Navigating Executive Director Transitions

Amy Thornburg | February 9, 2024

Associations and nonprofits can face significant challenges when an Executive Director transitions. Appointing an interim chief executive is a critical decision that often needs to be made swiftly. When this transition takes place, common strategies exist to fill the position on an interim basis.

Appointing a Board Member

A member of the Board of Directors will either volunteer to serve, or the board may ask for a particular director to serve in the role. While a board member is dedicated to the organization and possesses some institutional knowledge, board members rarely have the nonprofit experience and operational skill set required. Additionally, board members are typically employed full-time within the industry, so being able to dedicate the necessary time is likely to be a significant strain. Moreover, many board members may be employed by a company that could financially or politically benefit from the relationship with the non-profit, meaning that the appointment could appear to compromise the objectivity and independence of the organization.

Selecting a Team Member

Looking to the staff team to fill an interim Executive Director position is another common strategy. It stands to reason that any staffer appointed to the interim role has enough qualifications to be considered permanently for the position. However, if that staffer is not selected, the organization may face potential resentment from a tenured staffer and a newly appointed executive who lacks genuine support from a pivotal team member. A more effective approach is to allow interested staffers to participate in the search process while remaining in their current roles. However, this approach does not solve the short-term leadership gap.

Management Company Benefits

Organizations that utilize a management company, often called an AMC, find significant benefits with this business model during times of leadership turnover. In most cases, the AMC is the legal employer of the staff and has expertise in sourcing personnel. The interim position is typically filled by a partner of the management company or another unassigned executive-level staff, both of whom are likely to have the capabilities to step into the role. Additionally, these staffers rarely have political or resentment concerns. However, a drawback to this solution is the limited time available to dedicate to the interim position. Partners of a management company often split their time among multiple roles, and most AMCs do not have full-time executive-level staff readily available.

Contract Expertise

The simplicity of contract expertise merges the benefits of various options without any of the associated concerns. Utilizing a contract professional as an interim chief executive ensures that a qualified, experienced professional is fully dedicated to the role, with none of the concerns related to board or staff members. The interim contractor will also have the ability to assist with the search by participating in the selection process and will have the flexibility to remain as a valuable resource to the new Executive Director, expediting onboarding and facilitating a successful leadership transition.

The Best Approach

Opting for an external, contract, interim chief executive offers a range of advantages, including objectivity, ensuring accountability, full-time commitment, mitigating resentment, and facilitating significant organizational change. At Centric Management, our specialized expertise lies in delivering timely support solutions uniquely crafted for associations and association management companies (AMCs). Partnering with us ensures a seamless transition and effective interim leadership for your organization's success.