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Leadership Academy Emerging Leadership in Nonprofit Organizations : Myths, Meaning, and Motivations
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Leadership Academy

Emerging Leadership in Nonprofit Organizations:Myths, Meaning, and Motivations

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Executive Summary 3

Introduction 4

PurposeofThisReport 6

The Context of Nonprofit Organizations: Opportunities and Challenges 7

ChangingTechnologies 7

DiverseStakeholders 8

MeasuringImpact 9

CombiningEffort 10

LackingHumanResourceSupport 10

Work-LifeFitExpectations 12

BlurringBoundaries 12

NeedforDevelopment 12

Nonprofit Workforce 13

MotivationandPaySatisfaction 13

TheImportanceofImpact 14

Turnover 14

Learning 15

StructureandFlexibility 16

Recommendations 17

FosterLearningandBuildTalentatAllOrganizationalLevels 18

FosterLearningandBuildTalentintheSector 21

AdapttoChangingWorkandWorkplaceExpectations 23

Measure,Communicate,andConnecttoImpact 25

Recommendations for Future Research 27

References 28

Biographic Information about Authors 29

Appendix: Methods Overviews 33

WorldLeadershipSurvey 33

AppreciativeInterview 34

FocusGroups 35

TABLE OF CONTENTS

To cite from this report, please use the following citation:

KellyM.Hannum,JenniferDeal,LizLivingstonHoward,LinshuangLu,MarianN.Ruderman,Sarah

Stawiski,NancieZane,andRickPrice(2011).Emerging Leadership in Nonprofit Organizations: Myths,

Meaning, and Motivations.(Greensboro,NC:CenterforCreativeLeadership).

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EXECUTIVE SUMMARY

Since2008,theAmericanExpressNonprofitLeadershipAcademyhasbeendevelopingemergingleaders

inthenonprofitsector.In2010,AmericanExpressandtheCenterforCreativeLeadershipembarkedon

aresearchefforttoadvancetheunderstandingof,andtopromoteexcellenceinthefieldof,nonprofit

leadershipbyfocusingontheneedsofemergingleaders.Twointerlinkedresearchprojectswereconducted.

Surveyandnarrativedataweregatheredfromcurrentandemergingnonprofitleaders.Belowarethecritical

themesfromthiswork.

•Overall,individualsateverylevelfeelasenseofpurposeintheworktheydo.However,individualsat

lowerlevelsaremoreconcernedaboutpaythanarethoseathigherlevels.

•Fewerindividualsarewillingtotakeitonfaiththattheyaremakingapositivedifference;theywant

tangibleevidenceofthedifferencetheyandtheirorganizationsaremaking.

•Individualsmaybemoremarriedtoacausethantheyaretoanorganization.Thenewworkforceis

willingtochangeorganizationsiftheydonotbelievetheyarehavinganimpact.

•Clearorganizationalstructuresandhierarchyareseenasusefultotheextentthattheycontributeto

development,careerprogression,learningopportunities,andregularfeedback.However,whenstructure

andhierarchycreatedobstaclestodoingtheworkorweretooinflexibletoallowforwork/lifebalance

accommodationsorinhibitedcreativity,structureandhierarchywereviewednegatively.

•Individualsmaybemorewillingtostaywithanorganizationiftherearelearninganddevelopment

opportunities;or,conversely,toleaveiflearninganddevelopmentopportunitiesarenotprioritized

bytheorganizationanditsleaders.

•Weneedtoexpandhowwethinkabouttalentdevelopmentandutilizationtoincludeasectorial

perspectiveandfindwaystosupportitatthatlevel.

•Withtheincreaseinmobiletechnologyuse(suchassmartphones)thelinesbetweenworktime

andpersonaltimeareoftenblurry.Individuals,particularlyyoungerworkers,increasinglyhavethe

desiretochoosehowtheymanagetheboundariesbetweenworkandnonworkroles,relationships,

andresponsibilities.

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Nonprofitorganizationsseektocreatepublicgood.Theyfostercommunityengagementandcivic

participation.Theyrespondtocommunityneedsthatmaynotalwaysrepresentafor-profitmarket

opportunityandmaynotbebestservedthroughafor-profitapproach.Asweareincreasinglyinterconnected

andseektotacklesharedchallenges,nonprofitorganizationsplayanimportantroleinoursocietyandas

theneedforthatroleisgrowing,so,too,isthesector.Accordingtoa2009report(Wing,Roeger,&Pollak)

between1997and2007thenumberofregisterednonprofitorganizationsgrewby30percentandreporting

nonprofitsgrewby60percent.

Muchhasbeenwrittenaboutnonprofitleaders.Toshareabitaboutourperspective,wewanttoanswer

twoseeminglysimplequestions:whatisleadershipandwhoareleaders?Thefieldofleadershipcontains

anabundanceofleadershipdefinitions;almostallofthemaretrue,tosomeextentandinsomecontexts.

Leadershipisnotproducedbyaperson;itissomethingpeoplecreatetogether.Forourpurposeswedefine

leadershipastherolesandprocesses“thatfacilitatesettingdirection,creatingalignment,andmaintaining

commitmentingroupsofpeoplewhosharecommonwork(VanVelsor,McCauley,&Ruberman,2010,p.2).

Inshort,leadershipresultsindirection,alignment,andcommitment.Ourfirmbeliefisthateveryoneengages

inleadershipatsomepointintimeand,therefore,everyonehasthepotentialtobealeader.Leadersmay

operatefromformalleadershiproles(forexample,anExecutiveDirectorofanonprofitorganization)or

informalroles(forexample,acommunityvolunteerwhoiswidelydependedonforadviceandsupport).The

phrase“commonwork”isusedasawaytodefinethefocusofwhereleadershiphappens.Itmayormaynot

bewithinthesameorganizationorthesamecommunity.Commonworkcouldbeaspecificprojectwitha

short-termclearlydefinedgoalorsomethingmoreexpansive,likeimprovingglobalwateraccessandquality.

Theprocessesbywhichdirectionisset,alignmentcreated,andcommitmentmaintainedcanlookvery

differentdependingoncontext.Theprocessesmaybehierarchicalorfluidand,insomecases,theremaybe

verylittleagreementabouthowleadershipshouldbeenacted.

In2010,AmericanExpressandtheCenterforCreativeLeadershipembarkedonaresearchefforttoadvance

theunderstandingof,andtopromoteexcellenceinthefieldof,nonprofitleadershipbyfocusingontheneeds

ofemergingleaders.OurorganizationshostedaresearchsymposiumonNovember5,2010,attheAmerican

ExpressheadquartersinNewYorkCity.Thegoalsofthesymposiumweretobetterunderstandissues

affectingthegrowthanddevelopmentofemergingleadersinthenonprofitsectorandtodeterminewhat

additionalresearchwouldhelpthesectortonavigatethechallengesahead.Thegroupdiscussedthecurrent

stateofandchallengesfacingnonprofitleadersinordertoidentifycriticalareaswheremoreinformation

wouldbemosthelpful.The specific questions addressed included:

• Howareemergingleadersdefined?

• Whatarethecriticalcontextualissuesthataffectemergingleadershipinnonprofits?

• Howareemergingleadersbeingidentifiedforleadershipopportunities?

• Whatiscurrentlyavailablefordevelopingtheleadershipskillsoftheseemergingleaders?

• Whatgapsexistinsupportingthesuccessofthisnewleadership?

INTRODUCTION

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Thegroupinitiallysoughttodefineemergingleadersandfoundthetaskmoredifficultthanimagined.

Emergingleadersdoesnotnecessarilymeanyoungleadersorleadersfromaspecificgeneration.

The group finally determined that the following characteristics best defined emerging leaders in nonprofits:

•Workinginanonprofitorganization

•5-15yearsofexperienceinthenonprofitsector(thoughwealsorecognizethatleaderswithsignificant

experienceinothersectorsmaytransferintothenonprofitsectorandtheywouldalsobeseenasemerging

leaders);andtheremaybeyoungpeoplewhofoundnewnonprofitswhoareboth“emergingleaders”by

agebut“leaders”byposition/role)

•Potentialforassuminghigherlevelsofleadershipresponsibility

•Desireforassumingformalleadershiproles

•Demonstratedcommitmenttothenonprofitfield/socialimpact[thiscommitmentcouldbetoa

specificcause(e.g.,breastcancertreatment),ageneralcause(e.g.,healthaccess),ageographic

area(e.g.,NewYorkstate),etc.].

Asaresultofourdiscussion,twointerlinkedresearchprojectswereconceived.Inthefirstproject,the

WorldLeadershipSurvey(WLS)wasadministeredtononprofitleadersandcombinedwithdataalready

gatheredfromfor-profitleaders.Thesurveygathersinformationontrendsinleadership,aswellasissues

thatleadershavetodealwitheverydaysuchaswhatemployeeswantintheirleaders,trustandethicsin

effectiveorganizations,employeeengagementandretention,generationaldifferences,andattitudesabout

work.Thesedataareusedtopinpointtheprimaryissuesfacingnonprofitleaderstoday.Becauseofthesize

ofthedatabase,wealsoexaminedifferencesinexperiencesandexpectationsamonggenerationalcohorts

ofleadersandcompareresponsesfromnonprofitleaderswiththosefromfor-profitleaders.Thesecond

researchprojectusednarrativeapproachestogatherleaders’perspectives,intheirownwords,abouttheir

experiencesandexpectations.Combiningthesedatasourcesandexaminingtheminthecontextofother

researchshedslightonemergingleadershipchallenges,inordertoidentifypracticalrecommendations.

