Donations

Unwritten Protocols for Directors Can Boost Nonprofits’ Effectiveness

id-100214085

Unwritten Protocols for Directors Can Boost Nonprofits’ Effectiveness

By:  Eugene Fram                                        Free Digital Photo

Nonprofit boards are governed by a series of obligations —some are clearly defined as legal responsibilities such as financial actions. Others, however, are less clearly defined and relate to people who are, in some way, associated with the organization. Guidelines to these diverse interactions are not typically archived in policies but are important to the overall professionalism of the board. They include consideration of its: board structure, internal operations, recruitment methods and leadership style. (more…)

Advertisements

How Prepared Are Directors for the Challenges of the Nonprofit Culture?

How Prepared Are Directors for the Challenges of the Nonprofit Culture?

By: Eugene Fram     Free Digital Image

Given that the typical tenure of a new board member is six years. And assuming that a new director’s intention is to make his/her unique contribution to the organization’s progress before he/S rotates off the board and is supplanted by another “new” director. With these factors in mind, I estimate that many volunteers enter the boardroom with little understanding of nonprofit culture. Even those who have served previously on business boards may initially spend valuable time in accommodating to the nuances of nonprofit practices and priorities before being poised to make contributions to the “greater good” that nonprofit create. Following are some areas that are endemic to nonprofits: (more…)

Once Again! Nonprofit CEO: Board Peer – Not A Powerhouse

Once Again! Nonprofit CEO: Board Peer – Not A Powerhouse

By: Eugene Fram

Some nonprofit CEOs make a fetish out of describing their boards and/or board chairs as their “bosses.” Others, for example, can see the description, as a parent-child relationship by funders. The parent, the board, may be strong, but can the child, the CEO, implement a grant or donation? Some CEOs openly like to perpetuate this type of relationship because when bad decisions come to roost, they can use the old refrain: the board made me do it.

My preference is that the board-CEO relationship be a partnership among peers focusing on achieving desired outcomes and impacts for the nonprofit. (I, with others, would make and have made CEOs, who deserve the position, voting members of their boards!) (more…)

The Succession Dilemma: Why Do Nonprofit Boards Fail to Plan Ahead?

The Succession Dilemma: Why Do Nonprofit Boards Fail to Plan Ahead?

By: Eugene Fram              Free Digital Image

There are many types of crises common to an organization. But one event seems to trigger a large proportion of the ensuing trauma. It frequently happens when a CEO or another top manager retires, resigns or leaves for other reasons.   The flow of leadership is about to be disrupted and there is no viable replacement for the departing executive.

This transitional panic happens in both for-profit and nonprofit organizations. The National Association of Corporate Directors (NACD) recently reported that 50 % of public company directors concede that CEO succession planning needs to be improved. * In the nonprofit environment, only 27% actually have succession plans to replace a suddenly departing executive. ** This demonstrates the low priority nonprofits place on over-viewing talent succession to prepare for unexpected vacancies.

Here are some insights (in italics) from the NACD report that are applicable to nonprofit succession planning, be it management talent overview or implementing the replacement process. (more…)

Nonprofit Policy Development & Operations Management – Crossing Boundaries?

 

Nonprofit Policy Development & Operations Management – Crossing Boundaries?

By: Eugene Fram

“Nose in- fingers out,” is the commonly used guide for nonprofit directors’ relationships to operations. Translated into terms of governance-management relations, it means that boards have an obligation to overview management impacts and outcomes, but they need to avoid micromanaging the operations of the nonprofit. This is a particular danger with nonprofits because micromanagement often seems to be in the DNA’s of nonprofit boards.

On the operations side, strong experienced nonprofit CEOs can tend to be overly impatient and can easily make strategic or policy decisions that are the responsibilities of the board. In fact, I have seen a few CEOs step over the boundary and develop and execute board style policies. (more…)

Stress Test Your Nonprofit Strategic Plan With These Guidelines.

Stress Test Your Nonprofit Strategic Plan With These Guidelines.

By: Eugene Fram                 Free Digital Image

Strategic plans need to be reevaluated as they are implemented. Left routinely attended only at year’s end, a nonprofit board’s long-range plans can quickly grow old during implementation. Following are four potential changes that nonprofit boards and managers can use to consider stress testing practice changes: The changes require those responsible to move: (more…)

Time-Compressed Non Profit Directors – Recruit & Retain Them!

 

Time-Compressed Non Profit Directors – Recruit & Retain Them!

By: Eugene Fram

Every nonprofit board has had the experience of having board positions open and being unable to fill them with highly qualified people. The usual response from qualified candidates is that they are too busy to be accept a board position. However, the real reasons, never voiced if speaking privately, are that they perceive the nonprofit decision process to be too slow, board agendas loaded with minutiae, presentations that take up more time than they should, unfocused discussion, etc. (more…)