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Nonprofit management > CH 4,5,7 > Flashcards

CH 4,5,7 Flashcards

1
Q

Types of governing boards

A

Elected governing boards: elected by members of the organisation (mostly member serving). + represents the organisation well and ensures it has the same view as members - people might have been chosen due to its popularity and hard to keep long-term focus.
Self-perpetuating governing boards: elected by board members. Most charitable nonprofits have this. + people are chosen for their skills, not popularity, which increases stability - risk with being too stable is not being able to adapt to change and becoming lax with checking member behavior.
Appointed and hybrid boards: have some appointed, some elected and some self-perpetuated members. + responsive of elected boards and stable - different interests and loyalties.
Advisory boards: has experts or previous clients that give advice. + expert advice - unclear roles

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2
Q

Board responsibilities

A

Duty of care: monitor organisations finance and actions of its management (and be present at meetings)
Duty of loyalty: put interest of organisation above your own interests. Insider of board can not unreasonable benefit from the organisations fund (private inurement)
Duty of obedience: board ensures that organisations aligns with the law and actions align with the mission

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3
Q

Intermediate sanctions

A

financial penalties to punish individuals who engage improper transactions.

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4
Q

Sarbanes-Oxley act

A

due to previous scandals, new requirements on governance persists. New rules on destruction of documents and protection of whistleblowers.

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5
Q

Form 990

A

NGO’s that make at least $50.000 annually need to have financial and governmental report

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6
Q

Boards have to maintain policies in four areas

A
  1. Ends to be achieved: NGO’s mission
  2. Means to the ends: what the CEO might not to do reach the ends to be achieved
  3. Board-staff relationship: clear responsibilites for board and CEO
  4. Process of governance: shows boards role, who it represents and defining job process
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7
Q

three modes of governance in which the board may operate

A
  1. the fiduciary mode: addressing its legal responsibilites
  2. the strategic mode: create a true strategic partnership with management addressing long term goals
  3. the generative mode: out of the box thinking
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8
Q

Social constructionist model

A

official goals only exist on paper. Actual goals can emerge and change according to ongoing events.

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9
Q

board centered leadership (6)

A

CEO takes responsibility for supporting boards work with 6 behaviors:

  1. facilitating interaction in board relationship
  2. showing consideration and respect towards board members
  3. envisioning change and innovation for the organisation with the board
  4. providing useful and helpful information to the board
  5. initiating and maintaining structure for the board
  6. promoting board accomplishment and productivity
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10
Q

12 principles that power exceptional boards

A
  1. constructive partnership with CEO
  2. mission driven
  3. strategic thinking
  4. culture inquiry, mutual respect
  5. independent mindness, put interest of organisation above all
  6. ethos of transparency
  7. compliance with integrity, strong ethical values
  8. sustaining resources
  9. result oriented
  10. intentional board practices to fulfil essential governance duties
  11. continuous learning by evaluating own process
  12. revitaliazation energize through planned turnover
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11
Q

Difference management and leadership

A

Management: concerned with day to day operations. Manager gives rewards in exchange for contributions.
Leadership: about purpose, vision and direction. Leadership is an interactive relation between leader and those who he leads.

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12
Q

Trait theories

A

explain leadership in terms of characteristics

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13
Q

Skills theories

A

Not the quality of a leader (like intelligence) but a specific skill they have

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14
Q

four management styles

A

authority obedience management: high on production, low on relationships
country club management; high on relationship, low on production
improverished management: low on production, low on relationship
team management: high production, high relationship

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15
Q

leadership theories

A
  1. situational theories: different types of leadership is needed
  2. contingency theories: matching right leader per situation
  3. servant leadership: leadership starts with commitment
  4. path goal leadership theory: focuses on motivation of employees and efforts to enhance performace
  5. leader member exchange theory: emphasizes interactions between leader and followers
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16
Q

transactional vs transformational leadership

A 
transactional = leader exchanges punishment or reward for behavior
transformational = leader changes people
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17
Q

The responsibilities of CEO

A
  1. commit to mission
  2. lead the staff and management
  3. exercise responsible financial stewardship
  4. lead and manage fundraising
  5. follow the highest ethical standards
  6. engage the board in planning and implementation
  7. develop future leadership
  8. build external relationships
  9. ensure the quality and effectiveness of programs
  10. support the board
18
Q

Life cycle theories

A

idea that organizations leadership might change over time. Describes evolving stages. Start with founder and charisma and grow to professionalism.