5

GENERATIONS DEFINED

SilentGeneration Born1925-1945

EarlyBoomers Born1946-1953

LateBoomers Born1954-1963

GenerationXers Born1964-1980

Millennials Born1981-2000

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Purpose of This Report

Thisreportcontributestotheunderstandingof,andconversationabout,howtodevelopemergingleadersin

thenonprofitsector.Itisamultifacetedundertaking.Leadershipandleadershipdevelopmentcanoccurin

smallways,butiftheintentisforthenonprofitsectortoachievegreatercollectiveimpact(andwebelieve

thatitis),thereismuchworktobedoneprimarilybecauseofthegrowthofthesectorandthecomplexityof

challengesaddressed.Thegoodnewsisthatweseeshiftstakingplacethatpositionthesectorforgreater

impact,thoughwearenotblindtothesignificantchallengesfacingthesector.

Wehavewrittenthisreporttobeaccessibletomultipleaudiences.Whilethisreportisinformedbyresearch,

wedidnotsetouttowritearesearchreport.Weidentifiedthecriticalstakeholdergroupsthatwethought

wereessentialtoincludeinaconversationaboutdevelopingandsupportingeffectiveleadershipinthe

nonprofitsector.This report is intended to speak to these multiple audiences, including:

•CurrentNonprofitLeadership(includingExecutiveDirectors,Boards,etc.);

•EmergingNonprofitLeaders;

•ProvidersofLeadershipDevelopmentforNonprofitOrganizations;

•FundersofNonprofitOrganizations.

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Thenonprofitsectorisextremelydiverseintermsoftheorganizationsitencompassesandtheworkit

undertakes.Somenonprofitorganizationsarebrandnew;somehavebeenaroundfordecades.

TheNationalCenterforCharitableStatisticsdevelopedtheNationalTaxonomyofExemptEntitiesCore

Codesclassificationsystemwhichdividesnonprofitorganizationsinto26majorgroupsunder10broad

categories(includingArt,CultureandtheHumanities,Education,EnvironmentandAnimals,Health,Human

Services,etc.).Withinthesevariedcategories,therearesimilarlyvariedorganizations.Theorganizations

mayfocusonactivitiessuchasresearch,directservice,advocacy,andtechnicalassistance,oracombination

oftheabove.Somehaveonlyahandfulofstaff;someemploythousandsofpeople.Operatingbudgets

rangefromafewthousanddollarstomillionsofdollars.Itisdifficulttomakestatementsthataretruefor

allnonprofits.Thus,whilewemakegeneralizationsaboutthestateofanddemandsonthenonprofitsector,

werealizethatnoteverythingistrueineveryinstance.Onestatementwearepositiveistrueacrossall

nonprofitsisthateffectiveandsustainedleadershipisvitaltoeffectiveness.

Theworldisincreasinglyinterconnectedanddynamic.Leadershipsitsinthemiddleofthechurn–both

drivingtrendsandbeingaffectedbythem.Whilethesectorhasaccesstoanenergetic,passionate,and

creativeworkforceandtonewtools,therearealsochallengesthatmakeitdifficultfororganizationsand

theirleadershiptoflourish.WilliamAshby’s(1956)LawofRequisiteVarietysuggeststhatfororganizations

toeffectivelyadaptandcopewithacomplexenvironmentthevarietyofitsinternalordermustmatch

thevarietyoftheenvironmentalconstraints.Whilefor-profitsfacesimilarchallenges,manynonprofitsdo

nothavetheaccesstoresourcestoenablethemtocopewiththepaceandscaleofchange.Inaddition,

thestrategiesthatworkinfor-profitorganizationsmaynotfitaswellinthenonprofitsector.Asnonprofit

organizationsandtheirleaderslooktothefuture,thereareopportunitiesaswellaschallengesassociated

withthesetrendsthatwewillexploreinmoredepthtohelpnonprofitorganizationscontinuetosucceed.

Thesetrendswereidentifiedbytheresearchteamthroughafacilitatedconversationabouttheirexperiences

inthenonprofitsector,andwhatisspecifictothenonprofitsector.

Changing Technologies

Everygenerationhasprobablyhadtheimpetustobetterserveandimprovetheworldaroundthem.

Themotivationtohaveanimpactisn’tnew.Thetoolsandresourcesavailablenow,however,aredifferent.

Inrecentyears,nonprofitshavebeenontheleadingedgeofnewtechnologyinordertoraiseawareness,

mobilizestakeholders,andbuildcommunity.Forexample,usingdatabaseandcommunicationtechnology,

theNationalMarrowDonorProgram’sBetheMatchregistrygathersinformationaboutvolunteerswillingto

donatebonemarrowandconnectsthemwithpatients,doctors,andresearchersonascalehardtoimagine

30yearsago.CaringBridgeprovidesfreewebsitesthatconnectpeopleexperiencingasignificanthealth

challengetofamilyandfriends.TheGenerationProjectconnectsyoungdonorsandtheirgiftsdirectly

withteachersandstudentsinneed.Technologicaladvancementsarechangingthetypeofworknonprofit

organizationsengagein,andhowtheyaccomplishtheworkthattheymayhavebeendoingfordecades.

THE CONTEXT OF NONPROFIT ORGANIZATIONS: OPPORTUNITIES AND CHALLENGES

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Diverse Stakeholders

Manyfor-profitentitiesareprimarilyconcernedwithshareholders,customers,andemployees.Nonprofits,on

theotherhand,mustengagewithafarmoreexpansivesetofstakeholders,allofwhomareseekingdifferent

relationshipsandconnectionswiththenonprofit.Figure1illustratesthestakeholderwheelofaChicagoarea

nonprofit.Thisorganizationconsidersnotonlyitsclientsandemployeesasstakeholders,butalsoitsdonors

(individual,foundation,andcorporate),thelocalgovernmententities,variousboards/committees,volunteers,

andothersasitskeystakeholders.

Nonprofitleadersmustlearntoeffectivelynavigateandbuildconsensusamongstitsmultipleanddiverse

stakeholders.Boardsofnonprofitorganizationsarealmostalwaysvolunteerorassociatedwithminimal

compensation.Thediversenatureofnonprofitorganizationscreatestheneedforadiversematrixofskills,

experience,andperspectivesinindividualboardmembers.Nonprofitboardsarenotalwaysclearabouthow

theycanbestcontributetotheorganization’sgrowthanddirection.

FIGURE 1. SAMPLE STAKEHOLDER WHEEL

8

Nonprofit

BoardofTrustees

Volunteers

Employees

Members

Visitors

ProspectiveMembers/

Donors

LocalGov’t/ParkDistrict

OtherBoards

AuxiliaryWomen’s

Donors:Corp.Indiv.Fdn

Copyright 2009, Honack and Howard, Kellogg School of Management. All Rights Reserved.

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Nonprofitsalsooftenhaveavolunteerworkforcewhodoesnotdependontheorganizationforincome

andmaychoosetoleaveatanytime.Thesevolunteersprovideacriticalhumanresourcetothenonprofit.

Theirmotivationsarevariedandtherewardstheyareseekingareasdifferentastheindividualsthemselves.

Nonprofitleadersneedtoplaceapriorityonattractingandretainingvolunteersaswellasstaff.

Fundersordonorsmayalsohavetheirideasabouthowtheorganizationshouldbeled,andhowtheirfunds

shouldbeusedtosupportthemission.

Theabilitytoprovideleadershipinthecontextofdiversestakeholdergroupsisimportantfornonprofit

executivesandboardmembers.Donorsareincreasinglymoresophisticatedandmore“empowered”in

theirphilanthropy.Therearemanycompetitorsfortheirgenerosityandnonprofitleadersmustbeable

toarticulatetheimpactthosedonationshaveonthemission.

Measuring Impact

Measuringsocialimpactismorecomplexthanmeasuringprofitsandlosses.Anonprofitorganization

canmonitoranddemonstrateeffort,butmeasuringtheimpactofthateffortismorechallenging.

Measuringthenumberofmealsservediseasierthandemonstratingareductionintheprevalenceof

hungerinacommunity.

Contributingtothischallengeisthefactthatsustained,measureablesocialimpacttakestimetoevolve.

Thetimehorizonforchangeinthenonprofitsectorcanoftenbelongertermthaninthefor-profitsector.

Thechainofimpactmaybeginwithprovidingaresourceto,orservicefor,anindividualorgroup,but

thedesiredchangeisoftenatthesocietallevelanditcantaketimetocreatethatlevelofchange.

Furthermore,theissuesaddressedbynonprofitsareoftencomplexanddrivenbymultiplefactors–

political,environmental,personal,andsocial.Itishardtolinksocialimpacttoa“cause”relatedtowork

donebyanonprofitorganization.

Thenonprofitfundingenvironmentdoesnotalwayssupportmeasuringsocialimpact.Giventherelatively

lowsuccessrateformedicalexperiments,itisreasonabletoassumethatthesuccessratefornonprofit

interventionsmayalsobelow.Definingandworkingtowardssuccessrequiressustainedeffortandthatcan

beexpensive.Inaddition,itisdifficulttoadopta“failsoon,failoften”approachwhenfundingisridingon

successandcompetitionishigh.Finally,asmentionedabove,nonprofitleadersanswertoalargenumber

ofstakeholders.Thesestakeholdersallhavedifferentmotivationsand,thus,differentexpectationsand

measuresofsuccess.Defining,measuring,andcommunicatingsocialimpactwithmultiplestakeholder

groupsisacomplexandsubstantialundertaking.

