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A

Project Report
On

“Analysis of Non-Profit Organization in creating Social Change”

Submitted to
Maratha Mandir’s
Babasaheb Gawde Institute of Management Studies
Mumbai Central

Submitted by

PRANAY PRADEEP KADAM

Roll no. 17

Under the Guidance of


Mr. Aakash Rebello

SOCIAL PROJECT
Batch: 2021-23

Master of Management Studies (MMS)


University of Mumbai
DECLARATION

I Pranay pradeep kadam & Roll no 17 Semester IV student of Master of Management


Studies, of Maratha Mandir’s Babasaheb Gawde Institute of Management Studies, hereby
declare that I have successfully completed social project on Analysis of Non-Profit
Organization in creating Social Change” The information incorporated in this project is true
and original to the best of my knowledge.

Date: _________________ Signature: _________________


MARATHA MANDIR’S

Babasaheb Gawde Institute of Management Studies

Mumbai Central

CERTIFICATE

This is to certify that Pranay pradeep kadam & Roll no 17, Semester IV has successfully
completed the social project work under my supervision. The information incorporated in this
project is true and original to the best of my knowledge.

Mr. Aakash Rebello


Name of Faculty Guide
Signature
Date: _________________
MARATHA MANDIR’S

Babasaheb Gawde Institute of Management Studies

Mumbai Central

CERTIFICATE FROM THE INSTITUTE

This is to certify Pranay pradeep kadam & Roll no 17, Semester IV is a Bonafide student of
this Institute. As a part of academic fulfillment of Master of Management studies (M.M.S)
examination, the student has completed social project on Analysis of Non-Profit Organization
in creating Social Change.

Prof. (Dr.) Vidya Hattangadi


(Director)
Institute stamp
ACKNOWLEDGMENT

I would like to acknowledge the following as being idealistic channels


and freshdimensions in the completion of this project.

I would like to thank you my Director Dr. Vidya Hattangadi for providing the
necessary facilities required for completion if this project.

I would also like to express my sincere gratitude towards my project guide Mr.
Aakash Rebello whose guidance and care made the project successful.

Lastly, I would like to thank each and every person who directly or indirectly
helpedme in the completion of the project.
INDEX

SR NO TITLE PAGE NO

1. INTRODUCTION TO THE TOPIC 1

2. LITERATURE REVIEW 7

3. THEORETICAL FRAMEWORK 11

4. METHODOLOGY 20

5. CONCLUSION 32

6. RECOMMENDATIONS 33

7. REFERENCE LIST 35

8. APPENDICES 36
Chapter: 01
Introduction to the Topic

The nonprofit sector exists to serve an important role by filling a gap between
the private and government sectors.This work is typically considered
charitable in nature, being primarily mission focused with little consideration
for fiscal sustainability. Many Americans rely on nonprofits for basic services,
medical care, and higher education as well as functions of civilized society and
basic human protections.
In recent years, nonprofits have embarked on a new mission – seeking
sustainability . It is no longer “taboo” for nonprofit leaders to talk about
marketing or seeking profits to sustain or expand their mission. The
terminology is not uniform; these organizations are called social enterprises or
social ventures, yet these words have different meanings for different
stakeholder groups . While nonprofits are moving toward a more
entrepreneurial future, the private business sector is moving toward a more
civic-oriented existence . The organizations that engage in the blurring of
conventional sector boundaries are joining a loose amalgamation dubbed the
“fourth sector” .
Organizations with a primary social benefit are typically nonprofit. This
structural definition stretches back to the genesis of the legal definitions in the
1970’s, yet nonprofits were first mentioned in statute in the 1880’s Social
enterprises are entities that blend a social benefit with business principles such
as a profit motive – even if the profit is used to expand the scope or depth of
the social mission. Hospitals and universities have operated under this model
for decades. For traditional nonprofits, the notion of moving into a new sector
is relatively new territory. While many consider the profit generated by these
nonprofit hospitals and universities acceptable, the same consideration is not
extended to other nonprofits that wish to sustain and scale their social mission
with earned revenue.
Organizations that grow the portion of their revenue from earned sources such
as sales, services, and fees are met with skepticism if only for fear the source

1
of revenue will harm the integrity of the nonprofit sector. As Child (2010)
suggested,
The assertion that nonprofits have become more reliant on commercial
revenues has become a point of great interest both inside and outside of the
scholarly community because of what the trend means for the future of civil
society. Some, for example, worry that attention to market forces, signified by
changing reliance on earned income, will alter one of the defining
characteristics of nonprofit organizations – namely, that they operate largely
outside of the for-profit marketplace and are therefore not subjected to market
pressures in the same way that businesses are .
There are three currently accepted elements or “sectors” in the American
economy (Gunn, 2004). The first sector includes the market or private sector
where business is found. The second sector includes the functions of
government typically considered “public” functions. The third sector is loosely
described as the nonprofit, civic or voluntary sector. This sector typically
includes faith organizations as While each sector exists with specific
boundaries as defined by legal and tax codes, the practical boundaries are
much more fluid and, at times, overlapping.
Figure 1.1 illustrates the intersections between sectors and the types of
organizations found in each overlapping space as adapted from Gunn

Figure 1.1 The intersection of the three economic sectors.

