Not-for-Profit Board Best Practices from NACD Program
Our group attended the NACD Tri-Cities event last week in Houston, where the topic was not-for-profit board best practices. The panel discussion touched on some really great points on what the modern not-for-profit boards should look like and be focused on. The speakers stressed that not-for-profits MUST start thinking more like for-profit businesses in order to achieve their goals.
A key point that was made that stuck with the crowd was the concept of "Impactful Philanthropy," and how increasing your revenue through other streams rather than just relying on grants and donations has a direct correlation to how great that impact will be.
Other points that were big take aways for board members of not-for-profits to think about:
– The CEO relationship with the Chairman is a vital one, and the CEO should have a say in who sits in the Chairman or lead director position.
– Should big donors be on the board if they are not active members? To solve this issue, perhaps create a special "counsel" where large donors can be heard and be a part of the board, but not necessarily a voting member.
– What skills are necessary for the boards success? And when you know what those are, go find a director that has those skills.