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Combining Effort

Thecurrenteconomicclimatehasencouragedmanyconversationsandpredictionsaboutmergersand

partnershipsinthenonprofitsector.Manystakeholders,particularlyfunders,aresuggestingthatnonprofit

organizationsworkmorecloselytogether.Thereappeartobetwomainmotivationsforthis.Onemotivation

istoreducecosts.Byjoiningforces,somenonprofitscanrealizecostsavingsthroughsharedresourcesand

better(bulk)pricing.Outsourcingfunctionsisanotheroption.Somenonprofitsarepoolingfundstohirea

bookkeeperorhumanresourcefunctions.Astrongexampleistheriseofcooperativesacrossthecountry.

InChicago,forexample,theBackOfficeCooperativehasbroughttogethermid-sizedsocialserviceagencies

toleveragescaleandbestpracticestodrivedownbackofficecosts(http://www.backofficecoop.com/).

InPittsburgh,theCDCollaborativeisavoluntaryassociationofsevenorganizationscommittedtoopen

communicationandcoordinationabouttheirindividualprojectsinfourtargetneighborhoods;othergroups

liketheGreaterPhiladelphiaUrbanCoalitionandtheTidesCenterserveasfiscalsponsorsandprovide

the“umbrella”underwhichsmallernonprofitscanfindneededservices.Aconcernraisedinourresearch

wasthattwoorganizationsmaybeabletogetmoremoneyindependently,sopartneringmaynotincrease

resourcesbutratherhaveanegativeeffect.Thesecondmotivationisthatsubstantivesocialimpactrequires

big,coordinatedeffort.Itisunclearwhatshapethecombinationofeffortswilltake.Nonprofitstaffand

boardsmaybereluctanttoletgooftheidentityofanonprofitand,thus,notconsidermergerasanoption.

Onepositiveoutcomeofthistrendmightbeahighercoordinationwithinthenonprofitsector,andbetween

nonprofitorganizationsandothersectors.

Lacking Human Resource Support

Whilesomenonprofitorganizationshavesophisticatedhumanresource(HR)systems,manydonothave

dedicatedHRfunctionsortrainedHRstaff.HRprofessionalscouldassistnonprofitorganizationswithhiring,

roleclarification,staffdevelopment,compensationpolicies,andperformancemanagement.BecauseHR

tendstobeunderfunded,nonprofitorganizationsmaystrugglewithidentifyingtheskillsetandexperience

needed,conductingathoroughsearchfortherightfit,andprovidingonboardingfornewstaff.Trackingthe

paidandvolunteerworkforceandprovidingadequatetrainingandoversightareamongtherolesforHR.

Somefoundations,likeTaproot,arespecificallyfocusingonclosingthisgap.

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Work-Life Fit Expectations

Theriseofnewtechnologiesandneworganizationalformssupportsandenablesashifttowardsamore

flexibleworkforce.Withincreasedtechnicalconnectivity,thereisanincreasedexpectationthatindividuals

canbeavailableorworkinganywhere,atanytime.Technologiessimultaneouslyincreasethefluidityof

modernlifeandprovideamechanismformanagingthefluidityofthemodernlife.Theincreasingdiversityof

theworkforceandchangingsocialnormsalsocontributetoshiftsinexpectationsabouthowworkand

nonworkrolesandresponsibilitiesaremanaged.Findingnewwaystohelporganizationsandtheworkforce

tobeproductiveandeffectiveinthemidstofthesechangeswillbeagrowingchallengefornonprofitleaders.

Blurring Boundaries

Theboundariesofthenonprofitsectorhavealsoblurredasneworganizationalformshavedeveloped,

suchasthelow-profitlimitedliabilitycompaniesorL3Cs,CertifiedBCorporations,andsocialenterprises.

Youngerleadersareconcernedwithsolvingsocialproblemsthroughtheirworkandlessinterestedinthe

organizationalformoftheiremployer.Timewilltellifthesenewformsareenduring,buttheriseofnew

waysofthinkingaboutorganizationssuggeststhatfor-profitandthenonprofitsectorsarenotfully

addressingtoday’schallengesandharnessingtoday’sopportunities.

Need for Development

A2006reportaboutaforthcomingleadershipdeficitinthenonprofitsector(Tiereny)putaspotlighton

thegrowingneedforleadershipandleadershipdevelopment.Thenotabledipintheeconomyhaspeople

workinglongerthanexpectedandhelpedtoquelltheexodus,buttheneedforleadershipdevelopment

hasnotsubsidedasjobsarebeingcreatedwithinthesector(Simms&Trager,2009).Thereisgreater

recognitionoftheimportanceofdistributedleadershipratherthanasingleleader,andofhavingleadersthat

arediverseinmultipleways.Thus,newleadersandnewkindsofleadershiparecalledfor.

Theneedforleadershipdevelopmentinthenonprofitsectorisn’tsomethingthatishighlycontested.So

whyisn’tithappening?Oneissueistheperceptionthatthere’snotimeforit.Staffmemberstendtohave

overloadedschedules,andprovidingdirectservicestendstobewhystaffmembersareemployedand

whattheyareexpectedtodo.Engagingindevelopmentisperceivedtobetimeawayfromworkingon

themission.Fundersandboardsoftenreinforcethisnotionbyfocusingfundsondirectservice.Uncertain

revenuestreamsforsomenonprofitsputthefocusongeneratingormaintainingfunding(inordertokeep

operationsgoing),ratherthanengaginginactivitiesthathavealonger-termhorizon.Itcanbedifficultfor

nonprofitorganizationstodefendexpendituresrelatedtooverheadandcapacity.Inaddition,thereisoften

notdedicatedHRstafftohelpidentifyappropriateprofessionaldevelopmentopportunities,orlearningpaths,

foralllevelsoftheorganization.WithoutstrongerHRsystems,nonprofitorganizationswillnotbeabletobe

learningorganizationsattractingandretainingthebestandbrightestworkerstomeettheirmissions.

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Inthissection,weexaminethenonprofitsectorfromaworkforceperspectivetogaininsightintowhat

motivatestheworkforce,howpeoplefeelabouttheirwork,andwhatchangesthey’dliketosee.

Werelymoreheavilyonthedatawegatheredusingthreedifferenttechniques:survey,focusgroups,and

appreciativeinquiryinterviews.Ourquantitativedatasuggeststhatmorecommonalityexistsbetween

generationsthannot—manydifferencesdisappearafteraccountingforage,careerlevel,andotherfactors.

Inmostcasesourobservationsapplytoallgenerations,butwecalloutonesthatwereparticularlyrelevant

toyoungergenerations.

Inthissectionwefocusonthethemesweexploredthroughourresearch.Overall,respondentsindicatethat

theyarecommittedtotheirorganizations,satisfiedwiththeirjobs,contentwiththeirpay,and,ingeneral,do

notintendtoturnover.Peoplearedrawntononprofitworkbecauseoftheirpassionforthemission.People

generallyagreethattheyfeelsupportedbytheirorganizationandboss,thattheirorganizationissocially

responsible,andthatorganizationalpoliticsisn’tamajorissue.Peoplegenerallyfeelthereismanagement

supportforfamily,buttheystillexperiencework-familyconflictandperceivetheretobemoderatecareer

consequencesformakinguseofavailablefamily-friendlyprograms.

Motivation and Pay Satisfaction

Overall,thereisasenseofpurposeateverylevel.Respondentsreporthigherlevelsofintrinsicandidentified

motivationthanextrinsicandintrojectedmotivation.Thisshouldpleaseemployers,managers,andbosses

becauseintrinsicmotivation(findingjoyinyourwork)andidentifiedmotivation(feelingdriventoachieve

goals)arecloselyassociatedwithproductivity,engagement,andinnovation(Amabile,1983;Bono&Judge,

2003).Atthesametime,peopleatlowerlevelsaremoreconcernedaboutpaythanarepeopleathigher

levels(seeFigure2).Thissuggeststhattheremaybeathresholdunderwhichpayincreasesinimportance.

Whilewedonotknowthecause,wespeculatethatpayforsomehourlyandentrylevelnonprofitemployees

maynotallowthemtobefinanciallyindependent.Whileworkinginanareathatisrewardingintrinsically

maybeemotionallyfulfilling,theemotionalfulfillmentismoredifficulttoexperiencewhenyoufeel

financiallyunstable.Forexample,ifanindividualisworriedaboutpayingrentandpayingbills,meaningful

workisunlikelytobeenoughtokeephimorherhappy.Oncethatthresholdismet,paymaybecomeless

important.Forexample,nonprofitexecutivesareamongthemostsatisfiedwithpay,whichmaybetheresult

ofhavingmeaningfulworkaswellasadequatecompensation.Conversely,itshouldbenotedthatSimmsand

Trager’s(2009)researchsuggeststhatinadequatecompensationremainsabarrierforattractingleaders

tothenonprofitsector.Dataaboutworksatisfactionsuggestthattheintrinsicrewardsofnonprofitwork

couldbefurtherleveraged.

