Leadership development is an important part of organization growth. Baby boomer leaders, born in the 1950’s and early 1960’s, continue to retire leaving many organizations with a gap in leadership. Additionally, organizations with younger leaders are not immune to leadership transition. They also depend on new board members and other volunteer leaders to continue to grow and innovate. Yet at the end of 2020, the Council of Accreditation reported 83% of organizations they interviewed did not have a succession plan in place.
Why is succession planning rarely talked about? CEO's hesitate to bring up the topic. Some don't want to signal to their board that they may be leaving, when they have no plans. Others appreciate the job security. And more don't want to start a discussion that they don't know where it will lead. Not to mention, leading a nonprofit organization is difficult in this age of record unemployment, a pandemic, and budget deficits, etc. Leaders feel they can't afford to lose focus on the here and now.
For founding staff leadership in particular, the discussion is even harder to begin. Many see their leadership as essential; after all this is their baby and their single focus. Board members feel that bringing up the topic is disrespectful to the founder and all their work. Many founders also don't have the means to retire because creating a new organization means all resources were focused toward keeping the organization afloat rather than leadership retirement. Setting aside funds for retirement was always next year's goal.
Board members are also silent on their own transition. Many nonprofit boards have terms and term limits in name only. Many CEO's and Board Chair's don't have regular check-ins with their fellow board members. Without this dialogue, board members feel trapped. If they start the dialogue, they feel they are shortchanging the mission and the organization yet for whatever reason they are ready for a new challenge.
What happens when leaders don't talk about transition and succession isn't planned for? How did leadership succession become the white elephant in the room? How can nonprofits prepare for this transition creating a stronger organization and more effective services for those in need?n need?