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January 13, 2025 6 mins

Chapter 5: Defining High-Performance in Nonprofit Boards

In this episode of Board Room Bound, host John Kundtz takes you through what makes a nonprofit board high-performing. 

Drawing on The Board Builder’s Blueprint, John explains the essential traits distinguishing exceptional boards.

Episode Highlights

  • Actionable strategies for aligning board governance with mission success.
  • Real-world examples of innovative approaches that high-performing boards take to meet modern challenges.
  • How to position your nonprofit for long-term sustainability by balancing governance, strategic oversight, and stakeholder engagement


Key Takeaways

Understanding High Performance: Learn how high-performing boards drive their organization’s mission and embrace innovation to disrupt the status quo.

Unity in Purpose: Discover how alignment between the board and executive team fosters strategic progress and organizational growth.

Avoiding the Rubber Stamp Mentality: Explore the importance of fostering robust discussions and encouraging diverse viewpoints to make sound decisions.

Prioritizing Stakeholder Experiences: Understand how a holistic focus on all stakeholders—including staff, donors, and the community—strengthens relationships and inclusivity.

Navigating Strategic Waters: Dive into the Blue Ocean Strategy to uncover untapped opportunities and maintain long-term relevance.

Duties of Care, Loyalty, and Obedience: Gain insights into the legal foundations of board governance and how they establish trust and credibility.


Featured Resources

Read the entire chapter on Medium, LinkedIn, or Substack.

Now available on Amazon (free for Kindle Unlimited subscribers)

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Transcript

Episode Transcript

Available transcripts are automatically generated. Complete accuracy is not guaranteed.
Speaker 1 (00:00):
Defining high performance in not-for-profit
boards.
Welcome to another edition ofBoardroom Bound.
This is a special editionsub-series of the Disruptor
Podcast.
I'm your host, john Kuntz, andI have over 35 years of

(00:22):
experience serving onnot-for-profit boards and I am
here to help you transform yourboard into a high-performing
team that drives meaningfulchange and mission success.
In today's episode, we'll bediscussing Chapter 5 of my book,
the Board Builder's Blueprint astrategic guide to creating
exceptional not-for-profitleadership.

(00:44):
This chapter defineshigh-performance, exceptional
not-for-profit leadership.
This chapter defines highperformance and not-for-profit
boards and explores key traitsthat set exceptional boards
apart.
Whether you're a seasoned boardchair, a newly elected board
member or a non-profit executive, today's episode is packed with
actionable insights to helpyour organization thrive.

(01:06):
Section 1, understanding HighPerformance.
Start by defining what it meansto have a high-performing board
.
High-performance board is morethan just a group that meets
regularly and adheres togovernance requirements.
These boards go beyond thebasics.
They actively drive thestrategic vision and the mission
of the organization.

(01:26):
One hallmark of such boards istheir willingness to disrupt the
status quo.
Instead of sticking to routinesor past approaches,
high-performing boards embraceinnovation to tackle
contemporary challenges.
Think of it as moving fromcomfortable stagnation to
purposeful disruption.
For instance, if your board hasbeen hosting the same

(01:49):
fundraiser for years and yearsand years, it might be time to
evaluate its relevance.
Consider virtual events,corporate partnerships or other
modern approaches thateffectively meet your
stakeholders' needs approachesthat effectively meet your
stakeholders' needs.

(02:09):
Section two unity and purpose.
Another key characteristic ofhigh-performing boards is unity
and purpose.
Alignment between the board andthe executive team is critical.
Picture everyone rolling in thesame direction.
That's when true progresshappens.
To build this unity, Irecommend holding regular
strategy sessions involvingboard members, staff and even
other persona stakeholders thatmight be involved in your

(02:33):
organization.
These sessions fostertransparent communication, align
long-term goals and allow allstakeholders to address
challenges and opportunitiescollaboratively.
Section 3.
Avoiding the rubber stampmentality.
This is a common pitfall.

(02:55):
I call it the rubber stampmentality.
High performance boards don'tsimply approve proposals without
thoughtful deliberation.
Instead, they engage in robustdiscussions, examining ideas
from multiple perspectives,ensuring every voice is heard.
If you want to foster thisculture of inquiry, start by
designing meeting agendas thatencourage dialogue, highlight
key decisions and providebackground materials in advance

(03:18):
to stimulate informeddiscussions.
Remember, diverse viewpointslead to better decision-making.
Section four prioritizingstakeholder experiences.
High-performing boards alsoexcel in prioritizing
stakeholder experiences.
This means going beyond servingthe immediate beneficiaries of

(03:39):
your not-for-profit submission.
Instead, take a holistic viewthat includes your staff, your
donors, your volunteers, yourboard members, your students,
your parents of your studentsand the community at large.
One way to do this is byconducting regular feedback
sessions and surveys.
Gather insights from eachstakeholder group to understand

(04:02):
their needs and how yourorganizations can better serve
them.
This approach fostersinclusivity and builds stronger
relationships.
Section five navigatingstrategic waters.
Let's talk strategy.
One of my favorite books isBlue Ocean Strategy.
This is the concept of swimmingin a blue ocean, where there

(04:25):
are untapped niches and there'sminimal competition.
A high-performing boardunderstands the importance of
navigating towards a blue oceanand the opportunities that are
held within the blue ocean andthe pitfalls of unfortunately
swimming in the bloody red ocean.
Swimming in the bloody redocean.

(04:45):
For example, if yournot-for-profit provides
educational services, look forthe underserved areas where your
programs can have a uniqueimpact.
This strategic positioning setsyour organizations apart and
ensures long-term relevance.
Section 6.
Duties of Care, loyalty andObedience.
Finally, let's address thelegal foundations of

(05:07):
high-performing boards.
In the United States, a boardof directors has three primary
legal duties the duty of care,the duty of loyalty and the duty
of obedience.
These principles aren't justlegal duties the duty of care,
the duty of loyalty and the dutyof obedience these principles
aren't just legal requirements,but they are the backbone for
responsible governance.
The duty of care ensures thatthe board members are informed
and actively engaged.

(05:27):
The duty of loyalty requiresplacing the organization's
interest above your personalagendas, and the duty of
obedience emphasizes thealignment with the
organization's mission andbylaws.
By adhering to these principles, your board establishes trust
and credibility within thecommunity.

(05:47):
Call to action.
So what's the takeaway?
Building a high-performanceboard requires commitment to
innovation, alignment,stakeholder focus and strategic
vision.
I challenge you to evaluateyour board's current performance
.
Are you prioritizing thesetraits?
Are there areas for improvement?

(06:08):
If you'd like to read thisentire chapter, they are
available on my blogs on Medium,substack and LinkedIn, as well
as all previous chapters.
You can follow the links in theshow notes.
Thanks for joining me on thisspecial edition of the Disruptor
Podcast.
Join us next time as wecontinue exploring strategies

(06:28):
for creating exceptionalnot-for-profit leadership.
Until then, keep disrupting,keep leading and keep making a
difference.
This is John Klintz.
Thanks for listening.
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