ABSTRACT
This chapter discusses the running third sector organisations and who is responsible for determining what they do and how well they do it. Many different arrangements for governing and managing can be found among Australia’s third sector organisations. Management also involves the coordination and direction of other staff, including in some organisations, highly skilled professionals. The manager of an organisation or unit is responsible for the overall operation of that unit. Governance involves a special kind of management. Governors are responsible for setting the overall direction of an organisation and for ensuring its effective performance. A final model is often found in government–nonprofit hybrids, but also in some large interest and sports associations. Tension between the chief executive and the board is frequent, especially in larger nonprofits, and particularly those that adopt either the corporate management or the volunteer control models.
