types of organizations: profit, non-profit and government based organizations. This paper will discuss the differences between profit and non-profit organization and the weaknesses and strengths that each of the organization has. The University of Michigan will be used because it is a prime example of a non-profit organization and its services and the center for spinal surgery hospital will be discussed as a for-profit hospital. Body The University of Michigan’s health system is a non-profit organization…
financial management relationship between non-profit and for-profit organizations. A recent surge to push non-profit organizations to behave in a more business-like manner has resulted in an evaluation of the financial management practices. This paper examines a few of the similarities and differences amongst the two organizational types in relation to source of funding, performance evaluation measures, and governing mechanisms. The analysis of non-profit organizations leads to an understanding that many…
Profit vs. Not-for-Profit Organization A nonprofit organization is formed for the common good of the public. Nonprofit organizations are usually formed for some specific religious, charitable or educational purpose. A for-profit organization may be formed to conduct any number of lawful business activities. The primary reason to form a for-profit organization is to earn a profit for the owners of the company. Use of Profits Since a not-for-profit organization is formed to accomplish a specific…
Definition of Non-Profit Organizations Associations, charities, cooperatives, and other voluntary organizations formed to further cultural, educational, religious, professional, or public service objectives. Non-Profit Organization startup funding is provided by their members, trustees, or others who do not expect repayment, and who do not share in the organization's profits or losses which are retained or absorbed. Approved, incorporated, or registered Non-Profit Organizations are usually granted…
one where it is owned by private individuals. Usually, we have organizations within the economy where one is profit oriented and its main business objective is to make profit from the revenue it tends to make by the end of a certain period, therefore, nothing from the extra money made will be used to develop the business, instead, the profit will go to the owner of the business, adding to that the owner can be giving some of the profit to its employees as a way of motivation according to Maslow’s…
Nonprofit versus For-Profit Healthcare and Organizations Abstract This paper explores articles and research conducted on nonprofit versus For-Profit Healthcare and Organizations. There are three types of entities that own hospitals, which are: nonprofit, for-profit, and government. However, it can’t be determined if they specialize in different medical services or how their service profits affect certain specializations. More than likely, the for-profits offer profitable medical services that…
Non-Profit vs. For-Profit The main difference between non-profit and for profit healthcare organizations are; Non-profit hospitals don’t need to pay property, sales or income taxes and receive grants from the government and through donations. They were designed to provide discounted fees for service or no fee to those in the surrounding communities with limited to no funds for healthcare, basically the poor or those who fall within the guidelines of those below poverty level. The tax exemptions…
Not for profit organization: A non profit organization (NPO) is an organization that uses surplus revenues to achieve its goals rather than distributing them as profit or dividends. While not-for-profit organizations are permitted to generate surplus revenues, they must be retained by the organization for its self-preservation, expansion, or plans.[3] NPOs have controlling members or a board of directors. Many have paid staffs including management, while others employ unpaid volunteers and even…
The non-profit organization (NPO) is itself the employer. The board of directors (the "Board"), usually elected by the general meeting of the members at an annual meeting, is responsible for overseeing the work of the organization and its employees. While decisions on the advice to hire staff or volunteers can delegate management team, board members are still responsible for the overall supervision of the organization, and can, in certain circumstances, are legally responsible decisions during his…
improvement. A flatter hierarchy means lower organizational levels can set goals and develop plans because organizations have little time for goals and to plans to flow down from the top. 5-10 yes The only difference between a non-profit and a for-profit organization it that a for-profit organization has shareholders that are entitled to a share of the firm's proceeds, while a non-profit organization's funds are reinvested into the organization's for things…