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INTRODUCTION TO NGO MANAGEMENT Compiled Lecture Notes

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INTRODUCTION TO NGO MANAGEMENT

BY
DR. BENARD LANGO
Benard.lango@gmail.com
0720-430336, 0734-430336
Compiled Notes for Unit Lectures
Management of Non-Governmental Organizations

Contents
CHAPTER ONE: INTRODUCTION ..........................................................................................................3
1.0 Introduction ........................................................................................................................................ 3
1.1 Common Terminologies: ..................................................................................................................... 3
1.2 Categories of NGOs ............................................................................................................................. 4
1.2.1 Operational NGOs: ....................................................................................................................... 4
1.2.2 Advocacy or Campaigning NGOs .................................................................................................. 4
1.3 Types of NGOs ..................................................................................................................................... 5
1.3.1 By Orientation .............................................................................................................................. 5
1.3.2 By Levels of Operations................................................................................................................ 6
1.4 Alternative Overlapping Terms to NGO .............................................................................................. 6
1.4.1 Acronyms Developed for NGOs ................................................................................................... 7
1.5 How NGOs are Funded........................................................................................................................ 8
1.6 Roles of NGOs in the Society............................................................................................................... 8
1.7 Characteristics of NGOs ...................................................................................................................... 9
1.8 Strengths and Weaknesses of NGOs ................................................................................................. 10
1.8.1 Strengths of NGO: ...................................................................................................................... 10
1.8.2 Weaknesses of NGOs ................................................................................................................. 10
1.8.3 Strength and Weaknesses of NGOs according to World Bank .................................................. 11

TOPIC TWO: NGOs FUNDING FOR PROJECTS ..................................................................................... 13


2.0 Introduction ...................................................................................................................................... 13
2.1 Internal Sources of Funding .............................................................................................................. 13
2.2 External Sources of Funding.............................................................................................................. 13

TOPIC THREE: THE MANAGEMENT OF NGOs ..................................................................................... 15


3.1 Introduction ...................................................................................................................................... 15
3.2 Definition of Management................................................................................................................ 15
3.3 Importance of Management ............................................................................................................. 16
3.4 Concept of Management of NGOs .................................................................................................... 16
3.4.1 Objectives or Mission Statement ............................................................................................... 16
3.4.2 Planning...................................................................................................................................... 17
3.4.4 Organising: ................................................................................................................................. 17
3.4.5 Controlling:................................................................................................................................. 18

TOPIC FOUR: PROJECT FORMULATION IN NGOs ................................................................................ 20


4.1 Introduction ...................................................................................................................................... 20
4.2 Steps in NGOs Project Formulation .................................................................................................. 20

TOPIC FIVE: VALUES IN DEVELOPMENT PROJECTS ............................................................................. 23


5.1 Introduction ...................................................................................................................................... 23

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5.2 Types of Values ................................................................................................................................. 23


5.3 NGOs Development Value ................................................................................................................ 24

TOPIC SIX: HUMAN NEEDS IN DEVELOPMENT PROJECTS ................................................................... 25


5.1 Maslow Hierarchy of Needs .............................................................................................................. 25
5.2 Deficiency Needs Vs Growth Needs.................................................................................................. 25
5.3 The original hierarchy of needs five-stage model includes: ............................................................. 27
5.4 Characteristics of Self-Actualizers ..................................................................................................... 28
5.4 Hierarchy of needs summary ............................................................................................................ 29

GROUP WORK FOR STUDENTS .......................................................................................................... 30

INDIVIDUAL ASSIGNMENT ................................................................................................................ 31

References....................................................................................................................................... 32

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CHAPTER ONE
INTRODUCTION
1.0 Introduction
The term, "non-governmental organization" or NGO, came into use in 1945 because of the need
for the UN to differentiate in its Charter between participation rights for intergovernmental
specialized agencies and those for international private organizations. At the UN, virtually all
types of private bodies can be recognized as NGOs. They only have to be independent from
government control, not seeking to challenge governments either as a political party or by a
narrow focus on human rights, non-profit-making and non-criminal.

1.1 Common Terminologies:


 NGO: A non-governmental organization (NGO) is a non-profit, citizen-based group that
functions independently of government. Also referred to as: Non-Governmental
Organizations, Nongovernmental organizations or nongovernment organizations.
 IGO: An intergovernmental organization (IGO) or international organization is
an organization composed primarily of sovereign states (referred to as member states), or
of other intergovernmental organizations. IGOs are established by a treaty that acts as a
charter creating the group. The term intergovernmental organization (IGO) refers to an
entity created by treaty, involving two or more nations, to work in good faith, on issues of
common interest. In the absence of a treaty an IGO does not exist in the legal sense.
Examples: World Trade Organizations (WTO), United Nations (UN), African Union (AU),
ECOWAS, NATO, IMF, World Bank, World Wildlife Fund, World Health Organization, e.t.c
 Government Related Organizations (GRO): Are also referred to as NGOs but solely
established by the government to champion social and civil inclusion. These includes: Kenya
Human Rights Commission (KHRC),
 Civil Society: Civil society refers to the space for collective action around shared interests,
purposes and values, generally distinct from government and commercial for-profit actors.
A civil society is composed of three sectors: government, the private sector and civil
society, excluding businesses. NGOs are components of social movements within a civil
society.

