How successful Nonprofit Chief Executives Should Operate
By: Eugene Fram
Successful nonprofit chief executives, like those in the commercial positions, should share similar perspectives and beliefs. Author Jeff Haden writing in the June 25th issue of INC Magazine. about for-profit executives suggests, “9 Beliefs of Remarkably Successful People.” Following is his list and how I see how his ideas may apply to chief executives of nonprofit organizations
Nonprofit CEOs & Board Directors: How Expert Is Your CFO?
By: Eugene Fram
When hiring a chief financial officer (CFO), nonprofit organizations often find themselves with a major challenge, since many financial and accounting functions are identical. To compete, the organization may need to offer higher salaries that are somewhat competitive with for-profit organizations. Consequently, some trim the level of expertise required to fill the position. This is a dangerous move, especially if the organization is growing. Also the current CFO, if hired five or ten years ago, may not be up to date and make a major error that will harm the organization’s reputation, leading to a board restructuring and/or firing the CEO. (more…)
Attn. Nonprofit Board Recruiters: Marketing & Sales Are Not The Same!
By: Eugene Fram
What are the differences and what do these background differences mean when a nonprofit board concludes that a person with a “marketing background” needs to be added to a board. !
If the nonprofit board needs a person help define and/or segment a market, a director with a strong marketing resume is needed. For example, if a teen social center finds that its clientele is shifting from one ethnic group to another, a marketing person can help with the research to determine the overall differences between the two groups. Then a marketing plan can be established to show how the organization can help solve the problems being faced by the new ethnic group.
Assume the board has a good knowledge of its market but has a critical need for action in the fund development function, and then the need is for a director with a strong sales background. This person can help with planning fund raising events, provide techniques for “making the ask,” educate senior management and directors on the fine points of presentations to senior business executives and, in general, help spark the fund development effort. However, some of the suggestions might seem to be “outlandish” to a conservative nonprofit board. For example, it took me two years to establish a highly successful annual fund raising dinner for a human service nonprofit.
Another background to consider is a person with a marketing communications (often called Marcom) person who can assist with the website, developing print promotions and advise on communications to stakeholders and staff.
In nonprofit board recruiting, a person with “marketing” background can vary greatly. Be sure to define specifications.
Time-Compressed Non Profit Directors – Recruit & Retain Them!
By: Eugene Fram
Every nonprofit board has had the experience of having a board position open and being unable to fill it with a highly qualified person. The usual response from qualified candidates is that he/she is too busy. However, the real reasons, never one if speaking privately, are that they perceive the nonprofit decision process to be too slow, board agendas are loaded with minutiae, presentations take up more time than they should, discussion are not focused, etc.
Following is a list of selling points to such people, (!<–more–>) if a board can deliver on them!
Blog Site: http://bit.ly/yfRZpz
How Nonprofit Board Members/Management Can Make Sense of Sustainability
By: Eugene Fram
I recently read an article published in April, 2011 issue of the “Nonprofit Quarterly” by Jeanne Bell, titled “Beyond Financial Oversight: Expanding the Board’s Role in the Pursuit of Sustainability.’ I think the suggestions in it will be of interest to nonprofits whose budget expenditures are mainly centered around staff and programs and less on maintaining material & real estate.
First, the article calls (more…)
There isn’t a nonprofit director or trustee who wants to be personally financially liable for his or her association with a nonprofit director led or trustee led organization. Those persons currently holding one or more of these positions, or is considering one, should be able to answer the following questions (more…)
Leader’s Guide for Policy Vs Paper Clips–Third Edition
by Dr. Eugene H. Fram, Professor Emeritus
E. Philip Saunders College of Business Rochester Institute of Technology
1 West Edith Ave (A103)
Los Altos, California 94022 eugenefram@yahoo.com | 650-209-5724)
President of BWB Solutions, “Nonprofit Board Crisis,” April 5, 2011
Copyright 2011 by Eugene Fram
Using This Guide
The third edition of Policy vs. Paper Clips can be effectively used as a discussion vehicle for one-day executive seminars on NONPROFIT GOVERNANCE targeted to chief executives and board directors.
The book’s strength is based on recognizable problems and opportunities covered within a compelling storyline. (more…)
What can a nonprofit board of directors do about “displaced directors”?
Displaced directors are board members who can’t adapt to a more modern board model or a new CEO and management group. Traditionally, they want to be involved in operations, a few, at the extreme, want to micromanage the CEO.
Obviously, some of these people will resign, but what can a CEO or board chair do (more…)
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. (more…)
Nonprofit Board Members & Managers – Are you aware of the Federal Intermediate Sanctions Act?
I have been surprised by the number of people, holding nonprofit board and management positions, who are totally unaware of this piece of legislation. (IRS Code – Section 4958)
The act applies to nonprofit organizations. As I understand it, the act states (more…)
Nonprofit Management 