Addressing funding issues for Danish mental health NGOs
| DOI | https://doi.org/10.1108/JPMH-08-2017-0029 |
| Pages | 79-89 |
| Date | 18 June 2018 |
| Published date | 18 June 2018 |
| Author | Nawal Farhat Aguilar,Zaza Nadja Lee Hansen |
| Subject Matter | Health & social care,Mental health,Public mental health |
Addressing funding issues for Danish
mental health NGOs
Nawal Farhat Aguilar and Zaza Nadja Lee Hansen
Abstract
Purpose –Research has shown that non-governmental organizations (NGOs) often fail to appreciate that in
their market, donors represent clients. Moreover, the unstable income characteristics of NGOs emphasize
the importance of conducting market analysis specific to such organizations. The purpose of this paper is to
identify key factors that influence fundraising success for mental health NGOs and determine the most
advantageous fundraising approach based on a mixed-methods study that encompass a literature review,
two surveys and a case study.
Design/methodology/approach –Based on a structured literature review, the most important factors
affecting NGO fundraising are unified into a decision-making framework. This framework is tested using a
triangulation approach by combining quantitative and qualitative methods. The former based on a general
survey and the latter based on a case study.
Findings –The results highlight 15 key factors determining the optimal approach for mental health NGOs
when fundraising in Denmark.
Practical implications –The decision-making framework can be used to assess the most advantageous
fundraising approach based on a variety of internal and external circumstances.
Originality/value –While private firms develop exhaustive market analyses, NGOs often lack analyses to
cope with fluctuating environments and changing customer needs. This paper addresses this gap by
identifying key factors that determine an optimal fundraising approach and proposes a novel decision-making
framework for practitioners.
Keywords Fundraising, Case study research, NGO, Stigma, Survey study, Mental health NGO
Paper type Research paper
Introduction
Market analysis studies enable non-governmental organizations (NGOs) to gain competitive
advantages in their respective market. However, NGOs often forget that the sustainability
mechanisms in their market are equivalent to those of private firms (Arora, 2016).
Some common challenges faced by NGOs include funding, inadequate management expertise,
restricted institutional capacity, and low levels of sustainability (Bromideh, 2011). Among these
issues, funding is most pressing, since NGOs are characterized by inconsistent revenue. This is
exacerbated by stigma surrounding the illnesses with which these NGOs are associated,
illnesses often prejudged by a society which can lack both knowledge and empathy, resulting in
reduced support (Ma, 2017).
Although academics and private firms have increased their focus on development of market
analyses since the 1960s, there are currently no studies focused on the determinants of a NGOs
fundraising capacity. Development of market analysis empowers NGOs to reach donors in order to
raise funds and build and sustain networksthat endure their growth( Berry, 2005). Given this gap,
there is a strong need to identify which factors affect NGOs in order to develop the optimal approach
for fundraising. This paper addresses this gap by investigating just this for mental health NGOs.
As such, this paper presents a decision-making framework for practitioners within mental health
NGOs to use when formulating fundraising approaches, based on the NGOs internal and
Received 21 August 2017
Revised 22 January 2018
Accepted 10 February 2018
Nawal FarhatAguilar is a
Researcherand Zaza Nadja Lee
Hansen is an Assistant
Professor,both at the
Departmentof Management
Engineering, Technical
Universityof Denmark, Lyngby,
Denmark.
DOI 10.1108/JPMH-08-2017-0029 VOL. 17 NO. 2 2018, pp. 79-89, © Emerald Publishing Limited, ISSN 1746-5729
j
JOURNAL OF PUBLIC MENTALHEALTH
j
PAG E 79
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