Financial and Strategic Management for Nonprofit Organizations, Fourth Edition

Chapter 12 Restoring Trust: A Use of Relationship Marketing

Managers make mistakes. Managers do stupid things and so do employees and trustees. Some of these are not trivial and shake the public’s trust in the organization. What type of transactions are so much at the core of being a nonprofit that if affected, this type of misbehavior could possibly reverberate and cause shake the public’s trust in the organization? Bryce (2009) identifies five such transactions and strategies to repair the damage.

These highly sensitive transactions are:

1. Contracting, particularly for charitable services,
2. Promising commitment exclusively to a public service mission and the public’s expectation that it will so perform;
3. Soliciting and receiving tax exemption ...