The 5 Truths for Transformational Leaders E-Book

Ed Mishrell

• Herausgeber: John Wiley & Sons
• Kategorie: Fachliteratur
• Sprache: Englisch

Seitenzahl: 345

Veröffentlichungsjahr: 2023

Beschreibung

Use mission-driven leadership to create dramatic growth at your nonprofit In The Five Truths for Transformational Leaders: How Nonprofit Organizations Thrive, Grow, and Make a Profound Difference, former Chief Strategy Officer for the Boys and Girls Clubs of America, Ed Mishrell, delivers an insightful and practical discussion of how to achieve extraordinary results when leading nonprofit organizations. The author explains how to use your organization's mission as your north star and build an exciting, growing, and thriving nonprofit. You'll benefit from the book's step-by-step guidance and advice as it outlines the five key principles of mission-driven leadership. You'll also discover incisive quotes and observations from board members and staff leaders at fast-growing nonprofit organizations you can apply to your own nonprofit for immediate results. The book also offers: * Strategies for eliminating or repairing ineffective systems and practices that are holding your organization back * Techniques for centering your nonprofit's mission in everything it does * Ways to build - and execute - a mission-driven strategy A start-to-finish blueprint for exceptional, growth-oriented nonprofit leadership, The Five Truths for Transformational Leaders will revolutionize the work of every nonprofit board member, manager, and leader who reads it.

Leseprobe

Table of Contents

Cover

Title Page

Copyright

Dedication

Acknowledgments

Foreword

IntroductionThe Origin of the Five Truths for Transformational Leaders

Chapter Organization

1 Truth 1: Be Fanatical About Mission

Three Reasons for a Fanatical Believe in Mission

Questions and Thoughts for Aspiring

Mission‐Driven CPOs

Notes for Board Members

Resource Center for Truth 1

2 Truth 2: Fix, Stabilize, or Replace Systems, Practices, and People Who Are Not Working

Fix and Stabilize Systems and Practices

Make Needed People Changes

Summary

Notes to Board Members

Resource Center for Truth 2

3 Truth 3: Establish a Mission‐Driven Strategy

A Mission‐Driven Strategy

Summary

Notes for Board Members

Resource Center for Truth 3

4 Truth 4: Execution Drives Results

Relentlessly Communicate Strategy at Every Opportunity

Focus on What Is Most Important

Establish an Annual Plan with Clear Priorities, Targets, and Progress Measures

Execute the Plan

Summary

Notes for Board Members

Resource Center for Truth 4

5 Truth 5: Continue to Grow as a Leader

Let's Start at the Beginning

Leadership Changes

Four Keys to Continuously Growing as a Leader

Summary

Notes for Board Members

Resource Center for Truth 5

6 The Road Ahead: Trends and Challenges That Will Shape the Future

Trends, Challenges, and Opportunities

What Will Be Required of Leaders?

Developing the Next Generation of Leaders

Final Thoughts

Notes for Board Members

Resource Center for The Road Ahead

Resource Center

Truth 1: Be Fanatic About Mission

Resources to Support Hiring a CPO

Fanatical About Mission Worksheet

Preparing a 100‐Day Plan

Sample 100‐Day Plan

CPO Guide to Building Relationships Conversation Starters

Suggested Questions for Initial Meetings with Individual Board Members

Truth 2: Fix, Stabilize, or Replace Systems, Practices, and People Who Are Not Working

Resources for Board and Staff Members to Support Human Resource Management

Worksheet to Identify What Systems, Practices, and Policies Need to Be Fixed, Repaired, or Replaced

