An Exploratory Study of the Nonprofit Executive Factor: Linking Nonprofit Financial Performance and Executive Careers

Authors

  • Kerry Kuenzi
  • Amanda J. Stewart

DOI:

https://doi.org/10.18666/JNEL-2017-V7-I4-8456

Keywords:

financial performance, nonprofit executives, upper echelons theory, professionalization

Abstract

As the nonprofit sector professionalizes, organizations face pressures for dual proficiency in mission and operations. The sector is led by an increasingly professionalized workforce, but not much is known about what is gained in terms of organizational performance as the sector shifts from its voluntary roots. Therefore, we report the results of an exploratory study in which we examined the effect of individual characteristics of nonprofit executives on nonprofit financial performance. Using a unique sample of 69 health and human service nonprofits, we applied upper echelons theory and linked educational background and professional experience of top management to different measures of organizational financial performance. Although we did not find a link between different career characteristics of nonprofit executives and nonprofit financial performance, this study poses new insights into nonprofit professionalization and the influence of the nonprofit executives over the performance of their organization. 

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Published

2017-10-16

Issue

Vol. 7 No. 4 (2017)

Section

Articles

License

Sagamore Publishing LLC (hereinafter the “Copyright Owner”)

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