2
With this emergence of a fourth sector comes a new breed of social
entrepreneur – social innovators who seek to maximize social benefit with an
entrepreneurial mindset The implications of this sea change cascade into
multiple domains such as management theory, organization change, public
administration, and economics This fourth sector blends the benefits of the for-
profit and nonprofit models to scale social change where scale is not typically
possible due to resource or other environmental At the core of the emergence
of a fourth sector is a wholesale shift in how our culture addresses social
problems. For example, the dominant legal and tax code structures that define
organizations are being rejected by social entrepreneurs. These structures have
contributed to an inaccurate perception of nonprofit limitations such as their
inability to generate revenue. These perceptions contribute to pressures that
affect nonprofit leaders ability to innovate. According to Dees, Emerson, and
Economy , nonprofit leaders face government funding cuts, rising demands for
performance evaluation, and new competition from the business sector (2002).
These pressures have lead to the growth of nonprofit social enterprise. In
practice, the fourth sector is expressed as nonprofit leaders embracing business
principles and business leaders embracing social change priorities.

PURPOSE

The purpose of this study is to understand the emergence of a fourth sector in


the economy – specifically its impact on nonprofits that operate social
enterprises. This study used qualitative methods, including grounded theory, to
explore social enterprise in the nonprofit setting. The outcome of this research
has the potential to scaffold a deeper, more rigorous examination of social
enterprise constructs and implications in the nonprofit sector. The movement
toward a new economic paradigm within nonprofits is part of a larger global
shift that promises to have sweeping impact on our ability to fund and scale
social change efforts. While this study focused specifically on social enterprise
in the nonprofit sector, the broader sea change is that of the blending between
organizational purposes and profit orientations – between financial and social

3
value creation. Thisblending pushes the traditional definitions of business and
nonprofit, profit and charity. In order to understand the implications for the
specific observations, this research points to the broader changes as context.
This study is a constructivist grounded theory exploration of the emergence of
the fourth sector as it applies to nonprofit organizations. Qualitative data from
interviews with nonprofit social entrepreneurs were combined with social
enterprise literature to yield data from which this theory was constructed. A
deeper understanding of this phenomenon exposes opportunities for robust
research and provide the groundwork for inter- and intra-sectoral discourse on
social enterprise. I offer a detailed analysis of the implications of this emerging
sector in systemic, economic, and societal terms. Significant focus was placed
on the societal implications of embracing a new normative understanding of
nonprofits in our society.

PROBLEM STATEMENT

There are over 1.5 million organizations recognized as tax-exempt by the IRS.
In 2010, they accounted for 9.2 percent of all wages paid and in 2014 were
responsible for 5.3 percent of the national GDP. In 2013, a subset of
nonprofits, public charities, reported $1.74 trillion in total revenues.
Nonprofits operate as hospitals, universities, research institutions, charities,
consultancies, foundations, and more. The true size and economic impact of
this sector is immeasurable because many smaller organizations and churches
are not required to report financial data to the Internal Revenue Service (IRS).
The observable parts of the nonprofit sector represent asignificant portion of
the American economy. Any shift in the business model of this industry would
generate an economic and social ripple effect across the country. Social
enterprise is loosely defined as the blending of social and financial value
creation.It describes not just economic, tax, or business concepts but an
overarching shift in leadership principles. Words like sustainability,
enterprising, and entrepreneurship now pervade nonprofit executive job
descriptions. Boards of trustees are recognizing social enterprise as a key
component of many nonprofits’ futures and thus are recruiting for key

4
leadership positions with entrepreneurialism in mind. Yet in spite of this shift,
the construct of nonprofit social enterprise is not well understood by nonprofit
leaders or scholars. While nonprofits are adopting entrepreneurial mindsets
with blinding speed, our conceptual understand of this change has not kept up .
Meanwhile, pressures on nonprofit leaders to diversify and stabilize revenue
have fostered the emergence of a new blending of social and financial value
models. The blurring of lines between the business and nonprofit sectors as
observed by an increasing number of entrepreneurial nonprofits has been
dubbed the fourth sector of the economy. Yet this change reflects broader
shifts in the cultural understanding of the nonprofit sector and changes in
approaches to social change – far more complex than the formation of an
economic sector. Nonprofit leaders are taking part in a shift toward a new
economic paradigm without a conceptual understanding of the process. There
is very little formal research to guide this complex change process. Further,
there is disagreement as to definition and boundaries of the fourth sector
Nonprofit leaders see the need for a more entrepreneurial approach as
evidenced by their widespread adoption of social enterprise principles. Yet the
majority of research focuses on implications and applications of social
enterprise on the business sector, largely neglecting the nonprofit sector While
nonprofit scholars seem to agree that social enterprise is key to future
nonprofit success and sustainability, the dominant social construction of
nonprofits in the U.S. does not allow for entrepreneurial business models. The
problem addressed in this study is this lack of conceptual understanding of
social enterprise and the emergence of a fourth sector of the economy.
Understanding social enterprise in the nonprofit context allows for more
meaningful, evidence-based discourse and research. This research is intended
to support the widespread adoption of social enterprise in the nonprofit sector,
significantly reducing the sector’s reliance on public resources. To put this in
context, the 35 percent of the nonprofit sector that must report finances to the
IRS disclose public funding in excess of $1.9 trillion