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1.2 Categories of NGOs


NGOs can be distinguished into two groups: Operational and advocacy NGOs. This may be
interpreted as the choice between small-scale change achieved directly through projects and
large-scale change promoted indirectly through influence on the political system. This is the
classification that is used by the world-bank.

1.2.1 Operational NGOs:


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

1.2.2 Advocacy or Campaigning NGOs


 Campaigning NGOs seek to "achieve large-scale change promoted indirectly through
influence of the political system".
 Campaigning NGOs need an efficient and effective group of professional members who are
able to keep supporters informed, and motivated.

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 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. Campaigning NGOs
often deal with issues relating to human rights, women's rights, and 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 event.

1.3 Types of NGOs


NGO/GRO (governmental-related organizations) types can be understood by their orientation and
level of how they operate.

1.3.1 By Orientation
 Charitable orientation often involves a top-down effort with little participation or input by
beneficiaries. It includes NGOs with activities directed toward meeting the needs of the
disadvantaged people groups.
 Service orientation includes NGOs with activities such as the provision of health, family
planning or education services in which the programme is designed by the NGO and people
are expected to participate in its implementation and in receiving the service.
 Participatory orientation is characterized by self-help projects where local people are
involved particularly in the implementation of a project by contributing cash, tools, land,
materials, labour, etc. In the classical community development project, participation begins
with the need definition and continues into the planning and implementation stages.
 Empowering orientation aims to help poor people develop a clearer understanding of the
social, political and economic factors affecting their lives, and to strengthen their awareness
of their own potential power to control their lives. There is maximum involvement of the
beneficiaries with NGOs acting as facilitators.

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1.3.2 By Levels of Operations


 Community-based organizations (CBOs) arise out of people's own initiatives. They can be
responsible for raising the consciousness of the urban poor, helping them to understand
their rights in accessing needed services and providing such services.
 City-wide organizations include organizations such as chambers of commerce and industry,
coalitions of business, ethnic or educational groups, and associations of community
organizations.
 State NGOs include state-level organizations, associations and groups. Some state NGOs
also work under the guidance of National and International NGOs.
 National NGOs include national organizations such as the YMCAs/YWCAs, professional
associations and similar groups. Some have state and city branches and assist local NGOs.
 International NGOs range from secular agencies such as Save the Children, to religiously
motivated groups. They can be responsible for funding local NGOs, institutions and projects
and implementing projects.

1.4 Alternative Overlapping Terms to NGO


Apart from "NGO", there are alternative or overlapping terms in use, including:
 third-sector organization (TSO),
 non-profit organization (NPO),
 voluntary organization (VO),
 civil society organization (CSO),
 grassroots organization (GO),
 social movement organization (SMO),
 private voluntary organization (PVO),
 self-help organization (SHO) and
 non-state actors (NSAs).
In Portuguese, Spanish, French, Italian and other Romance languages, the 'mirrored'
abbreviation "ONG" is in use, which has the same meaning as "NGO" for example:
 Organisation non-gouvernementale in French,
 Organização Não Governmental in Portuguese,
 Organización no gubernamental in Spanish, or
 Organizzazione non governativa in Italian).

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1.4.1 Acronyms Developed for NGOs


Governmental-related organizations / non-governmental organizations are a heterogeneous
group. As a result, a long list of additional acronyms has developed, including:
 BINGO: 'Business-friendly international NGO' or 'Big international NGO'
 SBO: 'Social Benefit Organization,' a positive, goal-oriented designation as a substitute for
the negative, "Non-" designations
 TANGO: 'Technical assistance NGO'
 TSO: 'third-sector organization'
 GONGO: 'government-organized non-governmental organization' or 'government-operated
NGOs' (set up by governments to look like NGOs in order to qualify for outside aid or
promote the interests of government)
 DONGO: 'Donor-organized NGO'
 INGO: 'International NGO'
 QUANGO: 'quasi-autonomous NGO,' or QUANGO refers to NGOs set up and funded by the
government. The term is particularly prevalent within the UK (where there are more than
1,200 of them), the Republic of Ireland, and the Commonwealth.
 National NGO: A non-governmental organization that exists only in one country. This term
is rare due to the globalization of non-governmental organizations, which causes an NGO to
exist in more than one country.
 CSO: 'Civil Society Organization'
 ENGO: 'Environmental NGO,' such as Greenpeace and WWF
 NNGO: 'Northern NGO'
 PANGO: 'Party NGO,' set up by parties and disguised as NGOs to serve their political
matters.
 SNGO: 'Southern NGO'
 SCO: 'Social change organization'
 TNGO: 'Transnational NGO.' The term emerged during the 1970s due to the increase of
environmental and economic issues in the global community. TNGO includes non-
governmental organizations that are not confined to only one country but exist in two or
more countries.

