1. Strategic Governance A balanced focus on accountability, stewardship and investment The Leadership Group – May 2015 www.leadershipgroup.info

2. Definition of Governance Nonprofit governance is: the provision of guidance and direction to a nonprofit organization so that it fulfills its vision and lives its core values, while maintaining accountability to the community, other key constituents and funders.

3. Unique Governance Tasks Set & monitor outcomes (answers the “so what” question) Set and monitor policy (prudent/ethical behavior) Continuous trend analysis and review of changing needs of customer base (are we still relevant?) Set and monitor strategic goals, including fundraising Evaluate the Executive Director Adhere to clear distinction of Board, staff, volunteer roles So That: The Organization is Worth Raising Money For!

4. Strategic Planning As Governance At a minimum, 1/3 rd of board time should be spent on setting and monitoring of strategic goals. Supporters invest in an organization’s future. They look to past success to identify credibility for future investment. Clearly defining a desired future state that ensures the continued relevancy of the organization is the core of the planning process Monitoring progress on strategic goals, while continuing to scan the environment for changes, is the part often forgotten by boards

5. Steps for Strategic Planning Organizational assessment to identify internal strengths and weaknesses External scan to identify future trends most relevant to organization. Also identifies external stakeholders perception of organization. Priority setting – Three year goals and investments top strategic issues that “must” be addressed over next three years Identification of clear metrics to measure progress on strategic goals – what will be true that is not true now by end of year 3? Tactical planning – Year 1 tasks and investments Board Monitoring – Standard agenda item for progress reports and add1/drop1 rule

6. Governance Research & Trends Passion, not wealth, impacts fundraising/organizational success. Make up of successful board different than expected Smaller boards require separate volunteer structures Average term length is getting shorter as younger people join boards – requires more focus on policy and procedure for continuity and organizational memory Social networking creating non-hierarchical expectations – crowd sourcing, not power and control. Chair CEO relationship is critical to success – succession planning required