by Susan Detwiler | May 6, 2014 | collaboration, governance, leadership, nonprofit, Standards
We all know that getting the right board members around the table is crucial. That’s probably why there are thousands of articles and blog posts that talk about recruiting new board members.
Some focus on the “attribute grid†or “board matrix,†or “skills grid.â€Â That’s the grid that helps you identify the skills and attributes you want on your board, relative to the skills and attributes you already have on your board, and where the gaps are. Standards for Excellence™  has one for its members, as does KPMG  and many others.
Then there are articles that tell you to throw the infamous grid out the window, like Blue Avocado, in their article ‘Ditch Your Board Composition Matrix’. These make the very valid point that just having a lawyer on your board doesn’t mean a darn thing, if she’s a divorce lawyer and you need someone with real estate law knowledge. Or if he’s a tax accountant, and you need someone who can oversee the nonprofit accounting process.
True confession: In the past, I have been a proponent of attribute grids, while leaning more towards the Blue Avocado model – what are we trying to accomplish? Who do we have, who do we know, who’s in our corner who can help us accomplish this? As a matter of fact, I still think that way. But there’s a glaring omission.
The thing is, skills don’t make a board, people do. And people have basic qualities that can make a board exceptional – or dysfunctional. Board members who don’t respect the Executive or each other are toxic. Board members who don’t care about the cause won’t do anything to further it. Board members who live in the past – ‘tried it once, didn’t work’ – don’t consider how the world has changed.
So no matter what other skills a board member has, she must have these:
• A passion for the cause
• Respect for others
• Thoughtful ability to consider issues, and to articulate those thoughts
• A sense of responsibility for making things happen
• The vision to think beyond today
Passion for the cause is first and foremost. Why waste a seat on the board with someone who doesn’t care enough to really work for your success?
Respect is probably next. I’ve experienced too many boards where board members belittle the executive or a staff member in front of the board or their peers. And I’ve experienced other boards where discussions devolve into a shouting match between two members who don’t even try to listen to each other. Time is too short and your cause is too worthy, to waste a seat on a disrespectful board member, no matter how much money they might give.
Thoughtfulness – the ability to really consider the issue at hand and weigh its ramifications for the organization – is a rare gem. The best board members ask questions that cause you to think through your own responses as well. If a board member can’t stop to think about why he is in favor or against an initiative, then you’re allowing his personal past experiences to automatically have a vote, regardless of where those experiences have led.
Passion, respect and thoughtfulness are great, but responsibility is where the rubber meets the road. When it comes time to act, you need board members who take responsibility for ensuring that promises are fulfilled. Whether it’s connecting the executive with the governor, reviewing the audit, or making calls to supporters, promises don’t cut it. Board members must take responsibility. As sung by Eliza Doolittle in My Fair Lady, “Don’t talk of love, show me!â€
Finally, board members must be able to envision the future and think beyond today. So many decisions affect both today and tomorrow; considering only today’s issue jeopardizes your future. Faced with an excess of income (it does happen!), do you put the funds aside for tomorrow or spend it today? Do you invest in building infrastructure or in professional development so tomorrow you can serve more clients? Faced with a significant deficit, do you cut back programs or invest in development staff? Envisioning the future ramifications of today’s decisions is imperative for your future.
Passion
Respect
Thoughtfulness
Responsibility
Forward thinking
This is the final checklist when weighing the value of a new board member. Without these five qualities, you can have the best real estate lawyer, the best CPA, the best HR administrator, each at odds with each other, unable to make a decision and unwilling to connect you to those who can help you change the community.
So go ahead, consider what you want to accomplish, and seek people who are able to make it happen. But before putting them on the board, use this checklist. Ask yourself, do you want to work with this person?
Have some thoughts to share on this subject? Get in touch with me at sdetwiler@detwiler.com.
by Susan Detwiler | Mar 20, 2014 | leadership, management, nonprofit, Standards, work
Does the quality of the Executive Director make a difference?
You bet it does. Or, at least in the corporate world, a great CEO seems to have an outsized impact on the strength of the corporation.
Walter Frick, reviewing work by professors Quigley and Hambrick at Penn State and University of Georgia, makes the case that in corporate America, when business is more dynamic and less predictable, the CEO has a disproportionate effect on the success of the corporation. They looked at data spanning more than 60 years – the equivalent of 18,000 firm-years, that is, the combined years that the firms had been in existence – and found that the effect of the CEO almost doubled from 1950-2009.
What does this mean for the nonprofit world? Look carefully at this quote from Frick:
“an increase in business dynamism has amplified the impact of CEOs over time, but that effect is at its highest in companies where industry and economic constraints still limit the firm’s options.â€
While I wouldn’t make one-to-one comparisons between for-profit and nonprofit organizations, you can’t deny that by its very nature, the nonprofit world is continually under economic constraints, with limited options, facing increased competition for support, higher needs, and declining resources. How well you manage these constraints is a function of the Executive Director and the Executive-Board partnership.
One of the most important functions of a Board of Directors is to hire, evaluate and, if necessary, replace the Executive Director. The quality of the partnership between the Executive and the board has an enormous effect on whether the board’s vision is achieved, or whether the board and Executive spend most of their time on minutiae.
Hiring well, and putting in place a sound evaluation system based on relevant criteria, can make a huge difference in the future of your organization. And, if there is any similarity to the for-profit world, it is even more important in uncertain times.
Consider it an investment in the future of your agency.
For more hallmarks of transformational boards, or to find out more about achieving nonprofit Standards for Excellence™, get in touch. Let’s have a conversation.
