In its formal concept, a Non-Governmental Organization (NGO) is a civil institution created to promote or defend causes, in different spheres of society: human rights, environment, education, global economy, among other topics. NGOs are, in essence, non-profit entities, that is, they do not generate financial contributions. However, we are left to question: does an NGO really not have the capacity to create other types of capital?
When it comes to human, ecological and cooperative capital, the concept of NGO can show another perspective on generating profit.
What and Who Are NGOs For?
NGOs are created to operate in the so-called “third sector”, as they are organizations that operate in civil society, do not have market competition and do not arise as a result of agreements between governments. Rather, they arise from the need for transparent and more competent management of resources from companies, philanthropists and governments, intended to help underdeveloped countries, environmental preservation programs or populations affected by socio-environmental catastrophes. NGOs provide a bridge between the consumer market – of goods and services – the political governments of each location and the people who make up society. In this context, they add value to institutions that need or want to apply ESG concepts in their management.
A Non-Governmental Organization has the function of proposing ideas and actions that intervene in relationships between social entities, always thinking about the greater and collective good, with less environmental impact and less social damage. These actions can be translated into some examples such as:
– local ecosystem preservation programs;
– social inclusion projects through job training;
– actions to combat hunger through family farming;
– sending humanitarian aid teams to conflict zones or areas hit by natural disasters;
– selective waste collection projects and installation of recycling centers;
Among many other topics that can cover the activities of an NGO.
NGOs are created for people and the environment. Its ultimate purpose is to serve society and the ecosystem, promoting good and proposing solutions. They are managed through government, private or public funding, in addition to donations from the general community.
Projects carried out by an NGO can also be submitted to another institution, which has the purpose of managing the actions and results of the projects. This is how the Oakpar Foundation proposes to embrace projects from different causes, managing investments, the progress of schedules and ensuring that the resources used are applied efficiently and converted into satisfactory results.
Through the Communication Channel on the Oakpar Foundation website, NGOs can submit projects within the scope of our areas of activity.
NGO: A New Concept of “For-Profit”
Under the new vision of corporate management, the value of an institution's capital is no longer measured only by the amount of money it produces: capital is now added to combined market, environmental and social promotion actions.
ESG practices (acronym in English for Environmental, Social and Governance) have been a reality within corporations since 2004 and, in this context, NGOs play the primary role of incorporating a new concept of what we usually call “profit-making”. of a company.
Profit-making purposes are no longer accounted for with graphical analyzes of financial accumulation, nor only through market fluctuations. The profit motive, given the new global perspectives, is calculated by measuring how much a company is capable of adding value, acting in conjunction with social concern and environmental preservation. Much more than being able to meet the growth in global consumption, it is necessary that the impacts caused by market expansion be reduced or eliminated, giving way to the expansion of social inclusion, environmental care and a careful look at people.
