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Best Practices for Non-Profit Management

Updated: Nov 29, 2022

The need for nonprofit organizations to have management structures, practices, and strategies that will assist them in accomplishing their goals and that can be advertised to the outside world in order to serve as a single point of contact between the society and the nonprofit organizations, they facilitates easier access to the nonprofit organizations and aids in the recruitment of more volunteers for the cause. As a conclusion, while it is without a doubt not the case that nonprofits are required to be corporatized in their means of functioning, there are good reasons, as discussed in this blog post, for nonprofits to follow due diligence and proper management principles. In other words, nonprofits should follow proper management principles.


Need for Management Structures

A non-profit organization is required, first and foremost, to have a board of directors that is responsible for providing high-level oversight and control of the organization. The board members can come from any walk of life, but they all need to have sufficient experience working in the nonprofit or social sector. In addition to this, the members of the nonprofit organizations themselves should serve as executive members on the board.


Internal Financial Controls

Internal financial controls are required for nonprofit organizations, and these controls must include auditing and monitoring of both incoming and outgoing funds. This is necessary from both an internal Process perspective and to satisfy the expectations from the government regarding compliance with all regulatory obligations. Both of these perspectives are necessary for achieving the desired results. For instance, the government of India keeps track of the amount of money donated from other countries to nonprofits, and as a result, nonprofits operating in India are required by law to obtain the necessary authorizations before they can accept donations from other countries.


Accountability and Regulatory Requirements

One more factor to consider when it comes to the management of nonprofit organizations is the requirement that these organizations have individuals who can be held responsible for the activities taken by the nonprofit organizations. When it comes to taking accountability for the choices made by the nonprofit organizations, this indicates that there must be a hierarchy of authority in place. This is especially the case with nonprofit organizations that are active in providing assistance and aid to the disadvantaged, as there is a high likelihood of unintended consequences reverberating back on them and the ramifications include the safety and wellbeing of individuals. Because the bureaucrats in the government want structured responses from the nonprofit organizations and defined patterns of organizational accountability, the government plays an important role in this.


Strategic Planning by Board

The management of nonprofit organizations needs strategic planning, and the process of strategic planning develops the strategies that will allow a nonprofit organization to advance its mission in the most effective manner. In an ideal scenario, when staff and board members participate in the process, they agree to quantifiable goals, approve implementation priorities, and also develop a plan to evaluate the strategy on an ongoing basis as the internal and external surroundings continue to evolve. The first step in the process for many nonprofit organizations is to conduct a "SWOT" study, which stands for "strengths, weaknesses, opportunities, and threats" and identifies the nonprofit's internal opportunities and threats as well as its strengths and weaknesses. It is essential to examine both internal capabilities and external issues, such as the requirements of the society or the future of the economy, for example. In reality, thinking ahead and preparing for the future should be an ongoing process: the nonprofit organization may need to make adjustments to its goals as a result of the impact of numerous events.


Recommendation for Management Board:

Through all of its programming, the organization strives to uplift veterans. Potential board members should have prior experience working with vulnerable groups. This will be especially useful if the group begins to recruit for programs. It would also be good if board members were familiar with agricultural programming or had farming expertise. The combined knowledge of all board members should enable this group to effectively educate and empower veterans to work in agriculture. If a conflict arises on the Board, the Executive Director (Paul Edward Gingras) is the Final Decision Maker, making significant corporate decisions, managing the organization's overall operations and resources, and proposing three strategic objectives to realize benefits. He may seek advice from the Change Manager, Risk Manager, Project Manager, and Program Manager, but he is the final decision maker.

In retrospect, because KMW is still in its early stages of development, a strong governance board can guide the company toward its desired future and has a significant impact on good governance. This can create new opportunities for the company to improve engagement and communication with their stakeholders.



References

- Management Study Guide; Management of Nonprofit Organizations; Retrieved on Oct. 27th, 2022 from https://www.managementstudyguide.com/nonprofit-organizations-management.html


- National Council of Nonprofits; Strategic Planning for Nonprofits; Retrieved on Oct. 27th, 2022 from https://www.councilofnonprofits.org/tools-resources/strategic-planning-nonprofits


- Couillard, E., Tedisco, J., Drude, M., Zappala, C., Hoffman, A., & Adhikari, M. (2022). Veteran-to-Farmer Programs: Evaluation and Recommendations for Practice [Capstone Practicum]. Clark University.

 
 
 

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