Managing the Non-Profit Organization: Principles and Practices [Paperback]

Peter F. Drucker (Author)

Book Description

Publication Date: August 3, 1992 | ISBN-10: 0887306012 | ISBN-13: 978-0887306013 | Edition: First Edition

The service, or non-profit, sector of our society is growing rapidly (with more than 8 million employees and more than 80 million volunteers), creating a major need for guidelines and expert advice on how to manage these organizations effectively. Drucker gives examples and explanations of mission, leadership, resources, marketing, goals, people development, decision making, and much more. Included are interviews with nine experts that address key issues in the non-profit sector.

Editorial Reviews

From Library Journal

Drawing from his 25 one-hour audio cassette series, The Non-Profit Drucker ( LJ 9/1/89, p. 232) , Drucker has put together his ideas on the tasks, responsibilities, and practices necessary to manage nonprofit organizations. Included are interviews with prominent leaders and experts in nonprofit organizations, including Philip Kotler of Northwestern University, Max DePree of Herman Miller, Albert Shanker of the AFL-CIO, and Frances Hesselbein of the Girl Scouts. Drucker looks at the mission statement, strategies, marketing, performance, and personnel as they apply to nonprofit organizations. Using many examples, he identifies the characteristics necessary for nonprofit organizations to survive and meet the needs of today's society. Sure to be popular; recommended for most libraries.
- Michael D. Kathman, St. John's Univ., Collegeville, Minn.
Copyright 1990 Reed Business Information, Inc. --This text refers to an out of print or unavailable edition of this title.

About the Author

White House Honors Drucker with Presidential Medal of Freedom

On June 21, Dr. Peter Drucker, author of The Effective Executive and Management Challenges for the 21st Century, received the Presidential Medal of Freedom from President George W. Bush.

"Dr. Peter Drucker is the world's foremost pioneer of management theory. Dr. Drucker has championed concepts such as privatization, management by objective and decentralization. He has served as a consultant to numerous governments, public service institutions and major corporations. Dr. Drucker is a Professor of Social Sciences and Management at the Claremont Graduate University in Claremont, California, which named its Graduate School of Management after him. He helped establish and continues to serve as the Honorary Chairman of the Peter F. Drucker Foundation for Nonprofit Management in New York City, which awards the Peter F. Drucker Award for Nonprofit Innovation. He is currently applying his expertise to the management of churches and other faith-based institutions and to the reorganization of universities worldwide." - White House Web site

The Presidential Medal of Freedom is the Nation's highest civilian honor. It was established by President Truman in 1945 to recognize civilians for their service during World War II, and it was reinstated by President Kennedy in 1963 to honor distinguished service.

Also among the honorees were Hank Aaron, Bill Cosby, Placido Domingo, Katharine Graham, Nancy Reagan, and A.M. Rosenthal.

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Peter F. Drucker is an author of more than thirty-five books, and his ideas have had an enormous impact on shaping the modern corporation. In 2002, he was awarded the Presidential Medal of Freedom. He is a writer, teacher, philosopher, reporter, consultant, and a professor at the Peter F. Drucker and Masatoshi Ito Graduate School of Management at Claremont Graduate University. He lives in California.

Product Details

• Paperback: 256 pages
• Publisher: Collins; First Edition edition (August 3, 1992)
• Language: English
• ISBN-10: 0887306012
• ISBN-13: 978-0887306013
• Product Dimensions: 7.9 x 5.2 x 0.6 inches
• Shipping Weight: 7.2 ounces
• Average Customer Review: 4.3 out of 5 stars  See all reviews (34 customer reviews)
• Amazon Best Sellers Rank: #162,195 in Books (See Top 100 in Books)

More About the Author

Peter F. Drucker (1909-2005) was considered the top management thinker of his time. He authored over 25 books, with his first, The End of Economic Man published in 1939. His ideas have had an enormous impact on shaping the modern corporation. One of his most famous disciples alive today is Jack Welch. He was a teacher, philosopher, reporter and consultant.

