The Research On Nonprofit Governance Structure

Since the reform and opening policies to the world, nonprofit organizations in China have experienced an unprecedented rapid development up till now. The non-profit organizations, the government and the enterprises are the important components of the healthy society. However, the non-profit organizations have exposed many problems, non-profit organization governance should be a new topic. This thesis emphasizes the reasonable and legitimate nonprofit governance structure, which draws the useful experiences from corporate governance. The better nonprofit organization governance can be guaranteed, with the high performance and accountability to stakeholders and public.Combined with several disciplines of management, sociology, law and politics, the thesis discusses the cultural and regime background of non-profit organization with literature review, participative observation and case study, with the case of grassroots community. In the context of China’s nonprofit organizations and with reference to experiences of nonprofit governance abroad, the thesis offers some useful suggestions.In combination with the governance theory abroad, this thesis explores the meaning of the governance, and puts forward the basic non-profit organization governance structure framework. With the literature review of several disciplines, the author considers that the non-profit organization governance structure is combined the "inner nonprofit governance structure" and the "outside governance regime". Besides of three basic theories, namely the governance theory, the principal-agent theory and the stakeholder theory are adopted to explain the importance of good governance structure for NPOs.The thesis holds that the Association General Conference is the supreme authority of the non-profit organizations, which decides the direction and development route of the organization. On the Association General Conference, strategic planning, the Council and its candidates have been decided. The author analyzes the decision-making mechanism of Association General Conference and the operation efficiency in the nonprofit organizations. The Council is the core of function nonprofit governance structures, which take on the organization function of defining mission, formulating strategic planning, supervising the organization and so on. The Council takes the main responsibilities of organizational performance. The Council governance is the core of non-profit organization structure, the thesis analyses the non-profit council decision and control functions of the related variables, e.g., the scope of the council, operational mechanism and directors’obligations of law, etc.This thesis holds that non-profit organizations should establish the Broad of Supervisors to nurture the self-governing abilities and keep the rational structure of autonomous decision-making power, administrative power and supervision power. Compared to the functions of the Broad of Supervisors of corporate, this thesis expounds the functions of the Broad of Supervisors’the basic principles and other related variables in non-profit organization, such as the appointing Broad of Supervisors, supervisors’qualification, and its rules, which provide the referential values for constructing NPOs’Broad of Supervisors system.On the specific background of China, this thesis puts forward the NPOs’ governance structure in China should not only consider the building the internal governance structure, but also need to consider external environment for good governance. Considering the current situation of the external governance environment and its problems, the author gives some suggestions improving the current situations.By the case study, the author discovers that the institutional background in China constrains the NPOs development in China. For the Chinese special environment context, the author thinks that NPOs need the integration of the better governance structure, Association General Conference, Council, the Broad of Supervisors and all of them do the contributions.