Starting a non-governmental organization or a non-profit organization (NGO/NPO) can be a

lengthy, time consuming process. However, the difficulties of the process can be minimized by
following a consistent series of steps and seeking advice when needed.

NGO/NPOs provide much needed services to their respective communities, and thorough planning
during the start-up process is crucial to develop an effective and professional organization that is
able to meet the myrid challenges faced by the world today.

There are many classifications of NGO/NPOs as determined by individual country's laws and
regulations, including co-ops, credit unions, societies, people's organizations or community groups
etc. The classifications can also designate NGO/NPOs as a religious, charitable, educational,
scientific, literary or other organizations. These organizations may qualify for income tax
exemption, or other financial benefits. Regional and local tax exemptions may also apply on a
region by region basis.

This article provides an outline of the general steps needed for starting and incorporating a
NGO/NPO. Detailed instructions for each of these steps can typically be obtained from local
governments or a designated government agency/board, an attorney, or a local nonprofit
management support organization.

The issues covered here are of a very general nature, and actual situations will, of course, vary
from country to country. Starting an NGO/NPO may only require a strong vision, or a need, for
people to come together as a group and work to satisfy that need. NGOs can range from 1-2
persons working on a single local issue to an international NGO network with thousands of
members working globally on a range of issues.

This feature is primarily based on the work of GDRC, itself an NGO, and the interaction it has had
with other NGOs via its programme, the "NGO Café". 

Introduction of ngos

A non-governmental organization (NGO) is a legally constituted organization created by natural or legal

persons that operates independently from any government and a term usually used by governments to
refer to entities that have no government status. In the cases in which NGOs are funded totally or partially
by governments, the NGO maintains its non-governmental status by excluding government
representatives from membership in the organization. The term is usually applied only to organizations
that pursue some wider social aim that has political aspects, but that are not overtly political organizations
such as political parties. Unlike the term "intergovernmental organization", the term "non-governmental
organization" has no generally agreed legal definition. In many jurisdictions, these types of organization
are called "civil society organizations" or referred to by other names.

NPOs and NGOs

Common usage varies between countries - for example NGO is commonly used for domestic
organizations in Australia that would be referred to as non-profit organizations in the United States. Such
organizations that operate on the international level are fairly consistently referred to as "non-
governmental organizations", in the United States and elsewhere.

There is a growing movement within the non-profit organization/non-government sector to define itself in a

more constructive, accurate way. The "non-profit" designation is seen to be particularly dysfunctional
because of at least three reasons: 1) It says nothing about the purpose of the organization, only what it is
not; 2) It focuses the mind on "profit" as being the opposite of the organization's purpose; 3) It implies that
the organization has few financial resources and may run out of money before completing its mission.
Instead of being defined by "non-" words, organizations are suggesting new terminology to describe the
sector. The term "social benefit organization" (SBO) is being adopted by some organizations. This defines
them in terms of their positive mission. The term "civil society organization" (CSO) has also been used by
a growing number of organizations, such as the Center for the Study of Global Governance.[5] The term
"citizen sector organization" (CSO) has also been advocated to describe the sector — as one of citizens,
for citizens.[6] These labels, SBO and CSO, position the sector as its own entity, without relying on
language used for the government or business sectors. However, some have argued that CSO is not
particularly helpful, given that most NGOs are in fact funded by governments and/or profit-driven
businesses and that some NGOs are clearly hostile to independently organized people's organizations.[7]
[8]
 The term "social benefit organization" seems to avoid that problem, since it does not assume any
particular structure, but rather focuses on the organization's mission.

History

International non-governmental organizations have a history dating back to at least 1839.[9] It has
been estimated that by 1914 there were 1083 NGOs.[10] International NGOs were important in
theanti-slavery movement and the movement for women's suffrage, and reached a peak at the
time of the World Disarmament Conference.[11] However, the phrase "non-governmental
organization" only came into popular use with the establishment of the United Nations
Organization in 1945 with provisions in Article 71 of Chapter 10 of the United Nations
Charter[12] for a consultative role for organizations which are neither governments nor member
states—see Consultative Status. The definition of "international NGO" (INGO) is first given in
resolution 288 (X) of ECOSOC on February 27, 1950: it is defined as "any international
organization that is not founded by an international treaty". The vital role of NGOs and other
"major groups" in sustainable development was recognized in Chapter 27[13] of Agenda 21,
leading to intense arrangements for a consultative relationship between the United Nations and
non-governmental organizations.[14]
Rapid development of the non-governmental sector occurred in western countries as a result of
the processes of restructuring of the welfare state. Further globalization of that process occurred
after the fall of the communist system and was an important part of the Washington consensus.[7]

Globalization during the 20th century gave rise to the importance of NGOs. Many problems
could not be solved within a nation. International treaties and international organizations such as
the World Trade Organization were perceived[by whom?] as being too centred on the interests of
capitalist enterprises. Some[who?] argued that in an attempt to counterbalance this trend, NGOs
have developed to emphasize humanitarian issues, developmental aid and sustainable
development. A prominent example of this is the World Social Forum, which is a rival
convention to the World Economic Forumheld annually in January in Davos, Switzerland. The
fifth World Social Forum in Porto Alegre, Brazil, in January 2005 was attended by
representatives from more than 1,000 NGOs.[citation needed] Some have argued that in forums like
these, NGOs take the place of what should belong to popular movements of the poor. Others
argue that NGOs are often imperialist[15] in nature, that they sometimes operate in
a racialized manner in third world countries, and that they fulfill a similar function to that of the
clergy during the high colonial era. The philosopher Peter Hallward argues that they are an
aristocratic form of politics.[16] Whatever the case, NGO transnational networking is now
extensive.
Types of NGOs
NGO type can be understood by orientation and level of co-operation.

NGO type by orientation

 Charitable orientation;
 Service orientation;
 Participatory orientation;
 Empowering orientation;

NGO type by level of co-operation

 Community- Based Organization;

 City Wide Organization;
 National NGOs;
 International NGOs;
Apart from "NGO", often alternative terms are used as for example: independent sector, volunteer sector,
civil society, grassroots organizations, transnational social movement organizations, private voluntary
organizations, self-help organizations and non-state actors (NSA's).

There are also numerous classifications of NGOs. The typology the World Bank uses divides them into
Operational and Advocacy:[18]

Operational NGOs Operational NGOs seek to "achieve small scale change directly through projects."[19] "
They mobilize financial resources, materials and volunteers to create localized programs in the field. They
hold large scale fundraising events, apply to governments and organizations for grants and contracts in
order to raise money for projects. They often operate in a hierarchical structure; with a main headquarter
that is staffed by professionals who plan projects, create budgets, keep accounts, report, and
communicate with operational fieldworkers who work directly on projects[20]Operational NGOs deal with a
wide range of issues, but are most often associated with the delivery of services and welfare, emergency
relief and environmental issues. Operational NGOs can be further categorized, one frequently used
categorization is the division into relief-oriented versus development-oriented organizations; they can also
be classified according to whether they stress service delivery or participation; or whether they are
religious or secular; and whether they are more public or private-oriented. Operational NGOs can be
community-based, national or international. The defining activity of operational NGOs is implementing
projects. [21]

Campaigning NGOs Campaigning NGOs seek to "achieve large scale change promoted indirectly
through influence of the political system."[22] Campaigning NGOs need an efficient and effective group of
professional members who are able to keep supporters informed, and motivated. They must plan and
host demonstrations and events that will keep their cause in the media. They must maintain a large
informed network of supporters who can be mobilized for events to garner media attention and influence
policy changes. The defining activity of campaigning NGOs is holding demonstrations. [23] Campaigning
NGOs often deal with issues relating to human rights, women's rights, children's rights. The primary
purpose of an Advocacy NGO is to defend or promote a specific cause. As opposed to operational project
management, these organizations typically try to raise awareness, acceptance and knowledge by
lobbying, press work and activist events.

Operational and Campaigning NGOs It is not uncommon for NGOs to make use of both activities. Many
times, operational NGOs will use campaigning techniques if they continually face the same issues in the
field that could be remedied through policy changes. At the same time, Campaigning NGOs, like human
rights organizations often have programs that assist the individual victims they are trying to help through
their advocacy work.[24]
Full Form of NGO

NGO means Non governmental organization. These are the organizations in which government
representatives are not present in members of organization and are funded by the government.
Sometimes entire funds are provided by the government while sometimes government partially funds
the NGOs. The main objective of NGOs is to provide social justice, development and human rights. It
provides services directly to local community.

History of NGOs

Beginning of NGOs starts in 1775 to 1918. It includes various national issues and war sufferer issues.
In late 1960s-1970s entire growth of NGOs had started. The main reason of developing NGOs is
economic recession, end of cold war, privatization, growing demands etc

Types of NGOs

They are basically classified as

a. Community based NGOs - Created by people's own interest. Main objective of these organizations

is to help urban people and aware them to understand their rights and provide required services.

b. Citywide NGOs – They include various organizations related to sports, education and association

of community based organizations.

c. National NGOs - These are professional organizations. Function of these NGOs is to support local

NGOs

d. . International NGOs – Main function of this NGOs is funding to local NGOs, implementing various

projects.

NGO DEFINITION AND HISTROY

NGOs are generally defined as autonomous non-profit and non-party/politically unaffiliated organizations
that advance a particular cause or set of causes in the public interest. The range of causes on which an
NGO can focus is unlimited, but a cardinal principle is that NGOs operate in a manner consistent with the
bye-laws or trust deed as the case may be, and objectives or causes for which they receive funds. For
most NGOs, donations are a lifeline as they are independent organisations. Funding can come from the
UN, Government organisations, private trusts and philanthropies, individual donations, religious
institutions, and in many cases, other NGOs. NGOs can and do contribute to democracy through
challenging governments and promoting social interests, but they themselves are not democratic
institutions and generally have no democratic accountability. However, an NGO is only accountable to its
particular funding organisations and members and has to abide by the monitoring standards set up these
funding entities and ofcourse, the law of the land.
 
