Financial Resources In Organizations

Financial resources refer to money available to a business or organization for spending in the form of cash, liquid securities and credit lines. They are basic resources that can be used to acquire other resources such as purchasing equipment, paying workers, and buying advertising (Fry et al. 2004). According to Borch, Huse and Senneseth (1999), financial resources are one of the most important elements in the research based on SMEs resources and strategies. It allows firms to finance production; and marketing of products and services. Fernandez and Rainey (2006) in a study on managing successful organization change in the public sector emphasized the need to adequately resource public agency in order for them to achieve their stated objectives.

Therefore, despite their differences, both operational and advocacy NGOs need to engage in fund-raising, mobilization of work by supporters, organizing special events, cultivating the media and administering a headquarters (Mostashari, 2005). Only the defining activities – implementing projects or holding demonstrations – serve to differentiate them. In reality, the distinctions are not as sharp as the labels suggest. Operational NGOs often move into advocacy when projects regularly face similar problems and the impact of the projects seems to be insufficient. All the large development and environmentally oriented operational NGOs now run some regular campaigns, at least by supporting campaigning networks. Similarly, advocacy NGOs often feel they cannot ignore the immediate practical problems of people in their policy domain. Human rights NGOs and women's NGOs may therefore design programs to assist the victims of discrimination and injustice (ibid). Coalitions of NGOs also play a prominent role in transnational advocacy. Keck and Sikkink (1998) cited contemporary advocacy networks in human rights, the environment, and violence against women, noting such networks have existed for over two centuries, including the women’s suffrage and anti-slavery movements in the nineteenth century. However, assessing the effects of these advocacy networks is an arduous endeavor. This is because it is inherently difficult to assess the performance of many NGOs if their outputs, like promoting democracy, are difficult to observe (Spar and James,