Suggested Interview Questions Related to Mission and Motivation

Truth 3: Establish a Mission‐Driven Strategy

Strategy Development Process Overview and Questions for Leaders

Strategy Development Process

Developing and Implementing an Outcome Measurement Strategy

Resources to Support Developing a Logic Model

Recommended Reading About Measurement

Logic Model Template

Resources to Guide Selecting Indicators

Guidelines for Collecting Accurate Data

Resource Development Resources

Truth 4: Executing Drives Results

Planning and Leading Effective Meetings

Truth 5: Continue to Grow as a Leader

Resources to Support Developing a CPO Performance Review

Succession Planning Resources

360‐Feedback Process

Leadership Changes Assessment

The Road Ahead

References

About the Author

Index

End User License Agreement

Guide

Cover Page

Title Page

Copyright

Dedication

Acknowledgments

Foreword

Table of Contents

Begin Reading

Resource Center

References

About the Author

Index

Wiley End User License Agreement

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ED MISHRELL

THE 5 TRUTHS FOR TRANSFORMATIONAL LEADERS

HOW NONPROFIT ORGANIZATIONS THRIVE, GROW, AND MAKE A PROFOUND DIFFERENCE

Copyright © 2023 by William Edward Mishrell. All rights reserved.

Published by John Wiley & Sons, Inc., Hoboken, New Jersey.

Published simultaneously in Canada.

No part of this publication may be reproduced, stored in a retrieval system, or transmitted in any form or by any means, electronic, mechanical, photocopying, recording, scanning, or otherwise, except as permitted under Section 107 or 108 of the 1976 United States Copyright Act, without either the prior written permission of the Publisher, or authorization through payment of the appropriate per‐copy fee to the Copyright Clearance Center, Inc., 222 Rosewood Drive, Danvers, MA 01923, (978) 750‐8400, fax (978) 750‐4470, or on the web at www.copyright.com. Requests to the Publisher for permission should be addressed to the Permissions Department, John Wiley & Sons, Inc., 111 River Street, Hoboken, NJ 07030, (201) 748‐6011, fax (201) 748‐6008, or online at http://www.wiley.com/go/permission.

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Library of Congress Cataloging‐in‐Publication Data:

Names: Mishrell, Ed, author.

Title: The 5 truths for transformational leaders: how nonprofit organizations thrive, grow, and make a profound difference / Ed Mishrell.

Other titles: Five truths for transformational leaders

Description: First edition. | Hoboken, New Jersey: Wiley, [2023] | Includes bibliographical references and index.

Identifiers: LCCN 2022056913 (print) | LCCN 2022056914 (ebook) | ISBN 9781394187003 (hardback) | ISBN 9781394187027 (adobe pdf) | ISBN 9781394187010 (epub)

Subjects: LCSH: Nonprofit organizations—Management. | Leadership.

Classification: LCC HD62.6 .M57 2023 (print) | LCC HD62.6 (ebook) | DDC 361.7/63—dc23/eng/20221202

LC record available at https://lccn.loc.gov/2022056913

LC ebook record available at https://lccn.loc.gov/2022056914

Cover Design: Wiley

Cover Image: © malerapaso/Getty Images

This book is dedicated to the millions of people who lead and support the missions of nonprofit organizations.

Acknowledgments

Thank you to my beautiful spouse, partner, and best friend, Leslie Mishrell. Your support and encouragement made me believe I could do this.

I would like to thank and acknowledge the transformational board and professional leaders I had the privilege of interviewing. I greatly admire your wisdom, your dedication, your belief in your mission, and the amazing difference you make every day. I hope I have successfully captured how you achieved incredible results. Thank you Howard Architzel, Rebecca Asmo, Corky Bowerman, Kimberly Boyd, Kaye Brewer, Tommy Breymeier, Suzie Glaze Burt, Shirley Carraway, Carter Clark, Greg Cushing, Julie Daniels, Tony Dickinson, Patrick Doyle, Heather Ehle, Michael Frazier, Amelia Gibson, Donyell Jones, Nicholas Jones, Reece Kurtenbach, Bridgett Laird, Vanessa Merhib, Misty L. Miller, Tara Lynn Mills, David Morley, Larry and Diane Ness, Timothy Pate, Robyn Peery, Jason Reuter, Judith Ranger Smith, Jodie Warth, and James Pierce.

