Nonprofit Management Overview

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Questions and Answers

What are the two broad categories of nonprofits?

  • Governmental and Non-Governmental Organizations
  • Public Service and Mutual Benefit Organizations (correct)
  • Charitable and Non-Charitable Organizations
  • Private and Public Organizations

Nonprofits are always exempt from state income tax.

False (B)

Social enterprises are always non-profit organizations.

False (B)

Which of the following is NOT a benefit of marketing for nonprofits?

<p>Increased profit for the non-profit organization (C)</p> Signup and view all the answers

What are the four Ps of the marketing mix?

<p>Product, Price, Place, Promotion</p> Signup and view all the answers

The ______ of raising money is a critical issue for nonprofits.

<p>cost</p> Signup and view all the answers

Which of the following is a common characteristic of NGOs?

<p>Often confront language and cultural barriers when working internationally. (A)</p> Signup and view all the answers

Diversity in the workplace for nonprofits is not as important as for for-profit organizations.

<p>False (B)</p> Signup and view all the answers

What is the primary reason for the importance of fundraising for nonprofits?

<p>To achieve financial sustainability. (C)</p> Signup and view all the answers

Earned income is a relatively new concept for nonprofits.

<p>False (B)</p> Signup and view all the answers

Flashcards

Nonprofit Organizations

Organizations operating for the public good, often serving as intermediaries between resources and client needs.

Nonprofit Sectors

Corporations, government, voluntary organizations, households, and community organizations.

Public Accountability

Nonprofits' responsibility to the public because of their service to the public good, history, and funding sources.

Public Service Nonprofits (501c3)

Nonprofits focused on social services, education, research, and civic activities.

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Mutual Benefit Nonprofits

Organizations that serve members, and may often include professional or fraternal groups

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Tax Deductions (Nonprofits)

Tax incentives for charitable contributions and exemptions for some income taxes.

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Tax Expenditures

Government spending indirectly supported by tax breaks offered, and includes charitable contributions and tax exemptions

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Funding Sources for Nonprofits

Government contracts, grants, fundraising, and fee-for-service revenue.

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Social Enterprise

Organization that operates in the market that also has a measurable social impact.

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Social Capital

Networks and relationships between people in a community that help society flourish.

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Strategic Management

Producing fundamental decisions that direct an organization's actions and shape its core.

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Strategic Planning

Developing a detailed process of identifying and responding to strategic issues.

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Mission Statement

A statement of an organization's purpose. It's a guide for everyday actions.

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Stakeholder Analysis

Identifying and understanding stakeholders' needs and expectations.

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External Environmental Assessment

Analyzing trends, opportunities, and threats impacting the organization's services.

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Internal Environmental Assessment

Evaluating the organization's strengths, weaknesses, resources, and strategies.

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Governance

Managing relationships between the organization, board, and stakeholders

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Board of Directors

Group of individuals responsible for governing and overseeing the organization.

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Dutiary Responsibility (Board)

Legal responsibilities of the board related to the organization's mission.

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Fund Raising

Process of seeking donations to support a nonprofit organization

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Earned Income

Revenue generated from providing goods or services

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Marketing Mix

Elements of a market strategy that aim to satisfy customer or clients.

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Product(s) / Program(s)

Services or output of a Nonprofit Organization in response to a need.

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Marketing

A management process for satisfying client/customer needs/wants in an exchange.

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Social Marketing

Using marketing principles to influence behavior for social good.

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Study Notes

Nonprofit Management Lecture Notes

  • Nonprofits are distinct entities, acting as intermediaries between resource donors and clients.
  • Nonprofits vary in scope, size, function, revenue sources, and governance models.
  • Institutional sectors include corporations, government, voluntary organizations, and households/community organizations.
  • Nonprofit management differs due to external focus, public accountability, and the diverse categories of public service and mutual benefit organizations.
  • Tax treatments of nonprofits involve tax expenditures and direct expenditures, offering charitable contributions, tax exemptions, and governing funding.
  • Nonprofit survival relies on funders, innovative fundraising techniques, and diversified revenue streams.
  • Nonprofits often face challenges related to maintaining their tax-exempt status and complying with regulatory guidelines.
  • Social enterprises have specific characteristics: combining social mission with market-based operations.
  • Social enterprises contribute to economic growth.
  • Several influences drive the growth of social enterprises including globalization, human rights, environmental concerns, income inequality and demographic shifts.
  • Strategic management involves a disciplined approach to decision-making that shapes a non-profit's actions and direction.
  • Strategic management is a tool to guide priorities and decision making, and is ongoing to incorporate feedback loops.

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