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An Assessment Framework for Nonprofit Organizations: Case Study for The Circle Foundation

  • Civil Society and NGO
  • 2016, 14(2), pp.83~124
  • Publisher : The Third Sector Institute
  • Research Area : Social Science > Social Science in general > Other Social Science in general

김현진 1,  Sung,Kwang-Je 2

1동그라미재단
2한국과학기술원

Accredited

ABSTRACT

This research is intended to suggest a management performance index for nonprofit organizations. With the assessment framework that combines various components of capability assessments used in many nonprofit leaders and preceding research, we tried to come up with a comprehensive solution as to how nonprofit organizations should be managed. We used a top-down model that diagnoses the overall organization together with a bottom-up model that pinpoints the actual characteristics and success factors of the nonprofit sector. The methodology that serves as the framework is the "Balanced ScoreCard" which is used to see the entire organization in a strategic point of view and derive forward looking goals and challenges. This assessment framework consists of three main criteria, "Overall Strategy and Business Evaluation, "Personnel and Organization Evaluation," and "Financial Stability and Transparency," and 50 sub-criteria. The Circle Foundation has conducted a self-assessment using a three-point scale (high/medium/low or 3, 2, 1) based on the 50 evaluation criteria and extracted items that need improvement and more communication from the results. The assessment framework for nonprofit organizations should play a role of a compass that shows directions - which part is lacking and how it should be improved in terms of the organizational operations. Through the effort to review each criteria on a regular basis and improve the performance, the members of the organization can get unified towards one direction. The ultimate goal of the assessment framework in this study is to create positive changes in the organization in the process of a self-diagnosis and an action for improvement. For this, this study intends to suggest a comprehensive assessment framework that overcomes the limitations of the existing research and enables organizations to see the wood as well as trees in a balanced way, taking The Circle Foundation's actual experience in operating as a nonprofit intermediary and social service organization and the nature of the Korean nonprofit sector into consideration.

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