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 GSO: Grassroots Support Organization


 MANGO: 'Market advocacy NGO'
 NGDO: 'Non-governmental development organization'
 PVDO: 'Private voluntary development organisation'

1.5 How NGOs are Funded


As non-profits, NGOs rely on a variety of sources for funding, including:
 membership dues
 private donations
 the sale of goods and services
 grants
Despite their independence from government, some NGOs rely significantly on government
funding. Large NGOs may have budgets in the millions or billions of dollars.

Individual private donors comprise a significant portion of NGO funding. Some of these
donations come from wealthy individuals, such as Ted Turner's $1 billion donation to the
United Nations, or Warren Buffett's 2006 pledge to give 10 million Berkshire-Hathaway class B
shares to the Bill and Melinda Gates Foundation (valued at more than $31 billion in June 2006).
Many NGOs, however, rely on a large number of small donations, rather than a small number of
large donations.
Despite their independence from government, many NGOs rely heavily on government
funding to function. Some governmental NGO funding may be viewed as controversial because
the funding may support certain political goals rather than a nation's development goals.

1.6 Roles of NGOs in the Society


1. Community Health Promotion and Education
 Contraception and Intimacy Education
 General Hygiene
 Waste Disposal
 Water Usage
 Vaccinations

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 Youth Counseling Services


2. Emerging health crises
 HIV/AIDS education and support
 Hepatitis B education
 Drug Addiction recovery
3. Community Social Problems
 Juvenile crimes
 Runaway girls
 Street Children
 Prostitution
4. Environmental
 Sustainable water and energy consumption education
 Keeping mountains and forests clean
5. Economic
 Microenterprises and Micro-loans
 Skill training (Computers, technician training, Catering services, clothing and textile, etc.)
 Product promotion and distribution (Bazaars etc.)
 Cooperative creation
 Financial consulting Range of NGO Activities
 Career services and job search assistance
6. Development
 School construction
 Infrastructure construction
 Cultural center construction and operation
 Agriculture and Aquaculture expert assistance
7. Women’s Issues
 Women and Children’s Rights
 Battered women assistance center
 Group therapy for sexually abused women
 Counseling hotlines (telephone-based counseling services for women)
 Legal assistance to women
 Literacy drives

1.7 Characteristics of NGOs


Though NGOs vary in different aspects like nature, structure and ideology but they have some
characteristics which make them fall into a category of non-government organizations. In
general, following are the common characteristics of NGOs:

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i) The NGOs are not created for profit making, they are non–profit making
organizations. The profit generated, if any is used for working of organization‟s
programmes and is not distributed among its members.
ii) NGOs are independent of government.
iii) The NGOs are formed on voluntary basis and possess spirit of voluntarism.
iv) The NGOs have legal status/ identity. They need to be registered under appropriate
Act.
v) All NGOs are formed to serve a common purpose of benefit and / or development of
community. They aim towards helping the needy.

1.8 Strengths and Weaknesses of NGOs


As in case of any other type of organization, every NGO has its own set of strengths and
weaknesses. No thumb–rule could be applied to list the strengths and weaknesses of NGOs as
no two NGOs are totally identical. In general following are the most common strengths and
weaknesses of NGOs:

1.8.1 Strengths of NGO:


 Proximity to grass root levels: NGOs are close to community and can understand people‟s
needs and expectations. This is the major strength of NGOs. There is clarity about the
nature and extent of problem or need prevailing in the community.
 Enthusiasm and inner drive of the members: NGO people have an inner drive towards
social cause and they are enthusiastic about their work which results in timely achievement
of their goals.
 Creativity and innovation: NGOs are generally known for their creative and innovative
nature. Due to their freedom in working, NGOs are not under any kind of pressure of doing
a job in a particular way, which in turn make them think creatively and brings innovation.
 Quality of work: NGOs utilise the funds economically as already most of the NGOs face
shortage of funds. NGOs projects or activities are met in time and have long term effect.
 Speed of work: The communication is faster in case of NGOs since they do not contain long
chain of commands in the organization. Fast communication, flexibility, field experience and
field presence of NGOs increase the working speed.

1.8.2 Weaknesses of NGOs


 Dependence on donors: This is the biggest weakness of NGO which makes them
unsustainable. Most of the NGOs are dependent on external funds for running their
projects. In absence/ shortage of funds, the work of NGOs is slowed down or even stopped
till the funds are available.

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 Lack of skilled manpower: Technical ability is required for running the projects successfully,
which is not available easily for NGOs. Also in NGOs working in rural areas or remote places,
there is problem of inadequacy of trained people which is really a challenging situation.
 Limitations with long term and large scale projects: NGOs are efficient in short range
projects, but they might find big projects difficult to manage because of insufficiency of
funds and inadequacy of suitable manpower. The NGOs are close to grass roots but may be
unaware of global socio – economic scenario which may make them unsuitable for large
scale projects.

