Stanford Social Innovation Review

Stanford Social Innovation Review is an award-winning magazine covering best strategies for nonprofits, foundations, and socially responsible businesses. Published quarterly by the Stanford Graduate School of Business.

Subscriber Login



Auto-login on future visits

Forgot your password?
Obtain a login

RSS Feed

Related Opinions

Browse by Categories

Time for nonprofits to declare independence

Other articles on: •  •  •  •  • 
Posted: July 1, 2009 12:07 PM
Author: Todd Cohen

Nonprofits are society’s unsung heroes.

Sadly, however, many see themselves as victims and supplicants, or at least act as if they are.

Nonprofits are heroic because they address the symptoms and causes of urgent social and global problems that government and business cannot or will not take on.

Nonprofits work hard for little pay, continually are expected to do more with less, and face growing scrutiny and expectations from funders.

And in the current economic recession, with rising demand for services, nonprofits face growing pressure to reduce costs and increase their fundraising and impact.

With those kinds of seemingly intolerable working conditions and stress, people who work at nonprofits often feel alone, under siege and burned out.

They stick with it, however, because they care, and because they find fulfilling the job of making a difference and working with people in need and with other people who care.

Yet, needing revenue to meet their payroll and pay their rent, and fearing they lack the know-how to map a business strategy to sustain their organizations, they are too quick to swallow funders’ demands and consultants’ advice without critically questioning it.

Nonprofits are not victims and should not underestimate the knowledge of their staff and board, the value of their programs and services, the extent of their impact in the communities they serve, or their potential to generate even more contributed and earned income.

Rather than falling prey to the herd hysteria the recession has unleashed in the giving sector, nonprofits should treat the economic crisis as an opportunity to get back to basics and recognize the value and impact of the work they do and the untapped potential they possess to do more and do it better.

That means scrutinizing their mission, board, staff, operations and programs with brutal honesty.

It means using common sense to look for ways to improve their efficiency, impact, fundraising and communications.

And it means finding smart supporters and partners who care about their cause and understand that getting involved by making a donation, volunteering, serving on a board, collaborating or even merging requires recognizing the organization’s true needs and potential.

Nonprofits play an indispensable role in America, serving both as the safety net for the most vulnerable among us, and as the research-and-development arm to find ways to fix our biggest social and global problems.

America’s economic crisis has underscored nonprofits’ role and value, and compounded the challenges they face.

To fulfill their role, expand their value and meet those challenges, nonprofits must stop acting like victims and start thinking and working as independent and entrepreneurial agents for social change.


imageTodd Cohen, a veteran news reporter and editor, is editor and publisher of Philanthropy Journal, an online newspaper published by the A.J. Fletcher Foundation in Raleigh, N.C. Cohen has taught nonprofit reporting and media relations at the University of North Carolina at Chapel Hill and at Duke University, and regularly speaks on the topics of nonprofit media relations and trends in the charitable world.

 

Chat Bubble Comment

While I agree with you on all of the wonderful things that non-profits are able to accomplish and that they need to figure out a new way to continue, I’m not sure that I agree that they see themselves as victims under today’s economic realities.

Nonprofits are used to operating a certain way; they receive grants, donations and, possibly, some governmental support or membership revenue.  They get donations by putting on charity benefits and/or mailing solicitations.  It’s the cookie-cutter plan to how they operate.  I don’t think that the reduction in these revenues leads to a ‘victim’ mentality under today’s economy, but rather confusion as to what to do next and how to make it better.  Non-profits don’t always have the flexibility that an independent entrepreneur might have to change how they operate because they are governed by boards of directors, who do not always welcome the kind of change that is probably needed these days.  They also have a mission and donors that they are held accountable to. 

Yes, they need to become more innovative in how they operate in today’s world, but being independent and entrepreneurial, by virtue of what a non-profit organization is and does, might not be an option for them.  I have watched non-profits that have seen huge budget shortfalls remain relevant and, probably more importantly to them, alive, by innovatively engaging the community to keep them afloat.  They have found new ways to work as opposed to sitting back and having to close their doors because they are the ‘victim.’  They are still the heroes that you describe above.

»» Posted by: CSF42 on July 1, 2009 03:03 PM

Chat Bubble Post a Comment

Name:

Email:

Location:

URL:

Remember my personal information

Please enter the word you see in the image below: