2_alfirevic_gabelica (1).doc

8/8/2019 2_Alfirevic_Gabelica (1).doc

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Management, Vol. 12, 2007, 1, pp. 25-44 N. Alfirević, I. Gabelica: Management practices in Croatian non-profit organizations: Results

MANAGEMENT PRACTICES IN CRATIAN NN-PR!ITRGANI"ATINS# RES$%TS ! T&E EMPIRICA% RESEARC&

Nikša Alfirević1 , Nino Gabelica2

Receive!: "#. "$. %""$ &reliminar' communication

Accepte!: %(. (%. %""$ )*C: $+.+:"$(.% /#.+0

As the traditional sources of funding for the non-profit and civil society

organizations see to be vanishing in !entral " #astern #urope entirely, a higher

level of professionalis, as $ell as a significant iproveent of efficiency are

re%uired fro the entire sector& 'n order to identify the anagerial practices of the

ost advanced (or, at least, the ost )visible*+ non-profit organizations in !roatia,

$hich see to ade%uately address these challenges, a survey has been conducted

aong the )high-profile* !roatian non-profits, identified on the basis of the

sno$ball sapling& esults of the epirical analysis indicate that the pressures

fro the environent are not follo$ed by the ade%uate developent of the

anagerial and other capacities of !roatian non-profits, but rather are dealt $ith

on the basis of individual initiativecopetences and ad-hoc solutions, $hich can

be concluded both on the basis of ipleentation of anagerial functions, as $ell

as fro the relationship bet$een the level of organizational developent and the

anagerial practices& .ractical, case-based evidence fro selected civil society

organizations and related epirical results see to confir the conclusion on the

inade%uate anageent developent in the !roatian non-profit sector and

advocate the need for the acadeic counity and other relevant institutions to

get involved in the capacity-building processes $ithin the civil sector&

1. T&E !IE%'(PR!ESSIN ! NN-PR!IT MANAGEMENT

Management can be !efine! as a p)o*e++ of directing people to$ard the

ob/ectives of an organization, $hich re%uires both efficient and effective use of

( Ni12a Alfirević, &3*, Associate professor, 4acult' of 5conomics 6plit, Matice 3rvats1e 7(,%(""" 6plit, Croatia, &3one: 87+ %( 7" $+#, 4a9: 87+ %( 7" #"", 5-mail: nalfefst.3r % Nino Gabelica, M6c, secretar', &osmrtna pripomoc, Ga;eva %/, (""""


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liited resources cf. >reitner 7, as cite! b' ?uble, %""", p. +0. @n t3e ot3er 3an!, managerial or1 can be !escribe! in terms of a*tte+ pe)o)me/ te manage)+ 3manage)al n*ton+, i.e. planning, organizing, leading and controlling the $ork perfored in an organization, including all tasks and

activities carried out by the eberseployees cf. MoBina, %""%0. Managers perform man' !ifferent tas1s, 3ic3 are often !escribe! b' t3e image of a person !etac3e! from t3e ever'!a' operations of t3e organization=entit' beingmanage!, acting rationall' an! s'stematicall' in or!er to coor!inate all t3eactivities toar! t3e previousl' establis3e! ob;ectives. 6uc3 a concept 3a! beenc3allenge! b' Mintzberg (//, pp. ("-(0, 3o broug3t about t3e image of a

bus', mess'D ;ob, c3aracterize! b' a continuous strive toar! action,occasional bursts of activities, intensive oral communication an! a lot of tacitDelements. In or!er to illustrate t3e realit'D of management, 3e 3as constructe!t3e concept of manage)al )ole+. @t3er t3eoreticians 3ave stu!ie! t3e +6ll+)e)e/ o) te +**e++l p)a*t*ng o management, 3ic3 are, b' t3eir ver' nature E3etten F Cameron, %""+, p. 0: a0 behavioural relate! toi!entifiable sets of activities performe! b' managers0, b0 controllable b' t3ein!ivi!uals0 performing t3e managerial ;obs0, c0 )developable*, i.e. can beimprove! over time, but also !0 interrelated, overlapping an!=or evencontradictoryparado0ical& *ifferent stu!ies ut3ans, Rosen1ratz FHennesse', (/++ Curtis, Einsor F 6tep3ens, (//$ Jan Jelsor F eslie,(//+# AMA, %""", An!ersen Consulting/, etc., as cite! b' E3etten FCameron, %""+0 single out !iverse sets of be3avioural patterns suc3 as

interpersonal s1ills, listening, verbal=ritten communication, persistence, abilit'to or1 in teams, managing time, coac3ing an! mentoring coor1ers0 3ic3lea! to success in managerial or1.

7 >reitner, R. (//0: anageent, 4ourt3 e!ition, Houg3ton Mifflin, ?oston. ?uil!ing upon t3e classicalD or1 of H. 4a'ol, t3eor' !istinguis3es five managerial functions: planning, organizing, 3uman resource management, lea!ing an! controlling 6i1avica F?a3ti;arević K Liber, %"", p. $/0.+ ut3ans, 4. Rosen1ratz, 6. A., Hennesse', H. E. (/+0: E3at !o successful managers reall'!o An observation stu!' of managerial activities, ournal of Applied 3ehavioral 4cience, %(, pp.%++-%#".$

Curtis, *. ?. Einsor, . . 6tep3ens, *. (//0: National preferences in business an!communication e!ucation, !ounication #ducation, 7, pp. $-(+.# Jan Jelsor, 5. ean ?rittain, . (//+0: E3' e9ecutives !erail: &erspectives across time an!cultures, Acadey of anageent #0ecutive, /, pp. $%-#%. American Management Association %"""0: anagerial skills and copetence, National surve' K internal !ocument/ An!ersen Consulting Compan' %"""0: 4kills needed for the e-business environent, Nationalsurve' K internal !ocument, C3icago.

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Accor!ing to *ruc1er, an entire set of organizations, 3ic3 are K b' t3eir ver' nature K not sub;ect to t3e test of mar1et performance, coul! be labele!eit3er as public, or non-profit Gu' F Hitc3coc1, %"""0. Alt3oug3 t3e

particularities of practicing management in suc3 an organizational environmentcoul! be !iscusse! from t3e previousl' !escribe! t3eoretical !imensions, t3etra!itionalD t3eoretical approac3 to t3e sub;ect, initiall' !evelope! b' H. 4a'ol,!oes not ma1e an' special !istinctions among t3e !ifferent classes of organizations. Namel', 4a'olDs universal approac3 to management recognizest3e anagerial process as a generic attribute of each organization15 , it3 t3efun!amental c3aracteristics of a managerial ;ob eOuall' applicable to t3e natureof !ifferent social s'stems, i.e. var'ing conte9ts in 3ic3 t3e profession of management is being practice! cf. ?uble, %""", pp. 7"-7(0. Hoever, morecontemporar' t3eoretical approac3es, suc3 as t3e contingenc' t3eor', !en' t3ei!ea of a unifie!D managerial approac3 to !ifferent classes of organizations cf.?uble, %""", pp. 7$-70, 3ic3 still leaves t3e issue of fun!amental!ifferences=similarities among t3e private=for-profit vs. t3e public=not-for-profitorganizations open for !iscussion 5us1e, %""70. @n t3e ot3er 3an!, t3e

practical c3allenges of running a non-profit organization oblige t3e non-profitmanagers to a!!ress multiple c3allenges, as t3e' are e9pecte! bot3 to obtain t3enecessar' resources b' managing t3e relations3ips it3 t3e e9ternalsta1e3ol!ers, as ell as to coor!inate t3e internal affairs of t3e organization,inclu!ing potentiall' conflicting issues of t3e internal !istribution of resourcesan! in!ivi!ual motivation, 3ic3 often nee!s to !ra from non-financial

motives cf. *imovs1i((

, in: MoBina, %""%, pp. #"+-#"$0. Pa1ing into accountt3at managerial staff in non-profit organizations is often pus3e!D into t3eir role b' t3e contingencies of organizational !evelopment, a non-profit a!ministrator ma' fin! 3imself=3erself stuc1 in t3e mi!!leD beteen t3e calling to contributeto t3e communit'=societ' an! t3e organizational realit', reOuiring t3e business-li1eD con!uct(%.

Eit3 t3e ever more restricte! sources of financial support to p3ilant3rop'?is3op, %""$0 an! continuous pressures toar! cooperation it3 t3e corporateorl! an! ensuring financial self-sustainabilit', man' non-profits seem to facet3e !ilemma of maintaining original values of t3e organization vs. intro!ucing a

("

6rganization itself is !efine! as a social entit' t3at inclu!es a !efine! number of members,3ic3 strives toar! t3e realization of common ob;ectives b' coor!inating t3e in!ivi!ual effortscf. anger, Alfirević F &aviQić, %""+, p. 7$0.(( *imovs1i, J.: anageent neprofitnih organizaci/, c3apter in: MoBina, 6. 5!.0 %""%0, pp.$/+-#77.(% Nevert3eless, it s3oul! be note! t3at t3e often use! term of being 7business-like7 is still notclearl' !efine! in t3e conte9t of social=not-for-profit activities. 4or a literature overvie an! a!iscussion of t3e concept, see, e.g. *art %""0.

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more professional approac3 to management. P3e anser to t3is issuerepresente! b' t3e !ic3otom' of professionalismD vs. going bac1 to t3erootsD0 is not eas', as t3e empirical stu!ies seem to lin1 t3e use of planning an!ot3er managerial tools=approac3es it3 increase! non-profit performance@!om F ?o99, (/(7 6iciliano, (//#( Herman F Renz, (//(+, as cite! b'Herman F Renz, (///0, 3ile gra!uate e!ucation in t3e fiel! of non-profitan!=or public management becomes an attractive fiel! of stu!' Eilson Farson, %""%0, it3 t3e emerging curricular gui!elines NACC, %""0.Hoever, t3e nee! for a more professional approac3 to non-profit managementseems as a mustD for t3e Croatian civil societ' sector, as t3e current e9pertopinion ten!s to !escribe t3e competences of Croatian non-profit staff asina!eOuate an! t3e perceptions0 of Croatian non-profit managers in terms of overvaluing t3e e9isting 3uman capital it3in t3e sector ?eBovan,


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orientation, as it 3a! been attempte! to inclu!e t3e researc3 sub;ects into allstages of t3e pro;ect as partners=peers. @ne of t3e concerns in !esigning t3eoverall pro;ect, as ell as t3is specific stu!' 3a! been t3e fact t3at all t3eregistere! non-profit organizations in Croatia(# !o not represent a vali!

population for con!ucting furt3er researc3. Alt3oug3 t3e officialD register of non-profit organizations lists as muc3 as %/,+7+ non-profit entities in Ma' %""$?eBovan F Jugec, %""$0, most of t3em are eit3er inactive, or !o not possesst3e a!eOuate capacit' to a!!ress t3e reOuirements of t3e primar' !atacollection(. In suc3 circumstances, ta1ing also into account t3e participator'values upon 3ic3 t3e pro;ect 3a! been establis3e!, t3e snoball samplingDas selecte! as t3e most appropriate sampling met3o!. Namel', it 3el! t3e

promise of accessing a relativel' 3i!!enD population of 3ig3-capacit' non- profit organizations, 3ic3 !o not nee! to be 3ig3l' visible in t3e me!ia or in professional publics0. Alt3oug3 suc3 a met3o!ological approac3 !oes notguarantee t3at t3e resulting sample ill be free from biases At1inson F 4lint,%""(0, a number of recommen!ations 3ave been folloe! in or!er to improvet3e reliabilit' of researc3 results op. cit., %""(0.