1.8.3 Strength and Weaknesses of NGOs according to World Bank


Because the nature and quality of individual NGOs varies greatly, it is extremely difficult to
make generalizations about the sector as a whole. Despite this diversity, some specific
strengths generally associated with the NGO sector include the following:
 strong grassroots links
 field-based development expertise
 ability to innovate and adapt
 process-oriented approach to development
 participatory methodologies and tools
 long-term commitment and emphasis on sustainability
 cost-effectiveness
The most commonly identified weaknesses of the sector include:
 limited financial and management expertise
 limited institutional capacity
 low levels of self-sustainability
 isolation/lack of inter-organizational communication and/or coordination
 small scale interventions
 lack of understanding of the broader social or economic context

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_______________________
Examination Questions – Topic: Introduction
1. Differentiate the following terms as applied in the management of NGOs:
a) Non-Governmental Organization and Inter-Governmental Organization
b) Civil Society and Government Related Organization
2. Describe the TWO categories of NGOs defining their major roles and areas of
accommodation.
3. Mr. Wekesa is a government officer in Busia in-charge of NGOs registrations with the
Kenyan government and has embarked on a journey of putting up a list of NGOs
operating in the area. As a management consultant, explain to Mr. Wekesa the types
of NGOs he is likely to have in his list to help him in proper grouping.
4. NNGO, PANGO, TNGO, QUANGO and DONGO are some of the acronyms used in the
management of NGOs. Briefly describe the following acroymns to explain their areas
of application.
5. Explain at least FIVE function of NGOs intended for community project development.

_______________________

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TOPIC TWO
NGOs FUNDING FOR PROJECTS

2.0 Introduction
The NGOs rely on funding from variety of sources for their projects, administrative costs and
their overall functioning. These sources could be internal sources like membership fees or could
be external sources like funding from government. NGOs may depend on some large number of
donations or more small number of donations.

2.1 Internal Sources of Funding


Internal sources of funding are membership fees, subscriptions, interests/ dividends, sales of
products, individual donations and rent.
 Membership fees – Annual fees charged for becoming a member of the organization is
the membership fees.
 Subscription – Fees is charged by the organization for subscribing in-house magazine or
bulletin or any other type of publication.
 Interests/dividends – On any short term or long term investment of NGO, interest /
dividend is received.
 Sales of products – Funds are raised by sale of products like handicraft items, food items
and candles that are generally prepared by the beneficiaries.
 Individual donations – Any member of the NGO may give funds from his pocket as
individual donation.
 Rent- In case the NGO leases out its property like office, rent becomes the internal
funding source.

2.2 External Sources of Funding


External sources: External sources include Government, Foundations, Trusts, Funding Agencies,
Corporations, Public donations, Self financing.
 Government- “By and large, funds from government to the work of voluntary
organizations have been coming right from independence. Central Social Welfare Board

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and Khadi and Village Industries Corporation are two early examples of funding the
work of certain types of activities of Voluntary Development Organisations”. The Central
and State Governments have many schemes of various Ministries and Departments in
the areas like Education, Health, Children and Women welfare, Human Resource
Development, Environment, Rural Development. Many NGOs receive funds from
government to work on their projects.
 Foundations, Trusts, Funding Agencies: National Foundations/ Funding Agencies,
Foreign/international foundations / Funding Agencies and Trusts are one of the major
sources of funds for NGOs.
 Corporations: Corporate sector includes the corporations and business houses acting as
a funding source for NGOs.
 Public donations: Donations given by an individual or a group of individual for charitable
cause, fall under this category.

__________________________________________________________________
Examination Questions: Topic 2 – NGOs Funding for Projects
1. State and Describe the internal and external sources of funding NGOs operating in
Kenya.
2. An NGO operating in a remote village in Kitui County in Eastern Kenya seeks to solicit
funds from all quotas to support orphans who are joining their second stage study.
Advise the NGO on the best sources of funds that can be guaranteed to bear fruits
immediately.
__________________________________________________________________

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TOPIC THREE
THE MANAGEMENT OF NGOs

3.1 Introduction
Management means managing any activity, carrying out the activity in such a way that it leads
to achievement of goals in time. It is a problem solving process of effectively achieving
organisational objectives through the efficient use of scarce resources in a dynamic
environment.
Management is applicable in every sphere of life. It is applicable from household activities to
business activities. Management principles are helpful in any type of organization – small scale
to large scale, profit organization to non-profit organization to meet the objectives and targets
in time.

3.2 Definition of Management


There are different opinions about Management. Different experts and scholors have defined
management in a different way. Some have defined management as an art, some have defined
management as a series of steps with specific functions. Definitions according to various
experts are given below:
 Peter Drucker has defined management as, “Management is a multipurpose organ that
manages a business and manages manager, and manages worker and work.
 F.W.Taylor has defined management as, “Management is knowing exactly what you
want men do, and then seeing that they do it in the best and cheapest way.”
 Henry Fayol has quoted management as – “To manage is to forecast, to plan, to
organize, to co-ordinate and to control.”
 As per Mary Parker Follett, “Management is the art of getting things done through
people.”
 George R. Terry defines management as “A process consisting of planning, organising,
actuating and controlling, performed to determine and accomplish the objectives by the
use of people and resources.”

