Posted on November 19, 2003
Organizational Effectiveness -- UPDATED
PND - Organizational Effectiveness/Capacity-Building Issue
Over the last few years, the growing demand for nonprofit
services has seriously strained the resources and ability
of many nonprofits to deliver those services. At the same
time, grantmakers of all types face increased expectations
to identify and fund solutions to a host of seemingly
intractable problems. The sector has responded to these
challenges in a number of creative ways. One of the most
promising has been a renewed focus by grantors and grantees
alike on building the capacity and effectiveness of nonprofit organizations.
To help nonprofits and funders get a handle on this
dynamic field, Philanthropy News Digest has updated
this special resource issue, which includes annotated
links to Web-based resources and sites, examples of
capacity-building grants, and a list of related readings.
To suggest a Web site or related reading for future
updates, send an e-mail to email@example.com.
Grantmakers for Effective Organizations, an affinity group of
the Council on Foundations dedicated to promoting learning
and encouraging dialogue among funders committed to the
field of organizational effectiveness (OE), defines OE as "the
ability of an organization to fulfill its mission through a
blend of sound management, strong governance, and a persistent
re-dedication to achieving results."
In Reflections on Capacity-Building, a report prepared for
Wellness Foundation, Laura Campobasso and Dan Davis of the
consulting firm Progressive Strategies define "capacity building"
as "the development of an organization's core skills and capabilities,
such as leadership, management, finance and fundraising,
programs, and evaluation, in order to build the organization's
effectiveness and sustainability...."
And in their introduction to Building Capacity in Nonprofit
Organizations (Urban Institute, 2001), Penelope McPhee and
John Bare of the John
S. and James L. Knight Foundation, define "capacity building"
as "the ability of nonprofit organizations to fulfill their missions
in an effective manner."