nonprofit research

2011 Nonprofit Employment Trends Survey Report and Symposia

For the second year in a row the Caster Family Center for Nonprofit and Philanthropic Research has co-produced the National Nonprofit Employment Trends Survey.  This year the survey respondents included over 450 nonprofit organizations representing a variety of subsectors and budget sizes.

The report received a variety of press coverage:

Key findings from the 2011 report include:

  1. Although the HR function is viewed as critical within many organizations, it still remains a low priority for most organizations. Eighty-four percent of nonprofit respondents agreed that the HR function is critical to their organization’s ability to fulfill its mission, yet few prioritize the HR function within their organizations. The majority of respondent organizations (52 percent) do not have a dedicated HR professional and 55 percent rely upon existing staff to handle new programs and or initiatives.
  2. Nearly a quarter of nonprofits lost staff in 2010. However 60 percent of those organizations indicated that they intend to hire or are considering the creation of new positions in 2011. This finding was consistent irrespective of the size of the organization.
  3. When nonprofits lay off staff, 81 percent report using existing staff to fulfill the duties of the eliminated position. This is a worrisome trend as it could lead to
    burnout and premature turnover.
  4. Turnover remains low. Economic improvements are not being realized as quickly as anticipated. Findings from this year’s survey revealed that turnover remains low within nonprofit organizations. Turnover rates for respondent organizations were calculated at 13 percent compared to last year’s rate of 21 percent. This low turnover rate is an indication that the economy might not be improving as quickly for nonprofits as it is for other sectors.
  5. It’s still “who you know” when it comes to nonprofit recruitment. Nonprofits primarily use in person networking and newspapers to recruit job candidates. This is surprising considering the rapid growth and affordability of social networking tools over the past few years. This practice also has the potential to negatively impact diversity efforts.

The Caster Center co-organized three symposia around the country to present these key findings to the general public and bring in experts on the topic of human resource management and risk management.  Last Friday, over 75 people attended the San Diego symposium.  As part of the planning process, I collected best practice nonprofit HR resources and presentations from the presenters.  These resources and presentations are available through USD’s IdeaEncore online library.

ARNOVA 2010: Nonprofit Research that Builds Theory and Informs Practice

I made a conscious decision to not LIVE blog the ARNOVA conference.  I wanted to reflect on the various topics and themes that emerged during the conference before blogging about them.  I did tweet during the conference.

One of the main themes of the conference was the struggle between research that builds theory and research that informs practice.   I applaud ARNOVA for organizing sessions on Friday afternoon that had a practical application and focus.  I attended a session about learning organizations, where Angela Bies and Jeffrey Brudney (Editor of the Nonprofit and Voluntary Sector Quarterly) presented about the frequency in which NVSQ publishes articles related to nonprofit practice.  They concluded that only 32% of NVSQ articles are related to practice.  No surprise, I was disappointed by this small percentage.  However, several of my colleagues put this percentage in perspective and stated that other journals publish far less articles related to practice, and the field needs scholars who advance theory as well as scholars who advance practice.

The closing plenary speaker, Lynne Huntley, President of the Southern Educational Fund, also brought up the issue of research being related to practice.  She expressed that researchers need to recognize the position and privilege that we come from when we do research.  This is also known as the emancipatory view of knowledge.  She urged us to consider how those working in nonprofit organizations might create research questions differently than scholars in academia.

The topic of research related to practice is something that I think about constantly.  For me it’s not an either/or but I personally want to do research that has both theoretical and practical implications.  For example, last year I conducted a national survey of people’s perception of nonprofit careers.  This research informed Idealist’s Nonprofit Careers Month Initiative. While developing this survey, I also worked with Jessica Word, a professor from University of Nevada, Las Vegas to include questions about Public Service Motivation theory. Our goal was to see if Public Service Motivation theory could be applied to those working in the nonprofit sector.

Research on the Nonprofit Workforce: Here’s a Brief Overview

In 2006, American Humanics compiled a comprehensive bibliography about the nonprofit workforce titled, Workforce Issues in the Nonprofit Sector: Generational Leadership Change and Diversity.

Since this bibliography was released, nonprofit organizations have continued to struggle to understand and appreciate human resource management and succession planning practices. Organizations like, Commongood Careers and Nonprofit HR Solutions are now providing human resource and talent management support to many nonprofits across the United States. In addition, new studies have been published about the nonprofit workforce. Here's a brief overview of these studies:

Books about the Nonprofit Workforce and Nonprofit Careers
General statistics about the nonprofit workforce:
Retention, Turnover, and Vacancy
Job Motivation in the Nonprofit Sector
Compensation
Choosing a Nonprofit Career

Research on the Nonprofit Workforce: Here’s a Brief Overview

In 2006, American Humanics compiled a comprehensive bibliography about the nonprofit workforce titled, Workforce Issues in the Nonprofit Sector: Generational Leadership Change and Diversity.

