ABSTRACT

The nonprofit sector continues to grow at a pace greater than the national economy even during challenging economic times. At the same time, nonprofit organizations have seen a decrease in individual giving as well as foundation giving, while demand for services has steadily increased. Consequently, nonprofit organizations are required to do more with fewer resources. This resource shortfall suggests that nonprofit organizations must more effectively manage their resources. One critical resource for all organizations (both for-profit and nonprofit) is their workforce. Thus, one way for nonprofit organizations to improve their performance, especially in challenging economic times, is to more effectively manage employees. Three challenges in staffing, development and management of employees that we believe are particularly salient in the nonprofit sector are discussed in the current chapter. They are: negotiating the dual bottom line, managing multiple identities, and managing change in a turbulent environment.