Joining forces,fortunes, and futures: Restructuring and adaptation in nonprofit hospice organizations

Nonprofit organizations operate in tumultuous times characterized by constrained funding, increased competition, and greater demand for social services. Existing bases of intangible and tangible assets often are insufficient to fulfill service missions. These organizations appear to be responding by joining forces and restructuring to better accommodate diminished resources. Relatively little is known about the reorganization strategies being employed. The study described in this chapter examined the phenomenon of organizational restructuring among nonprofit hospice organizations. In particular, it identified the factors that propel nonprofits to pursue restructuring as a strategic solution, the elements that impede such restructuring efforts, and how organizations that pursue and implement restructuring differ from those that do not. The study found that an organization's relative placement along a continuum of political and economic strength is determinative in the outcome of its restructuring efforts. Those that take affirmative steps operate from a position of economic strength and exhibit independence in governance and decision making; those that do not are impeded by internal political factors.