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.     

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.     

The DIRECTIONS nonprofit resource assessment model: A tool for small nonprofit organizations

Rapid growth in the number of nonprofits has created a shortage of trained staff and experienced volunteer leadership for nonprofit organizations. The Nonprofit Education Initiative (NEI) in South Carolina developed the DIRECTIONS nonprofit resource assessment model to provide tools to help nonprofits better meet the challenges facing our communities—tools that will help nonprofits develop effective plans, integrate resources, diversify revenue, communicate effective messages, and motivate constituents. These tools are also inexpensive and available close to home. The research and development process was a cooperative effort between the Department of Parks, Recreation, and Tourism Management and Clemson University Cooperative Extension Service, with funding from the W. K. Kellogg Foundation. Cooperative Extension is a component of the land grant university system, the largest educational delivery system in the world. Cooperative Extension's role is to plan, execute, deliver, and evaluate learning programs consistent with locally identified needs. It helps people acquire the understanding, capabilities, attitudes, and skills essential to solving farm, home, and community problems. This article gives a background of the challenges facing nonprofit organizations in South Carolina, the steps taken to develop this new assessment model, and results of research conducted throughout the development process.     

Accounting for the value of volunteer contributions

There is a need for an accounting paradigm that properly illustrates the value that nonprofits generate. Much of that value comes from volunteer contributions, which are significant but for the most part are not included in financial accounting statements, even though our research indicates that they account for almost a third of the value added by these organizations. This article reports the results of two studies related to measuring volunteer value in the accounting of nonprofits and then draws some policy implications from the research. The first study, a survey of 156 nonprofits in Canada, found that although about one‐third of the sample kept records of volunteer hours, only 3 percent included a value for them in their accounting statements. The second study, of nonprofit accountants, found that they did not feel that financial accounting statements properly represented the contribution of their organizations. A series of policy recommendations are presented, including suggestions for revising the regulations of accounting bodies for imputing volunteer value and creating accounting statements that better represent the contribution of nonprofits.     

Structures,Challenges, and Successes of Volunteer Programs Co‐managed by Nonprofit and Public Organizations

This article presents a mixed‐methods, multicase study and comparison of volunteer programs in US national parks that have evolved, in response to growth and fiscal pressures, to be co‐managed by national park staff and their nonprofit support partners. Findings detail why and how the expanded partnerships were formed; how they operate; challenges they face; ways in which they adhere to, stretch, and depart from theories of nonprofit management, collaboration, and program institutionalization; and the significant—even exponential—volunteer program growth that resulted in each case. These nonprofit?public volunteer program partnerships—at Acadia, Arches and ­Canyonlands, Cuyahoga Valley, Golden Gate, the National Mall, and Yosemite national park sites—employ many standard forms of interorganizational relations, even though in these cases the nonprofits give money to the government organization instead of the reverse. Their volunteer program and management structures also share similar elements because of coercive, normative, and mimetic pressures. At the same time, each volunteer program partnership is a distinct blend of collaboration and management practices because of the unique natural features, climate, needs, adjacent populations, and personalities of leaders at each site. The cases employ innovative strategies to substantially increase the number of staff who lead volunteer programs. Recommendations are offered for nonprofit management research and practice, and findings are instructive for organizations that utilize volunteers either as a single entity or as part of a collaboration.     

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.     

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.     

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.     

Co‐located Nonprofit Centers

Nonprofit centers are organized to house individual nonprofits “under one roof” to enhance their efficiency and effectiveness and to offer shared services to diminish administrative load. This post‐occupancy tenant satisfaction survey of three such US centers represents the first empirical analysis of such organizations. We find that nonprofit tenants (N = 118) initially co‐located due to the leasing price and the new physical environment (free parking and safety). Nearly all nonprofit tenants wished to remain at their nonprofit centers, largely for the same reasons that brought them there. The article then discusses strategies to achieve the high response rates attained in this study. It concludes with some implications for nonprofit centers, communities, and nonprofit staff—now and in the future, including lower occupancy costs and enhanced quality of nonprofits’ workspace.     

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.     

Elements of Capacity in Youth Development Nonprofits: An Exploratory Study of Urban Sport for Development and Peace Organizations

Organizational capacity is often discussed among nonprofit practitioners and scholars. Yet, empirical research employing a multidimensional capacity framework remains scarce in the nonprofit literature (Andersson et al. in VOLUNTAS Int J Volunt Nonprofit Organ 27(6):2860–2888, 2016). Using a qualitative research approach, we explored capacity in a specific segment of youth development nonprofits—sport for development and peace (SDP). We were guided by three research questions: (1) what are critical capacity elements of SDP nonprofits? (2) how do these capacity elements influence the ability of SDP nonprofits to achieve their desired goals and objectives? and (3) what are the capacity needs of SDP nonprofits in the USA? Findings from in-depth interviews with leaders of 29 organizations contribute to the development of theory on nonprofit capacity by providing a more nuanced understanding of capacity strengths and challenges related to broader nonprofit goal achievement. For example, paid staff, revenue generation, and internal infrastructure emerged as critically more important for capacity in this context. Practical and theoretical implications are further discussed.     

Reframing Board‐Staff Relations: Exploring the Governance Function Using a Storytelling Metaphor

This article attempts to reframe board‐staff relations by presenting an alternative perspective on governance, management, and leadership functions within nonprofit organizations. It draws on an interpretative view of organizations and suggests that we can understand nonprofits as socially constructed entities by using the metaphor of storytelling. Seeing the role of board and staff through this theoretical lens allows us to reconceptualize them. This in turn enables us to enhance the creative potential of the governance function and allows governance to support the goal of creating resilient, adaptive, learning organizations.     

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.     

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.     

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.     

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.     

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.     

Sustainability Assessment and Reporting for Nonprofit Organizations: Accountability “for the Public Good”

Nonprofit organizations serve the public good by offering services that benefit communities and the individuals who live in them. While many large for-profit companies and a few international nonprofits have begun voluntarily assessing and reporting their environmental, cultural, economic, and social sustainability performance in response to growing public awareness of sustainability issues, nonprofit organizations have generally been slow to adopt the practice. This paper makes the case that nonprofits have an obligation to assess and report sustainability performance to account for their positive and negative environmental, cultural, economic, and social impacts in the communities they serve precisely because of their promise to serve the public good; and that sustainability assessment and reporting are not only possible, but that they can actually offer several practical advantages for organizations that integrate the practice into their missions and models. Several sustainability reporting frameworks are reviewed. Two case examples are presented to illustrate the utility of sustainability assessments and reports for different types and sizes of nonprofit organizations. Challenges to the process of adoption and implementation of sustainability programs in the nonprofit sector are discussed.