What influences objective setting in a non-profit organisation?

Objective setting in a non-profit organisation is influenced by its mission, stakeholders, resources, and the external environment.

The mission of a non-profit organisation is its guiding principle and it significantly influences the objectives that are set. The mission statement outlines the purpose of the organisation and what it aims to achieve. Therefore, the objectives set should align with this mission to ensure that the organisation is working towards its intended purpose. For example, if a non-profit's mission is to alleviate poverty, its objectives might include providing food aid to a certain number of families each month or raising a specific amount of funds for poverty alleviation programmes.

Stakeholders also play a crucial role in objective setting. These include donors, beneficiaries, employees, volunteers, and the community at large. Each of these stakeholders has different expectations and needs from the organisation, which must be considered when setting objectives. For instance, donors may want to see that their contributions are making a tangible impact, while beneficiaries need the organisation to deliver effective services.

The resources available to a non-profit organisation also influence its objectives. This includes financial resources, human resources, and physical resources such as office space or equipment. The organisation needs to set realistic objectives that can be achieved with the resources it has. If resources are limited, the organisation may need to prioritise certain objectives over others.

Lastly, the external environment can impact objective setting. This includes factors such as economic conditions, social trends, and legal regulations. For example, during a recession, a non-profit organisation may need to adjust its objectives to reflect the decrease in donations. Similarly, changes in legal regulations may require the organisation to revise its objectives to ensure compliance.

In conclusion, objective setting in a non-profit organisation is a complex process that is influenced by a variety of factors. Understanding these factors can help the organisation set effective and achievable objectives.