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#83 in Books > Business & Investing

Most Helpful Customer Reviews

107 of 109 people found the following review helpful

5.0 out of 5 stars An Excellent Book for Non-Profit Managers/Leaders January 24, 2003

By Bradley A. Swope

Format:Paperback

REVIEW: It has been said that the non-profit sector has been slow to accept the value of management education and practices basically because of the assumption that "management" means "business management". This book clearly bridges that gap and explains lucidly what makes for achieving non-profit leaders and effective non-profit institutions. The book is not a theoretical work or an academic one. It is rather an extremely practical show-and-tell about being a great manager in a non-profit organization. It is almost a "how-to" but doesn't stoop to the level of the ubiquitus but never effective "10 step program". You will be more effective by absorbing this material.

Drucker has done an excellent job at extracting material from three of his management books: The Effective Executive, Managing for Results, and a little bit of Innovation and Entrepreneurship [Note, these three are available as a collection called The Executive in Action]. The material is presented simply, concisely and is completely targetted to the non-profit sector with many examples including interviews with about 6-7 non-profit leaders. Highly recommended.

STRENGTHS: The book is fairly short, consise, easy to read yet full of great content. Each section includes a brief summary at the end and has at least one interview with a non-profit manager that makes the ideas even more practical.

WEAKNESSES: The book could use some select references to his other works and some graphics. But this is not Drucker's style.

WHO SHOULD READ THIS BOOK: Managers/leaders in the non-profit sector should consider this a must read. Other fans of Drucker that would like a refresher on some of his concepts.

74 of 82 people found the following review helpful

4.0 out of 5 stars Non-Profit Management 101 May 14, 2000

By Michael J Webb

Format:Paperback

As usual Peter Drucker has come up with an enlightening piece of management theory. This book is for anyone entering the world of non-profit.

Mr. Drucker details the unique motivations of the non-profit organization and explains the management methods necessary to navigate this organization type.

Another great work by Drucker. Even if you are not in the non-profit world I recommend that you read this.

TABLE OF CONTENTS:

PART ONE: THE MISSION COMES FIRST: AND YOUR ROLE AS A LEADER. 1. The Commitment. 2. Leadership Is a Foul-Weather Job. 3. Setting New Goals-Interview with Frances Hesselbein. 4. What the Leader Owes-Inteview with Max De Pree. 5. Summary: The Action Implications.

PART TWO: FROM MISSION TO PERFORMANCE: EFFECTIVE STRATEGIES FOR MARKETING, INNOVATION, AND FUND DEVELOPMENT. 1. Converting Good Intentions into Results. 2. Winning Strategies. 3. Defining the Market-Interview with Philip Kolter. 4. Building the Donor Constituency-Interview with Dudley Hafner. 5. Summary: The Action Implications.

PART THREE: MANAGING FOR PERFORMANCE: HOW TO DEFINE IT; HOW TO MEASURE IT. 1. What is the Bottom Line When There is No "Bottom Line"? 2. Don't's and Do's-The Basic Rules. 3. The Effective Decision. 4. How to Make the Schools Accountable-Interview with Albert Shanker. 5. Summary: The Action Implications.

PART FOUR: PEOPLE AND RELATIONSHIPS: YOUR STAFF, YOUR BOARD, YOUR VOLUNTEERS, YOUR COMMUNITY. 1. People Decisions. 2. The Key Relationships. 3. From Volunteers to Unpaid Staff-Interview with Father Leo Bartel. 4. The Effective Board-Interview with Dr. David Hubbard. 5. Summary: The Action Implications.

PART FIVE: DEVELOPING YOURSELF: AS A PERSON, AS AN EXECUTIVE, AS A LEADER. 1. You Are Responsible. 2. What Do You Want to Be Remembered For? 3. Non-Profits: The Second Career-Interview with Robert Buford. 4. The Woman Executive in the Non-Profit Institution-Interview with Roxanne Spitzer-Lehmann. 5. Summary: The Action Implications.

