Practical approaches for nonprofit boards to fulfill their responsibility to further the mission of the organization.
A nonprofit board of directors has four key responsibilities: guide the mission, approve policy, apply governing structures and monitor results. In this series, we dive into each topic with practical suggestions and tools to strengthen your board. While many of these responsibilities also could apply to executive directors or CEOs, when we refer to a “board” we exclude the executive director. It is a generally accepted good practice to exclude executive directors from board membership because they report to the board. However, most executive directors attend board meetings and are essential to board decision making.
In this first article, we explore the nonprofit board’s responsibility to align the organization with its mission. Achieving the mission ultimately is the responsibility of the board alone. To do this, board members define the organization’s mission, approve aligned plans and use mission as a compass for all activities.
Nonprofit mission statement
First, every nonprofit organization needs a clear definition of its mission. Begin with the charitable purpose found in your organization’s charter. It is usually written broadly so that the organization can adapt its activities over time.
It is the responsibility of the board to rephrase that purpose into your organization’s mission. The mission tells the world why you exist. Here are examples of missions for organizations with different purposes:
Combat juvenile delinquency - Provide life skills training and after-school programs to help at-risk youth in our community complete their high school education.
Maintain public monuments - Honor the legacy of veterans in our community by preserving public monuments.
Support the financially poor - Increase food security in our city through access to food and nutritional resources.
Mission statements should be challenging and inspiring, but not impossible. In the examples above, notice three definitions included in the mission statements:
1. Who you serve (at-risk youth in our community).
2. How you serve in general terms (preserve public monuments).
3. What you achieve through your service (increase food security).
Some organizations may also have a more emotional vision statement. In contrast, a good mission statement contains practical strategic guidance. Every board member should know the who, how and what of their mission statement.
Mission is the board’s responsibility alone
Achieving its social purpose to benefit the community is the central activity of the organization, and the responsibility of the board alone. The board does not exist to help staff but to represent the interest of the community served by the organization. The board holds the executive director – even if they are the founder — accountable for supporting the mission.
When mission is at the heart of the organization, other activities work properly:
Communities receive services that solve the problem the organization was set up to address.
Staff focused on mission-aligned programs spend time and money well.
Results that show progress of the mission encourage donor support.
Staying on-mission protects the organization’s tax-exempt status.
Losing sight of the mission could threaten the organization’s long-term existence.
Approve plans aligned with mission
While the mission statement sets direction, plans help the organization progress in the right direction. Plans can be annual or strategic (usually five-plus years). Plans include:
Measurable goals toward accomplishing the mission
Details about programs necessary to achieve those goals
Resources required for staff to implement those programs successfully (budget, staff, volunteers, etc.)
While the executive director typically develops the plan, the board approves the plan, including budgets. And the approval process evaluates whether the plan moves the organization closer to achieving their mission.
Mission is a compass
Mission statements and plans are an important start to fulfilling the board’s responsibility. But in day-to-day decisions, it can be easy to drift from the organization’s mission.
Thinking of your mission as a compass that guides all other board responsibilities can help:
Board policies reduce drift if they are written with the mission in mind. For example, a donation with “strings attached” may require activity that is off-mission. Gift acceptance policies help boards make consistent decisions about whether to accept or reject out of the ordinary donations.
Approve new board committees only if they are necessary for the organization to achieve their mission. A committee charter supports this procedure.
Track evidence you are achieving the mission. For example, a food pantry that measures the amount of food distributed has a clear understanding of their mission.
Practical next steps
Here are suggestions that help your board evaluate and improve its mission alignment:
Assess your board’s knowledge of your nonprofit’s mission.
Evaluate the charter organization information available to your board members.
Determine whether board responsibility to your community guides decision-making discussions. If not, consider training on board governance, or reading the book Mission Drift.
Assess whether the board understands its community adequately or has identified research necessary to fill those gaps. This is the beginning of a good plan.
Review your organization’s plan and consider optimizing your planning process.
Policy templates get you started if you are missing policies mentioned above.
Evaluate whether the program results you track are good indicators of mission achievement.
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