Once a company reaches 50-100 employees, growth creates an interesting and seemingly unfair challenge. Having the opportunity to grow is the result of – and reward for – great success. Only successful founders build organizations that attract investors. Only companies with substantial capital have the opportunity to quickly double in size and revenue.
But after a large capital infusion, the next level is not a baby step. It is a giant leap – one that often requires a significant transformation – with a new or evolved vision, strategy, leadership, talent level, structure, and culture. Private equity backed growth is one of the most consistent examples of “what got you here won’t get you there.” Continue reading “Growth is a paradox.”
There are multiple factors, completely unrelated to ability, that drive decisions to put employees in people management positions, including the desire to: attract and retain top talent; recognize and reward service; or the need for someone to manage a growing team. Often these ancillary reasons result in managers who can’t manage. Successful leadership development begins with leadership selection. Continue reading “Before You Promote”
In another sector, alarm bells would be going off – talent is not keeping pace with technology and the strategic skills needed in a competitive, knowledge-based climate. Innovation is stifled, if alive at all. Spending is a bad word.
We’ve starved the nonprofit sector in the name of fiscal prudence grounded within the myth that running lean is a virtuous strategy. In the for-profit realm, we would expect overly anemic organizations to fold or completely reinvent themselves to oxygenate back to health. In the nonprofit world, we consider it a badge of honor to do more for less, chase our tails for a pittance, and live with the insecurity of our livelihoods failing to be renewed in the next grant cycle. Continue reading “Culture of Scarcity is Crushing the Nonprofit World”
The nonprofit sector has a long history and culture of underinvesting in talent. In the name of financial stewardship and the doctrine of mission, nonprofit employees have existed within a culture where working harder for less money is a badge of honor. As admirable as this commitment to working for the benefit of our communities and others has been, over time the ratchet effect of lower wages in ever tightening budgets, lack of investment in professional development, and the organic burgeoning of nonprofit roles in which people continue to take on more and more responsibility without increase in compensation has led to the sector falling far behind in talent compensation. Continue reading “History of Underinvestment in Talent”