NONPROFIT WORKFORCE

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FIGURE 2. SATISFACTION WITH PAY BY PROFIT STATUS AND ORGANIZATION LEVEL

The Importance of Impact

Peoplewanttoseetheimpactoftheirorganization’sworkandoftheirworkspecifically.Itisnotjustamatter

ofworkingforanorganizationthathasanimpact,butalsoseeingthevalueandimpactofthespecificwork

theyaredoing.Italsoappearsthattheconversationaboutimpact,ingeneral,isgettingmoresophisticated.

Fewerpeoplearewillingtotakeitonfaiththattheyaremakingapositivedifference;theywanttangible

evidenceofthedifferencetheyaremaking,andtounderstandthebiggerpictureofhowdiverseelements

cometogethertomakeadifferenceortosolveasocialproblem.

Turnover

Regardlessofwhethertheyworkedinthefor-profitornonprofitsector,Millennialswereslightlymorelikelyto

saythattheyintendedtoleavetheirorganization,orturnover,thanwereoldergenerations(seeFigure3).

Sat

isfa

ctio

n w

ith

Pay

(M

ean

Sco

re)

For Profit Nonprofit

2

0

4 Top/Executive

Upper Middle

Middle/Professional

Hourly/Entry Level

FIGURE 3. INTENTION TO TURNOVER

Inte

nti

on

to

Tu

rnov

er

(Mea

n S

core

)

2

1

0

3

Silent Early Boomer Late Boomer Gen X Millennial

1.92 1.94

2.19 2.22

2.63

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Thisisconsistentwithresultsfrompastresearchwhichshowsthatyoungerpeople(regardlessofgeneration)

aremorelikelytochangejobsthanareolderpeople.Commentsfromthefocusgroupsandinterviews

suggestthat,inthiscase,Millennialsthinkingaboutchangingjobsmaybelinkedtothedesiretohaveand

seeanimpactinawaytheydonotintheircurrentposition(asindicatedabove).Resultsfromthefocus

groupssuggestthatwithinthenonprofitsector,peoplemaybemoremarriedtoacausethantheyaretoan

organization.SaidoneMillennial,“Today’scollegegraduatesarenotlookingforacareer,butlookingforthe

experiencesthatwillenablethemtomovefromjobtojob.”EchoedanMBAMillennial,“Wearetransient.

Wemove.Wearegeneralists.”Withthisfocusonthecausecomesawillingnesstochangeorganizationsifa

persondoesnotbelieveheorsheishavinganimpacttheybelievetheycouldinanotherjob.

Learning

Thereisastrongdesireforgreaterlearning

anddevelopmentopportunities.Classroom

andtechnology-enabledlearningopportunities

thatresultindegreesandcredentialsremain

important,butthereisarealdesirefor

hands-onlearningthatisclearlytransferrable

totheworkplace.Inoneofthestudentfocus

groups,studentsexpressedthattheywanted

regularopportunitiestolearn.Thestudents

wantedopportunitiestobeinnovativeand

creative.Theyappreciatedenvironmentswhere

theyhadthefreedomandflexibilitytogather

inputanddevelopsolutions.Onestudentsaid“Ican’timaginebeinginaplacefor15years.Whatmotivates

meistolearnnewthingsanddonewstuff;butIdon’tbelieveanorganizationcankeepreinventingitself

tooffermenewthings.IfI’mnotlearning,Ilosemymotivation.Iwanttobemarriedtoacause,notan

organization.”Peopleofallgenerationswanttobementored,andtheyalsowanttomentorothers.This

desiretolearnanddevelopcouldbeasignificantassetfornonprofitorganizationsiffullyleveraged.Given

thelimitedstaffandscopeofsomenonprofitorganizations,figuringouthowtokeeptalentedpeopleinthe

sectormay,attimes,bemorebeneficialthantryingtokeeptheminanorganization.

15

I can’t imagine being in a place for 15 years.

What motivates me is to learn new things

and do new stuff; but I don’t believe an

organization can keep reinventing itself to

offer me new things. If I’m not learning,

I lose my motivation. I want to be married

to a cause, not an organization.

Focus Group Participant

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Structure and Flexibility

Emergingleadersdesiredbothstructureandflexibilityintheworkplace.Whatinitiallyappeared

paradoxicalcouldbeeasilyexplained.Clearorganizationalstructuresandhierarchywereusefulwhen

theycontributedtodevelopment,careerprogression,learningopportunities,andregularfeedback.

Whenorganizationalstructuresandhierarchycreatedobstaclestodoingtheworkorwastooinflexible

toallowforwork/lifebalanceaccommodationsorinhibitedcreativity,theywereviewednegatively.

Youngergenerations(GenXersandMillennials)feeltheyhavemorework-familyconflictthanolder

generationsdo(BabyBoomersandSilents),andyoungergenerationsbelievetherearegreaterconsequences

formakinguseofavailablefamily-friendlyprograms.Theybelievethattechnologycanbeusedasastrategic

tooltoincreaseefficiencyandtoimprovework-lifebalance,buttheyalsohadtobeabletodisconnectfrom

work(whichwasproblematicforthem).Withtheincreaseintechnologyuse(e.g.,carryingBlackberriesand

emailaccessibleathome)thelinesbetweenworktimeandpersonaltimeareoftenblurry.Technologyis

partoftheproblem,andmanybelievethatitisgoingtobeacriticalpartofthesolutionaswell.

SomethinginterestingthatwenoticedwasthatGenerationXerssometimefeelcaughtinthemiddle;

“struggling”asonewomancommented“tofindastronganddistinctivevoice”GenerationXisthefirst

generationthatissmallerthantheprecedingandsubsequentgenerations.Byandlarge,BabyBoomersrun

theorganizations,andMillennialsarethenewhireswhoaremakingalotofnoise.GenXershavetomake

suretheworkgetsdone,whilemanagingtheconflictsbetweenthepeopleatthetop(primarily

BabyBoomers)whoknowhowtheywantthingsdone.Thenewhires(primarilyMillennials)thinkthey

knowhowthingsshouldbedoneandarefrustratedthattheycan’tgettheorganizationstoshifttodo

workinthewaytheythinkwouldbemosteffective.SaidoneGenXer,“Inmymid-30’s,Iamstuckinthe

middle.”Anotheragreed,“The‘sandwich’generationdoesn’tleavewithoutapaycheckandI’mjealous

oftheyoungergenerationwhoisnotworriedaboutfinancialsecurity.Theirfreedomisamazing.”

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Basedonourinterpretationoftheavailableinformation,wedevelopedthefollowingrecommendations.

Weorganizedourrecommendationsbykeythemeswhicharenotmutuallyexclusive.Theserecommendations

includesomeeasy,low-costideas,butsomerequireasignificantshiftwithinthesectorandamongthose

dependingonandsupportingthesector.A2011reportfromCompassPointandtheMeyerFoundation

(Cornelius,Moyers,Bell,Brown,&Scott,2011)indicatesthat46percentofnonprofitexecutivesindicated

theirorganizationhadcashreservesthatwouldlastfewerthanthreemonths.Investingincapacitywhen

itisunclearthattheorganizationwillbeabletocoverexpensesandmaintainoperationsisseemingly

counterintuitive.However,amyriadofreportsindicatesuchaninvestmentisexactlywhatisrequired

(AmericanExpressNGenFellows,2011;Enright,2006;Simms&Trager,2009;Tiereny,2006).

RECOMMENDATIONS

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Foster Learning and Build Talent at All Organizational Levels

Peopledesiremorelearninganddevelopmentopportunities.Peoplemaybemorewillingtostaywithan

organizationiftherearelearninganddevelopmentopportunities;or,conversely,toleaveiflearningand

developmentopportunitiesarenotprioritizedbytheorganizationanditsleaders.Ourqualitativedata

suggestthatrisingnonprofitleadersemphasizeexperientiallearningandskillbuilding,notjustgettinga

degreeorearningcredentials.Theneedfortalentwithinthesectorisgreat.Thenonprofitsectoristackling

someofthemostcomplexissuesfacingoursocietyand,inmanycases,doingsowithinadequateresources

andinfrastructure.Fosteringlearningandbuildingtalentatalllevelsisessentialtoattractingandretaining

talent,andtotheeffectivenessoforganizationsandthesectoroverall.

Whilesomelearninganddevelopmentopportunitiesarelowornocost,thereisaneedtoinvestmoreinstaff

andinthetalentdevelopmentfunctionoverall.Ofteninvestmentsaretooexpensiveforanorganization,

and/orfrowneduponbyboardsandfunders.Findingwaystodemonstratethevalueandimportanceof

investmentsintalent,especiallyasitrelatestomissionfulfillment,iscriticaltoincreasingthepriorityof

theseexpendituresamongnonprofitleadersandfunders.

Current Leadership

•Understandthetalentavailabletotheorganization.Identifyifstaffmembersarebeing

underutilizedorincorrectlyutilized.

•Discusstheimportanceofinvestingintalentwiththeboard.Seektoprioritizeinvestmentsin

learningbudgets,andtoidentifywaystheboardmaybeabletohelpadvancelearning(suchas

servingasmentorstostaff).

•Providesystematicapproachesforlearningandcultivateacultureofgrowthanddevelopment.

Engageinstrategicrisktakingsoindividualscanlearnbyexperienceandsharetheirlearning.

