NGOs are private institutions that require effective management to develop communities or countries. Management methods include committee-style, board of directors, and local members. Board members advise and guide the organization, while local members complete tasks. More layers of management can result in higher costs.
A non-governmental organization is an institution run by private individuals or companies without – or independent of – government assistance. NGO management is necessary because these organizations are often tasked with helping to develop a community or country. Different NGO management methods include a committee-style management team, a board of directors or the use of local members as part of a local network of frontline workers. In some cases, an NGO can use all of these management methods and more if necessary. The goal of the management style is to run the organization effectively while keeping costs low.
Committee-style NGO management can be the beginning stage of a private organization’s form of management. In this management method, some people such as philanthropists may decide to start an organization with the sole benefit of helping other people in an undeveloped area or individuals in a poverty stricken area. Rather than creating a formal management structure, the committee consists of all major donors who start the organization and want to use their funds for a good purpose. In some cases, the donors who form the committee may not even have a formal place of business. They will meet a few times and discuss ideas or work together at specified times throughout the year.
Large or very public NGOs may have formal management structures to run operations. This is necessary due to the assets involved with the organization or the fact that much news may focus on the NGO’s activities in specific areas. Here, a board of directors is often the best method of NGO management. These individuals often donate their time to advise and direct the NGO’s activities. Board members require formal votes to receive or retain their positions or are recruited by major donors to work with the NGO.
Using a board of directors to guide NGO management is very similar to the management style of a for-profit company. Although board members rarely complete specific activities for the NGO, they help make big decisions and guide the organization through difficult actions or other situations. Recruiting well-known businessmen or politicians can also add weight to the NGO and increase donations or volunteers in the organization. In this case, the NGO management method is twofold: smart directors and brand recognition.
International NGOs often use individuals from the target country to help complete tasks. The NGO management method here is a donor committee or board of directors in the main country. These groups hire local area managers to direct frontline tasks. This situation requires layers of management, however, to ensure that the NGO completes activities promptly. In short, more layers of management can result in higher operating costs.
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