Why NOT to use overhead ratios as a way to compare NGOs

29/03/2012 at 2:16 pm 3 comments

We in Dóchas are very keen to promote Good NGOs, and to discourage funders to keep supporting Bad NGOs.

And in doing so, we obviously need to have clear standards of what a “Good NGO” is. And that is not easy. But we are working on that!

For starters, have a look at these resources:

But the list is longer than this. Please bear with us while we develop it further.

In the mean time, however, we thought that it would be helpful if we tell you how NOT to judge an NGO.

One of the most widely used criteria to assess NGOs is their overheads ratio: the percentage of the organisation’s income that is used on administration, salaries and other “overhead” costs.

We hope that, when you have read the articles below, you will agree: OVERHEAD COSTS ARE NOT A GOOD WAY TO JUDGE THE QUALITY OF A NOT-FOR-PROFIT ORGANISATION.

The Overheads Myth

Have a look for yourself:

Also have a look at this article, called “The Non-Profit Starvation Cycle

And finally, this article: Might it be time to stop talking about NGO administration costs?

What do YOU think?

How can ordinary people know which NGO is best?

Please let us have your views by leaving a comment below.

;

Entry filed under: NGOs. Tags: , , , , , , , , , , , , , , , , , , .

How do we communicate global poverty? Might it be time to stop talking about NGO Administration Costs?

3 Comments Add your own

  • […] Why NOT to use overheads ratios as a way to compare NGOs (March 2010) […]

    Reply
  • 2. Robbie Gilligan  |  06/01/2014 at 1:32 pm

    It depends on the context to some extent. But here are a few suggestions: accountability to service users; appointing people with service user experience to Boards; external review processes; demonstrating compliance with international conventions, best practice models etc

    Reply
  • 3. Bakoena Chele  |  23/01/2014 at 11:01 am

    Good NGOs are those that rate high in the folowing: Governance; Management Practices; Human Resource Management; Financial Resource Management; External Relations; And in Sustainability!

    Reply

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s

Trackback this post  |  Subscribe to the comments via RSS Feed


Enter your email address to subscribe to this blog and receive notifications of new posts by email.

Join 211 other followers

Archives

Dóchas on Twitter

The World's Best News - images

“Making corporal punishment history”

#Irish NGO Nurture Africa has teamed up with the Irish National Teachers’ Organisation (INTO) in a project aimed at eradicating corporal punishment in schools in #Uganda.

Read more:http://www.nurtureafrica.ie/#!Working-together-to-eradicate-Corporal-Punishment-one-school-at-a-time/canh/553f7fc10cf23d01645aa90a

Photo: Umar Sekibala - Nurture Afrtica Child Protection Officer disseminating child rights and examples of alternative measures of dicipline (towards elimination of
corporal punishments) to Kyebando UMEA Primary School teachers and guardians How one community is working to overcome the challenges of climate change. "It's dry now, so we are working to be ready for when the rains come. Things have changed a lot in the past years, now that we have the gardens and dykes." http://www.trust.org/item/20150514040044-7uh4r/?source=fiOtherNews2

Photo: Women work on a vegetable garden built with U.N. funds in Djimebougou, Mali. Thomson Reuters Foundation/Chris Arsenault The changing face of #Lagos.

#Nigeria's commercial capital, Lagos, has had a makeover over the last decade, as this gallery from the BBC's Ayo Bello shows: 
http://www.bbc.com/news/world-africa-32556640 The changing face of #Lagos.

#Nigeria's commercial capital, Lagos, has had a makeover over the last decade, as this gallery from the BBC's Ayo Bello shows: 
http://www.bbc.com/news/world-africa-32556640 The most positive of all statistics:
The number of children dying before their fifth birthday has been reduced by half in twenty years. More #forests in the world’s most populous countries: Forest cover in #India and #China has increased by more than 572,000 km2 since 1990.

http://worldsbestnews.dk/news/more-forest-in-the-worlds-largest-nations/ Girl skaters in #Afghanistan: "Skateistan"! http://www.goodnewsnetwork.org/aghani-girls-skateboard-instead-of-bike/

#skateboard “Ever since I was a child, when I saw a bird in the sky, I wanted to fly a plane. Many girls in #Afghanistan have dreams... but a number of problems, threats stand in the way.“ 23-year-old Niloofar Rahmani is the first female fixed-wing aviator in Afghanistan's history and the country's first woman #pilot since the ouster of the #Taliban regime.

Read more at http://www.dawn.com/news/1178900/female-afghan-top-gun-soars-above-gender-barrier The world is winning the fight against #malaria.

Millions of lives have been saved in the past 10 years; lives mostly of children under the age of five.

The World #Health Organization reports that deaths from malaria have been cut by 47 percent worldwide, and by even more - 54 percent - in sub-Saharan #Africa.

http://www.who.int/mediacentre/news/releases/2015/world-malaria-day-2015/en/ Surfing beach vendors of Bangladesh.

A group of 10-12 year old beach vendors in #Bangladesh, most of whom have dropped out of school to help support their families, have taken up #surfing.

24 year old surfer, lifeguard and beach worker Rashed Alam has been teaching the girls at his school/surf club. Like the girls, Alam dropped out of #school and started working on the beach to help support his family at a young age. He started surfing when he was 16. He says that his way of giving back is by ensuring that girls get a good future through surfing.

Read more at http://blog.allisonjoyce.com/?p=486 In #Iran, a female student gets to design and build a spectacular bridge.

Tabiat (“nature”) bridge, the largest of its kind in Iran, was architect Leila Araghian’s first project. She designed it five years ago while a student, winning a local competition for a plan to connect two parks separated by a highway in north Tehran.

Read more: http://www.theguardian.com/world/2015/apr/20/bridge-tehran-architect-iran-leila-araghian-tabiat-sanctions-iranian-designers

#Architects #architecture #women #globaldev #sanctions

Visitors Map

Map

Dóchas Photos

1506_77

1506_76

More Photos

Follow

Get every new post delivered to your Inbox.

Join 211 other followers

%d bloggers like this: