Embracing Agility: The Power of Hybrid Governance for Small Nonprofits Focused on Women's Empowerment
In this blog post, we will delve into the concept of nonprofit governance, question the limitations of the traditional Board of Directors structure, and introduce the Hybrid Governance Model - an innovative approach that combines the Advisory Board Model and the Community-Engagement Model while incorporating fiduciary responsibility - as the ideal solution for small nonprofits focusing on menstrual equity, combating period poverty, and addressing current women's issues.
Defining Nonprofit Governance
Nonprofit governance refers to the framework and processes through which an organization makes decisions, manages its resources, and remains accountable to its stakeholders, including donors, beneficiaries, and the community. Traditionally, the Board of Directors model has been widely used, with a group of individuals responsible for strategic decision-making and fiduciary duties.
Limitations of the Traditional Board of Directors Structure
While the Board of Directors model has been effective in many cases, it may not be as conducive to agility or easy pivots for small nonprofits with women's empowerment missions. Some limitations include:
Slow Decision-Making: The hierarchical nature of the Board of Directors structure can slow down decision-making processes, making it challenging to respond swiftly to emerging issues or seize opportunities.
Limited Community Involvement: Traditional boards may not fully engage with the communities they serve, leading to potential misalignment between the organization's initiatives and the actual needs of women.
Resource Constraints: For small nonprofits with limited resources, forming a traditional board with extensive fiduciary responsibilities might be burdensome and time-consuming.
Introducing the Hybrid Governance Model for Small Nonprofits
The Hybrid Governance Model is an innovative approach that combines the best elements of the Advisory Board Model and the Community-Engagement Model, while integrating fiduciary responsibility to cater to the specific needs of small nonprofits.
1. The Advisory Board in the Hybrid Governance Model
The Hybrid Governance Model adopts the concept of an Advisory Board, which consists of external experts and stakeholders who offer strategic guidance and specialized insights to the organization's leadership. Unlike the traditional Board of Directors, the advisory board does not carry full fiduciary responsibility but focuses on providing valuable expertise.
Advantages:
Specialized Expertise: By tapping into the knowledge of professionals in menstrual health, women's issues, and related fields, the organization gains valuable insights for decision-making.
Reduced Burden: For small nonprofits with limited resources, the advisory board's partial fiduciary responsibility alleviates some of the administrative burdens.
2. Community-Engagement Model in the Hybrid Governance Model
The Hybrid Governance Model incorporates elements of the Community-Engagement Model, ensuring active involvement of stakeholders, beneficiaries, and local communities in decision-making processes.
Advantages:
Tailored Solutions: By directly engaging with the communities they serve, organizations can identify specific challenges related to menstrual equity and period poverty, leading to tailored and impactful solutions.
Increased Trust and Relevance: Involving the community fosters a sense of trust and relevance, ensuring that the nonprofit's initiatives align closely with the needs of women.
3. Fiduciary Responsibility in the Hybrid Governance Model
In the Hybrid Governance Model, the advisory board members also share fiduciary responsibility, combining the expertise of external advisors with accountability for financial and legal oversight.
Advantages:
Comprehensive Governance: By merging fiduciary responsibility with expert insights and community engagement, the hybrid model ensures a well-rounded and responsible approach to governance.
Adaptability: The hybrid model allows for agile decision-making, empowering small nonprofits to make critical pivots promptly when needed.
Fiduciary Responsibility in the Hybrid Governance Model
In the Hybrid Governance Model, members of the advisory board also share fiduciary responsibility, ensuring financial and legal oversight. This combines expert insights and community engagement with accountability for responsible decision-making.
Compliance with 990 Forms using the Hybrid Governance Model: Nonprofits employing the Hybrid Governance Model must ensure accurate and timely filing of 990 forms with the IRS. The model's combination of expert guidance and community involvement enhances financial transparency, making it crucial to provide detailed and accurate financial information, including revenues, expenses, and program activities, to meet IRS requirements and maintain public trust.
Comparing the Mission of Organizations Focused on Women's Empowerment
For small nonprofits focused on menstrual equity, combating period poverty, and addressing women's issues, the Hybrid Governance Model presents several advantages:
Cost-Effective: The hybrid model streamlines governance while ensuring the organization still benefits from expert advice, making it a cost-effective option for small nonprofits.
Responsive Decision-Making: The hybrid model's agility enables small nonprofits to respond rapidly to emerging challenges in menstrual health and other women's issues.
Strengthened Impact: By actively involving communities and combining diverse expertise, the hybrid model enhances the organization's effectiveness in achieving its mission.
Conclusion
In conclusion, nonprofit governance plays a critical role in the success of organizations dedicated to women's empowerment. For small nonprofits focusing on menstrual equity, combating period poverty, and addressing current women's issues, the Hybrid Governance Model presents a powerful solution. By combining the strengths of the Advisory Board Model and the Community-Engagement Model while incorporating fiduciary responsibility, the hybrid model offers greater agility, inclusivity, and responsiveness. Embracing the Hybrid Governance Model, small nonprofits can pave the way for positive change, empower women, and create a lasting impact in their communities.
References
Hardy, M. M., Upshaw, D., & Williams, J. (2019). Perspicacity, sagacity & mentoring: A management model for strategic leadership success in faculty senate governance. Journal of Leadership, Accountability and Ethics, 16(3), 36-40. Retrieved from https://proxy.cecybrary.com/login?url=https://search-proquest-com.proxy.cecybrary.com/docview/2289553831?accountid=144459
Maclaughlin, Steve. (2019). Charitable Giving Report: How Fundraising Performed in 2018. Blackbaud Institute. Retrieved from https://institute.blackbaud.com/asset/2018-charitable-giving-report/
Rovner, M., (2018). The Next Generation of American Giving. Blackbaud Institute. Retrieved from file:///E:/LSUS/Class%20Summer%202019/NPA%20764/Week%201/Assignment/2018-Next-Generation-of-Giving.pdf