Analysis of NPO Financial Management Issue Name Institution Introduction Nonprofit Organizations (NGOs) are hardly judged primarily by their financial bottom line; rather their importance is gauged and determined by the effectiveness of their programs and how they realize their mission. According to Tschirhart & Bielefeld (2012) recent efforts by NGOs to improve the quality of their services have depended on a number of programming aspects for example the application of best practices tracking outcomes and elevating professional development among others. The organizations' capacity building has also been ignored. Yet for most NGOs the ability to run successful programs as well as provide for nonprofit organizations as it makes them unreliable ineffective and stagnant in their mission. Again failure to adequately address this issue of insufficient funding makes these organizations vulnerable. Additionally various practices for addressing this issue include investing in nonprofit's primary administrative infrastructure software technical and training assistance and managerial and staff time as well as reducing financial and administrative burdens. References Agard K. A. (2011). Leadership in nonprofit organizations: A reference handbook. Los Angeles: Sage. Lauren J. K. & Nancy B. (2012). Building Stronger Nonprofits through Better Financial Management Executive Summary. Public/Private Ventures. Tschirhart M. & Bielefeld W. (2012). Managing nonprofit organizations. Hoboken N.J: Jossey-Bass. [...]
Focus on one of the significant financial management issues facing nonprofit organizations today that are identified below. Students will demonstrate that they can apply the principles discussed in the reading to date in explaining why this issue occurs and what can be done to address it. Students must include at least one specific example of an NPO that has been impacted by this issue. This example can be an NPO that the student personally knows or one that is discovered through research. Essays must demonstrate that students have read, understood, and can apply the material in our reading assignments. To do this, they must include at least two references to the assigned reading material and at least one reference to outside reading identified by the student. Select one of the following issues: Issue: Obtaining sufficient funds to run programs can be a challenge for NPOs because revenue from donations, government grants, and foundation grants can vary from year to year. Issue: NPOs need to spend funds on overhead expenses (e.g., technology, rent, management staff) in addition to their core programs. However, donors do not always want to provide funds for this purpose, preferring to provide funds for ongoing programs. Issue: A strong Board of Directors can help an NPO effectively manage funds and avoid financial risk, but not all boards have people with the knowledge, skills, and understanding needed to perform this role effectively. This is a research assignment. Be sure to consider how our reading has helped you to understand whichever issue you select. Also include at least one reference to a source that you identify yourself. Do not forget the requirement to provide information on at least one example of an NPO that has encountered this issue. Essay Content Make sure that your essay provides an effective introduction and conclusion. There is no need to include an abstract. You should be sure to discuss the following: Why this issue is important to this NPO and other NPOs The reasons why this type of issue may occur What can happen if this issue is not properly addressed The best practices that can be used by an NPO to address the issue Assignment Criteria The assignment should be presented in a professional style. It should be approximately 500-600 words long. It should be presented in Times New Roman font size 12. It should be double spaced. The internal citations to sources should follow APA style, and a References page should be included at the end. You must include a minimum of two citations to the course reading material and at least one citation to an external source.