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Steering the Third Sector: The Power of Governance

Author

Listed:
  • Augusto Simões

    (University of Aveiro)

  • Humberto Ribeiro

    (University of Aveiro)

Abstract

The Third Sector, within the scope of the Social Economy, plays a relevant role in Europe, being considered a very relevant form of social support. The Brotherhoods of Mercy, or Santas Casas da Misericórdia, are good examples of Non-Profit Sector organisations, with a long history and relevant role in the Portuguese society, which aim to meet social needs and provide charitable services. Governance for the Social Economy is not just a formal requirement, but a strategic pillar that underpins stakeholder trust, operational efficiency, financial sustainability and the ability of social sector entities to fulfil their mission effectively, with transparency and accountability often highlighted as the most important elements to achieve these objectives. In this book chapter, the importance of governance robustness for charities is discussed, reinforcing the relevance of credibility and legitimacy for social sector entities, enhancing the maintenance of an improved image standing the society, while promoting operation’s integrity.

Suggested Citation

  • Augusto Simões & Humberto Ribeiro, 2026. "Steering the Third Sector: The Power of Governance," Palgrave Studies in Cross-disciplinary Business Research, In Association with EuroMed Academy of Business,, Palgrave Macmillan.
    • Handle: RePEc:pal:pscchp:978-3-032-26496-1_16
    DOI: 10.1007/978-3-032-26496-1_16
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