Internal and External Accountabilities for Organizational Governance Research Paper

Internal and External Accountabilities for Organizational Governance - Research Paper Example Internal accountability in the not-for-profit organizations refers to the internal stakeholders such as employees, managers, directors etc, their quality of work and the coordination between them which leads to the welfare of the public or any other organization whom they are responsible to benefit. Profit is not their motto, their main aim is to provide services to others, therefore, the needs of others and their fulfilment by the staff and the financial resources of an organization are all a part of the internal accountability of a not-for-profit organization. Internal accountability in a for-profit organization similar to the internal accountability of a not-for-profit organization refers to the internal stakeholders such as employees, directors, managers, shareholders etc and the coordination between them. But, the difference between both of them is that, the internal accountability of a for-profit organization deals with the profits and loss made by the company, Such organizatio ns don’t work for the profit of others, instead they work for their own profit, therefore, they are basically concerned how well the internal stakeholders work in order to make more and more money for the organization. External accountability of a not-for-profit organization is concerned with all the external factors that affect a not-for-profit organization. Charities, donations, sponsors etc are some of the external stakeholders of not-for-profit organizations. External accountability of a for-profit organization includes external stakeholders such as customers, clients etc which affect or make up either profit or loss for a for-profit organization.