The Professional Privilege of Generative Governance

Non-profit governance is often viewed as a burden, interpreted as somewhat of a poisoned chalice, with the kudos of a board position offset by the challenges of decision-making and the weight of responsibility for the success (or otherwise) of an organisation. Board membership can be viewed as perfunctory, often understood as simply scrutinising executive performance, ensuring legislative compliance, and engaging in strategic discussion every few years when a new plan is required.?

And this is a fair perspective. Almost all membership boards have emerged from a cooperative culture of shared endeavour, where member-led organisations relied on volunteers to roll up their sleeves and take an operational lead on delivering key outputs. This was combined with governance responsibilities that arguably were viewed as secondary to operational priorities, and boards of directors functioned as effective executive (or management) groups rather than distinct governing bodies.

Since the turn of the century however we’ve witnessed a precipitous professionalisation of association management, illustrated by the ever-increasing number of Certified Association Executives practising across the globe. Professionalisation has propelled organisations forward, enhancing value propositions, increasing member expectations, and amassing financial reserves that ensure financial strength and underpin business resilience. As membership organisations have grown and diversified their portfolios, governance practise has however failed to keep up, and the interpretation of governance as a burden continues to permeate the membership sector, exemplified by dwindling volunteer numbers, patterns of poor behaviour, disengaged electorates, frequent misapprehensions about roles and responsibilities, and common misconceptions about the purpose and potential of non-profit governance.

As we approach the quarter mark of the 21st Century, membership bodies must embrace governance as leadership and invest in the professionalisation of volunteer leaders; but it is that word, “volunteer”, which is the root cause of so many headaches, with boards and executives alike assuming not to impose upon the goodwill of volunteers by obliging them to adopt professional practise.

“They give us their time for free” and “they’re very busy with their day jobs” are complete misnomers. We should of course acknowledge the altruism of our volunteer leaders, without whom the membership environment would be distinctly lacking, but it is erroneous to suggest that because they volunteer, we should not expect them to be professional in how they govern. The Board of Directors is after all the only group within an organisation which is legally accountable for that organisation’s actions and performance and thus, if for no other reason, should represent the pinnacle of professionalism.

“They give us their time for free” and “they’re very busy with their day jobs” are complete misnomers.         

But professionalism within the boardroom demands so much more than maintaining financial oversight and ensuring compliance. People often ask how membership governance differs from other forms of governance, and in truth it is the opportunity to utilise volunteers’ skills and expertise for the long-term benefit of the organisation that is the key differential. Everyone must be compliant – profit, non-profit, charity, third sector. Everyone must be solvent. Everyone must fulfil their regulatory and fiduciary roles. But not every board has the opportunity to?influence in the way that membership boards can;?and it is against the extraordinary backdrop of an unprecedented and extensive list of macro and nano trends that association boards must respond with professional competence.

Associations are working harder than ever to define their value proposition within complicated socio-economic environments, and their need to advocate, influence and respond to circumstances has never been more urgent and necessary. In these uncertain times all association leaders, irrespective of their memberships’ context, are striving to operate at peak efficiency and effectiveness, and to support their members in increasingly fragile socio-economic and political environments. Indeed, perhaps for the first time in generations, associations must be wholly pragmatic in ensuring they add durable value to their members’ professions, industries, and communities. Within this remarkable multitude of contexts, association boards, their chief executives and c-suite teams face increasing expectations from across a widening spectrum of interested parties, ranging from members, volunteers, and staff, to sponsors, policymakers, and industry. It is thus increasingly important that professional association management be underpinned by an articulation of professional association governance, albeit delivered through an energised and committed volunteer workforce.

The interests of an association are not best served by directors discussing operational minutiae.        

The interests of an association are not best served by directors discussing operational minutiae. Protecting and advancing the interests of an association requires vision, ambition, courage, confidence and, crucially, relevance. Our boards of directors are untapped resources which should be trained, equipped with professional knowledge and expertise, and used relentlessly to advance the interests and value of the association. If your association isn’t compliant or is borderline insolvent then yes, you’ve got much bigger problems to worry about than investing in innovation; but if you’re focussed on growth, enhancing financial strength and ensuring business resilience, then your board should be centre stage in terms of strategic planning and generative thought.?It is an exciting time to lead an association and governance represents one of the most exciting components of association leadership. Engaging in creative discussion, adding specialist insights, contributing professional expertise, and supporting the long-term sustainability of the organisation is not a burden. It is a professional privilege. One that members should be clambering to enjoy.

The board must of course exercise accountability and must be responsible to their organisation’s stakeholders, members and/or shareholders; but the board environment should always be a creative space?that promotes positive attitudes and a culture where everything works towards fulfilling the organisation’s vision, mission and value. Simultaneously the board must exercise prudent control?and?be entrepreneurial, which admittedly can be a challenge but also presents a very exciting opportunity.?

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