A non-governmental organization (NGO) is not part of a government and is therefore typically
independent of governments. Although the definition can technically include for-profit corporations under
certain circumstances, the term is generally restricted to social, cultural, legal, and environmental
advocacy groups having goals that are primarily non-commercial. NGOs are usually non-profit
organizations that gain at least a portion of their funding from private sources. They can however, and
sometimes do, go in for commercial activities to raise resources and sustain themselves but the profits of
these activities cannot he distributed to members as dividend and has instead to be retained in the
organisations to further the interest and objects of the beneficiaries.  Because the label "NGO" is
considered too broad by some, as it might cover anything that is non-governmental, many NGOs now
prefer the term private voluntary organization (PVO).

Though voluntary associations of citizens have existed throughout history, NGOs along the lines seen
today, especially on the international level, have developed in the past two centuries. One of the first such
organizations, the International Committee of the Red Cross, was founded in 1863. The International Red
Cross and Red Crescent Movement is today the world's largest group of humanitarian NGO's.

The phrase non-governmental organization came into use with the establishment of the United Nations in
1945 with provisions in Article 71 of Chapter 10 of the United Nations Charter for a consultative role for
organizations that neither are governments nor member states. The definition of international NGO
(INGO) is first given in resolution 288 (X) of ECOSOC on February 27, 1950: it is defined as 'any
international organisation that is not founded by an international treaty'. The vital role of NGOs and other
"major groups" in sustainable development was recognized in Chapter 27 of Agenda 21, leading to
revised arrangements for consultative relationship between the United Nations and non-governmental
organizations.

Volunterism in India has a long history. During the freedom struggle,  voluntarism in India received an
impetus from the work of religious and social reformers and national leaders, notably Swami Dayananda,
Swami Vivekananda and Mahatma Gandhi. International organizations also expanded to India. Several
leading Indian industrialists such as Tatas, Birlas and Bajajs also started trusts and foundations and
promoted voluntarism and this had gone a long way in spreading the movement in the country. The post-
independence period saw further growth of voluntarism in many areas of development.  
However there is still believed to be an uneven regional distribution of such voluntary organizations/NGOs
with varying capacities in project formulation and implementation. Considering the magnitude of India’s
social, environmental and economic problems and the role the voluntary sector can play, there is still far
to go. While the Government has done a lot to further the movement, more remains to be done in terms
of policy and institutional support. The precise number of NGOs/VOs in the country has not been
determined, but is estimated at anything between one and two million. Many of the organisations are
small and unregistered, and there are many individuals who just work either on their own or as part of
informal groups. Even registered entities are not that regular in submission of reports and data to
monitoring agencies. With the spread of the micro-finance movement, several thousands of self-help
groups have been set up all over the country and this movement continues to grow rapidly, especially with
the entry of large funds and larger players into the micro-finance sector.

The NGO concept:

The NGOs are:
􀂄 organisations
􀂄 of private nature
􀂄 acting as informal groups or legal entities,
􀂄 which are independent in the relations with
any public authority.
They don’t aim for elected seats or profit
making.
Genericroles:
In a democratic society, NGOs can play
some generic roles :
􀂄 Solving community problems which are
partialy covered or not covered at all by
other public or private institutions
(managerial function)
􀂄 Involve citizens in the public decision
making process (political function)
Functions:
NGOs can play different functions:
􀂄 Intermediate the relation between
citizens and authorities;
􀂄 Facilitation of the social and political
integration of the citizens;
􀂄 Representation of interests of comunity
groups;
􀂄 Delivery of goods and public services.

Concept of civil society

Civil society is composed of the totality of voluntary social relationships, civic and social organizations,
and institutions that form the basis of a functioningsociety, as distinct from the force-backed structures of
a state (regardless of that state's political system) and the commercial institutions of the market.
Together, state, market and civil society constitute the entirety of a society, and the relations between
these three components determine the character of a society and its structure.
Definition
There are myriad definitions of civil society in the post-modern sense. The London School of
Economics Centre for Civil Society's working definition is illustrative:

Civil society refers to the arena of uncoerced collective action around shared interests, purposes

and values. In theory, its institutional forms are distinct from those of the state, and market, though in
practice, the boundaries between state, civil society, and market are often complex, blurred and
negotiated. Civil society commonly embraces a diversity of spaces, actors and institutional forms, varying
in their degree of formality, autonomy and power. Civil societies are often populated by organizations
such as registered charities, development non-governmental organizations, community groups, women's
organizations, faith-based organizations, professional associations, trade unions, self-help groups, social
movements, business associations, coalitions and advocacy groups.[1]

"Civil society" is a concept which has been elaborated in the framework of modern Western philosophy,
political science and sociology. In diversified, pluralistic, differentiated modern societies, the process of
socialization is carried on by institutions or groups (organizations, organisms, voluntary associations) which
are called secondary, as distinguished from the family group, considered as primary by social scientists. In
what social scientists call "traditional societies", social relationships are developed around the family group.
Structures of parenthood are the normative reference for social organization.(1) In "modern societies", on the
other hand, people relate themselves within circles other than the family.

