Description

Charitable organisations are faith based organisations, which generally tend to justify their existence in emotional or moralistic terms. On the other hand, these are also economic entities. A portion of total economic resources available to the society has been placed at the disposal of these organisations, to provide a pre-defined contribution to human welfare. Every organisation would like to control expenditure and maintain efficiency in the utilization of resources. Management shows path to achieve the goal of efficient spending of resources donated by the compassionate people. Moreover, the future economic success of these organizations depends not only on the quality of its social and economic activities, but also on communicating their performance to the multiple and diverse stakeholders. The primary objective of charity's performance assessment is to determine how well an organization is fulfilling its mission. If such an assessment is not possible, then public trust in these organisations is bound to be lost.