Leadership succession and the performance of nonprofit organizations: A fuzzy‐set qualitative comparative analysis

Leadership succession is critical to the performance of nonprofit organizations. Existing research has mostly treated leadership succession as an instantaneous event, and it has examined the independent effects of certain factors on organizational performance. However, little research has focused on the combinations of causally relevant factors. This article integrated organizational life cycle, resource dependence, and institutional theories, as well as the organizational fit literature, to explain how contextual and strategic factors combine to affect postsuccession performance. A fuzzy‐set qualitative comparative analysis (fsQCA) was used to analyze 15 succession events in Chinese environmental nongovernmental organizations (NGOs). The study identified four pathways to good NGO performance after succession. It also highlighted that it is not succession per se but the succession context (i.e. founders' control, board governance, professionalization, and political environment) and the strategic orientations of the successor that affect postsuccession performance in nonprofit organizations.     

A guide to journal articles on strategic management in nonprofit organizations, 1977 to 1992

This article is a guide to over a hundred journal articles on strategic management in nonprofit organizations, published from 1977 to 1992 in nineteen leading general management or nonprofit journals. The guide provides brief summaries of articles, organized into widely accepted strategic management topic areas and research categories. The article indicates areas where substantial foundations of knowledge exist and where such bases are lacking. It distinguishes between works on general nonprofit management and those on empirical 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.     

Managerial Control and Strategy in Nonprofit Organizations: Doing the Right Things for the Wrong Reasons?

This article presents the second stage of a study that engages with the debate that has occurred within the nonprofit literature about the propensity and relative merits of nonprofit organizations adopting for‐profit approaches to management. Specifically, this qualitative investigation examines the ways in which nonprofit organizations use management control when implementing their chosen strategies. Although this topic has been the subject of considerable attention in the management accounting research, it has rarely been explored within a nonprofit context. This is surprising not only because of the considerable social and economic impact of this sector, but also because of the apparent trend toward sectoral convergence in many structural and processual respects, including strategic behaviors and approaches to control. Based on interviews with CEOs and senior executives in thirty‐two Australian nonprofit organizations, we find that the relationship between strategy and control in nonprofit organizations is similar to that in for‐profit organizations, but quite different reasons underlie nonprofit organizations' exercising of management control.     

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.     

Relational Management Mechanisms for Strategic Alliances Among Nonprofit Organizations

This study employs a qualitative multiple-case study to explore relational management mechanisms for strategic nonprofit alliances (NPAs) formed by at least 3 nonprofit organizations by examining collaborative relationships among farmers associations in Taiwan. We explore these mechanisms by analyzing case data from four strategic cooperation characteristics, which can best explain NPAs. To effectively sustain partnerships, our findings suggest that an NPA applies acceptable collaborative rules and regulations, common standard procedures, symmetric information and communication, and capability building and corrective measures when cooperation involves high input commonality. The results also suggest empowerment for partners with deeper input commitment to direct decisions on resource distribution and utilization when collaborative ties involve low input measurability. Regarding high output commonality, we advise NPAs to enforce common output quality control, efficient substandard-output treatment, and external incentives as mechanisms to encourage partners for continued commitment. If relationships involve low output measurability, our findings suggest that NPAs heighten partners’ voluntary motivation for the common good, with goal-achievement assessment measures, professional certification by external experts, and acceptable and reasonable benefit-sharing methods     

Uncharted Waters: Exploring the Relationship between Strategy Processes and Management Control Systems in the Nonprofit Sector

The way in which strategy and management control combine has been the subject of much research attention, but rarely, within a nonprofit context. This is surprising, not only because of the considerable social and economic impact of this sector, but also in view of the apparent trend toward sectoral convergence in many structural and processual respects, including strategic behaviors and approaches to control. In this article, we explore the extent to which the relationship between management control and strategy, as found in for‐profit organizations, may prevail within a nonprofit context. Based on questionnaire responses from 182 Australian nonprofit organizations, we find that this relationship in nonprofit organizations is similar to that in for‐profit organizations, thereby lending support to the “convergence” argument. We reflect on the reasons for these similarities and advance an agenda for further research in this area.     

