Success at Succession Planning: Board Leadership

Think Tanks are worry-warting over the next wave of nonprofit executives to take CEO positions when the current crop of Baby Boomers all retire. Worrying over this is not time or energy well spent. Board search committees will not have to look very far to find competent, capable leaders in the X and Y Generations. They are right there in front of our eyes. They may think differently, they definitely are coming from different experience, but they are bright, insightful, full of beans and ready to go when given the chance. I see a number of these younger folks in my graduate level marketing and fundraising classes at Northeastern University in Boston. I read the tweets and blogs of the X-ers and Y'ers on the Internet.
Look out world, here they come.
I am more concerned with what I see on boards of directors of these same nonprofits, worrying over executive succession. They have a leadership vacuum right on the board. They keep asking the same volunteer to serve "just one more year" (how much is too much?). There are things that can be done to remedy this situation. It takes some work. So lets look at some steps nonprofit boards can take to get folks moving up the leadership track to chair or preside over the board of directors.

• Term limits. I recommend two or three three-year terms of service on a board. This creates a continuous rotation (with a set number of members rotating off each year) of members leaving, new members arriving. If the same group of guys (some boards still have some work to do on gender and race diversity) are sitting on the board for ten, twenty years, the nonprofit runs out of capable leaders prepared to take charge.
• Leader orientation. The nonprofit CEO works with current board leadership to design an orientation for newly elected leaders, so they get the lay of the land. So they understand the parameters of leadership. So they are clear on the CEO role and how that is different fom the board chair role.
• Active working committees. The finance, progam, development, marketing & communication committees (perhaps one or two more) have real work assignments from the board, meet regularly (but not too often), and stay in touch so agreed-to work gets done. The committees are great proving ground for up-and-comers. And they consist of some community members who are not on the board, grooming for membership down the road.

Staff and volunteer leaders can see leadership potential in new board members within the first six months, or year at most. These are people eager to take an assignment...well, willing if not really eager. They get their work done on time, they have thougtful comments at meetings, they don't try to take the nonprofit down a road it's not ready or capable to travel.

So. If you're finding yourself in a maze, wondering "where oh where will the next board chair be?" it's time to put some practices in place that'll get a smooth flow of energy moving through your organization.

In my experience as a nonprofit executive with the American Lung Association, and in my consulting work currently, I see clearly how these steps work advantageously. For more detailed references, some tools to help, feel free to contact me at s.p.99smith@gmail.com.

Attending to succession planning for the nonprofit board of directors is time and energy well spent.

Steve Smith is Principal of It's The Results, LLC. This practice focuses on board development, strategic planning, and fundraising.

2- 4- 6- 8: How We Gonna Communicate?

I hope you've de-soggified from last weekend's torrential rains (particularly if you live and work in the mid-Atlantic States or New England). The sun has been good to us, we've mostly dried out. Some folks still don't have their power back, and some towns are still bailing out. I and my readers wish you all well. Hope you are finding help. Let us know if particular nonprofits stepped up in your community and deserve a special shout-out.
If you tweet on Twitter, give those great helping NPO's a #CharityTuesday hashtag. Regular contributors/followers on Twitter know about this, and look each week for a nonprofit to support based on tweets they receive. This is why every nonprofit should be working Twitter, Facebook, You Tube....various social media to extend out your network.
This week, I want to talk with you about the newsletter.
1. Use social media.
2. Communicate with a newsletter.
On a regular basis, let your followers know what's cooking at your nonprofit. How your primary customers are finding your service, employing your service, benefiting from your service. Some newsletter tips just for you, because you are special:

• Publish regularly: monthly is good. Your volunteers, primary customers (those who use your service), donors like to know what's up. Most of those people feel a sense of relationship with you, with an employee, with a board member. They feel the connection. They appreciate your effort of staying in touch.
• Highlight upcoming events. Your readers are interested in meetings, special speakers, special events. Repeat these each issue. Those who follow you, who make the link, will get the information on their calendars.
• Print or e-mail? Use e-mail. Use Constant Contact: the newsletter is embedded in the message. No attachments to mess with. Nice graphic design, if you like. Some of your followers, perhaps donors and/or primary customers over age 60 prefer snail mail. Limit the amount of snail mail. It's a green thing (that carbon footprint thing).
• Ask for letters, short articles. Print occasional pieces from your readers. Ask for photos. Link these to your website so folks can find back issues, point friends to your website to read their stories, see their photos.

