Ever since the professionalization of the nonprofit sector that took place 30 years ago, nonprofit executive salary has been influenced by business compensation concepts—but for-profit pay practices cannot be indiscriminately applied to nonprofits. So what really powers executive pay in the sector? As it turns out, size does matter.
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For-profits tend to accept the benefits of coaching as a given. Nonprofits, on the other hand, question whether or not coaching actually works, and are more concerned with return on investment. But, as Bill Ryan explains, rather than asking “Does coaching work?,” nonprofit organizations invested in the practice would be better served figuring out how to make it work in their particular situation.
We are apt to praise the entrepreneurial spirit, but entrepreneurship is not automatically tied to success—a fact that has not stopped proponents from prescribing it as a cure-all for our sector’s woes, and which may have blinded some to the very real challenges that await those eager to put the concept into practice. Until the value of social entrepreneurship has been empirically assessed and established, it would be wise to proceed with care.