Can Public Trust in Nonprofits and Governments Be Restored

  • Reference: HBS-96207-E

  • Number of pages: 11

  • Publication Date: Mar 1, 1996

  • Source: HBSP (USA)

  • Type of Document: Article

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We entrust nonprofit and governmental organizations with society's most important functions--educating our minds, uplifting our souls, and protecting our health and safety. Lately, however, the public's faith in these institutions has been seriously undermined by revelations of wrongdoing and mismanagement. Can anything be done to restore the public's confidence? Regina Herzlinger argues forcefully that the answer lies in accountability. She points out that nonprofits and governments lack the mechanisms that compel accountability in the business world. Thus they require regulatory oversight to help them accomplish their social missions effectively, efficiently, and responsibly.


Business ethics corporate social responsibility Federal government Financial statements Public relations