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Term Paper on Non-Profit Organizations

Monday, Feb. 14th 2011

Non-profit organizations are a phenomenon that really kept going in the past century especially in the latter half. Community colleges, hospitals, NGOs, and various other organizations like Red Cross emerged during the 20th century, which was committed to serving without any purpose of making profits. Public Corporations were also set up, in a lot of cases where capital involved was so high and profit margin is so low that governments had to plough in and they all operate on a non-profit basis.

But overall such organizations have been facing some trouble staying afloat. Most of the people that can fit in are those working on humanitarian basis and that too part-time and you need full time employees but since the opportunities are not that lucrative they do not seem too attractive to many people. Of course there are exceptions like UN but getting into such organizations is an achievement in itself and openings are far too few.

Basic problem is that of finances. They do not make enough profits on their on and plus there is not much to retain or to motivate the ones who are already working with such organizations. You can only attract employees and retain them by providing fringe benefits and handsome salaries and once you are hardly making profits to stay in business yourself it is a tough ask to motivate them on grounds of good feeling developed by serving others.

Besides many of these organization suffer in the quality delivery due to lack of motivation and the fact due to globalization the competition is getting stiff day-by-day it multiplies the problem manifold. There are no stakeholders in the company or maybe their say is not all that strong and that is what results in no checks and balances, hierarchies and beauracracy develop which lead to their downfall. The people in charge making decisions are probably not qualified enough to do the job. In many cases they suffer from corruption levels that sweep across the organization and not only deplete them of their valuable and rare resources but also tarnishes the image in public……….

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