The Benefit Cost Method Of An Organization

708 Words3 Pages
The Benefit-Cost method proves to be a useful tool in analyzing the outcomes of the organizations for which the Robin Hood Foundation provides funding to. However, this method appears to be viewed more as an indisputable true evaluation of an organization, as opposed to an approximate gauge of an organization’s success. Weinstein himself has denounced the notion that the BC method is beyond reproach stating that the BC ratio should be taken, “as a ‘metaphor’, warning against taking the estimated numbers too seriously, and noting that one needed to exercise judgment with metrics as guideposts.” It seems as though some aspects of the credibility and validity of the BC method are being lost in translation between Weinstein and the board. Weinstein suggests that the BC ratios be used as a ‘guidepost,’ but it is evident that the board has put more weight on these ratios and their impact on funding decisions than Weinstein intended. Problem Statement The results of the Benefit-Cost method are admittedly flawed, yet they appear to be the sole deciding factor in grant decisions for the Rob...
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