5
OBJECTIVES OF THE STUDY

1. To examine the impact of Non-Profit organizations on social change.


2. To identify the key factors that contribute to the success of non-profit
organization in achieving their social change goals.
3. To explore the challenges and limitations faced by non-profit organization in
creating social change.
4. To assess the effectiveness of different strategies used by non-profit
organizations to achieve social change
5. 5. To provide recommendations for non-profit organizations to enhance their
impact on social change.

6
Chapter: 02
Literature Review

Non-profit organizations (NPOs) play an important role in addressing social


issues and creating positive social change. They operate in various sectors,
including healthcare, education, poverty alleviation, and the environment. This
literature review provides an overview of existing research on NPOs and their
role in creating social change.

Impact of NPOs on Social Change:

Several studies have demonstrated the significant impact of NPOs on social


change. For example, a study by Anheier and Leat (2001) found that NPOs can
act as catalysts for social change by mobilizing resources, building
partnerships, and advocating for policy changes. Similarly, a study by Stebbins
(2010) showed that NPOs play a critical role in addressing social problems
that are not effectively addressed by the market or the government.

Factors Contributing to NPOs' Success:

Numerous factors have been identified as contributing to NPOs' success in


achieving their social change goals. According to a study by Ebrahim and
Rangan (2010), effective NPOs typically have a clear mission, a strong
organizational structure, and a committed leadership team. Other studies have
emphasized the importance of partnerships and collaborations with other
organizations, as well as effective communication and transparency in
fundraising and operations (Borzaga & Defourny, 2001; Salamon & Anheier,
1998).

Challenges and Limitations Faced by NPOs:

Despite their significant impact, NPOs also face several challenges and
limitations that can hinder their ability to create social change. For instance, a
study by Austin, Stevenson, and Wei-Skillern (2006) found that NPOs often
struggle with issues of sustainability, as well as difficulty in measuring and

7
communicating their impact. Additionally, NPOs may face funding
constraints, as well as a lack of support and recognition from policymakers and
the broader public (Bryce & Rutter, 2003; Lecy & Van Slyke, 2013).

Non-profit governance in India:

A review of the literature (Ghosh & Mookherjee, 2018) - This literature review
provides an overview of the governance models used by non-profit
organizations in India, including the legal and regulatory framework, board
structures, and decision-making processes. It also examines the challenges of
maintaining effective governance in the Indian context, such as the lack of
transparency and accountability.

Resource mobilization in Indian non-profit organizations:

A review of the literature (Bandyopadhyay & Pal, 2021) - This review


explores the different fundraising strategies used by non-profit organizations in
India to mobilize resources, including individual giving, corporate
philanthropy, and crowdfunding. It also examines the challenges of
fundraising in India, such as the lack of a philanthropic culture and the need
for effective marketing and communication.

Non-profit management in India:

A review of the literature (Singh & Sharma, 2019) - This literature review
provides an overview of the various management strategies and practices used
by non-profit organizations in India, including program planning and
evaluation, human resource management, and volunteer engagement. It also
examines the challenges of managing non-profit organizations in the Indian
context, such as the need for effective leadership and the importance of
building partnerships with the government and other stakeholders.

Measuring non-profit impact in India:

A review of the literature (Gupta & Ojha, 2019) - This review examines the
different methods and frameworks used by non-profit organizations in India to

8
measure their impact, including performance metrics, social return on
investment (SROI), and participatory evaluation. It also examines the
challenges of measuring impact in the Indian context, such as the need for
appropriate data and the difficulty of attributing outcomes to specific
interventions.

Collaborations and partnerships in Indian non-profit organizations

: A review of the literature (Dutt & Sharma, 2018) - This review explores the
benefits and challenges of collaborations and partnerships between non-profit
organizations in India and other stakeholders, such as government agencies,
for-profit companies, and other non-profits. It examines the different forms of
collaboration, such as public-private partnerships, and the importance of
building trust and managing power dynamics in the Indian context.

Accountability and transparency in Indian non-profit organizations:

A review of the literature (Gupta & Ojha, 2020) - This literature review
examines the different mechanisms used by non-profit organizations in India
to ensure accountability and transparency, including financial reporting and
disclosure requirements, stakeholder engagement, and accreditation processes.
It also examines the challenges of maintaining accountability and transparency
in the Indian context, such as the lack of enforcement of regulatory
frameworks and the need for building public trust.

