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Nonprofit Procurement[edit]
Nonprofit Procurement is the acquisition of goods, services or works from a nonprofit organization. Whole service functions traditionally carried out within a company are now more frequently outsourced to external service providers.[1][2] Since nonprofit organizations must retain surplus revenues for their own self-preservation, expansion or plans,[3] their application processes for funding are considerably different than those of for-profit organizations. Whereas private organizations can solicit a "sole source" or no-bid contract, government agencies must solicit services through a competitive bidding process such as a request for proposal to avoid the perception of favoritism for a single contractor.
Origin of Non-profit Procurement Process[edit]
A Request for Proposal for non-profit organizations originates from a public or private organization soliciting for a service or services. This may come from legislation, through special projects initiated by a government agency, or simply to outsource a service that the organization cannot produce themselves or can produce more efficiently through a procurement.[4]
Factors Influencing Successful Proposals[edit]
Proposals written by non-profts and submitted through a bidding process are held to a higher level of scrutiny than sole source or no-bid contracts because of the competitive nature of their proposals.[5] Since non-profits depend on procurement and donations for sustainability, writing successful proposals are not only important—they are critical to the liveliehood of non-profits.[6]
Some effective strategies for writing successful proposals in the non-profit sector include:[7]
- Adequate and Effective Planning: Before writing a proposal to secure funds grantseekers need to first determine which programs are most likely to garner the interest from grantmakers? An effective proposal should include the follwing: problem statement, goals and objectives, methods, evaluation, program sustainability, and budget.
- Clear Problem Statement: An effective problem statement identifies the problem being addressed by the proposal.
- Clear Goals: Must be established to clearly define what the non-profit intends to accomplish through the proposed program as well as objectives that can measure progress towards that goal.
References[edit]
- ^ Erridge, edited by Andrew; Fee,, Ruth; McIlroy, John (2001). Best practice procurement : public and private sector perspectives. Aldershot, Hampshire, England: Gower. p. 66. ISBN 0566083663.
{{cite book}}:|access-date=requires|url=(help);|first1=has generic name (help); More than one of|pages=and|page=specified (help)CS1 maint: extra punctuation (link) - ^ Erridge, edited by Andrew; Fee,, Ruth; McIlroy, John (2001). Best practice procurement : public and private sector perspectives. Aldershot, Hampshire, England: Gower. p. 25. ISBN 0566083663.
{{cite book}}:|first1=has generic name (help); More than one of|pages=and|page=specified (help)CS1 maint: extra punctuation (link) - ^ http://www.irs.gov/pub/irs-pdf/p4220.pdf. Retrieved 3 December 2014.
{{cite web}}: Missing or empty|title=(help) - ^ Ott, edited by J. Steven; Dicke, Lisa A. (2012). Understanding nonprofit organizations : governance, leadership, and management (2nd ed. ed.). Boulder, CO: Westview Press. ISBN 9780813344683.
{{cite book}}:|edition=has extra text (help);|first1=has generic name (help) - ^ Ashley, Shena; Faulk, Lewis (September 2010). "Nonprofit competition in the grants marketplace". Nonprofit Management and Leadership. 21 (1): 43–57. doi:10.1002/nml.20011.
- ^ Hawkins, Timothy G.; Gravier, Michael J.; Powley, Edward H. (10 May 2011). "Public Versus Private Sector Procurement Ethics and Strategy: What Each Sector can Learn from the Other". Journal of Business Ethics. 103 (4): 567–586. doi:10.1007/s10551-011-0881-2.
- ^ O'Neal-McElrath, Tori (2013). Winning grants step by step the complete workbook for planning, developing and writing successful proposals (4th ed. ed.). San Francisco, Calif.: Jossey-Bass. ISBN 9781118662021.
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