Specific ideas include:

• Developpeoplethroughchallengingassignments(Developmental Assignments: Creating Learning

Experiences without Changing JobsbyMcCauleyisagoodresourceforthis).Giveindividualsexplicit

responsibilityandaccountabilityovertasks,clients,people,and/ordecisions.

• Examineandattendtothetrainingneedsofboardsandvolunteers(resourcesfromorganizations

likeBoardSourceandtheCenterforNonprofitManagementmaybehelpful).

• Useevaluationsasopportunitiestoreflectandlearnaboutwhatisworkingandwhatcould

beimproved.Linklearningtohavinganimpact.Hostcollectivediscussionsinwhichreflectionand

actionarethenorm;reinforcestrategicthinkingandsystemicapproaches,andarticulatethe

benefitsintermsofimpactandefficiency.

continued on next page

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• Whenpossible,promoteregularindividualfeedbackandinvestinperformancesystems.

• Createskillshareopportunitiesthatareenergizingandinformativeforstaff.Involvestaffin

cross-functional/interdisciplinaryteamstotacklestrategicissues.

• Createopportunitiesformentoring,includingprovidingtrainingforsupervisorstobecomebetter

mentors.[TheAmericanExpressNGenreportprovideshelpfulinformationonthis.]

•Leveragetrainingopportunitiesasawaytosharetheorganizationalvisionandcreatealignment

ofefforttowardsimpact.

Emerging Leaders

•Identifyapersonalboardofdirectors,committedtohelpingyoubesuccessful.Lookforopportunities

outsidetheorganizationtotakeonleadershipresponsibilities(e.g.,asavolunteerorboardmember).

•Seektounderstandtheorganizationfromdifferentfunctionalperspectives.Interviewleaderswithinyour

organizationandotherorganizationsabouttheirrole.Askthemtohelpyouunderstandyourorganization

andhowworkgetsdone.

•Takechargeofyourexperiencesbyaskingforstretchresponsibilities,seekingmentors,

andbeingamentor.

•Frameyourtalentsinamannerthatdemonstratesyourvaluetoyourorganization,andaskfor

developmentopportunitiestohoneorgainskillsandexperiences.

Funders

•Fundopportunitiesforpeopletolearn.Forexample,providefundingformentoring,coaching,training

programs.Investinmulti-organizationalleadershipdevelopmentandinorganizationalexchanges.

•Makeitarequirementthatmorethanonestaffmemberperorganizationparticipatesandthatthese

membersrepresentdifferentlevelsoftheorganization.Thisapproachwillallowyoutocreateleadership

developmentopportunitiesbeyondtheExecutiveDirectorlevel.

•Lookforopportunitiesforskilltransfersbetweenorganizationsandacrosssectors.

TheTaprootFoundationandUnitedWay’sloanedexecutiveprogramareexamplesofthis.

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Foster Learning and Build Talent in the Sector

Careersareincrediblyfluid;individualsarelikelytochangejobsandchangeorganizationsmultipletimes

duringthecourseoftheirworkinglife.Fosteringlearningandbuildingtalentwithinthesectorisimportantto

keepingtalentedindividualsinthesector,andtoenhancingtheeffectivenessofthesectoroverall.Thisissue

isparticularlydifficultbecauseitishardfororganizationstoinvestintraininganddevelopmentatall,anda

fluidworkforcemakestheinvestmentseemevenmorelikearisk.Whyinvestinsomeonewhomaybegone

intwomonths?Buttherealityispeopledochangeorganizations.Insomecases,thatmaybetheonlyway

forsomeonetoadvancehisorhercareerandtohaveaccesstonewlearningopportunities.Expandinghow

wethinkabouttalentdevelopmentandutilizationtoincludethesectorialperspective,andfindingwaysto

supportitatthatlevel,isimportanttoachievingthebigimpactoftensought.

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Current Leaders

•Createstrongperformancemeasurementsystemstoarticulate,acknowledge,andrewardindividual

andcollaborativecontributionstoimpact.

•Continuetoaccesstalentevenwhenthatpersonisnolongerpartoftheorganization.Usepositive

turnovertocreateambassadorsofyourorganizationwhomaydirectaninfusionofnewtalenttoyour

organization.Keepyourdooropenandstayconnectedtotalentedstaff.Forexample,manycorporations

create“alumninetworks.”Perhapsthisisanopportunitytokeepformeremployeesconnectedtothe

organizationthroughtechnology,annualevents,etc.

•Bepartofandcontributetosector-basednetworks(seetheworkofJuneHolleyat

http://www.networkweaver.com/andBethKanterathttp://www.bethkanter.org/the-networked-nonprofit/)

Emerging Leaders

•Beopenandhonestaboutyourlearningexpectationsandlookforopportunitieswithinthesector.

•Createabroadnetworkthatincludesindividualsworkinginasimilarareabutatotherorganizations.

•Don’tletanegativeexperienceinoneorganizationtarnishyourviewofthesector.

Funders

•Fundand/orhostlearningcirclestostrengthenanddocumentlearningwithinthesector.

•Fundissuesorcausesthatcutacrossorganizations.

•Supporttheflowoftalentwithinthesector,andseekwaystohelporganizationsbuildandmaintain

connectionstotalentedindividuals.

•Fundtalentedindividualstoattractthemtoandkeepthemworkingonimportantcauses.

Leadership Developers

•Identifycross-organizationallearningtopicsandengagecommunityleadersfromacrossthenonprofit

sectortoshareeffectivepractices.

•Createresourcesthatidentifyandsupporteffectivepractices.

•Exploretechnology-baseddeliverymechanismstoreachalargerspectrumofleaders.

•Encourageteam-basedlearning.

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Adapt to Changing Work and Workplace Expectations

Ashifttoamoreknowledge-basedeconomyandtheadvanceofmobiletechnologieshaschanged

thedefinitionsandprocessesofproductivity.Itispossibletoworkfromdifferentlocationsandto

worknonstandardhours,andbehighlyproductive.Itisalsopossibletoworknonstopandtoburnout;

workingmoredoesn’talwaysleadtoachievingmore,andtherearenegativeconsequencestoconsider.

Manypeoplestrugglewithhowtobestmanageworkandnonworkrolesandresponsibilities.

Expectationsaboutproductivityandabouthowworkgetsdonemaynotbeclearorshared.Individuals,

particularlyyoungerworkers,increasinglyhavethedesiretochoosehowtheymanagetheirlife.

Forexample,oneemployeemaywanttoworkfixedhoursinanofficesettinginordertoprotectpersonal

time,andanothermaywanttoworkfromhomeorworknonstandardhoursinordertoblendrolesmore

fluidly.Noonewayofworkingisagoodfitforeveryone.SaidoneMBAstudent,“Wewanttheflexibility

ofwhenandhowwework–athome,intheoffice,variablehours,etc.”

Thereisadesireforflatorganizationalstructuresthatallowforfluidexchanges,thatiscontrastedwith

adesireforcareerprogressionandaclearpathforadvancement.Leadersarecalledontofindwaysto

reconciletheseseeminglyconflictingperspectives.AGenXerparticipantstated,“Weareconflicted.People

wantahierarchysotheyknowhowtoadvance,BUTwantthefreedomtoinnovate.”

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Current Leaders

•Setappropriateboundariesandexpectations.Communicateclearpolicies,includingperformance

expectationsandthewhere,when,andhowworkisflexible–orifitisnot.

•Focusontheimpactandqualityofwork–notjustthehoursworked.Examinetheassumptionthat

workinglonghoursisaproxyfororganizationalcommitment,orisnecessaryforonetopayone’sdues.

•Makesuretalent(includingyou)isabletoretaintheirhealth.Payattentiontomanagingtheemotional

andphysicalimpactofworkinglonghours.Knowandbesensitivetosignsofburnoutinyourselfandothers.

•Bearolemodelforpayingattentiontoone’swell-beingasanaspectofachievingsustainableimpact.

Alternatively,communicatethatyoumaynotbemodelingwork/lifebalanceinwaythatwillworkfor

everyone,butyouarechoosingtoworkthewayyouwantto(forexample,youmaychoosetowork

longerhoursbecauseyouhaveahigherlevelofresponsibilityoryouhavefewerfamilydemands,etc.).

•Developsuccessionplansacrosstheorganizationandbeclearaboutpossiblecareerpathsandwhat

ittakestomoveforward.

Emerging Leaders

•Understandhowyoucanbemostproductive.Experimentwithdifferentwaysofworkingto

determinewhatworksbestforyou.Whenpossible,negotiatetoworkinthemannerthatismost

productiveandenergeticforyou.

•Recognizeandaddressissuesofpotentialburnout.Althoughitisoftenimportanttoproveyourself,you

alsohavetothinkaboutcreatingpatternsofworkthataresustainable.

•Talktoformalleadersaboutappropriateboundariesandexpectations(getrealisticinformationabout

whatisrequiredandwhatisflexibleinyourjob).

Funders

•Supportorganizationalstructuresandoperationalneeds,includingsuccessionplanningfunds,

sabbaticals,fellowships,cross-training,etc.

•Supporttechnologicalinnovationsthatwillenhanceorganizationaleffectivenessandefficiency.

Leadership Developers

•Provideopportunitiesandsupportforleaderstodeterminehowtheyworkmosteffectivelyandhowto

supportdifferentwaysofworkingtohelpothersbeaseffectiveaspossible.

