Executive Director: When Is It An Appropriate Title?
By Eugene Fram
An Executive Director title compared with a President/CEO title for a nonprofit’s chief operating executive is a debate that still pervades the nonprofit governance discussions. Following is a list of situations when the Executive Director tile is appropriate.
To Whom Should Advisory Boards Provide Service?
By: Eugene Fram
I have established or served on a number of nonprofit advisory boards. Based on these experiences, I suggest that board members, along with the CEO (more…)
Should All Board Members Be Required to be Involved With Fund-Raising?
By Eugene Fram
No, just those (more…)
How does a president/CEO turn down advice about operations or internal structure from the board.
With difficulty. It all depends on the type of culture that has been established by the board. Ideally, the president/CEO should be comfortable saying, (more…)
Can a board member ever hold a staff position in the same nonprofit organization?
By Eugene Fram
Sometimes a board member acts not as a director but as a different kind of volunteer. For example, Director Z has a particular accounting skill and wants to utilize it to help the nonprofit. The CEO agrees.
In this instance the board member is not a board member, but a volunteer working under the direction of the CEO. (more…)
Assessing Nonprofit CEO Performance
By Eugene Fram
CEO assessment should be very thorough and take place annually. That doesn’t mean that it always has to take place at one time. In some situations, assessment occurs throughout the year, depending on how the committee members decide to divide their tasks.
After completing the entire review, the assessment committee should make its report to the full board. If the review takes place periodically throughout the year, board updates follow a similar pattern.
(more…)
How Often Should a Nonprofit Audit Committee Meet?
By Eugene Fram
Under “usual” conditions, the audit committee should meet at least twice a year, once just before the annual audit to understand how the audit is going to be conducted and then after the auditor’s management letter has been received. If other major issues arise, such as a major change in the organizations pension plan, more meetings will be required with outside counsel , experts in the area being discussed.
Part of each meeting with the external auditors is held in executive session. This is one of the few times that management is excluded from a meeting. Some boards, in recent years, however, devote some part of most meetings to an executive session. (more…)
Using Imperfect Metrics to Evaluate Organization and the CEO.
BY: Eugene Fram
At the beginning of the year, the directors conducting the evaluation and the chief executives agree on jointly developed goals and outcome expectations. The full board must ratify the goals, which should be achievable but challenging. Some goals are clearly quantifiable (e.g. membership data, revenues) and readily available.
By: Eugene Fram
The CEO’s involvement is central to the success of the organization. Here’s where that issue of trust comes into play. For the full board to meet without its top executive really says, “We can’t trust you to run this place.” (more…)
Note: This article has received constant attention since being published in May 2010. I am reissuing it here in the event some new readers might have missed it.What’s in a Name? Benefits of the President/CEO TitleInsights into Nonprofit Governance and Nonprofit ManagementBY EUGENE FRAM Over the last 100 years, senior managers of nonprofits typically have held the executive director title. For about the last 30 years, many nonprofits have changed the title to president/CEO, following a common business practice. Many more nonprofits need to consider the same change to obtain some subtle but useful organizational benefits. A recent study reports that only 22 percent of trade association chief staff officers hold the president/CEO title. For professional societies, the proportion is only 9 percent.1 Many chief staff officers in larger faith-based human service and health-related organizations still hold the executive director title. Even the senior manager of Carnegie Hall in New York City still carries the executive director title. A wide range of nonprofits use the executive director title: churches, human service agencies, trade associations, and medical facilities. (more…) |
Nonprofit Management 