Since this bibliography was released, nonprofit organizations have continued to struggle to understand and appreciate human resource management and succession planning practices. Organizations like, Commongood Careers and Nonprofit HR Solutions are now providing human resource and talent management support to many nonprofits across the United States. In addition, new studies have been published about the nonprofit workforce. Here’s a brief overview of these studies:

Books about the Nonprofit Workforce and Nonprofit Careers

General statistics about the nonprofit workforce:

Retention, Turnover, and Vacancy

Job Motivation in the Nonprofit Sector

Compensation

Choosing a Nonprofit Career

2010 Nonprofit Employment Trends Survey Results

Over the past five months I served as the team leader for the 2010 Nonprofit Employment Trends Survey, a research project of the Caster Family Center for Nonprofit and Philanthropic Research.

Nonprofit HR Solutions
(a Washington DC based nonprofit human resources consulting firm) approached us to work on this national survey of nonprofit employment practices. I am happy to report that the data we collected is representative of organizations across the nonprofit sector by size, subsector, and location!!

The Caster Center will be hosting a Nonprofit Human Resource Management Symposium to discuss the key findings and implications this data on San Diego area nonprofits. I would like to highlight a few of these key findings here along with my commentary.

1. The nonprofit job market appears to be stabilizing. Nonprofits are starting to recover from the economic downturn and they are planning to hire new staff in the latter part of 2010 into 2011.

2. Nonprofits are doing more with less. As the demand for nonprofit services increases, nonprofits are turning to current employees to get the work done rather than hiring new employees. This is especially the case with smaller organizations. This staffing strategy has potential negative consequences of employee burnout and voluntary turnover.

3. Succession planning continues to be a problem for organizations. For senior and executive level positions, nonprofits are hiring from outside of the organization. This is especially disconcerting for emerging leaders. There are few opportunities for upward mobility within nonprofit organizations and the move out to move up mentality still rings true. (This finding mirrors the NP2020 research)

Click here to access the full report.

Survey on skills needed for a successful nonprofit career

Message from American Humanics:

American Humanics (AH) is seeking your input to assure that work ready talent is available to organizations and agencies who serve families, our communities and the world.

American Humanics is the only national organization bringing together nonprofit organizations and higher education for the purpose of credentialing future nonprofit managers and leaders. Founded in 1948 we work with 62 affiliated colleges and universities to insure that students preparing to work in the nonprofit sector obtain industry specific competencies and skills.

This national survey will determine what competencies are needed in effective managers and leaders. Your input will drive the continued development of the American Humanics Nonprofit Management and Leadership credential. This is the largest survey of its kind and seeks the input of all segments of the nonprofit sector.

Please access the survey here: Take the Survey

We are seeking the input of nonprofit executives, human resources leadership, those with human resources responsibilities and nonprofit management faculty. We would like representation from diverse cross-section of the nonprofit sector. The deadline for completion of the survey is Monday, May 31, 2010. The survey is easy to complete and should take 10-20 minutes.

The results of the survey will be published and distributed publicly in the fall of 2010. More so, the findings will support curricular development in our network of colleges and universities.

American Humanics thanks you in advance for your support. The results of the survey will be shared later this year and will ensure the nonprofit workforce is equipped to handle future challenges.

How to be a Critical Consumer of Nonprofit Research

In today's society we want information fast and to the point causing us to make assumptions and generalizations about the sector or society as a whole. Too often this sound bite mentality/culture prevents us learning the real truth behind what we read. Here are examples of three news headlines:
Each of these headlines reported on a different study and made claims about the entire nonprofit sector. It is great that many organizations are producing research about the sector, however, in many cases this research is reported in an inaccurate manner.

One of the first things I learned in my PhD program was how to be a critical consumer of research (thank you Dr. Galloway!). Here are the questions I ask myself when I read any article or research about the nonprofit sector:

1. Who were sampled? (Nonprofits, Executive Directors, Foundations?)
2. Is the sample representative of the nonprofit sector-by organizational type (NTEE Code), budget size, location?
3. What were the sampling procedures?
4. Was the information conveniently gathered or did the researcher attempt to collect data from as many organizations as possible across the sector?

