The sum of the parts: Collaborations and strategic restructuring in the Australian charities sector: Industry Research Report

The changing regulatory and economic landscape of the Australian not-for-profit (NFP) sector is placing unprecedented pressures on charitable institutions impacting how they manage their financial and non-financial resources. While government procurement services has traditionally been the predominant source of revenue for many Australian charities, Australia’s governments have placed increasing emphasis on quasi-market procurement arrangements and have changed their procurement and pricing policies. These changes have escalated the pressure on charities’ operational and financial models. To meet these challenges and to pursue their goals sustainably, Australia’s charities are increasingly seeking opportunities for resource sharing collaborations and strategic restructures such as mergers, acquisitions and divestments with the intention of driving down costs, expanding their service offerings and building new skills. This research report, led by a cross-institutional team from RMIT, the University of Western Australia and Queensland University of Technology, provides insights on the nature and extent of resource sharing collaborations and strategic restructure activities undertaken by Australian charities. Based on a questionnaire survey of the CEOs and directors/committee members of Australian charities, the study offers more nuanced insights into the drivers and outcomes associated with resource collaborations and strategic restructures,taking into consideration organizational size and sectoral features