Can a Founder or Longtime Executive Director Step Down But Not Leave?

Conventional Wisdom Says: To not undermine a new leader's authority--and to allow the organization to develop in new ways--the founder must leave the organization completely when they step down from the top leadership position.

Table for Two's Findings Say: While not for most organizations, there are conditions under which a founder and successor can co-exist - maximizing the founder's assets for the overall good of the organization and reinforcing one another's success in their new roles.

Based on in-depth analysis of six cases in which the founder or long term founder-like leader successfully remains after stepping down from the top post, Table for Two provides:

- A new model for leadership transitions.
- A broader range of options for the founder's continuing role and contributions.
- Insights into the personal and organizational factors needed for success in such transitions.
- An integrated approach to weighing and managing the risks and benefits involved.
- Challenges, coping strategies, and recommendations for founders, successors, boards of directors, and staff.
- Recommendations for funders who wish to support their grantees' executive transitions.

Download the Summary or Full Report.

Mainstreaming Networks in Philanthropy

While the idea of networks is not new to philanthropy, grantmakers are paying increased attention to the concept. In part, this is thanks to the advent of new technologies that have revolutionized the way we engage with one another. While networking still takes time and resources, connecting across organizational, geographic and time boundaries is easier, cheaper and faster than ever before. But this newfound interest in networks is not driven by technology alone. Rather, it reflects the sector’s need to increase impact. Grantmakers and nonprofits recognize that often even the most resourceful organizations are dwarfed by the issues they face. Sharing knowledge, synchronizing messages, coordinating efforts and pooling resources can help organizations reach their goals and achieve lasting, system-wide results.

Grantmakers for Effective Organizations (GEO), a national membership organization for foundations focused on nonprofit effectiveness featured networking building in this month’s update. As networking as evolved in to a verb over the past years, it has often been associated with a high level of activity but a low level of order. A new study from the Interaction Institute offers some strategies to make the development of networks more valuable and more efficient.

Read the executive summary.

Foundation Training

The Foundation Center is offering a FREE training on effective grantseeking - Fundraising in a Challenging Environment - Monday, 9/14/09, 1:30-3:30pm at Indianapolis-Marion County Public Library. 
http://foundationcenter.org/cleveland/training/fcaclindianapolis.html

More Insights on Engaging Board Members

If you get through the first few paragraphs of this recent Guidestar.org article there is some useful information about what is important to many of your most prized board members or prospects.

“Six recurring themes were identified as the foundation for most issues and solutions: connectivity, no surprises, importance of time, improved communications, accountability, and organizational focus.”

The survey noted also asked board prospects why they turn down invitations to serve – “… major reasons cited for declining a board invitation or for leaving a board position include nonprofits being run without an organized focus, reputation issues, financial questions, staff who do not project a professional image, or being known for having any of the previously mentioned challenges.”

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Recruiting and Vetting Nonprofit Board Members

As we head into the fall, it is time for nominating and governance committees to be ramping up for January board member transition. Bridgespan offers some words of wisdom in:

A key ingredient to increasing a nonprofit organization's impact in the community it serves is having the right people on the team. Critical to this team are an organization's board members.

"Board composition is a key lever," said Jeri Eckhart-Queenan, a partner at the Bridgespan Group, a nonprofit advisor to nonprofits and philanthropy. "Having the right people with the right skills helps theorganization achieve its strategic goals." Therefore, the first question that nonprofits should consider as they start to formulate their board recruiting plans is: What are our key strategic priorities, and what new skills or expertise might we need on our board to help us achieve those priorities? >>Read Full Report 

Generation BIG - Bold, Innovative and Generous

Our own Will Austin, founder of the Institute for Affordable Transportation - B.U.V. in Indianapolis is among the people and organizations profiled in financial expert Jeff Smith’s new book. In “GenerationBIG ~ The Rising Tide of Dreams to Action,” Smith, together with co-authors Tom Ruwitch and Mark Patterson, profiles a number of extraordinary 21^st century visionaries and philanthropists who have given back in a BIG way.

 

Profiles include:

• Nicholas Negroponte, founder of One Laptop per Child, whose bold vision is to distribute two billion low-cost laptop computers to children in developing nations.
• Brian Mullaney, co-founder of Smile Train, which has repaired the cleft lips or palates of more than 500,000 children.
• Will Austin, Institute of Affordable Transportation with a mission to improve lives and self reliance in impoverished countries by facilitating the spread of simple Basic Utility Vehicles..
• Bruce Cohn, owner of B.R. Cohn Winery and lifelong manager of the Doobie Brothers, who weaves massive generosity into all his business ventures.
• Jeremy Courtney, a 29-year-old from central Texas, who has moved to northern Iraq to help Iraqi children receive life-saving heart surgery in Israel.
• Betsey Beckmann, a stay-at-home mom who, with her young daughters, supplies coats, hats, and gloves to school children in need out of her basement.

 

Smith’s book goes on to talk about what it takes to be a BIG thinker and to act those ideas. The authors have established a website see their efforts as part of a growing grassroots effort. “BIG is not a demographic.” he noted, “It’s a mindset, and it’s a movement.  Through our GenerationBIG book, website and Big Across America effort, we want to help as many people as possible join this movement.” For more information, visit www.GenerationBIG.com. 

Increasing Accountability - Principles Workbook Helps Organizations Improve Governance

Since their release in 2007 by Independent Sector, the Principles for Good Governance and Ethical Practice have helped nonprofit organizations across the country reflect on and strengthen their operations. To make it even more practical, here comes the Free Principles Workbook: Steering Your Board Toward Good Governance and Ethical Practice to provide further support for nonprofits, foundations, and corporate giving programs committed to examining and improving their governance practices.

Independent Sector created the workbook in partnership with BoardSource, the nation’s leading resource on nonprofit governance. The Principles Workbook will make it easier for boards of directors and staff leaders to assess the areas where their organizations are doing well and where there is room for improvement. It distills the core concepts in each of the 33 principles and suggests points for board and staff to discuss about their current practices. Progress worksheets accompanying each of the four sections assist nonprofits and foundations in making plans and recording their progress. The worksheets are also available as a separate document; this file is designed so people can enter their steps directly into the forms by using Adobe Acrobat.

>>Read entire article.