In modern Western societies and in other societies which have been deeply influenced by this pattern, the
organization of society based on the family has been followed by another type of social relationship in which
the state has played a major role; and in recent decades, the market has come to be seen as the most important
reference for social organization.

The civil society is obviously related to both the state and the market, but it should not be confused with either.
Civil society may be seen as that sector of social reality in which human interests that are not rooted in the
family or in economic power or in state administration seek to affirm themselves and defend their rights and
prerogatives. The social dynamism of this sector is manifested by people's  associations(2) or "public non-
governmental organisms".

1.1 What do we mean by Advocacy?

In general the term "advocacy" means "organised efforts to effect systematic or
incremental
change". This definition could therefore cover the activities of any pressure
group within business or government or civil society which is pushing for
change. This might mean pushing for reform within a particular organisation, it might
mean pushing for the interests of a particular group vis-a-vis others, it might mean
the practice of politics. We could say that a chemical company lobbying government
for lower tariffs on the imports that it needs for its production, or a government ministry
lobbying for a greater share of the national budget - were both undertaking advocacy.
In many cases, particularly in the USA, advocacy is very big business and is carried
out by lobbying firms retained by businesses or governments. They are staffed by
professionals, often lawyers and they try and influence politicians and key government
officials. The other common understanding of "advocacy" is the profession
practised by lawyers who argue on behalf of their clients in a court of law.

These uses of "advocacy" say nothing about the nature or value of the advocacy
undertaken.
"Advocacy" in these senses could be (and often is) undertaken to further
advantage rich and powerful clients, and could concern a variety of "causes" ranging
from the ethical to the criminal. This use of advocacy is value neutral, and does not
say anything about the cause that is being advocated or those who will benefit from
the advocacy.
When we use the term "NGO advocacy" to describe the advocacy work of NGOs,
however, we are using it in ways that are importantly different. NGOs are value
based organisations of citizens whose motivation is a desire for a better world for the
poor and disadvantaged. So "advocacy" as the word is used by NGOs, contains two
specific and particular elements which underline the NGO way of doing advocacy:
(i) the advocacy effort must involve citizens in the advocacy process. Their involvement
should be conscious, intentional and democratic.
(ii) the advocacy effort must be directed towards specific and identified disadvantaged
groups, or must attempt to redress situations which the citizens as a
whole find themselves in - situations which particularly disadvantage the
poorer and less powerful citizens.
Advocacy, therefore, as it is practised by NGOs, is "a systematic, democratic, and
organised effort by NGOs to change, influence, or initiate policies, laws, practices,
and behaviour so that disadvantaged citizens in particular or all citizens in general
will be benefited".
2
1.2. What kinds of Citizens Organisations are involved in
Advocacy?
Amongst all the different kinds of citizens' organisations, which are likely to want to
create awareness of a problem, lobby for change, and promote new ways of thinking
and acting in accordance with the definition we have agreed above? In order to answer
this question we need to look at the different kinds of citizens' organisations
and the different functions they try to perform.
The term “citizens’ organisation”1 or the more commonly used term “civil society
organisation”
(CSO) is not one that is clearly understood, or understood in the same
way all over the world. Civil society is generally understood to be a Third Sector of
society distinguished from the First Sector (Government) and the Second Sector
(Business). A useful definition of civil society is “that sphere of social interaction
(located)
between the household and the state which is manifest in norms of community
co-operation, structures of voluntary association, and networks of public
communication"
(Michael Bratton, 1995). Concerned citizens who get together to change
the world for the better outside the government structure, and without the profit motive
of business, call themselves by many different names in different places – societies,
associations, voluntary agencies, charities, clubs, non-government organisations,
non-profit (and not-for-profit) organisations (and many more). The term "NGO"
has become the most commonly used word to describe such organisations. Some
civil society organisations are formed for mutual benefit of a particular group of people
and some are formed to benefit the public as a whole or a particular group of the
public. Unfortunately some organisations are also formed which pretend to be civil
society organisations, but which are really using the name for other purposes (benefiting
the founders, benefiting the government, benefiting commercial companies).
While concerned citizens are interested in changing the world for the better generally
get together through the form of NGOs, NGOs use many different forms and perform
many different functions2. Such organisations work through care and welfare at one
end of the spectrum through to public information, education, and advocacy at the
other. Any one NGO, moreover, may perform several of these functions at the same
time. An NGO may, for instance, assist people with diarrhoeal diseases, help people
build latrines, educate people about the dangers of water borne diseases, lobby
government for a bigger budget for water and sanitation, and advocate for a change
in hand washing habits amongst the people.
It is likely that advocacy, as a strategy of NGO work, will appeal to the following
kinds of organisations:
1.2.1. Employment Related Organisations
These are membership and mutual benefit organisations which are likely to be
interested
in advocating on issues on behalf of their members. They could be trade unions,
farmers associations, professional associations, students organisations - and
1 See Box 1A: "Civil Society & Civil Society Organisations"
2 See Box 1B: The Spectrum of NGO Activities
3
other kinds of organisations which represent the interests of their members
1.2.2. Representative Organisations
These are organisations which represent the interests of a particular class or category
of people - like the blind, the unemployed, women, youth. They may also represent
the interests of a much more specific group - like the inhabitants of village which
is threatened by the waters of a dam, or consumers who have been afflicted by a
malfunctioning product.
1.2.3. Public Service Organisations
These are citizens organisations that have been formed to help particular groups of
the public, or the public at large, and who carry out this work as delivering services to
the public - like clean water, primary health care, literacy training, agricultural training,
credit. As they carry out their public service work they find that their ability to do
this is constrained by public laws, policies, practices or behaviour which block them.
They are therefore interested in advocating for change in the perceived constraints.
1.2.4. Cause Related Organisations
These are citizen's organisations which have targeted a particular cause where they
consider that abuses are being carried out and reforms are sorely needed. They are
formed specifically to advocate for change in areas which they feel are important.
Likely targets for such organisations are: abuse of the environment, corruption,
discrimination
against women, consumers rights, democracy and good governance,
human rights.

