This report aims to define the non-profit finance function through the lens of both non-profit organisations and their stakeholders, and examines its role within the changing operating and funding landscape.
Findings from the research show that there is recognition across non-profit organisations that the finance function should play a driving role, as it does in the commercial sector.
Despite this, the finance function is currently subject to underinvestment, with resources directed towards short-term planning and objectives.
The findings also indicate that
A number of factors will help non-profit organisations develop a robust and embedded finance function; proactive, internal cultural change towards prioritising finance and making management decisions that are based on financial planning is core to this.
Industry bodies can offer support, through strengthening knowledge-sharing networks and training opportunities.
Funders and government, driving much of the environmental change for the non-profit sector, could also simplify their requirements (such as reporting), to enable non-profit organisations to operate more efficiently.