There are a variety of reputable sources that researchers can use to compare their sample to the national nonprofit sector. The National Center for Charitable Statistics produces an nonprofit almanac where the majority of this information is location. Here are some other sources as well.
Now, let's try to be critical consumers of the three studies I listed above:

1. "A Growing Leadership Gap: Need for qualified executives persists even as charities trim staff" Comes from the study: Finding Leaders for America's Nonprofits by the Bridgespan Group

The survey sample included 433 Executive Directors. The Bridgespan Group purposefully sampled organizations with revenues over 1million dollars. I am unsure why they did this since their sample potentially represents only 17.7% of organizations in the sector, therefore the study is not representative of the entire sector. Although the researchers reported NTEE code and region for the sample, it is unclear if this information is representative of the 17.7% of organizations in the sector since no comparisons were made.

2. "Nonprofit Groups Laid Off Employees, Shifted Investments, and Added Governance Steps in 2009" Comes from the study 2009 National Board Governance Survey for Not-for-Profit Organizations by Grant Thorton.

The survey sample included 465 CEO's, CFOs, board members or other executive level staff. Grant Thorton reported that 71% of respondent organizations had revenues of less than 50million. Really? I am unsure why they did not break down the budget sizes into smaller categories. This shows me the sample is heavily skewed towards larger organizations, and like the study above, is not representative of small organizations or the sector as a whole. Additionally, the study does not provide any statistical information about NTEE code or location of respondent organizations.

3. "For Executives, Study Shows Foundations Prefer to Hire from the Outside" Comes from the Study: Benchmarking Diversity: A First Look at New York City Foundations and Nonprofits by the Foundation Center & Career Pathways to Philanthropic Leadership 2009 Baseline Report by the Council on Foundations

I am going to focus on the Career Pathways report since it is a national study. This study includes a combination of interviews with 50 foundation executive, trustees, nonprofit executives, and people connected to the foundation subsector and an analysis of foundation executive appointments from 2004-2008 (400 appointees). I think this report does a nice job of reporting its sampling procedures and limitations of the research. They are clear that the study does not represent the 70k foundations in the USA and the study is skewed towards larger foundations. However, the hiring information is representative of foundations by region.

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I recognize that it is difficult to conduct a research study that is representative of the entire sector and I am not necessarily advocating for that. I am advocating for researchers to clearly state their sampling procedures, limitations of the study, and try to see if their data is representative of the sector (and if not -- state that is not). Additionally, since most news headlines generalize research to the entire sector, I want to encourage people to read cautiously and be critical consumers of the research. I would also encourage news sources to state the limitations of the study in the news articles as well.

How will we measure impact in 2010?

I was in the middle of writing a blog post about a community impact study when I saw that Give and Take featured a lively discussion (hosted by Ken Berger) about organizational impact and community impact.

I agree with Ken and Hildy in their discussion of impact. As Ken stated, many nonprofits do not incorporate evaluation methods in their organizations. This is important to keep in mind when we (researchers and consultants) study impact within nonprofit organizations, we must present evaluation tools that nonprofits will understand and use (See Carmen's research about nonprofit evaluation Nonprofits and Evaluation: New Directions for Evaluation). We must also work with nonprofits to create measures to study COMMUNITY impact as well. This is not an easy task but it is beginning to happen.

At the University of San Diego we studied organizational and community impact of the Nonprofit Leadership and Management program by conducting an extensive qualitative study to determine whether student-led applied projects conducted for nonprofit organizations had an impact on those organizations, and if so, to assess the type and duration of that impact.

We first studied if and how the projects were used by the organizations. We then asked questions that went beyond the internal workings of the organization to determine if and how the project influenced programming and future work. Our findings indicated that all of the projects were used in some form. In addition, respondents offered recommendations to strengthen the applied projects process.

This is an exciting first step for studying community impact of the Nonprofit Leadership and Management program at the University of San Diego.

Way to go ARNOVA!!

Next week I'll be attending the Association for Research on Nonprofit Organization and Voluntary Action ARNOVA annual conference in Cleveland, OH and I am super excited!! This year I'll be part of ARNOVA's social media team so stay tuned for updates via this blog, the ARNOVA website, and twitter #arnova09.

I have to say ARNOVA has made amazing progress this past year to connect with younger nonprofit scholars and to establish a social media presence on Facebook, Twitter, and Ning. This mostly due to the efforts of John Ronquillo, way to go John!

Stay tuned for live posts about the conference from John, Lindsey McDougle and myself. If you're planning to attend the conference and would like to join our social media team please let me know. Additionally, this year I (along with Jennifer Shea) have organized a dynamic networking event for conference newcomers on Friday evening of the conference. It's shaping up to be a fun and informative event!