During the past seven years serving a wide variety of nonprofits as interim chief executive (seven in all), I've frequently been asked to describe what it's like for an organization to transition to a new leader. Below you will find a brief summary of some key insights I have developed in the course of my experiences.

It's an opportunity. Leadership transition presents an ideal opportunity for the kind of constructive change that strengthens effectiveness. With no incumbent in place, the organization is free to take a fresh look at its mission, operations, and environment; to meet current challenges; and to identify and seize future opportunities.

It allows for objective assessment and action. As an outsider, the experienced interim leader—who is not a candidate for the long-term position—has "the best seat in the house" and offers three assets not otherwise available to the organization: (1) the objectivity of someone who is not enmeshed within the organization, the mission, the culture, the history, and the political landscape; (2) perspective based on experience with other nonprofits; and (3) a neutral approach to fact-finding and decision-making, based not on any personal agenda but only on the best interests of the organization. The ability, and duty, to speak candidly from this outsider perspective, and to act accordingly, is a uniquely powerful force for strengthening an organization.

It requires hands-on management. The assessment described above will identify those areas that are working fine, as well as those areas where changes should be made. Maintaining continuity in all areas—program, finance, fundraising, administrative—requires consistent, flexible hands-on management. One of the greatest challenges of the transition period is to repair the playing field while simultaneously continuing to play the game on the existing field.

It's stressful. Leadership transition is highly stressful for any organization. Insiders and outsiders alike worry about the future direction and sometimes even the viability of the institution. Almost everyone embraces the idea of change, but the actual process of change can be frightening. The interim leader is called upon to be the calm amidst the storm.

It presents a variety of challenges. There is no cookbook for leading an organization through executive transition. All key factors must be reviewed, including program delivery, finances, development, upcoming deadlines, key relationships, and board activity. The top priorities will depend heavily on the factual situation, organizational culture, varying attitudes towards the most recent chief executive, and the dynamics between the Board and Staff.

It requires constant communication. Busy nonprofit Staff and Boards find it difficult enough in "normal" times to stay adequately in touch. During transition, when internal and external doubts can be strongest, and the thirst for information the greatest, the interim leader must constantly communicate with all constituencies. This is important for preserving key relationships and for providing credible assurances of consistent progress towards the goal—whether the goal is to hire a new chief executive, consummate a merger, or wind down the operations in a way that maximizes continuity of services to the community.

It's not just about the money. Most nonprofits experience financial anxiety, and the recession has certainly heightened this anxiety. However, organizations often have impressions about their financial condition that are at considerable variance - in either direction - with their actual financial condition. Moreover, financial difficulties usually result not simply from a shortage of funds but from some other organizational weakness(es), which must be addressed in order to ensure long-term viability. Transition is a great time to achieve financial clarity.

It takes as long as it takes. The three major variables are (1) when the search for a successor begins, (2) how long the search takes, and (3) when the new leader is available to begin. Patience is critical; as the saying goes, it takes nine months to make a baby, no matter how many people you put on the job.

It makes a difference. Executive vacancy presents among the greatest risks to the stability of any nonprofit organization: to funder and other key relationships, staff morale, public visibility and credibility, sound fiscal management, and program delivery. Those risks are certainly no smaller today than they ever were. The most gratifying aspect of interim leadership is to help the organization meet the challenges to its stability, continuity and reputation, emerge stronger than before, and succeed in attracting the best possible new leader, and to see it thrive as it serves the community in carrying out its vital mission.

John W. Corwin, a consultant to nonprofits nationwide, specializes in the area of interim executive leadership. His firm, Corwin Consulting LLC, is based in New York. This article can be downloaded at www.corwinconsulting.com.

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Comments (2)

Let the staff choose

Submitted by Mazarine (not verified) on Sat, 03/27/2010 - 7:01pm.

When choosing a nonprofit leader,

why not choose someone who has been helped by your agency? Why not take a chance on a person of color, or a woman, who has never led a nonproft before, but who has worked in the nonprofit sector for years?

Time and time again I see unsuccessful nonprofit leaders who are chosen simply because they were on the board or got an MBA. Neither of these things would make them a good leader. They should be held to standards of leadership, and tested.

There should be a voting process that goes on at the staff level, rather than the board level. Let the staff tell you who is their favorite, what they've learned about what makes a good leader, and why.

Mazarine
http://wildwomanfundraising.com

Board Not Staff Hire the ED

Submitted by Geri Stengel on Tue, 03/30/2010 - 6:59pm.

Having the proper skills, experience and mind set is key to running a nonprofit. That leader doesn’t have to have an MBA and may come from the population the nonprofit serves. Steven B. Warren is such an example. He was the Executive Director of the Services for the Underserved and now Board chair of Praxis. Both organizations serve the homeless. Steve was homeless after returning from two tours of duty in Vietnam where he became a drug addict. He got clean and went on to earn a master's of social science work from Columbia School of Social Work and Social Administration and worked in a variety of other nonprofits before taking on the ED at SUS.

Hiring an ED is not a popularity contest among the staffers he or she will oversee. It is the the board's responsiblity to hire the ED.

Insights About the Nonprofit Leadership Transition Process

Let the staff choose

Board Not Staff Hire the ED

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