While you're doing your newsletter thing, you're also building community in your nonprofit. Making the communication two-way, making the newsletter interactive, you're building your network, reaching new people.

Share your comments on this blog if you like. Or if you seek private contact, you can reach me directly at s.p.99smith@gmail.com, check my website www.itstheresults.com, tweet me @STEVENETWORK.

A Shot of Red Bull for the Board Meeting

Here we are, counting down to the first day of spring, looking for that energy boost to get spring cleaning underway.
Coming out of our winter hibernation, it's a good idea to check in on the energy level for our board. Are meetings lacking some zip? Are our financial numbers not quite where we'd like to see them, but in need of some constructive attention?
It's tough. Rumor has it we're moving out of recession and recovery is just around the corner.
Right.
For the moment, we have some work to do, some tough decisions to make and, we're struggling to find the energy...to get all members of the board out, at the meeting, coming ready to engage in what can work for us to get us over the hump.
Cans of Red Bull probably aren't really what will do the trick.
But what the heck. Maybe have a few cans on the refreshment table to perk some interest, get a chuckle, maybe provoke a lecture on healthy diet from the board scold.
Here are some tips that can provoke a needed jolt:

• Put a story on the agenda. Ask a person or volunteer who benefits from the service you provide, share a story about the value you deliver.
• Shake up the line-up. Oral reports at the board meeting? Keep these at a minimum. But if there's one or two that will be requiring board action, ask the committee chair to designate a member on the board to give the report, or augment the report. Engage more members in the process of the meeting!
• Sweeten Up the refreshments. Ask a member if they'd bake or pick up from a bakery a special treat for the members to enjoy. A bit of sugar can add energy. Something special can add a smile, share some appreciation.
• Allow for some "Generative" time. Set aside a fifteen-to-thirty minute discussion time. No Roberts Rules. A conversation around something real happening in the community or the economy that'll be good for all to know, that impacts decisions, adds to the board's knowledge base. Get into the habit of asking different members of the board to come prepared to lead discussion time.
• Did someone say fundraising? What can the board do to stimulate revenue? It can't always be about cutting expenses. There needs to be some creative, new effort by members to devise a way they can add to the treasury. Will someone step up, propose an idea with some forethought/planning, and solicit members to pitch in?

So, let's find some energy sources to stir things up a bit, leave members thinking as they head for the door following adjournment, "Now that was a good meeting!"

