Financial and Strategic Management for Nonprofit Organizations, Fourth Edition

Chapter 1 The Foundations of Nonprofit Management as Asset Management

Nonprofit management is a highly specialized form of asset management. The assets are the nonprofit as an organization (an organizational asset), all of its financial and nonfinancial assets, its tangible and intangible assets, and its non-behavioral and behavioral assets such as its sociological and its psychological assets. These are all productive ingredients of value used in one way or the other to create something of yet greater composite value that transcends the individual. That objective, the production of something of greater social value, is the organization’s mission definable in specific ways.

In meeting that objective, the management’s responsibility is to protect ...