Crisis Management – What is the proper role for a nonprofit’s board of directors?

Crisis Management – What is the proper role for a nonprofit’s board of directors? 

Changes buffeting nonprofit boards of directors are increasing substantially.  At the top are the widespread budget cuts from foundations and governmental organizations, along with many individual donors reducing their traditional gifts. In addition, a sudden social change, reputation decline, or a fire/flood are events, which may change a board’s engagement style with management, staff and other stakeholders. 

A board’s style in such situations will depend on its seriousness.  With a minor event, management can be in the forefront of responding to the situation, and all that would be needed is board overview.  In contrast, a very serious event might require the board to make important management decisions daily. 

Should all nonprofit boards have a crisis management plan? Should the board have a risk management committee review prospective risks and to assume some leadership, if serious problems arise?  (Smaller nonprofit boards may have to rely on their national associations to offer broad templates, which can be applied locally.)

CEO & BOARD CHAIR ALERTS:  At the least, do you have a plan in the event the CEO is incapacitated or leaves unexpectedly for another position?  Do you need a detailed crisis management plan in place? 

My Blog:  http://bit.ly/yfRZpz

 

 

Advertisements

Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s