2nd unit
Stratergy,structures and systems of ngo’s

Strategy
Introduction
Strategy is concerned with deciding the nature, domain and scope of an organisation’s activities
(essentially, what it is like, its values, the areas it covers and the direction it is going in), and the way
its success will be evaluated. The pattern of activities in strategy arises from the acquisition,
allocation and commitment of a set of resources and capabilities by the organisation, in an effective
match with the challenges of its environment, and from the management of the network of
relationships with and between stakeholders.
Strategic planning is vital to ensure that your organisation follows the most effective course towards
its mission.
Definitions
Strategy can be defined in many ways, including the following useful examples: -

‘Strategy is the pattern of activities to be followed by an organisation in pursuit of its long-term

purpose’, including its ‘placing’ within the movement. In simple terms:

‘Where we are now, where we want to go and how we intend to get there’.’
‘An agreed-upon course of action and direction that helps manage the relationship between an
organization and its environment. The goal is to achieve alignment or synergy so that an optimal flow
of resources to the institution is achieved.’
‘Strategy can be defined as the process of identifying, protecting, leveraging and renewing the
strategic capabilities of an organisation through its definition of purpose its organisation and
processes, and its choice and support of people.’
What most definitions have in common is: -

An understanding/assessment of the organisation’s resources and capabilities

An understanding/assessment of the external environment

From these, a decision on the best way to use and apply the former to achieve an agreed aim in the
latter.

The Importance of Strategy

Strategy formulation is a vital function of NGO management. A well-focussed and defined strategy
is necessary to ensure optimal progress towards mission and vision is achieved
Social goals make it more difficult to determine priorities, set measurable targets and evaluate
performance. This does not mean it is impossible, just that it is not easy (or often natural) to do this.
Also, there is a marked tendency for the ‘mission driven’ to consistently broaden their focus and
workloads. These factors make it even more important to have a well-defined strategy.
What Constitutes a Strategy?
Strategy can combine some or all of the below factors: -

Vision (see below)

Mission Statement (see below)

Core Values (see below)

Goals and Objectives

Critical Success Factors – what the organisation must get right to succeed in its mission

Positioning – Similar to brand. Building a valued and preferred position in the minds of your target
audience (how you would like them to describe you)

Brand/Reputation – Developing and communicating powerful and meaningful differences between

your offerings and those of your competition
In a middle to large-sized organisation the strategy section would, in reality, probably incorporate
several sub-strategies covering key departments e.g. campaign strategy, educational strategy,
fundraising strategy, financial strategy and IT strategy.
Operational planning is agreeing the practical plans to implement the strategy. This is dealt with
separately.
Strategic Planning Terminology and Hierarchy
There is a great deal of inconsistency in how the following terms: strategic issue, goal, and objective,
are used. The following is a useful reference/guide that can be applied in the interests of establishing
a common vocabulary:
Strategic issue – A problem or opportunity that the organisation wishes to address or take advantage
of.
Goal – Specific, measurable statements of what will be done to address strategic issues.
Objective – An activity that will help you accomplish a goal. Objectives, sometimes called tactics,
are framed in action plans that detail:

Responsibility

Timeline

Resources

Assessment/evaluation

Establishing Boundaries
In an animal protection organisation context, it is vital that strategy includes boundaries and limits,
and aims for focus and prioritisation. The temptation is to include every issue and problem (that
might potentially be addressed). However, this is likely to be counterproductive in practice. The
underlying objective should be to maximise mission fulfilment, given available resources – and this
does not mean tackling everything. It means harnessing resources and leveraging these to best effect.
Vision and Mission
The vision and mission are the starting points of any strategy. We all need a vision of who we are,
and what we are aiming for. Then we need to decide what steps we will take to climb towards our
ultimate goals.
Some animal protection societies have both a mission and a vision, although many have only a
mission statement. Briefly, the difference is as follows: -

Mission Statement – A declaration of an organization’s purpose; its raison d'être.