A number of e9perts ere consulte! in or!er to i!entif' t3e relevant initialc3ain referralsD. Attempts to improve t3e sampling proce!ure inclu!e!!iscussion it3 selecte! lea!ers of Croatian non-profit organizations, inclu!ing

professors an! stu!ents of t3e gra!uate program on non-profit management, asell as participants of t3e 6econ! National Conference on Jolunteering, co-

organize! b' t3e National Croatian, op. aut.0 foundation for the developent of civil society an! ma;or non-profits from t3e count' of 6plit K i an! ost& Ina!!ition, t3e resources of larger Croatian non-profits, serving as regional centersof support to t3e civil societ', 3ave been use! in respect of At1inson F 4lintDsop. cit.0 recommen!ation to unloc1 t3e insi!e 1nole!geD of t3e initialcontacts. P3e resulting sample consiste! of %" organizations, 3ic3 ereassesse! b' all t3e participants in t3e subseOuent stages of t3e snoballsampleD construction process0 as ma;orD from t3e viepoint of t3eir activit'an! visibilit' it3in t3e non-profit sector0 an!=or 3ig3 capacit'D organizations

paper b' &aviQić, Alfirević an! Ivel;a %""$0. (#

All non-profit organizations in Croatia are reOuire! to register as citizensD0 associations,foun!ations or public benefit corporations. P3e register of citizensD0 associations is accessible tot3e general public via Internet: 3ttp:==.uprava.3r=Registar)!ruga retrieve! on (%. Ma'%""$0.( A relativel' large number of non-profit organizations in Croatia coul! be attribute! to t3e factt3at t3e legal environment !uring t3e socialist era 3as been muc3 more liberal t3an in t3ecountries of t3e former S6oviet blocS, 3ic3 resulte! in (" social organizations an! +#citizensS associations being registere! at t3e en! of t3e (/"s ?eBovan F Jugec, %""$0.

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ta1ing into account t3at t3e organizations it3 3ig3 capacit'D !o not nee! to be i!entical it3 t3e 3ig3l' visibleD ones0.

P3e !raft version of t3e Ouestionnaire 3as been !iscusse! it3 t3e limite!number of initial c3ain referralsD an! subseOuentl' improve! in or!er to ensureits applicabilit' to t3e capacit' an! previous 1nole!ge of Croatian non-profitmanagers. Multiple communication c3annels postal mail, e-mail, e-mail!istribution lists an! telep3one0 3ave been use! to reac3 t3e potentialrespon!ents 3o ere encourage! to re0!istribute t3e researc3 instrument toot3er ma;orD an!=or 3ig3 capacit'D non-profits in t3eir local environment. P3e

process 3as resulte! in %" Ouestionnaires being !istribute! to t3e potentialrespon!ents, it3 (7% Ouestionnaires being returne!, 3ic3 represents t3ereturn rate of ++T. P3e primar' !ata ere entere! into t3e specialize! softare

pac1age 6&660, 3ic3 as also use! for !ata anal'sis.

9. RESEARC& RES$%TS

9.1. Gene)al oe)e: o te +ample

P3e sample consists of (7% organizations an! provi!es a relevant insig3tinto t3e functioning of 3ig3 capacit'D non-profit organizations, alt3oug3 itmig3t be biase! in certain aspects !ue to t3e in3erent limitations of t3e samplingmet3o!olog'. P3e 3ig3est amount of respon!ents 3as been !ran from t3e

counties in 3ic3 ma;or Croatian urban areas are locate!: 6plit 7".7T0,


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9.2. P)ole o a ;non-p)ot CE< n te C)oatan *lnon-p)ot o)gan=aton+

In or!er to provi!e an insig3t into t3e previousl' une9plore! issues of 3o

Croatian non-profit organizations are governe!=manage!, as ell as 3et3er t3eir lea!ers coul! be i!entifie! in terms of non-profit managersD, t3e researc3instrument containe! a set of Ouestions !irectl' relate! to t3e fun!amentalc3aracteristics of management an! t3e realization of managerial functions.Researc3 results, presente! in t3is c3apter, offer an interesting profile of management practices in t3e cluster of 3ig3 capacit'D Croatian non-profits %".5mpirical results !emonstrate t3at t3e ma;orit' of t3e surve'e! organizationsare manage! b' t3e members of t3eir boar!s, 3ic3 coul! be i!entifie! asfoun!ers an!=or t3eir associates see Pable (0.

9able 1& Actors of non-profit anageent in !roatian civil society organizations

>& MANAGES T&ERGANI"ATIN?

!)een* Pe)*entVal/

Pe)*ent21

?oar! of !irectors + "./ (.%&resi!ent of t3e organization, servingeit3er part-time, or as a volunteer

7 %+. %$."

&resi!ent of t3e organization, servingas a professional non-profit manager 7." 7.(

A professional non-profit manageran! pro;ect managers0 %+ (./ (/.(

@t3ers0 ( (".$ (".# No response ( ".TTA% 192 100.0

6ource: Researc3 results

In terms of t3e organizational life-c'cle as !iscusse! b' anger, AlfirevicF &avicic, %""+, pp. /(-/$0, t3e ma;orit' of t3e surve'e! organizations seemsto be locate! it3in t3e )entrepreneurial* stage of developent, 3ic3 isc3aracterize! b' t3e lo level of separation beteen t3e roles of non-profit

managers an! social entrepreneurs0D, i.e. foun!ers0 of an organization.6ubseOuent stages of organizational !evelopment, represente! b' t3e categories

%" It s3oul! be note! t3at t3e presente! results are relate! to t3e sample of S3ig3l' visibleS an!=or S3ig3l' capableS organizations, i.e. t3ose 3ic3 can serve as a benc3mar1 for t3e furt3er !evelopment of t3e civil societ' sector in t3is part of Central F 5astern 5urope.%( &ercents of vali! ansers are calculate! after e9clu!ing all t3e Ouestionnaires in 3ic3 t3evariable 3as not been a!!resse! b' t3e respon!ent.