Implementing an employee performance management system in a nonprofit organization

Nonprofit organizations are not exempt from the imperatives of employee attraction, retention, and motivation. As competition for staff, donors, and funding increases, the need to manage employee performance will continue to be a critical human resource management issue. This article outlines a study of the introduction of a performance management system in an Australian nonprofit organization and analyzes its design and implementation. It explores how performance management can be introduced and used effectively within a nonprofit environment to benefit staff and the organization. However, the use of performance management is not without its challenges, and the research also identified initial employee resistance and a resulting initial spike in labor turnover. However, findings indicate that if nonprofit organizations are willing to undertake consultation with staff and ensure that the organization's specific context, values, and mission are reflected in the performance management system, it can be a useful tool for managers and a direct benefit to employees.     

Terms of engagement: Facebook and Twitter use among nonprofit human service organizations

This study uses Lovejoy and Saxton's (2012) hierarchy of engagement to analyze how nonprofit human service organizations use Facebook and Twitter to engage stakeholders. Their framework has not been applied to this nonprofit subgroup, and most previous scholarship on this topic focuses on just one platform. We also contribute by drawing on organizational theory to better understand variation in the modes of engagement organizations emphasize. Based on our analysis, we add new subcategories to the hierarchy of engagement. In addition, we find that compared to other nonprofit subgroups examined in previous research, the organizations in our sample placed a greater emphasis on using social media messages to ask stakeholders to take action. We report only modest variations in how organizations were using Facebook and Twitter. Finally, according to our results, resource dependence and stewardship theories help explain the modes of engagement organizations prioritize.     

Missing in Action: Strategic Human Resource Management in German Nonprofits

Human resource (HR) management is important for human service nonprofits because they rely on the quality of their employees for the provision of their services. Using a typology of nonprofit HR architecture developed by Ridder and McCandless (Nonprofit Volunt Sect Q 29(1):124–141, 2010), we attempt to unpack the black box between performance and HR practices. To this end, we conducted semi-structured interviews with HR managers and young employees to investigate their perceptions of HR practices in their nonprofit organizations. Based on the findings, we extend the research on HR management in nonprofit organizations and caution that success or failure of implementing HR practices may be directly influenced by the external environment.     

Requisite Variety of Strategic Management Modes: A Cultural Study of Strategic Actions in a Deterministic Environment

This article presents the results of a qualitative study that examines the modes by which strategy emanates in a nonprofit human services organization, externally controlled by its funding sources. The strategy-making process is broached by proposing a taxonomy of strategic modes arranged into the Hrebiniak and Joyce (1985) framework. In light of Ashby's law of requisite variety (1968), this study contends that the subject organization's context of environmental determinism should lead to a culturally based configuration of traditional, spontaneous, and dialectical modes. The results support the proposition for requisite variety. This research presents valuable implications for the study and practice of strategic management-especially regarding strategic learning and change within externally controlled nonprofit organizations.     

The Third Way Reconfigured: How and Why Nonprofit Organizations are Shifting Their Human Resource Management

Nonprofit organizations (NPOs) are facing increasing demands to become more efficient and effective, especially given increasing financial cutbacks, the rising demand for services and the push toward performance-related management. Human resource management (HRM) is claimed to play an important role in coping with these challenges. Yet, within the field of nonprofit management, little is known about the configuration of HR architectures in NPOs, let alone their impact on performance. To bridge this gap, we conduct an exploratory multiple case study in ten health and social services NPOs. The case study data indicates a shift toward a dominant strategic orientation in the configuration of HRM. Our article makes a central contribution by uncovering a third way in which NPOs seek a specific configuration of HRM to confront the challenges they face in their internal and external environments.     

