Abzug, WebbA Stakeholder Perspective Relationships Between Nonprofit and For-Profit Organizations: A Stakeholder Perspective (original) (raw)
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Relationships between nonprofit and for-profit organizations: a stakeholder perspective
Nonprofit and Voluntary Sector Quarterly, 1999
The purpose of this article is to provide a new, more comprehensive stakeholder theory of the relationships between nonprofit, for-profit, and government sectors. This theory combines aspects of neoclassical economics and principal-agency theory to complement the traditional notions that these organizations either compete or exist in a vacuum relative to one another. The article discusses nonprofit organizations that are employee groups (unions and professional associations), shareholders (institutional investors including pension funds and endowments), community and other interest groups, government contractors, competitors, consumers, and suppliers. By viewing these organizations as agents relative to a principal for-profit (or government) organization, it is possible to hypothesize about relationships and behaviors between organizations of different sectors of the economy. This new perspective allows a better understanding of the many relation- ships observed in the nonprofit sector and of a much greater range of nonprofit stakeholders than is currently possible given existing theory.
Building a Policy Fields Framework to Inform Research on Nonprofit Organizations
Nonprofit and Voluntary Sector …, 2009
While the importance of the public policy environment for strategic action of nonprofit organizations has become increasingly clear, research on nonprofits is often divorced from their policy context. The purpose of this paper is to present a theoretically-informed framework for analyzing policy environments that can inform nonprofit research. Drawing on insights from political science, organization theory, public management and nonprofit studies, we propose that the framework reflects a policy field which is an identifiable set of elements in a specific environment that directly shapes local public service provision. These elements include the structures created by institutions that deliver public programs and the ways in which state and local actors interact with and shape these structures as they work on public problems. Through a research example, the paper presents the policy field framework's analytic steps.
Nonprofit and Voluntary Sector Quarterly, 2012
The purpose of this article is to provide a more comprehensive principal–agent theory of nonprofit organizations by combining agency theory with aspects of stakeholder theory, stewardship theory, and empirical literature on the governance and management of nonprofit organizations. First, the use of a stakeholder perspective allows us to identify the principals of a nonprofit organization and to divide nonprofit principal–agent relationships into different categories. Next, we discuss the assumptions and prescriptions of agency theory and stewardship theory and suggest that a complementary use of these theories can contribute to the research of principal–agent relationships. By discussing empirical literature from a stewardship–agency perspective, we are able to address issues of nonprofit accountability. We conclude by giving suggestions for further research and by stressing the importance of a recruitment policy to avoid internal agency problems.
Collaboration between nonprofit and business sectors is widely regarded as a value creation process that benefits society, business, and nonprofit organizations (NPOs). This process, however, has rarely been considered from a nonprofit perspective. In this paper, we discuss a new framework to assist NPOs in developing strategic collaborations with businesses. We argue that, by being strategically proactive rather than reactive to what businesses might offer, NPOs can increase the scale of their cross-sector collaborations and thus enhance their sustainability. Implications for research and practice are discussed. Résumé La collaboration entre le secteur a ` but non lucratif et les entreprises privées est souvent considérée comme un procédé de création de valeur qui bénéficie a ` la société, aux entreprises et aux organismes a ` but non lucratif (OBNL). Cependant, ce procédé a rarement e ´té considéré du point de vue des organismes a ` but non lucratif. Dans cet article, nous proposons un nouveau cadre pour aider les OBNL a ` développer des collaborations stratégiques avec les entreprises. Nous soutenons que, en adoptant une approche de stratégie active plutôt qu'en attendant de réagir aux offres des entreprises, les OBNL peuvent accroıˆtre l'ampleur de leurs collaborations avec le secteur privé et améliorer ainsi leur durabilité. Nous e ´valuons l'impact de nos conclusions sur la recherche et la pratique. Zusammenfassung Die Zusammenarbeit zwischen dem Nonprofit-und dem Wirtschaftssektor wird weitestgehend als ein Wertschöpfungsverfahren angesehen,
Stakeholder rights and economic performance: The profitability of nonprofits
2013
This paper explores whether ownership matters in a fundamental sense by comparing the performance of stockholder-owned firms with the much less analyzed nonprofit firms. No stakeholder has residual cash flow rights in nonprofit firms, and the control rights are held by customers, employees, and community citizens. Accounting for differences in size and risk and comparing only firms in the same industry, we find that stockholder-owned firms do not outperform nonprofit firms. This result is consistent with the notion that the monitoring function of stockholders may be successfully replaced by other mechanisms. We find evidence that product market competition may play this role as a substitute monitoring mechanism.
Government-nonprofit relations in comparative perspective: evolution, themes and new directions
Public Administration and Development, 2002
This overview article for the Symposium on Government-Nonprofit Relations in Comparative Perspective summarizes our current understanding of government-nonprofit relations, addresses several themes emerging from the collective papers and Symposium discussions, and discusses new and evolving trends in government-nonprofit relations. The review of government-nonprofit relations encompasses governance models and their incorporation of nonprofits, sector failures and their contribution to government-nonprofit relationships, and cross-sectoral analytic frameworks. Themes addressed include the material and normative benefits sought through nonprofits; various features of government-nonprofit interactions, including their increasing range and multiple facets, the impact of origins, relationship dynamism, and impacts; and what is public and what is private. The article concludes with the identification of selected new and evolving trends, including the influence of information technology on organizational structures and processes, the rise of supranational spheres of government-nonprofit interaction, the continuing tension between cooperation and identity maintenance, and simultaneous global lesson sharing and an emphasis on local-level problem-solving, where nonprofits are viewed as a means to maintaining continuity and redefining community. The article situates our understanding of government-nonprofit relations in a comparative perspective that accounts for dominant global paradigms, increasing interdependence among actors and nations, and evolving models of governance at all levels.
Nonprofit Organizations and Public Sector
Science For All Publications, 2023
The dynamic interplay between nonprofit organizations and the public sector constitutes a quintessential facet of contemporary social governance. Rooted in the ethos of altruism and collective welfare, this symbiotic relationship engenders an intricate tapestry of collaboration and coordination. The ensuing discourse endeavors to expound upon the nuanced nature of the alliance between nonprofit organizations and the public sector. Through an academic exploration of their respective roles, mutual benefits, and challenges, this deliberation seeks to illuminate the imperative of their harmonious coexistence in fostering societal progress and advancing the common good.