Non Profit Organizations Inter Agency Collaboration - Thesis Example

horities will seek to align and incorporate strategic objectives while retaining flexibility and influence over outcomes and assuring value for money” (21). This implies that the vision shared by the collaborating agencies call for an alignment of their business culture and aspirations for comparable levels of service quality that entails commitment to openness between these agencies (Foster, 2002). In the case of non profit organizations, collaboration between agencies is usually the practice in the implementation of joint projects for the welfare of their stakeholders.

The Internal Revenue Service (IRS) uses “nonprofit” as a legal term referring to organizations that may only use their revenues for their charitable or educational mission rather than profiting from their projects and distributing the profits to owners or shareholders (Eschenfelder, 2007). These nonprofit organizations are classified as tax exempt. Those who donate to public charity can claim a tax deduction (Berry, 2005). Unlike governments, non-profit agencies have no taxing authority, so they are reliant on charitable donations, volunteerism and grants from private foundations and government (Eschenfelder, 2007).

It follows that nonprofit organizations face the perennial challenge of securing funds to cover costs of implementing their mission. Arsenault (1998) contends that nonprofit organizations maintain separate systems simultaneously: that of obtaining resources and another system serving their consumers. On the contrary, for-profit organizations operate only under one system that involves consumers purchasing products and services for the revenue generation of the organization – both processes happening simultaneously in just one system (148).

In addition, nonprofits that use volunteers manage two human resources systems: the employed staff and another system for the volunteers. It is apparent that planning a nonprofit merger is more complex due to all the considerations