Estimated Reading Time: 4 minutes
Executive Director
My colleague Diana Del Bel Belluz recently sent me the link to an episode of the CBC Radio program Tapestry, hosted by Mary Hynes. The episode, titled “To Err is Human” explores a number of subjects, including two of my favorites—failure and fear. The broadcast begins with a conversation between Hynes and Canadian designer Bruce Mau who explains his philosophy of “allowing yourself the fun of failure every day.” Mau’s lighthearted perspective on failure is a new-to-me twist on the topic. He adds: “Most people are afraid of failure. They have been taught to be afraid of it.” Later in the interview he describes “the upside of getting it wrong,” and explains that failure is an invaluable asset to artists who shouldn’t be “afraid to explore dead ends.”
What can nonprofit leaders learn from an artist who embraces the unknown and sees the fun in failure? Perhaps one valuable lesson is that creativity is not the exclusive domain of those who write, paint, sculpt or perform. Creativity is a uniquely human capability that is often sidelined to make room for analytical skills. Bruce Mau’s comments about the “inherent” creativity of human beings and the need to tap our creativity are themes explored by Hilary Austen, author of Artistry Unleashed and the featured keynote speaker at a past Risk Summit.
“To Err is Human” also features an interview with Brene Brown, author of “The Gifts of Imperfection: Let Go of Who You Think You’re Supposed to Be and Embrace Who You Are,” who shares her view that “We get addicted to the idea that if we show the world a perfect version of ourselves we’ll somehow be safer.” While listening to Brown describe how fear of imperfection stifles human contentment I thought about the intersection of fear and organizational well-being. Brown urges her readers to give themselves “permission to be imperfect” and embrace the complicated nature of being human.
I see a parallel in the fear of imperfection in some nonprofit organizations. Some leaders fear the increasing scrutiny their organizations face as the public’s demand for accountability and transparency intensifies. Those who fear the public’s interest in what is happening inside a nonprofit may obsess about the risk of a scandal cracking the hard shell of organizational credibility. Denying that there may be problems under the shiny mission statement may cause insiders to bury information rather than make necessary changes. In contrast, it’s always gratifying to meet a nonprofit executive who welcomes the scrutiny of a risk assessment, opening up their organizations to a review that might disclose cracks in an organization’s structure or management processes. Diagnosing the cracks, weaknesses and other unmanaged risks is the first step to making the organization all that it can be.
I recently re-connected with a former colleague for a long-overdue cup of coffee. After getting over the initial shock of learning that he now drinks decaf, I was delighted to learn that he has embraced his artistic talents. He now relishes his free time and the opportunity to write poetry and ride his Honda Magna motorcycle (but never at the same time).
The topics of transitions and succession planning often arise in our consultations with nonprofit organizations. Many leaders at the staff and board levels are beginning to recognize the inherent risks in organizational transitions and the unnecessary jeopardy that results when leaders fail to plan for inevitable transitions. In virtually every risk assessment I’ve led during the past 20+ years someone on the board or staff has shared their concern about the risk of not planning for the departure of a charismatic leader. Yet far too few organizations have taken the time to plan for these transitions.
In addition, it’s not uncommon for long-time executives to feel a bit defensive, if not uncomfortable when the topic of planning for a transition is on the table. Yet planning for leadership changes is not only key to managing in the face of uncertainty, it’s the right thing to do. Thankfully there are some terrific resources available to leaders who are uncomfortable talking about “what’s next” for the organizations they lead. These resources include:
Melanie Lockwood Herman is Executive Director of the Nonprofit Risk Management Center. She welcomes your questions about managing risk in the nonprofit world, feedback on this article and questions about NRMC’s resources at Melanie@nonprofitrisk.org or 703.777.3504. NRMC provides risk management tools and resources at www.https://nonprofitrisk.org/ and offers consulting assistance to organizations unwilling to leave their missions to chance. Read about how our training and consulting services make a difference on our testimonials page.
“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 NRMC 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 NRMC. 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 NRMC 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!