Volunteerism in Indian non-profit organizations:

A review of the literature (Bhatia & Chakraborty, 2018) - This review explores
the role of volunteerism in Indian non-profit organizations, including the
motivations and expectations of volunteers, the management of volunteer
programs, and the benefits and challenges of volunteerism in the Indian
context.

Capacity building in Indian non-profit organizations:

9
A review of the literature (Sharma & Singh, 2018) - This literature review
provides an overview of the different approaches used by non-profit
organizations in India to build organizational capacity, including training and
development programs, mentoring and coaching, and networking and
collaboration. It also examines the challenges of building capacity in the
Indian context, such as the lack of funding and the need for tailored capacity
building programs.

Social entrepreneurship in Indian non-profit organizations:

A review of the literature (Bharadwaj & Gupta, 2017) - This review explores
the emergence of social entrepreneurship in Indian non-profit organizations,
including the definition and characteristics of social entrepreneurship, the role
of social entrepreneurs in addressing social problems, and the challenges and
opportunities of social entrepreneurship in the Indian context.

Non-profit advocacy and policy change in India:

A review of the literature (Ghai & Jain, 2020) - This literature review
examines the role of non-profit advocacy and policy change in India, including
the strategies and tactics used by non-profit organizations to influence public
policy, the challenges of advocacy in the Indian context, and the impact of
non-profit advocacy on policy outcomes.

Technology adoption in Indian non-profit organizations:

A review of the literature (Dhaka & Rathore, 2021) - This review explores the
use of technology by non-profit organizations in India, including the adoption
of social media, mobile applications, and other digital tools for
communication, fundraising, and program delivery. It also examines the
challenges and opportunities of technology adoption in the Indian non-profit
sector.

10
Chapter: 03
Theoretical Framework

A nonprofit organization (NPO) or non-profit organisation, also known as


a non-business entity,] or nonprofit institution is a legal entity organized and
operated for a collective, public or social benefit, in contrary with an entity
that operates as a business aiming to generate a profit for its owners. A
nonprofit is subject to the non-distribution constraint: any revenues that exceed
expenses must be committed to the organization's purpose, not taken by
private parties. An array of organizations are nonprofit, including some
political organizations, schools, business associations, churches, social clubs,
and consumer cooperatives. Nonprofit entities may seek approval from
governments to be tax-exempt, and some may also qualify to receive tax-
deductible contributions, but an entity may incorporate as a nonprofit entity
without securing tax-exempt status.

Key aspects of nonprofits are accountability, trustworthiness, honesty, and


openness to every person who has invested time, money, and faith into the
organization. Nonprofit organizations are accountable to the donors, founders,
volunteers, program recipients, and the public community. Theoretically, for a
nonprofit that seeks to finance its operations through donations, public
confidence is a factor in the amount of money that a nonprofit organization is
able to raise. Supposedly, the more a nonprofit focuses on their mission, the
more public confidence they will gain. This will result in more money for the
organization. The activities a nonprofit is partaking in can help build the
public's confidence in nonprofits, as well as how ethical the standards and
practices are.

11
MANAGEMENT

A common misconception about nonprofits is that they are run completely by


volunteers. Most nonprofits have staff that work for the company, possibly
using volunteers to perform the nonprofit's services under the direction of the
paid staff. Nonprofits must be careful to balance the salaries paid to staff
against the money paid to provide services to the nonprofit's beneficiaries.
Organizations whose salary expenses are too high relative to their program
expenses may face regulatory scrutiny.

A second misconception is that nonprofit organizations may not make a profit.


Although the goal of nonprofits is not specifically to maximize profits, they
still have to operate as a fiscally responsible business. They must manage their
income (both grants and donations and income from services) and expenses so
as to remain a fiscally viable entity. Nonprofits have the responsibility of
focusing on being professional, financially responsible, replacing self-interest
and profit motive with mission motive.

Though nonprofits are managed differently from for-profit businesses, they


have felt pressure to be more businesslike. To combat private and public
business growth in the public service industry, nonprofits have modeled their

12
business management and mission, shifting their reason of existing to establish
sustainability and growth.

Setting effective missions is a key for the successful management of nonprofit


organizations. There are three important conditions for effective mission:
opportunity, competence, and commitment.

One way of managing the sustainability of nonprofit organizations is to


establish strong relations with donor groups.This requires a donor marketing
strategy, something many nonprofits lack.

FUNCTIONS OF NON PROFIT ORGANISATION

Nonprofit organizations are entities that are established for a specific social
cause or purpose, and they are not driven by profit or financial gain. The
functions of nonprofit organizations can vary depending on the mission and
goals of the organization. Here are some common functions of nonprofit
organizations:

1. Providing services:

Nonprofit organizations often provide essential services to individuals or


communities in need. For example, organizations like the Red Cross provide
disaster relief and humanitarian aid to communities affected by natural
disasters or conflict. Nonprofits also provide healthcare, education, and social
services to people who may not have access to these services otherwise.