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3.3 Importance of Management


1. Achievement of goals or meeting targets in time: Every organization has some goal to
accomplish and has target line. By proper planning, direction, coordination and control over
all activities, one can achieve goals and meet the targets of organization in time.
2. Stability and growth: Management ensures the effective and optimum utilization of
available resources of the organization. It controls the various activities and operations,
integrates the functions.
3. Change and development- Organization that follows management concepts, is aware of the
changing environment and can foresee the development in future.
4. Efficiency and effectiveness – Management functions are Planning, Organizing, Leading and
Controlling. These functions bring efficient and effective human efforts and operations.

3.4 Concept of Management of NGOs


According to Peter Drucker, non profit organizations need management all the more, because
they do not have a conventional bottom line. The corporate sectors and business organisations
have objectives of profit making, so they adhere strictly to management principles to achieve
the maximum results. NGOs do not have objectives of profit making, but they also need to
follow management principles as there is always the shortage of resources in most of the NGOs.

3.4.1 Objectives or Mission Statement


Every organization, profit or non-profit, commercial or welfare, small or large needs to define
its objectives. Without defining the objectives, an organization remains directionless. Objectives
are important in laying down the targets and measuring organizational performance.
A mission statement throws light on the reason for organisations existence, who would be the
beneficiaries and their needs / problems, which strategies will be employed to solve these
problems / satisfy their needs, and what is to be achieved. In case of NGOs, Mission / Mission
statement satisfies this need. For deciding the objectives / Mission, the general requirements
are:
 Identifying a problem
 Finding probable solutions to the problems

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 Measures to be taken / products to be distributed / marketed


 Beneficiaries to be rescued from the problem
Every NGO must have a properly defined mission statement.

3.4.2 Planning
In most of the NGOs, long term plan (plan for 3-5 years) may not be available. This is because
NGOs are dependent on external sources of funds like donations, grants etc. Unless they have
been sponsored by big corporate houses or they are funded by Government. The NGOs who are
always in need of funds and face scarcity of funds cannot have long term planning. In fact they
are so much occupied in solving present problems with the existing work going on. In such
cases long term planning is almost absent. NGOs at a time or undertake two or more projects at
a time. Project implementation requires planning, arrangement and allocation of resources and
time management.

For implementing the project / achieving any goal, thoughtful and considerate planning is
essential. In case of NGOs, planning may involve following:
a. Designing the projects to achieve the targets
b. Plan of project activities
c. Formulating strategies for implementing the project
d. Identifying various requirements like manpower, method of implementing the
project, funds requirement etc.; in short the need of Man, Machine, Material,
Money.

3.4.4 Organising:
In NGOs following are the areas that need organising:
i) Marketing:
In present days, where boom in NGOs is observed, it has become vital for NGOs to market
themselves. Marketing is essential for creating awareness of general public, donors and
beneficiaries about the work NGOs are undertaking and services being offered by NGOs.
Websites and brochures are some methods of marketing of NGOs.

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Marketing is equally important in commercial sector as well as non-profit sector.

ii) Staffing:
In NGOs, manpower comprises of paid staff and volunteers. The volunteers could be students,
social workers or any person who is willing to work for a social cause, benefit of society. Staffing
process involves identifying jobs according to needs of organization, recruitment of human
resource based on their qualification and skills, providing training as per need. Staffing is an
important component of human resource management.

iii) Financing:
In case of NGOs, funds are generated by various means like public donations or Government /
Corporate grants or sale of products produced by them, workshops, charity shows and personal
donations by the members. There is no fixed „income‟ as such. Many a times it happens in
NGOs that the project gets stuck up at some stage due to insufficient funds. There is always a
gap between the funds requirement and funds generated. NGOs need to plan financing
methods and should take fund raising as an important activity. They should not rely on one
single source of fund, rather they should look for more options.

Proper financing involves investment of surplus available funds so that more resources are
generated by way of interest / dividend or capital gains for future use; this also ensures
optimum utilisation of available resources.

iv) Project implementation:


After marketing, staffing and financing, project implementation starts. Management concept is
very important for successful implementation of project.

3.4.5 Controlling:
It includes monitoring that the activities are going as per the pre-decided planning, comparing
the actual findings with the estimated standards. If there is any deviation from the standards,

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there is need to take corrective action in time. In NGOs controlling is very important to avoid
misuse or wastage of scarce resources. Different measures of control in NGOs are:

1. Feedback: The feedback from the beneficiaries for service / facility / help provided
by NGOs is an informative source for improvement in working of NGO. NGOs should
have some methodology to collect feedback of beneficiaries, know their opinions
and non desirable things (if any), their suggestions for further improvement.
2. Budget: It is an important aspect of controlling. It is used as a control device by
matching revenues and expenses for the concerned department against the budget
projections. A periodic performance evaluation is necessary to ensure that
performance is in line with projections. In case there are any deviations, corrective
actions should be taken and if required, the budget projections may be revised
3. Performance Control: This refers to comparing the actual performance to the
standard performance, actual output to the standard optimum output.

