Program Closes Gap Between For-Profit and Nonprofit Business Sectors

FAYETTEVILLE, Ark. – The Sam M. Walton College of Business and the J. William Fulbright College of Arts and Sciences at the University of Arkansas are jointly offering a new certificate program to train managers from different types of organizations to better work together.

The 15-hour Cross-Sector Partnerships certificate program introduces students to the challenges of managing nonprofit organizations that work closely with for-profit businesses and governmental organizations to address societal and environmental problems.

With more than 10,000 nonprofit organizations in the state of Arkansas, accounting for about 4 percent of the workforce, the demand for qualified managers remains high and positions often go unfilled. Many other educational institutions have implemented similar certificate programs, but the fact that the Fulbright College and Walton College have united to offer a joint certificate makes the program stand out.

“What is unique about this program is that it combines classes from the M.B.A. and the M.P.A. programs to be taught by instructors who are most familiar with their respective sectors,” said Margaret Reid, professor and chair of political science in Fulbright College. “In other words, the students will receive a very unique perspective that is not offered in many other programs in the U.S.”

Cross-sector partnerships often are developed to create mutual value, to achieve joint goals or to raise funding more efficiently. For example, the Environmental Defense Fund, a nonprofit, recently collaborated with the EPA, a governmental agency, to address health and environmental concerns surrounding the need for additional port facilities on U.S. coastlines.

While some cross-sector relationships thrive, others don’t reach their full potential. This lack of connection is often due to structural and philosophical differences between the different sectors – non-profit, business and political.

“The sectors are very different, which is often not recognized by managers coming from the for-profit sector,” Reid said. “The strong bottom line orientation does not easily transfer to the nonprofit sector and often leads to misunderstandings.”

In order for cross-sector collaborations to succeed, managers must be aware of and appreciate the diverse perspectives and purposes held by their counterparts. This program equips students, or future managers, pursuing a master of business administration or a master of public administration with the skills to foster these relationships.

The program is designed so that about five students from each college can participate annually.