Monday, May 08, 2006

What Makes a Social Sector Organization Great?

I just finished reading "Good to Great and the Social Sector" written by Jim Collins, the author of the classic managment book, "Good to Great." In this monograph, Jim Collins points out the societal need to stop judging social sector organizations by their inputs and starting judging them by their outputs. In other words, we should just stop measuring whether a nonprofit is succesful by how little they spend on their staff costs and start measuring a nonprofit's success by how well the organization delivers on its mission.

Nonprofits should be able to invest in the infrastructure of their organization by purchasing items like new computers or professional development experiences for their staff without invoking the ire of their donors. Only when we measure a nonprofit's success by its results will we will truly start getting the results from a nonprofit that we as donors expect.

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