How Can a Board of Directors Support a First-Time Executive Director?

The selection of an Executive Director (E.D.) is one of the most important decisions that a nonprofit Board of Directors will make. Because so much rides on this decision, there is an understandable preference for candidates with E.D. experience. At the same time, every Executive Director was at one time new to the role.

Although there are risks to hiring a first-time E.D., there are some real benefits as well. This blog offers some insights into how a Board can support a first-time leader. This insight derives from my personal experience as a first-time E.D. as well as my experience at The Moran Company placing highly successful first-time Executive Directors.

Benefits of Hiring a First-Time Executive Director

Personal Incentive to be Successful: A first-time E.D. has a strong incentive to succeed. This incentive to succeed is a strong motivation to work hard and overcome any challenges. The fear of failing as a first-time E.D. can manifest itself as healthy pressure that produces positive results.

Humility: First-time Executive Directors will often feel humbled by the significant responsibility of leading a nonprofit and will therefore seek out learning opportunities and professional development. While some may feel insecure by a lack of experience in a similar role, the good ones will be honest with themselves about what they don’t know, leaning on the expertise of staff and board members. New Executive Directors are also more likely to participate in the nitty gritty work of the nonprofit. This humility can help to cultivate a strong organizational culture.

A Healthy Appetite for Risk: A first-time E.D. is less likely to “do things the way they have always been done.” Although first-time Executive Directors might not be the right fit for all nonprofits (particularly large, complex organizations), they can bring innovative ideas and a willingness to try new approaches to solving problems.

Risks of Hiring a First-Time Executive Director

There are some obvious risks to hiring a first-time E.D. A lack of leadership experience can lead to poor decisions. A new E.D. may lack key connections in the community and will therefore require more time to raise funds and cultivate partnerships. A degree of patience will be needed by the staff and board members early on in the E.D.’s tenure.

Perhaps the greatest challenge for a first-time E.D. is the experience of reporting to and managing a Board of Directors. This is a unique dynamic that experienced Executive Directors are better equipped to handle. The lack of experience managing a budget and finances is another risk when hiring a first-time leader. It is therefore important for a Board of Directors to invest in the growth of a new E.D. by providing support, transparent communication, and a commitment to work through professional limitations.

Supporting a First-Time Executive Director

Perhaps the best reason to hire a first-time E.D. is the potential to land a rising star for your nonprofit. The right support can mitigate the aforementioned risks and accelerate the new leader’s growth.

Onboarding: During the first few months after hiring an Executive Director, board support is critical. However, board leadership is typically worn-out from the process of hiring the E.D., and a proper onboarding session can often be overlooked. The Moran Company includes a complimentary onboarding session in all of our Executive Director search contracts. An effective onboarding session includes a discussion of urgent priorities, begins a conversation about developing annual goals, and helps establish expectations for the first 90 days. The outgoing E.D. can be helpful in the onboarding process. But the Board plays an essential role in onboarding by making the new E.D. feel welcome, supported, and prepared to succeed.

Executive Coaching: Executive coaches are utilized by professionals in many different industries. They can be particularly helpful to nonprofit Executive Directors. A good executive coach will support and encourage a new Executive Director, helping them to achieve their professional goals. When hiring a new Executive Director, a Board can provide support by encouraging them to partner with an executive coach. In addition to supporting the individual’s growth, this is a way to help ensure that the new E.D. stays in that role for a longer period of time. Many seasoned E.D.s will already have an executive coach, but a new E.D. may need some help in identifying and paying for this coach. If a new E.D. requests funds to pay for an executive coach, this should be seen as a positive sign, indicating self-awareness and a commitment to personal growth. As part of the compensation package, for example, the Board might provide $10,000 in the first year for an executive coach.

Network of Support: The role of Executive Director can be an extremely lonely job. It is important for new E.D.s to find a network of support. In order to make space for some healthy dialogue with others facing similar nonprofit challenges, it can be helpful for any leader to develop a network of peers. Becoming an active member of a local nonprofit association can be a great way to develop this network while also participating in relevant professional development programs.

At The Moran Company, we currently contract with a professional executive coach who provides peer leadership groups and additional support for E.D.s placed by our firm. The cost of this program is covered by The Moran Company because we are committed to the long-term success of the Executive Directors we place. Participating executives run nonprofits with a mix of missions from all over the country. As an added benefit, they develop a network of support made up of individuals who are working in different nonprofit sectors and communities. E.D.s can therefore share information more freely without the worry of any potential gossip or competition. It is truly a “safe space” to troubleshoot challenges.

Transition Team: The Moran Company recommends establishing a transition team intended to support the new Executive Director. As my colleague Jon Rosell explains in one of our previous blogs, the members of the Transition Committee “become champions, listeners, and liaisons helping to connect the dots, align expectations, and set collective goals with the right resources in place.” First-time E.D.s appreciate a committee established to intentionally focus on supporting their success, which directly impacts the success of the organization they serve. (Read more: Set New Nonprofit CEO Up for Success with a Transition Committee)

Investing in the New E.D.’s Professional Development: A first-time Executive Director will likely have areas of need for professional development. I recommend allocating a discretionary budget for professional development so that the new E.D. can seek out relevant classes, workshops, or other training programs. By proactively investing in the growth and support of a first-time Executive Director, a Board of Directors can mitigate risks associated with a new E.D. while benefiting from the intrinsic upside of a highly talented emerging leader.

It’s important to consider what experience and skills your nonprofit’s next leader should possess. The Moran Company has a successful track record of recruiting both seasoned and emerging executives for nonprofit leadership positions across the nation. Contact us today for a free 30-minute consultation.

By Mike English, M.P.P.
Vice President for Search Strategies & Senior Search Consultant
The Moran Company
“We Find Great Nonprofit Leaders”