Quantitative Methods For Nonprofits

Quantitative methods for nonprofit organizations Elli Malki Why do nonprofit organizations need quantitative methods? The substantial increase in the scope of activities of nonprofit organizations is very challenging to their staff and management. Scarce resources and the increasing demand for accountability put pressure on nonprofit organizations to become more professional and more efficient. Nonprofit organizations are expected to adopt modern management tools that are common in the business sector. A recent study found out that 40% of the average donation in the US is determined by factors that are not related to the organization's mission. These factors are: efficiency, financial stability and the scope and quality of reports to donors. On the other hand, nonprofit organizations have several unique characteristics that sometimes preclude a simple adoption of business models. Moreover, in many cases the nonprofit activity, which by its nature is multidimensional and strives to achieve several goals at the same time, is more complex than the business activity which focuses only on the maximization of profit. Thus, there is a need to develop and implement quantitative methods for planning, budgeting and control that are adapted to the unique needs of nonprofit organizations. What is the purpose of this venture? The purpose of the venture is to impart to the staff and management of nonprofit organizations quantitative methods for planning, budgeting and control that are adapted to the nonprofit arena. The venture focuses on the following topics: 1) Planning and budgeting: ● Adaptation of the budget to the strategy and the mission of the organization. ● Quantitative methods for the determination of priorities and budgetary allocation. 2) Budgetary control: ● Designing systems for budgetary control. ● Determining policies for funding overhead. ● Methods for the allocation of overhead and the determination of the cost of services and projects. 3) Efficiency measures: ● Efficiency measures for procurement. ● Efficiency measures for staffing. ● Efficiency measures for program's management. 4) Self sufficiency and the development of independent income sources: ● Creating principles for business development in nonprofit organizations. ● Preparation of business plans for nonprofit organizations. 1

Designing systems to measure the success of business activities within nonprofit organizations.

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How is the venture going to work? The venture will operate in three parallel ways: ● Consultation to the organization's management. ● Training for the organization's staff. ● Managerial assistance to small nonprofit organizations that cannot afford to employ high-level professionals. Who stands behind this venture? The initiator of this venture is Elli Malki; other professionals will be recruited according to demand.

Elli Malki is an economist, a graduate from the Hebrew University, and has 14 years of experience in senior level positions in nonprofit organizations. Elli served for 10 years as the deputy director and CFO of the American Jewish Joint Distribution Committee (AJJDC) in the Former Soviet Union (FSU). In his capacity Elli was responsible for budgeting, budgetary control, financial reporting and audits of all the branches of AJJDC in the FSU. Elli initiated, established and managed a commercial subsidiary for AJJDC that managed its community centers in the FSU. Elli was also responsible for the business development of these centers. Before joining AJJDC, Elli was a business development manager for Hadasit Medical Research Services Ltd., a wholly owned subsidiary of the Hadassah Medical Organization. Today, Elli is an economic consultant, a lecturer in the Hebrew University and the editor of a website that provides assistance to savers and investors (www.inbest.co.il). Elli's full resume can be found in the link below: http://www.linkedin.com/in/malki

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Elli also writes and publishes articles on quantitative methods for nonprofit organizations (see links below). Systematic Approach to the Allocation of Budgets for Humanitarian Aid Programs: A Practical Tool for International NGOs, Malki E., SSRN, 2008. http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1266334 A Benchmarking Model for Measuring the Efficiency of a Humanitarian Aid Program: A Case Study of an International NGO., Malki E., SSRN, 2008. http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1288206 Put Your Money Where Your Mouth is. , Malki E., SSRN, 2008. http://papers.ssrn.com/sol3/papers.cfm?abstract_id=1320923 Contact information: Elli Malki Phone: 054-4979580 E-mail: [email protected]

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