There are a number of people I asked for advice and wisdom when I began researching the book and for feedback on drafts of the book. It is a privilege to be your friend and colleague. Thank you for your advice, wisdom, encouragement, and support Jeff Amy, Jeff Benatti, Jim Caufield, Kirk Dominick, Donna Ferraro, Elizabeth Fowlkes, Pam Hodges, Ronnie Jenkins, George Krupanski, Kim Madrigal, Fred Miller, Lorraine Orr, Glenn Permuy, and Debbie Verges. Thank you, Jim Clark, for your advice an encouragement: you were part of this project from beginning to end.

Thank you to the national nonprofit leaders and leaders of organizations who support leadership development for your thoughts, wisdom, insights, and leadership:

Jennifer Blatz, president and CEO, StriveTogether

Owen Charter, president and CEO, Boy & Girls Clubs of Canada

Jim Clark, president and CEO, Boys & Girls Clubs of America

Patrick Cisler, president and CEO, Lakeshore Nonprofits

Kirk Dominick, president and CEO, World Federation of Youth Clubs

Charlotte Haberaecker, president and CEO, Lutheran Services in America

Commissioner Kenneth Hodder, national commander, The Salvation Army

Undraye Howard, senior vice president, diversity, equity and inclusion, Social Current

Stephanie Hull, president and CEO, Girls Inc.

Jody Levison‐Johnson, president and CEO, Social Current

Suzanne McCormick, president and CEO, YMCA of the USA

Jonathan Reckford, CEO, Habitat for Humanity International

Jennifer Sirangelo, president and CEO, National 4 H Council

Artis Stevens, president and CEO, Big Brothers Big Sisters of America

Schroeder Stribling, president and CEO, Mental Health America

Wendy Thomas, president and CEO, Leadership Tulsa

Thank you to my literary agent, Marisa Cleveland. I appreciate your enthusiasm, energy, and encouragement. I knew from the first time we spoke that you were the perfect literary agent for me.

Thank you, Brian Neill, editor at Wiley, for believing in the book and bringing it into the world.

Thank you to copyeditor Susan Geraghty for making the book readable and well organized.

A special thank you to my great friend, Evan McElroy. You not only encouraged me but you also read every draft and provided excellent feedback.

Foreword

It's no secret that the key ingredient to the success of any organization, large or small, is leadership. The right leader is a game changer in every aspect. They surround themselves with people who excel in advancing the vision, mission, and performance of the organization. They form strong relationships, focus the organization on key outcomes, and drive the business to deliver results. The right leader makes all the difference! That's why I'm so excited about the publication of The 5 Truths for Transformational Leaders. It provides a leadership model to strengthen the impact of nonprofit organizations, because leading a nonprofit is different.

The author, Ed Mishrell, has extensive experience in the nonprofit industry, serving at every level from student intern to a senior leader at Boys & Girls Clubs of America (BGCA). Throughout his career he has seen virtually every type of leader, enabling him to understand the key levers that drive a successful nonprofit enterprise. This enabled Ed to successfully lead numerous national initiatives for BGCA, many of which focused on leadership development. One of his crowning achievements was BGCA's Advanced Leadership Program—a program that unleashes the best in leaders and puts them to work with their team in a dynamic environment. I participated in this program's inaugural cohort while serving as the CEO of Boys & Girls Clubs of Greater Milwaukee. It honed my skills as a leader and helped my leadership team focus on our most important priorities, which laid the foundation for an incredible growth trajectory and deeper community impact. When I took on the leadership of BGCA, I had the privilege of working directly with Ed. I had a front row seat to observe how Ed's own leadership competencies shaped numerous advancements for the BGCA mission and enterprise. He is a master collaborator, coach, and thought partner. He has the unique ability to bring strategy to action and cast an inspiring vision that others want to follow.

There are numerous books on leadership, but few focused on nonprofit organizations. This book is significant because it provides a mission‐driven leadership model. As the title states, the book is about transformation, in contrast to incremental advances in performance, scale, or impact. It brings together real‐life examples of organizations that have made transformational advances with time‐tested leadership attributes that enable success. This book is a breakthrough set of lessons in what it takes to be a nonprofit leader, making it a major contribution to the nonprofit profession and sector.

