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  • Category: Career Guidance

    What is the difference in working in a profit-based private company and a non-profit-based NGO?


    Check this ISC page to know about the difference between profit based private companies and and non profit based NGOs with reference to their work.

    Is there any difference in working in profit-based organization to that in the nonprofit based organization in terms of work culture, threats to employees or members, job security, work pressure, and even work-life balance? Recently I visited one NGO and they told me to work in excel as an analyst or work in the MIS report because I am an engineering graduate. I got fired from 2 private companies in manufacturing sectors and got rejected in many interviews. I got a very good treatment in NGO trust which I have visited and the NGO chief accepted all my fault especially in facing rejections and told me that there is no tension in it as in life we have to face many rejections. Many private companies don't want to waste time on employees who have a fault.
  • Answers

    3 Answers found.
  • The job guarantee in both private profit-based companies and NGOs will be almost similar. That depends on the culture of the organisations. There are some private companies where employees will be asked to go for very small mistakes also. Similarly, NGOs can remove people if they don't have sufficient work or not getting funds properly. In NGOs also people will be removed if they are not performing well. I know some private companies where they will never ask the employee to go unless otherwise, that person has done a very big mistake. Same is the case with some NGOs. All depends on the CEO of the company or the NGO and the culture of the organisation.
    In private companies, the salaries and benefits will be on the higher side and the management can decide based on the performance of the individual and also on the necessity of the employee's expertise. There is no involvement of any statutory bodies in this as long as they are not paying less than minimum wages fixed by the government. The chances for growth will be definitely more for a person who works very hard and delivers the goods. But In NGOs, the scales and perks will be fixed and they will get the approval of the concerned statutory authorities. They can't give the salaries as they like and they should be preapproved from the authorities.
    Work pressure may be less in NGOs than in private firms. Again this also depends on the business of the NGO and the workload and number of employees approved for the NGO. We can't generalise these factors. Same is the case with work-family life balance also.
    If you are presently unemployed and if you got an offer from an NGO accept that and join without thinking other issues. The situation outside is very bad and getting a job is very difficult. Once you are in some assignment, you will have a better chance to bargain for salary if you go for another job and your present salary will become a reference. So my advice to you is to join in the job and start working with full strength.

    drrao
    always confident

  • There is not much difference working in profit-based private companies and NGOs in terms of work culture, threats to employees or members, job security, work pressure or work-life balance. There is no such thing as job security in any of these two cases because everything depends on your performance and the sustainability of the organization in trying times. Feeling threatened is something dependent on your abilities and also on the nature of the person to whom you report directly. If that person is accommodating she/he will explain your drawbacks and help you to reach your goal and if the person is busy in thinking of her/his promotion you can hardly expect any help. Then you need to help yourself to reach the goal. The important thing for you would be to work on your weaknesses. You told, you are fired from two companies and also got rejected in some interviews. I am sure, you have analyzed the reason behind the rejection in interviews and firing from jobs and rather than thinking of job security or work culture you need to think about how to address those issues. Talk to your friends, teachers and parents who know you very well since your childhood and ask for suggestions. There is always a good career option in NGOs as well as private companies and you will get many opportunities also, but unless you are working on your weaknesses, you can always face the same issues that disturb you.

    Presently, the chief of the NGO is very supportive and I hope he remains so, but also think of the situation if there is a change in management or if you get a better opportunity. Remember, every organization is paying you because you are helping them to generate revenue. If you do not perform according to the guidelines their revenues may decline and ultimately they may look for a more efficient worker. I wish you all the best in your new job and hope you will perform much better by addressing your drawbacks.

    Sankalan

    "Life is easier when you enjoy what you do"

  • There are some fundamental differences between a profit based private company and a non-profit based NGO. First and foremost is that a profit based company has to be aggressive in its product and services and should have a very effective marketing and advertising mechanism to make it popular among the masses. The main objective of a profit based private enterprise is solely to make profit and give good return to the stake holders. If there is a change in the lives of people and they demand some new product then the company has to be very dynamic in understanding the changed needs of the consumer and divert itself in the production of new things. For that it has to hire some new hands who are having expertise in the new items or products and at the same time the company might dispense away with some old employees who are not of much use in the changed scenario. So, the atmosphere in a profit based company is very dynamic and any time the unwanted workforce is to be expelled by giving quick notices. The company also pays to its important and indispensable employees a very high salary to retain them as the competitor company can always lure them with more money. Employees in such companies are well aware of these things and the ambitious one's enhance their learnings seeing the market trends and before the company dismisses them they leave it for greener pastures.

    On the other hand the non-profit based NGO companies are engaged mostly in certain tasks which are beneficial to the society or its underprivileged people and for doing these tasks they make various types of projects and plans and if they work properly they sometimes get good grants from the Govt as well as some rich philanthropic persons of high repute in society. So, NGO might be earning some money from their operations but they are mostly dependent on the donations and aids from different quarters. NGOs also encourage and help the innovative and enterprising people who do not have money with them to prove their inventions and take them in its fold and if the product becomes successful the NGO also shares the profit being a major stake holder in it. It is to be noted that these projects have a smaller success rate as market is very competitive and before one launches its idea in the market someone else already would have taken lead in the matter. Due to these factors the salary in NGOs are definitely less than their counterparts in profit based companies and the job security in NGO is there only till the funds are coming from the philanthropic channels.

    So, these two are entirely different perspectives and of course due to the prevailing unemployment conditions many people are opting for NGOs also. In fact there is also competition in getting a job in NGO. One thing which is good in working in NGO is that one can learn a variety of data analyses and data management work there as NGO analysis projects are generally based on the sample data sets. So, from that point of view it is a good platform to learn till a person is able to get a job in profit based private company or Govt organisation.

    Knowledge is power.


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