Nonprofit Organizations in the Knowledge Based Economy – Organizational Development and Professionalization

Authors

  • Katalin Dobrai Faculty of Business and Management, University of Pecs, Hungary
  • Ferenc Farkaš Faculty of Business and Management, University of Pecs, Hungary

Keywords:

nonprofit organizations, learning, professionalization, knowledge, development

Abstract

International research results underpin that turbulent, continuously changing environment makes everyday operations for nonprofit (nongovernmental, voluntary) sector organizations harder. It also can be observed that in this situation, nonprofit organizations acquire knowledge from business sector organizations which enables them to improve their structures and processes. They implement methods of the business sector as means of ensuring long term existence, better performance and sustainable success. In recent years, this process has generated new dilemmas for those who are concerned with the future of this sector: if and how the strengthening focus on knowledge processes such as learning and development of individuals working for nonprofit organizations impact organizational knowledge and organizational development and, how important professionalization is for them.
The goal of this paper is, to give an overview of special issues of learning and growing professionalization of non profit organizations, and to contribute to the research of these processes. Empirical evidence is provided on the base of a large sample survey that involves approximately 1.000 Hungarian foundations or associations. With the help of the research findings the paper shall expand our general knowledge about professionalization trends in the sector, and also provide deeper insight in details of the relationship between participation in organizational development programs and becoming more professional in everyday operations and services.

Creative Commons License
This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

References

Al-Tabbaa, O., Leach, D., March, J. (2014), “Collaboration between Nonprofit and Business Sectors: A Framework to Guide Strategy Development for Nonprofit Organizations”, Voluntas, Vol. 25 No. 3, pp. 657-678.

Arsenault, P. M. (2004), „Leadership Assessment and Development”, in: Riggio, R. E., Smith Orr, S. (eds.), Improving Leadership Nonprofit in Nonprofit Organizations, Jossey-Bass, San Francisco, pp. 252-266.

Billis, D. (2010), “From welfare bureaucracies to welfare hybrids”,in Billis, D. (ed.), Hybrid Organizations and the Third Sector: Challenges for Practice, Theory and Policy, Palgrave Macmillan, London, pp. 3-24.

Callanan, L., Gardner, N., Mendonca, L., Scott, D. (2014),“What social-sector leaders need to succeed”, Insights Publications, November, 1-10, available at: http://www.mckinsey.com/insights/social_sector/what_social_sector_leaders_need_to_succeed (accessed November 14th 2014).

Chen, B., Graddy, E.A. (2010), “The Effectiveness of Nonprofit Lead-Organization Networks for Social Service Delivery”, Nonprofit Management and Leadership, Vol. 20 No. 4, pp. 405-422.

Cousins, J.B., Goh, S.C., Elliott, C., Aubry, T., Gilbert, N. (2014), “Government and voluntary sector differences in organizational capacity to do and use evaluation”, Evaluation and Program Planning, Vol. 44, pp. 1-13.

Cummings, T.G., Worley, C.G. (2008), “Organization Development & Change”, South-Western Cengage Learning, Mason, USA.

Davie, G. (2011), “Social Entrepreneurship: A Call for Collective Action”, OD Practitioner, Vol. 43 No. 1, pp. 17-23.

De Vita, C. J., Fleming, C. (eds.) (2001), “Building Capacity in Nonprofit Organizations”, The Urban Institute, Washington D.C.

Dill, A.P. (2014), “Health Care and Disability NGOs in Croatia: State Relations, Privatization, and Professionalism in an Emerging Field”, Voluntas, Vol. 25 No. 5, pp. 1192-1213.

Dobrai, K., Farkas F. (2013), “Organizational Development: A Tool for Nonprofit Organizations to Become Professional”, International Journal of Management, Knowledge and Learning, Vol. 2 No. 1, pp. 45–64.

Dowling, M., Edwards, J., Washington, M. (2014), “Understanding the concept of professionalisation in sport management research”, Sport Management Review, 17, pp. 520-529.

Ebrahim, A., Battilana, J., Mair, J. (2014), “The governance of social enterprises: Mission drift and accountability challenges in hybrid organizations”, Research in Organizational Behavior, Vol. 34, pp. 81-100.