An Act of Inspiration

I don't know where you were Super Bowl Sunday about 9:00 when CBS Sunday Morning came on. It's among my two or three appointment TV times. On that Sunday, I was blown away by a segment entitled, "Selling Your Home for Charity." Yes, you read that right. The Selwen family of Atlanta, Georgia sold their home and donated $800,000 of the proceeds to charity.
Hannah is the daughter in this family, and she couldn't reconcile seeing homeless, hungry people around her while living in the lap of luxury. So, she got the ball in motion.
Americans are generous. On average, we give 2.2% of what we earn to charities of our choice, including our church, synagogue, mosque...wherever you may go to worship. In 2008, our charity accounted for $307 billion (Giving USA, 2009).
The Selwen family has written a book, "The Power of Half." They took half the proceeds from the sale of their home and donated it to the Hunger Project; specifically, to build a mill in a town in Ghana. They used the other half to buy a home for themselves a few blocks away from where they once lived that occupies about half the footprint of their first home. In their book, they describe how the came to this act that goes beyond our understanding of "generosity." A twist on the saying, "build it, and they will come."
This Act of Inspiration came from a personal experience. Hannah Selwen had a philanthropic urge, and recruited her family to act on it. I wonder if there was some deep-seated sense for doing the right thing that drove her to act.
Stories like the Selwen's are good to hear.
I advocate nonprofits I work with to find their stories. How the program services they provide have changed peoples' lives for the better. How, if they could do a bit more, they could reach and serve a few more people. So the mission and the services provided can tap into the philanthropic spirit that lies within each of us. Well, at least 75% of us.
Henry David Thoreau said, "What is the use of a house if you haven't got a tolerable planet to put it on?" Indeed.
In the same segment, CBS also interviewed Willie Mae Dorsey, a checkout clerk at an Atlanta supermarket. Willie Mae told CBS she makes $25,000 a year and gives 10% of what she makes to charity.
Willie Mae is an inspiration.
We have lots of inspiring stories. Find them. Tell them. They bring out the best in people. They give people good reason to want to join you in making a difference in the lives of people you serve.
Use this link to see the CBS Sunday Morning segment: http://bit.ly/bx1eHd.
To check out my consulting practice: www.itstheresults.com.
To follow me on Twitter: @STEVENETWORK.
e-mail: s.p.99smith@gmail.com

Getting Past the Annoying and On to the Work

Oh My God. What is more annoying than a board meeting when a member, with all good intentions, wants the group to consider this fabulous new idea that'll raise lots of money that no one ever heard of before? Or the person with the idea that they learned from another nonprofit that's so sweet, it's raising thousands of dollars and all we need to do is hire this event company to stage this great thing? That everyone else is doing and killing? Hello! Maybe the market is super-saturated with this event (a walk in the spring, an auction in the fall, a donate-your-car deal).
If the same person is continuously bringing the flavor-of-the-month event to the table for all to ooh and ah over, can we channel some of that energy constructively in an activity the board has already agreed it wants to do?
Don't get me wrong.
Sometimes, Mr or Ms Energizer Bunny may be bringing a good idea for consideration. But before we launch a new event (here we are in February, and Ms Bunny wants us all to "turn-to" and put on a great walk in May! Sure!) can we see a business plan? A budget? How many volunteers it'll take to get this off the ground? A time table? For Pete's sake!
You may recall my post (#15 Feb 9) Sometimes You Gotta Tack to Stay the Course. Yes. There are on occasion excellent ideas that come to us. So we want a systematic way to sort out the wheat from the chaf and put our energies where our strengths lie.
Some thoughts to keep in mind when it's $-raising we need to do, but we don't seem to be able to focus:

• There should be a development committee with people possessing skill in marketing, communication, sales, heck maybe someone who brings some real fundraising experience to the table.
• If we can't attract the muscle to build a development committee, seek short-term commitment to a work group that will review fundraising ideas, form a plan for the board.
• In board orientation, and in the annual skill update for all board members, review the strategic role of the board and the way ideas come to the board, and how decisions are made.
• The chair of the board gets some skill -building before taking the reins. Check your State nonprofit association or community foundation for low-cost workshops for board leaders.
• Find the right experienced board member who can informally take the Energizer Bunny under his/her wing and help the wayward soul get religion on how to be a good board member.

There are numerous experienced, skilled consultants out there who can help you Get Past the Annoying. You can check www.nonprofitconsultantsnetwork.org for Greater Boston Consultants, you can check NH Nonprofit Association www.nhnonprofits.org and check their directory, you can contact Executive Service Corps - NH www.nonprofit-consultants.org. All good resources. I'm affiliated with all of these (of course they're good!). Board leaders should consider the value of investing in the development of the board, just as the board must consider investing in the development of its CEO and staff.

If we aren't investing, committing to continuous improvement, the fruit will wither on the vine.

Steve Smith, Principal, It's The Results, LLC. website: www.itstheresults.com. Twitter: @STEVENETWORK.

