Posted on November 19, 2003

Organizational Effectiveness -- UPDATED

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 ecr@fdncenter.org.

Contents

• Definitions
• Web Sites
• Board Resources
• Communication Resources
• Evaluation Resources
• Funding Resources
• General Resources
• Management Resources
• Technology Assistance and Training Resources
• Related Readings

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 the California 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."