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By Melanie Lockwood Herman
February 11, 2015
Helping our members think through their risk-related challenges is incredibly rewarding. We approach member questions as wonderful opportunities to learn about and understand the pressure points in risk practice in the public, nonprofit, and business sectors.
But although we formulate and dispense Risk Help each and every day, a new article in the Jan-Feb 2015 edition of the Harvard Business Review has led me to realize that like every profession, the advising business is fraught with risk.
According to David A. Garvin and Joshua D. Margolis, authors of “The Art of Giving and Receiving Advice,” the essence of advice-giving is wielding “soft” influence that “shapes important decisions while empowering others to act.” And there are several tendencies that short-circuit the influence of a trusted advisor. These include:
The HBR article includes a suggested process for receiving and giving advice. Consisting of five stages, the process highlights the importance of taking time to develop a shared understanding of the problem. The process also emphasizes the fact that while an effective advisor may suggest options and key considerations, the decision about what to do must remain with the advice-seeker.
Seeking the advice of a trusted advisor, colleague or mentor can help you broaden your perspective on the risk-related challenges facing your entity. If approached with care, candor and a commitment to jargon-free communications, the relationship between advisee and advisor can be a collaborative and mutually rewarding endeavor.
Melanie Lockwood Herman is Executive Director of the Nonprofit Risk Management Center and a trusted advisor to nonprofit boards and leadership teams. Melanie’s consulting work includes leading governance-themed risk assessments, ERM engagements, and youth protection initiatives. Melanie invites your inquiries about NRMC consulting services at 703.777.3504 or Melanie@nonprofitrisk.org.
“First let me congratulate you on a conference well done. I had a great time at the Nonprofit Employee Benefits Conference and walked away with some valuable tools and questions that we’ll need to be addressing in both the short and long term. Thanks to you and your staff for all you do to provide us with quality resources in support of our missions.”
“BBYO’s engagement of the Center to conduct a risk assessment was one of the most valuable processes undertaken over the past five years. Numerous programmatic and procedural changes were recommended and have since been implemented. Additionally, dozens (literally) of insurance coverage gaps were identified that would never have been without the work of the Center. This assessment led to a broker bidding process that resulted in BBYO’s selection of a new broker that we have been extremely satisfied with. I unconditionally recommend the Center for their consultative services.
“Melanie Herman has provided expert, insightful, timely and well resourced information to our Executive Team and Board of Directors. Our corporation recently experienced massive growth through merger and the Board has been working to better integrate their expanded set of roles and responsibilities. Melanie presented at our Annual Board of Director’s Retreat and captured the interest of our Board members. As a result of her excellent presentation the Board has engaged in focused review which is having immediate effects on governance.”
“The Nonprofit Risk Management Center has been an outstanding partner for us. They are attentive to our needs, and work hard to successfully meet our requests for information. Being an Affiliate member gave us access to so many time- and money-saving resources that it easily paid for itself! Nonprofit Risk Management Center is truly a valued partner of The Community Foundation of Elkhart County and we are continuously able to optimize staff time with the support given by their team.”
“The board and staff of the Prince George’s Child Resource Center are extremely pleased with the results of the risk assessment conducted by the Nonprofit Risk Management Center. A thorough scan revealed that while we are a well run organization, we had risks that we never imagined. We are grateful to know that we have now minimized our organizational risks and we recommend the Center to other nonprofits.”
Great American Insurance Group’s Specialty Human Services is committed to protecting those who improve your communities. The Center team has committed to delivering dynamic risk management solutions tailored to nonprofit organizations. These organizations have many and varied risk issues, hence the need for specialized coverage and expert knowledge for their protection. We’ve had Melanie speak on several occasions to employees and our agents. She is always on point and delivers such great value. Thank you for the terrific partnership and allowing our nonprofits to focus on their mission!