February 21, 2014
A lack of communication, control and procedures can be the downfall of any organization, according to Nonprofit Quarterly. When discussing the demise of one nonprofit in Alaska, NPQ cited the biggest takeaway for other nonprofits is to make sure organizational values do not eclipse good business practice.
Nonprofits face many issues regarding leadership, employee roles
From the board all the way down to volunteers, there is no shortage of challenges for nonprofit organizations. In some cases, board members are concerned about getting involved at numerous levels and asking too many questions of the employees. On the other hand, employees may find themselves overwhelmed and treading in unfamiliar territory, but afraid to speak up.
Nonprofits understandably want to operate organizations that run off of trust and a group consensus regarding goals and best practices. However, leadership is key and if board members recognize a problem within the organization that appears to require further analysis, they begin asking questions. A leader is most important when organizations find themselves in crisis, so sitting on the sidelines and watching is not where board members should find themselves
Calling in experts for help early
Early in a crisis, or preferably before one occurs, organizations should turn to professional consulting groups for help with the complex issues surrounding nonprofits. Nonprofit financial consulting services provide a number of options to prevent crippling debt and a lack of financial control:
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