Case Study:
The widespread interest in the United States and other countries in contracting with non-profit organizations reflects many factors: pressure to reduce the costs of public service; broad interest in voluntarism, social innovation, and citizen and community engagement; and the influence of the New Public Management and "reinventing government" movements which seek to improve the efficiency and effectiveness of public services through privatization, more competition, individual choice, and decentralization.
Governmental contracting is viewed by many international non-governmental organizations as a very positive practice. There are additional attractive benefits than what Renz has shared, although some are more significant than others. Although there are many attractive benefits, challenges do occur. As a leader, you should be aware of these challenges, too, in order to overcome them. In addition, you should know how to leverage the pros.
To prepare for this Discussion, review the Zadi, et al., article in preparation. After reading the article answer the following: Article is found at
https://heapol.oxfordjournals.org/content/27/7/570.full
the significant pros and cons of such government contracting discussed by Zadi, et al. Further explain the fundamental concerns that a nonprofit should examine if it is considering engaging in governmental contracting and why.