Week 9 Non profits & public sector strategy

Question 1

Define Non government organisations and list different types

RTP DAG

Answer 1

Non profit, voluntary organisations involved in the development sectors, including education, public policy and advocacy activities.

1. Relief agencies
2. Technical organisations
3. Public service contractors
4. Development agencies
5. Advocacy groups and networks
6. Grassroots development organisations

Question 2

How and why did NGO’s develop?

Answer 2

State and market failure

Voluntary failure - Weak volutarism invites NGO’s

Outcome of Social development –NGO’s go from charity / relief org to instrument of political development

Conduit for donor and aid funds – expertise and positioning makes them a perfect contact point

Question 3

• What is the role of NGOs in supporting development

GCS

Answer 3

Advocates assisting gov. Aspects:

• Grass roots
• Cost effective
• Social committment

Question 4

What are microfinance instituations, what is their role?

Answer 4

Uncollateralised financial products to generate employment and income

Role - reduce poverty through credit serivces:
• Financial services – loans, savings insurance etc
• Non financial services – health, education, literacy
• Business training and development services

Question 5

How are MFI’s different from traditional financiers

Answer 5

Transactions in the field
More and smaller transactions
Credit delivery managment techniquest vary

Question 6

Define social capital

Answer 6

Trust and reciprocity that bind family, groups and communities

Question 7

What is the relationship between social capital, NGO’s and MFI’s

Answer 7

NGO’s deliver financial and advocacy supported by social capital. MFI’s deliver financial products that build social capital.

Question 8

NFP’s include private non profit corporataions (eg hospitals) and public gov agencies (eg prisons) Why is the NFP sector important?

Answer 8

1 in 20 jobs

NFP’s supply public / collective goods

NFP’s qualify for benefits from society

Question 9

• What are the sources of not-for-profit revenue? What are the patterns of influence on NFP stragegic decision making

Answer 9

Mix of funding from sponsors & recipients.

pattern of influence decision making derives from its sources of revenue. •

Question 10

List any constraints on NFP strategic mment

MR CSI

Answer 10

1. Measuring outputs
2. Reliance on professions undermines allegiance
3. Client influence often weak
4. Sponsors influence over good management
5. Incentives ineffective

Question 11

How do these constraints impact on strategy formulation and implementation?

GRPP

Answer 11

The constraints affect the long rang planning and decision making

• Goal conflicts
• Resource focus
• Political manoeuvring
• Professional rigidity

Question 12

How do these constraints impact on evaluation and control?

Answer 12

Measurement difficulties encourage wasted resources:

Question 13

• Can you describe the following strategies?

SMS

Answer 13

o Strategic piggybacking – development of a new activity to subsidise costs
o Mergers – merging to reduce costs
o Strategic alliances – cooperative ties to enhance capabilities