Harvey Bergholz of Jeslen Corporation highlights three issues: Governance, passion and money.
Governance: The board influence in the nonprofit is much greater. Generally, nonprofit boards are much more independent and they reflect their own "ownership" and advocacy for the organization's mission. One of the dangers is slowing down the decision-making. The situation may not be conducive to such a slow pace of decision-making
Passion: The passion of the board pales before the passion of the staff. The corporate culture that reflects, “This is not the right thing to do; it doesn’t fit our mission,” can undermine required actions on behalf of the organization. The organization’s passion can become “its greatest strength and its greatest weakness.”
Money: The number of times we hear an organization say, “We need an attorney, an information technology expert, an accountant, a fund raiser but we don’t have the money,” is extraordinary. It freezes the organization at the very moment it needs to examine itself and move forward.
Therefore, the influence of money and cost is far greater in the nonprofit world. Literally millions of precious resources have been wasted because the organization would not commit financial resources when needed. On the other hand, extraordinary resources have been spent irresponsibly without any good outcome for the organization.
Finally, nonprofits, due to their passion and mission, can be more closed as organizations. They often suffer from the mistaken perception that “we are unique.” The consultant without proper introduction and support can be seen as “tainting our precious and unique culture by bringing too much pragmatism, capitalism and cynicism.”