Evidence‐Based Management: Implications for Nonprofit Organizations

The article reviews evidence‐based management and its implications for practice and teaching. My focus is on strategic decision making in nonprofit organizations. Evidence‐based management is a process that includes framing the question, finding evidence, assuring accuracy, applicability, and actionability of evidence until the evidence is the best available.     

Strengthening Resource Mobilization Chains: Developing the Social Media Competencies of Community and Voluntary Organizations in New Zealand

There is potential for nonprofit organizations to increase effectiveness by mobilizing social media to help achieve goals. However, the sector is only just becoming aware of the possibilities for social media and lags behind other sectors in its use. We report a New Zealand initiative to enhance the capability of nonprofit organizations through action research that has implications for nonprofit organizations elsewhere. Borrowing from resource mobilization theory, we introduce the concept of resource mobilization chains to explain the requirements for and obstacles to taking advantage of social media. A survey and two in-depth case studies found that nonprofit organizations demonstrated extremely limited familiarity with and use of social media. Participants were enthusiastic about the potential of mobilizing social media to achieve organizational goals, but struggled to take concrete steps to implement their aspirations. Lack of resources was a key obstacle identified in both survey and case study research.     

Contextual Factors and Negotiating Spaces: Exploring the Emergence of Nonprofit and Hybrid Voluntary Organizations

The emergence of nonprofit organizations has largely been explained by the prevalent “three failures” theory. However, evidence suggests that such theories fail to capture a variety of contextual nuances that may influence nonprofit formation. In particular, these theories have remained relatively silent about the emergence of hybrid voluntary organizations. This article posits the notion that some nonprofit organizations (for example, hybrid voluntary organizations) emerge through cross‐sector negotiations, amid a number of social, policy, and political contextual complexities. We contend that any theory purporting to explain the emergence of nonprofit organizations should not neglect to account for the role contextual factors play in defining their emergence and their subsequent character and function.     

Cause-related marketing,fundraising, and environmental nonprofit organizations

This article provides policy guidance to environmental nonprofit organizations, and, secondarily, to other nonprofits, that are considering entering into a cause-related marketing (CRM) alliance. Toward that end, insights into establishing CRM committees, sponsorship development, and regulatory awareness are offered to environmental nonprofit managers. The author argues that strong consumer support for local environmental concerns translates into strategic fundraising opportunities for regional, state, and local environmental organizations that have underutilized CRM in the past.     

Strategy formulation in nonprofit social services organizations: A proposed framework social services organizations

This article proposes a framework for determining strategies in nonprofit social services organizations. A review of the literature concerning strategy choice models is combined with an analysis of the unique characteristics of nonprofit social services organizations to develop the proposed framework, which improves on existing models by encompassing a wider array of strategic factors and being applicable to a wide variety of nonprofit organizations. The author provides examples of the model's applications, discusses the usefulness and limitations of the model, and concludes with suggestions for future research.     

The Role of the Nonprofit Sector in a Self-Governing Society: A View from the United States

This article explores the role of private, nonprofit organizations in a self-governing society. A framework identifying the diverse theories that explain the various types of nonprofit organizations observed in contemporary American society is sketched. This provides a fuller understanding of the varied and complex ways that nonprofit organizations contribute to the institutions of governance.     

Union influences on pay policy: A survey

This article examines how unions influence pay policy in organizations. Viewed from the perspectives of industrial relations and strategic human resource management, unions affect the level, form, structure, and system of pay. Implications for further research are specified.     

A Strategic Planning Process for a Small Nonprofit Organization: A Hospice Example

Strategic planning is an essential part of management. However, planning processes can consume great amounts of time and resources that small, nonprofit organizations may lack. Moreover, the process that is used can be tedious and may result in plans that are discarded before or during their implementation. In this article, a strategic planning process is presented that incorporates a Policy Delphi group technique and Situation Structuring, a computer program that assists participants in structuring or defining the problems to be addressed in the plan. The organization to which the process is applied is a small, nonprofit hospice. Both the planning process and an evaluation of the implementation of the resultant strategic plan are examined.