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Chapter 1: Nonprofit Management as a Profession and a Field of Study

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1 Chapter 1: Nonprofit Management as a Profession and a Field of Study

2 A Revolution in Management
No longer “business as usual” Increased competition and service demand Decreased donations Changed focus by foundations Federal funding reduced or eliminated Increased demands for accountability Refer to Objective 1 Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

3 A Revolution in Management (cont’d.)
Letts, Ryan, and Gross “Virtuous Capital: What Foundations Can Learn From Venture Capitalists” (1997) Short-term grants not meeting needs Recommend a venture capitalist approach Refer to Objectives 3 and 4 Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

4 A Revolution in Management (cont’d.)
Bill Shore The Cathedral Within (1999) Criticizes traditional philanthropy approach of funding programs rather than capacity Refer to Objectives 3 and 4 Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

5 A Distinct Profession Robert D. Herman
Nonprofit management requires ability to Integrate mission Acquire resources Develop strategy Manage a double bottom line Social and financial Refer to Objectives 1 & 4 Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

6 A Distinct Profession (cont’d.)
Helmut K. Anheier Unclear flow of authority Complex stakeholder relationships Flexible management Objectives 1 & 4 Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

7 Nonprofit Management as a Field of Study
Management recognized as an independent field of study during the late 19th century Henry R. Towne paper (1886) Wharton School (1898) First doctoral dissertation (1915) Early focus on business organizations Refer to Objectives 1, 2 & 3 Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

8 Nonprofit Management as a Field of Study (cont’d.)
Early 1900s 1911 YMCA offers first nonprofit studies 1935 YMCA publishes first nonprofit textbook 1960s First Master of Public Administration Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

9 Nonprofit Management as a Field of Study (cont’d.)
Network of Schools of Public Policy, Affairs, and Administration founded (NASPAA) Commission on Private Philanthropy and Public Needs Yale Program on Nonprofit Organizations founded Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

10 Nonprofit Management as a Field of Study (cont’d.)
Establishment of research centers and programs Case Western Reserve University’s Mandel Center for Nonprofit Organizations Indiana University Center on Philanthropy Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

11 Nonprofit Management as a Field of Study (cont’d.)
Nonprofit management boom Academic literature focus grows College courses in nonprofit management Harvard Business Review publishes articles New textbooks and journals Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

12 Nonprofit Management as a Field of Study (cont’d.)
NASPPA Guidelines for Graduate Professional Education in Nonprofit Organizations, Management, and Leadership Nonprofit Academic Centers Council Curricular Guidelines for Graduate Study in Philanthropy, the Nonprofit Sector, and Nonprofit Leadership Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

13 Nonprofit Management as a Field of Study (cont’d.)
Early theorists did not distinguish between business, public, and nonprofit sectors 1960s: Recognition of differences between business and public management 1970s: Recognition of differences unique to nonprofit management Refer to Objectives 1, 2 & 3 Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

14 Nonprofit Management as a Field of Study (cont’d.)
1980s: Government outsourcing to nonprofit sector 1990s: Significant attention by scholars Academic Literature Social scientists study nonprofit organizations Business sector behavioral, organizational, and management theories Practitioners and consultants Refer to Objective 3 Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

15 Nonprofit Management as a Field of Study (cont’d.)
Teaching of Nonprofit Management Schools of business or management Schools of public administration/public policy Other academic professions Government and business collaborations Refer to Objective 3 Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

16 Toward a Blended Approach
Purpose of nonprofit organizations Social institutions Responsible for preserving social values Emphasizing process Social enterprises Responsible for achieving a defined mission Emphasizing results Refer to Objective 4 Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.

17 Proceeding with Realism and Pride
“Nonprofit managers  enjoy unique rewards, including the satisfaction of knowing that they are working to advance those aspects of human life that many consider to be the most important—the arts, education, the preservation of culture, the alleviation of poverty, and the development of young people.” -Michael J. Worth Worth, Nonprofit Management Principles and Practice 4th Edition. SAGE Publications, 2017.


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