Relating the Central and the Local

Although a number of valuable models of central‐local relationships in the nonprofit sector have been developed, particularly in relation to federal structures, there has been a tendency to assume that in any given organizational relationship central‐local structures will follow one common pattern. We argue that wider strategies are available: central dependency along one dimension may run with greater local autonomy along another. Such mixed tight‐loose structures may be of considerable importance in the “boundaryless” organizational environment of the future.     

Determinants of executive compensation in small business development centers

We develop and test a model of nonprofit executive compensation based on theories of organizational science, economics, and agency theory. Our sample consisted of 114 directors of small business development centers in the United States. Consistent with our model, we find significant effects for human capital, organizational size, and organizational affiliation. We find tentative support for a significant pay‐for‐performance relationship. We find that when education, tenure, size, performance, and affiliation are held constant, female executives are compensated significantly less than male executives.     

Volunteer Reliability in Nonprofit Organizations: A Theoretical Model

The reliability of volunteers is a major concern for many nonprofit organizations. To address this problem in more detail, we develop a theoretical model of volunteer reliability based on psychological contract theory. By taking this perspective as a starting point, we explore how individual volunteer characteristics, organizational factors, and sociological developments shape the exchange of inducements and contributions between volunteers and nonprofit organizations. We discuss how these factors can create tensions in the psychological contract and determine the extent to which volunteers behave reliably. As such, we develop a theoretical framework for addressing the reliability problem in volunteer management.     

European Civil Societies Compared: Typically German–Typically French?

According to the ‘social origin theory’ of civil society studies (Salamon and Anheier, Voluntas, 9(3): 213–248 (1998)), the nonprofit sector of today constitutes a ‘repository of former societal struggles and conflicts’. Correspondingly, nonprofits are embedded in administrative and organizational settings, which in many cases date as far back as the latter half of the 19th century—a time when industrialisation and urbanisation started to exert influence in the western world. France and Germany stand for very different societal traditions, political legacies and administrative structures. Traditionally, France is a highly centralized country in which local governments do not enjoy much autonomy. In contrast, Germany is a federalized country where self-government of local communities was introduced as early as at the beginning of the 19th century. Against this background, it comes as a surprise that, aside from few exceptions, the nonprofit sectors in the two countries are very similar. How does this come? We argue that the reason why the French nonprofit sector of today is very similar to the German nonprofit sector is closely linked to the growth of the welfare state in the two countries.     

NONPROFIT INCORPORATION AMONG MOVEMENTS OF THE POOR:

Social movement scholars have begun to note the widespread use of nonprofit incorporation by social movement organizations (SMOs) in the United States. They argue that nonprofit incorporation is a voluntary act that ultimately leads to moderation in goals and tactics. I examine this argument with ethnographic data on fifteen homeless SMOs that operated in eight U.S. cities. I identify six pathways to adoption or nonadoption of nonprofit form and find that moderation, when it occurs, is not a function of nonprofit incorporation per se but of the particular pathway by which an SMO came to adopt nonprofit form. I discuss the implications of these findings for SMOs in general and for understanding the broader debates about organizational autonomy and external control of SMOs.     

Ethical dimensions of nonprofit administration

This article explains why ethics is a necessary and powerful aspect of organizational life and why the managerial ethics of executive responsibility is arguably the most important part of management. While ethical considerations in management are largely the same regardless of organizational type, there are some unique characteristics of nonprofit organizations that create a special ethical context for the nonprofit administrative role. This uniqueness, the immensity and organizational complexity of the American nonprofit sector, and the importance of ethical considerations in an increasingly amoral society, are grounds for giving more attention to this topic.     

Managing electronic documents and work flows: Enterprise content management at work in nonprofit organizations

Web management and knowledge management systems have made significant technological advances, culminating in large information management systems such as enterprise content management (ECM). ECM is a Web‐based publishing system that manages large numbers of electronic documents and other Web assets intended for publication to Web portals and other complex Web sites. Work in nonprofit organizations can benefit from adopting new communication technologies that promote collaboration and enterprisewide knowledge management. The unique characteristics of ECM are enumerated and analyzed from a knowledge management perspective. We identify three stages of document life cycles in ECM implementations—content, reification, and commodification/process—as the content management model. We present the model as a mechanism for decision makers and scholars to use in evaluating the organizational impacts of systems such as ECM. We also argue that decision makers in nonprofit organizations should take care to avoid overly commodifying business processes in the final stage, where participation may be more beneficial than efficiency.     