__________________________________________________________________
Examination Questions: Topic 3 – Management of NGO
(a) NGO organizing is one of the major requirements for the success of NGOs. State and
describe the areas within the management of NGOs that require ORGANIZING.
(b) Describe the following measures of control in NGOs management:
(i) Feedback
(ii) Budget
(iii) Performance Control
(iv) Stakeholder Management
__________________________________________________________________

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TOPIC FOUR
PROJECT FORMULATION IN NGOs

4.1 Introduction
The project formulation needs more time. The funding organizations have their own criteria
which NGOs have to follow. The funder should be satisfied the concept of NGO‟s project.
Therefore NGOs have to accurately plan the projects considering all the factors; economic
value, social importance of project and sustainability of project.

Project formulation is a thoughtful process which needs experience. Project formulation


requires these steps: conceptualization, planning, setting objectives, organising, budgeting and
fund raising.

4.2 Steps in NGOs Project Formulation

Figure 4.1: Steps in NGOs Project Formulation

Conceptualization

Planning

Objectives

Organizing

Budgeting

Fundraising

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Step 1: Conceptualization
In this step the basic purpose of project is decided based upon some need or problem existing
in community. After identifying the problem, the team of human resource of NGO along with
some experts analyse the problem and finalise the action plan for solving that problem.

Step 2: Planning
Planning involves plan for allocation of all resources that are required for implementation of
projects. In NGOs participation from all levels – top to down – is required. Staff, volunteers, all
members should be involved in planning.

Step 3: Objectives
Targets should be clear and achievable in decided time frame.

Step 4: Organising
Organising involves arrangement and allocation of all resources that are required for successful
implementation of project.

Step5: Budgeting
A budget is an important document for assessing the financial requirements on an NGO. A
budget is normally prepared for a period of one year, which may be financial year or calendar
year. If there are various branches, then budget should be prepared for every branch first and
then should be consolidated at central level.
The income and expenditure side should always be balanced showing deficit or surplus. If there
is deficit then sources to meet the deficit should be indicated or the measures to reduce the
expenditure should be stated. A budget should be realistic and accurate; it should also take care
of certain unforeseen expenditure.

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Step 6: Raising funds


Fund raising is a very important and essential activity for NGOs. NGOs have to convince the
donors by presenting a good project proposal which is worth. Fund raising involves identifying
and listing donors, approaching the donors with project proposal. Fund raising is not an easy
activity, since there is high population of NGOs. A competent NGO is successful in getting funds
in time.
__________________________________________________________________
Examination Questions: Topic 4 – Project Formulation in NGOs
a) NGO projects follow distinctive steps which must be accomplished in order of
basic requirements. As an NGO management student, enumerate these steps and
further explain the importance of EACH step stated.
b) NGO funding is an important component of NGO growth and expansion to
achieve its intended core mission. Describe the process involved in seeking funds
for NGO operations.
__________________________________________________________________

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TOPIC FIVE
VALUES IN DEVELOPMENT PROJECTS

5.1 Introduction
Value in NGO project development can also be referred to as Project-Perceived Value and is
the difference between the project’s evaluations of the benefits when compared with others.
Can also be expressed as the perceive benefits to the community compared to the perceived
cost. Value = Benefits/Costs.
The basic underlying concept of value in development projects is human needs. The basic
human needs may include food, shelter, belonging, love, and self-expression. Both culture and
individual personality shape human needs in what is known as wants. When wants are backed
by buying power, they become demands.

With a community’s wants and resources (financial ability), they demand development projects
with benefits that add up to the most value and satisfaction.

5.2 Types of Values


The four types of value include: functional value, monetary value, social value, and
psychological value. The sources of value are not equally important to all community
beneficiaries. How important a value is, depends on the community and the development
project. Values should always be defined through the "eyes" of the community.
Functional Value: This type of value is what project offer does, it's the solution a project offer
provides to the community.
Monetary Value: This is where the function of the project cost is relative to an offered
perceived worth by the community. This value invites a trade-off between other values and
monetary costs.
Social Value: The extent to which development project allows the community to connect with
each other.

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5.3 NGOs Development Value


For an organization to deliver value, it has to improve its value: cost ratio. When an
organization delivers high value at high price, the perceived value may be low. When it delivers
high value at low price, the perceived value may be high.
The key to deliver high perceived value is attaching value to each of the individuals or
organizations—making them believe that what you are offering is beyond expectation—helping
them to solve a problem, offering a solution, giving results, and making them happy.

