Difference between revisions of "Classification of NGOs"

From NGO Handbook
(United Nations International Standard Industrial Classification)
(General Industrial Classification of Economic Activities)
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Currently, the custodian of the ISIC is the Economics Statistics and Classification Section of the United Nations Statistics Division. The ISIC was last revised in 2002, and it is not reviewed periodically.
 
Currently, the custodian of the ISIC is the Economics Statistics and Classification Section of the United Nations Statistics Division. The ISIC was last revised in 2002, and it is not reviewed periodically.
  
===General Industrial Classification of Economic Activities===
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==General Industrial Classification of Economic Activities==
  
====History====
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===History===
  
 
NACE is an acronym for 'Nomenclature générale des activités économiques dans les communautés européennes' and is also known as The General Industrial Classification of Economic Activities. It is similar to the ISIC in that it is used to classify establishments based on their economic activity. However, unlike the ISIC, NACE is used and revised by the European Community.
 
NACE is an acronym for 'Nomenclature générale des activités économiques dans les communautés européennes' and is also known as The General Industrial Classification of Economic Activities. It is similar to the ISIC in that it is used to classify establishments based on their economic activity. However, unlike the ISIC, NACE is used and revised by the European Community.
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The NACE evolved from “Classification of industries established in the European Communities,” or NICE, which was developed between 1962 and 1963. In 1965, to cover all commercial activities, the classification of trade and commerce in the European Communities, or NCE, was created. In 1970, the first NACE, or General Industrial Classification of Economic Activities within the European Communities was compiled. (The Eurostat Concepts and Definitions Database)
 
The NACE evolved from “Classification of industries established in the European Communities,” or NICE, which was developed between 1962 and 1963. In 1965, to cover all commercial activities, the classification of trade and commerce in the European Communities, or NCE, was created. In 1970, the first NACE, or General Industrial Classification of Economic Activities within the European Communities was compiled. (The Eurostat Concepts and Definitions Database)
  
====Structure====
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===Structure===
  
 
The NACE has 17 sections, 31 subsections, 60 divisions, 222 groups, and 503 classes. (The Eurostat Concepts and Definitions Database) Essentially, the NACE adds two major categories to the ISIC system: “Research and Development” and “Recreation and Culture,” which was under “Other Community Service” in ISIC.
 
The NACE has 17 sections, 31 subsections, 60 divisions, 222 groups, and 503 classes. (The Eurostat Concepts and Definitions Database) Essentially, the NACE adds two major categories to the ISIC system: “Research and Development” and “Recreation and Culture,” which was under “Other Community Service” in ISIC.
  
====NACE’s classification of NGOs====
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===NACE’s classification of NGOs===
  
 
The NACE, like the ISIC, does not categorize organizations that receive half or more of their income from governments in the nonprofit sector. The sources of funding are also used to categorize the services provided by an establishment. If resources are obtained from charitable organizations, for example, the services provided by the establishment are considered to be nonprofit. Furthermore, nonprofit organizations have to provide services, which are considered “non-market.” These include administration of cemeteries, social work, religious activity, and tourist information. (Salomon and Anheier 1992)
 
The NACE, like the ISIC, does not categorize organizations that receive half or more of their income from governments in the nonprofit sector. The sources of funding are also used to categorize the services provided by an establishment. If resources are obtained from charitable organizations, for example, the services provided by the establishment are considered to be nonprofit. Furthermore, nonprofit organizations have to provide services, which are considered “non-market.” These include administration of cemeteries, social work, religious activity, and tourist information. (Salomon and Anheier 1992)
 
 
 
  
 
===National Taxonomy of Exempt Entities===
 
===National Taxonomy of Exempt Entities===

Revision as of 09:45, 4 August 2008

Introduction

There are four general schemes used to classify Non Governmental Organizations. These include:

  • United Nations International Standard Industrial Classification (ISIC)
  • General Industrial Classification of Economic Activities (NACE)
  • National Taxonomy of Exempt Entities (NTEE)
  • International Classification of Nonprofit Organizations (ICNO)

These are commonly referred to using their acronyms provided above. This article will attempt to provide a comprehensive review of these classification schemes.


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