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Measure, Communicate, and Connect to Impact

Peoplewanttohaveandtoseeanimpact.Theywanttoseetheimpactoftheirorganizationsandoftheir

workspecifically.Peoplemayleaveanorganizationiftheybelievetheorganizationisnothavingasufficient

impact,oriftheybelievetheirpersonalimpactisnegligible.Conversely,beingabletoseeandtocontribute

positiveimpactinanareaaboutwhichtheycaredeeplycanbeextremelymotivating.Youngerleadersare

particularlyconcernedwiththeimpactoftheworktheydo.QuotesfromMillennialsincluded,“Theresults

keepyougoing”and“IneedtheabilitytoSEEtheimpactIamhaving.”Asmentionedabove,theimpactof

nonprofitworkcanbeverydifficulttomeasure,makingthisadifficultexpectationtomeet.However,more

canbedonetoconnecttheworkofindividualstothemissionandimpactofanorganization,andmorecan

bedonetoarticulateandmeasuretheimpactofnonprofitsandgroupsofnonprofitsworkingtogether.

Itisimportanttokeepinmindthatevaluationdatahasbeen,andcanbe,usedtocutfunding–andthereis

aneedforgreaterstakeholderclarity,alignment,andtransparencyaboutevaluationprocessandpurpose.

Ifpeoplearescaredtoseekinformationaboutandtobehonestaboutwhatisandisn’tmakingapositive

differenceandwhy,thesectorwillbehamperedinitsefforts.

Current Leaders

•Focusonoutcomesandimpactindiscussionswithdiversestakeholders.Thesediscussions

shouldexaminecurrentoutcomes/impactandseekwaystocreateimprovement(inother

words,engageinimpact-drivenlearning).

•Don’tlimityourselftothemetricsfundersasktosee.Seektoolstodefineandmeasureorganizational

impactand,whereappropriate,theimpactofcollaborativeworkwithotherorganizations.

•Usemeasurementtomaketheimpactcasenotjusttofundersbuttoallstakeholders,including

employees,volunteers,clients,donors,andothers.

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•Helpemployeescreateconnectionsbetweenperformancegoalsandthegoals,objectives,andstrategies

oftheorganization.Talktoindividualsaboutthetypeofimpacttheywanttocreate,andlinkthe

outcomesoftheirworktoimpactsoimpactisthefocusofthework.

•Provideregularpositiverecognitionandfeedbackabouttheimpactyouseeindividualsandteamshaving,

andtheimpacttheorganizationishaving.Notallemployeesunderstandorseetheimpactoftheirwork.

Employeesmayappreciatebothprivateandpublicrecognition.

Emerging Leaders

•Learnaboutwaystomeasureimpact.

•Understandthedepthandbreadthofimpactyouwanttohaveinyourwork.

•Maketheconnectionbetweenyourworkandthemissionoftheorganization.Helpotherstakeholders

makethesameconnectionforthemselves.

Funders

•Supportorganizationaleffortstoarticulateimpactandmeasureimpact,bothattheorganizational

levelandwithinthesectorgenerally.Thissupportcouldhelpshapepartnerships/collaboration/

cooperationwithinthesector.

•Supportthedevelopmentofstafftodeterminewhatdatatocollect,howtocollectdatasystematically,

andhowtousedata.Forexample,incorporatingappropriatemethodsandtrackingsystemsthat

collectdataonaregularbasis.

•Framethemeasurementofimpactasalearningexerciseanduseitassuch.Thisapproachwouldinclude

acceptingnegativemeasurementandsupportstrategicrisk-taking,aswellasacknowledgingand

celebratingthesuccessofgranteeslearningandachievingimpact.

•Fundresearchaboutwhatworks,whereitworks,andwhyitworks.Promotethedevelopmentanduse

ofevidence-basedbestpractices.

Leadership Developers

•Helpleadersarticulateaspecificvisionforimpactandhowthatvisioncanbeachieved.

•Assistleadersindevelopingpracticestheycanusetohelpengagepeoplethroughthe

desiretohaveimpact.

•Workwithleaderstocreateorhaveaccesstotoolsthateffectivelymeasuretheimpactoftheir

organization,andassisttheminimplementingameasurementcultureintotheirorganization.

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Thelistbelowisnotexhaustive;itismerelyourthoughtsaboutwhatkindsofresearchwouldbehelpful

tothefieldinordertounderstandandmovetowardsimpact.

•Designandtesttalentexchangemodelsbetweenfor-profitandnonprofitorganizations.

•Identifycareermodelsemerginginthenonprofitsector.Dononprofitleadersderailfordifferent

reasonsthanfor-profitleaders?

•Understandwhypeoplearedrawntoandstaywithanorganization,andwhypeopleleaveorganizations

inthenonprofitsector.Whatfeaturesabouttheorganizationoraboutthesectormotivatetheirdecisions?

•Askyoungleaderswhattheythinkabouttheirleadershipidentityandleadershipingeneral.

•Examinethetrade-offsbetweengrowth/learningopportunities,impact,pay,workflexibility,work-life

balanceforcareerchoices.Whatarethehigherpriorityitemsandforwhichgroups?

•Examineideasforhowtoinfuselearninginlow-costbuteffectiveways.

•UnderstandtheexperienceofGeneration-Xersandwhyitisimportanttopayattentiontothem.

•Interviewpeoplewhohaveleft(orjoined)thenonprofitsectorabouttheirdecision,andexaminethe

differencesinresponsesforindividualsworkinginthefor-profitsectorversusthenonprofitsector.

•Studythecollaborationandinterdependenceofnonprofitorganizations.

•Examinehowneworganizationalstructuresimpacttheoutcomesofnonprofiteffort.

•Assesstheimpactofdifferentapproachestoboardtraining.

•Profilesuccessfullearningorganizations.Whatdoestheorganizationdo?Howdoesithappen?

•Interviewthoughtleaderstodevelopnewwaysofthinkingaboutinvestmentsintrainingand

developmentinthenonprofitsector.

RECOMMENDATIONS FOR FUTURE RESEARCH

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Amabile,T.M.(1983).The social psychology of creativity.NewYork:Springer-Verlag.

AmericanExpressNGenFellows.(2011).Changing the status quo: Intentional succession

planning through leadership development.Washington,D.C.:IndependentSector.

Ashby,W.R.(1956).An introduction to cybernetics.London:Chapman&Hall.

Bono,J.E.,&Judge,T.A.(2003).Self-concordanceatwork:Towardunderstandingthemotivational

effectsoftransformationalleaders.Academy of Management Journal,46,554-571.

Cooperrider,D.(1995).Anintroductiontoappreciativeinquiry.InD.F.Harvey&D.R.Brown(Eds.),

An experiential approach to organization development(5thed.).NewYork:PrenticeHall.

Cornelius,M.,Moyers,R.,Bell,J.,Brown,L.,&Scott,M.(2011).DaringtoLead2011:A national study of

nonprofit executive leadership.SanFrancisco:CompassPointNonprofitServicesandtheMeyerFoundation.

Enright,K.P.(2006).Investing in leadership, volume 2: Inspiration and ideas from philanthropy’s last frontier.

Washington,D.C.:GrantmakersforEffectiveOrganizations.

GrantmakersforEffectiveOrganizations.(2006).Supporting next-generation leadership.

Washington,D.C.:Author.

Hubbard,B.(2006).Investinginleadership,volume 1: A grantmaker’s framework for understanding

nonprofit leadership development.Washington,D.C.:GrantmakersforEffectiveOrganizations.

Krueger,R.A.,&Casey,M.A.(2000).Focus groups: A practical guide for applied research.

ThousandOaks,CA:SagePublications.

McCauley,C.D.(2008).Developmental assignments: Creating learning experiences without changing jobs.

Greensboro,NC:CenterforCreativeLeadership.

Simms,D.,&Trager,C.(2009).Finding leaders for America’s nonprofits.TheBridgespanGroup.

Tiereny,T.J.(2006).The nonprofit sector’s leadership deficit.TheBridgespanGroup.

VanVelsor,E.,McCauley,C.D.,&Ruderman,M.N.(2010).The Center for Creative Leadership handbook

of leadership development(3rded.,pp.2,375-404).SanFrancisco:Jossey-Bass.

Wing,K.T.Roeger,K.L.,&Pollak,T.H.(2009).The nonprofit sector in brief: Public charities, giving,

and volunteering.Washington,D.C.:TheUrbanInstitute.

REFERENCES

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Kelly M. HannumisaSeniorResearchScientistattheCenterforCreativeLeadershipandavisitingfaculty

memberatCatholicUniversity’sIESEGSchoolofManagementinLille,France.Shehasshapedthefield

ofleadershipdevelopmentevaluationaswellascontributedtoourcollectiveunderstandingofinclusive

leadershipprocesses.HerbooksincludeLeadership Across Difference Casebook Packagepublishedby

Pfeifferin2010andThe Handbook of Leadership Development EvaluationpublishedbyJossey-Bassin

2007.ShehasbeenanactiveBoardMemberfortheLeadershipLearningCommunitysince2007.Sheisthe

recipientofmultipleawardsandrecognitionsforherwork,includingtheprestigiousMarciaGuttentagAward

fromtheAmericanEvaluationAssociation.SheholdsaPh.D.ineducationalresearch,measurement,and

evaluationfromtheUniversityofNorthCarolinaatGreensboro.

