1. ACCOUNTABILITY: A PREREQUISITE FOR THE SUCCESS OF NPOs<br />At the end of this presentation you will have my answers to the following questions.<br />WHY ACCOUNTABILITY IS A PREREQUISITE FOR SUCCESS?<br /><ul><li>Why accountability is so important?
2. What is joint accountability?
3. Are achievements enough as a indicators of success?
4. Is accountability connected only with financial issues?
5. Who should care about it?
6. Which are the new ways of generating money?
7. How accountability relates to them?
8. Which are the instruments that make accountability work?
9. Transparency? How much transparency is needed?
10. Is the Code of Ethics another instrument?
11. Can Standard Operating Procedures assure accountability?
12. How can be sustainability linked to accountability?
13. How can NPOs avoid bad practices?
14. How can NPOs partner with others and what role accountability plays? </li></li></ul><li>What leads to success? <br />
16. Why is accountability so important?<br /> Accountability isthe main pillar of:<br /><ul><li>good governance
17. proper management
18. trust creation among stakeholders.</li></li></ul><li>What is joint accountability?<br />Joint accountability is the best approach that tackles both success and accountability. <br />Joint accountability is related to participation and results. <br />Every one participates in decision-making and everyone is hold accountable. <br />
19. Are achievements enough as a indicators of success?<br />Yes and NoYes, if the organizations work hard to achieve their mission statements, which is a guiding star. <br />Yes, if they are accountable to their stakeholders about their activities. <br />No, if organizations become donor driven and forget about their mission.<br />No, if they are not accountable to their stakeholders. Remember the scandal with the Untied Way? <br />MANAGEMENT<br />
20. Is accountability connected only with financial issues?<br />Accountability is indispensable in financial management. <br />Accountability is also a must in human resource management and management in general. <br />An organization is like a living organism, the accountability plays among other things, the role of the immunity cells.<br />Accountability<br />
21. Who cares about accountability?Whom is the organization accountable to?<br />Board of Directors and stakeholders<br />Donors <br />Beneficiaries <br />Staff <br /> Volunteers <br />Public at large<br />
22. The new ways of generating money<br /> Economic downturn is affecting NPOs. What should they do? <br />NPOs as entrepreneurs? <br />Yes, only if NPO’smission and values allow to do it. <br />The ultimate goal of NPOs is not tomake profit, but to serve. <br />Accountability is the tool to make sure that the NPO is in the right track and is fulfilling its mission.<br />
23. Remember the guiding star?<br />
24. The new ways of generating money<br />Sure, the NPOs need some more money<br />There are 5 proposed new ways:<br />Looking beyond cash – replacing professionals with volunteers <br />Connecting with new donors<br />Transparency <br />Generating income – charging for some services<br />Serving the not so needy? <br />
25. The new ways of generating money and accountability<br />Looking beyond cash – can volunteers offer the same quality of services with professionals? Are you accountable to your beneficiaries?<br />Connecting with new donors-trust building is so important, but accountability is its cornerstone <br />Transparency – is one of the tools of accountability<br />Generating income – be accountable for the revenues added to your pocket<br />Serving the not so needy? <br />
27. Which are the instruments that make accountability work?<br />Transparency<br />Transparency is an instrument that promotes accountability and good management procedures. It helps NPOs to prosper. <br />It prevents NPOs to become NGIs (Non Governmental Individuals). <br />Financial transparency should be a must in all the NPOs. <br />NPOs should be transparent not only with their donors, but also with the community they serve.<br /> How much transparency is needed?<br /> For some NPOs working in the human rights field in a dangerous environment, total transparency might be harmful. <br />
28. Is the Code of Ethics another instrument?<br /> Yes, it is an important instrument.<br />The Code of Ethics is a useful instrument, which helps to set internal standards for NPOs to achieve their goals.<br />What should a Code of Ethics include? <br /> The mission, management and human resources, financial accountability and transparency, civic responsibility, partnering and networking.<br />
29. Code of Ethics<br />Why is it important for NPOs to have a Code of Ethics?<br />“Ethics are important not only in business but in all aspects of life because it is an essential part of the foundation on which of a civilized society is build. A society that lacks ethical principles is bound to fail sooner or later.” Henry Posters- 2003<br />The Code of Ethics 1) provides comprehensible guidelines to NPOs about accountability and transparency b) leverages their mission c) clearly indicates the behavior with stakeholders, beneficiaries, employees, Board of Directors and partners. <br />What are some challenges?<br />It is hard to internalize it and use it on daily basis<br />It is hard to mix the individual and communal approaches in a code of ethics. <br />
30. Standard Operating Procedures? <br />Yes, Standard Operating Procedures (SOPs) are another instrument. <br />SOPs give clear guidelines on who does what and what to do in different situation.SOPs are an effective internal regulation and support the growth of NPOs by emphasizing internal accountability. <br />What SOPs include?<br /><ul><li> rights of the employees,
31. responsibilities of the employees,
32. salary system
33. procurement procedures
35. decision-making procedure.</li></ul>SOPs are not written in stone. <br />
36. How can be sustainability linked to accountability? <br />Accountability is a driver that helps an organization to be more sustainable. <br />Employees use the scarce resources in a wiser way whenever they are hold accountable.<br />Accountability give incentives to managers, staff members and volunteers of NPOs to better use the financial resources. <br /> Accountability pushes the staff to be more creative by trying to find other resources that support the accomplishment of different activities.<br />In economic crisis, accountability and sustainability become crucial issues. <br /> By being accountable NPOs are more sustainable and therefore more successful. <br />
37. How can NPOs avoid bad practices?<br />What are the most common bad practices?<br />Most bad practices are related to fraud. Did you think that only government practices could be fraudulent? <br />How to avoid bad practices? <br />Accountable<br />Transparent<br />Reporting<br />Strategic planningWho can make the whistleblower in NPOs?<br />Volunteers<br />Beneficiaries<br />Boardmembers<br />Employees<br />
38. How can NPOs partner with others and what role accountability plays? <br />NPOs that have great abilities to work with others, to build social movements, transform individuals, other nonprofits, businesses and government are the most successful. <br /> They offer better services, and have better donor base. <br /> Collaboration, partnership, and networking are successful when there is accountability among participant NPOs. Isn’t it a good example of joint accountability? <br /> Accountability among NPOs that collaborate together can cause a chain reaction within individual NPOs and their employees. <br />In addition, NPOs that collaborate together can gain a very good reputation in their local communities.<br />
39. +<br />=<br />
40. Do not forget <br />If you want to have good results and to be successful everyone in your organization should be hold accountable.<br />It is time for joint accountability!!!!!!<br />
41. And by the way, your NPO would not have problems with the revenues!!!!!!<br />