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40 Nonprofit & Voluntary Sector Q. 5 (2011)

handle is hein.journals/npvolsq40 and id is 1 raw text is: Articles Can Resource Dependence and Coercive Isomorphism Explain Nonprofit Organizations' Compliance With Reporting Standards? Nonprofit and Voluntary Sector Quarterly 40(1) 5-32 @The Author(s) 2011 Reprints and permission: http://www. sagepub.com/journalsPermissions.nav DOI: 10.1 177/0899764009355061 http://nvsq.sagepub.corn OSAGE Sandra Verbruggen', Johan Christiaens', and Koen Milis' Abstract Nonprofit organizations worldwide are confronted with an increasing demand for accountability and improved financial transparency. Financial reporting by nonprofit organizations is no longer an exception; it has become a rule.The usefulness of a financial report to an organization's stakeholders depends on its quality.The latter is safeguarded by reporting standards as well as the commitment of the organization to fully implement these standards. Although resource dependence and coercive isomorphism have been used in earlier nonprofit organization research, no empirical research has linked these theories to compliance with financial reporting standards. Using a unique setting in which a large number of (very) large Belgian nonprofit organizations are confronted with far- reaching changes in financial reporting regulations,the effect of resource dependence and coercive isomorphism on accounting and financial reporting compliance is documented. Keywords nonprofit organization, resource dependence,financial reporting, compliance, coercive isomorphism Introduction Nonprofit organizational behavior has been the subject of extensive research. Quite often, resource dependence theory and institutional theory have been used as theoreti- cal frameworks to explain several aspects of organizational structure and performance. Executive leadership (Heimovics, Herman, & Jurkiewicz, 1993), market orientation (Macedo & Pinho, 2006) and board involvement (Hodge & Piccolo, 2005), board size 'Hogeschool-Universiteit Brussel, Brussels, Belgium 2Ghent University, Ghent, Belgium