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presente! b' Pable (, are relate! to t3e intro!uction of professional non-profitmanagement an! furt3er elaborationD of t3e managerial structure, 3ic3 isusuall' represente! b' t3e separation of generalD managerial tas1s an! t3oserelate! to in!ivi!ual pro;ects=programs. As !emonstrate! b' t3ese results, asignificant amount of organizations 3as entere! t3e stage of organizational!evelopment in 3ic3 professional non-profit management represents a)condition sine %ua non*& Hoever, t3e formal title inclu!ing emplo'ment on afull-time basis0 !oes not necessaril' impl' t3e correctD i!entification of t3emanagerial roles an! functions. In or!er to confirm t3e correspon!ence beteent3e t3eoretical !eterminants of managerial ;obs an! t3e manner in 3ic3 t3e'are implemente! in surve'e! non-profits, t3e previous result 3a! to be vali!ate!see vali!ation results in Pable %0.

6pecificall', t3e notional construct of a managerial ;obD implies t3at t3e person does not perfor operative activities instead of his or her associates, butrat3er perfors anageent-specific activitiesanagerial functions cf. ?uble,%""$, p. $0 an!, t3us, creates general pre0con!itions for t3e realization of organizational ob;ectives. P3e realit' of non-profit management in Croatiain!icates t3at t3e managerial an! operative roles are often intertine!, it3out aclear !istinctions0, since man' non-profit managers still ta1e part in service!eliver', routine office activities, etc. P3e amount of non-profit managers 3ostep inD to perform operative ;obs, instea! of !elegating t3em to associatesan!=or volunteers, reveals t3at t3e !elegation is still poorl' un!erstoo! it3in

t3e organizations in t3e Croatian civil sector %%

. P3erefore, t3e managerialD titlein t3e Croatian non-profit sector usuall' relate! to t3e status of presi!entD, or e9ecutive vice0presi!entD of t3e organization0 !oes not 3ave to impl' t3at a

personDs ;ob is necessaril' structure! accor!ing to classicalD !eterminants of managerial practice.

In or!er to furt3er improve t3e insig3t into t3e fun!amental c3aracteristicsof non-profit managersD practice in t3e Croatian t3ir! sectorD, t3e primar' !ataon 3et3er t3e non-profit managers perform selecte! managerial ;obs relate!

bot3 to 3ar!D an! softD factors of management0 3ave been also collecte!. P3eapproac3 a!opte! b' 6i1avica F ?a3ti;arević-Liber %""0, relate! to t3ecollection of !ata on t3e amount of time !evote! to eac3 of t3e t'picalD

managerial activities=functions 3as not been use! in t3is case, as it asimportant to !etermine 3ic3 of t3ese are being practice! at all.

%% 4or compre3ensive t3eoretical !iscussion of !elegation an! empirical results relate! to Croatian business sector, see: 6i1avica F ?a3ti;arević-Liber, %"", pp. (-($70.

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9able 2& 6perative activities perfored by non-profit anagers

PERATIVE ACTIVITIESPER!RME' @8 NN-PR!ITMANAGERS

!)een* Pe)*entVal/

pe)*ent

*irect contact an! service !eliver' toclients

#7 ++.7 .#

&erforming operative activities not3an!le! b' t3e associates !ue to t3e lac1of time, ina!eOuate organization, etc.

7$. 7$.

&erforming operative activities not3an!le! b' t3e associates !ue to t3e lac1

of competences

+% 7/. 7/.

*ail' a!ministrative activities=routineoffice activities #( +7. +7.

*ail' activities relate! to accounting an!financial reporting to e9ternalsta1e3ol!ers

%+ (./ (./


Pable 7 an! Pable provi!e an overvie of t3e managerial activities it3int3e frameor1 of t3e tra!itionalD five functions of management%7. As!emonstrate! b' t3e presente! results, t3e strategic planning process seems to

be relativel' ell perceive! as one of t3e ma;or responsibilities of a non-profitC5@D, along it3 t3e formulation of pro;ects=programs, 3ic3 represent t3e prevailing form of 3ig3-level planning in t3e non-profit environment%.

@rganizing an! sc3e!uling seem to be lo on t3e list of priorities, it3man' non-profit C5@sD being restraine! b' t3e !ual or even multiple0 role of t3e general an!=or pro;ect=program manager. Eit3out enoug3 resources an!career options to attract managerial talent, managers of Croatian non-profitsseem to be overstretc3e!D b' t3e e9isting responsibilities an! t3e attempts0 toserve t3eir organizations in multiple roles. 6uc3 a conclusion is furt3er supporte! b' t3e fin!ings relate! to !ifferent forms of evaluation controlling0

performe! b' t3e respon!ents.

9able :& .lanning, organizing and controlling as coponents of the anageent practice in !roatian non-profit organizations

%7 6ee 6ection ( of t3is paper.% In t3is conte9t, it s3oul! be note! t3at more t3an $"T of t3e respon!ents participate in t3e pro;ect=program !evelopment it3in a more a!vance! planning structure, 3ile almost one-t3ir!of t3e less !evelope!D organizations basicall' carr' out t3is segment of planning on in!ivi!ual basis, or it3 some 3elp from t3e seniorD members of t3e organization0.

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MAR ;&AR'< RESPNSI@I%ITIES !NN-PR!IT MANAGERS

!)een* Pe)*entVal/

pe)*ent

Plannng

&erforms strategic planning of futureactivities, pro;ects an! programs /# #7.+ #7.+

&articipates in !eveloping ne pro;ectprogram0 proposals

" $".$ $".$

Involve! in t3e planning of future activitiesin general terms0

# +/.( +/.(

Involve! in communit'=clientsD nee!s

assessment # 7+.$ 7+.$In!ivi!uall' or it3 some 3elp from ot3ermembers of t3e organizations0 !evelops ne

pro;ect program0 proposals% 7(. 7(.

