1 Leadership, Governance and Giving. 2 The following material was prepared for the AFP Research...

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Leadership, Governance and Giving

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The following material was prepared for the AFP Research Council Think Tank held October 7-8, 2008. The event was co-sponsored by the Philanthropy and

Nonprofit Leadership Center at Rollins College.

The Research Council is indebted to a generous grant from the Edyth Bush Charitable Foundation to the AFP

Foundation that made it possible to convene nationally recognized presenters for the 2008 AFP

Think Tank.

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Leadership

Dr. Rita BornsteinPresident Emerita

Rollins College

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Leadership in the Nonprofit Sector

• What we know– More professional & respected– More complex– Shifting job market (from expansion to contraction)

• What we need– Succession planning– New concepts of leadership– Changes in governance

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What We Know (1)

• More professional & respected– Proliferation of nonprofit centers, courses, degree

programs– Many more professionals certified or degreed– Higher compensation / inducements / incentive

pay

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What We Know (2)

• More professional & respected– More career mobility– More respect, status, & voice

For example, leadership on community and government boards and commissions

– Focus on ethics, standards of practice, accountability

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What We Know (3)

• More complex– State and federal laws, regulations, reports– Public scrutiny & mistrust– Proliferation & competition (worldwide)– Pressure for coordination, cooperation,

combination

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What We Know (4)

• More complex– Demands for program expansion– Escalation of campaign goals– Pressure for improved performance– Technology (benefits & costs)

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What We Know (5)

• Shifting job market (boom to bust)– Boomers retiring (if they can afford to)– Professional mobility (impeded by economics)– Frequent turnover: loss of relationships & personal

knowledge

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What We Know (6)

• Shifting job market (boom to bust)– Lack of turnover: resentment & burnout– Inadequate pipeline: lack of diverse, trained,

experienced professionals (pipeline may become clogged w/underemployed professionals)

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What We Need (1)

• Succession planning– For CEOs, boards, staff– Home-grown talent (high failure rate for

outsiders)– Systematic recruitment, training, evaluation, &

mentoring– Recruit & train: financial planners, real estate

agents, sales & marketing professionals, stockbrokers

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What We Need (2)

• Succession planning– Internships for high school & college students,

under-employed, others – Focus on diversity– In-house opportunities for cross-training, lateral

shifting, career mapping, promotion, rewards, recognition

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What We Need (3)

• Succession planning– Individual responsibilities for career

development– Industry-wide perspective

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What We Need (4)

• New concepts of leadership– Organizations are changing in response to

competition, globalism, and needs– This requires changes in leadership style

The end of hierarchy – from ladder to web Leading from the middle – collaborative, information flow Working in teams – expertise resides in team (fund raiser, CEO, board member)

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What We Need (5)

• New concepts of leadership– Integral– Integrative– Conceptual

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What We Need (6)

• Integral leadership– Seeing the organization as a coherent whole– Big picture/holistic thinking (integrate mission,

program, fundraising/giving)– One big hat/one big tent

Source: Association of Governing Boards of Colleges and Universities

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What We Need (7)

• Integrative leadership

– Holistic thinking– Ability to consider two opposing ideas at once– Not “either-or”– Forge an innovative third way (elements of each,

improving both)– Defining characteristic of top business leaders– Can be learned and become a habit

Source: Roger Martin, Harvard Business Review

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What We Need (8)

• Conceptual age leadership– Information age: left-brain dominant (analytical,

rational, logical)– Conceptual age: right-brain dominant (intuitive,

creative, holistic)

Source: Daniel H. Pink, A Whole New Mind

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What We Need (9)

• Changes in governance– Increased board engagement– Focus on board composition, orientation,

communication, participation, evaluation– Transparency and accountability

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What We Need (10)

• Changes in governance– Develop a culture of philanthropy (embedded in

materials, activities, presentations, etc.)– Shared leadership (team work among the CEO, fund

raiser, board member)– Distributed expertise for fund raising (e.g. Gladwell’s

Connectors, Mavens, and Closers)

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Leadership in the Nonprofit SectorSUMMARY

• What we know– More professional & respected– More complex– Shifting job market (from expansion to contraction)

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Leadership in the Nonprofit SectorSUMMARY

• What we need– Succession planning– New concepts of leadership– Changes in governance

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Questions and Comments

Please send any questions or comments about this presentation to . . .

Association of Fundraising ProfessionalsResearch Council4300 Wilson Boulevard, Suite 300Arlington, VA 22203(703) 684-0410

Or submit a comment via the AFP website . . .www.afpnet.org

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