Conclusions and Strategic Implications for NGOs

ngoresearch-trendsThe Global NGO Survey aimed to understand and quantify competition in the NGO sector and to explore how NGOs react strategically to the the current challenges. Through a broad set of questions, differences in the relevance of single factors and strategies were be explored. Based on the NGO’s budget size strategic implications could be given.

BUDGET SIZE
In general a budget size of 250.000 USD serves as a useful dividing line to seperate smaller and larger NGOs. Extreme mean values are especially shown in the lowest budget size under 10.000 USD and the highest budget sizes abore 1. Mio. USD. By comparing smallest and biggest budget classes, the following conclusions can be drawn:

COMPETITION FACTORS
The assessed competition factors suggest that there is a rising competitive environment within the NGO sector. The rising demand for accountability, and the rising competition get the highest ratings in this cluster. It can be summarized:

STRATEGIC REACTIONS
NGOs agreed to the proposed strategic reactions in general. Strategies, such as the development of a specialized knowledge and of fundraising get the highest ratings in this cluster. It can be summarized:

A comparison of the mean values of lowest and upper budget classes is presented in the figure below.

Figure: Overview mean values of smallest and largest NGOs

RELEVANCE FOR NGOS
 The presented findings can help NGOs to better adapt their strategy in a context of increasing competition. Large NGOs seem to prioritize fundraising measures and their positioning (uniqueness). In comparison to small NGOs seem to see higher importance in sharing resources, long-term co-operations with other NGOs and co-operations with the sector. According to the size of the NGOs the following strategic implications could be identified:

  • To improve their competitive position, small NGOs are advised to enhance their potential in concentrating on their specific skills to create knowledge that is hard to imitate and to improve in fundraising measures.
  • Large NGOs would find strategic potentials in the pooling of resources and through collaboration with other NGOs and private organizations.

Leave a Reply

%d bloggers like this: