Executive Directors : An Effective Business Model

The Executive Director is also responsible for ensuring that the programmes adhere to the key performance indicators which are set out at the outset of contracts by the commissioners. The Director also plans ahead and identifies gaps in service where we can develop and evolve Drugaid by applying for bids to run new contracts. The executive director is crucial in terms of leadership and management and holds many responsibilities that are essential in maintaining the sustainability of the Drugaid. The Director has overall management responsibility for Drugaids senior management team and provides them with support and supervision.

Most nonprofit agencies follow the same management structure. The structure normally consists of a vertical hierarchal structure with the chief executive manager at the helm, and divisional leaders rounding out the strategic leadership team. Since 9/11, then government shutdowns, multiple wars, natural disasters, and the government sequester, the challenge to most nonprofits is to compete for every available charitable dollar. Chief Executive Officers (CEO) of nonprofits must not only be skillful in maximizing the outcomes with fewer dollars, but also politically savvy in vying for monies for federal, state, local, foundation, and private funding sources.

It is essential that the role, duties and responsibilities of directors are clearly defined. The Combined Code (2006) states that “the board’s role is to provide entrepreneurial leadership of the company within a framework of prudent and effective controls which enables risk to be assessed and managed”.

According to the bylaws, the Finance Committee provides support and resources to the President and CEO, assists the treasurer and President & CEO in developing the annual budget and ensure that proper financial controls are in place, annually review and make recommendations regarding executive compensation, including benefits and ensure that all are consistent with arts and culture nonprofit organizations of similar size and gross revenue and verify that published reports properly reflect the operating results and financial condition of the museum (Board of Trustees, The Neon Museum Inc., 2013). In actuality the President and CEO and Chief Financial Officer (CFO) oversee the financial leadership of the organization in connection with the Finance Committee. It’s primarily the responsibility of the CFO to create the organizational budget along with the help of the President & CEO. The budget is then approved by the Finance Committee and then goes before the full board for final approval. The CFO ensures that the organization is in compliance with generally accepted accounting principles (GAAP) and Statement of Financial Accounting Standards 116 and 117

The area that I chose to discuss under the CFO is the Director of Budgeting. The roles and responsibilities include handling the budget, and managing all expenditures and its limits, supervising staff, and analyzing profit goals, revenue, and expenses while complying the regulations of not only the company but the state and federal industry as well. Some additional methods of management that would fall under this area include directors of human resources. They work hand in hand with each other when it comes to making sure funds are available for new staff hiring, new functions of operations, employee medical and dental benefits, etc.

Yes, I wholeheartedly agree that more emphasis should be placed on the Board of Directors when it comes to ethics, morals and philanthropic. Important roles of the BOD are to provide the mission, vision, goals and overall direction of the company. It is also important that recruit a CEO who poses the same work ethics and moral characteristics to implement the vision and goals of the BOD. When it comes to helping those that are less fortunate, it is important that BOD are honest and act as humanitarians and not use this as an opportunity for self-gain

In large corporations the success or failure of the company is the responsibility of the board of directors. According to Richard DeGeorge, “The members of the board are responsible to the shareholders for the selection of honest, effective managers, and especially for the selection for the CEO and of the president of the corporation.” (p. 202). The board members have a moral responsibility to ensure the corporation is run honestly, in respect to its major policies, and to ensure the interests of the shareholders are satisfied. The next responsibility within a corporation is the responsibility management has to its board of directors. DeGeorge writes, “It must inform the board of its actions, the decisions it makes or the decisions to be made, the financial condition of the firm, its successes and failures, and the like.” (p. 202). The management of the corporation is morally obligated to

First of all, the role of a Director is important since they need to ensure they have somebody that can deal with any aspects of the business and they can ensure that they can deal with every one

One of the things that I have seen happen repeatedly is that some Executive Directors truly “fall in love” with their agency and fail to adjust to the needs of the stakeholders. One of the things that nonprofits need to do is to learn from the

Schafer and Bell (2005) discuss some of the things a Chief Executive Officer must do in order to provide strong financial leadership. One thing a Chief Executive Officer must do is hire a financial staff that is knowledgeable about not only basic finance practices but those that are specific to nonprofit needs such as the ins and outs of restricted and non-restricted funds and the use of the Statement of Accounting Standard 117. The CEO must also hire an appropriate amount of staff to make sure everything is being done in the most efficient manner and allow for accountability. Schafer and Bell (2005) also talked about following a standardized set of financial practices that help keep the organization in line with everyone else so if new staff do come in they are able to come into a system that they are more than likely familiar with. The other thing that Schafer and Bell (2005) talk about is having a uniform accounting system. To do this an organization must have a chart of accounts which helps keep track of all financials and makes it easy for non-finance staff to interact with. Most of all, whether an organization’s CEO has a finance background or not it is their responsibility to develop that skill so they are able to successfully navigate that aspect of their organization and have a strong financial presence so they are able to lead in that

It is essential for them to be able to utilize the money and assets responsibly and ethically, to ensure more funding. It is critical as no one wants to fund an organization that lacks quality leadership skills.

A nonprofit organization has turned into one prominent highlight to American life in which non-profits are the drivers of social change for the delivery of needed goods and services to the population (Hess & Bacigalupo 2013). Nonprofits expresses the American ideals and beliefs in which a group of volunteer members seek to provide societal benefit, identify social problems, and advocate for change (Heyman, 2011, pg 7). Nonetheless, nonprofits are essential to public policy and advocacy that has created a significant amount of pressure and demand on the role of leadership among those organizations. In this paper, I will discuss the aspect of leadership I found interesting on managing organizations and people, strategic and planning, and integrating

The main approach would be for the board to provide a strategic plan set in place for the nonprofit organization and its mission. Once the funds have been allocated, it is the responsibility of the CEO/Executive Director to see that those funds are applied as assigned. All funds disbursed for day to day operations, weekly and monthly are tallied. If the forecast for a certain program was over estimated, the CEO/Executive Director can inform the board and suggest other avenues for unassigned funds. It also presents itself in the form of first-hand knowledge, like being on the front line and reporting back to headquarters of the current positions. CEO/Executive Directors in the nonprofit sector are focused and balanced at the same time for maximum success. Lacking knowledge on finances, most executive directors need to know what financial information is essential. Having that information or financial statements in an understandable format and knowing how to analyze those reports to assess the financial health of the organization is crucial for making programming decisions and financial goals. (Brickman, P. 2005). This information of analysis is transferred to staff for proper processing. Some programs based on actual report may need to be decreased or increased depending on which way the arrow is pointing and for whom.

The Chief Executive Officer (CEO) is the highest-level of management within an organization. The CEO oversees all the lower-level employees and the other senior executives such as the Chief Financial Officer (CFO). Therefore, the CEO provides leadership to the CFO and all the other top-level executives in order, to build and implement an effective financial and strategic plan for the organization. As a result, the strategic and financial plans must be aligned with the organization 's mission and/or values. It is widely known that the ultimate accomplishment for the CEO is to drive its organization towards achieving the goals set by the organization. Therefore, it is important that the CEO is an effective leader and has a substantial amount of knowledge regarding management and finances. In order, for any organization to continue services the organization must have an established capital allocation process. The purpose of this paper is to discuss an interview with a CEO regarding their organization 's capital allocation process.

In some NGOs there is lack of financial transparency, accountants are not independent sometime they are forced to provide wrong information in financial reports to show good balance in financial report. There are also some NGOs that Financial and other facilities are taken by members of the board. The chief executive has unlimited discretion in financial decision. The chief executives are responsible to communicate with donors, preparing the