Can Nonprofit Capacity Be Measured

TL;DR: In this paper, the authors synthesize the literature on organizational capacity in an effort to improve our understanding of the relationship between capacity and various measures of nonprofit effectiveness, such as organizational effectiveness.

Abstract: ABSTRACT Nonprofit organizations provide services that address the complex needs of diverse populations within a multitude of financial and resource constraints. Necessity requires these organizations to apply for financial support from a variety of stakeholders and engage in evaluation processes that are often driven by funder priorities. Therefore, understanding nonprofit staff perceptions of the influence of funder-mandated metrics upon service is critical. This study utilized qualitative interviews to examine the perceptions of administrators and staff members within nonprofit organizations related to the influence of funder-mandated performance metrics on service provision. Findings suggest that funder-mandated metrics influenced the definitions of client success, client-provider relationships, client motivation, and how services are provided. Social justice questions are raised regarding the impact that culture, privilege, and ideology can have on service delivery and client experiences which highlight directions for future research and practice implications. PRACTICE POINTS Nonprofit organizations are influenced by multiple funders who impose evaluation mandates that can influence the definitions of client success, client-provider relationships, client motivation, and service delivery. Funder-mandated evaluation metrics influencing client experiences raise social justice concerns regarding the inadvertent perpetuation of oppressive practices in nonprofit organizations. In conjunction with their funders, nonprofit organizations should consider examining their current evaluation methods and approaches, looking critically at the assumptions imposed by privileged cultural norms.

TL;DR: Capacity-building factors significantly and positively influence CSO governance. Financial management and creative engagement of staff in decision-making are key contributors to improved governance.

TL;DR: This study examines organizational capacity of 292 rural nonprofits in persistently poor Southern US counties, finding moderate to high scores in financial management, strategic planning, and collaboration, but challenges in evaluation, succession planning, and fundraising.

TL;DR: The book aims to provide the skills necessary to begin to use SEM in research and to interpret and critique the use of method by others.

TL;DR: In this paper, the authors provide guidance for substantive researchers on the use of structural equation modeling in practice for theory testing and development, and present a comprehensive, two-step modeling approach that employs a series of nested models and sequential chi-square difference tests.

TL;DR: In this article, the authors present a detailed, worked-through example drawn from psychology, management, and sociology studies illustrate the procedures, pitfalls, and extensions of CFA methodology.

TL;DR: In this article, the authors review agency theory, its contributions to organization theory, and the extant empirical work and develop testable propositions and conclude that agency theory offers unique insight into information systems, outcome uncertainty, incentives, and risk.