Value changes based on time, place, and people in relation to the changing environmental
factors. It is a creative energy exchange between people and organizations in development
projects.
NGOs implementing development projects can conduct a community value analysis to reveal
the strength and weaknesses compared to others. The steps followed are:
1. To identify the major attributes and benefits that community value for choosing a
development project.
2. Assessment of the quantitative importance of the different attributes and benefits of
the development project.
3. Assessment of the NGO’s and competitors' performance on each attribute and benefits
of the development project.
4. Examining how community in the particular segment rated NGO against major
competitor on each attribute of the development project.
5. Monitor community perceived value on the development project over time.
__________________________________________________________________
Examination Questions: Topic 5 – Values in Development Projects
a) State and describe the various types of values in relations to NGOs project
perceived value to the community.
b) As an NGO manager what would be of at most importance in terms of achieving
project value to the community.
c) In implementing development projects to the community, it is important to follow
distinctive steps to determine the community value analysis to determine the
strengths and weakness. Outline these steps
__________________________________________________________________

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TOPIC SIX
HUMAN NEEDS IN DEVELOPMENT PROJECTS

5.1 Maslow Hierarchy of Needs


Maslow's hierarchy of needs is a motivational theory in psychology comprising a five-tier model
of human needs, often depicted as hierarchical levels within a pyramid.
Needs lower down in the hierarchy must be satisfied before individuals can attend to needs
higher up.
From the bottom of the hierarchy upwards, the needs are: physiological, safety, love and
belonging, esteem, and self-actualization.

Figure 6.1: Maslow Hierarchy of Needs


5.2 Deficiency Needs Vs Growth Needs
This five-stage model can be divided into deficiency needs and growth needs. The first four
levels are often referred to as deficiency needs (D-needs), and the top level is known as growth
or being needs (B-needs).
Deficiency needs arise due to deprivation and are said to motivate people when they are
unmet. Also, the motivation to fulfill such needs will become stronger the longer the duration
they are denied. For example, the longer a person goes without food, the more hungry they will
become.

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Maslow (1943) initially stated that individuals must satisfy lower level deficit needs before
progressing on to meet higher level growth needs. However, he later clarified that satisfaction
of a needs is not an “all-or-none” phenomenon, admitting that his earlier statements may have
given “the false impression that a need must be satisfied 100 percent before the next need
emerges”.

When a deficit need has been 'more or less' satisfied it will go away, and our activities become
habitually directed towards meeting the next set of needs that we have yet to satisfy. These
then become our salient needs. However, growth needs continue to be felt and may even
become stronger once they have been engaged.

Growth needs do not stem from a lack of something, but rather from a desire to grow as a
person. Once these growth needs have been reasonably satisfied, one may be able to reach the
highest level called self-actualization.

Figure 6.2: D- & B- Needs


Every person is capable and has the desire to move up the hierarchy toward a level of self-
actualization.

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Unfortunately, progress is often disrupted by a failure to meet lower level needs. Life
experiences, including divorce and loss of a job, may cause an individual to fluctuate between
levels of the hierarchy.
Therefore, not everyone will move through the hierarchy in a uni-directional manner but may
move back and forth between the different types of needs.

5.3 The original hierarchy of needs five-stage model includes:


Maslow (1943, 1954) stated that people are motivated to achieve certain needs and that some
needs take precedence over others.
Our most basic need is for physical survival, and this will be the first thing that motivates our
behaviour. Once that level is fulfilled the next level up is what motivates us, and so on.

1. Physiological needs - these are biological requirements for human survival, e.g. air, food,
drink, shelter, clothing, warmth, sex, sleep.
If these needs are not satisfied the human body cannot function optimally. Maslow considered
physiological needs the most important as all the other needs become secondary until these
needs are met.

2. Safety needs - protection from elements, security, order, law, stability, freedom from fear.

3. Love and belongingness needs - after physiological and safety needs have been fulfilled, the
third level of human needs is social and involves feelings of belongingness. The need for
interpersonal relationships motivates behaviour

Examples include friendship, intimacy, trust, and acceptance, receiving and giving affection and
love. Affiliating, being part of a group (family, friends, work).

4. Esteem needs - which Maslow classified into two categories: (i) esteem for oneself (dignity,
achievement, mastery, independence) and (ii) the desire for reputation or respect from others
(e.g., status, prestige).

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Maslow indicated that the need for respect or reputation is most important for children and
adolescents and precedes real self-esteem or dignity.

5. Self-actualization needs - realizing personal potential, self-fulfillment, seeking personal


growth and peak experiences. A desire “to become everything one is capable of becoming”

5.4 Characteristics of Self-Actualizers


Although we are all, theoretically, capable of self-actualizing, most of us will not do so, or only
to a limited degree. Maslow (1970) estimated that only two percent of people would reach the
state of self-actualization.
He was especially interested in the characteristics of people whom he considered to have
achieved their potential as individuals.
By studying 18 people he considered to be self-actualized (including Abraham Lincoln and
Albert Einstein) Maslow (1970) identified 15 characteristics of a self-actualized person.

Characteristics of self-actualizers:
1. They perceive reality efficiently and can tolerate uncertainty;
2. Accept themselves and others for what they are;
3. Spontaneous in thought and action;
4. Problem-centered (not self-centered);
5. Unusual sense of humor;
6. Able to look at life objectively;
7. Highly creative;
8. Resistant to enculturation, but not purposely unconventional;
9. Concerned for the welfare of humanity;
10. Capable of deep appreciation of basic life-experience;
11. Establish deep satisfying interpersonal relationships with a few people;
12. Peak experiences;
13. Need for privacy;

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14. Democratic attitudes;


15. Strong moral/ethical standards.

5.4 Hierarchy of needs summary


(a) human beings are motivated by a hierarchy of needs.
(b) needs are organized in a hierarchy of prepotency in which more basic needs must be more
or less met (rather than all or none) prior to higher needs.
(c) the order of needs is not rigid but instead may be flexible based on external circumstances
or individual differences.
(d) most behaviour is multi-motivated, that is, simultaneously determined by more than one
basic need.
===================== ==============
__________________________________________________________________
Examination Questions: Topic 6 – Human Needs in Development Projects
a) Using Maslow Hierarchy of Needs as the reference point, differentiate between D-needs
and B-needs.
b) In this life every individual is considered capable of moving up the hierarchy towards a
level of self-actualization, however, very few individuals do reach this level and stay
while others fluctuate. What would be the reason for this fluctuation.
c) Outline the characteristics of self-actualizers.
__________________________________________________________________

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GROUP WORK FOR STUDENTS


Management of NGOs
Instructions:
1. Present on all questions
2. Final document should be bound and presented in class during class presentations
3. Every member of the group must present on the document.
4. Failing to present results in ZERO marks for presentation
5. DEADLINE: Next Class

CASE STUDY
The following NGOs are currently operating in Kenyan Counties:
1. Center for Health Solutions
2. Sahelian Solutions Foundations
3. Kalanzo Musyoka Foundation
4. Ukambani Members Association
5. World Vision Kenya
6. Undugu Society of Kenya
7. Aga Khan Foundation
8. Kenya Human Rights Commission
9. Children Investment Fund Foundation (CIFF)
10. Africa Conservation Center
11. Asante Africa Foundation
12. East African Wildlife Society

Required:
1. Describe the background of the NGOs stating its type, core values, area of jurisdiction, and
specific location within the county.
2. List of projects the NGO is involved in within the country in the last year and their target of
achievement (human needs to be precise).
3. Possible sources of funding for this particular NGO.
4. A project the group would suggest to be undertaken by the NGO in line with its core mandate.

=============================================

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INDIVIDUAL ASSIGNMENT
Instructions:
1. Answer ALL Questions
2. Use single A4 leaflet paper to answer the questions
3. ALL answers must be hand-written for this particular assignment.
4. COPIED work will attract a PENALTY
5. DEADLINE: Next Class
CASE
World Vision has made significant strides in promoting sustainable access to safe drinking water in
Kenya. The organization has formed and strenghthened water users committees who manage water
project during and after the project ends. This has also been ensured through technologies such as
boreholes, pipeline extensions, spring protection, shallow wells and rainwater harvesting systems. A key
focus area for World Vision Kenya is advocating against water source contamination, which includes
enhancing sound hygienic practices for safe water handling from source to point-of-use at the
household level. Communities build capacity around the 3R principles of reduces, reuse and recycle to
enhance efficient water use. For example, in urban areas that have high amounts of water waste,
households that use pour flush toilets are encouraged to use water from washing clothes for flushing
the toilet, and to use waste water from the kitchen to water the garden.

Required:
1. State and justify which types of NGOs world Vision belongs to.
Explained as:
2. Describe FIVE challenges faced by world vision in implementing its mandate.
3. Describe the THREE main objectives World Vision is keen on achieving.
4. Outline the strengths of World Vision within the grass roots that has enabled it to stand the test
of time.
======== ==================== ==========

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References

Willetts, Peter. "What is a Non-Governmental Organization?". UNESCO Encyclopaedia of Life Support


Systems. City University London. Retrieved 18 July 2012.

Lawry, Lynn (2009). Guide to Nongovernmental Organizations for the Military (PDF). pp. 29–30. Archived
from the original (PDF) on 2020-01-24.

Lewis, David; Kanji, Nazneen (2009). Non-governmental organizations and development. 2 Park Square,
Milton Park, Abingdon, Oxon, OX14 4RN: Routledge. pp. 9–10. ISBN 978-0-203-87707-4.

"Non-Governmental Organizations (NGOs)". www.usaid.gov. 2017-09-25. Retrieved 2020-01-24.

http://web.mit.edu/isg/NGOManagement.pdf

https://en.wikipedia.org/wiki/Non-governmental_organization

https://www.investopedia.com/ask/answers/13/what-is-non-government-organization.asp

https://www.simplypsychology.org/maslow.html

WHERE YOU SLEPT THE PREVIOUS NIGHT DOES NOT DEFINE YOUR SLEEPING PATTERN

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