As Vince Lombardi famously said, “Leaders aren't born, they are made.” The 5 Truths for Transformational Leaders is the practical, step‐by‐step guide to build your personal leadership playbook to advance your mission. Whether you currently lead a nonprofit or aspire to one day, your capacity as a leader will be enhanced by the lessons in this book. One significant aspect of the book is that each chapter contains a special section for board members on their leadership role and how they can support leadership development of professional staff members. The book also provides guidance for board members on making the most important choice any board must make: hiring the right leader!

Whether you are a board volunteer or a professional leader, the lessons in this book will help you deepen your mission impact. Philanthropists, civic leaders, and government officials will also benefit by better understanding the elements needed to strengthen nonprofit organizations and help them achieve results.

My favorite of The 5 Truths is the first one: be fanatical about the mission. If your mission matters, then it matters how it is led. We need bold, transformational leaders in the nonprofit sector. I have a strong belief in the American dream and American promise. Fulfilling on these foundational virtues of our country can and will happen only through transformational leadership. The stronger leaders we become, the stronger our nation will be in the future.

Let's get started.

Jim ClarkPresident and CEO, Boys & Girls Clubs of America

IntroductionThe Origin of the Five Truths for Transformational Leaders

“Change in transformational leadership is special, deep and broad.”

James M. Burns

According to a report by the Urban Institute entitled “The Nonprofit Sector in Brief 2020,” there are 1.5 million nonprofit organizations in the United States. Nonprofit organizations have a strong belief in the promise of America. At their very core the missions and visions of nonprofit organizations are about supporting our aspirations as nation. Their collective missions are aligned with the beliefs put forth by our nation's founders: that all women and men are created equal and everyone has the right to life, liberty, and the pursuit of happiness. Nonprofits labor tirelessly to make every community a great place to live, work, play, learn, and raise a family. Their overarching goal is equity of opportunity for every woman, man, and child no matter their circumstances, where they live, where they were born, their race, their beliefs, their age, their sexual orientation, or their gender.

Some of these organizations struggle while others thrive and grow and make an incredible difference. Many experience a continuous boom‐and‐bust cycle—a good year followed by a year of struggle. Although many factors determine success, I believe leadership is the preeminent factor in determining how successful a nonprofit organization will be in achieving its mission. “Leadership capacity of nonprofit and voluntary organizations will definitely determine whether or not the basic goals and ambitions of these organizations are effectively accomplished” (Seyhan, 2013, p. 256). There are thousands of books about leadership but most of what is written is based on the experiences of business and government. I believe leading a nonprofit is different, and it is more difficult. Nonprofits operate in a complex environment with multiple stakeholders and ever‐changing conditions. Measuring success is difficult, and authority to make decisions is shared. These organizations require exceptional leadership to thrive. The goal of this book is to provide a leadership model that enables nonprofit leaders to achieve profound impact on the lives of millions of people.

Warren Bennis observed that “excellence is a better teacher than mediocrity. The lessons of the ordinary are everywhere. Truly profound and original insights are to be found only in studying the exemplary” (Bennis and Biederman, 1997, p. 8). Based on that belief, I concluded the best way to learn about transformational leadership was to benchmark board and staff leaders of organizations who experienced a transformation. The challenge was how to identify the exemplary. There is not a universal measurement for nonprofit success. I first spoke with some of the incredible leaders I had the privilege of working with throughout my career. These conversations provided a starting point.

I then identified organizations that achieved increases in their operating budget of 100% or more over a five‐year period as compared with the 4% average increase of revenue across the sector (Urban Institute, 2020). The organizations studied all started with budgets under $2 million when the CEO who drove transformation was hired. All of them more than doubled their operating budget in five years. Some tripled and quadrupled their budgets. I then looked at other organizational data to determine if the increase in funding also led to increased reach and impact.

I interviewed chief professional officers (CPOs), staff members, and board leaders from these organizations. I interviewed the CPOs first, followed by the board leaders, other staff, and in some cases donors who played a significant role in the organization's transformation. The goal of the interviews was to identify and describe what these leaders did that made a difference and the role others played.

