Responding to funding scarcity : governance challenges in Swedish and South African development partnerships
(2020) In Journal of Accounting and Organizational Change 17(1). p.91-110- Abstract
Purpose: In the context of the general funding scarcity in the nonprofit sector, this paper aims to inquire into the governance challenges facing nonprofit aid organizations in a donor–recipient partner relationship. In particular, the authors focus on the challenges of commercial diversification as the espoused alternative to aid-funding. Design/methodology/approach: A qualitative design was deployed to collect and analyze data collected from interviews conducted in three case organizations in an aid development partnership. Findings: The various responses at the organizational level are presented as well as analyses of the inter-organizational aspects. All organizations have responded strategically to reductions in funding from... (More)
Purpose: In the context of the general funding scarcity in the nonprofit sector, this paper aims to inquire into the governance challenges facing nonprofit aid organizations in a donor–recipient partner relationship. In particular, the authors focus on the challenges of commercial diversification as the espoused alternative to aid-funding. Design/methodology/approach: A qualitative design was deployed to collect and analyze data collected from interviews conducted in three case organizations in an aid development partnership. Findings: The various responses at the organizational level are presented as well as analyses of the inter-organizational aspects. All organizations have responded strategically to reductions in funding from state/government and other aid sources by attempting to diversify commercially yet at the same time maintain dependency on aid-funding. This entailed tensions between the logics of the market and mission. These tensions are manifest not only within the organizations but also in the relations between them. Originality/value: Analyses of the twin-track strategies have highlighted that maintaining aid dependency and resource diversification have different and conflicting relational prerequisites and require diverse and conflicting internal capabilities. The paper develops a conceptual framework for capturing the governance challenges of this strategic dilemma and concludes that the choices of pursuing continued aid-funding and seeking new commercial opportunities are invariably mutually exclusive.
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- author
- Jönsson, Jayne LU and Huzzard, Tony LU
- organization
- publishing date
- 2020-12-07
- type
- Contribution to journal
- publication status
- published
- subject
- keywords
- Aid-dependency, Alignment, Donor–partner relations, Governance, Legitimacy, Marketization, Nonprofit organizations
- in
- Journal of Accounting and Organizational Change
- volume
- 17
- issue
- 1
- pages
- 91 - 110
- publisher
- Emerald Group Publishing Limited
- external identifiers
-
- scopus:85097158708
- ISSN
- 1832-5912
- DOI
- 10.1108/JAOC-09-2020-0135
- language
- English
- LU publication?
- yes
- id
- b8f6b6f4-0429-45c0-a50d-0864f9ea4fcd
- date added to LUP
- 2020-12-16 07:10:21
- date last changed
- 2023-01-01 02:27:30
@article{b8f6b6f4-0429-45c0-a50d-0864f9ea4fcd,
abstract = {{<p>Purpose: In the context of the general funding scarcity in the nonprofit sector, this paper aims to inquire into the governance challenges facing nonprofit aid organizations in a donor–recipient partner relationship. In particular, the authors focus on the challenges of commercial diversification as the espoused alternative to aid-funding. Design/methodology/approach: A qualitative design was deployed to collect and analyze data collected from interviews conducted in three case organizations in an aid development partnership. Findings: The various responses at the organizational level are presented as well as analyses of the inter-organizational aspects. All organizations have responded strategically to reductions in funding from state/government and other aid sources by attempting to diversify commercially yet at the same time maintain dependency on aid-funding. This entailed tensions between the logics of the market and mission. These tensions are manifest not only within the organizations but also in the relations between them. Originality/value: Analyses of the twin-track strategies have highlighted that maintaining aid dependency and resource diversification have different and conflicting relational prerequisites and require diverse and conflicting internal capabilities. The paper develops a conceptual framework for capturing the governance challenges of this strategic dilemma and concludes that the choices of pursuing continued aid-funding and seeking new commercial opportunities are invariably mutually exclusive.</p>}},
author = {{Jönsson, Jayne and Huzzard, Tony}},
issn = {{1832-5912}},
keywords = {{Aid-dependency; Alignment; Donor–partner relations; Governance; Legitimacy; Marketization; Nonprofit organizations}},
language = {{eng}},
month = {{12}},
number = {{1}},
pages = {{91--110}},
publisher = {{Emerald Group Publishing Limited}},
series = {{Journal of Accounting and Organizational Change}},
title = {{Responding to funding scarcity : governance challenges in Swedish and South African development partnerships}},
url = {{http://dx.doi.org/10.1108/JAOC-09-2020-0135}},
doi = {{10.1108/JAOC-09-2020-0135}},
volume = {{17}},
year = {{2020}},
}