September, 2006 -by Peter C. Brinckerhoff

This Month's topic: Executive Transition

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This Month's Topic: Executive Transition
Each month, this area provides with a number of my favorite and most helpful sites regarding the topic of the month.

Management Tip of the Month

Each issue, I start with a discussion of my management perspective on the month's topic, and give you a few hands-on ideas to consider.

Recommended Publications

Here, I provide you with my recommendations on the  materials available that can help you become more mission-capable in the area of Executive Transition

Technology

I provide you with some good ideas for uses of tech to better your organization in the area of Executive Transition

Marketing Tip

So much to say, so little space to say it.....

Next Issue

In October, we'll examine an issue that is very important issue of  Advocacy

Websites of the Month

Here are my recommendations for websites of interest on this month's topic: Executive Transition

www.transitionguides.com/ The homepage of TransitionGuides-this page takes you to some lessons learned from Neighborhood Reinvestment Corporations.
www.aecf.org/publications/ The Annie E. Casey Foundation has done great research into the issues of generation change and executive transition. The link will take you to their really good paper "Change Ahead".
www.tsne.org/ Third Sector New England's Service page for Executive Transition

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Management Tip of the Month
Executive Transition

When I use the term Executive Transition, what pops into your head? The ED/CEO leaving? Stress for staff and board? Uncertainty about the future? All of these?

Without doubt, the change of a ED/CEO is a stressful situation for any nonprofit. But remember, with the aging of the baby boomers, this is not just an issue about Executive Directors. For many nonprofits, its an issue about most, if not all of their management team.
Here's a quote from my forthcoming book on generation change in the nonprofit sector:

"The Annie Casey Foundation’s 2004 Nonprofit Executive Leadership and Transitions Survey found that boomers now comprise over 72% of nonprofit leadership---with 55% over the age of 50. That’s our rock. Our funders and watchdogs have given us our hard place in the form of flattened administrative functions that leave no room for adequate management positions where people can learn the job of an Executive Director, Deputy Director, or other key roles. So, if you are a typical nonprofit in relation to the Casey study, three out of four of your senior managers will probably be eying retirement….if they can afford it."

This is a much, much bigger issue than "just" ED's leaving, even when that ED is a founder (which has its own set of problems and issues) The good news is that many local Management Services Organizations are dealing with this issue in depth, offering transition services, transition training for boards, and other help for the sector. I'm on a lot of MSO mailing lists, and rarely a week goes by that I don't get a notice of training or services in this area. And so, my first piece of advice is to look around locally. Talk to your United Way, MSO, or Community Foundation about what help is available in your community or nearby.

Second, you need to appraise the problem directly. What are the ages of your senior managers? Talk to them directly about their retirement plans, or desires to cut back on their work load. If you are an ED, one way to get the managers talking about their plans is to talk directly about yours. 

Which leads to my third strong suggestion: communicate openly and early. If you are planning on staying in the job until you drop, let people know. If you are thinking about kicking back or changing careers at age 55, 60, or 62, let your board and staff know that, too. Its fairer to the organization than keeping your plans to yourself until the last minute.

Third, even if your management team is all under 45 years of age, this is not a non-starter of an issue. You just have a bit more time to get ready. Leadership development throughout the organization is key. A great book in this area is John Maxwell's "Developing The Leaders Around You", where Maxwell clearly states that the key job of a leader is to develop other leaders. A good read with lots of hands on ideas.

Any big change is stressful, and Executive Transition is no different. Take a look at your organization's needs in this area, before this change becomes a last minute scramble.

If you found this hint helpful, there are lots more management, marketing, and technology ideas for you in the "Ideas" section at www.missionbased.com. Check them out--they're free.

And, remember to take a look at the Mission-Based Management Blog.

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Print Resources

My recommendations for texts on Executive Transition are shown below.  Click on the title to be taken to the title's page on Amazon.com. There you can look at the book in more detail.

