Voluntary Spirit Model

The purpose of this paper is to compare and contrast the economic and voluntary spirit models discussed in the article titled, Toward Nonprofit Organization Reform in the Voluntary Spirit: Lessons From the Internet (Brainard & Siplon, 2004). Additionally, analysis will be presented with regard to acquiring and expending resources according to each model, specifically volunteers and charitable donations. Finally, this paper will discuss the correlation between charitable donations and giving within nonprofit organizations and biblical principles.

Similarities Between the Economic and Voluntary Spirit Models Several similarities exist between each of the models presented in the article for nonprofit, or income tax exempt, organizations (Worth,

To begin with, the economic model has a management style that mirrors that of market-driven businesses, aligning goals and objectives with business principles such as supply and demand (Brainard & Siplon, 2004). On the other hand, the voluntary spirit model relies on a management style that is intentionally different from product and services businesses (2004). In other words, the voluntary spirit model insists that nonprofit missions are not business-like, but instead, are centered on solving problems and nurturing relationships (2004). Next, the organizational structure for the economic model has a relatively strict hierarchy where decisions are driven from the leadership, but the voluntary spirit model’s structure relies on collaboration among members to collectively determine goals and objectives (2004). Lastly, since the economic model is business-like, the incentives for staff appeal to self-serving needs, which means the incentives are often materialistic or monetary (2004). Conversely, the voluntary spirit model appeals to the ideal of collaborative service toward a common mission

With regard to monetary resources, nonprofit organizations are income tax exempt, according to the Internal Revenue Service (IRS); yet the level at which charitable giving is tax deductible varies according the IRS categories of nonprofit organizations (Worth, 2017). Ultimately, this privilege should cause nonprofit organizations, regardless of where how they operate with the spectrum of the two models, to effectively expend resources.

Specifically, the volunteer spirit model encourages volunteerism centered on a democratic philosophy of sharing the burden of the cause, and this create a more effective foundation for using charitable donations directly for the cause or service (Brainard & Siplon, 2004). In contrast, the economic model, leaning toward paid staff and relying on material or monetary incentives, may be using charitable donations ineffectively (2004). In addition, while the economic model stresses professional-like marketing and advertising, those funds may also be better spent toward the cause