)gan=ng an/ +*e/lng a*tte+

6c3e!ules !ail' activities of in!ivi!ualmembers an! t3e organization in general

+# 7.% 7.%

6erves as a manager of multiple pro;ects +% 7/. +%Manages or 3elps to manage t3e ma;orit' oft3e organizationDs pro;ects programs0

7$ %#.7 %#.7

6erves as a pro;ect manager 77 %+." %+.%

Ealaton an/ *ont)ollng

Reporting to sta1e3ol!ers relate! to outcomesof in!ivi!ual pro;ects programs0

/( $./ $./

5valuation of pro;ect outcomes #7 ++.7 ++.74inancial reporting to sta1e3ol!ers relate! toin!ivi!ual pro;ects programs0

$# +". +".

4inancial controlling + 7./ 7./5valuation controlling0 of non-financial0measures consi!ere! to be 1e' successfactors0 for t3e organization

7$. 7$.


6pecificall', t3e forms of controlling reOuire! b' t3e poerfulDsta1e3ol!ers suc3 as !onors=sponsors an! t3e state institutions0 are t3e

prevailing forms of managerial activit', 3ile t3e more comple9 forms of evaluation but rarel' reOuire! from t3e e9ternal sta1e3ol!ers0 are beingneglecte!. P3e practices in evaluation controlling0 of past an! current activitiescan be furt3er !escribe! as inappropriate, ta1ing into account t3at onl' $.%(T

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of surve'e! managers emplo' a regular an! met3o!ical evaluation approac3it3 %+.#$T performing uns'stematic evaluation, base! on t3e approac3reOuire! b' ma;or !onors, anot3er %+T utilizing a!-3oc evaluation, it3outrel'ing on an' met3o!olog' 3atsoever an! 7."7T not using an' evaluation3atsoever0.

@n t3e ot3er 3an!, t3e often cite! trait of a managerial ;ob, as beingpeople-relate!D cf. ?uble, %"""0, is not so ell illustrate! b' t3e currentc3aracteristics of t3e managerial practice in Croatian non-profits. Namel', outof t3e specific 3uman resource management HRM0 activities perceive! assignificant in t3e current Croatian non-profit environment b' t3e initial referralsserving also as e9perts in !esign an! subseOuent improvement of t3e researc3instrument0, performance evaluation seems to be t3e onl' HRM practicea!opte! b' t3e ma;orit' of non-profit C5@sD.

In a!!ition, it as important to establis3 t3e e9istence of formalcommitments to communication it3 multiple constituencies of anorganization, as t3e effectiveness of non-profit organizations is usuall' !efine!from manifol! perspectives belonging to ma;or sta1e3ol!ers see: !DAunno,(//%%+ F


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MAR ;S!T< RESPNSI@I%ITIES! NN-PR!IT MANAGERS

!)een* Pe)*entVal/

pe)*ent

Managng man )e+o)*e+ an/ )e+olng people-)elate/ ++e+

Involve! in recruitment an! selection of professional staff

+7 ".% ".%

Involve! in recruitment an! selection of pro;ect program0 managers if applicable0

++ (.# (.#

ea!s or is involve! in0 internal 3umanresource !evelopment=e!ucation pro;ects

+ 7.( 7.(

5valuates in!ivi!ual an! team performance #+ +$. +$.Motivates an! lea!s colleagues orvolunteers=members0 of t3e organization

# +/.( +/.(

Manages interpersonal an! intergroupconflicts

# +/.( +/.(

Commn*aton :t +ta6eol/e)+ B managng te) epe*taton+

Communication it3 t3e communit'sta1e3ol!ers inclu!ing in!ivi!uals an!communit' institutions0

((% . .

Communication it3 !onors=sponsorssecuring financial resources0

((" 7.7 7.7

Cooperation it3 eit3er local, or national0government an! governmental institutions ("+ #/.+ #/.+

Cooperation an! netor1ing it3 ot3er0non-profit organizations

("7 #." #."

Cooperation it3 t3e actors from t3e profitsector

7$. 7$.

Cooperation it3 t3e actors from t3eaca!emic communit'

77.7 77.7


9.9. Relaton+p et:een te leel o o)gan=atonal /eelopment an/te manage)al )ole n C)oatan non-p)ot o)gan=aton+

Along it3 t3e course of organizational !evelopment, organizational positions ;obs0 are formalize! in or!er to create t3e organizational structure0an! in!ivi!ual be3avior stan!ar!ize! anger, Alfirević F &aviQić, %""+, pp.(%7-(%0, regar!less of t3e nature of t3e organization being consi!ere!. P3ese

processes are base! on t3e principle of t3e !ivision of labor, 3ic3 is reflecte!

7$


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in task differentiation an! specialization, enabling in!ivi!uals to efficientl' perform !ifferent ;obs it3in t3e organization op. cit.0. Apart from being t3efun!amental buil!ing bloc1sD of var'ing forms of organizational structures,in!ivi!ual ;obs formal positions0 also nee! to be !ocumente! b' formal ;ob!escriptions i.e. !ocuments outlining t3e activities an! responsibilities of in!ivi!uals to 3ic3 !ifferent positions=;obs are assigne! K cf. ?uble, %""$, pp.%+-%++0. P3ese !ocuments often serve as evi!enceD t3at t3e in!ivi!ual ;obs, asell as t3e organizational units an! t3e entire organizational structure, are being!esigne! in or!er to minimize t3e aste of time an! resources, 3ic3 can beattribute! to t3e a!-3oc organizing an! sc3e!uling of activities.

