scholarly journals The link between financial management, organizational capacity building and effectiveness in not-for-profit organizations: an exploratory study

2013 ◽  
Vol 11 (1) ◽  
pp. 632-636
Author(s):  
Ron Kluvers
Keyword(s):  
Social Services ◽  
Financial Management ◽  
Exploratory Study ◽  
Third Sector ◽  
Organizational Capacity ◽  
Management Skills ◽  
For Profit ◽  
The Third ◽  
Not For Profit ◽  
The Relationship

The third sector literature argues that organizational capacity is important for Not-For-Profit (NFP) organizations to achieve their missions. Financial management skills are important for the enhancement of effectiveness, accountability and viability of NFP organizations. While effectiveness is a contested concept its attainment is an important aspect of NFP management. This paper examines the relationship between financial management, the development of capacity and the encouragement of effectiveness. A survey of 67 NFP organizations affiliated with the Victorian Council of Social Services (VCOSS) was conducted and the findings establish a link between financial management and organizational capacity

scholarly journals Developing financial management skills in a community organisation using scaffolding: A pilot study

2013 ◽  
Vol 10 (4) ◽  
pp. 454-460
Author(s):  
Ron Kluvers
Keyword(s):  
Financial Management ◽  
Third Sector ◽  
Organizational Capacity ◽  
Community Organizations ◽  
Learning Cycle ◽  
Management Skills ◽  
The Third ◽  
Community Organisation ◽  
Post Test ◽  
Scaffolding Learning

The third sector literature argues that organizational capacity is important for community organizations to achieve their missions. Financial Management Skills (FMS) are important for the enhancement of capacity that supports the effective operations, accountability viability and governance of community organizations. However, many community organisations lack the necessary understanding of financial management. This paper examines the use of scaffolding to develop financial management skills in a community organisation. Participants completed a pre-test to determine the level of FMS and a post-test after the scaffolding sessions. The results indicate that scaffolding was effective in developing the participant’s FMS. However, the time spent on each phase of the scaffolding learning cycle may influence the effectiveness of the method.

scholarly journals A Third Sector-Led Economic Model: Scopes of Islamic Entrepreneurship

2019 ◽  
Author(s):  
Md. Mahmudul Alam ◽  
Rafiqul Islam Molla
Keyword(s):  
Social Justice ◽  
Economic Model ◽  
Third Sector ◽  
Social Enterprises ◽  
Welfare Programs ◽  
For Profit ◽  
Wealth Concentration ◽  
Social Welfare Programs ◽  
Not For Profit ◽  
Market State

Private (first sector) and public (second sector) sector economics, both individually and jointly, have failed to ensure the wellbeing of human societies on the national and global levels. In response, social enterprise (third sector) economics, which features cooperatives and not-for-profit social enterprises, foundations (awqāf), and similar undertakings, has emerged as a make-up strategy in an attempt to counter the deficiencies of the market-state economic model. However, there is a strongly felt belief that the third sector needs to be broadened and mainstreamed in order to include both not-for-profit and for-profit businesses blended with social justice (via provision of such social welfare programs as corporate social responsibility) so that they can play a major role in poverty alleviation and economic growth. Islamic entrepreneurship, which is basically a community-centric mode of business initiative, is an antidote to the problem of intolerable economic and social dualism, a natural strategy against all forms of capitalist exploitation and attempts to control a nation’s resources. Moreover, it is the natural model for solving economic inequity, wealth concentration, and social divides. Based on its potential and using examples from Bangladesh and Malaysia, we present the Islamic style of entrepreneurship. We contend that this particular style is the most efficient and desirable one for effectively widening and mainstreaming community-centric third sector economics so that it can ensure development with equity and social justice especially in developing countries.

scholarly journals The Relationship between Working Capital Management and Financial Sustainability of Selected Christian Denominations in Ghana

2019 ◽  
Vol 5 (2) ◽  
pp. 20
Author(s):  
Williams Kwasi Peprah ◽  
Isaac Anowuo ◽  
Daniel Adofo Kwakye Ameyaw
Keyword(s):  
Significant Relationship ◽  
Positive Relationship ◽  
Financial Sustainability ◽  
Working Capital ◽  
Current Ratio ◽  
For Profit ◽  
Not For Profit ◽  
The Relationship ◽  
Not For Profit Organizations ◽  
For Profit Organizations

