Are We Really Capitalists ?
Critics have been claiming the recent economic crises are the proof the capitalist system is inherently flawed. The underlying assumption being made is that the world is following the tenets of the capitalist system and hence the failure of the system is the failure of capitalism. In this article, we will question this premise. It […]
The Known-Unknown Classification of Risk
The entire subject of risk management is based on the ability of the manager to identify, value, and then mitigate the correct risks. Classification of risks is a vital step in this process. It is important to realize that there is no standard framework for classifying risks. Different people use different frameworks. One such framework […]
Staff Motivation – Motivation Tips for Employees
Employees are the building blocks of an organization. Organizational success depends on the collective efforts of the employees. The employees will collectively contribute to organizational growth when they are motivated. Below mentioned are some tips for motivating the staff/employees in an organization: Evaluate yourself- In order to motivate, encourage and control your staff’s behaviour, it […]
What is Compassionate Capitalism and Why We Need it in These Times of Planetary Crisis ?
What is Compassionate Capitalism and What Does it Entail for us? In recent years, there has been much talk about Capitalism evolving into a model of economy wherein corporations ensure that communitarian and people oriented business models are embraced so that profit is not the only criterion or reason why they are in business. In […]
Internet and Email Etiquettes – Netiquette
Etiquette helps individuals behave in a socially responsible way. In simpler words, etiquette transforms a man into a gentle man. Remember employees need to behave sensibly and appropriately to make their position secure at the workplace. No organization likes to have someone who lacks etiquette. Respect the place where you earn a living for yourself. […]
While the NGO or the Non Profit sector is founded on the premise that they would propagate sustainable and equitable forms of development, the concept of internal accountability and internal structures of governance needs to be discussed as well.
The point here is that NGO’s need to evolve mechanism for the practice of ethics and professionalism within to actualize change without.
In other words, before they preach these terms to the external world, they need to practice them internally. Hence, it becomes imperative for NGOs to be ethical and professional in their dealings and to observe strict codes of conduct within themselves. Of late, there have been many instances of wrongdoing within the NGO sector and hence, the time for accountability and transparency within has arrived.
Any discussion of NGOs often begs the question as to what they are doing internally.
In other words, as the saying goes, Caesar’s wife must be above suspicion and hence, the NGOs must be squeaky-clean first. In India, there have been several cases of financial wrongdoings by the NGOs and there have been cases where misappropriation and embezzlement of funds have been reported.
In this context, it is useful to highlight what happened to the United Nations wherein several of its bodies were found to be mired in corruption. Right from the food for oil scam to the misappropriation of funds by organizations like UNICEF and UNESCO, the UN has had to suffer reputational losses because of these cases.
The point here is that the NGO sector is especially watched for any wrongdoing since it proclaims lofty notions of justice and equity.
Apart from this, the fact that the NGO sector does not have the scale or the size of the operations to have rigorous internal controls needs to be discussed. While the organizations mentioned above failed despite internal controls, many of the NGOs are simply functioning without any internal democracy or internal code of conduct. Indeed, it has been proved that dubious funding and acting as a conduit for black money and supporting money laundering are rampant among NGOs. Hence, there cannot be a better case for scrutinizing the activities of the NGOs and ensuring that they are above board in all respects.
Recently, the protests against the Kundankulam Nuclear Plant were alleged to have been motivated by Western governments using the Indian NGOs as a conduit. This kind of behavior must be avoided and a robust control system that does not abuse the goodwill that NGOs have must be put in place.
The point here is that for society, the NGO sector is a beacon of hope and hence, the NGOs must not take society for granted. Neither should they hoodwink the government by hiding their sources of funding and operational measures.
Finally, in these times, when unethical behavior among all sectors of society is rampant, the temptation to follow the herd is strong and hard to resist. This applies to the NGO sector as well and given the large amounts of money that is flowing into the sector, the stakes are indeed high. In conclusion, one must practice what one preaches and hence, the NGO sector should have stringent codes of conduct that are ethical and professional in nature.
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The Corporatization of the NGOs and How It Impacts Funders, Beneficiaries, and Others
February 12, 2025