The organizations I studied generally fell into one of three groups when the CEO who led the transformation was hired:

The organization was struggling. In some instances, these were organizations that had thrived at one time, but had been in a period of decline. Some had experienced significant turnover in leadership.

The organization had been doing okay. They were neither growing nor declining.

The organization had a significant opportunity to grow that required significant change and the capacity for acting quickly.

This book represents what I learned. It provides a mission‐driven leadership model to inspire and guide board members, professionals, volunteers, and investors to drive increased impact and reach. It provides a model for building organizations that strengthen communities and make a significant and lasting difference in the lives of millions of people. For nonprofits this means becoming bigger, more capable, more impactful, and more essential to building strong communities. Successful organizations gain momentum and are able to attract resources and people who want to make a difference.

From the interviews, observations, and my own experience, I found that what makes a transformational leader comes down to five truths that apply to professional and board leaders. Boards are integral to the organization's success. Every chapter ends with notes for board members. Transformation is only possible if the board and staff work together as partners.

I believe the five truths for transformational leaders apply to all leaders regardless of size or the focus of their mission. In many ways there are no secrets to transformational leadership. None of the five truths is surprising. What transformational leaders do best is stay ultra‐focused on mission and execute on basic organizational development principles very, very, very well. These leaders are driven, disciplined, humble, and transparent.

Following is a summary of the five truths of transformational leadership:

Truth 1: Be Fanatical About Mission.

Nonprofits are founded on and driven by mission. Interviews with leaders and board members who achieved unprecedented growth suggest a deep belief in and commitment to the mission is the most important characteristic of a transformational leader. Fanatical about mission means mission drives every decision, every conversation, and every hire. Hiring a leader with a fanatic belief and commitment to mission and the capacity to lead is a priority. Strong, unwavering identification with mission is not enough by itself, but without it the rest does not matter. You can't fake mission. A fanatic belief in mission empowers leaders to inspire others, make difficult decisions and set high standards for services that deliver life‐changing results.

Truth 2: Fix, Stabilize, or Replace Systems, Practices, and People Who Are Not Working.

Only incremental improvement is possible until the organization stabilizes day‐to‐day operations. It is difficult to grow when every day brings a new crisis and problems to solve that could be avoided. There are two critical tasks for transformational leaders:

Establish practices, process, and policies to achieve maximum efficiency.

Before an organization can grow and transform it must stabilize day‐to‐day operations by establishing systems, process, and standard practices that are universally applied across the organization. These are the basic ingredients for well‐managed organizations that operate efficiently. It is difficult to grow when leaders spend most of the day solving problems.

Make needed staff changes.

Fixing and replacing what is not working also applies to people. Transformation requires dedicated and talented staff fully committed and prepared to carry out the organization's mission. Making tough decisions about people is the most difficult part of being a leader. Even when the grievances are severe it can be difficult to act. Focus on mission gives leaders the will to make difficult decisions.

Truth 3: Establish a Mission‐Driven Strategy.

The leader must develop, articulate, and align the organization on a well‐thought‐out strategy for how the organization will succeed, thrive, and achieve its mission. Leaders must answer four questions and weave them into a compelling story that inspires, aligns, and energizes.

To achieve our mission, who will we serve and what difference will we make?

What services will we provide to achieve our outcomes and how will we know we are succeeding?

How will we build an organization with the capability and the talent to achieve these outcomes?

How will we acquire the resources we need to succeed?

Truth 4: Execution Drives Results:

Execution requires clarity and universal understanding about the organization's strategy and the discipline to stay focused on what will make the biggest difference. There are always many good ideas; leaders must clearly identify and stay focused on what is most important. This is only possible if the priorities are clear and measurable. Success is characterized by achieving the following:

Relentlessly communicating the strategy at every opportunity over and over and over again

Staying focused on what is most important

Establishing an annual plan with clear priorities, targets, and progress measures

Executing the plan

Truth 5: Continue to Grow as a Leader.