Susan Detwiler
by Susan Detwiler | Feb 24, 2014 | governance, leadership, mission, nonprofit, Standards
How’s your Board experience?
Should you delight your board? Should you not? Is this even a question you ever contemplated?
“Stop Trying to Delight Your Customersâ€* and “The Secret to Delighting Customersâ€*
were both published by Harvard Business Review: the first in 2010; the second in 2013. Very different titles, but very similar premises. A satisfied customer is one whose whole experience is satisfactory. Not just a single episode of customer service; or a single phone call experience. It is the gestalt of the experience with the company that either keeps a customer loyal, or sends her away.
The same is true for Board experience. Have you seamlessly delivered what you promised your Directors or Trustees when they first joined the board?
Did you set out Board expectations before they accepted a Board position? Are you holding them to it?
Did you promise to keep them regularly informed? Are you delivering?
Did they expect to have meaningful, generative discussions about the future of your organizations? Are you creating an atmosphere so that can happen?
Were they passionate about your cause when they joined? Are you feeding that passion?
Did you tell them you needed their wisdom and insight to plan for the future? Are you actually using that talent?
In the course of two, four, six years of board service, there are bound to be times when a trustee’s experience on a board will be less than satisfactory. There are going to be times when finances are tight, or a capital campaign stalls, or an Executive Director leaves, or there are obnoxious people taking up board space (no, never!). But overall, have you made their Board experience worth their time and talent?
The nonprofit world focuses on the competition for dollars. But the competition for good Directors and Trustees is also fierce. Good board members ask hard questions before they join your board, and will hold you to the answers. But they’re worth their weight in gold, because with an engaged, passionate, knowledgeable board, you can aspire to higher heights.
But they’ll only stay if their Board experience keeps them coming back for more.
______________________________________________
*Read “Stop Trying to Delight Your Customersâ€Â
**Read “The Secret to Delighting Customersâ€
by Susan Detwiler | Jan 1, 2014 | governance, management, nonprofit, Uncategorized, work
“I resolve to do more (fill in the blank)…… in the coming year.â€
Congratulations! But what are going to do less of?
A simple and powerful tool for any manager, Do, Delegate, Discard is especially helpful to Executive Directors who are the lynchpin between the Board of Directors and the staff. It makes you focus on making the most of your time, and helps you make best use of the talent around you.
First, write down everything you are responsible for. Everything. That includes bringing in office snacks, managing the $5000 library fund donor and organizing the annual gala. Making thank you calls to major donors, reviewing the copier contract, meeting board members for coffee and writing the copy for the eight page monthly newsletter. Writing the development and communications plan, keeping the FAQs up-to-date, hiring, evaluating and firing staff and developing the employee handbook. Whatever it is, write it down.
Now, make three columns next to the list: Do, Delegate, Discard.
For each item on the list, decide if it’s something ONLY YOU CAN DO, something you can DELEGATE TO SOMEONE ELSE, or something that doesn’t have to be done, i.e., DISCARD.
Caution! Even if you think that only you can do it right, that doesn’t mean that only you can do it. This is where perfectionists stumble. Consider – an Executive Director earning $80,000 a year (plus benefits), and ostensibly working 40 hours per week (ha), is earning $48/hour. Does it really make sense for you to be the author of every article for the newsletter or to maintain the FAQs? Or should you be focusing on staff development, major donors and board interactions? If you honestly believe that only you can do the job, then mark the DO column. These items should be where your organization will derive the greatest benefit from your time.
Control freaks stumble when they contemplate handing off to a subordinate. Â Delegating is scary, but successful delegation ultimately pays off. Staff get the chance to shine and the satisfaction of being responsible for jobs well done. So into the DELEGATE column put reviewing the copier contract, keeping FAQs up-to-date, managing and writing the newsletter, reviewing lower level staff, drafting new handbook pages. It may mean time to train your staff, but developing your staff is ultimately what will make you – and your organization – even more productive.
Superwomen and Supermen stumble on DISCARD. There is a subconscious fear that you will be thought less of if you don’t do every. single. thing. But DISCARD may be the most powerful action you can take. It forces you to stop and think about why a job is done at all. Maybe the 8 page monthly newsletter should drop to 4 pages, or bimonthly, or not even exist. What purpose does it serve; would something else serve that purpose even better? Should stewarding the library fund donor be woven into the general donor stewardship program? Are all the board reports needed? Can you move to consent agendas? Should you drop the gala that nets $20,000 but has hidden labor costs of $50,000?
Deceptively simple, Do, Delegate, Discard is a powerful tool for managing your time, and empowering your staff. It’s a great way to begin the new year, and make room for all those NEW resolutions.
by Susan Detwiler | Jun 17, 2013 | philanthropy
Did you read the BBB, Guidestar, Charity Navigator letter about The Overhead Myth ? I did. And even as I cheered the message, it felt wrong. It was written to the wrong audience. The donors who commented were not convinced.
The same day I read Michael Schrage wrote in Harvard Business Review’s Good Leaders Don’t Use Bad Words, and I saw the problem; the authors were being lazy with their words. Instead of speaking to their audience’s needs, they were speaking to their own.
Nonprofits will certainly be better served if donors don’t focus solely on overhead as a measure of competence. But what’s the upside for the donors? Why should they care? That’s where the authors fail.
Donors should be looking for measures that demonstrate value to society. Are people’s lives being changed? How lasting is the change? How is the nonprofit making sure that it’s effective? What does it need in order to stay on track? These are the measures that donors should be looking at.
Instead of telling donors that overhead is the wrong measurement, we need to help them see the benefit of seeking alternatives.
Passion
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