2. Advocacy:

Nonprofits can advocate for social and political change by raising awareness,
mobilizing public support, and lobbying government officials. Advocacy can
take many forms, such as creating public awareness campaigns, holding rallies
or protests, and lobbying elected officials or government agencies to take
action on a particular issue.

13
3. Fundraising:

Fundraising is a critical function of nonprofit organizations, as they rely on


donations and grants to fund their operations and support their programs.
Nonprofits use a variety of fundraising methods, such as soliciting individual
donations, applying for government grants, and organizing fundraising events.

4. Volunteer management:

Volunteers are often an essential part of nonprofit organizations, helping to


support the organization's mission and work. Nonprofits rely on volunteer
managers to recruit, train, and coordinate volunteers, ensuring that they are
effectively engaged and contributing to the organization's goals.

5. Governance and leadership:

Nonprofit organizations are typically governed by a board of directors, who


oversee the organization's operations and provide strategic direction. The
board is responsible for ensuring that the organization is operating within its
mission and adhering to legal and ethical standards.

6. Community building:

Nonprofits can bring people together around a common cause or interest,


helping to build a sense of community and shared purpose. Nonprofits may
organize events, activities, or other initiatives that encourage community
involvement and engagement.

7. Research and development:

Nonprofits may conduct research and development to advance their mission


and develop new programs and services. For example, a nonprofit focused on
finding a cure for a disease may conduct research to better understand the
disease and develop new treatments.

14
8. Public relations and communications:

Effective communication is critical for nonprofit organizations to raise


awareness of their mission and work, as well as to engage with donors,
volunteers, and other stakeholders. Nonprofits may use a variety of
communication channels, such as social media, email newsletters, and media
relations, to communicate with their audiences.

In summary, nonprofit organizations play an essential role in addressing social


issues and advancing the common good. By providing services, advocating for
change, fundraising, managing volunteers, governing and leading the
organization, building community, conducting research and development, and
communicating effectively, nonprofits can make a significant impact on the
world around them.

FORMATION OF A NON PROFIT ORGANIZATION

Nonprofit organizations are formed through a process that involves several key
steps:

1. Identify a need or issue:

The first step in forming a nonprofit organization is to identify a need or issue


in the community that the organization will address. This could be a social,
educational, or environmental issue, among others.

2. Develop a mission statement:

Once the need or issue has been identified, the next step is to develop a
mission statement that defines the organization's purpose, values, and goals.
The mission statement should be clear and concise, and should reflect the
organization's commitment to its cause.

15
3. Choose a name and legal structure:

The organization must choose a name and legal structure. Nonprofit


organizations can take various legal forms, such as a trust, corporation, or
association, depending on the laws of the country or state where they are
established.

4. Recruit a board of directors:

A nonprofit organization typically has a board of directors, which is


responsible for overseeing the organization's operations and providing
strategic direction. The board should consist of individuals who are committed
to the organization's mission and have the skills and expertise necessary to
help the organization achieve its goals.

5. File for incorporation and obtain tax-exempt status:

The organization must file for incorporation with the appropriate government
agency and obtain tax-exempt status from the Internal Revenue Service (IRS)
or other relevant tax authority. This allows the organization to receive tax-
deductible donations and grants.

6. Develop policies and procedures:

The organization must develop policies and procedures to ensure that it


operates ethically, transparently, and within the law. This includes developing
a code of ethics, financial policies, and conflict of interest policies, among
others.

7. Build a team and start programming:

Once the organization is legally established and has obtained tax-exempt


status, it can begin building its team and developing programs to address its
mission. This may involve recruiting staff, volunteers, and partners, and
developing programs and services that will benefit the community.

16
In summary, forming a nonprofit organization involves identifying a need or
issue, developing a mission statement, choosing a name and legal structure,
recruiting a board of directors, filing for incorporation and tax-exempt status,
developing policies and procedures, and building a team and starting
programming. It can be a complex process, but with the right guidance and
support, it can lead to a successful and impactful organization.

PROBLEMS FACED BY NON-PROFIT ORANIZATION

Nonprofit organizations can face various challenges that can hinder their
ability to achieve their mission and goals. Some common problems faced by
nonprofit organizations include:

 Funding challenges:

Funding is a major challenge for nonprofit organizations, as they often rely on


donations and grants to fund their operations and programs. Donations can be
unpredictable and may vary from year to year, making it challenging to plan
and sustain long-term projects. Nonprofits may also face competition from
other organizations for funding, particularly during economic downturns or
other crises. In addition, fundraising can be time-consuming and resource-
intensive, which can divert attention from the organization's mission and
programs.

To address funding challenges, nonprofits may need to diversify their funding


sources and explore alternative revenue streams, such as social enterprise
ventures or partnerships with businesses. Nonprofits can also focus on building
strong relationships with donors and funders, communicating the impact of
their work effectively, and developing sustainable fundraising strategies.

17
 Staffing and volunteer management:

Nonprofits rely heavily on volunteers and staff to carry out their programs and
services. However, recruiting and retaining volunteers and staff can be
challenging, particularly in competitive job markets or when competing with
for-profit organizations for talent. Nonprofits may also struggle to provide
adequate training and support for volunteers and staff, which can impact their
effectiveness.

