Estimated Reading Time: 9 minutes
Executive Director
On paper nonprofit boards and CEOs are required to work together. Typical CEO position descriptions include items such as:
Customary board position descriptions generally include references to “supporting and supervising the CEO of the organization.”
Yet instead of making sweet music set to the upbeat tempo of a nonprofit’s mission, many nonprofit boards find themselves working at odds with the appointed chief executive of their beloved organizations. If your nonprofit board doesn’t always sing in harmony with your CEO, continue reading to explore:
When members of a rock band experience “artistic differences” back stage, the audience may not be aware of the personality clashes taking place behind the velvet curtain. The same is true in a nonprofit. When boards and CEOs squabble, some leadership teams are skillful at keeping the disagreement far from the view of major donors, members, participants, and other important stakeholders. And when board-CEO relationships reach a breaking point, many stakeholders will be caught by surprise.
In other cases, the collateral damage from a feud between the board rock band and the CEO “front man” may be evident to stakeholders in the front rows. The group most likely to perceive or glimpse board-CEO disharmony is the staff at the nonprofit. And when the CEO airs her frustration with the board or runs down her band mates, the staff is certain to lose respect for the entire leadership team.
Some of the downside risks of an ineffective board-CEO relationship include:
Three reasons surface again and again in the review of unhealthy board-CEO relationships: (1) lack of trust; (2) ineffective division of labor; and (3) poor communication.
STEP 1. Make ‘We’re in This Together’ Your Theme Song – To achieve the “constructive partnership” touted by Jeff De Cagna, the board should acknowledge its dependency on the CEO, and the CEO should acknowledge her dependency on the board. The board chair should not permit another member to speak derisively about the CEO but instead insist that performance concerns be addressed openly and professionally. The board chair should encourage the CEO to bring any concerns about the performance of individual board members or the body as a whole-back to the board. In some nonprofits, a Governance Committee or Executive Committee plays the “heavy” in enforcing board member responsibilities. Or in the case of a poor performing CEO, direct feedback may be delivered on the board’s behalf by the Personnel Committee.
STEP 2. Replay and Remix the Board and CEO Position Descriptions – Revisiting position descriptions at least annually is a great step to strengthen the relationship between the board and CEO. As the nonprofit evolves the roles and responsibilities of the CEO are likely to change. When the expectations of the CEO change, the role of the board changes as well. Don’t treat these documents like treasured historical artifacts: update them as needed to keep expectations relevant and clear.
STEP 3. Flip Your Board Agenda – Instead of beginning every meeting with the customary list of routine committee reports, start your board meetings with a lively discussion of focus, direction and strategy. Tap into the energy members bring at the beginning of a board meeting, and leave the routine pieces to the end of the meeting. One benefit of this structure is that any members who have to leave early won’t miss an opportunity to weigh in on the big picture questions. Another benefit is that by putting the challenging, truly interesting material at the front end, habitual late-comers will be incented to arrive on time. Finally, by scheduling discussion and action on strategy at the beginning of the meeting, you will send a message that strategy setting is what governance is all about in your nonprofit.
STEP 4. Actively Seek Ways to Build Trust and Fellowship – Encourage members of the board and the CEO to speak openly and honestly. Allow time for the board and CEO to get to know and appreciate each other’s personal qualities and work ethics. Social time involving the board and CEO isn’t a missed opportunity to work-it provides a solid foundation on which great decisions will be made in the future.
Many nonprofit leadership teams go on stage night after night with the smooth harmonies of groups like the Everly Brothers, Electric Light Orchestra, or the Mamas & The Papas. Other teams experience the kind of in-fighting and turmoil that necessitated line-up changes for groups like Journey and Van Halen. Whether your adoring public clearly sees or is blissfully unaware of the relationship between key leaders, your mission deserves a commitment to make that relationship the best it can be. A great relationship between the board and CEO offers a foundation on which to build and grow. You’ll not only find it easier to recruit talented board members as new volunteers, you’ll also find it far easier to hang on to the great performers already on the board.
If you want to transform your dysfunctional garage band into a legendary board-CEO team headed for the Rock and Roll Hall of Fame, make a commitment to “come together right now” to create the close-knit, trusting band your nonprofit’s mission needs and deserves.
Melanie Herman is Executive Director of the Nonprofit Risk Management Center. Erin Gloeckner is NRMC’s former Director of Consulting Services.
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