Epperly, B., Lee, T. (2015), “Corruption and NGO Sustainability: A Panel Study of Post-communist States”, Voluntas, Vol. 26 No. 1, pp. 171-197.

Epstein, M.J., McFarlan, F.W. (2011), „Nonprofit vs. For-Profit Boards. Critical Differences”, Strategic Finance, pp. 28-35.

Farkas, F. (1995), “A modern menedzsment elemei a nonprofit szektor szervezeteiben” (Elements of Modern Management in the Organizations of the Nonprofit Sector), Nonprofit Kutatóközpont Egyesület, Pécs-Budapest.

Green, A., Hauser, J. (2012), “Managing to Change the World. The Nonprofit Manager’s Guide to Getting Results”, Jossey-Bass, San Francisco.

Jäger, U.P., Schröer, A. (2014), “Integrated Organizational Identity: A Definition of Hybrid Organizations and a Research Agenda”, Voluntas, Vol. 25 No. 5, pp. 1281-1306.

Korolczuk, E. (2014), “Promoting Civil Society in Contemporary Poland: Gendered Results of Institutional Changes”, Voluntas, Vol. 25 No. 4, pp. 949-967.

Kreutzer, K. (2009), “Nonprofit Governance during Organizational Transition in Voluntary Associations”, Nonprofit Management and Leadership, Vol. 20 No. 1, pp. 117-133.

Mannsky, A., Siebart, P. (2010), “Trends der Professionalisierung in Nonprofit-Organisationen”, PWC, Frankfurt am Main, available at: https://www.pwc.de/de_DE/de/offentliche-unternehmen/assets/Trends_der_Professionalisierung_in_Nonprofit-Organisationen.pdf (accessed October 17th 2014)

McKinsey & Company (2001), “Effective Capacity Building in Nonprofit Organizations, prepared for Venture Philantrophy Partners”, http://research.urban.org/UploadedPDF/building_capacity.PDF (accessed September 20th 2013)

Millesen, J.L., Carman, J.G., Bies, A.L. (2010), “Why Engage? Understanding the Incentive to Build Nonprofit Capacity”, Nonprofit Management and Leadership, Vol. 21 No. 1, pp. 5-20.

Neff, D.J., Randal C. (2011), “The Future of Nonprofits: Innovate and Thrive in the Digital Age”, John Wiley & Sons, Inc., Hoboken, New Jersey.

Salamon, L.M. (ed.) (2012), “The State of Nonprofit America”, Brookings Institution Press, Washington D.C.

Salamon, L.M., Anheier, H.K. (1992), “In Search of the Nonprofit Sector II: The Problem of Classification”, The Johns Hopkins University Institute for Policy Studies, Baltimore.

Statisztikai Tükör (Statistical Mirror) (2014), “A nonprofit szektor legfontosabb jellemzői, 2013” (“The most important characteristics of the nonprofit sector, 2013”), Statisztikai Tükör (Statistical Mirror), No. 142, December, 19, Központi Statisztikai Hivatal. (Central Statistical Bureau of Hungary), pp. 1-4.

Strečansky, B., Stoláriková, K. (2012), “Social Economy and Social Enterprises in Slovakia”, Civil Szemle, Vol 9 No. 4, pp. 87-100.

Tschirhart, M., Bielefeld, W. (2012), “Managing Nonprofit Organizations”, John Wiley & Sons, Inc., Hoboken, New Jersey.

Wellens, L., Jegers, M. (2013), „Effective governance in nonprofit organizations. A literature based multiple stakeholder approach”, European Management Journal, pp. 1-21.

Downloads

Published

2015-10-31

How to Cite

Dobrai, K., & Farkaš, F. (2015). Nonprofit Organizations in the Knowledge Based Economy – Organizational Development and Professionalization. ENTRENOVA - ENTerprise REsearch InNOVAtion, 1(1), 256–263. Retrieved from https://hrcak.srce.hr/ojs/index.php/entrenova/article/view/14412

Issue

Section

Industrial Organization