Questions About Nonprofit Executive Searches

COMMON QUESTIONS ABOUT NONPROFIT EXECUTIVE SEARCHES FOR EXECUTIVE DIRECTORS AND FUNDRAISING LEADERS

Each nonprofit organization and position for which we recruit is unique. Please contact us if we can answer your questions personally during a free 30-minute consultation and/or assist with your specific hiring needs. Below are a few common questions we often hear when it comes to conducting searches for Executive Directors, senior-level fundraising staff and more:

Q1: We need help with our executive director / development director search, but can we afford it?

A: You can’t afford not to. Investing in your organization’s mission and capacity is critical.

Other than its mission, having an effective Executive Director or Development Director is the most important factor in running a successful nonprofit.  It truly does come down to having “good people.”

An excellent Executive Director will strengthen operations, community relationships, staff retention, fundraising, board governance and all other aspects of nonprofits. Mediocre leadership will negatively impact all areas. The fees you pay for an Executive Director search are an investment that will return many times over in just a few years. Remember, you’re not just filling a position — you’re building capacity for your organization.

Fundraising positions are a straight investment. Finding an excellent Development Director, Chief Development Officer, Vice President of Advancement or Philanthropy, or Hospital Foundation President for example will result in hundreds of thousands of dollars for your organization annually. Meanwhile, the wrong hire can cost you tremendously if donors are lost in the process.

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Q2: Can’t we just sort through resumes ourselves?

A: Sure. But the best candidates probably aren’t hiding in that pile.

Many highly-qualified candidates do not send in resumes. They’re not actively looking for a new position. It takes networking with nonprofit peers before they will even consider applying for the position. That’s why our candidate research, our nationwide contacts, telephone inquiries and zoom meetings with respected peers in the sector are so important. We uncover and “activate” the best candidates.

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Q3: Why not just use the HR Department?

A: We probably don’t need to tell you that human resources departments are already overstretched. They often do not have the time, contacts or expertise to conduct a comprehensive search for professional nonprofit leaders and fundraisers. We can help.

While human resources staff are critical in their roles, they’re often not able to do the kind of active search that we do - conducting research, making calls on your behalf, meeting candidates, and identifying the best person for your position. When it comes to identifying the right nonprofit leader or fundraiser, many hours must be devoted to this hiring effort alone over the course of several months.

At The Moran Company, we’re comfortable asking applicants tough questions – and we often get answers that are more revealing because we’re an outside firm. Our team understands the dynamics of nonprofits because our senior search consultants have actually served as nonprofit CEOs and senior-level fundraising professionals. We have worked closely with HR departments in a variety of capacities and are confident in our ability to help you make smart hiring decisions.

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Q4: What about using a Board volunteer committee instead of a search firm?

A: Although Board members are experts in their respective fields, they might not have the time or firsthand experience to recruit and evaluate nonprofit leaders or fundraising professionals.

Board committees are a critical part of the hiring process. They need ownership in the decision and can provide valuable feedback when selecting from several finalists. However, using them to screen candidates can be a mistake for the following reasons:

  • Board members often will identify individuals who are known in the community, but these individuals may not be good candidates for the position. A well-known name does not necessarily translate into a great nonprofit leader.
  • It can take a lot of time to uncover talented candidates who may or may not be looking for new employment. Board members’ time is often limited when it comes to conducting this kind of thorough outreach.
  • It can be problematic for Board members to interpret true qualifications and skill sets of candidates based solely on applications received. An impressive resume does not always translate into a person’s actual productivity or future success in your role, especially if someone was part of a strong team in the past. Our recruiters have performed the positions for which we recruit, and we are able to “talk shop” with applicants to understand their experience on a deeper level.

The best use of your Board volunteer committee’s time is meeting with a final pool of qualified candidates who have already been identified and evaluated for their convenience. These finalists should meet or exceed the criteria for the position, established in advance with their input. The ultimate hiring decision is made by the nonprofit organization – yet The Moran Company partners closely with all parties involved in the search to ensure the qualifications for the position are well defined, the search process is equitable and inclusive, the slate of candidates is diverse and strong, and the stakeholders feel confident in their final choice.

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Q5: How can we involve staff members in the search process?

A: Having the right balance of staff participation is important. If the pendulum swings too far one way or another, there can be challenges. At The Moran Company, we partner closely with organizations to find the right approach.

For an Executive Director search, for example, staff should be given an opportunity to share their valuable insight and feedback with us and the Board Search Committee. However, they typically should not be part of the final decision-making authority when it comes to hiring their boss. This responsibility lies directly with the Board of Directors as one of their primary governing roles.

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Q6: We've started the search ourselves but are not attracting the caliber of candidates we want. Is it too late to engage with a search firm since we're already receiving and responding to resumes?

A: It’s never too late. You will lose more time and money by potentially hiring the wrong individual for an important role.

If you’ve tried the search on your own but are not seeing the right applicants so far, you can still make the decision to hire a professional search firm like The Moran Company. We work solely with nonprofit organizations to attract top talent for key leadership and fundraising positions. We are often asked to restart an existing search to ensure it is successful.

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Q7: How long does a nonprofit executive search take?

A: Your search will last as long as it takes to find an excellent candidate. However, most searches are completed in about three months.

 

At The Moran Company, our usual search process takes about 12-14 weeks. In a typical search, we allow 3 weeks to collect documents and/or conduct a survey, complete orientation, confirm the candidate profile, and finalize the position description. Then we prefer at least 6 weeks for the recruitment and initial screening of candidates. The final 3 weeks of our process include interviews, background checks, and negotiations. We can customize our search process to meet your needs.

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Q8: Are there special considerations that may be taken for the planned retirement of a longtime nonprofit Executive Director or CEO?

A: Yes. The Moran Company is accustomed to partnering with organizations where a longtime leader or even a founder is preparing for retirement. We can customize our search process and help guide you through these important issues to ensure a smooth and successful leadership transition.

For example, it is important to consider developing a written timeframe for the transition. You may also want to create a communication plan for internal and external stakeholders in order to inspire confidence and transparency in the hiring process. As you partner with a search firm, you may also want to explore the potential advisory role the retiring leader may play in the search process and evaluate best practices for any well-defined overlap between the incoming and outgoing Executive Director/CEO.

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Q9. How do we attract diverse applicants?

A: One must be intentional with recruiting efforts in order to present a diverse slate of candidates. Genuine relationship-building, outreach to respected resources individuals in different communities, and targeted research efforts can help identify and attract a variety of applicants including those from different racial and ethnic backgrounds.

At The Moran Company, we strive to engage a diverse pool of qualified leaders to fill the nonprofit positions we are seeking. Research exists that building diverse leadership improves an organization’s effectiveness. We customize our recruitment strategies for each search and take the extra time to share job opportunities with a broader group of audiences, affinity groups and applicants who may be historically under-represented in nonprofit leadership positions. Qualified and diverse candidates for fundraising and Executive Director positions are indeed out there – it just takes effort to reach them.

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Q10: How much does a search firm cost, and what happens if the person hired leaves?

A: Retained search firms typically offer a full-service fee based on a percentage of the first year’s salary, as well as a one-year guarantee.

Most reputable companies will accept several payments so that you can spread out the cost before, during, and after the search is completed. Plus, they will stand behind their work and will go above and beyond to make sure their clients are satisfied. Look for a company that guarantees your new hire will stay in place for at least a year. If that does not happen, then the firm should offer to complete a replacement search and bring several more qualified candidates to you.

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Check out the Resources section of our website for more great articles and tips related to nonprofit leadership and executive recruiting.