Vision – A realistic, credible, attractive future for your organization.

The mission is important because it can engage both the hearts (culture) and minds (strategy) of the
organisation’s staff and the board. A good mission that is used well can be inspirational and develop
a strong, sharedorganisational culture. It helps to ensure that employees’ are emotionally tied to the
organisation, and that their goals are synchronised with those of the organisation.

The vision is a longer-range vision of success and, as such, can be a powerful engine driving an
organisation towards excellence. However, for most smaller animal protection societies, a mission
alone is probably sufficient. Indeed, it is debatable whether havingboth a vision and a mission dilutes
and confuses what should be a powerful message of intent (particularly for external audiences).
Developing a Mission Statement
A mission statement sets forth the fundamental purposes for which your organisation has
been formed. It should cover: -

Purpose – why the organisation exists – goals and objectives.

Programme – how you will achieve your purpose

Principle – what your values are

The mission statement should be: -

Understandable – to the general public

Brief – short paragraph

Realistic – in terms of your financial and human resources

Specific to provide a framework for your developing objectives and programmes

Broad enough to stand the test of time, so it does not need to be reworked frequently

Accurate reflection of the boards intent and understanding

Operational (state the expected outcome)

Building a Strategy

Building a Strategy
Strategy formulation is a vital function of NGO management. However, strategic management
should not be mystified. It is simply developing and advancing the work and concerns of the
organisation as a whole, within the constraints and demands of its wider environment. It is often little
more than ‘enlightened common sense’.
Research and analysis are the building blocks of strategy formulation .The key elements needed are
an analysis of the organisation’s resources and its own particular strengths and an analysis if its
operating environment. Thus, you are carrying out both an ‘internal’ (within the organisation) and
‘external’ (outside the organisation) analysis. This is necessary to determine the organisation’s ‘best
fit’ within its ‘industry’ (i.e. the role that will help it to achieve most for animals). This is known as
‘effective strategic fit’ in management terminology – meaning a good match between the
organisation and its environment.
Internal Analysis
The internal analysis considers the organisation’s resources (both financial and human) and its
‘distinct (or core) competencies’. A common and simple tool for this is the SWOT analysis that
examines: -
Strengths – key strengths, core competencies/capabilities or (especially) unique advantages (‘Unique
Selling Points’)
Weaknesses – weaknesses in the organisation – things it does less well and/or cannot cope with
Opportunities – opportunities that may arise for the organisation
Threats (or Challenges - SWOC!) – potential threats to the organisation and its work
A SWOT analysis can be charted on paper or simply prepared from a brainstorming session (popular
as it throws up many and varied ideas).
External Analysis
The second part of this analysis is of the external situation affecting the organisation. This involves
an analysis of an organisation’s position in the movement, competition or collaboration decisions,
relevant external environmental factors (political, economic, social, cultural, geographical, legislative
etc.), educational, service provision and/or campaign environments and objectives.
Structure and Systems
Introduction
Structure is the arrangement by which various organisational activities are divided up, and how
efforts are coordinated. Structure is pivotal between task and process. An organisation needs to be
appropriately structured for the circumstances in which it finds itself and – particularly – the tasks it
has decided to carry out. It follows, therefore, that strategy should be determined first, followed by
the organisational structure.
Need for Structure
Structure helps people in the organisation to work together effectively. The more effective the
structure, the more effective the working relations between people and departments. Structure
underpins how power and accountability, internal and external, operate within the organisation: it
determines how responsibilities are allocated and enables effective participation.
Any organisation needs defined responsibilities, communication channels, agreed procedures etc.
There is no ideal structure, just various options from which to chose the most appropriate. The most
obvious divisions are departmental or functional groupings. Structure should indicate the pattern of
reporting relationships. It can be captured in an organisational chart. Indeed, if it cannot easily be
captured in such a chart, or if there are too many complexities or crossed lines in this, then the
structure is too unclear to be workable in practice.
Other structural features include the cycle of staff meetings, committee meetings, information
systems, rules and procedures etc.
There are some distinct NGO (non-governmental organisation) mindsets on structure: -
‘We want to keep this informal. As few rules as possible.’
‘We don’t have a structure – everyone mucks in and we all have an equal voice.’
‘Voluntary organisations have to be flexible. All this hierarchy gets in the way of this.’
There are many negative consequences of structural deficiencies including: -

Low morale – people not knowing what’s expected of them and lacking responsibility and autonomy.

Excessive meetings.

Late and inappropriate decisions.

Conflict and departmental divisions.

Lack of coordination.

Inadequate response to changing circumstances.

Rising costs.

Larger organisations can devolve quite a bit of responsibility, given an appropriate structure, broad
strategic and policy orientation, guidelines for good practice in service delivery and budgetary
controls. A small organisation is unlikely to develop the same level of budgetary and reporting
systems and controls as a larger one and nor indeed is this necessary.