To address staffing and volunteer management challenges, nonprofits can


focus on building strong relationships with volunteers and staff, providing
meaningful opportunities for engagement and growth, and creating a positive
organizational culture that values and rewards dedication and hard work.
Nonprofits can also invest in staff and volunteer training and development,
provide clear expectations and guidelines for roles and responsibilities, and
implement effective performance management and recognition systems.

 Governance and leadership:

Nonprofit organizations are governed by a board of directors, who are


responsible for overseeing the organization's operations and providing
strategic direction. However, ineffective governance and leadership can lead to
conflicts of interest, mismanagement, and other issues that can harm the
organization's reputation and impact its ability to achieve its mission.

To address governance and leadership challenges, nonprofits can focus on


building a strong board of directors that includes individuals with diverse
skills, expertise, and perspectives. Nonprofits can also develop effective
governance and leadership policies and procedures, such as conflict of interest
policies, strategic planning processes, and effective communication and
decision-making frameworks. Nonprofits can also invest in board and
leadership training and development to build capacity and ensure effective
leadership.

18
 Legal and regulatory compliance:

Nonprofits must comply with various legal and regulatory requirements,


including filing annual reports and tax returns, adhering to ethical standards,
and complying with laws related to fundraising, financial management, and
employment. Failure to comply with these requirements can result in legal
penalties, damage to the organization's reputation, and loss of funding.

To address legal and regulatory compliance challenges, nonprofits can invest


in compliance training and resources, develop effective compliance policies
and procedures, and implement internal controls and oversight mechanisms to
ensure compliance. Nonprofits can also work with legal and financial advisors
to stay up-to-date on changes in laws and regulations that may impact their
operations.

 Public trust and accountability:

Nonprofits rely on public trust and support to carry out their mission.
However, negative publicity, scandals, or perceived mismanagement can
damage the organization's reputation and impact its ability to attract donors
and volunteers.

To address public trust and accountability challenges, nonprofits can focus on


building strong relationships with stakeholders, communicating the impact of
their work effectively, and being transparent about their operations and
financial management. Nonprofits can also develop effective systems for
measuring and reporting on their impact, and engage in regular evaluation and
assessment to identify areas for improvement.

19
Chapter: 04
Methodology Adopted for Dissertation
DATA COLLECTION

The gathering of Data is completed Primary Data Method.

PRIMARY DATA

Primary data is data that is collected directly from its source through research
methods such as surveys, interviews, observations, experiments, and focus
groups. It is original data that has not been collected or processed previously.
Primary data is collected with a specific research question or objective in
mind, and is therefore tailored to address the specific needs of the researcher
or organization.

TOOLS AND TECHNIQUES

1. Research Tool – Questionnaire Method (using google forms)


2. Research Technique – Surevy Method

20
DATA ANALYSIS

 Which of the following social issues do you believe a Non-Profit Organization


can address

2%
0%
4%
21%
13% POVERTY
EDUCTAION
HEALTHCARE
10% ENVIRONMENT
RACIAL JUSTICE
LGBTQ+ RIGHTS
OTHER

50%

RESPONDENT % OF
RESPONDENT
POVERTY 10 21%
EDUCATION 24 50%
HEALTHCARE 5 10%
ENVIRONMENT 6 13%
RACIAL JUSTICE 0 0
LGBTQ+ RIGHTS 2 4%
OTHER 1 2%

INTERPRETATION

The table and diagram shows that the major issues that a Non-Profit organization
can address is Education which is 44.4%.And the second major issue after that is
poverty with 18.5% according to the survey.

21
 What is the main goal of a Non- Profit Organization

6%

To raise a awareness about a


particular issue
39%
To provide direct services to
individuals or communities
affected by a social issue
To advocate for policy change
55% related to a social issue

RESPONDENT % OF RESPONDENT
To raise awareness 21 39%
about a particular
issue
To provide direct 30 55%
services to
individuals or
communities
affected by a social
issue
To advocate for 3 6%
policy change
related to a social
issue

INTERPRETATION

The above table and diagram shows that the main goal of a non-profit organization is
to provide direct services to individuals or communities, affected by a social issue
i.e 55.6%

22
 How does a non profit organization measure the impact of its work

Through quantitave data such


24% as
number of people served or
funds raised
Through qualitative data such
as testimonals or stories of
50%
impact

Through a combination of
quantitave and qualitative data
26%

RESPONDENT % OF
RESPONDENT
Through 13 24%
quantitative data
such as number of
people served or
funds raised
Through 14 26%
qualitative data
such a testimonial
or stories of
impact
Through a 27 50%
combination of
quantitave and
qualitative data

23
 How does a non profit organization collaborate with other organization or
stakeholders to achieve its goals

24%
28% Through partnerships or
coalitions with other non profits

Through collaboratios with


government agencies or
policymakers
Through collaboration with
business orcorporations

