Question

Governmental entities are increasingly working with others to establish a separate not-for-profit organization to handle certain activities. For example, Monroe Community College set up an association to handle their dorms (and bookstore) (Monroe Community College Assn, Inc.). Often counties establish nonprofit governmental development authorities that subcontract work directly with a for-profit company. It is also not unusual for a private organization to be established that is directly related to a government operation. There are the zoo societies, "friends" of various libraries, library foundations, and "friends" of state hospitals. By establishing the separate organizations, the government does not have to fund certain aspects, donations can be raised, and the organization does not need to obtain governmental approval through the boards for a majority of their actions. What are the pros and cons of this practice?

Answer 1

Government entities are working with others to establish a separate non for profit organizations to handle certain activities which is an excellent step towards development of a nation first let's understand what is non profit organisation

Non governmental organisation are those which are not driven by profit but by dedication to a given cause.these are often used for trust cooperatives, advocacy,charity,environmental and religious groups .for a person whose friend fought cancer can look for an opportunity in the non governmental organisations and can do better for society

Generally the businesses operate for earning the maximum profit but certain organisation work to give service to the members and general public these are the non profit organisation which works for the benefits of other people

Pros of Non governmental organisationare as follows-:

Employee Adhesion- some people are driven by their inner values to do something good for the society such people can do wonder for the Ngo.for example if someone close friend fought cancer he would internally motivated to do .something for other patients as well which can lead to his adhesion to the organisation.

Availability of funds-Generally for a social cause funds can be easily gathered through donations,charity and other means so government don't have to put much pressure on the revenues this can be the advantage and easily things can be worked out through these funds.

Instrinsic rewards - When we do something good for others and society generally we are motivated instrincally, inner urge forces us to do more.further these things give immense satisfaction which keeps the people working and motivated

Protection from personal liability- it is another advantage as employees working in the NGos would be free from the personal liability which furthers boosts the working of the organisation.

Tax deductible donations-donations which are being provided are eligible for tax deductions which further boost the motivation to fund the NGos.

Tax Exemption -Generally their are no tax liabilities for the non governmental organisations which save surplus funds which can be used for a specific cause and furthers things can be upgraded.

Credibility- Donors would be trusting more the the non profit organisation other than the people informally working for a social cause.the non governmental organisations would be more trustable.

These all were the pros of the non governmental organisations

Now let's discuss the cons of non governmental organisations

Lack of Trained staff- As we discussed earlier staff would be motivated from inside but would not be enough capable to do good dealing.

Mismanagement of funds-Generally As the staff is not trained much it may be possible that they mismanage funds which could be the major disadvantage.

lack of coordination- this can be a con because coordination is the essence of management.it is a kind of thread in the ornament but bad coordination and bad coordinator will lead ton ineffeciency.

Easier Attack by Anti- People who don't like the NGO and purpose of the same can oppose it a larger extent.they will try to find the loopholes which can lead to distraction and less output.

Generally the pros are more than the cons so government can use the non governmental entities for the usage in certain areas.they would work as a helping hand and would work towards development of nation.