P3e contingencies of a managerial ;ob pre!ominantl' !epen! upon t3elevel of organizational !evelopment, 3ic3 ;ustifies t3e a!!itional assessmentof previous fin!ings in t3is conte9t. Eit3in t3e researc3, t3e level of organizational !evelopment 3a! been !etermine! b' using t3ree variablesrelate! to: (0 e9istence of formal tas1 !ifferentiation as !efine! b' ritten ;ob!escriptions0, %0 application of t3e principles of specialization an! tas1 !ifferentiation to volunteers an! ot3er members of t3e organization0 an! 70e9istence of formal positions ;obs an!=or !epartments0 it3in t3eorganizational structure. P3e researc3 results s3o t3at ".%T i.e. .%T of surve'e! organizations, it3 missing ansers being accounte! for0 3ave!evelope! a!eOuate ;ob !escriptions, anot3er $%./T i.e. #".7T if ta1ing intoconsi!eration missing ansers0 3ave also applie! t3e ;ob specialization to non-

emplo'ees suc3 as volunteers0, 3ile +%.7T i.e. +/.+T of vali! responses03ave formall' establis3e! formal organizational positions, i.e. in!ivi!ual ;obsregar!less of 3et3er t3e' are covere!D b' formal ;ob !escriptions, or not0an!=or larger organizational units. Hoever, it is important to compute arelative easure of organizational developent , 3ic3 can be accomplis3e! b'constructing an in!e9, aggregating t3e t3ree relevant variables 3ic3 are, int3is case, treate! as binar' !ummiesD, it3 t3e value of zero if t3eorganizational practice is not being foun! in t3e surve'e! organization, an! t3evalue of one in t3e opposite case0. P3e values of t3e resulting in!e9 can,t3erefore, range from zero for t3e informal organizations0 to t3ree for t3eorganizations it3 a relativel' 3ig3 level of formalization, 3ic3 also in!icatesa more professional approac3 to realizing t3eir activities an! ob;ectives0. Pable

+ !emonstrates t3e !istribution of t3e in!e9 values an! suggests t3at t3ema;orit' of surve'e! organizations i.e. more t3an +7T0 can be !escribe! aseit3er possessing a !evelope!D, or a 3ig3l' !evelope!D formal organization.

7#


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9able ?& @istribution of values for the organizational developent inde0

)gan=atonal /eelopment n/eale+

!)een* Pe)*entVal/

pe)*entInformal organizationD in!e9 value "0 ( (".$ (%.o formalizationD in!e9 value (0 %/ %%." %+.#;'eelope/ o)mal o)gan=aton<3n/e ale 2

4D 9.4 42.5

Hig3l' !evelope! formal organizationDin!e9 value 70

%% ($.# (/.+

Not compute! !ue to missing ansers (/ (. (""."TTA% 192 100 (


6uc3 a fin!ing s3oul! be relate! to t3e previousl' !iscusse! suggestion of practical !isparit' beteen t3e managerial positions titlesD0 an! t3e performance of managerial ;obs see Pable %0. P3e anal'sis of suc3 a !isparit'in relation to t3e level of organizational !evelopment provi!es interesting, butmi9e! insig3ts, 3ic3 are !emonstrate! b' Pable $.

Namel', 3ile t3e more !istinctiveD !etermination of a managerial role3ic3 e9clu!es t3e performance of operative activities, especiall' t3e routinetas1s0 s3oul! be associate! it3 t3e 3ig3er level of organizational !evelopment,

t3is !oes not seem to be t3e case for t3e Croatian non-profit organizations. 4or instance, among t3e non-profits it3 a !evelope! formal organizationD in!e9value of to0, in 3ic3 t3e ma;orit' of respon!ents are positione!, t3e amountof organizations 3ic3 conform to t3e t3eoretical presumptions isappro9imatel' t3e same as t3ose 3ic3 oppose t3em. In t3is case, for eac3 of t3e variables !escribing t3e managerial involvement into operative activities,t3ere is a comparable amount of organizations it3 a value in t3e region of "an! +T0 3ic3 support, as ell as contra!ict t3e t3eoretical principles of tas1 !ifferentiation an! management !evelopment. P3e potential conclusions of t3is

part of t3e empirical researc3 are mi9e!, as it seems t3at no clear relations3ipsemerge from t3e anal'ze! variables. @ne of t3e possible e9planations for t3isfin!ing mig3t be relate! to t3e alrea!' e9plicate! multiplicit'D of non-profitmanagement roles in t3e Croatian civil sector organizations. As t3e c3allengesfrom t3e environment mount, non-profit C5@sD nee! to fill in t3e blan1sD an!step intoD ever't3ing t3at nee!s to be !one in or!er to 1eep t3e organizationafloatD. 6uc3 a volatileD profile of a non-profit manager in t3e Croatian societ'coul! be ell supporte! b' t3e current level of civil sector !evelopment an! t3eincreasing pressures on t3e non-profit organizations.

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9able & elationship bet$een the level of organizational developent and the

involveent of non-profit anagers in operative activities

pe)ate a*tte+ n a non-p)oto)gan=aton

%eel o o)gan=atonal/eelopment TTA%

0 1 2 9

*irect contact an!service !eliver' toclients

Not performe! b' manager

(" (+ %# (( 9(+./T %7.T %./T (#.+T 100F

&erforme! b'manager

( %( (( 50."T %."T %."T %%."T 100F

&erforming operativeactivities not 3an!le! b'

t3e associates !ue to t3elac1 of time, ina!eOuateorganization, etc.


/ ( 7( ( 72(%.+T %+."T 7.(T (/.T 100F

&erforme! b'manager

+ (( (# 41(%.%T %$.T (.+T (/.+T 100F

&erforming operativeactivities not 3an!le! b't3e associates !ue to t3elac1 of competences


/ ( %/ ( 70(%./T %+.#T (.T %"."T 100F

&erforme! b'manager

+ (( (/ 49((.$T %+.$T .%T (.$T 100 F

*ail' a!ministrativeactivities=routine officeactivities


$ (% %+ (% 55("./T %(.T +.+T %(.T 100F

&erforme! b'manager

(# %7 (" 5D(7.T %/.7T 7/.#T (#.%T 100F

*ail' activities relate! toaccounting an! financialreporting to e9ternal

sta1e3ol!ers


/ %% 7 %( 5/.+T %7.%T +.7T %%.(T 100F

&erforme! b'

manager

+ # + ( 1D

(%.T %+.#T %.+T (/.+T 100F


It also suggests t3at t3e pressures fro the environent are not follo$ed bythe ade%uate developent of the anagerial and other capacities of non-profit

organizations, but are rat3er !ealt it3 on t3e basis of in!ivi!ualinitiative=competences an! a!-3oc solutions. Hoever, t3ese conclusions remainto be confirme! b' furt3er researc3, alt3oug3 t3e initial results presente! in t3isstu!' alrea!' impl' t3e importance of management !evelopment in t3eCroatian non-profit sector.

