The NPO Dilemma: HR and Organizational Challenges in Non-Profit Organizations

Whether you’re the President, Exec­u­tive Direc­tor, COO, VP, Cor­po­rate Ser­vices or some­one else in senior man­age­ment – run­ning a Non-Profit Orga­ni­za­tion is chal­leng­ing.  Your respon­si­bil­i­ties include strat­egy, pro­gram deliv­ery, fundrais­ing and day-to-day oper­a­tions.  Not to men­tion; keep­ing the Board happy, man­ag­ing your num­bers, keep­ing the lights on, and the ‘care and feed­ing’ of the folks who arrive at work every day.

This pre­sen­ta­tion is based on a book, “The NPO Dilemma”.  The book itself is based on 25 years of HR, Orga­ni­za­tion and man­age­ment con­sult­ing to NPO’s.  It is a set of ‘dis­patches from the front lines’, pro­vid­ing a com­pi­la­tion of both the­ory (how NPO’s should be man­ag­ing their Human Resources) and prac­tice (how NPO’s actu­ally man­age their Human Resources func­tion in real life).

Out of this comes a series of nine HR dilemma’s faced by NPO senior man­age­ment every day.  A dilemma is a prob­lem offer­ing only two pos­si­bil­i­ties, nei­ther of which is prac­ti­cally accept­able. (We all know of course, that there are always ‘way more’ than two choices.) The dilem­mas we dis­cuss are:

1. CEO vs. COO?  Where does the Exec­u­tive Direc­tor best spend their time?
2. Do You Have the Right Jobs in Your Orga­ni­za­tion?  How do you know?
3. Will the Peo­ple You Hire Stay? Why?
4. Pub­lic Sec­tor or Pri­vate Sec­tor?  Which are you?
5. Are You Pay­ing Prop­erly?
a) Are you being fair?  Do you know what ‘fair’ is?
b) What is your mar­ket posi­tion?  Can you com­pete?  Against who?
c) How can you afford key hot skills?
d) Do you pay for per­for­mance?  Should you?
e) Inter­nal com­mu­ni­ca­tions?  Who knows what, when?

Tim McConnell is the Man­ag­ing Part­ner of McConnell HR Con­sult­ing Inc.  He is pre­sent­ing ‘The NPO Dilemma” on Mon­day, Octo­ber 8 at 11:45 a.m. dur­ing the 2012 Non­profit Human Resources Conference.

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Top 10 Mistakes in HR Management: Mistake #1

Mis­take #1: Not Hav­ing a Plan

If we asked the first five employ­ees who walk by your office door to tell us “what busi­ness are you in?” would they all give us the same answer?  If your busi­ness was a Roman gal­ley, would all the ‘oars peo­ple’ be row­ing in the same direc­tion?  Or would your ship be going around in circles?

We have seen orga­ni­za­tions where employ­ees do not know the core cor­po­rate objec­tives — because man­age­ment never told them.  We have seen places where the orga­ni­za­tion charts are con­fi­den­tial and not shared with staff.

Our advice:  You need a busi­ness plan (as any banker will tell you).  You need a cor­po­rate strat­egy.  You need an orga­ni­za­tional model which depicts your work struc­ture and is aligned to your busi­ness plan.  All of these need to be reg­u­larly updated and com­mu­ni­cated to all lev­els of staff.

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Top 10 Mistakes in HR Management: Mistake #2

Mis­take #2: No Job Descriptions

We once heard a com­pany CEO, in a busi­ness where there were no job descrip­tions, glibly state that ‘if my staff don’t know what their job is, they have a prob­lem’.  Our (tact­fully unstated) response was “No, if your employ­ees don’t know what they are sup­posed to be doing, YOU have a prob­lem”.  This is not bureau­cracy, this is good business.

Job Descrip­tions are the bedrock of any HR pro­gram.  They spell out how the busi­ness and pro­grams of the orga­ni­za­tion will be accom­plished.  They are invalu­able tools in recruit­ing (job ads), new employee ori­en­ta­tion, train­ing, com­pen­sa­tion and per­for­mance management.

Our advice: Write them.  They don’t have to be long.  Spell out the job title, report­ing rela­tion­ship, sum­mary overview of the role, a list of tasks and respon­si­bil­i­ties, and the required skills and qualifications.

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