We’ve all seen the graphic about various nonprofit organizations that tells us what percentage of donated dollars go towards the ’cause’ and how much goes toward ‘administration’. If you haven’t seen the chart, it’s likely you’ve had the conversation with someone. And if you’re like me — you were probably captured by that quick hit statistic. I know I formed an opinion based on that information, and I’ve continued to judge non-profits by this same metric since the day I saw it.
But the video below changed my mind. In it, Dan Pallotta uncovers the double standard by which non-profits are judged and gives us a better metric for evaluating them — how effective they are at accomplishing their mission.