Dear Toni,
In general, the HR discipline (domain knowledge, hands-on experience, and skills) can be easily transferred from one industry to another (from manufacturing to NGOs) but with customization and alignment for the right attitude and a competent HR practitioner.
However, there are still challenges experienced by HR in NGOs that may or may not exist in the commercial world.
At the onset, we need to understand that organizations exist to achieve different purposes. A manufacturing outfit is an assembly of different elements: machines, tools, material, people, and information to produce a physical product to meet both the commercial needs of the customers and the organization (monetary gains).
Most "Faith or Religion"-driven NGOs are designed and structured as "Operational Ready NGOs" for development-related and relief-oriented projects. They may also advocate for a religious cause (this is a critical deciding factor for potential new joiners as like-minded individuals result in a better-fit situation that spells increased success).
Because of this fundamental difference, even a common HR discipline will be a "world of difference" (quoting Raj).
People
Raj is spot-on with his observation about "people" within "manufacturing & NGO". People in manufacturing are usually made up of lower-educated employees (not being biased here) and with strict policies, procedures, and fair enforcement, may be easier to manage. These people are mainly motivated by money.
There are basically two groups of people within NGOs – the professionals and the support staff. The professionals come from diverse backgrounds, cultures, regions, and countries; they are domain experts in their own areas (e.g. doctors); may be volunteers; highly committed to the aims and principles of the organization; self-serving and do not mind receiving lower pay. How then can HR create a "melting pot" to achieve a cohesive and intercultural organization in order to motivate these self-serving resources?
The support staff, which usually comes from within the local community, may, like the people in manufacturing, work to earn a living (it is a known fact that NGOs' pay is lower than the commercial private sector). What then are the HR strategies (for reward, training & development, career development, etc.) to recruit and retain the best talent with a limited budget in NGOs? (Last week, I facilitated a focus group discussion among a group of non-profit organizations (welfare homes, halfway homes, hospices, and community hospitals) in Singapore; the two biggest challenges faced are recruitment and high turnover, due to the lack of rewards, training & development, career development, etc.).
Funding
Most NGOs are non-profit organizations, and funding usually comes from fundraising efforts, grants from international institutions or national governments, and private donations. Total Governance & Compliance are therefore two key success pillars for NGOs. Policies, systems & procedures must be formulated, implemented, and enforced without a single lapse. Reporting in the form of documentation becomes a massive chore for the administrators.
Others
During fundraising events, the whole organization (including HR) will be involved, on top of the daily HR operations; NGOs usually have a very lean structure, therefore multitasking cannot be avoided; Recruitment is no longer about competency, skills, knowledge, experience, etc... Recruitment in NGOs is very much driven by this element called "PASSION FROM THE HEART"...
Regards,
Autumn Jane