Qn1. Discuss the importance of resource mobilization to an organization.
Resource mobilization refers to all activities involved in securing new and additional resources for your
organization. Resource mobilization involves raising different types of support for your organization and
these resources include both cash and in-kind support. Resource mobilization is often referred to as
‘New Business Development’.
Resource mobilization is important because of the following reasons discussed below;
It ensures the continuation of the organization’s service provision to its clients over the required
period of time. Organization should ensure that it has the required resources to continue providing
services to their beneficiaries. This can lead to long lasting relationships with the beneficiaries, who are
influential to the success of the organization.
To diversify and expand resources. When an organization have resources, it allows them to undertake
new initiatives and it reduces depending on only one project or programme. Also, it widens their
coverage and reach.
For sustainability of the organization and program. every organization needs income to keep going
from one year to the next, to meet their project costs and develop programs for the future, to pay
wages and overheads, to pay rent, to keep their equipment in a good state of repair and to ensure
continued existence to be able to meet the needs of her beneficiaries. All these are possible when there
are resources
It also allows the improvement and scale-up of products and services that the organization currently
provides to her clients. Once an organization has enough resources, that means it can scale up and
widen its service provision base to many areas to be able to reach many beneficiaries.
It helps organizations to build long term relationships with the stakeholders (community, donors,
government, etc.). Continued service provision of services to a particular community leads to building
trust with your beneficiaries, government, as well with the donors
Builds social capital through building and strengthening social networks which provides better base for
future initiatives
It is a requirement for organizations both in the public and private sector in order to stay afloat and
relevant in today’s dynamic project environment. In today’s world of high competition, and
technological advancement, organizations need to widen their resource base to enable them compete
favorably in the market.
It helps the organization to achieve its wider purpose because without it, no organization can
strategize and plan their work effectively. Availability of resources enables an organization to continue
its service provision to their beneficiaries
Reducing dependence. many organizations are funded by only a handful of donors and this can put
them into a state of dependency and if one grant is withdrawn or one area falls short, this can put the
organization at risk and thus broadening your resource base can reduce this dependency. i) Building
awareness in community; outside of the financial benefits, your organization needs a volume of
supporters because your supporter numbers tell you something about your reach and the importance of
the issue to the wider public as well as your reputation and credibility
To break the tradition of running the specific programs of any donor agencies only. Limited resource
makes an organization likely to fall off in an event of lack of funding from that particular donor.
To spend in the Program of the Organization's liking. When an organization have enough resources, it
will concentrate on providing services that aligns to the organization visions and goals.
For maximum use of domestic capital and skills. Local skills and expert are hired. There will be no need
to hire international staffs as experts mainly from the donor Country who are there to over see how
their money is spent and to repatriate back part of the money through huge salaries being paid to
international staffs.
To disseminate the good practices of the organization. Availability of funds and other resources enables
an organization to continue providing its services and disseminating to wider audience
To develop new thinking and challenge the old traditions. Availability of resource give room for new
innovations and expansion to other areas to provide services.