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Nonprofit Organizations

Decent Essays

Nonprofit organizations are a vast and diverse community that encompass many different entities and organizations. Nonprofit organizations are defined as associations with a legal status which is nonprofit (making); are financially independent of government; and are actively engaged in the political, social and economic transformation of society; with an aim to mobilize people for self and national development beyond mere basic needs (Wadongo, 2014, p. 17). The two main roles of nonprofit organizations are to attract resources and allocate these resources to various beneficiaries. However, protection from market rigidity, with no bottom line of stock market price to measure performance or exposure to public elections, leads to greater …show more content…

19). Thusly, when an effective performance management system is implemented, the system supports continuous performance improvement and decision making. There are many different performance management system models and programs available for nonprofits, but just as is the case with each nonprofit organization, all of these programs are very different and not one model or program meets the needs of all organizations. Although this is the case, the ultimate goal for all performance management systems is to effectively drive and monitor performance and improve organizational effectiveness (Schoshinski, 2013, p. …show more content…

7). The team-based performance management model, when implemented, provides a process of collective assessment with a team to make data driven decisions (Strengthening Nonprofits, n.d., p. 9). There are ten essential steps for the successful implementation for team-based performance management: prepare for change; identify goals and strategies; clarify and create accountability; obtain analytical support; identify and collect the necessary data; analyze and interpret the data; implement team based date reviews; and reflect and refine (Strengthening Nonprofits, n.d., pp.

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