CEO asks board for input

• Date: 01 October 2017
• Published date: 01 October 2017
• DOI: http://doi.org/10.1002/ban.30552

© 2017 Wiley Periodicals, Inc., A Wiley Company • All rights reserved

View this newsletter online at wileyonlinelibrary.com • DOI: 10.1002/ban

Editor: Jeff Stratton

Supplement

CEO asks board for input

Imagine this: The nonprofit has a key manager

who reports directly to the CEO. She is well-paid,

and the CEO often tells the board that this per-

son is vital to the nonprofit’s success. She attends

board meetings as a resource, so board members

know her well.

Since the previous board meeting, this valued

employee has resigned without reason and taken a

new job.

The CEO is shaken by this, and at the next

meeting he and the board discuss the resignation.

“We have to replace her as soon as possible,” the

CEO says.

“Filling this job is very important,” the CEO

says. “I’d like your input on this decision. If you

have anybody to recommend for the job, I’d like to

discuss them now.”

One board member says: “I’d like to see some

of our current employees apply for the job. Hiring

from within is good for morale.”

Another board member agrees: “I think this

job is so important that the board should sit in

on the interviews so we can help the CEO with

this hire.”

CEOs do make mistakes, and this CEO made

one in this instance by inviting board input, and

the board took him up on his offer.

The board is responsible for hiring the adminis-

trator only. No matter how crucial other staff posi-

tions are to the organization, this administrator is

responsible for the performance of the people who

fill those jobs.

When boards let their CEOs hire staff, they

can then hold the CEO responsible for staff per-

formance. That’s tough to do when the board is

involved in hiring staff.

If the CEO invites input on a management con-

cern, give it. Then, be sure to remind your admin-

istrator that the final decision is his or hers—not

yours. ■

October 2017 Vol. 34, No. 2

April meeting focuses on governance

Each year at its April board meeting an Iowa board

focuses on governance effectiveness. Board members

discuss board self-assessment, board member self-

assessment, the conflict of interest acknowledgement

and disclosure statement and the board member ethi-

cal commitment acknowledgement.

Board members are asked to sign the conflict of

interest acknowledgement and the ethical commit-

ment acknowledgement. The ethical commitment

acknowledgement has a statement about items

that need to be kept confidential.

The board also reviews confidentiality each fall

during an orientation session for new board and

committee members.

Why all this work on governance? Because the

board has new members join each year and many

of them have considerable experience with other

nonprofits. The board is hoping to gather insights

during this meeting about how to improve its

governance practices. Also, the questions in the

self-assessment tools serve as a good reminder of

the board’s role. ■