The Urge for Strategic Alliances Has Waned

from Chronicle of Philanthropy:

Finding Incentives for Nonprofit Collaboration

In the early months of the economic downturn, many organizations considered the idea of collaboration. Many of our colleagues were open to the idea of strategic alliances ranging from shared back-office operations to full-blown mergers.

Yet in the Nonprofit Finance Fund’s 2010 survey of nonprofit groups, only 1 percent of the organizations actually reported having merged with another one. One conclusion is that it appears that the urgency for organizations to align themselves strategically has waned, although foundation funding to nonprofits continues to decline or disappear completely.