The "A" Word in the charity expenses, and is there an alternative perspective?

Abstract

One of most well known metrics in the non for profit sector is administrative rate. This has been widely accepted as a measurement tool to measure the impact of non profits. But is it the right tool? Administrative rate does little to tell a donor or expertise on whether or not a non for profit is impactful nor does it indicate whether or not a non for profit is successful. If this is the case, then why is administrative rate still a measurement tool. One would argue that this can be tracked back to the time of the migration of Europeans to the new world and the influence of religion, especially the Puritan belief of self deprivation. Given this history is there an alternative to the administrative rate measurement and do other faiths have a different perspective?