Nonprofits have an obligation to demonstrate their value to the public they serve. Nonprofits regularly measure their performance both in terms of effectiveness—such as outcomes and results of services (the “what”)—and efficiency—such as service delivery systems (the “how”). The public and nonprofit constituencies have a stake in nonprofit performance and should be informed about results. Evaluation is appropriate to the size and activities of the organization and evaluation data is used to continually improve the quality of processes, programs and activities.
- Legal Practices are legally required of all Montana nonprofits
- Essential Practices are widely recognized as industry standards and generally expected of all nonprofits
- Recommended Practices should be considered by all nonprofits, with implementation dependent on capacity and life stage