Evolving and continuing to grow as a leader can be a challenge. Some leaders can lead an initial transformation. They are able to stabilize and build efficient operating mechanisms and attract a strong team, but then they become stuck. Instead of continuing to evolve as the leadership needs of the organization change, they work harder at doing what worked initially. Transformational leaders are able to adapt and change their focus to meet the evolving needs of a growing organization. These successful leaders make sure to do the following:

Adopt a growth mindset.

People with a growth mindset believe they have the capacity to grow and develop new skills. They take steps every day to support that belief and nurture their personal growth.

Continuously seek feedback.

Feedback from those who know us best is the key to identifying blind spots, behaviors that are holding us back, and skill sets we need to improve or acquire.

Recognize and act on what the organization needs now and in the future.

Transformational leaders continuously scan the organization and the external environment to identify challenges, issues, and trends that could affect their organization.

The final chapter, “The Road Ahead: Trends and Challenges That Will Shape the Future,” explores emerging trends and challenges that will shape the future for nonprofit organizations and how the nonprofit sector prepares leaders to meet these challenges. This chapter is based on conversations with the leaders of large national networks and include these topics:

Workforce challenges:

Organizations big and small are competing to hire and retain talented people. Nonprofits have difficulty competing financially, and in many instances the work is mentally and emotionally challenging. Successful leaders must be at the forefront of defining the future of work to attract talented, dedicated people.

Measuring and achieving outcomes.

Funders want to be able to show the resources they provide make a difference. Savvy leaders understand that making decisions based on data not only aids fundraising but also enables continuous learning about how to increase impact. Successful leaders will continue to advance and build measurement into everything the organization does.

Creation of partnerships, collaborations, and collective impact networks.

With limited resources the need to work together as one network that makes a difference for the community is greater than ever. Leaders who thrive in this environment must be collaborative, innovative, and committed to a collective community mission that supersedes their organization. Business, government, philanthropists, and nonprofits must work together to establish a plan for coordinating services across the entire community.

Chapter Organization

Each chapter provides a full explanation of one of the five truths. Each truth is supported by observations from staff members, board members, and CPOs of organizations that achieved transformational growth. In addition to the explanation of each of the five truths for transformational leaders each chapter contains three other sections:

The story of the Community Centers of Mission City.

Throughout the book, you'll find the story of the five truths as told through the experience of a fictional organization—the Community Centers of Mission City—which reflect many of the challenges, struggles, and breakthroughs transformational leaders must face. Their story begins in the first chapter with the board divided about selecting a new CPO who can revitalize the organization. Their choice may surprise you. At the end of this introduction you'll find background information on the Community Centers of Mission City.

Notes for board members.

The board members I interviewed provided incredible wisdom and insight. Many of their comments are used throughout the manuscript, but at the end of every chapter there is a special section that explores the critical role board members play in organizational transformation. In fact, organizational transformation and growth can occur only when the right staff leader and the right board leadership are working together. When asked to give advice to other nonprofit boards about how they can drive unprecedented growth and make a bigger difference in their community many board leaders suggested it started with the board answering two questions: Do we have the right leader? And do we have the right board?

Resource Center.

Each chapter contains a list of tools and resources available to support staff and board members in adopting each of the five truths. The resources are listed at the end of each chapter with a full version of each resource at the back of the book. The resources will also be available on a Five Truths webpage (p.175).

Background Information

The Community Centers of Mission City

Mission Statement

Work collaboratively to provide children and families in underserved communities with access to programs and resources to empower them to thrive.

Vision

Every neighborhood in Mission City is a great place to live, work, play, and raise a family.

The Community Centers of Mission City was founded in 1964. The founding board included some of Mission City's most prominent citizens. For many years, the organization was one of the city's leading nonprofit organizations. Many of Mission City's most successful citizens benefited from the programs and services. They testify that it changed the course of their lives. As the founding board aged, the organization struggled to find new board leadership. Financial support declined. There have been five CEOs in the past decade.

