7 Steps to Top Performance

Mario Morino, a successful entrepreneur and a pioneer of the venture-philanthropy movement, is now working to improve nonprofit management and “create more meaningful, measurable good.”

He has persuaded dozens of leaders of nonprofits and foundations to form the Leap of Reason Ambassadors Community, an invitation-only group of about 160 people. The group, which includes notable leaders including Jeff Bradach of Bridgespan, James Canales of the Barr Foundation, Dan Cardinali of Independent Sector, and Kathy Reich of the Ford Foundation, has built an extensive set of tools designed to help nonprofits build and sustain high-performance organizations.

The following are the seven key factors that ensure a nonprofit is effective, according to the Leap Ambassadors Community:

Courageous, Adaptive Executive and Board Leadership

Executives and boards embrace their responsibility to deliver meaningful, measurable, and financially sustainable results for the people or causes the organization exists to serve. Boards are strong, assertive governors and stewards, not just supporters and fundraisers. They recruit, advise, and hold accountable the lead executive (CEO).

Disciplined, People-Focused Management

Managers translate leaders’ drive for excellence into clear work plans and incentives to carry out the work effectively and efficiently. Managers’ decisions are data informed whenever possible. Managers, like executives and boards, have the ability to recruit, develop, engage, and retain the talent necessary to deliver on the mission.

Well-Designed and Well-Implemented Programs and Strategies

Leaders and managers are clear on the target population or audience they serve and are passionate about serving them. They base the design of their programs and strategies on a sound analysis of the issues, insights from intended beneficiaries, and evidence-informed assumptions about how the organization’s activities can lead to the desired change (often referred to as a “theory of change”).

Financial Health and Sustainability

The board and senior management take charge of their organization’s financial destiny. They articulate the value they deliver and develop overall financing strategies, tightly aligned with their mission, to support and sustain it.

A Culture That Values Learning

The board, management, and staff continually seek to do even better for the people or causes they serve. All people in the organization have high expectations of themselves and of their peers. Senior management leads by example and encourages people throughout the organization to be curious, ask questions, and push each other’s thinking by being appropriately and respectfully challenging.

Internal Monitoring for Continuous Improvement

The board, management, and staff work together to establish clear metrics, tightly aligned with the results they want to achieve, for each program and for the organization as a whole. Management and staff produce frequent reports on how well the organization is implementing its programs and strategies.

External Evaluation for Mission Effectiveness

Leaders complement internal monitoring with external evaluations conducted by highly skilled, independent experts. Leaders commission external assessments to learn more about how well their programs are being run, what these programs are or are not accomplishing, who is or is not benefiting, and how the programs can be strengthened.