Managing for Accountability: Preserving the Public Trust in Public and Nonprofit Organizations.

• Author: White, Barbara K.

Kearns, Kevin P.

San Francisco, California: Jossey-Bass Inc., Publishers, 1996. (255 pp)

Reviewed by Barbara K. White, Assistant Director, Tennessee Comptroller of the Treasury, Division of State Audit, Nashville, Tennessee, and member of GFOA's Committee on Accounting, Auditing, and Financial Reporting and Special Review Committee.

Kevin Kearns' book presents a practical rather than an idealistic approach to accountability, an approach that is broad and flexible enough for many different types of organizations. Kearns accomplishes this flexibility by linking the idea of accountability to the methods of strategic management. Strategic management became an accepted practice in the corporate sector to increase profitability, market share, and technological competitiveness, and public and nonprofit organizations also are beginning to see the advantage of strategic management as a way to enhance cost-effectiveness and service quality.

Kearns' book introduces the concept of an "accountability environment" which contains specific types of strategic threats and opportunities for public service organizations. His approach leads to a fundamentally new conceptual framework for defining accountability, clarifying issues and choices, and developing strategies and tactics. He presents his approach in three parts.

Part one presents the accountability environment facing public and nonprofit organizations. Kearns embraces a broader concept of accountability than the narrow view of answering only to a higher authority in the bureaucratic or interorganizational chain of command. Instead, accountability applies to a wide spectrum of public expectations dealing with organizational performance, responsiveness, and morality. He says these expectations often include implicit as well as explicit performance criteria related to obligations and responsibilities. The range of people and institutions the organization is accountable to include not only those inside the organization, but also the general public, news media, donors, other similar agencies, and many other stakeholders.

Part two presents tools for managing accountability. Kearns believes the five essential steps that all models for strategic management have in common are 1) looking backward, 2) looking forward, 3) looking outward and inward, 4) thinking strategically, and 5) developing strategies. He focuses most of his attention on "looking outward," a concept achieved with what he calls "SWOT Analysis."...