Jennifer DealisaSeniorResearchScientistattheCenterforCreativeLeadershipinSanDiego,California.

SheisalsoanAffiliatedResearchScientistattheCenterforEffectiveOrganizationsattheUniversityof

SouthernCalifornia(http://ceo.usc.edu/research/affiliated.html).Jennifer’sworkfocusesonglobal

leadershipandgenerationaldifferencesaroundtheworld.SheisthemanagerofCCL’sWorldLeadership

Survey(currentlyin15languages)andtheEmergingLeadersresearchinitiative.In2002Jennifer

coauthoredSuccess for the New Global Manager(Jossey-Bass/WileyPublishers),andhaspublishedarticles

ongenerationalissues,executiveselection,culturaladaptability,globalmanagement,andwomenin

management.Hersecondbook,Retiring the Generation Gap(Jossey-Bass/WileyPublishers),waspublishedin

2007.Aninternationallyrecognizedexpertongenerationaldifferences,shehasworkedwithclientsaround

theworldandhasspokenonthetopiconsixcontinents(NorthandSouthAmerica,Europe,Asia,Africa,and

Australia),andshelooksforwardtospeakingtoAntarcticpenguinsabouttheirgenerationalandleadership

issuesinthenearfuture.SheholdsaB.A.fromHaverfordCollegeandaPh.D.inindustrial/organizational

psychologyfromTheOhioStateUniversity.

BIOGRAPHIC INFORMATION ABOUT AUTHORS

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Liz Livingston HowardisagraduateofNorthwesternUniversityandholdsanMBAdegreefromtheKellogg

SchoolofManagementatNorthwestern.Ms.HowardistheAssociateDirectorofKellogg’sCenterfor

NonprofitManagementandteachesintheSocialEnterpriseatKelloggProgram.Shedevelopedandteaches

curriculumforMBAstudentsandnonprofitexecutives.Ms.HowardservesastheAcademicDirectorfor

avarietyofnonprofitexecutiveeducationcoursesandhasdesignedseveralcustomexecutiveeducation

programs.Previously,sheservedasAssistantDeanforDevelopmentforKelloggfrom1994to2003.Inthat

role,shewasresponsibleforthefund-raisingactivitiesoftheKelloggSchoolincludingalumniandindividual

solicitation,corporateandfoundationgrants.PriortojoiningtheKelloggSchool,Ms.Howardservedasa

fund-raisingconsultantwithCharlesR.Feldstein&Company,basedinChicago.Heradditionaldevelopment

workwasasDirectorofDevelopmentfortheChicagoTourismCouncil/Mayor’sOfficeofTourismfortheCity

ofChicagoandReginaDominicanHighSchool,Wilmette,Illinois.Outsideofherprofessionalresponsibilities,

Ms.HowardhasbeeninvolvedwithanumberofphilanthropicorganizationsinChicago.Currently,sheis

PresidentoftheSchoolAdvisoryBoardforStNorbertSchoolinNorthbrook,aboardmemberofthe100Club

ofChicago,andamemberoftheEconomicClubofChicago.Shehasprovidedconsultingservicesforahost

oflocalnonprofitsintheareasoffund-raising,marketing,strategicplanning,boardgovernance,leadership

succession,andcapacitybuilding.

Sarah StawiskiisaResearchAssociateattheCenterforCreativeLeadership(CCL®)inGreensboro,NC.

Shehasexpertiseinsmallgroupdecisionmaking,businessethics,andprogramevaluation.Shehasauthored

orcoauthoredanumberofpublicationsonthesetopics,including:Theeffectsofethicalclimateongroupand

individualleveldeceptioninnegotiation;Sharedcognitionandgrouplearning;Employmentandretirement

concernsforpersonswithdevelopmentaldisabilities;andConnectingfracturedlivestoafragmentedsystem:

ChicagoHousingforHealthPartnership.BeforecomingtoCCL,SarahworkedforPressGaneyAssociates,a

healthcarequalityimprovementfirm.SheholdsaB.A.inpsychologyfromtheUniversityofCalifornia,San

Diego,andanM.A.andPh.D.inappliedsocialpsychologyfromLoyolaUniversityChicago.

(continued on next page)

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Linshuang LuisaConsultantatPraxiswheresheassistsnonprofitsandmission-drivenbusinesseswith

strategicandfinancialplanning,governance,businessliteracytraining,andownershipculturedevelopment.

LinshuangisamemberoftheteachingteamforAccountingforAssetDevelopmentandEconomicand

FinancialFoundationsofSocialPolicy,graduate-levelcourseintheSchoolofSocialPolicy&Practiceat

theUniversityofPennsylvania.LinshuangguestteachesintwocoursesattheUniversityofPennsylvania’s

NonprofitLeadershipforSocialChangeMastersProgramontopicsrelatingtononprofitaccounting,strategic

financialplanning,financialgovernance,andfinancing.LinshuangworkedpreviouslyatNonprofitFinance

Fundwhereshetaughtworkshopsandprovidedconsultingservicestononprofitsinfinancialplanning,

management,andeducation.LinshuanggraduatedsummacumlaudefromtheHuntsmanJointDegree

ProgramattheUniversityofPennsylvania,withaB.S.ineconomicsfromtheWhartonSchoolofBusinessand

aB.A.ininternationalstudiesandcomparativeliterature.Shehasalsocompletedgraduatelevelcoursework

insociologyresearchmethodsandstatistics.

Nancie ZaneisasocialpsychologistandaPrincipalwithPraxisConsultingGroup.For25years,Nanciehas

workedwithnot-for-profitandpublicsectororganizationstohelporganizationsbuilddiverseleadership

teamsaswellasrealigntheirorganizationalpurpose,culture,andgovernancestructuresthroughinnovative

visioningandstrategicplanningprocesses.NancieheadsthecoachingpracticewithinPraxisandhascoached

andtaughtintheWhartonAdvancedManagementandtheWhartonExecutiveEducationProgramandis

certifiedinClarkeWilsonandtheEQIassessmenttools.NancieisonthefacultyoftheOrganizationDynamics

ProgramandtheNon-profitLeadershipProgramattheUniversityofPennsylvaniawheresheteachescourses

inOrganizationalDiagnosis,GroupandTeamDynamics,andStrategicThinkingandPlanning.Inaddition,

Nanciehasdesignedanddeliveredcoursesonnonprofitleadership,womenandleadership,andintergroup

relations,andwasavisitinglecturerattheUniversityofHaifaandtheGoldaMeirCenterinHaifa,Israel.Her

publicationsfocusonthecreationofcorporatecommitmenttoorganizationaldiversityaswellasrethinking

studentdisciplineinthecontextofschoolrestructuring.Nancieiscurrentlyservingonthenationalboardof

theAllianceforNonprofitManagementandrecentlysteppeddownaspresidentfromthePhiladelphiaCenter

forOrganizationalDynamics.NanciereceivedaB.S.fromCornellUniversityincriminaljusticeandcommunity

psychologyandaPh.D.fromtheUniversityofPennsylvania

withaconcentrationinsocialpsychology.

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BIOGRAPHIC INFORMATION ABOUT AUTHORS(continued)

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Richard H. PriceisStanleyE.SeashoreCollegiateProfessorofPsychologyandOrganizationalStudies,

ResearchProfessorattheInstituteforSocialResearch,andProfessorbycourtesyintheRossSchoolof

BusinessattheUniversityofMichigan.Hiscurrentresearchfocusesonleadershipandorganizational

innovation.HeisconductingfieldstudiesinIreland,Finland,theNetherlands,Korea,China,andtheUnited

Statestounderstandhowleadersusetheirpoliticalintuitionandsocialnetworkstocreateinnovative

organizations.AsDirectoroftheMichiganPreventionResearchCenterattheInstituteforSocialResearch,

heandhiscolleaguesconductsurveysandfieldexperimentsonorganizationalinnovationsaimedat

improvingtheconditionsofworkinglife.TheCenterhasbeensupportedbytheNationalInstitutesofHealth,

theCarnegieCorporationofNewYork,theJoyceFoundation,andtheCaliforniaWellnessFoundation.

PriceisacofounderofICOS,theInterdisciplinaryCommitteeonOrganizationalStudies.Pricewasfounding

DirectoroftheOrganizationalStudiesProgramattheUniversityofMichiganandalsofoundingDirectorof

theBargerLeadershipInstituteatMichigan.In2010PricereceivedtheAmericanPsychologicalFoundation

GoldMedalAwardforLifetimeAchievementintheApplicationofPsychologicalKnowledge.Pricehas

receivedtheDistinguishedContributionAwardfromtheSocietyforResearchandAction,theGroup

PsychologistoftheYearAwardfromtheAmericanPsychologicalAssociation,theInternationalResearch

AwardandthePreventionScienceAwardfromtheSocietyforPreventionResearch,andtheLilaRoland

AwardforPreventionResearchfromtheNationalMentalHealthAssociation.HeisaFellowoftheAmerican

PsychologicalAssociation,theAmericanPsychologicalSociety,andtheSocietyforthePsychologicalStudy

ofSocialIssues.HeholdsanhonoraryappointmentasProfessorofPsychology,InstituteofPsychology,in

theChineseNationalAcademyofSciences.PricehasservedontheBoardofTrusteesoftheWilliamT.Grant

Foundation,andasanadvisortotheInstituteofMedicine,theNationalInstitutesofHealth,theCarnegie

Corporation,andanumberoffoundations.Hehasalsobeenanadvisortogovernmentagenciesand

corporationsinanumberofcountriesinEuropeandAsiaaswellasintheUnitedStates.