19
Q

Executive transitions

A

Boards have a need for transition planning: documenting things that can help prep the future CEO

20
Q

NGO’s have a dual focus

A
  1. Achieving the organisation’s mission

2. ensuring the organisation is viable

21
Q

Essential aspect of organisational viability

A
  1. Public trust

2. Accountability

22
Q

Kotter’s steps to great leadership

A
  1. Establish a sense of urgency
  2. Create a guiding coalition
  3. Develop a vision and strategy
  4. Communicate the change and vision
  5. Empower broad-based action
  6. Generate short-term wins
  7. Consolidate gains and produce more change
  8. Anchor new approached in the culture
23
Q

three approaches to formulation strategy for organisation

A
  1. visioning approaches: focuses on leader’s vision and see what strategy is needed to achieve this. Risk: rely on leader
  2. Developing strategy: strategy evolves out of experience of the organisation, on decision and time. Risk: flexible but not strategic
  3. Analytical approach: use logic and in-depth analysis to find a strategic fit between organisation and environment
24
Q

Strategic planning good because it is:

A
  1. essential to mission
  2. responsive to environment
  3. identifying priorities
25
Q

Long-rage planning

A

estimating what will happen in the future based on assumptions

26
Q

Operational planning

A

discusses what actions are needed to be undertaken for the strategic plan

27
Q

Planning to plan:

A

plan for planning, what process will be used, who participates, what information is needed to inform the planning

28
Q

Mandates

A

functions that the organization is required to do by charter or law.

29
Q

Mission statements

A

say what the organisation does and how it does it

30
Q

Vision statement

A

; description of ideal future, internal vision statement; future of the organization. External vision statement; ideal world. Values: guiding principles, fundamental assumptions.

31
Q

Assessing the situation

A

Collect information from inside and outside organization due to open system.SWOT analysis is used for external

32
Q

distinctive competency

A

what the organization does well that others would find difficult to do

33
Q

Identifying strategic issues

A

critical challenges facing the organizations mandates, mission and values etc

34
Q

Four strategic issues

A
  1. issues that go into the heart of the organization,
  2. issues that require no organization action and present but must be monitored
  3. issues on the horizon that are likely to require action in the future
  4. issues that require immediate action.
35
Q

Three types of strategic goals within organisation

A
  1. those that address the program thrusts, 2. those addressed to institutional concerns
  2. and financial goals
36
Q

3 levels of strategies

A
  1. organizational strategies
  2. programmatic stratigies
  3. operational strategies.
37
Q

Portfolio analysis looks at 3 criteria

A
  1. competitive position regarding the program
  2. attractiveness of prorgam
  3. competitive position on the market
38
Q

Limitations of strategic planning

A
  • takes a lot of time and effort

- focuses on now, not involving environmental change

39
Q

Capacity building

A

is to develop, sustain and improve the delivery of a mission

Elements are:

(1) organizations mission, vision and strategy,
(2) its governance and leadership,
(3) its ability to deliver programs and ensure the impact on its programs,
(4) its strategic relationship,
(5) and its internal systems and management.

40
Q

Three types of capacity an organization may possess

A
  1. program delivery capacity
  2. program expansion capacity
  3. adoptive capacity
41
Q

Life stages of NGO

A

Step 1: imagine and inspire –> idea or dream
Step 2: found and frame –> organisation is created
Step 3: ground and grow –> organisation is building its foundation and growing, rapid growth might be challenging
step 4: produce and sustain –> organisation is stable. Risk of becoming stale
step 5: review and renew –> organisation revisits its mission and undertakes change. Major change may take it back to stage 2, minor changes to stage 4.

Nonprofit management (2 decks)

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