How nonprofit CEOs kill fundraising

Here's an interesting question, asked over at the Nonprofit Leadership, Innovation, and Change Blog: "How much does the leadership of an Executive Director or C.E.O. affect fundraising?"

Like it or not, the leader of an organization makes a huge difference. Nonprofit CEOs are not often hired for their fundraising prowess. That in itself isn't a problem; a good leader knows how to delegate to others who know what they're doing. And that's what some do: They foster very good fundraising programs.

Sadly, there are a number of common nonprofit leadership styles that are distinctly harmful to fundraising -- because they value things that hurt fundraising. Here they are:

The Technocrat
This type of leader is an expert in the organization's mission, adept at rallying resources to get the best outcomes for the organization. Almost always, though, the Technocrat is uninterested in fundraising. Under his regime, fundraising tends to be a neglected stepchild in the organization, a languishing afterthought. Fundraisers tend to be underpaid, and seldom challenged to rise to greater heights.

The Poet
This self-expressive leader really believes in her ability to communicate; every word is unchangeable, like some kind of scripture. The clarity, simplicity, and donor focus that fundraising requires often doesn't sit well with the Poet, who blithely believes her genius will create a superior form of fundraising. It doesn't.

The Consensus-Builder
Not really a leader, the Consensus-Builder becomes captive to the majority opinion and/or those who yell the loudest. Since that's not usually the people who do fundraising, fundraising tends to degrade over time, and is generally eviscerated by committees. (For more about the malignant power of committees, see Death by Committee.)

The Entrepreneur
Often the organization's founder, the Entrepreneur is a passionate exponent of the organization's mission. Sometimes the Entrepreneur works in favor of fundraising, if he happens to have fundraising in his vision. If not, fundraising will be incidental to what really matters, and will not be done well.

If your organization has one of these types of leaders (and you're a fundraising professional), my sympathy to you. But let me remind you that patience is a great virtue, and that many things change over time.

Technorati Tag: CEOs

Comments

[Christopher Scott]

Thanks for the great insight Jeff. Keep it up!

[Sandy Rees]

I'm working with a small nonprofit with an ED who is a couple of years from retirement and doesn't want any part of fundraising. It's putting a huge strain on many of the staff who see the need for fundraising and want to raise some money to support some of the nonprofit's great programs. It's an unfortunate and not uncommon situation. I think you're right Jeff about time taking care of things. Hopefully, this ED will retire sooner rather than later.

[Ted Grigg]

Great list Jeff!

I find the Consensus-Builder particularly difficult to work with.

As a side note, this list applies equally as well to CEOs in corporate America.

[Jen Clearwater]

I've personally encountered problems with EDs who come up the program side of the house and think fundraising = grantwriting only. Then they hire a CDO and freak out when s/he wants to meet with board members and other friends of the agency to ask them for gifts.

[Tom Durso]

Jeff, care to illustrate your list with examples of nonprofits that are being hurt by these leadership styles? I'm not so certain that the outlook is as bleak for fundraising as you put it here, so if you have any empirical or anecdotal evidence, I'd love to see it.

I agree, though, with Ted above: These problems are hardly unique to nonprofits.

Interesting post -- keep up the good work!

[Jeff Brooks]

Actually, Tom, I'd better not be more specific!