Mission City population: 450,000

Current budget: $912,000

Two facilities

Programs:

After‐school childcare, senior citizen center, teen center, food distribution, and adult education. In addition, the community centers served as a meeting place for many community groups and other nonprofits. For example, after‐school childcare is provided by the Boys & Girls Clubs and a local hospital operates a clinic four days a week. The Mission City Community Centers have always worked to bring services to the community to make them easy to access

.

Funding:

United Way of Greater Mission City, Mission County Children's Services, an annual gala, program fees primarily for summer program and a small endowment that is shrinking. The organization has committed to conducting its first comprehensive annual campaign

.

Staffing:

CPO, resource development director, two center directors, 2 program directors, 1 administrative assistance/bookkeeper, and 14 part‐time staff members.

Board:

15 board members: 8 with 20‐plus years of service, 2 with 5 years of service, and 5 with less than 2 years of service.

1Truth 1: Be Fanatical About Mission

“What matters is not the leader's charisma. What matters is the leader's mission.”

Peter F. Drucker, Managing the Non‐Profit Organization

Nonprofit organizations are created by people coming together around a mission to make their community a better place to live, work, play, and raise a family. Their mission is the reason for existence. The book Joan Garry's Guide to Nonprofit Leadership summarizes the importance of mission: “Your mission statement is your North Star. The big thing that matters most” (Garry, 2017, p. 22). Although this seems obvious, the best leaders—the ones that transform their organization—are manically and fanatically driven by mission. They lead with mission, make every decision to further the mission, aim every resource at achieving the mission, and inspire others to support the mission. This is the first and most important truth for transformational leaders. It is not sufficient by itself but being fanatical about mission is the foundation for the other four truths. A leader with an unwavering fanatical commitment to mission inspires others, raises expectations, and is able to make difficult decisions about people, strategy, and the allocation of resources.

Let's begin by attending a very important meeting of the Community Centers of Mission City board of directors.

Community Centers of Mission City

Board Meeting Summary

The meeting of the board of directors of the Community Centers of Mission City began at 12:00 noon. The agenda called for the board to make the most important decision boards ever make: hiring a CPO. Joan Fenz is the chairperson of the search committee. Joan joined the board 18 months ago. She is a living example of the organization's mission and impact. Joan attributes her success to the guidance and encouragement she received at the Southside Community Center when she was a child. She believes in the organization's mission and understands the community needs a strong organization capable of making a difference for young people and families.

Joan quickly became frustrated with the board. The organization was stuck, constantly struggling to find the resources they needed. Every few months there was a financial crisis followed by intense activity to “keep the doors open.” Somehow, they found the resources to continue but soon found themselves back in the same position. Staff turnover was an issue and many of the staff members who stayed were not the superstars the organization's mission demanded.

Joan pushed the board to make a leadership change. The organization churned through five different CPOs in the past 10 years. She believed they needed a leader with the drive to pull the organization together, make a difference in the community, and reestablish the organization's credibility. She believed the most important talent needed by their leader was the ability to excite others about the mission and the difference the Community Centers make.

The board finally resolved that the organization must improve. After much debate, the board asked their CPO to resign. The board chair, Hank Salvan, had recently retired and agreed to become the interim CPO. The board formed a search committee led by Joan to find a transformational leader. The search committee resolved to hire a leader who was up to the challenge. They designed a thorough process to identify candidates and select someone who could transform the organization. They received more than 50 applications, many with experience as a CPO at similar‐sized organizations. There was one internal applicant. A review of résumés identified five candidates who were interviewed by the search committee. The search committee narrowed the field to two finalists.

One finalist, Harold, was a seasoned CPO with 10 years of experience in resource development and 4 years as the CPO of a similar‐sized nonprofit focused on environmental issues in a neighboring community. He had the experience the board had outlined in the job description. Under his leadership the organization he led had averaged 5% annual growth in income.

The other finalist was the internal candidate, Helen. Helen did not have experience as a CPO and almost no experience in finance, HR, board development, or program management. She had worked for Mission City University in resource development for four years and had been the director of resource development for the Community Centers of Mission City for 14 months. Helen had been a great support to Hank during his time as interim CPO. During the past four months she had been indispensable to the survival of the organization. She had taken on extra tasks and proved to be a quick learner. She demonstrated a deep passion and commitment to the Center's mission. Her enthusiasm was contagious.

