nonprofit organizations

The Dangers of Board Micromanagement

The Dangers of Board Micromanagement

By: Eugene Fram

Accepted View of Micromanagement: “…Directors spend more time with the details of the operations instead of planning its short-term and long-term growth strategies. …
(http://linkd.in/1q84pMm)

The Need for a Micromanaging Board
Board micromanagement is an appropriate approach when either a nonprofit or for-profit is in a start-up stage. Financial and human resources are modest, and the directors often assume some responsibilities normally executed by compensated staff. The chief executive often has managerial responsibilities as well as a list of low-level operational duties. (more…)

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A Special Relationship: Nurturing the CEO-Board Chair Bond*

A Special Relationship: Nurturing the CEO-Board Chair Bond*

By Eugene Fram

Here are tips to assure the best possible partnership between the board chair and CEO.

Keeping boards focused on strategic issues is a major challenge for nonprofit leaders. One problem is that non- profit CEOs are leaving their jobs in droves, partly because they’re reaching retirement age and partly due to the increased stresses of the position. ** This leadership crisis is intensified by the fact that board chairs tend to have short terms (according to BoardSource, 83% stay in office only one or two years). Thus, nonprofit CEOs and board chairs need to bond quickly. For the good of the organization, they must come together swiftly and create a partnership that works. Here are golden rules for the CEO and board chair to follow: (more…)

Changing Nonprofit Boards – Overcoming Nostalgia.

Changing Nonprofit Boards – Overcoming Nostalgia.

By: Eugene Fram

In many US locations, there are several nonprofit organizations that are over a century old.  In contrast, only a handful of the Fortune 500 companies claim this longevity level.  However, when it comes to making organizational changes on nonprofit boards, < –more — > such as the board should set policy an leave operations entirely to management, board veterans often just don’t buy the idea.  

These persons feel that board members have to know operational details if the board is to assist the chief executive to achieve the organization’s mission.Some of these board veterans have nostalgic visions of how things used to be when the organization was a small one.  Others fear that if they give up their operational roles, the organization will not be the “family” or caring organization they perceived they knew.

If these directors are continuing to make good board contributions, the board chair and CEO need to try to persuade them that with growth, there has to be movements to meet changing times and to hire qualified managers and staff.   New policy challenges need to be developed for these veteran directors.  However, don’t be surprised if a few simply resign their board positions. 

Source: Policy vs. Paper Clips, Third Edition,  (2011), pp. 99-100

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