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What is resource dependency theory in nonprofit organizations? 


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Resource Dependency Theory (RDT) in nonprofit organizations emphasizes managing external resource dependencies to navigate environmental uncertainties and meet internal needs. RDT posits that organizations establish relationships with others to acquire valuable resources, leading to interorganizational collaborations . It highlights the importance of external resources in shaping organizational behavior and performance, such as revenue generation and public support in nonprofit healthcare organizations . RDT also addresses power dynamics within organizations and their environments, particularly in the context of hateful acts and pressures on administrators . Overall, RDT underscores the significance of understanding and strategically managing dependencies to enhance organizational effectiveness and sustainability in resource-constrained environments .

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Resource dependence theory in nonprofit organizations explains how outside boards gather resources, impacting revenue and public support. It emphasizes the importance of board composition for accessing external support.
Book ChapterDOI
01 Jan 2020
4 Citations
Resource dependence theory in nonprofit organizations emphasizes managing uncertainties and dependencies by forming relationships with other firms to acquire valuable resources needed to operate effectively in uncertain environments.
Resource Dependence Theory (RDT) in nonprofits manages external resource dependencies to understand funding sources' impact on mission drift, management practices, and organizational stigma within resource constraints.
Resource dependency theory in nonprofit organizations explains their reliance on external resources for survival. It focuses on power dynamics in intra-organizational and external relations, influencing managerial actions and public perceptions.
Resource dependency theory in nonprofit organizations explains how they rely on collaborations to acquire resources. High-resource groups use philanthropic and transactional collaborations, while low-resource groups favor integrative collaborations.

Related Questions

What is resource dependency theory?5 answersResource dependency theory (RDT) explains how organizations interact with their environment to secure essential resources. It emphasizes the dependence of organizations on external sources due to limited resources and uncertainties in accessing them. RDT highlights the importance of managing relationships with other entities to mitigate environmental uncertainties and fulfill internal resource needs. Organizations in high resource uncertainty environments tend to develop mutual dependencies with suppliers, leading to increased coordination and control processes. In the healthcare sector, RDT helps understand how organizations cope with workforce shortages and resource constraints by deploying strategies to secure resources effectively. The theory's application extends to sustainable supply chain management, emphasizing the evolving relationship between organizations and their natural environment.
What is resource dependency in nonprofit organization?4 answersResource dependency in nonprofit organizations refers to their reliance on external sources for crucial resources. This dependency can influence organizational behaviors and strategies. Nonprofit organizations often form interorganizational relationships to acquire resources like funding, knowledge, and infrastructure. Boundary spanners, individuals managing these dependencies, play a vital role in mitigating resource dependencies but may face unintended consequences like sexual harassment. While some nonprofits may receive funding from commercial revenue and government sources, it does not necessarily lead to mission drift as previously thought. Understanding resource dependency is crucial for nonprofits to navigate collaborations effectively and ensure sustainable operations and mission alignment.
What is resource dependency theory?4 answersResource dependency theory (RDT) is a theoretical framework that explains how organizations interact with their environment and manage their dependence on external resources. RDT emphasizes the importance of power dynamics and the use of resources in both external and internal organizational relationships. It highlights the need for organizations to establish relationships with other firms to manage uncertainties and meet their resource needs. RDT suggests that in environments with high resource uncertainty, organizations may develop mutual dependencies with other organizations. The theory also emphasizes the role of coordination and control processes in managing dependence and reducing uncertainties. RDT has been applied in various contexts, including international business, healthcare organizations, and sustainable supply chain management.
What is Resource dependence theory?3 answersResource dependence theory (RDT) is a theoretical framework that examines how organizations rely on external resources to survive and thrive. It emphasizes the interdependence between organizations and their external environment, particularly in terms of accessing and managing resources. RDT suggests that organizations establish relationships with other entities to manage uncertainties and meet their resource needs. The theory highlights the importance of understanding the various dimensions of dependence, such as locational, interorganizational, and intraorganizational dependencies. It also explores how organizations take actions to address their resource dependence and manage their relationships with external stakeholders. RDT has been applied in various contexts, including international business (IB) and nonprofit organizations, to understand how organizations navigate resource constraints and maintain their focus on their mission.
What is resource dependency theory in non-profit organisations?5 answersResource dependency theory (RDT) in non-profit organizations refers to the idea that these organizations rely on external resources to survive and succeed. Non-profit sport clubs, for example, face challenges related to limited budgets and financial vulnerability, which hinders their ability to respond to systemic pressure and acquire resources. RDT suggests that organizations establish relationships with other firms to manage environmental uncertainties and meet their resource needs. In the context of international organizations, RDT has the potential to improve our understanding of cooperation among these organizations, although questions remain about its scope and compatibility with other theories. For non-profit organizations, resource acquisition is crucial for their survival and success, and RDT provides guidance on strategies such as merging, forming alliances, and co-opting to obtain critical resources from the environment.
Which theories explain resource dependency in ecosystems?5 answersResource dependency in ecosystems can be explained by two main theories: the resource dependency theory (RDT) and the national innovation system (NIS) literature. The RDT, as discussed by Gao et al.and Lo and Tang, focuses on the mechanisms through which organizations depend on external resources for survival and growth. This theory examines how inter-organizational relationships, such as collaboration and subsidies, influence resource dependency. On the other hand, the NIS literature, as mentioned by Gao et al., explores the role of the national innovation system in promoting green innovation. It considers factors such as government attention, regional university R&D intensity, and long-term credit as mechanisms for enhancing resource dependency and innovation. Both theories provide insights into the complex dynamics of resource dependency in ecosystems.

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