Nonprofit Succession Planning is Success Planning

Set Your Nonprofit Up for Success with Succession Planning

As I prepared for retirement, it was very important that my transition was not disruptive to the delivery of services to those nonprofit clients I was responsible for. For any service provider, the foundation for success is built on relationships. It was during meetings to introduce my successor to clients that I began to realize many of the chief executives I had the privilege to work with were, or fast approaching, retirement age. As such, I realized leadership succession is an issue for the nonprofit community.

Nonprofit Succession Planning

For any nonprofit, its Executive Director is key to the continued and future success of the organization. This is why planning for leadership succession is so important. As we develop our succession plan, we need to identify the characteristics and skills necessary to be effective as the organization’s Executive Director. An Executive Director must possess the following attributes to be effective as a leader.

Passion

Great leaders are passionate about the organization and its mission. The many responsibilities of an executive director often require long hours and a willingness to go above and beyond the basic duties of the position.

Strong Communication Skills

Executive Directors are the “face” of an organization. They speak on behalf of the organization to stakeholders and promote the organization to the community. They have the ability to:

  • They have good public speaking skills.
  • They possess a strong executive presence.
  • They are comfortable initiating conversation with people they do not know.
  • They can adjust communications to fit the audience.
  • They are effective listeners.
  • They are knowledgeable of an organization’s mission and programs.
  • They embrace their responsibility as an advocate.

Vision

A great Executive Director understands the organization’s mission drives all activities. They have the ability to think strategically, establish goals, a plan to achieve them and milestones to measure progress. They can inspire and empower others to action.

Fundraising Experience

The bottom line, “No Money, No Mission.” An Executive Director must understand generating financial support for an organization is necessary throughout the year and is not a series of singular events. They should demonstrate proficiency in the following:

  • Building long-term relationships with donors and other stakeholders
  • Networking (knowing how to “work a room”)
  • Being a good storytellers and capable of communicating an organization’s impact

Creativity

A great Executive Director understands and monitors the environment in which the organization operates and are capable of identifying opportunities and threats that could impact the organization. They have the ability to think outside the box and formulate innovative strategies to respond to changes impacting their organization or do they rely on simply following how others respond.

Ability to Managing Change

A great Executive Director understands growth and long-term resiliency requires change. They understand how to translate strategy into action and implement controls and processes that are effective and are being followed as expected. In addition, they must be capable of managing change initiatives and creating enthusiasm in others to embrace a new way of doing things.

Also, in today’s environment leaders simply must understand technology resources. A great Executive Director understands how to utilize technology to enhance communication with stakeholders, promote the organization, strengthen operations, and support fundraising activities.

Attracting and Retaining Good People

We all understand that compensation and benefits in the nonprofit sector may not be on the same level of for-profit businesses. Recruiting the right team requires the Executive Director to articulate the organization’s mission and vision, create a culture that allows people to grow, take risks, and promote the enhancement of their skills. Retaining good people requires flexibility, a working environment that leverages individual strengths, aligns duties to the tasks people are best suited for, defines expectations and provides timely feedback on job performance.

While there may be other characteristics of a leader that are desirable, it has been my observation over the years that those presented are key. These characteristics should be addressed in a job description for the chief executive, and when facing a change in senior leadership, the solicitation of prospective candidates for the position.

Contact a Brady Ware Nonprofit Advisor today!

Questions?

Teresa currently serves as the Atlanta Audit Leader for Brady Ware. She has been instrumental in providing clients with a comprehensive range of audit, review, and compilation services. Her journey in public accounting commenced in 1997, and her expertise spans various sectors, including not-for-profit organizationsprofessional service firms, wholesalers, manufacturing, and importers/exporters.


Teresa B. Snyder, CPA

tsnyder@bradyware.com


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