48%

RESPONDENT % OF
RESPONDENT
Through 15 28%
partnerships or
coalitions with other
non profits
Through 26 48%
collaboration with
government
agencies or
policymakers
Through 13 24%
collaboration with
business or
corporations

24
 How does a Non Profit Organization engage with the community it serves

15%
24%
Through Outreach and
education programs
Through Volunteer
opportunities
through events or campaigns

33% Through social media or other


online platforms
28%

RESPONDENT % OF
RESPONDENT
Through Outreach 13 24%
and education
programs
Through Volunteer 15 28%
opportunities
through events or 18 33%
campaigns
Through social 8 15%
media or other
online platforms

INTERPRETATION

From the above pie charts we get to know that through events and campaigns i.e
33.3% mostly non-profit organization engages with its community

25
 How does a non profit organization fund its work

3%
Through donations from
19% individuals
28%
Through grants from
foundations or government
agencies
Through Corporate
sponsorships or Partnerships

All of the above

50%

RESPONDENT % OF
RESPONDENT
Through donations 15 28%
from individuals
Through grants from 27 50%
foundations or
government
agencies
Through Corporate 10 19%
sponsorships or
Partnerships
All of the above 2 3%

INTERPRETATION

The above data shows that a non profit organization funds its work through grants
from foundations or government agencies i.e 50%

26
 How frequently does a Non profit organization hold events or fundraising
activities.

16%

Monthly
Quaterly
21% Annually
55%
Rarely/Never

8%

RESPONDENT % OF
RESPONDENT
Monthly 19 16%
Quarterly 24 55%
Annually 9 8%
Rarely/Never 2 3.7%

INTERPRETATION

The above diagram shows 44.4% respondent thinks that every quarterly a non-profit
organisation hold its events or fundraising activities.

27
 How does a Non-Profit Organization measures success

2%

21%
No of clients served

40%
Funds raised

Volunteer Hours contributed

It's a mixed effort of all the


people associated
37%

RESPONDENT % OF
RESPONDENT
No of clients served 22 40.%
Fund raised 20 37%
Volunteer Hours 11 21%
Contributed
It's a mixed effort of 1 2%
all the people
associated

INTERPRETATION

The above pie charts interpretes that a non profit organisation measures its success
through mostly from the nos. of clients they served.

28
 Does a Organization collaborate with other non-profits or community
organizations

41%
46% YES
NO
MAYBE

13%

RESPONDENT % OF
RESPONDENT
Yes 25 46%
No 7 13%
Maybe 22 41%

INTERPRETATION

From the above data we get to know that mostly organization collaborate with other
non profit organization.

29
 How does a non-profit organization ensures transparency and accountability

20%
Through regular reports or
updatess on its website or
39% social media
Through annaul reports or
financial statements

Through independent audits or


financialstatements

41%

RESPONDENT % OF
RESPONDENT
Through regular 21 39%
reports or updates
on its website or
social media
Through annual 22 41%
reports or financial
statements
Through 11 20%
independent audits
or financial
statements

INTERPRETATION

The above data shows that the a non profit organization ensures transparency and
accountability through annual reports or financial statements.

30
 How does a non-profit organization ensure diversity, equity and inclusion in its
work and within the organization itself

28% 29% Through diversity and inclusion


policies and practices

Through staff and volunteer


training on diversity and
inclusion
Through partnerships with
diverse communities and
organizations

43%

RESPONDENT % OF
RESPONDENT
Through diversity 16 29%
and inclusion
policies and
practices
Through staff and 23 43%
volunteer training on
diversity and
inclusion
Through 15 28%
partnerships with
diverse communities
and organizations

INTERPRETATION

From the above diagram we get to know that through staff and volunteer training on
diversity and inclusion it ensure diversity in organization.

31
Chapter: 05
Conclusion/observations

From the survey conducted we get to know that Nonprofit organizations serve
the public, providing a wide range of services to improve the quality of life of
individuals or communities. They are often heavily staffed with volunteers or
temporary workers with diverse skill sets, who are strongly motivated by
altruism. The transient nature of personnel and short-term inconsistent
funding, contribute to nonprofits’ general lack of ability to provide for long
term technology plans and budgets. Managing IT in nonprofit community
organizations is a challenge, given these varying resources and needs, along
with ill-structured IT management practices. Nonprofit organizations often
have a vision for how technology might help them achieve their
communitarian goals. However, they often face problems achieving their
technology goals because technology planning is often not an explicit part of
their organizational practice. Because of the perceived and real complexity of
technology, non-profit organizations can get “stuck”, and are often the last
sector to realize technology benefits. They focus on the obstacles of IT rather
than on their considerable assets with respect to situational and domain
knowledge that can be leveraged to achieve their technology goals

32
Chapter: 05
Conclusion/observations

Volunteerism in Indian non-profit organizations:

A review of the literature (Bhatia & Chakraborty, 2018) - This review


explores the role of volunteerism in Indian non-profit organizations, including
the motivations and expectations of volunteers, the management of volunteer
programs, and the benefits and challenges of volunteerism in the Indian
context.