4. PRACTICA% IMP%ICATINS ! T&E RESEARC& RES$%TS

P3is stu!' 3as in!icate! some ea1nesses in t3e management practicesan! performance of managerial roles in t3e Croatian non-profit sector, of 3ic3t3e most significant relates eit3er to inade%uate understanding of theanagerial position in the !roatian non-profitsocial sector, or to t3e lack of

7/


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ability of !roatian non-profit anagers to perfor their /obs in the anner copatible $ith the theoretical presuptions& P3e e9planation for suc3 asituation nee!s to be resolve! b' future researc3, alt3oug3 it coul! bespeculate! t3at non-profit managers in Croatian organizations nee! to neglectan' t3eoretical foun!ations of t3eir or1 in or!er to 1eep t3e pace it3 t3ec3allenges from t3e environment an! ensure t3e survival of t3eir organizations.In a!!ition, no clear relations3ip beteen t3e level of organizational!evelopment i.e. formal structuring of t3e organization, cause! b' its grot3an! reOuire! level of professionalizationD0 an! t3e management practices 3as

been establis3e! eit3er. P3is fin!ing is rat3er straig3tforar! an! certainl'implies t3at t3e anageent developent inclu!ing bot3 formal an! informale!ucation0 represents one of the critical factors of success (or even survival+ for the !roatian civil society organizations&

6uc3 a conclusion coul! be ;ustifie! b' t3e longitu!inal case stu!' !ata,available to t3e aut3ors from t3e long-term cooperation it3 t3e selecte!Croatian civil societ' organizations, 3ic3 3as resulte! in several previous

publications. Alt3oug3 t3e convenience sample of organizations use! as sourcesof case !ata is not relevant for a full-fle!ge!D Oualitative-t'pe researc3approac3 to t3e problem of non-profit management in Croatia, it ma' serve asan interesting a!!ition to t3e surve' results presente! in t3e previous sections of t3e paper. P3e softD !ata seem to confirm t3at t3e notion of professional non-

profit management is rat3er an e9ception t3an a rule among t3e Croatian civil

societ' organizations. Namel', anot3er segment of t3e same researc3 pro;ect 3as!emonstrate! t3at as muc3 as +7.T of t3e surve'e! organizations reOuirefurt3er !evelopment of general management s1ills as a part of t3e essentialsupport pac1ageD for t3eir furt3er success &aviQić, Alfirević F Ivel;a, %""$0 %#.@n t3e ot3er 3an!, even t3e large non-profits, serving as regional supportorganizations to t3e civil societ', seem to limit t3emselves to ensuring thecontinuity of the local support systes &aviQić, Alfirević F Ivel;a, op. cit.0,it3 a limite! capacit' to initiate t3e management !evelopment. Hoever, t3eemergence of t3e professional association of in!ivi!ual managementconsultants=training professionals, serving t3e non-profit sector in Croatia(9#B C 9renerski foru+, seems to be an a!eOuate response to t3e capacit'!evelopment nee!s of t3e sector %.

%# It is interesting to note t3at t3e fun!raising s1ills seem to be t3e most important for t3e Croatiancivil sector it3 $$.#T of respon!ents feeling t3e lac1 of t3e specific s1ills0, it3 significants1ill gaps in Oualit' assurance=!evelopment +/.(T0, non-profit mar1eting ++.7T0, non-profitmanagement an! !evelopment=formulation of pro;ect proposals +7T0.% PR54 3as also publis3e! one of t3e first consulting=training manuals of t3is 1in! in C553ttp:==.treners1i-forum.3r=a!min=fc1e!itor=4ile=treffT%"vo!icT%"eb.p!f retrieve! on %".*ecember %""$0, as ell as t3e et3ical co!e for its in!ivi!ual members, provi!ing professional

"


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P3e longitu!inal !ata of in!ivi!ual civil societ' organizations, available tot3e aut3ors, inclu!e: a0 civil association )i*, base! in 6plit, Croatia K aregional civil societ' support center performing various forms of social or1 Uitni1 et al., %""0, b0 fait3-base! !aritas !roatia, affiliate! to t3e Cat3olicc3urc3 anger et al., %""+, pp. %(-7" Alfirević, ?atarelo F elenc, %""$0 an!c0 .osrtna pripooc, once fait3-base!, 3ile to!a' a secular non-profitorganization for mutual support in funeral financing. In all t3ree organizations,t3e formal role of t3e organizationDs presi!ent, being in c3arge of t3e socialcomponentD of t3e organizationDs overall activit', 3a! to be more or lessrecentl'0 formall' separate! from a managerial e9ecutiveD0 position. Hoever,t3e formal ac1nole!gmentD of t3e nee! to intro!uce t3e role of a professionalnon-profit manager into t3e organizational structure alt3oug3 suc3 a role ma'not be reflecte! b' t3e a!eOuate ;ob !escription an!=or a formal managerial titlein all t3e cases0 3as been in!uce! b' t3e ver' practical nee!s to con!uct t3eorganizationDs activities in a more professionalD manner. 4or e9ample, overloa!

pro!uce! a variet' of activities, performe! b' t3e same staff an! manage! b't3e same e9ecutive, 3ic3 3ave le! t3e civil association )i* to formall'separate !ifferent segments of its activit' into in!ivi!ual legal entities t3e non-

profit organization, t3e small foun!ation for civil societ' support an! t3e socialinstitution provi!ing t3e social services to t3e el!erl'0, it3 formall' appointe!e9ecutive !irectors lea!ing eac3 of t3ese. @n t3e ot3er 3an!, t3e same functionsin !aritas !roatia are being performe! b' a single e9ecutive vice-presi!ent,3o 3a! been recruite! after t3e organization formulate! its first strategic plan

an! starte! implementing a national a!vocac' campaign in or!er to implementsome of its strategic ob;ectives.

