Four Stages of Organizational Development
Adapted, with permission, from the Institute for Conservation Leadership
Many organizations begin as â€œkitchen tableâ€ groups: a bunch of neighbors sitting around somebody 's kitchen, trying to solve a common problem or meet a community need. These folks share a passion for the cause and a willingness to roll up their sleeves and do the work.
They're seldom skilled in nonprofit governance, and, frankly, they don 't even think about that stuff. They just want to fix what needs to be fixed.
Sometimes these informal groups continue for years or decades without growing or changing significantly, and their familiar leadership structure continues to serve them well. For example, I belong to an all-volunteer organization that has had no staff for most of the past 75 years â€“ and yet the work gets done.
Taking â€œThe Leapâ€
In other cases, these groups want to expand their impact, so they decide to hire employees and open an office. My colleagues at the Institute for Conservation Leadership call this stage â€œthe leap,â€ and it 's filled with peril. Organizations hiring staff for the first time must address issues such as the following:
- Now that we have an employee(s), how does our role as a board change?
- How do we provide supervision without micro-managing?
- How will we ensure that our staff has adequate resources to do the job well?
- How do we evaluate our programs, our staff, and each other?
At this stage, other problems may surface. Board members who originally got involved with the organization because they care about the issue or cause are suddenly responsible for personnel policies, staff supervision, a more detailed level of planning, and greater responsibility for fundraising.
The visionary leader(s) who founded the organization may be unwilling to share power with the staff, which can lead to conflict, confusion about roles, and employee turnover. Or maybe the board breathes a collective sigh of relief, backs away, and abandons its responsibilities, assuming the employee(s) will do everything.
As you can see, the skills needed to start a group are not the same ones needed to take it to the next level of effectiveness.
The Sweet Spot: Moving to Shared Governance
As nonprofits continue to grow, expand programs, and hire more staff, the board 's role continues to change. Because organizations become more complex, board governance also becomes more complicated.
In the next phase, sometimes called â€œshared governance,â€ board and staff share power and responsibility, are clear about their respective roles, and have systems in place to create orderly transitions as people leave and new ones come in.
At this stage, the board has explicit written agreements that define what is expected of each trustee and what he or she can expect in return. These groups have a culture of accountability and mutual respect; they also have fun together and celebrate their shared accomplishments.
Clearly, board requirements and behavior must evolve as organizations develop and change. The board you need to start something is not necessarily the same board you need to grow it to maturity.
So if somebody tries to convince you that there is only one correct model of board governance, beware! No single â€œright wayâ€ will be relevant to all nonprofits, or even to a specific organization at different stages in its life.
For more on board recruitment, roles, and succession planning, join me in March for a new webinar series with Foundation Center called â€œBuild Your Best Board.â€ Update 2/24/15: Use promo code BOARD10 to save 10% on individual webinars or the entire series.
Why does this knowledge help you become a better grantseeker? Sound off in our Comments area.
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ANDY ROBINSON is a consultant and trainer based in Vermont. He is the author of six books, including the new Train Your Board (and Everyone Else) to Raise Money. Learn more at www.andyrobinsononline.com and www.trainyourboard.com.
This post is adapted from Great Boards for Small Groups, published by Emerson and Church. Used with permission.
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