Title: Does the presence of member assemblies in grant-giving foundations affect levels of stakeholder engagement in mission reporting? Evidence from Italian banking foundations

Authors: Giacomo Manetti

Addresses: Department of Economics and Management, University of Florence, Italy

Abstract: Stakeholders play a fundamental role in the governance systems of non-profit organisations. Their participation in decision-making processes - especially within governing bodies and in terms of mission reporting - is an essential element for effective and coherent organisation management. The present study carries out empirical research into Italian banking foundations (IBFs), a particular kind of grant-giving foundation with specific statutory obligations towards their stakeholders, including local communities and the beneficiaries of contributions. These types of foundations are unique, featuring characteristics that could contribute to a better understanding of the role played by governing bodies among third-sector organisations in creating a system of stakeholder engagement, participation, and dialogue. Using content analysis, we studied the Annual Reports and statutes of 88 IBFs in order to verify whether the presence of a member assembly in this particular type of grant-giving foundation affects the degree of stakeholder engagement in mission reporting. The results of our study reveal a greater presence of stakeholder engagement policies and practices among foundations with member assemblies, as well as a tendency towards stakeholder management in foundations without this type of governing body.

Keywords: non-profit organisations; stakeholder theory; Italy; banking foundations; corporate governance; member assemblies; grant-giving foundations; stakeholder engagement; mission reporting; annual reports.

DOI: 10.1504/IJBGE.2015.070931

International Journal of Business Governance and Ethics, 2015 Vol.10 No.2, pp.119 - 136

Received: 24 May 2014
Accepted: 26 Feb 2015
Published online: 01 Aug 2015 *

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