Choice of Structure
The choice of structure will depend on a number of factors including the organisation’s culture,
function and mission, its size, its budget and the personalities involved. The options range from a
bureaucracy to a collective structure. It follows that structure should not be static, but should be
reviewed to take account of important strategic changes. Upsizing and downsizing should also be
strategic and measured, with impact upon strategy and thereby structure taken into account.. The
need to have unity and consistency of values and purpose is common to all structures.
Different types of organisation will need different structures.An organisation that has a number of
different core functions may find it advantageous to separate these functions, in order to enable the
different cultures and approaches needed to operate. In particular, a professional manager could be
employed to head up the service delivery arm, and a charismatic leader for the advocacy arm. Also,
the service delivery arm could incorporate the necessary standards and controls without imposing
these on the campaigns team to the detriment of creativity. However, there would need to be clear
systems to achieve organisational coherence and maximum use of expertise throught the organsation.

Vision and mission of ngo’s

Vision and Mission are the two important pillars of organization that continuously
guides people associating with organization. Many NGOs and voluntary organizations
have started to define their vision and mission statements as a living document of the
organization. These statements should be lived by the organizations. Vision and
Mission statements have now become an important part of strategy-making exercise
and managements are taking keen efforts to frame an effective statement because
they form a basis for all tactical decisions in the organizations. These statements have
gained considerable significance as they provide direction and the focus for
organizations. Vision Statement defines the destination or goal and the mission
statement defines the path to achieve that. They are envisaged through a strategic
process and thus there is an alignment between the statements and business strategy

Some examples of Vision & Mission Statements

(1) Childline India Foundation

Vision statement:

To protect the rights of children in need of care and protection

Mission Statement:

CHILDLINE aims at responding to the emergency need of every child in need of care and protection
throughout the country, ensuring that there is an integrated effort between the government, non-
governmental organizations, academic institutions, bilateral agencies, corporates and the community
in protecting the rights of children. India is home to almost 19% of world’s children. More than one
third of country’s population, around 440 million, is below 18 years. Promoting child protection and
child rights for our children is consequently a crucial issue.

(6) NGO Fundraisers

Vision
To help all deserving NGOs across India with their requirement for funding.

Mission

To develop innovative ways of fundraising for helping NGOs with their funding requirements.

To approach philanthropic individuals for raising donations for deserving NGOs across the country.

To work as an organization towards the eradication of unemployment by providing various

opportunities to able as well as disabled individuals to earn a living.

Providing equal opportunity of work to all.

Work towards the upliftment of one and all that form a part of the communities that exist around us by
offering our services and through job creation.

To positively impact the societies that we work in.

Auditing reports of ngo’s

Financial monitoring/ Audit Scope

The auditors will validate the processes that the NGOs have in place by reviewing
the work that supports the NGOs judgments and assessments through the NGOs
system for reporting and managing risks. However, key focus of financial
monitoring/ audit is to assess the controls that have been put in place to manage the
relevant risks. The auditors will ensure that:

1. Financial transactions are being recorded regularly in the books of

accounts/ system.
2. The financial transactions have all required supporting documents.
3. NGO’s own polices and procedures are consistently being followed.
4. Accounting system provides reasonable security levels to restrict any
kind of tempering with the financial information.
5. Transaction monitoring should analyze all elements of the
transaction. Determine accuracy, reliability and cost effectiveness of
all supporting documents that are part of the financial transactions.
6. A minimal number of financial and IT personnel have administrative
privileges to the accounting records/software to reduce the risk.
7. Managers ensure that what needs to be done will be done in practice,
following required NGO polices and procedures.
8. Problems are being actively identified and managed.
9. Risks and uncertainties are being actively managed through a proper
assessment.
10. Key controls are in place to help manage the identified risks.
11. These controls are being operated well. Specifically, we are
interested in how significantly they contribute in providing managers
with assurance that the risks are being managed and any limitations
 that may affect their effectiveness.
12. The levels of risk left after the application of controls are within the
acceptable limits as defined by the management.

Mobilization of funds from foreign donors

Of all the resources required for a Voluntary organization/NGO /NPO, resources in

