Estimated Reading Time: 6 minutes
Executive Director
In contrast with family members, friends and staff who are devoted to their favorite teams and specific sports, I have a less loyal and more general interest in sports. And while watching live or televised events, I’m easily distracted by subliminal messages about teamwork and leadership that play out on the court, track or field. And I look for these messages anytime I read an article about a team or recent competition. I was pleased to find several valuable lessons this week as I read “Ferguson’s Formula,” a Harvard Business Review article from October 2013 about the “enormously successful methods” of Sir Alex Ferguson, the long-time manager of Manchester United, the English football (soccer) club.
The components of “Ferguson’s Formula,” reminded me of game-winning musts for nonprofit boards that are stuck in a leadership rut. Everywhere I travel, I hear the lament of executives and board members who describe the dysfunctional, mission-draining behaviors of their governing bodies. The best news for a dysfunctional board? Every governance problem can be fixed. With courage and determination, a poor performing board can be transformed before the end of the fiscal year. Here are four strategies for turning a risky board into an invaluable asset.
It’s important to think of any board as short-term, volunteer guardians of a worthwhile mission. And since every board member’s tenure is temporary, board development must be an important, ongoing activity. Change is coming! And remember that great governance begins with the courage to hold every member accountable for his or her commitments. But before reinvigorating a board that isn’t working, it may be necessary to ask the leader who dominates your deliberations to take a breath, sit back and lead by listening. Rather than suffer through another month or fiscal year of a dysfunctional board, resolve to step up and rebuild the board your mission deserves.
Melanie Lockwood Herman is Executive Director at the Nonprofit Risk Management Center. Melanie’s calendar of upcoming speaking engagements is available online. Melanie is available to deliver keynotes and workshops on risk themes of interest to your members, attendees or leadership team.
“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!