68 of 76 people found the following review helpful

5.0 out of 5 stars Invaluable for all non-profits October 17, 2003

By DAVID-LEONARD WILLIS

Format:Paperback

Non-profit institutions, the agents of human change, have moved from the margins to the center of American society because government has limited ability to perform social tasks. As non-profits are the nation's biggest "employer" when considering the numbers of hours contributed by volunteers they need good management. There is not much material available to help non-profit leaders and management with such areas as mission, strategy, organization, marketing, raising money, innovation, use of volunteers and human resources, the role of the board, and relationships with a diversity of constituencies. This lack of material combined with high levels of commitment may contribute to the high rate of burnout. Although non-profit institutions have been America's resounding success and growth industry over the last fifty years they still receive only 2-3% of GNP while the share for medicine and education has increased several times. Drucker considers the first task ahead for non-profits to be the conversion of "donors" into "contributors." Contributing time to a non-profit gives people a sense of community, purpose, direction and the ability to perform and achieve. But most non-profits still have to learn this. This book therefore sets out to do two things: provide advice from the business world appropriate to the non-profit and, through interviews with distinguished non-profit performers, show what can and should be done.

The book has five sections, the first being "The Mission Comes First: and your role as a leader." I provide a few snippets that were particularly meaningful to me. Some mission statements work while others don't work, the ultimate test being right action. Almost every hospital says "Our mission is health care" which is wrong because no one can tell you what action or behavior follows. The mission statements for some colleges are confused. On the other hand Sears Roebuck went from a near-bankrupt, struggling mail-order house at the beginning of the last century into the world's leading retailer within less than ten years by having a mission statement that was operational and focused on what they tried to do so that each person involved can say "This is my contribution to the goal." When an emergency room got its mission statement right, everyone was seen by a qualified person in less than a minute. But missions have to be reviewed, revised and perhaps measures need to be taken for organized abandonment. Things that were of primary importance may become secondary or totally irrelevant. The author tells us to watch this carefully or we may become a museum piece.

To get the mission statement right, there are a number of searching questions that must be asked such as "where can we, with our limited resources, make a difference?", "can we set a new standard?", "what are the opportunities or needs?", "do they fit us?", "can we do a good job?", "are we competent?", "do the needs match our strengths?" and "do we really believe in this?" The author closes this section with the following paragraph:
"So you need three things: opportunities; competence; and commitment. Every mission statement, believe me, has to reflect all three or it will fall down on what is its ultimate goal, its ultimate purpose and final test. It will not mobilize the human resources of the organization for getting the right things done."

In the section "Leadership is a Foul-Weather Job" Drucker takes a refreshingly different approach by recalling that Winston Churchill was the most successful leader of the last century. But from 1928 to 1940 he was on the sidelines and almost discredited because there was no need for a Churchill. Fortunately he was there when the crisis came. The one predictable thing in an organization is the crisis. That is when you do depend on the leader. But to wait until the crisis hits is abdication. One has to make the organization capable of anticipating the storm, weathering it, and being ahead of it. That is called innovation or constant renewal. You have to build an organization that is battle ready. Having told us this the author goes on to say "Problems of success have ruined more organizations than has failure, partly because if things go wrong, everybody knows they have to go to work. Success creates its own euphoria. You outrun your resources. And you retire on the job, which may be the most difficult thing to fight." Let me quote one more observation on leadership. "To every leader there is a season. There is profundity in that statement, but it's not that simple. Winston Churchill in ordinary peaceful, normal times would not have been very effective. He needed the challenge. Probably the same is true of Franklin D. Roosevelt, who was basically a lazy man. I don't think FDR would have been a good president in the 1920s. His adrenalin wouldn't have produced. On the other hand, there are people who are very good when things are pretty routine, but who can't take the stress of an emergency. Most organizations need somebody who can lead regardless of the weather. What matters is that he or she works on the basic competencies."

We are indeed fortunate that such an outstanding mind as Peter Drucker has turned his attention to the non-profit sector. There will be few institutions that cannot improve their performance by absorbing the lessons from this book. In this period of rapid change as Drucker says "the only predictable thing is a crisis." If you are a trustee of a non-profit you need this book as a constant reference and guide. If you hold a position of power you should be thoroughly familiar with every piece of information that is relevant to your institution. If you are working for an organization that you fear may be heading downhill this book will help you to become the champion. There is so much wisdom in this book that only the foolhardy will believe that they have a superior wisdom and can do without it.
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