preview

Case Study: St. Jude's Ranch For Children

Decent Essays

Ensuring Strong Financial Leadership Nonprofit organizations usually come about to help a social problem within its community or nationally. Just like any business there is a need for something and someone comes up with an idea to fulfill that need. If you look at the organization St. Jude’s Ranch for Children, it was started in 1966 by Episcopalian priest Jack Adam (St Jude’s Ranch, 2016). He did not have a background in formal business or finance but he did see the need to help young boys who were orphaned and needed a place to live. Then, in 1970 Father Herbert Ward took the helm becoming the organizations Executive Director until 2000 (St Jude’s Ranch, 2016). During this time St. Jude’s Ranch for Children became one of Southern Nevada’s …show more content…

Schafer and Bell (2005) discuss some of the things a Chief Executive Officer must do in order to provide strong financial leadership. One thing a Chief Executive Officer must do is hire a financial staff that is knowledgeable about not only basic finance practices but those that are specific to nonprofit needs such as the ins and outs of restricted and non-restricted funds and the use of the Statement of Accounting Standard 117. The CEO must also hire an appropriate amount of staff to make sure everything is being done in the most efficient manner and allow for accountability. Schafer and Bell (2005) also talked about following a standardized set of financial practices that help keep the organization in line with everyone else so if new staff do come in they are able to come into a system that they are more than likely familiar with. The other thing that Schafer and Bell (2005) talk about is having a uniform accounting system. To do this an organization must have a chart of accounts which helps keep track of all financials and makes it easy for non-finance staff to interact with. Most of all, whether an organization’s CEO has a finance background or not it is their responsibility to develop that skill so they are able to successfully navigate that aspect of their organization and have a strong financial presence so they are able to lead in that

Get Access