Key performance indicators for value assessment for non-profit organization

Non-profit organizations are formed for social, philanthropic or similar reasons. This kind of organization is an organization, in which there is normally no transferable ownership interest. In economic point of view, a non-profit organization uses its surplus revenues to further achieve its purpose or its mission. This organizations does not distribute its surplus income to the own shareholders (or another kind of holders) as different kind of profit, and it does not use any profits for the gain of non-profit organization members. The chapter concentrate on the problem, of using Key Performance Indicators in the case of non-profit company. The Key Performance Indicators are broadly used to measure the performance in business for-profit organization. But using those indicators in non-profit sector needs some troubleshoot solutions. The non-profit organization differs in many cases from typical business organization for example in the field of: ownership, the attitude towards generating money, measurement of success and so on. On the base of it this type of organization needs specific system of the Key Performance Indicators to measure it's performance and activity in the society. In this chapter the concept of the Key Performance Indicators was characterized and main examples were described. Moreover, the principles of management in non-profit organization were shown with using the Key Performance Indicators to performance measurement in non-profit organization.