Nonprofits face a myriad of issues, including limited resources, fundraising requirements, and legal limitations. The teams that govern these organizations are tasked with keeping these demands in check, which is why governance models for nonprofits are crucial.
Nonprofit governance models organize the board’s committees and activities along functional lines. If there is a staff member responsible for human resources and finance, or planning and fundraising then the board may establish committees to concentrate on these areas. John Carver’s Policy Board Model popularized this management team model in the 1970s. It is most common for medium and small-sized nonprofits.
This model can be effective however, it could result in a board that is overwhelmed with responsibility and unable make decisions. This is why more and more organizations are adopting alternative governance models that delegate the responsibility to the individual members, while requiring the board to meet regularly to ensure its functioning.
Another important role of a board is to establish the strategic goals for the non-profit. This is accomplished by identifying the you can try here most pressing needs and issues and formulating solutions for the nonprofit to pursue. This is usually accomplished through a SWOT analysis and an evaluation plan that incorporates specific metrics to assess the effectiveness.
In addition to setting the strategic direction The board must also choose and evaluate its executive director. This is often among the most difficult tasks since it requires a combination of management skills, program area expertise and a particular style of leadership. A well-run board comes up with a clear job specification and hires an Executive Director that is a good fit.
