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When Should You Pursue Nonprofit Leadership Development?

July 12, 2021 by Dennis Fischman Leave a Comment

A guest post by Susan Tomlinson Schmidt of the Nonprofit Leadership Alliance

If you’re asking yourself when you should pursue nonprofit leadership development, the short answer is yesterday.

All nonprofits can benefit from improving development opportunities for team members. Not only does it help your team evolve and become better professionals, but it also helps your organization increase efficiency.

Most growing nonprofits are constantly trying to do more with less. Usually, this means decreasing your overhead expenses and focusing on elements of your mission. While development of team members might increase your overhead expenses, over time, it can actually fast-track your organization for success.

Here at The Nonprofit Leadership Alliance, we understand the value of professional development for nonprofits. In fact, we specialize in it! We certify new professionals in the industry each and every year and provide ongoing training opportunities for organizations and individuals.

In this guide, we’ll dive into the benefits that your organization will see when you invest in your teammates. Then, we’ll cover some materials and resources you can use to start your own development program. Let’s get started!

Benefits of Leadership Development

Developing your staff members to become more effective leaders at your organization is the key to growth and success. They’ll not only grow their own skills at the organization, but they’ll also be able to help develop more efficient organizational processes.

This helps you build a reputation of efficiency, raise and allocate more funds, and ultimately create a greater impact on the community. Let’s explore a few other key benefits:

Employee Retention

When employees feel that they’re developing and honing their skills to become better versions of themselves, they’re more likely to stay engaged. This element of personal growth and development is key for staff members to maintain high levels of satisfaction in their careers.

When you invest in your employees, they’ll stick around and invest back in your organization. However, if you fail to provide an engaging workplace, you could cost your organization a lot of money in turnover costs.

In other words, it pays to retain employees! When you add up the expenses that accompany hiring, training, and getting new staff up to speed, it becomes very expensive to start seeing return on a new hire. If you’re curious about how much you might be actually spending on employee turnover, this calculator can help you identify the cost of not retaining your team members.  

Of course, professional development isn’t the only way to retain employees, but it is one of the most effective. 93% of employees say they would stay longer at their jobs if their employer invested in their careers.

Fundraising Efficiency

Training your staff members to become better professionals leads to new ideas for efficiency at your organization and increased productivity overall.

For instance, if you focus on developing communication in your organization’s future leadership, and they’re currently in a fundraising position, they’ll likely transfer those skills to communicate effectively with your supporters. This results in higher fundraising revenue for your nonprofit.

Organizational Growth

Not only will individual staff members become more efficient in their position at your organization, but they’ll also teach their coworkers to do the same. Good habits and ideas will trickle down the ranks to help your nonprofit grow from within.

The last thing you want at your organization is for your leadership to leave. But what’s worse is when they leave without leaving their mark on your other team members. Help all team members grow and develop, then also encourage them to help one another create the most holistic growth strategy at your organization.

Resources to Implement Development Opportunities

Developing leaders at your organization helps in multiple ways for both the individual and your organization as a whole. But how can you pursue this development? We’ve pulled some of the top resources we discuss in The Nonprofit Leadership Alliance guide to professional development, including guided online resources, books, and journals.

Guided Online Resources

You can find plenty of guided online resources to help your team learn and develop. What constitutes these guided resources? Usually, they’re structured as online nonprofit courses that help walk learners through challenging material.

Generally, these online courses are designed with modules that guide individuals through content one bit at a time, with various elements and engaging opportunities to enhance the learning experience. For instance, you might read through definitions of keywords on one module, then watch a video to provide an example of what you just learned in the next.

Books

Lessons can be learned from just about any literature, from an instructional pamphlet to a children’s novel. In particular, there are books targeted to the nonprofit sector that you can lean on to gain general knowledge on a range of topics.

Look for books published by your favorite consultant or ask them for recommendations. Then, invite your team members to read these books and take notes on their insights. You might even start a lunch-time book club to cover some of these insights and to discuss how they can be applied to your organization.

Journals

There are publications everywhere that keep tabs on what’s happening in the nonprofit world. Keeping up with academic journals and other publications, like blogs from trusted sources, is a great way to keep up with the latest trends in the nonprofit industry.

Quickly advancing technology and legislation updates usually take a while (at minimum a month) to hit the nonprofit course scene, and even longer to make its way into books. That’s why it’s important to also encourage staff members to keep up with journals, blogs, and other online reading materials to understand the latest news. Everyone will learn how to effectively react to it and make decisions for your organization.

Wrapping Up

Professional development for nonprofit leaders is a key aspect of growth for the entire organization. According to Double the Donation, 85% of employees are not engaged in the workplace. But providing professional development opportunities can change that.

