Nonprofit Board's role in Risk Management

Nonprofit Board's role in Risk Management

Guide Index

Introduction

Risk management involves identifying, evaluating and mitigating the risks in the workplace, followed by the employment of resources to monitor, control, prevent and minimise the impact of potential threats.

The nonprofit board’s role is to make risk assessments to determine how much risk is acceptable to the organisation, to establish plans to control the risks and communicate to the organisation, the importance of taking calculated risks in order to fulfil the organisation’s mission and vision.

This resource guide provides print and online resources available in the National Library Board Singapore libraries and from the Internet which contain information pertaining to the nonprofit board’s role in risk management.

Search Terms Call Number
Starting and building a nonprofit 658.048
Nonprofit organisations law and legislation 658.048
Nonprofit organisations finance 658.048; 658.15224
Nonprofit organisations management 658.1148; 658.048; 658.4092

Books

(listed in alphabetical order)

Call no.: RBUS 658.15 COE

This handbook for the financial management of nonprofit organisations presents best practices for reducing expenses, increasing revenues through cash management strategies and tips on analysing budget statements. Managing capital assets, funds investment and risk management are also covered.

Call no.: 658.048 PAK (Only available at selected Public Libraries)

Read chapter 7 to find out how to manage your nonprofit’s risks, obtain suitable insurance and strategies for minimising risks. Other chapters in the book cover various aspects of starting a nonprofit from scratch, such as developing a strategic plan and budget, forming a board of directors, staff management and volunteer recruitment.

Call no.: RBUS 658.152 RIC

This is an authoritative guide on effective investment management of nonprofit assets, covering aspects such as asset allocation, performance measurement and evaluation of portfolio investments, hiring of investment consultants and the legalities of investing charitable, endowment and other donor funds.

Call no.: RBUS 658.048 JOS

The third and latest edition of this volume is an invaluable resource on the management of nonprofit organisations, covering areas such as leadership and governance, marketing, developing and managing nonprofit financial resources and people management. Of interest would be chapters 22 and 23 on financial management and accounting and risk management.

Call no.: RBUS 305.244 LEI

This workbook offers a practical guide on risk governance and risk management targeted at board members, executive directors and senior management of enterprises in the Third Sector and highlights the importance of board leadership in the risk management process. This book is also available online from the Centre of Non-profit Leadership website: https://www.cnpl.org.sg/flipbook/04/files/assets/basic-html/page1.html

Call no.: RBUS 305.244 LEI

Tailored for nonprofit board members of all levels of experience, this is an excellent guide to the most frequently asked questions on board governance. Besides covering topics such as board structure, board member recruitment and financial management, it also covers the board’s role as a fiduciary (part five of the book), comprising the need for the board to be familiar with reserves and investments and to recognise signs of financial distress and fraudulent activity.

Databases

(listed in alphabetical order)

  • Ashley, S. & Faulk, L. (2014). Financial analysis for measuring and comparing risk in grantmaking portfolios. The Foundation Review, 6(3), 60–68. Retrieved February 14, 2017, from ProQuest Central.

Risk management for nonprofits involves close scrutiny of the organisation’s finances and operations and exercising due diligence during grant application reviews. In this article, the authors introduce a financial-based index which can be used to evaluate philanthropic risk during the grant selection cycle and weigh the risks against the potential benefits that could be achieved.

  • Bilich, T. (2015, September). Boards and nonprofit risk management. Risk Management, 62(7), 10, 12. Retrieved February 14, 2017, from ProQuest Central.

Bilich identifies seven reasons why the issue of risk oversight is often overlooked by nonprofit boards in the overall management of their organisations.

  • Fineran, C. (2014, November/ December). Risk: What you need to know. Trustee, 67(10), 6–7. Retrieved February 14, 2017, from ProQuest Central.

This article examines the nonprofit board’s oversight responsibilities and discharge of their fiduciary duties in the context of nonprofit hospitals and institutions that focus on community service.

  • Primoff, W. (2012, November). Fiduciary financial management in nonprofit organisations. The CPA Journal, 82(11), 48–57. Retrieved February 14, 2017, from ProQuest Central.

This article provides an overview of the nonprofit financial environment and identifies major financial oversight challenges, which are uniquely different from commercial organisations.

Websites

(listed in alphabetical order)

The author advocates that nonprofits should use risk management principles to enhance sustainability and recommends a basic approach covering when to start and the steps to make risk management a standard operating procedure.

This white paper examines the type of risks faced by nonprofit organisations and suggests ways to effectively manage the risks against potential benefits.

This report lays out recommendations for nonprofits to adapt private sector risk management practices to better defend their organisations against risks and financial uncertainties.

Accessing National Library Board Singapore Resources

Accessing the Print Materials

You can search the library catalogue (for physical materials) in the library and from home (http://catalogue.nlb.gov.sg). The easy search function allows you to search/browse by author, title, keyword, subject and ISBN/ISSN whereas the advanced search allows you to narrow your searches to specific media types or language holdings. In both instances, you will also be able to limit your search to specific libraries by clicking on the “limit by branch” option.

To search Lee Kong Chian Reference Library’s Holdings

If you wish to search for only materials available in the Lee Kong Chian Reference Library, please always click on the “Limit by Branch” button at the bottom of the page, after you have keyed in your search term. This brings you to a new page whereby you will be able to select the library of your choice. Choose “Lee Kong Chian Reference Library” and select “yes” under the “Display only items available in the selected branch below” and then click on search.

Things to note:

Once you have identified the title that you need, please double-check the following information and write down the necessary info:

i. The “Status” of the item: the item is not available in the library, if the status displayed is “in transit”, “in process” or “not ready for loan”.

ii. Double-check that the item is in Lee Kong Chian Reference Library under “Branch”.

iii. Write down the Location Code and the Call Number of the item. This helps you to locate the item within Lee Kong Chian Reference Library. Please refer to the table below for more information (Note: Please feel free to approach the counter staff for help in locating the books.)

All featured books and periodicals are located at the Lee Kong Chian Reference Library.

Accessing the Databases

The National Library Board (NLB)’s eResources are free for all NLB members. Click here to find out how to register as a member.

If you’re having problems registering or logging in, please contact us. If you wish to find information in the databases but am not sure where to begin, or need recommendations on which databases to use, please use the “Ask A Librarian” function or send an email to ref@nlb.gov.sg for help. The librarian will get back to you within three working days.

Author

Sharon Teng

The information in this resource guide is valid as at Feb 2017 and correct as far as we are able to ascertain from our sources. It is not intended to be an exhaustive or complete history on the subject. Please contact the Library for further reading materials on the topic.

All Rights Reserved. National Library Board Singapore 2017.

PREVIOUS

Environment Champion

NEXT

Role of Boards in setting Executive Director's Compensation