CEO’s Guide to Managing Capabilities and Complexity
In recent years the role of nonprofit CEO has become increasingly complex. Between managing large-scale turnaround, merger integration, reducing costs, and technology implementation, nonprofit leaders are challenged with issues that require innovative thinking and new approaches to managing.
In this article, we are going to provide insight into two areas of focus that go hand-in-hand to help leaders of mission driven organizations achieve short and long-term goals:
Ensure your organization has the capabilities needed to perform at a high level into the future.
In order to deliver on performance and solidify strategic relevance for the future, CEO’s need to ask themselves: Do I have the right people to help execute our strategy? Are there capabilities missing? Where are we strong and where are our weaknesses?
When assessing current performance and capabilities the first step is to ensure that employees are clear about their roles and responsibilities. This means providing them with job clarity around purpose, priorities, key performance indicators (KPIs), outlining their duties and expectations, and setting measurable goals.
Our nonprofit consultants utilize the Job P.A.K. to assist our clients in establishing role clarity within their organization. This tool is an objective look at roles and responsibilities that enables leadership to enhance clarity, accountability, and performance.
Once clarity is established with your employees, regular communication is crucial. Employees should be provided with feedback on their performance, and goals should be set for the future. By creating clarity and maintaining regular communication, employees will feel more engaged and motivated to improve their performance. This will help to build an understanding of who is performing, what capabilities currently exist, and where there are gaps.
Employees should also be provided with opportunities for learning, development, and career advancement. This can be achieved through training programs, coaching, mentoring, and designing succession/career ladders. Structuring a career roadmap that identifies training needed to assume a position, the development of capabilities in the role, and upskilling talent to prepare for succession, can all lead to higher performance. By investing in your team’s skills and knowledge, it will make them feel valued and more confident in their abilities. It is also important to recognize and reward employees for their achievements. This can be as simple as acknowledging a job well done or providing bonuses and incentives for meeting targets. By showing employees that their hard work is appreciated, they will be more committed to improving their performance and contributing to the success of the organization.
When taking a closer look at whether your organization has the right people in the right positions, there is the challenging reality that there will be employees that may lack the capability to deliver on what is needed in that role for the future. This can, short-term, be one of the biggest challenges when driving change and with building culture.
Balancing these challenges while maintaining a growth, relevance, and sustainability mindset is never easy so we suggest using the following questions to guide and inform your decision making:
What are the current and future trends in our sector, and are we prepared to adapt to them?
How well do we understand our customer’s needs, and are we able to meet them effectively?
What are our strengths and weaknesses, and how can we leverage our strengths to take advantage of new opportunities?
How do we attract and retain top talent, and are we investing in the development of our employees to ensure they have the skills and knowledge needed for the future?
Are we using technology effectively to streamline our operations and improve efficiency?
How strong is our financial position, and do we have the resources needed to pursue new opportunities and/or weather economic instabilities?
By asking these questions, you can assess your organization’s current capabilities and identify areas for improvement to ensure long-term success in a rapidly changing environment.
Ensure the CEO is positioned to lead the adoption and advancement of technology
CEO’s need data, systems, and more sophisticated technology to manage at scale. As your organization becomes more complex, the need for a technology infrastructure to advance becomes vital to future relevance and viability.
There are several steps you can take to lead the adoption of technology within your organization:
Develop a technology strategy: Before implementing any technology, you need to have a clear understanding of how it aligns with your strategic and operational goals. Develop a technology strategy that outlines how technology will support your organization’s growth and market advantage.
Create a culture of innovation: Encourage your employees to be innovative and embrace new technologies. Foster a culture that rewards experimentation and risk-taking.
Educate your employees: Provide training and support to help your employees understand how to use new technologies. Make sure that they understand the benefits of the technology and how it will improve their work.
Get buy-in from key stakeholders: Involve key stakeholders in the technology adoption process, including department heads, employees, and clients. Listen to their concerns and feedback, and address any issues that arise.
Start small and scale up: Implement technology in phases, starting with small pilot projects. This approach allows you to test the technology and make adjustments before scaling up to larger projects.
Monitor and evaluate: Monitor the impact of the technology on your organization and regularly evaluate its effectiveness. Make changes as needed to ensure that the technology is meeting your goals.
By following these steps, you can lead the successful adoption of technology within your organization and gain an advantage in the marketplace.
As nonprofit leaders continue to focus their efforts on driving organizational change, ensuring you have the capabilities needed and the adoption and advancement of technology will be critical components of your ability to achieve goals.