How to Manage an Effective Nonprofit Organization

Michael A. Sands
How to Manage an Effective Nonprofit Organization: From Writing and Managing Grants to Fundraising, Board Development, and Strategic Planning
The Career Press, 2005

Michael A. Sands has worked with nonprofit agencies for more than 40 years. In 1966, he began his career as a grantwriter, and 13 years later, after attending workshops led by people lacking expertise in nonprofit management, he decided to open his own consulting firm, Sand Associates. For the last 30 years, he has led workshops on how to run an effective nonprofit. This book is a compilation of the information he provides attendees as well as tips they’ve provided him over the years.

In nine information-packed chapters, Mr. Sand explores nine elements he considers key to managing an excellent nonprofit organization: an effective board of directors, successful community fundraisers, grant writing, grant management, a strategic plan, effective supervisors, personnel management, an outstanding volunteer program, and community coalitions.

He fleshes out each element, giving detailed examples of how to implement his ideas—for example, exactly how to run a board meeting and solicit funds from potential donors. He also points out the not-so-obvious aspects of running a nonprofit—for example, the difference between an advisory board and a governing board (an advisory board doesn’t have decision-making powers), and the importance of framing requests for donations from private organizations (don’t just ask businesses for money, ask for “community investments”). 

Mr. Sands concludes with an FAQ page. He lists questions most commonly asked at his workshops (e.g., “How should a supervisor handle an employee who is unpleasant?”) and follows each question with his answer (e.g., by documenting specific incidents of unpleasant behavior, meeting with the employee to address the issue, and explaining appropriate behavior).

Key points:

• Each nonprofit board should adopt its own rules. It can look to published rules and   rules used by other organizations for guidance, but it should compile for its own list only those rules that work for its board.
• Planning is essential for successful fundraising. Fundraising should not be a half-hearted affair. Begin planning well in advance and get everyone involved – agency staff, board members, volunteers and other community members.
• Write a generic grant. There are certain pieces of information every request for proposal asks for, such as the problem you are trying to solve, the activities you will perform, and cost. Prepare this basic information in advance and you’ll only need to supplement it with any additional information asked for in the request.
• Make a contact at the source of the funding and find out everything you can about the grant. You don’t want to begin a funded program blindly.
• Put together a strategic plan and then make sure it’s followed. Maintain a planning committee to ensure the agency is on track to accomplish goals.
• “Make sure supervisors supervise.” Often supervisors perform the work of the agency along with all the other employees. They just do it more effectively. Make sure supervisors are managing their employees, delegating tasks, and ensuring work is completed.
• Take the time to find excellent employees, even if this means extra time reviewing resumes and interviewing. Also, take time to document behavior of inefficient employees so, if intervention efforts are unsuccessful, you have reason to terminate their employment as you don’t want them dragging down the agency.
• Invest resources in an effective volunteer program.
• Connect with like-minded organizations. Work together on projects and join together to affect legislation.

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