Whatever be the source of the funds, all governments today stress the need for efficient Non-governmental bodies to transform the life of the people. In the UK, they form a part of the government's planning process n local administration as well. Today, the role of an NGO is not debated, only their efficiency is. Organisations such as the UN have now shifted their focus from working with governments in the developing world to NGOs who have a massive contact with the people and work with them for consistent local benefits. NGO's impart a huge service to every nation in terms of its socio-economic development while governments in most cases are restricted to setting up the rules and the supporting infrastructure. Voluntary organisations work closely with the people and are more efficient in bringing out any sustainable benefits to the locality in terms of health care and education. Since the NGO draws a large number of volunteers, who are more committed to the cause they are working on, the efficiency levels of these bodies are very much on the higher side - they are more focussed and committed than many governmental organisations.
A large number of these volunteers have different educational degrees and are mostly overqualified for their work. The organisation will also have a large pool of ideas to address any particular problem than a body in the public sector. Mostly all voluntary organisations are run by local members of the society and this means that they have more contact with the people and more information about the problems they face. Networking of the LVOs is a much simpler method to achieve social change than very expensive and cumbersome state run mechanisms.
While managing Voluntary associations was considered an easy job in the sixties, it has become more complicated today. The governments in various countries have various rules and regulations that govern the formation and functioning of Voluntary Organisations. Besides these, management of Voluntary organisations also have become a task that is highly specialised in nature. They call for management skills and vitality in time management apartment from monitoring and re-orienting the efforts of the volunteers.
The local voluntary organisation is a company registered under the companies act as a charity registered under the charities act. This heterogeneity means that it is both a company and a charity organisation. The guarantors of the organisation are the board members of charity. The Companies Act demands that the board is liable to the company and so the guarantors of the Local Voluntary Organisation is also liable to a sum of money that is limited to their memorandum and articles of association. The guarantors comprise the board of directors and form the executive committee. Registration also places the LVO under the Charities Act and hence the regulatory commission has specified that the board of trustees should have no pecuniary interest in the charity and their primary objectives should be only social good.
The legal frame works apart, a local voluntary organisation should have a good governance system that will help it deliver the goodies to the masses. This can take