Charity Begins at Home

A simple statement, "Charity begins at home" can take on many meanings in various contexts. I believe most of us will agree that taking care of one's own self is a good idea. It doesn't necessarily mean at the expense of our neighbors.
It's interesting that different sources attribute the phrase to different authors. Trivia-Library.com claims it belongs to Sir Thomas Browne, a noted British writer, in 1642. Wikipedia gives attribution to John Wycliffe who in 1380 said, "Charity should begin at himself." Sure. Whatever.
Nonprofit leaders should think about the Charity Begins at Home sentiment. It likely has some impact right now in the USA when millions are still unemployed, and where a substantial % of the unemployed are in the lowest 20% of income. Yet, in spite of high unemployment Americans stepped up and donated tens, hundreds of millions of dollars, many in $10 text messages, in response to the Haiti earthquake. We appreciate the American spirit: so many, even in times of personal deprivation,get beyond "Charity Begins at Home" and find a way to pitch in. This says much about the character of the people who are our neighbors, friends, family. We take sharing seriously. We recall biblical stories about the poor family who welcomed the stranger and shared their meager meal. We relate.
So, in the midst of this, why is it that so many members of boards of directors of nonprofit organizations have a hard time reaching for their checkbook or credit card when they are asked to support the very nonprofit they are part of? I find in my board development work, that when we broach the subject of board giving, and it's not settled practice, it's a thorny issue to address. But when we do, the majority buy in and make the gift.
In a sense, if a person serves on the board s/he is "family." And if we are family, get the concept that Charity Begins at Home. Over half of all boards have a policy about member giving. And I dare say that most give gladly. Some say, "give 'til it hurts." On a recent CBS Sunday Morning segment on giving, a United Way executive said "give 'til it feels good." Sure. But do give.
When leaders of the nonprofit, or public benefit organization, go calling on a prospective donor to ask for support all the askers must have made their gift first. Because donor prospects will frequently ask, "Did you make your gift yet? Great! Can you tell me how much? Should I match your gift?"
So herein lies another layer of meaning to "Charity begins at home."
The board is the hub of the organization. And as we build relationships with folks who occupy the "spokes" territory, and as we ask these friends to join us in financially supporting our mission and our cause, it's important that we the board are giving, too.

Sometimes You Gotta Tack to Stay the Course

A real challenge for executive directors and their nonprofit boards is to find the balance between rigidly sticking to business and chasing after "opportunities" advocated by a persistent advocate. Seeking the "flex zone" in between is part of the art of nonprofit success.
Yes, we have a strategic plan and an annual budget and work plan, but...should we remain resolute and stick to the plan no matter what?
Well, it depends.
When the right opportunity comes knocking, the nonprofit should be flexible enough to open the door, check it out, and decide if this is just a distraction or if it's something that can add value to our mission work.
A good sailor will tack her course when the wind shifts.
On the other hand, the nonprofit doesn't want to go chasing after every "opportunity" that comes its way.
It's this kind of thinking that separates the effective from the defective.
It brings to mind the "Generative Thinking" concept described by Chait, Ryan & Taylor in Governance as Leadership (Wiley, 2005), presented in Power Point at The Boston Foundation a few years ago http://bit.ly/c1rh38. Boards that take time to have conversations, drawing on change in their community as well as broader societal change, prepare themselves to make knowledge-based decisions and less prone to be distracted by the inconsequential.
In my work with boards of directors through It's The Results, LLC, the first objective usually is to get the board's work more focused. Focused on the mission. Focused on the customer. Focused on the market they're working in.
But. Once the board and the staff leadership team are in sharper focus, the value of "flexibility" needs to be applied. By applying the intelligence of the group to the work (board: strategic, staff: operational) and bringing in market forces that are at play and are worthy of consideration, leadership will know when to stay the course, when to tack to improve direction to the desired goal.
Of course there are no guarantees. The leaders may make mistakes. No. The leaders will make mistakes. The idea is not to make the same mistakes over and over again. Bring sound data and informed discussion to the table and the liklihood of success will improve. Markedly. And you can take that to the bank. Just be careful which bank.