Losing Your Executive Director Without Losing Your Way, by Carol Weisman and Richard Goldbaum

Developing the Leaders Around You, by John Maxwell

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Technology Tip 
How can tech help with Executive Transition

I know that tech can help in a number of ways, but the quickest return on investment is in communications.  For example, if your organization is going through a search for a new exec, a posting on the website of the status of the search (updated weekly, of course) and the big upcoming events, (interviews, etc) is a great way to keep the staff involved. Regular email from the board chair also helps.(See more on this in my Marketing Tip)

Local MSO's and Community Foundations often have information on salaries for nonprofit execs on their website, and if not, you can always go to www.guidestar.org and look up peer organizations to see what they are paying their execs (or were a year or so back). Do your homework, and it's easier with tech.

Speaking of homework, you can also do some background checks on potential execs (I'm not talking about criminal background, leave that to a pro) but a Google search, a look at their current organization website, and a review of publications can give you a pretty good idea of their philosophy or management. For example, if your candidate is a current ED at another organization and you see his or her picture on every web page, what does that tell you? If you can't find financial information about the organization easily, and your board believes in transparency, you just learned something else.

Finally, check out the websites listed above for help in this area.

If you found this hint helpful, there are lots more management, marketing, and technology ideas for you in the "Ideas" section at www.missionbased.com. Check them out--they're free.

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Training Schedule for Peter Brinckerhoff

Below you'll see the date, location, and topics of public training I'm scheduled to do in the next few months. For more information on a particular speaking engagement, get in touch with the contact person listed in the right hand column, or email me.

For more information on my availability throughout the next 12-18 months, available topics, sample agendas, and fees go to www.missionbased.com/training.htm

Date City Topic Contact
9/06/06 Ballston, VA Readiness for Business Development Workability International
Deborah Atkinson
datkinson@nish.org
09/07/06 Ballston, VA Social Responsibility Workability International
Deborah Atkinson
datkinson@nish.org
10/05/06  New Paltz, NY Nonprofit Stewardship Council of Community Services of NY State
Kelly Mathews
kmathews@ccsnys.org
10/06/06 Quincy, IL Mission-Based Management United Way of Adams County
Cheryl Waterman
cheryl@unitedwayadamsco.org
10/11-12/06 Couer D'Alene, ID Developing a Life Long Learning Organization NISH NW Regional Meeting
Susan Milstein
smilstein@nish.org
Marketing Tip
How can Marketing help in Executive Transition?

The help that marketing can provide you in exec transition is multiple, and it all revolves around the old standards of the craft: identify your market, find out what they want, and give it to them if you can.

For the retiring exec (particularly in a situation where the board feels it's ready for a long time exec/founder to retire), who is the market? The exec. What will it take to make them feel comfortable with changing roles? More retirement? Continued consulting? Ask, and accommodate as you can (remembering my caveat about the exec needing to go away).

For an incoming exec, what will he or she want as conditions of employment? Under the old model, your organization said "Here's what we're offering, take it or leave it." My advice in a resource tight market? A statement more like "Here's what the total compensation for the job is. How would you like it broken out?" For example, some new execs will need help with moving, some won't. Some will need family coverage for health care, some won't. Show flexibility.

The other marketing technique to consider is inclusiveness and formal asking. I always urge organizations to include their staff in exec searches. How? Board representatives should meet with the staff to go over the recruitment and hiring process and schedule. Then, run the the potential job description for the exec by the staff and get their ideas. Finally, let the staff meet the finalists. Ask their opinion. Of course, the board should not promise to automatically hire the staff's favorite, but not getting their input is short-sighted. You'll get good feedback. And, the staff will feel ownership in the process, which is really important in a stressful time of change.

If you want to see more about this in detail, take a look at more about my book Mission-Based Marketing; Second Edition

If you found this hint helpful, there are lots more management, marketing, and technology ideas for you in the "Ideas" section at www.missionbased.com. Check them out--they're free.

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Future Topics for
The Mission-Based Management Newsletter....
October Advocacy
November When Boards Fail in their Role
December Conflict of Interest
January Business Recovery Plans
February New Tech Uses for Nonprofits
March Are Admin Costs Important?
Send me your topic suggestions at peter@missionbased.com