The Role of Stakeholder Salience in Shaping Accountability: The Case of Non-profit Organisations in Saudi Arabia

Abstract

This research aims to examine the extent to which stakeholder salience and dynamics influence the discharge of accountability in non-profit organisations (NPOs) in Saudi Arabia. By adopting an interpretive stance, this research first utilised content analysis (Schreier, 2012) of annual reports from the 50 largest Saudi NPOs over three consecutive years, coded in MAXQDA and summarised using descriptive statistics, sentences counts, and a disclosure index, thereby mapping each item to the dimensions of the accountability framework. Secondly, 32 semi-structured interviews were conducted with managers, funders, regulators, beneficiaries, board members and local board representatives. Using reflexive thematic analysis (Braun & Clarke, 2021, 2022), the interview data were examined to explore how dynamics of power, legitimacy, and urgency are identified, categorised, and ultimately influence accountability practices of Saudi NPOs. The findings of the content analysis revealed that NPOs’ annual reports discharge accountability in multiple directions and dimensions. In terms of direction, there was a notable emphasis on downward accountability through extensive narrative content. In contrast, the dimension of managerial accountability emerged as the least represented category. The analysis also highlighted substantial variance in reporting practices among NPOs, primarily attributed to the absence of formal guidelines on annual report content. The interview findings highlighted a temporal shift in stakeholder salience groups, mapping the complex asymmetries within them and revealing that regulators have emerged as the most salient stakeholders as a result of regulatory reforms. Further evidence shows that each salient group encompasses layered and evolving accountability claims across distinct stakeholder categories. These shifting salience dynamics are shown to influence how NPOs discharge accountability across multiple directions and dimensions, and through a diverse range of mechanisms.