[00:00:03] Hi, I'm Kate Azar,Senior Nonprofit Strategist with PNC. In recent years, nonprofit organizations have faced several unprecedented challenges.
In this video, I'll highlight five actions a nonprofit board can take to foster stability and resilience during challenging times. First, update your strategic plan. Your plan should be concise and highly iterative. Conduct a thorough situational analysis.
Times have changed, and that could mean your community's needs and theory have changed. Next, evaluate your board operations. Update your bylaws, policies, and procedures, and include emergency provisions so decisions can be made quickly. Participate in learning and development so you can stay abreast of best practices and embrace board diversity.
Beyond race and ethnicity, you're looking for various skill sets and experiences. Third, support your staff. They are, after all, your most important resource. Unfortunately, many nonprofits are struggling to hire or retain staff. So, your role is to encourage a healthy culture for your employees.
Advocate for living wages, competitive benefits, and healthy leave policies. Discuss how you can foster a culture of inclusion and address burnout. And encourage your staff to take time out. And when they do, do your best not to contact them after hours. Fourth, know your finances. This includes cash flow projection. Participate in stress testing so that you can anticipate any potential risks. For example, if you have to cancel this year's gala, will you still be able to meet your financial obligations? Talk with donors about each program's full costs, not just direct costs, so you can avoid any shortfalls. And meet with your financial advisor to discuss risk and liquidity needs.
Establish a reserve fund with at least three months of liquid unrestricted assets. And finally, give unrestricted, multi-year donations. This allows nonprofits to invest in their staff, in their core business operations, and create stability in unstable times. While many nonprofits and the challenges they face could not have been predicted, a board of directors has a lot of power to foster organizational resilience in unpredictable times.
Thanks so much for joining me, and I look forward to continuing the conversation. Please feel free to contact me or visit the Endowment and Foundation website.