Assessing Nonprofit Rule Interpretation and Compliance

2016 ◽  
Vol 45 (4_suppl) ◽  
pp. 156S-174S ◽  
Author(s):  
Saba Siddiki ◽  
Suzann Lupton

Nonprofit organizations operate within the confines of formalized agreements structured by parent organizations, funders, and partners. Compliance with the rules comprising these agreements leads to organizational legitimacy and the resulting access to resources. At times, compliance can be challenging because internal and external stakeholders exert pressures on nonprofits that can sometimes dissuade rule adherence. These pressures can be amplified when a nonprofit is an affiliate. Affiliate nonprofits must meet accountability demands of their local constituencies while aligning missions, organizational structures, governance, and programmatic activities with parent organizations that might be geographically distant. Affiliate status thus adds a layer of complication to an already complex environment. We conduct an institutional analysis as a basis for assessing how nonprofit affiliates interpret global rules for maintaining affiliate status and factors most important to them in maintaining continued compliance with such rules. Our research is conducted in the context of United Way (UW) affiliate organizations in Indiana.

2000 ◽  
Vol 11 (1) ◽  
pp. 35-48 ◽  
Author(s):  
Steve Werner ◽  
Robert Konopaske ◽  
Gretchen Gemeinhardt

2013 ◽  
Vol 5 (1) ◽  
pp. 45-65 ◽  
Author(s):  
John F. Brennan ◽  
Laurie Paarlberg ◽  
Michele Hoyman

AbstractThis study seeks to quantify the impact of the nonprofit sector on economic development by more clearly defining the diverse roles that nonprofits may play in development – instrumental, expressive, and connective. We begin by summarizing existing research on nonprofit organizations and economic development. Using secondary data, we test our model in 360 U.S. metropolitan areas for the years 2001–2006. Do nonprofit organizations produce economic growth? Our statistical findings suggest, “Not really” and “It depends.” While some forms of nonprofit organizations (business associations) are positively related to growth, others such as congregations and social and fraternal associations may have a dampening effect. Overall, our findings suggest complex relationships between individual forms of capital, organizational structures, and development that may be place and time dependent. While our findings currently provide little guidance for policy makers attempting to promote economic development, our findings do have important implications for nonprofit and public policy scholars. Any attempt to explore the relationship between nonprofit activity and development must untangle indicators of individual behavior (church attendance or census return rates) from indicators of organizational structures (such as the number of specific organizations). Second, any effort to understand the impact of the nonprofit sector should disaggregate sector measures based upon a conceptual understanding of the diverse roles of various organizational types (for example, human service organizations versus social and fraternal organizations). Finally, growth and development and the role of the sector are contextual, exhibiting significant regional and temporal variation.


Author(s):  
Nathan R Berglund ◽  
Mikhail Sterin

This study examines the impact of auditor-reported internal control deficiencies (ICDs) on operational performance within nonprofit organizations. Contemporary studies in the for-profit environment document evidence that poor internal controls over financial reporting (ICFR) cause suboptimal operational performance. While these analyses are restricted to ICFR, the nonprofit environment allows external stakeholders to observe the effectiveness of both ICFR and internal controls over compliance. We find robust evidence of negative associations between both ICD types and two key measures of nonprofit operational performance: surplus and the charitable expense ratio. Our findings are relevant to multiple nonprofit stakeholders, demonstrating that the control environment has a pervasive impact on a nonprofit's ability to effectively execute its charitable mission.


Author(s):  
Andreas Kuckertz ◽  
Karsten Jörn Schröder

Organizational legitimacy is a key resource that is necessary for every venture to acquire other crucial resources, which will subsequently stimulate growth. The authors illustrate this legitimacy-growth relationship by analyzing the case of Europe’s first online pharmacy DocMorris. Given that this ICT venture started as extremely illegitimate, this case provides a rich background to identify various strategies that are potentially helpful to enhance a venture’s level of legitimacy. Building on interview data collected from the firm’s key actors, the authors are able to show how the perception of a firm’s legitimacy from the viewpoint of various internal and external stakeholders can be managed strategically.


Author(s):  
Donna Hardina

Citizen participation is a process through which people served by government and nonprofit organizations can provide input about how these services are offered. Citizen participation is particularly beneficial in low-income neighborhoods. Local control of neighborhood decision making helps low-income people and communities of color counter the effects of economic and social oppression. Social workers can work with communities to increase their power and influence in public decision-making. They can also facilitate the development of leadership and political skills among agency clientele by creating organizational structures that encourage their participation in agency decision-making.


2016 ◽  
Vol 50 (7) ◽  
pp. 973-1014 ◽  
Author(s):  
Carrie R. Oelberger

Who benefits ( cui bono) from nonprofit organizational structures and practices? I draw on interviews, observation, and archival data from 25 grantmaking foundations to examine the mechanisms by which “charitable” institutions are designed to serve the private interests of internal members. I develop a framework to analyze how both public and private goals inform organizational design, exploring the dual, continuous, and dynamic nature of this process. This framework enables scholarship on nonprofit organizational behavior to examine private interests in a uniquely robust manner. Furthermore, it provides tools to study organizations’ evolution through varied functions and forms over time.


2019 ◽  
Vol 48 (5) ◽  
pp. 953-974 ◽  
Author(s):  
Géraldine Zeimers ◽  
Christos Anagnostopoulos ◽  
Thierry Zintz ◽  
Annick Willem

Nonprofit organizations (NPOs) increasingly implement socially responsible programs to address their responsibilities toward society. Although collaborations are a valuable means to tackle complex social issues, NPOs also similarly collaborate with other NPOs for delivering socially responsible programs. However, the motivations driving NPOs to collaborate with likeminded organizations for socially responsible programs remain unclear. Using a single embedded in-depth case study research design, our purpose is to examine the formation of collaborations among sport federations and sport clubs for socially responsible programs. Reflecting the interplay between resource-based view and institutional perspectives, our findings intrinsically indicate that partners demonstrate similarity in their motivations to collaborate due to their organizational fit, but with some key differences in the complementary resources they seek. Organizational legitimacy and resource exchange needs for socially responsible programs are driving the collaboration rather than organizational survival needs. The potential to create social value makes this nonprofit collaboration form unique.


Author(s):  
Saqib Saeed ◽  
Safia Shabbir

Nonprofit organizations are an important pillar of any society, which specifically serve under privileged sections of society. Modern Information and communication technologies have huge potential to benefit the working processes of such organizations but deploying software application in such settings is quite challenging. These challenges emerge due to shortage of skilled employees, limited funds and weak organizational structures. In order to further understand the technological implications in such settings this paper explores the websites of different nonprofit organizations of Pakistan to understand usability problems. In order to gather empirical data, it prepared questionnaire mainly focusing on Jakob Nielson's heuristics. These questionnaires were distributed to final year undergraduate students taking a Human Computer Interaction module. The findings highlight serious usability issues in these websites. These findings are helpful for the nonprofit organizations to improve these websites for better information access.


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