Legal Framework for Civil Society and Law Reform

Legal and Organizational Practices in Nonprofit Management

The International Journal
of Not-for-Profit Law

Volume 4, Issue 4, June 2002

By Pasquale Ferraro
Reviewed by Karla Simon

Pasquale Ferraro’s contribution to the literature on NPO management is welcome and should find its way into the libraries of many managers around the world.  As Mr. Ferraro points out in his introduction – NPOs are essentially the same no matter where they are located, at least in terms of the management issues they confront.  That said, it is also clear that the legal issues they confront differ from country to country, and while Mr. Ferraro’s analysis of the legal environment is good as far as it goes, it is far too limited for such a complex subject.  In addition, it clearly shows that Mr. Ferraro is not a lawyer – not that this is a fault, but rather that it suggests that the book might have benefited from his having a lawyer as a co-author.

The book’s strengths, however, are in its analysis of management issues – this is where Mr. Ferraro’s expertise lies and his knowledge in presenting these materials is evident.  This reviewer particularly liked the approach taken by Mr. Ferraro, in which he explicates a series of management issues.  Chapter 3, which comes after the discussion of the legal issues, addresses the often murky topic of the relationship of management to the governance structures.  The discussion here is helpful and proceeds along lines of the familiar materials from BoardSource.  The organization of the materials in this fashion will help the reader to analyze her own issues as needed.

In Chapter 4, the book sets out a set of management principles, which are explored in the following chapters.  These deal with resource management, project management, planning and strategic planning, evaluation, and funding for sustainability.  Mr. Ferraro stresses at crucial points that NPOs can and should make “profit” if they are to be sustainable.  This is an important point and one too often forgotten not only by NPO managers but also by funders, who do not make grants for general purposes.  The book’s discussion of this issue should be read and taken to heart by all NPO managers as they seek funds for their organizations.

Another strength of the book is its emphasis on human resources and how to manage them well for the long term.  It is true that many NPO managers are extremely entrepreneurial and that shifting top managers often causes organizations to lose focus.  Mr. Ferraro’s discussion of how management and governance structures should work together to avoid such outcomes is very useful.

The book is written in folksy, down-to-earth language, which makes it accessible.  It is sometimes repetitive, however, a fact that this reviewer does not fault the author for.  But it suggests that Kluwer might have provided better editorial guidance.  In any case, the book is useful and should be consulted by NPO managers who are in need to a thoughtful approach to their day-to-day problems.