Giving Compass' Take:
- Exponent Philanthropy presents five characteristics that can make or break nonprofit effectiveness in terms of impact.
- As a donor, how can you find organizations that prioritize effectiveness and align with the impact you want to achieve?
- Learn more about best practices in philanthropy.
- Search our Guide to Good for nonprofits in your area.
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Identifying nonprofit effectiveness begins with clarity about your goals and values. As a donor, focusing on the impact you want to achieve can help you find organizations that align with your mission. By honing in on your priorities, you can support nonprofits that share your vision and help them advance the work you care about most.
To guide your decision-making, start by reflecting on these key questions:
- What are your values? Understanding your core values can shape the types of organizations and approaches you’re most passionate about supporting.
- What do you want to achieve? Consider your goals for giving, volunteering, or using your skills and experience. What impact do you hope to make in your community or the world?
- At what level do you want to create change? Think about where you want to focus your efforts—whether it’s individuals, organizations, networks, policies, or big ideas.
5 Characteristics of Effective Nonprofits
Finding effective nonprofits isn’t a matter of chance—it’s about identifying qualities that enable organizations to deliver meaningful, lasting impact. When you understand what drives a nonprofit’s success, you can align your support with groups that share your goals and values. This ensures your time, energy, and resources make the greatest difference.
Here are five characteristics to look for when evaluating nonprofits:
1. Clear Mission and Purpose
Effective nonprofits are crystal clear about their mission—what they aim to achieve and why it matters. They communicate this mission consistently to board members, staff, donors, volunteers, and the public, ensuring alignment and focus.
These organizations also document the need for their work and demonstrate the value they bring. For example, a human services nonprofit should explain how its programs fill critical gaps, while an arts organization should highlight how it enriches its community.
2. Strong Performance Across Key Functions
According to How Effective Nonprofits Work: A Guide For Donors, Board Members, and Foundation Officers by Marcia Festen and Marianne Philbin, effective nonprofits excel at these key functions:
- Clearly communicate their vision and mission.
- Engage stakeholders, including program users, in designing and delivering services.
- Track and achieve results through key measures, even with basic tools.
- Maintain an active and informed governance structure.
- Secure resources that meet operational and program needs.
- Plan for the future to ensure sustainability.
Read the full article about nonprofit effectiveness at Exponent Philanthropy.