The Institutional and Technical Structuring of Nonprofit Ventures: Case Study of a U.S. Hybrid Organization Caught Between Two Fields

This paper engages the concept of the organizational field to explore the status of a growing set of organizations referred to as social enterprises, nonprofit ventures, and social purpose businesses. The argument is developed through an ethnographic case study of a nonprofit hybrid organization (in the United States) that is training welfare recipients in their own in-house businesses. First, this paper provides an overview of the commercial trends in the nonprofit sector and the rise of social purpose enterprises. Then, employing key concepts from neo-institutional theory, the author proposes framing nonprofit-business hybrids as organizations positioned in two different organizational fields—each necessitating different internal organizational technologies—to elucidate the structural tensions that can emerge inside these new hybrid models. Internal organizational tensions identified in the case study are highlighted. Finally, the proposed use of organizational field theory developed from the case analysis is discussed in terms of social enterprise more generally.

“We Actually Trust the Community:” Examining the Dynamics of a Nonprofit Funding Relationship in New Zealand

Funding relationships in nonprofit management are increasingly defined by a philosophy of rational management, characterized by measurement of outputs and benchmarking, which represents an audit culture system (Burnley, Matthews, & McKenzie, 2005). There is concern that these approaches are constantly undermining the mission of community service nonprofit organizations (Darcy, 2002). In this research, we analyzed the management of funding relationships by examining dynamics within a nonprofit funding relationship in New Zealand. Through focus groups we explored the relationship between 17 representatives from nonprofit organizations and four Board members of a funding Trust. The management of this funding relationship was characterized by an appreciation of the diverse nature of nonprofit organizations, a balance between trust and control, and communication. We suggest that elements of these dynamics could be incorporated into nonprofit funding relationships in order to challenge an over-reliance on audit culture systems, and to re-establish relationships characterized by interaction between nonprofit organizations and their funders. Finally, we call for future research in this area.     

Improving performance? The adoption and implementation of quality systems in U.K. nonprofits

There are increasing and multiple pressures on nonprofit organizations to demonstrate excellence in performance. Although there is a growing literature on the various approaches to performance improvement taken by nonprofits, little is known about the processes involved in the adoption and implementation of specific approaches. This article is about the adoption and use of one approach to performance improvement, “quality systems,” in the U.K. nonprofit sector. We report findings about factors that encourage nonprofits to adopt quality systems. We also analyze the distinctive challenges of implementing quality approaches in a nonprofit sector context and suggest critical success factors. The article concludes with a discussion of the organizational and policy implications of applying the management concepts of quality and performance to the nonprofit sector.     

Structures and processes in intermediary nongovernmental organizations: Research evidence from Northern Ireland

This article reports the results of an exploratory study of the organizational characteristics, functions, and roles of intermediary nonprofit organizations selected by the European Union to deliver global grant funding in relation to its Special Support Programme for Peace and Reconciliation in Northern Ireland. The results show that the main factor for determining organizational processes is the need to respond to conflicting pressures from two directions: upward to funding agencies and downward to community groups. This produces contradictory demands that are imported into the organizations as a set of internal tensions. The different structures and capabilities developed by the organizations to maintain unity and integrity in response to these tensions are explored and related to differences in the perceived role of the organizations.     

Growth and resilience of pioneering nonprofit human service organizations: a cross-case analysis of organizational histories

Knowledge of organizational history is important for recognizing patterns in effective management and understanding how organizations respond to internal and external challenges. This cross-case analysis of 12 histories of pioneering nonprofit human service organizations contributes an important longitudinal perspective on organizational history, complementing the cross-sectional case studies that dominate the existing research on nonprofit organizations. The literature on organizational growth, including lifecycle models and growth management, is reviewed, along with the literature on organizational resilience. Based on analysis of the 12 organizational histories, a conceptual model is presented that synthesizes key factors in the areas of leadership, internal operations, and external relations that influence organizational growth and resilience to enable nonprofit organizations to survive and thrive over time. Both cross-sectional and longitudinal examples from the organizational histories illustrate the conceptual map. The paper concludes with a discussion of directions for future research on nonprofit organizational history.     

Organizational capacity and entrepreneurial behavior

In this research note, we examine the relationship between organizational capacity and entrepreneurial behavior in a global sample of 165 nonprofit organizations operating in a single, rapidly growing field of nonprofit activity. Our findings show a strong relationship between organizations' entrepreneurial behavior and levels of organizational capacity. We discuss our results relative to the importance of both organizational capacity and entrepreneurial behavior in a rapidly growing nonprofit subsector. The results contribute to the continued development and refinement of theoretical and empirical work on the causal links between organizational capacity and entrepreneurial behavior more generally.     

In the Triangle of Civil Society,Politics, and Economy: Positioning Magazines of Nonprofit Organizations

Nonprofit organizations, though rooted in civil society and primarily committed to value rationality, must work legitimately to influence political and economic systems. To a certain degree, therefore, they must adapt to the purposive logic of power and money. This study analyzes the way in which nonprofit organizational communications respond to such tensions, using a nationwide survey of editors-in-chief responsible for magazines issued by nonprofit organizations in Switzerland as the empirical basis. These magazines often function as steering tools targeted toward members, following the logic of power and there is less danger of them being “colonized” by economic logic. The results indicate that large organizations that rely on paid staff tend to cut their ties with civil society and the “lifeworlds” of their members.     

The double-edged sword of social service contracting: public accountability versus nonprofit autonomy

The increased role of government contracts in the funding of nonprofits has heightened tensions as governments seek accountability and nonprofits seek to preserve autonomy. Considering both sides of the contract market this article suggests that the threat of government funding is exaggerated. Nonprofits are attractive contractor options because of their experience and trustworthiness. Governments should recognize that excessive intrusions limit the advantages of the nonprofit sector. At the same time, nonprofits should be conscious of the implications of public funding, just as they must be of other sources of funding.     

Human resource management,employee engagement,and nonprofit hospital performance

Human resource management (HRM) has been shown to impact organizational performance, but more research is needed on particular human resource (HR) practices in nonprofits and their effect on performance. In this article, we explore one HRM practice argued to influence performance, employee engagement in decision‐making, examining whether involving staff at different levels of a nonprofit affects nonprofit organizational performance. Drawing on data from a 2011 study of nonprofit hospitals, we find employee engagement has a positive influence on managerial and stakeholder perceptions of organizational performance. Employee engagement in decision‐making is also related to objective nonprofit performance measures, although the effects are less consistent. We conclude by discussing the implications of these findings for nonprofit research and practice.     

Structure and accountability a study of national nonprofit associations

In the 1990s, the integrity and performance of nonprofit organizations in the United States have come increasingly under attack, and there are new calls to hold nonprofit organizations more accountable for their behavior and performance. This article reports on a study of the organizational structures of national nonprofit associations and asks how these umbrella organizations can help to self-regulate the sector through appropriate checks and balances between the national organization and local affiliates. The authors identify a number of differences in how associations with alternative structures hold local affiliates and national organizations responsible for their performances, and they conclude that structure is an avenue of self-regulation for nonprofit organizations deserving further attention.     

Casa de esperanza

Many nonprofit organizations struggle with the challenges of staying true to their mission in light of increasing reliance on public revenue streams. Casa de Esperanza, a mid‐size nonprofit in St. Paul, Minnesota, faces these tensions. Although it was founded to support Latinas who experience domestic violence, public funding streams mandated a different approach. This case explores the trade‐offs the organizational leaders must consider at a critical juncture in their development. Copyright © 2004 Jodi Sandfort.     

Organizational Culture in Civic Associations in Russia

The organizational culture of nonprofit organizations is affected by the context in which they are embedded. Based on a qualitative study of local civic associations in Novosibirsk, Russia, this article illustrates how nonprofit organizational culture has been shaped by historical and contemporary social and cultural conditions. The fluid situation for civil society in Russia has generated varied organizational culture across nonprofits. Interview data reveal different value orientations, distinct group identities, and different images of the ideal civic association: as a social establishment, as an outlet for self-expression, as a network of experts, or as a social startup. This resulting diversity of organizational culture has implications for the potential for partnerships among nonprofits, between nonprofits and government, between nonprofits and businesses, and also for the organizational survival of nonprofits in this setting.     

Promoting social innovation amidst organizational complexity: Case study evidence from the German Red Cross

Social innovation is concerned with the creation and implementation of new solutions to social problems. Although research commonly frames social innovation as the domain of small, entrepreneurial organizations, an increasing number of large and well-established nonprofit organizations have started actively launching their own innovation initiatives. Using a case study of social innovation ventures within the German Red Cross (GRC), this study identifies organizational hurdles and viable management strategies targeting the promotion of social innovation within particularly complex organizations. Based on our results, we develop a conceptual framework highlighting that promoting social innovation in established organizations requires simultaneous attention to multiple dimensions of leadership and governance. Our study thereby offers a blueprint for management strategies that can guide nonprofit leaders in their quest to promote social innovation from within their organization.