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Leadership for Success: The CEO’s Guide to Best Practices in Nonprofit Management (Part 1)

A Master Class with Mal Warwick


The CEO’s Guide to NGO Governance Presented by Mal Warwick International Workshop on Resource Mobilisation Kuala Lumpur 22 May 2008 With many thanks to Noshir H. Dadrawala Centre for Advancement of Philanthropy, Mumbai


Three types of boards

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Discussion „

Which type is your board?

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Essential roles of the board 1) Legal requirements 2) Guard vision and mission 3) Set strategy 4) Assume financial responsibility 5) Set policy 6) Hire and fire chief executive 7) What board members should not do IWRM Kuala Lumpur 05-08


1) Legal requirements


Legal role of NGO boards „

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Funds, properties, and assets of the organization vest in them Must be acquainted with and advance the vision and mission Directors are jointly and severally responsible

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Other legal requirements „

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Directors should not derive financial benefit from the organization Must oversee administration and accounts Must set policy through process of periodic meetings and resolutions

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2) Guard vision and mission


Cornerstones of nonprofit success Vision & mission 1

2 Staff & volunteers

Your organisation

Funding 4 IWRM Kuala Lumpur 05-08

3 Programs


People respond to vision and mission „

Vision: How will the world be different if you receive all the resources you need to fulfill your vision?

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Mission: What is the essence of your work to advance toward your vision?

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What’s the difference? „ „

Mission controls while vision inspires. A mission statement is like a ‘road map’ for the organization while the vision statement is the final destination the organization is attempting to arrive at.

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For a soup kitchen . . . „

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Vision: “No child in our city will go to bed hungry at night.” Mission: “With support from fine restaurants, food producers, and generous donors, we provide food to hungry children through the public schools and our own outreach facilities.”

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For a literacy program . . . „

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Vision: “In two decades our services will no longer be needed.” Mission: “By mobilizing university and secondary school students to provide weekend literacy classes, we seek to spread the habit of reading through all corners of our city.”

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For a family advocacy organization . . . „

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Vision: “Families will be strong; children will achieve personal excellence.” Mission: “We advocate for family-friendly legislation and efficient human services at all levels of government.”

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Discussion „

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Does your organization ever stray “offmission?” What role does your board play when that happens? What role should it play?

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3) Set strategy


5 keys to nonprofit success Transparency

Donor-centredness

Ethics IWRM Kuala Lumpur 05-08

Accountability

Follow-through


Strategic planning „ „ „

An inclusive process: board, staff, others 3-year plan, annual review and update 3-year goals, 1-year objectives

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What strategy is not „ „ „

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Not how to meet your funding target Not just “a way to do things” Not techniques such as advertising, direct mail, special events Techniques are tactics

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What strategy is „

Strategy vs. tactics Strategy = “win the war” „ Tactics = “win the battle” „ No strategy = muddle „

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The concern of the commander-in-chief, not captains and majors How to deploy all your resources The Big Picture, not the small stuff

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4) Assume financial responsibility


Dimensions of responsibility „ „ „ „ „

Legal: “the buck stops here” Budgetary Contacts Hands-on fundraising Annual gift

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Board fundraising roles „ „ „ „ „ „ „

Open doors, make introductions Support grant applications Help recruit major donors Help enlist volunteers Sell tickets to special events Make annual gifts Help lead legacy program

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5) Set policy


Essential NGO policies „ „ „ „ „

Ethical guidelines Conflict of interest Transparency Gift acceptance Personnel policy

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What is a conflict of interest? „

Conflict of interest arises whenever the personal or professional interests of a board member are potentially at odds with the best interests of the nonprofit.

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6) Hire and fire chief executive


Organizational structure Governing Board

CEO

Staff

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CEO’s and board’s roles differ „ „ „ „ „

Governance does not mean management Board sets direction, CEO executes Board sets policy, CEO implements Board oversees CEO, CEO manages staff Voting CEO on the Board?

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Keys to good governance „ „ „ „ „ „

Consistency with vision and mission Transparency Accountability Ethics Organizational sustainability Rotating membership

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7) What board members should not do


What boards should NOT do „ „ „

Manage staff Speak for organisation without authorisation Criticize outside board meetings

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Time for questions now! „ „ „ „ „ „ „

For more information, contact: Mal Warwick Associates 2550 Ninth Street, Suite 103 Berkeley, CA 94710-2551 Phone +1 (510) 843-8888 Email info@malwarwick.com Web www.malwarwick.com

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Mal Warwick_Masterclass part 1 leadership for success  

Leadership for Success: The CEO’s Guide to Best Practices in Nonprofit Management (Part 1) A Master ClasswithMal Warwick The CEOTheCEO’’s Gu...

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