Account Space: How Accountability Requirements Shape Nonprofit Practice

Abstract

Improving nonprofit accountability is one of the most important issues facing the sector. Improving nonprofit accountability in ways that are attentive to what we might consider unique and valuable about how nonprofits address public problems is the challenge at hand. This article presents a framework for examining the consequences of accountability systems for nonprofit practice. Drawing on empirical findings from three case studies and early sociological work on accounts, the framework considers four questions (i.e., When do organizations give accounts? What is the purpose of the account? When are those accounts accepted or rejected by important stakeholders? And with what consequence?) but makes a distinction between a verification and explanatory accountability process. By making this distinction and clarifying the relationship between these two accountability processes, the proposed framework can be used to identify conflicts between accountability systems and nonprofit practice and to understand how efforts to ensure accountability can spur a change in nonprofit practice, change stakeholder expectations for nonprofits or leave both intact.