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Community Column by President Michael M. Parks
Navigating the Perfect Storm

Nonprofits in our community are called upon daily to work on some of our region’s most pressing challenges. Their work is seldom easy and requires a dedicated team of staff and volunteer leadership working in tandem.

Recruiting volunteer leadership, however, for boards and community leadership initiatives is becoming increasingly difficult. A changing corporate climate has altered the volunteer landscape. Fewer corporations are headquartered in our region, corporate consolidations have affected volunteer engagement and charitable giving priorities, and shareholder and corporate board expectations of CEOs have changed. Do we still have wonderful, engaged volunteers from the business sector? Absolutely. It is just more difficult than in the past.

How individuals are identified and “tapped” for volunteer leadership also has changed. Historically, we had “feeder systems,” such as loaned executives for united appeals and leadership of local service clubs. Today’s corporate environment generally will not support key staff to be on loan for extended periods of time, and participation and membership in service clubs locally and nationally continues to be a challenge.


"Demand for good volunteer leaders is up, and many of the traditional sources of volunteer leaders are diminishing. The need for high-quality professional staff has increased, and a major exodus in leadership is under way.... We can navigate this storm, but it will require some different and perhaps bold strategies...."

This challenge in recruiting volunteer leadership comes at a time when the number of nonprofit organizations (NPOs) in our multi-county region now numbers more than 4,000, and each is required to have a volunteer community board to govern their activities and operations. Demand is increasing, and the traditional sources of supply are decreasing. Expectations and demands on volunteer leadership also are increasing as the need for transparency and good governance rises.

On the professional staff side, demand is increasing as the number of organizations increases. Even more importantly, an exodus of incumbent staff is under way from established organizations. The Bridgespan Group completed a national study in 2005 regarding “The Nonprofit Sector’s Leadership Deficit.” The Group projected that organizations with budgets over $250,000 in the nonprofit sector will need over the next decade some 640,000 new senior managers nationally – the equivalent of 2.4 times the number currently employed.

This deficit is a collective result of baby boomers beginning to retire, movement of existing managers within and outside the sector, and growth in the size and number of nonprofits. An Annie E. Casey Foundation national study indicated that over 60% of current nonprofit executives plan to leave their positions within five years. This change in leadership is under way both nationally and locally. As we look at our local nonprofits, we can see the changing faces of these organizations.

Demand for good volunteer leaders is up, and many of the traditional sources of volunteer leaders are diminishing. The need for high-quality professional staff has increased, and a major exodus in leadership is under way. We are in the perfect storm. We can navigate this storm, but it will require some different and perhaps bold strategies, including the following.

• New, nontraditional ways to reach out and engage volunteer leadership. The fabric and character of individuals has not changed, but the ways in which they get involved, recruited and trained needs to change.

• Active efforts to encourage partnerships, alliances and mergers in the nonprofit sector. There are wonderful local examples of how this can be done without losing the “brand” or mission of the organization.

• Invest in the development of skilled management teams. Success is all about leadership.

• Retain top talent and encourage the organizations led by these high performers to be “net consolidators” or collaborators within the sector.

Whether as leaders of businesses, as funders, or as volunteers on boards, there is a role for each of us. I am confident that if we so choose, we can navigate the storm. The strength and vitality of our region depends upon it.

November 28, 2008
Michael M. Parks, President


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File date: 12-12-08
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