Board Life Matters is a national sounding board designed to inspire and engage the next generation in nonprofit board service.
I recently co-facilitated a webinar for an organization that is promoting board service to its stakeholders – most of whom are Generations X and Y professionals and have never served on a board. The session addressed some standard questions about nonprofit board leadership: What do boards and board members do? Why become a nonprofit board leader? How do you find and join a board?
The most fun part of these types of webinars – in my opinion – are the “Q&A” at the end when we get to hear some questions those considering board service have about board leadership. The questions from this group were thoughtful and indicative of those we hear from others considering board service. They included:
What financial skills or acumen do I need to have before joining a nonprofit board?
We responded that while it is ideal to have some financial acumen before joining a board, reading and understanding financial statements is a skill that can be learned. At the very least, potential board members should understand both the board’s role and their individual role for providing financial oversight, and be prepared to learn how to read and understand financial statements to carry out these duties. There are a number of resources available to help, including Understanding Nonprofit Financial Statements, Third Edition by Steven Berger (BoardSource, 2008); also the board treasurer or a mentor on the board are often willing to assist new board members in this area.
What is the typical recruitment process used by boards?
We responded that generally recruitment involves exploring an individual’s interest in serving on the board; candidates should be prepared to discuss why they are interested in becoming a board member and what they have to offer the organization. Prospective board members should also feel free to ask questions about the organization and expect to learn about the roles and expectations that accompany board service for the organization. If it is a good fit, boards will then elicit a commitment to serve if elected – however, election is not a sure thing. The board then goes through a process of nomination and election. More on board recruitment can be found at www.boardsource.org.
Whether you are currently serving on a board, considering board service, or just want to learn more about board leadership – we want to hear from you. What questions do you have about board service?
What should be the relationship between the paid staff (such as an Executive Director) and the BoD of a nonprofit? For example, who should speak for the organization: Chairperson of the Board, Exec. Dir., or the communications manager (who reports to the Exec. Dir.)?
Great question! In broad terms, the board of a nonprofit organization is responsible for establishing strategic direction, providing oversight, and ensuring resources, while the staff – led by a chief executive – conducts operations. The board’s primary relationship is with the chief executive, who is technically the board’s only employee. The chief executive informs the board on the status of the organization: its finances, programs, any challenges, or break-throughs. The board relies on this information as it ensures effective planning and as it assesses the overall performance of the organization. It is also essential to mention that an important board role is to hire, assess, and oversee the chief executive. All boards should evaluate the chief executive’s performance annually; the evaluation should be written and involve the full board.
The relationship between a board and the chief executive varies from nonprofit to nonprofit. A relationship that has a defined process for communication promises to be more productive. Up-front clarity, understanding, trust, and agreement will forge a strong partnership between the board and chief executive.
Pertaining to the issue of “who speaks for the organization,” it depends on the organization. Under certain circumstances, it’s more appropriate for the board chair to speak for the organization. Other occasions may call for both the board chair and chief executive to do so together. Large, complex organizations often designate a staff member to field media inquiries, prepare press releases, and even draft speeches for the chief executive. Even then, board members may be called upon to meet with elected officials, testify before legislatures, court foundation program officers, speak to community groups, and represent the organization at national forums. Especially for controversial issues, the board and staff should clarify and decide who is responsible for what. In general, board members should refer media inquiries to the board chair, the chief executive, or another designated individual. A board member, acting alone, should never speak on behalf of the organization.
Our web site, http://www.boardsource.org, contains more information about the relationship between the board and chief executive. The following might be of particular interest:
per Recruitment Process: i’ve found that it is largely based on ‘who-you-know’. so that can breed like-minded board members. so, board members need to stretch to think about ‘who do i know that brings different skill sets, different personality and a different approach’ than i have?