Many CEOs or directors of Not For Profits have arrived at their current board room via a circuitous route, often spending many years in the corporate world.
Contrary to perhaps popular belief, they are not necessarily solely driven by a higher vision to ‘do good’. Of course, this is part of the story for many, but the driving force of successful and inspirational NFP leaders is to make their organisations fiscally strong, relay the vision for future growth and ‘walk the talk’.
In a short series of articles, we share some of the motivations of WA’s NFP CEOs, and an insight into what drives these leaders of one of the most challenging corporate sectors.
Inspiring a diverse – and sometimes voluntary - workforce
Kate O’ Hara, Foodbank WA’s CEO, is laser-focused on delivering the best possible outcomes for her NFP, and is clear on how that can be achieved.
“The core functions of a CEO for any organisation are the same,” she says. “Strategy and leadership as key principles need to be driven by the CEO. However, on reflection of my corporate experience, the CEO does function under a different lens when comparing an NFP to corporate CEO. Rarely do corporates have volunteers and for many NFPs, we couldn’t operate without our volunteers.
This brings a different dimension to how a NFP CEO needs to frame some decision-making and how the culture is set, Ms O’Hara believes while all other aspects of the role from a strategy perspective are fundamentally the same – clarity on understanding and meeting markets and funding activities are essential.
“Where funding has a different lens is around the need to secure government, corporate and philanthropic funding. Often NFP product and/or service delivery is not commercially viable on its own basis.
“From a leadership perspective, there are now more subtle differences because legislated governance requirements have brought NFP and corporate standards into a more aligned arena. There is also Board management that has nuances,” she says.
“Where NFPs have unpaid volunteer Boards, the CEO has a responsibility to assist in ensuring Board engagement. Paid corporate Board roles usually come with a different approach even though the Board relationships are essential for a corporate CEO to manage.”
Governance also faces nuances across the history of NFPs where this for some, has not had a focus but now must, whereas corporates often have longer histories with and better established governance.
“Personally, I am most grateful for my career path as it has ensured I bring a more ‘commercial’ approach to a business moving well out of its ‘cottage’ stage,” says Ms O’Hara.
Be the change – attracting strong NFP leaders
Corporate leaders, especially from mid-sized organisation, have much to offer the NFP sector. Especially , says Ms O’ Hara, for leaders that have established their corporate careers and have started to give more importance to altruistic objectives.
“We all ask at some stage, ‘what impact have I made with my life?’ “Where have I made a difference?’ With experience in the corporate sector, a leader can align well with an opportunity to lead an NFP of similar scale, in similar markets, and there’s a direct appeal to be able to apply that experience to ‘doing good’ for others.”
The skills set of a corporate leaders can also add significant value to an NFP that’s in need of a further evolution or even a revolution, especially if there is a need to re-establish the financial model of the NFP.
“There may even be a need to shake up service or product delivery for an NFP that has stayed in tune with the needs in community,” says Ms O’Hara.
“The opportunity to lead that change is appealing and definitely impacts the usual decision making a leader may make around remuneration and lifestyle.”
The bottom line – people, financials and long-term effects
Identifying whether a CEO’s tenure with a NFP has been successful comes down to the strength of the financial results, the calibre of the team and the truth of the impact the NFP has on its end-users, according to Ms O’Hara.
“Without question, we must be financially viable, a direct reflection of the leadership team and the quality of the relationships to steer the organisation to be its best for those we support; I think about daily.
“It’s also about listening to the people we help, what they face and how we help fills the soul.” She says.
“For me I am very fortunate. Foodbank WA is financially stable but I respect risks are all around us and we cannot sit back. Our leadership team is dynamic and driven by our focused vision but we are always an evolving team.
In addition, Ms O’Hara is the very definition of ‘walking the talk’ – you’ll often find her working on the shop floor, fulfilling orders for the clients who turn up with an empty pantry to fill.
“What we do fills the soul daily. I take time to help serve and be present with our agency partners and the households we serve. We know no one in WA should be without food. We know it is a problem that can be solved.”
