Toward a Reassessment of the Role of Rank-and-File Stakeholders in Nonprofit Organizations

Patrick Valéau (), Philippe Eynaud (), Stéphanie Chatelain-Ponroy () and Samuel Sponem ()
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Patrick Valéau: IAE - Institut d'Administration des Entreprises - UR - Université de La Réunion
Philippe Eynaud: IAE Paris - Sorbonne Business School
Stéphanie Chatelain-Ponroy: LIRSA-CRC - LIRSA. Centre de recherche en comptabilité - LIRSA - Laboratoire interdisciplinaire de recherche en sciences de l'action - CNAM - Conservatoire National des Arts et Métiers [CNAM]
Samuel Sponem: HEC Montréal - HEC Montréal

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Abstract: This study examines the relationships between the influence of different stakeholders and mission-based strategic planning, community development, and economic effectiveness. Our purpose is to highlight the unique and incremental contribution of rank-and-file stakeholders, that is, stakeholders without any specific grade or status, such as nonboard volunteers or beneficiaries. We analyze reported data from 227 nonprofit organizations (NPOs) using structural equation modeling and bootstrap mediation analysis. Our results show that when rank-and-file stakeholders manage to remain influential, strategic planning tends to be more directly rooted in the mission, which contributes to both perceived community and economic effectiveness. These results are discussed with regard to the utility, legitimacy, and urgency of more direct forms of democratic governance giving rank-and-file stakeholders the power to contribute to mission-based strategic planning.

Keywords: rank-and-file stakeholders; perceived community effectiveness; perceived economic effectiveness; mission-based strategic planning; mission drift (search for similar items in EconPapers)
Date: 2018-08-26
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Published in Nonprofit and Voluntary Sector Quarterly, 2018, ⟨10.1177/0899764018794898⟩

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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:halshs-01863771

DOI: 10.1177/0899764018794898

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