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New approach to measuring fundraising effectiveness takes a holistic view
Publication year - 2017
Publication title -
nonprofit business advisor
Language(s) - English
Resource type - Journals
eISSN - 1949-3193
pISSN - 1531-5428
DOI - 10.1002/nba.30300
Subject(s) - metric (unit) , overhead (engineering) , work (physics) , business , computer science , public relations , marketing , engineering , political science , mechanical engineering , operating system
Experts have in recent years come out strongly against placing too much emphasis on financial ratios and overhead costs as a metric for measuring the effectiveness of a nonprofit—and rightly so. There are many reasons why this fails to accurately capture how well a charity operates—not the least of which is the plain fact that some organizations have higher overhead expenses than others, just by the nature of the work they do.