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For Profit v. Nonprofit

profit world, where budgets are more constrained and limited, salaries tend to be lower for managers compared to for profit organizations. For example, Microsoft Corporation offers staff unprecedented benefits and perks at its Redmond Headquarters in Washington. From dry-cleaning service to child care, the firm offers numerous perks that help its staff perform better on the job. It is also how the company is able to recruit and retain a highly skilled, highly motivated workforce responsible for double-digit growth for more than two decades. Amore (69) maintains that the company earned its spot the list of top 100 companies to work for primarily because of its highly desirable benefits package. The benefits are exceptional and include "medical, vision, and dental benefits, life and disability insurance, and a group legal plan" (Amore 69).

In contrast, Kouzes and Posner (46) maintain that nonprofit organizations must often use different forms of compensation and benefits to attract and retain high performing leaders and staff. Kouzes and Posner (47) explain that in for profit organizations, incentives for leaders and followers are typically "tangible" goods or services, while in the nonprofit world such incentives are typically in-kind or non-financial. For example, leaders or followers in nonprofit organizations who succeed in delivering high quality, cost-effective services are often rewarded with paid training, expenses-paid trips to business conferences or seminars and other such incentives. These kinds of rewards stem from the different budgetary focus of the nonprofit organization. As Miller and Jentz (720) explain, in contrast to the for profit organization, the budget focus of the nonprofit organization is to allocate resources on delivery of services over the amount earmarked for management, administration, and general ex

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For Profit v. Nonprofit. (1969, December 31). In LotsofEssays.com. Retrieved 13:17, May 04, 2024, from https://www.lotsofessays.com/viewpaper/2000416.html