Typically, charities and nonprofits will hire leaders who are competent and experienced within their field of expertise. For example, the most experienced social worker is hired as the executive director at a social services agency.
As with for-profit organizations, leaders in the not-for-profit sector are often hired because of their technical ability, but they may be inexperienced leaders. And beyond an initial orientation to the organization, some not-for-profit organizations may not support their executive’s growth and development as leaders. But when leaders of not-for-profit organizations are supported with opportunities to grow their leadership and management skills, everybody wins.
After three decades working in the charitable sector as a fundraising executive and executive coach, here’s what I know: When nonprofit boards understand that focusing on leadership helps drive success, then committing to coaching becomes the next logical step to helping their charity raise more money, extend its reach and fulfill its mission. Coaching brings transformational change to not-for-profits.
In the for-profit world, leading organizations have embraced coaching and leadership development to boost success. Why? Because organizations with a professional coaching culture win big.
Not-For-Profit Organizations Investing in Leadership
It’s time for the not-for-profit organizations to invest in their leaders. Here are some of the ways that professional coaching can change things for people who lead and work for charities and not-for-profits:
- As not-for-profit leaders grow their management and leadership skills, they’ll address and confront the issues head on. They will know how to handle criticism and to be open to hearing bad news as well as good news.
- They’ll speak with expertise and integrity, aligning work with the organization’s purpose, mission and values to inspire team members and satisfy donors that they are responsible stewards of funds invested in their work.
- Confident leaders will find the emotional courage to make mistakes and learn from them.
- They’ll confidently support their board members, knowing and understanding where the board should place its attention.
- These leaders will change the not-for-profit sector because they will know what is sustainable and realistic, and can advocate for both their charity and for the nonprofit sector as a whole.
- As more confident chairs, presidents, directors or leaders, they will know how to put the charity’s mission first and have strategies to help them succeed. They will have the confidence and skill to decline opportunities that don’t align with the not-for-profit organization’s values and mission.
- Board members will lead their organizations, well informed about the decisions they need to make and understanding what isn’t within their realm of responsibility.
- Self-aware leaders, with good coaching skills, will be able to better support their staff. Effective leaders who can better support their teams improve employee morale and reduce staff turnover (which is very costly). There is a ripple effect of a coaching culture that cascades throughout the organization.
- Building a thriving workplace culture with more stability helps not-for-profit organizations retain good team members and preserve institutional knowledge, which can be a significant challenge otherwise in the nonprofit sector. It also provides the opportunity to build a robust succession plan to ensure continued success.
- Effective leaders will be able to improve the retention of fundraising staff in particular, which is critical for not-for-profit organizations. Fundraisers who are able to build long-term relationships with donors are typically much more successful raising money, creating endowments or legacy gifts and networking to attract more donors who will support the mission.
Pro tip: Engaged management support of coaching ensures a real return on investment.
Coaching in the Charitable Sector
As an executive coach, I work with a variety of not-for-profit organizations that prioritize leadership opportunities for their established, emerging and aspiring leaders. They range from national- to provincial- and municipal-level not-for-profit organizations.
What can we learn from them?
- Their leaders benefit from coaching because they have sounding boards, someone with whom they can unravel or unspool the thoughts in their heads. They can debrief safely and confidentially as well as uncover or discover their next steps to deal with a situation or challenge.
- They see the return on investment of executive coaching. Investing in leaders reaps dividends that affect everything from setting achievable goals to mentoring the next generation of leaders.
- Their leaders are more resilient and confident. They embrace a more abundant mindset and support their team members by delegating to them, mentoring them and providing more opportunities for professional growth (and not feeling threatened by their success). They are more generous with their knowledge and expertise as they confidently support the next generation of charity workers. They are inspiring to their teams and the community they serve, creating a culture that is attractive to both top tier talent and major donors.
How to Make Effective Leadership a Priority
Not-for-profit organizations must prioritize leadership development and coaching – no matter how tight the budget.
- Start by allocating money in the budget for professional development and coaching. Consider starting with leadership education for the board chair and the executive director, then team coaching, group coaching and individual coaching. Get innovative with facilitating team workshops, and look for grant opportunities that fund professional development. There is power in peer learning. Consider partnering with another agency to share the cost of training programs.
- Prioritize orientation for new board members. As a regular part of the onboarding process for board members, teach them about the organization, board governance and their role as board members.
- Assume a growth mindset. Continually seek to learn and develop professional and technical skills as well as ways to be a better leader. Pay attention to sector job boards and listings, to stay informed about the types of technical skills and experience that would be valuable to develop among leaders and team members.
- Grow your executive presence. Knowing your values and strengths – what you stand for and what you’re good at – is important in the not-for-profit sector. (Pro tip: Here are tools to develop your executive presence.) With this confidence, you can advocate for what you and your team need and guide your board members to help them do the important work in leading your not-for-profit organization.
Coach’s Questions
How has your non-for-profit organization supported established, emerging and aspiring leaders? What could be done differently or better? What are some steps to take to make leadership development and coaching a priority?
This weeks’ Coach’s Questions is written by Certified Executive Coach (PCC) and Padraig facilitator Kristine Betker.