.osrtna pripooc 3a! been struggling to survive for a long perio!, until%""(, 3en it !eci!e! to implement t3e turn-aroun! strateg' an! 3ire a

professional non-profit manager 3o 3as been reOuire! to !emonstrateconsi!erable s1ills in financial management an! implement compre3ensiverestructuring, lea!ing toar! t3e complete financial self-sustainabilit' to beac3ieve! in %""#. P3e secon!ar' sources of recent case !ata 5tc3art F Jarga,%""$0 on ot3er non-profits is3ing to ac3ieve at least partial0 financial self-sustainabilit' inclu!e t3e e9periences of civil societ' organizations, suc3 as

#kocentar !aput 'nsulae 3elli a greenD non-profit base! in Cres, Croatia0,

association for t3e !evelopment of civil societ' 48A. base! in @si;e1,Croatia0, Delena akci/a environmental non-profit from


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Croatian civil societ' organizations t3at ill nee! to embar1 on t3e socialentrepreneurs3ip initiatives in or!er to compensate for t3e s3rin1inginternational !onations an!, conseOuentiall', pa' increase! attention to t3e!evelopment of professionalD non-profit management. P3e aut3ors 3ope t3att3e surve' fin!ings relate! to t3e implementation of managerial functions in t3eCroatian non-profits mig3t 3elp practitioners to i!entif' t3e managerial s1illgaps, as ell as suggest to t3e actors in t3e aca!emic communit' t3at t3e bur!enof managerial !evelopment in t3e non-profit sector is being currentl' carrie!almost e9clusivel' b' t3e consultants an! ot3er motivate! in!ivi!uals.

RE!ERENCES

(. Alfirević, N. ?atarelo, J. elenc, . %""$0: *onor Relations3ipManagement in Non-profit @rganizations: 4rom 4un!-Raising toCollaborative Intersectoral Approac3es, .roceedings of the 9hird

'nternational esearch !onference )!'!8#*, 4acult' of 5conomics an!?usiness


19/20


((. Gu', M. 5. Hitc3coc1, . R. %"""0: If apples ere oranges: t3e public=non- profit=business ne9us in &eter *ruc1erDs or1, ournal of anageent Eistory, Jol. $, No. (, pp. 7"-#

(%. Herman, R. *. Renz, *. @. (///0: P3eses on Non-profit @rganizational5ffectiveness, Non-profit and oluntary 4ector Huarterly, Jol. %, No. %,

pp. ("#-(%$(7. anger, . Alfirević, N. &aviQić, . %""+0: 6rganizational !hange in

9ransition 4ocieties, As3gate, Al!ers3ot(. Mintzberg, H. (//0: intzberg on anageent= 'nside our 4trange

Jorld of 6rganizations, 4ree &ress, Ne or1 (+. MoBina, 6. 5!.0 et al. %""%0: anageent= Nova znan/a za uspeh,

*i!a1ta, Ra!ovl;ica($. Non-profit Aca!emic Centers Council %""0: !urricular Guidelines for

Graduate 4tudy in .hilanthropy, the Non-profit 4ector and Non-profit

8eadership,3ttp:==.naccouncil.org=p!f=NACCVGui!elines.p!f retrieve! on . Ma' %""$0

(#. &aviQić, . Alfirević, N. Ivel;a, N.: @blici i me3anizmi sura!n;e sneprofitnim organizaci;ama u Hrvats1o;, Dbornik #konoskog fakulteta u

Dagrebu, Jol. IJ, No. (, %""$, pp. %(#-%7.(. 6i1avica, &. ?a3ti;arević-Liber, 4. %""0: enadFent= 9eori/a

enadFenta i veliko epiri/sko istraFivan/e u Ervatsko/, Masme!ia,


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MENA'HERSA PRASA $ &RVATSIM NEPR!ITNIMRGANI"ACIAMA# RE"$%TATI EMPIRISG ISTRAHIVANA

SaJeta6

>a1o tra!icionalni izvori financiran;a neprofitni3 organizaci;a u Centralno; iIstoQno; 5uropi nesta;u, o! Qitavog se se1tora traBe vi2a razina profesionalizma, 1ao iznaQa;an napre!a1 u efi1asnosti. >a1o bi se i!entificirale mena!Bers1a pra1sana;napre!ni;i3 ili na;vi!l;ivi;i30 neprofitni3 organizaci;a u Hrvats1o;, 1o;e se popriliQno!obro nose sa izazovima, prove!eno ;e empiri;s1o istraBivan;e. @no ;e obu3vatiloviso1o vi!l;ive 3rvats1e neprofitne organizaci;e, 1o;e su i!entificirane putemYsnoballY meto!e uzor1ovan;a. Rezultati empiri;s1e analize u o1viru ovog istraBivan;aupuću;u na to !a se problemi iz o1oline se ne r;e2ava;u s a!e1vatnim razvo;emmena!Bers1i3 i !rugi3 1apaciteta 3rvats1i3 neprofitni3 organizaci;a, već na temel;uin!ivi!ualne inici;ative=1ompetenci;a i a!-3oc r;e2en;a, 2to se moBe za1l;uQiti s obziromna implementaci;u mena!Bers1i3 fun1ci;a, 1ao i o!nosa izmeZu stupn;a organizaci;s1ograzvo;a i obil;eB;a mena!Bers1e pra1se. &ra1tiQni po!aci iz o!abrani3 civilni3organizaci;a i povezani empiri;s1i rezultati potvrZu;u za1l;uQa1 o nea!e1vatnommena!Bers1om razvo;u u 3rvats1om neprofitnom se1toru i navo!e na potrebu !a sea1a!ems1a za;e!nica i !ruge relevantne instituci;e u1l;uQe u proces izgra!n;e 1apacitetau civilnom se1toru.

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