Every board member was invited to meet the two finalists as part of a final interview. All 10 board members present today had met and interviewed both final candidates.

As the meeting began Joan handed out a copy of the résumé of each candidate and a list of pros and cons for each prepared by the search committee. The differences were clear. Harold had experience in the competencies the board had prioritized in the job description (fund raising, board development, financial management, and planning) but little experience with a community‐based organization. The organization he led was primarily focused on educating the public about environmental issues. Helen had an abundance of energy and passion for their mission but little experience beyond resource development. In fact, her only supervisory experience was supervising a student intern.

The four members of the search committee were split on whom to hire. Two felt Harold, the person with proven experience, was what the organization needed. This half believed they needed someone who knows how to lead the organization out of crisis and reach a point of stability. They recognized the person would need to embrace their mission and learn about the communities they served but believed that was not insurmountable. Board members could introduce them to key leaders in the community. Harold had expressed a strong interest in the mission during the interview and asked many questions about the programs the Center offered.

The other two members of the committee felt they needed someone who believed deeply in the cause, someone who could excite staff, donors, and the community. Although experience was important, they put a higher priority on hiring someone who could lead the organization forward. They recognized Helen did not have the experience or skill sets laid out in the job description, but she had a spark that excited them. The board members who wanted to hire Helen, which included Joan, pointed out that the last three CPOs had experience but were not viewed as a leader by the staff or the community. “I believe Helen is a leader; she can excite people about our mission. In two years, she will transform this organization,” Joan told the board.

During the interview process Helen was clear about her lack of experience; in fact, she followed up her initial interview by sending the board a detailed plan for her first 100 days as CPO. The plan addressed what she had already learned working with Hank and how she would learn to successfully manage all aspects of the ongoing operations of the organization. The plan also included a goal to increase operating revenue by 20% in her first year.

The entire board agreed this was a plus for her.

After nearly an hour of intense discussion, the board was still unable to decide. Half wanted Harold, the proven executive, and half wanted Helen. Joan suggested they table the discussion and that Hank and the search committee would check both candidate's references and interview each candidate again to address the areas about each candidate the board was concerned about. They would come back to the board with a recommendation. She said, “Maybe we need to think about this differently than we have in the past. We need to determine what we absolutely need from our CPO and figure out how we support everything else.”

What does a different way of thinking look like? In October 1997 Billy Beane became the general manager of the Oakland Athletics baseball team. The year before, the new owners of the team slashed payroll after having the highest payroll in the American League. The challenge for Beane was to field a team with a modest budget that could compete with the Yankees and other big‐market teams that had large budgets for player salaries. To succeed, Beane realized he had to look at players through a different lens. Beane used sabermetrics to build teams on a small budget that won their division championship between 2000 and 2003 and set a record for the longest regular season winning streak. His approach changed how every Major League Baseball team evaluated talent.

Board members of many social service organizations, especially those with smaller budgets, have a similar challenge. To succeed and grow, organizations must compete head‐to‐head for resources (money, talent, customers) with organizations with similar missions, larger budgets, and specialized expertise. Larger organizations typically have an experienced leader and a team of experts to lead resource development, finance, operations, HR, and other major areas of the organization. Their size also gives them visibility, legitimacy, and access—a seat at the table with community leaders.

The leader of smaller organizations must oversee all these functions personally, lead the organization, and manage service delivery. But financially you can't afford to hire a CPO with multiple years of proven resource development success, outstanding communication skills, board savvy, financial management, and documented success as a leader driven by a passion for mission. The CPO you want to hire is likely not available to you. So, what is your strategy for hiring a CPO with the capacity to transform your organization?

Hiring the most experienced leader you can find may not be the best answer. Like Billy Beane and the Oakland As, to be successful and compete with larger organizations, you may need to look at filling this position through a different lens.