research implications for the management of professional associations.     

Accountability in organizational life: Problem or opportunity for nonprofits?

This article reviews the notion of accountability as an intrinsic experience in daily organizational life and contrasts it with the more traditional construct of accountability as an external control or monitoring device. The concept of “felt responsibility” can provide an opportunity to enhance the effectiveness of nonprofit organizations. Both research and the author's field experiences in nonprofit settings suggest how nonprofit leaders and managers can use felt responsibility to help individuals act with accountability to themselves and to others. The concept of “conversation for accountability” poses a pragmatic opportunity for nonprofits in particular to turn the current environment of finger pointing and aggressive monitoring into an enabling organizational practice that benefits both nonprofit members and their clients or constituencies.     

Using Social Network Analysis to Enhance Nonprofit Organizational Research Capacity: A Case Study

As donor agencies become more specific in funding requirements, research that can demonstrate the collaborative efforts of a nonprofit agency with its organizational neighbors and how those efforts pay off in terms of capacity and provision of services is highly useful. Recognizing these benefits, a local funding agency in Virginia commissioned a study to look at the ways in which social network analysis (SNA) can enhance the data resources available to nonprofits for funding and grant requests. In this article, we present a case study of a network of 52 nonprofit organizations to illustrate the viability of SNA in terms of funding and research needs specific to nonprofit organizations. We discuss the outcomes of the case study in terms of how the visual and metric outputs of SNA can be used by nonprofits to enhance the accomplishment of their organizational missions and strengthen their grant requests.