The Drivers of Voluntary Transparency in Nonprofits: Professionalization and Partnerships with Firms as Determinants

This research analyzes the drivers of voluntary transparency in nonprofit organizations (NPOs). Particularly, we assess the influence of key internal and external resource providers—paid staff and business partners—on the extent to which NPOs make accessible relevant information about themselves for public scrutiny on a voluntary basis. First, we conceptualize transparency as one of the critical dimensions of accountability and explain how it has become a key issue for NPOs. Second, we discuss professionalization and business–nonprofit partnerships as business-oriented strategies directly connected to the main challenges (and controversies) NPOs face. Third, following institutional theory as core theoretical framework, we propose a set of hypotheses linking those strategies to transparency. Their influence will be measured through an empirical research based on a survey to a representative sample of 325 NPOs. Regression analysis and probit models will be used to test the hypotheses. The results confirm the positive effects of both professionalization and partnerships, although each strategy influences different dimensions of transparency.