Marian N. Rudermanhasbroadexpertisewith25yearsinthefieldofleadershipdevelopment.AttheCenter

forCreativeLeadership,shehasheldavarietyofresearchandmanagementpositions.Marianhaswritten

severalbooksanddevelopedseveralassessmentsandproductsincludingtheGlobalLeaderViewandthe

WorkLifeIndicator.MarianiscurrentlyaSeniorFellowandDirector,Americas&EMEA(Europe,MiddleEast,

andAfrica)ResearchattheCenterforCreativeLeadership(CCL®).SheholdsaB.A.fromCornellUniversity

andanM.A.andaPh.D.inorganizationalpsychologyfromtheUniversityofMichigan.

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World Leadership Survey

TheWorldLeadershipSurveyhascontinuedtocollectdataonlineinEnglishsinceitsinceptioninMarch

2008,andbegancollectingdataintwelveadditionallanguagesinMarch2009.Participantsinthe

researchcomethroughpartnerorganizations,interestedindividuals,andenrollmentinCCLprograms.

ParticipantsfilloutasurveyonlinethatishostedbyClearPictureCorporationandtakesthemapproximately

20minutes.Inthanksfortheirparticipation,participantsreceiveafreeCCLGuidebooktodownload

immediatelyuponcompletionofthesurvey.QuestionsaboutthesurveyaresenttotheWorldLeadership

SurveyemailaccountatWorldLeadershipSurvey@ccl.org.Thesampleforthisreportwascollectedfrom

January2008throughMarch2011.This sample includes:

•Atotalof3,874respondentsfromtheUnitedStates,with1,054respondentsfromnonprofit

organizationsand2,820fromfor-profitorganizations.

•Respondents’companiesrangedfromverysmall(1to9employees)toverylarge(10,000ormore

employees)withthevastmajority(79%)comingfromcompanieswithatleast100employees.

•50%oftherespondentsweremale.

•82%oftherespondentswerewhiteandapproximately6%wereblack,4%wereAsian,and8%were

eitherHispanic,multiracial,oracategorynotdefined.

•2%arefromtheSilentGeneration(born1925-1945),14%areEarlyBoomers(born1946-1953),

30%areLateBoomers(born1954-1963),50%areGenXers(born1964-1980),and3%are

Millennials(born1981-2000).

•Mostrespondentsweremanagersorprofessionals:31%ofthesampleindicatedthattheyarein

Top(C-level)orexecutiveroles,24%uppermanagement,and25%middlemanagementandprofessional,

and4%werefirstlevelorhourlypositions.

ItisimportanttonotethatthisisnotarandomsampleofNorthAmericanmanagersoremployeesand,

therefore,itisnotrepresentativeofthepopulation.Oursampleconsistsofpeoplewhoareemployedand

whowerewillingtotake20minutesoftheirowntimetoparticipate.

APPENDIX: METHODS OVERVIEWS

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Appreciative Interview

Praxisdesignedandfacilitatedthreegroupsbasedonappreciativeinquirymethods,anapproachdeveloped

byDavidCooperriderandothersatCaseWesternReserve(1995).

•Wedevelopedinterviewprotocolsbasedonthethematicareasdeterminedthroughdiscussions

withourCCLprojectpartners.

•Inthecontextofanintroductoryframework,participantswereprovidedwithinstructionsabouthow

toconductinterviewswiththeirpeerswhiletakingnotes.

•Participantsweregiven30-40minutestoengageinpairedinterviewsandthenaskedtofillout

a“summarysheet”tohighlightthecriticalaspectsoftheirinterviews.Theywerealsoengagedina

thematic“sense-making”discussionwhichtookplacebetween30and60minutesinthefull

group,andwastaped.

•Afterthesessions,theinterviewnotesandthesummarysheetsweretypedupaswereanynotes

takenbyfacilitators.Thesefindingsreflectinterviewandsummarynoteswrittenbytheparticipants,

andtranscriptsofthediscussionsaswellasourdiscussionnotes.

Thethreegroupsincluded38participantsandwereheldattheUniversityofPennsylvania(U.ofP.).

Participants included:

•GroupOne:Thisgroupincluded17MBAstudents.Allwerebetween24and33yearsold.Therewere

10womenand7men.Thestudentshadbeeninvolvedasvolunteerswithnonprofit-boardplacements

throughoutthe2ndyearoftheirMBAeducation.

•GroupTwo:Thisgroupincluded9students.Allwerebetween24and30yearsold.Therewere7women

and2men.ThesestudentswerepartoftheNonprofitLeadershipProgram(NLP),SchoolofSocialPolicy,

U.ofP.Thestudentsallhadbackgroundsinnonprofitworkandhaddonenonprofitinternships

duringtheyear.

•GroupThree:Thisgroupincluded13participants.Allwerebetween24and60yearsold.Therewere

12womenand1man.Participantsweremulti-generationalNonprofitCommunityLeadersfromarange

ofPhiladelphia-basednonprofits.Weinvitednonprofitleadersfromacrosstheagespectruminan

efforttotestideasaboutwhatwassimilaranduniquetodifferentgenerationsaboutengagingin

mission-driven,nonprofitwork.

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TheCenterforNonprofitManagementattheKelloggSchoolhostedthreefocusgroupswithanapproach

similartothatdescribedbyRichardKruegerandMaryAnneCaseyintheirbookFocus Groups: A Practical

Guide for Applied Research(2000).TheCenteralsohostedasmallgroupconversation.Allofthegroupsused

asimilarprotocoltoguidetheconversation.

•Group 1:Thisgroupincluded12Chicagoareanonprofitleadersengagedinthenonprofitsectoras

paidstafforboardmemberswhoparticipatedinKelloggSchoolCenterforNonprofitManagement

executiveeducationprograms.ThegroupincludedMillennials,GenXers,andBoomers.Theywere

askedtosharetheirviewsonleadershipinthesector.Asengagedleaders,theybroughtadiversity

ofperspectiveontheissues.

•Group 2:Thisgroupincluded5ChicagoareanonprofitleadersfromtheYoungNonprofitProfessional

Network.Alloftheparticipantswereactivelyengagedinthenonprofitsectoratvariouslevelsof

responsibility.Thisgroupincluded4Millennialsand1GenXer.

•Group 3:Thisgroupincluded6KelloggSchoolofManagementMBAstudents.Alloftheparticipants

wereMillennialsandhadavarietyofexperienceinthenonprofitsectorasvolunteersorboardmembers.

TheywereallparticipantsintheKelloggBoardFellowsProgramwhichplacesgraduatestudentsonthe

boardofChicagoareanonprofitorganizationsforayear.

• Small group conversation:ThisconversationwasheldwithtwomembersoftheCenterforNonprofit

Managementadministrativeteam.BothwereMillennialsandrepresenteddifferentperspectivesonthe

nonprofitsector,inthatonehadanonprofitbackgroundandtheotherfor-profit.

FOCUS GROUPS

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About American Express

AmericanExpressisaglobalservicescompany,providingcustomerswith

accesstoproducts,insightsandexperiencesthatenrichlivesandbuild

businesssuccess.Learnmoreatamericanexpress.comandconnectwithuson

facebook.com/americanexpress,foursquare.com/americanexpress,linkedin.com/

companies/american-express,twitter.com/americanexpress,andyoutube.com/

americanexpress.

American Express: Developing New Leaders for Tomorrow

OneofAmericanExpress’threeplatformsforitsphilanthropyisDeveloping

NewLeadersforTomorrow.Underthisgivinginitiative,whichrecognizesthe

significanceofstrongleadershipinthenonprofitsector,AmericanExpressis

makinggrantsfocusedontraininghighpotentialemergingleaderstotackle

importantissuesinthe21stcentury.TheAmericanExpressLeadership

AcademyisthesignatureprogramoftheLeadershipgivingthemethatdevelops

thefinestemergingleaderswhoarededicatedandpoisedtobeatthehelmof

thenonprofitsector.Sinceitsinception,theprogramhasexpandedtoinclude

threeadditionalpartnersandisnowinternationalinreach.

About the Center for Creative Leadership

TheCenterforCreativeLeadership(CCL®)isatop-ranked,globalproviderof

executiveeducationthatacceleratesstrategyandbusinessresultsbyunlocking

theleadershippotentialofindividualsandorganizations.Foundedin1970

asanonprofit,educationalinstitutionandfocusedexclusivelyonleadership

educationandresearch,CCLhelpsclientsworldwidecultivatecreative

leadership-thecapacitytoachievemorethanimaginedbythinkingand

actingbeyondboundaries-throughanarrayofprograms,productsandother

services.Rankedamongtheworld’sTop10providersofexecutiveeducation

byBloombergBusinessWeekandtheFinancialTimes,CCLisheadquartered

inGreensboro,N.C.,withofficesinColoradoSprings,Colo.;SanDiego,Calif.;

Brussels;Moscow;Singapore;Pune,India;andAddisAbaba,Ethiopia.Itsworkis

supportedby500facultymembersandstaff.

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©2011CenterforCreativeLeadership.Allrightsreserved.