Ready to get started? Choose a development resource and dive in!


Susan Tomlinson Schmidt Leadership DevelopmentSusan Tomlinson Schmidt has dedicated her life to serving others through more than 25 years advancing the missions of social-impact organizations. Currently, Schmidt is the Nonprofit Leadership Alliance president, an organization that develops talent for the nonprofit workforce.

She received her master’s in public administration from the University of Memphis and is a Certified Nonprofit Professional. Schmidt and her husband, David, a professional chef, have two sons, Patrick and Walker. They live in Leawood, Kansas.

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Is Your Nonprofit’s Reputation at Risk? What You Can Do About It

May 2, 2016 by Dennis Fischman 7 Comments

Nonprofit organizations live and die by our reputation.  It’s what brings us clients, volunteers, funding, and dedicated staff who could earn more in a for-profit setting.  But what is reputation, and how do you protect it?

Nir Kossovsky

Nir Kossovsky

I spoke with Dr. Nir Kossovsky, the executive secretary of the Intangible Asset Finance Society and the author of Mission: Intangible. Managing risk and reputation to create value and the more recent Reputation, Stock Price, and You ).

Nir, what is reputation as you define it?

Many companies think of reputation in terms of likeability, but people express your reputation through their wallets.  In every relationship, there comes a moment of truth.  The customer is looking at what you have to offer and thinking about everything they like about it–but do they actually buy it?  The correlation between likeability and the decision to purchase is very low.

I think of reputation as a set of expectations.  The customer expects a specific kind of performance from you, and you expect that if you perform, the customer will purchase what you have to offer.

So your reputation is more than just your brand?

Your brand is the promise you make, and that sets the expectations.  Your reputation is whether you are known for keeping your promise.  Your reputation can be your greatest asset.  It can create cash flow for your organization.  (It’s also a liability in the sense that to keep your brand promise, you will have to spend time and money.)

What is the cash value of having a good reputation?

It adds value at every level. For instance, you can hire and retain good employees for less when they expect your company will be a great place to work and their expectations are fulfilled.

The way the New England Patriots used to be able to attract great players for less because they expected to have the chance to compete for a championship every year?

Exactly.  You can measure the discount employees give when they love to work for you, and when they stop loving their jobs, it costs you.

How else does a good reputation pay off?

Suppliers and vendors also charge less when they trust you, and they charge more when they think you are the proverbial pain in the ass to work with.  Regulators are required by law to take reputation into account.  Even creditors, who are as unsentimental as anyone in business, give a reputation discount.  Organizations with a good reputation borrow money at 60 basis points, or .6%, less than companies without that advantage.  And nonprofits start out with a good reputation because people know they are devoted to a mission.

But it’s different for nonprofits, isn’t it, because we don’t have one set of “customers”?  Some people pay for the services that other people receive, and the funders and regulators often don’t know what the clients think of us.

It is more complicated for nonprofits.  Your funders and regulators try to measure performance by setting up objective measures and requiring you to use them when you report.  Having a good reputation with them is important because when they come under public pressure to cut programs, they may wield the axe somewhere else.

It’s like protecting against terrorism.  The U.S. can’t prevent terrorists from striking anywhere in the world: all it can do is to ensure they go seeking a softer target.  You can’t stop ideological attacks on your programs, but you can make your own agency less vulnerable.

You believe performance is the key to reputation.  Should nonprofits take the attitude, “Just do the work and it will speak for itself?”

No, that would be naive.  If a tree falls in the nonprofit forest and no one hears it, it will not make a sound and it will not add to your reputation.  You may be not-for-profit, but you are still competing with other organizations: not only in your field, for clients, but all the other organizations, for funding.  You have to communicate your value proposition just as effectively as for-profits do.

What role can nonprofit communications play in building reputation?

Communications are a major tool for reducing reputation risk and increasing the value of your reputation.  Relations with the public and with the funders and donors who invest in your program are key.  Your communications are vital to the financial health of your nonprofit organization.

Okay, readers, your turn.  What are you doing to make sure your nonprofit organization lives up to the promise it makes…and that people recognize and appreciate your performance?

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Your Most Valuable Asset is Something You Don’t Own

September 2, 2014 by Dennis Fischman Leave a Comment

Workers walked out at seventy Market Basket supermarkets in June. Today, they are going back to work on their own terms.

The majority shareholders have agreed to sell their stake in Market Basket to the once-and-future CEO, Arthur T. Demoulas. That was the workers’ sole demand.

Why did Market Basket have to cave? The company still owned the stores and the valuable land on which they were built. It had plenty of money in the bank.

What it didn’t own was the company’s reputation.

Read more at http://www.trippbraden.com/2014/09/02/most-valuable-asset/.

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