Management of working capital is a fundamental aspect of finance. This is because it affects the church's liquidity and financial sustainability. The study sort of establishing the relationship between working capital and financial sustainability for selected Christian denominations in Ghana. Using bivariate correlation application in SPSS 23, the financial statements from 2013 to 2017 of 15 Christian Council of Ghana denominational members conveniently sampled and analyzed. Working capital is represented by liquidity ratios of current ratio, and cash ratio and financial sustainability are epitomized by self-support. The study revealed that there was a positive relationship between working capital and financial sustainability among Christian denomination in Ghana. In a detailed outcome, there was a statistically small positive significant relationship between self-support and cash ratio and statistically large positive significant relationship between self-support and current ratio. The study recommends to churches in Ghana to seek an enhancing relationship between their working capital and financial sustainability to prevent a possible closure of the church. Not-for-profit organizations must seek self-support through income generation and diversification to improve their Liquidity. Again, not-for-profit organizations must have a positive relationship between working capital and financial sustainability in that churches exist because of liquidity.

scholarly journals Mainstreaming the Third Sector Economics by Adopting the Principles of Islamic Entrepreneurship: For Development with Equity and Social Justice

IIUC Studies ◽  
2015 ◽  
Vol 9 ◽  
pp. 39-58 ◽  
Author(s):  
Rafiqul Islam Molla
Keyword(s):  
Social Justice ◽  
Research And Development ◽  
Third Sector ◽  
Social Benefit ◽  
Social Enterprises ◽  
Defensive Strategy ◽  
For Profit ◽  
The Third ◽  
The Third Sector ◽  
European Colonialism

The ‘private’ and ‘public’ sector economics found their own strong places to play roles in the mainstream economy. At the end, however, these two systems – the private, popularly called the first sector economy, and the public, called the second sector economy - both individually and jointly have been found seriously inadequate and incapable to ensuring wellbeing of human societies nationally and globally. Responding to such a situation a number of non-conventional approaches like cooperatives and social enterprises, waqaf, foundations, and other non-profit institutions, etc., together called third sector economy, were moved and promoted to ensure social justice and wellbeing of mankind. Initially it emerged as a make-up and defensive strategy of the market-state model to meet the minimum of unmet requirements in the sectors where the market and state have grossly failed. It, thus, played only a subordinate role. As a result, it could not help much to solve the problem of economic inequity, concentration of wealth, and social divides. However it is strongly felt that a broadly based third sector economic model with both not for-profit business like enterprises and for-profit businesses blended with social justice is necessary to play its role as a mainstream model not only for poverty alleviation but also for economic growth to bridge the economic and social divides. Mainstreaming the third sector is the urgent call of the day. Islamic entrepreneurship, which is basically a communitycentric mode of business initiative, is an antidote to the problem of intolerable economic and social dualism in the economies. It is a natural strategy against all forms of capitalist exploitations, like in the past through European colonialism and now through American led terrorism, to control resources. Accordingly it is the natural model for solving the problems of economic inequity, concentration of wealth, and social divides. Therefore, this study finds the Islamic mode of entrepreneurship as most suitable and effective for widening and mainstreaming the third sector economics, more particularly in the developing countries. Johor Corporation (JCorp) in Malaysia and Sheba Polly in Bangladesh are examples of two types of Islamic style third sector enterprises – one is staunchly business like initiative and the other is cost based charity initiative for social benefit. For the development and promotion of the community-centric third sector economics model, the paper recommends for urgently establishing a research and development centre on third sector economics preferably under an Islamic Research and Development Institute in any reputed university.IIUC Studies Vol.9 December 2012: 39-58

Understanding ‘Community’ in ICTs and Community Broadcasting: Some Similarities and Differences

2006 ◽  
Vol 118 (1) ◽  
pp. 120-135 ◽  
Author(s):  
Kitty van Vuuren
Keyword(s):  
Rural Community ◽  
Community Services ◽  
Government Funding ◽  
Government Support ◽  
Business Strategies ◽  
For Profit ◽  
Not For Profit ◽  
Similarities And Differences ◽  
Community Projects ◽  
The Relationship

This paper examines community projects funded under the federal government's Networking the Nation program, and compares these with community broadcasting. Since the early 1990s, rural community ICT projects have enjoyed considerable government support, but now face closure as government funding dries up. A comparison with the community broadcasting sector offers some insights into the relationship between community and not-for-profit organisations and the problems associated with adopting government and business strategies in the delivery of community services.