Capacity building in Indian non-profit organizations:

A review of the literature (Sharma & Singh, 2018) - This literature review
provides an overview of the different approaches used by non-profit
organizations in India to build organizational capacity, including training and
development programs, mentoring and coaching, and networking and
collaboration. It also examines the challenges of building capacity in the
Indian context, such as the lack of funding and the need for tailored capacity
building programs.

Social entrepreneurship in Indian non-profit organizations:

A review of the literature (Bharadwaj & Gupta, 2017) - This review explores
the emergence of social entrepreneurship in Indian non-profit organizations,
including the definition and characteristics of social entrepreneurship, the role
of social entrepreneurs in addressing social problems, and the challenges and
opportunities of social entrepreneurship in the Indian context.

Non-profit advocacy and policy change in India:

33
A review of the literature (Ghai & Jain, 2020) - This literature review
examines the role of non-profit advocacy and policy change in India, including
the strategies and tactics used by non-profit organizations to influence public
policy, the challenges of advocacy in the Indian context, and the impact of
non-profit advocacy on policy outcomes.

Technology adoption in Indian non-profit organizations:

A review of the literature (Dhaka & Rathore, 2021) - This review explores the
use of technology by non-profit organizations in India, including the adoption
of social media, mobile applications, and other digital tools for
communication, fundraising, and program delivery. It also examines the
challenges and opportunities of technology adoption in the Indian non-profit
sector.

34
Chapter: 06

Recommendations

Charitable Organization." Internal Revenue Service, 2022,


https://www.irs.gov/charities-non-profits/charitable-organizations.

"Non-Profit Sector." National Council of Nonprofits, 2022,


https://www.councilofnonprofits.org/what-is-a-nonprofit/what-is-the-
nonprofit-sector.

"How to Start a Nonprofit Organization." National Council of Nonprofits,


2022, https://www.councilofnonprofits.org/tools-resources/how-start-
nonprofit.

"GuideStar Nonprofit Directory." Candid, 2022,


https://www.guidestar.org/home.

"Charity Navigator." Charity Navigator, 2022,


https://www.charitynavigator.org/.

"The Chronicle of Philanthropy." The Chronicle of Philanthropy, 2022,


https://www.philanthropy.com/.

"National Center for Charitable Statistics." Urban Institute, 2022,


https://nccs.urban.org/.

"GrantSpace." Candid, 2022, https://grantspace.org/.

"BoardSource." BoardSource, 2022, https://boardsource.org/.

"The Nonprofit Times." The Nonprofit Times, 2022,


https://www.thenonprofittimes.com/

35
Chapter: 07
Reference list

 Gender
1. Male
2. Female
3. Prefer not to say

 Age
1. 18-25
2. 26-40
3. 41 & above

 Educational Qualification
1. Post Graduate
2. Graduate
3. Higher Secondary
4. Illiterate

 Which of the following social issues do you believe a Non-Profit


Organization can address
1. Poverty
2. Education
3. Healthcare
4. Environment
5. Racial Justice
6. LGBTQ+ rights
7. Mental Health
8. Other:

36
 What is the main goal of a Non- Profit Organization
1. To raise awareness about a particular issue
2. To provide direct services to individuals or communiities affected by a
social issue
3. To advocate for policy change related to a social isssue
4. Other:

 How does a non profit organization measure the impact of its work
1. Through quantitave data such as number of people served or funds raised
2. Through qualitative data such as testimonals or stories of impact
3. Through a combination of quantitave and qualitative data
4. Other:

 How does a non profit organization collaborate with other organization or


stakeholders to achieve its goals
1. Through partnerships or coalitions wiht other non profits
2. Through collaboratios with government agencies or policymakers
3. Through collaboration with business or corporations
4. Other:

 How does a Non Profit Organization engage with the community it serves
1. Through Outreach and education programs
2. Through Volunteer opportunities
3. through events or campaigns
4. Through social media or other online platforms

 How does a non profit organization fund its work


1. Through donations from individuals
2. Through grants from foundations or government agencies
3. Through Corporate sponsorships or Partnerships
4. Other:

37
 How frequently does a Non profit organization hold events or fundraising
activities.
1. Monthly
2. Quaterly
3. Annually
4. Rarely/Never

 How does a Non-Profit Organization measures success


1. No of Clients served
2. Fund Raised
3. Volunteer Hours Contributed
4. Other:

 Does a Organization collaborate with other non-profits or community


organizations
1. Yess
2. No
3. Sometimes

 How does a non-profit organization ensures transparency and


accountability
1. Through regular reports or updatess on its website or social media
2. Through annaul reports or financial statements
3. Through independent audits or financial statements
4. Other:

 How does a non-profit organization ensure diversity, equity and inclusion


in its work and within the organization itself
1. Through diversity and inclusion policies and practices
2. Through staff and volunteer training on diversity and inclusion
3. Through partnerships with diverse communities and organizations
4. Other:

38

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