The Management of Non-profit Organizations

A non-profit organization or NPO is important because they give contribution to improve quality life. NPOs work with purpose. They raise money to benefit the founder or donators but to people they want to help. NPOs are varied in types. It is not always human related the issues they’d like to address. The concern include humanity, art, history, animals, etc. the fields are also varied. It can be religious, educational, business, etc. Basically, there is no need of what kind of social issues that an NPO can address. Non-profit organization have ultimate objectives to achieve using their revenue or income. NPOs are tax exempt and it is advantageous for them. They work to be accountable, honest, trustworthy, dependable, and open to those who have invested their money, time, as well as faith.

The Management of Non-profit Organizations
The Management of Non-profit Organizations

Sometimes, it is easy to use non-profit organization, http://68.183.181.185 and philanthropy interchangeably. Both are different in some ways but still hold similarities at some points. The differences are mostly on the management. Both aims for long-lasting and successful change of social causes. The bigger differences exist between non-profit organization and charity. Both are different in purpose and method. To make it simple, charity is like giving fish to the poor in order to lessen their hunger immediately. Meanwhile, non-profit organization is like teaching them how to fish instead of directly giving them the fish. The difference is clear. Non-profit organization aims for long-term solution instead of immediate, temporary one.

Management in non-profit organizations

It is important to address misconception about NPOs. Lots of people thought that they are run by volunteers completely. However, most non-profits employ staffs working for the company. NPOs also have volunteers to perform the services under the staff’s direction. However, NPOs should have well management to balance the expense to pay the staffs and to deliver the service/program that is the company’s goals. That is also why the salary expenses of NPOs never been too high or else it will have to get through regulatory scrutiny.

It is also important to know that NPOs do make profit even though they are not as aggressive as business goers. NPOs should manage their income which come

The Management of Non-profit Organizations
The Management of Non-profit Organizations

s from donations as well as services. Aside from managing income, they should do better in managing the expense. The management of NPOs are different from for-profit organizations because their orientations are different as well. It is also because NPOs has mission motive instead of financial or self-interest one.

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