Governance formation process in Nongovernmental Organization (NGO): context, history and emergent factors

Abstract

In a previous study we developed a taxonomy proposal to classify models and governance mechanisms used by the Nongovernmental Organizations (NGO) in Brazil, considering the collective decision making process, strategic decision instances, management and control system. This taxonomy was based on the governance related information available in the bylaws of the NGO. In this study, we investigate the real situation of governance in the NGO based on multiple case studies, interviews with managers and experts, and selected academic papers and media publications. The analysis of this information allowed us to observe a distance between the formalism expressed in the documents and the actual configuration of its governance. In fact, this analysis reflects the fact that the governance of companies and other organizations has been developed based on cross sectional approaches, when solutions and guidelines are proposed to deal with specific problems in a given context and balance of power among stakeholders. Over time the governance tends to get away from this formal governance of the bylaws. This detachment is much more meaningful to NGO than for companies, given the weakness or absence of regulatory framework, in addition to the wide variety of size, scope and purposes of these organizations. This study discusses the results of a research about the actual practices of governance of the Brazilian NGOs, in order to verify how historical and contingent factors have changed these governance practices, and the impacts of internal and external factors on their choices.