How Cost-Effective Is Capacity Building in Grassroots Organizations?

摘要

Although capacity building has re-emerged as an important strategy in strengthening the infrastructure of social agencies and nonprofits, evaluations of these efforts are rare. The scope of capacity building is broad and includes education and training, technical assistance, coaching, peer networking and operational support. However, it is not known how well grassroots groups respond to these strategies and if they are cost-effective. This study examines the return on investment for capacity building. Using a sample of 125 grassroots organizations that participated in capacity building events over a five-year period, the multiple regression analysis results indicate that investments in these small nonprofits do make a difference. Participating organizations were more likely to engage in planning, use evaluation strategies, have grant writing knowledge and awareness of opportunities. Cost estimates reveal the level of investment needed for each outcome. The limitations of the study are acknowledged and suggestions for capacity building and further research are proposed.