In 2006, a study surveyed numerous nonprofits with revenues greater than $250,000. In that study, the projected growth of the nonprofit sector and the need for new management suggested that the number of new managers needed to meet the need would require attracting 50% of all MBA graduates from every school in the country in the next 10 years. Over the next 10 years, the nonprofit sector will potentially need 640,000 new senior managers. Even if the sector begins consolidating and merging together, the survey still suggested that at least 330,000 new senior managers would still be needed.
Another study done in 2006 on Executive Director positions in nonprofits found that 75% of the Executive Directors surveyed were planning to leave their positions within the next 5 years (although they did plan to stay within the sector.) 70% said that they were planning to leave their organization at some point. Less than 1 in 3 had discussed succession planning with their Board.
There is a discussion that needs to be happening between those that are leading now and those that want to lead in the future. Here at the YNPN Annual Conference, it seemed that almost everyone is aware that these conversations are happening, but they are happening separately. Next generation leadership talks about it and so does the current leadership, but the conversations are not crossing between different generations.
Today, our keynote speaker, Robert Egger, suggested that our society does not recognize the incredible impact of the successes of the nonprofits. When we put people back to work, give young people better education, when we feed and house people, we are not only helping people, but we are helping society. The more people working, the better financial situation a community will be in. When people have food and housing, they can focus on their other needs. I am afraid that some of the nonprofit sector is making this same mistake. We are so focused on our own missions, that we are forgetting the impact that our fellow nonprofit organizations have on us. Nonprofits are afraid to invest in younger staff because the likelihood is that the younger staff person will leave. But better leadership in the nonprofit sector benefits the entire sector, not just a particular organization. Better education will ultimately equal a smaller need in employment, food and housing assistance. People that have jobs will be better equipped to afford taking care of their families. When one nonprofit is successful, we are all impacted in a positive way. Missions are important, but it may not be such a good idea to see ourselves as so separate from one another.
And of course, for young nonprofit professionals, we cannot always sit and wait. We must take control of our careers. If we aren't finding the professional development we need at our jobs, we might need to look for it elsewhere. Develop a personal brand. Join a board. Volunteer your skills and services. Go to conferences and learning seminars on your own time with your own money if you can. It can be done.
Of course, if the leadership gap projects are accurate, we will need both the next generation and the current generation of leadership to work together to ensure a viable and productive nonprofit sector for the future. Our communities will need one, and they deserve to have one.