the form of ‘money’ is the most important one. Without this resource we cannot
activate theother resources in the agency / community.In the marketoriented
economy like ours, it is the monetary resource,
which determines the expansion or contraction of other resources.
broader Meaning of Resource Mobilization
Mobilization is "the process of forming crowds, groups, associations, and
organizations for the pursuit
of collective goals" (Oberschall quoted in Scott p. 169). Organizations do not
"spontaneously emerge"
but require the mobilization of resources.
Resource mobilization is a sociological theory that forms part of the study of social
movements. It
stresses the ability of movement's members to acquire resources and to mobilize
people towards the
furtherance of their goals. [Kendall 2006] In contrast to the traditional collective
behavior paradigm
that views social movements as deviant aberrations, resource mobilization--which
emerged in the
1970s--views social movements as formed by rational social institutions and social
actors taking
political action. [Buechler 1999]
According to resource mobilization theory, it is a core group of sophisticated
strategists that works
towards harnessing the disaffected energies, attracting money and supporters,
capturing the media’sthe media’s
attention, forging alliances with those in power, and creating an organizational
structure. This theory
assumes that without such resources, social movements cannot be effective and
further that dissent
alone is not enough to engender any social change. [Kendall 2006]
This theory is based on the assumptions that individuals are rational. Also, it views
social movements
as a goal-oriented activity. Thus, following rational choice theory, individuals are
viewed as weighing
the costs and benefits of movement participation and deciding to act only if benefits
outweigh costs.
When movement goals take the form of public goods, the free rider dilemma has to
be taken into
consideration. Organization is more important than acquisition of resources, or than
resources
themselves. Organization focuses on interactions between social movement
organizations (SMOs) and
other organizations (other SMOs, businesses, governments, etc.). Organization
infrastructure is
another aspect of study in this approach. [Kendall 2006]
Resource mobilization theory may be divided into two camps:
John McCarthy and Mayer Zald are the originators and major advocates of the
classic
entrepreneurial (economic) version of this theory, while Charles Tilly and Doug
McAdam are
proponents of the political version of resource mobilization.[Kendall 2006]
The entrepreneurial model blends economics and organization theory to account for
collective action.
It argues that grievances are not enough to lead to the creation of a movement, and
instead that
access to and control over resources is the most important factor. This model states
that the flow or
resources from and towards the group can be best explained by the laws of supply
and demand, and
that individual or group involvement (or lack thereof) is accounted for by rational
choice theory.
Critics, however, point out that resource mobilization theory fails to explain social
movement
communities. [Kendall 2006]
The political version of RMT focuses on the political struggle instead of economic
factors. [Kendall
2006] Critics have argued that it fails to account for social change brought about by
groups with
limited resources and that it marginalizes the role of grievances, identity and culture
as well as many
macro-sociological issues. [Kendall 2006]

attention, forging alliances with those in power, and creating an organizational

structure. This theory
assumes that without such resources, social movements cannot be effective and
further that dissent
alone is not enough to engender any social change. [Kendall 2006]
This theory is based on the assumptions that individuals are rational. Also, it views
social movements
as a goal-oriented activity. Thus, following rational choice theory, individuals are
viewed as weighing
the costs and benefits of movement participation and deciding to act only if benefits
outweigh costs.
When movement goals take the form of public goods, the free rider dilemma has to
be taken into
consideration. Organization is more important than acquisition of resources, or than
resources
themselves. Organization focuses on interactions between social movement
organizations (SMOs) and
other organizations (other SMOs, businesses, governments, etc.). Organization
infrastructure is
another aspect of study in this approach. [Kendall 2006]
Resource mobilization theory may be divided into two camps:
John McCarthy and Mayer Zald are the originators and major advocates of the
classic
entrepreneurial (economic) version of this theory, while Charles Tilly and Doug
McAdam are
proponents of the political version of resource mobilization.[Kendall 2006]
The entrepreneurial model blends economics and organization theory to account for
collective action.
It argues that grievances are not enough to lead to the creation of a movement, and
instead that
access to and control over resources is the most important factor. This model states
that the flow or
resources from and towards the group can be best explained by the la by the laws of
supply and demand, and
that individual or group involvement (or lack thereof) is accounted for by rational
choice theory.
Critics, however, point out that resource mobilization theory fails to explain social
movement
communities. [Kendall 2006]
The political version of RMT focuses on the political struggle instead of economic
factors. [Kendall
2006] Critics have argued that it fails to account for social change brought about by
groups with
limited resources and that it marginalizes the role of grievances, identity and culture
as well as many
macro-sociological issues. [Kendall 2006]

Management of NGOs –Mobilizing & Managing Financial Resources –

S.Rengasamy

2
Resources are the inputs that are used in the activities of a program. Broadly
speaking, the term
encompasses natural, physical, financial, human, and social resources, but the vast
majority of
the resources are financial resources. In kind resources such as the provision of
office space,
seconded staff, or partner participation at board meetings are a second level of
resources.
Resource mobilization is the process by which resources are solicited by the
program and
provided by donors and partners.
The process of mobilizing resources begins with the formulation of a resource
mobilization
strategy, which may include separate strategies for mobilizing financial and in-kind
resources.
Carrying out a financial resource mobilization strategy includes the following steps:
identifyingpotential sources of funds, actively soliciting pledges, following up on
pledges to obtain funds,depositing these funds, and recording the transactions and
any restrictions on their use. Theprocess is generally governed by legal agreements
at various stages.
Financial management refers to all the processes that govern the recording and use
of funds,
including allocation processes, crediting and debiting of accounts, controls that
restrict use, and
accounting and periodic financial reporting systems.
Explanation:
FUND-Literally means a sum of money on which some enterprise
is founded or expense supported.
MOBILIZE /RAISE- Means to bring about or to get.
CAMPAIGN-Means an organized and intensified series of operations in the
advocacy
of some cause or object.