scholarly journals Improving community support for older people’s needs through commissioning third sector services: a qualitative study

2019 ◽  
Vol 24 (2) ◽  
pp. 116-123 ◽  
Author(s):  
Neil Chadborn ◽  
Chris Craig ◽  
Gina Sands ◽  
Justine Schneider ◽  
John Gladman
Keyword(s):  
Older People ◽  
Exploratory Study ◽  
Third Sector ◽  
Community Support ◽  
Self Management ◽  
Third Sector Organizations ◽  
The Third ◽  
Improve Measurement ◽  
The Third Sector ◽  
Service Data

Aim This exploratory study of commissioning third sector services for older people aimed to explore whether service data was fed back to commissioners and whether this could improve intelligence about the population and hence inform future commissioning decisions. Background Third sector services are provided through charities and non-profit community organizations, and over recent years services have developed that assess and advise people for self-management or provide wellbeing support in the community. Third sector services have an opportunity to reach vulnerable populations and to provide intelligence about them. Some third sector services are state funded (commissioned) in the United Kingdom. While evidence is available about the commissioning of statutory health and social care, as well as private providers, there is limited evidence about how third sector health services are funded. Methods Participants were recruited from commissioner organizations and third sector organizations, both with an interest in supporting the independence, self-management and wellbeing of older people. Organizations were recruited from five purposively selected sites within one region of England (East Midlands). Semi-structured interviews explored the relationships between commissioners and providers and the nature of funding arrangements, including co-production. Interviews also explored collection of data within the service and how data were fed back to commissioners. Focus groups were held with older people with the potential to benefit from wellbeing services. Results Commissioning arrangements were varied, sometimes complex, and often involved co-production with the third sector. Commissioners valued third sector organizations for their engagement with the local community, value for money, outreach services and ability to provide information about the community. Assessing the needs and outcomes of individuals was integral to delivery of support and advice to older people. Diverse approaches were used to assess an individual’s needs and outcomes, although there were concerns that some assessment questionnaires may be too complex for this vulnerable group. Assessment and outcomes data were also used to monitor the service contract and there was potential for the data to be summarized to inform commissioning strategies, but commissioners did not report using assessment data in this way, in practice. While the policy context encouraged partnerships with third sector organizations and their involvement in decision making, the relationship with third sector organizations was not valued within contract arrangements, and may have been made more difficult by the tendering process and the lack of analysis of service data. Conclusion This exploratory study has demonstrated a diversity of commissioning arrangements for third sector services across one region of England. Most commissioners invited co-production; that is, the commissioners sought input from the third sector while specifying details of the service. Service data, including assessments of needs and outcomes, were reported to commissioners, however commissioners did not appear to use this to full advantage to inform future commissioning decisions. This may indicate a need to improve measurement of needs and outcomes in order to improve the credibility of the commissioning process.

The business of teaching and learning: an accounting perspective

2008 ◽  
Vol 1 (1) ◽  
pp. 155-183 ◽  
Author(s):  
Penny Ciancanelli
Keyword(s):  
Higher Education Policy ◽  
Financial Management ◽  
Teaching And Learning ◽  
Policy Research ◽  
Business Systems ◽  
Financial Measures ◽  
Public Benefit ◽  
For Profit ◽  
Not For Profit ◽  
Perspective Drawing

A feature of globalisation is encouragement of universities to become more businesslike, including adoption of the type of accounting routines and regulations used by businesses. The question debated in higher education policy research is whether this focus on being businesslike is compatible with the statutory public benefit obligations of universities. This question is addressed from a financial-management perspective, drawing on Max Weber's discussion of the effects of accounting in business, governmental and not-for-profit organisations. 1 His approach is applied to three ideal-typical universities, focussing on differences in legal terms of reference and sources of funding. The article argues that the proposed reforms of public-sector accounting will make it difficult (if not impossible) to ascertain whether the publicbenefit aims of not-for-profit universities have been achieved. In addition, once installed, the business systems of accounting will encourage pecuniary rationality at the expense of the traditional value rationalities that ought to govern resource allocation in public-benefit organisations. The interaction between these effects introduces new risks, including the possibility that the controllers of universities may fail in their fiduciary obligations by wasting scarce resources on projects that, according to financial measures, appear profitable while neglecting those that have important public benefit and educational merit.

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