1 LSC LEADERSHIP WORKSHOP USAS CONVENTION, 2012 Greensboro

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LSC LEADERSHIP WORKSHOP

USAS CONVENTION, 2012Greensboro

Nonprofit Governance Materials Used with Permission of BoardSource

www.boardsource.org

Why is it always me?

2% “Leaders”

5-10% “Doers”

15-20% “Do Somethingers”

68-88% “Belongers”Getting them “on board”?

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The Key Questions

• Ask yourself:– Do we have a clear mission?– How does our board spend its time?– What is my motive for being involved at the board

level?– What is our vision for the future?– Are we prepared for our future challenges?– Is our board fulfilling its responsibilities?

“Where do I find stuff for LSC’s?”

“Measuring Effectiveness”

Developed and Administered by the LSC Development Committee

LEAP: The Carrot

• Level 2 (7 LSCs)– 0.50 per registered year-round athlete – Minimum $1,000– Maximum $2,500

• Level 3 (1 LSC)– 1.00 per registered athlete– Minimum $2,000– Maximum $5,000

LEAP: The Stick

• Level 1 is required once per quad****• Non compliant LSCs:

– Multiple opportunities for help– Eventually, reported to the Board of Directors

for appropriate action

****Currently reviewing results

The Goal = More Effective Boards and

LSC’s…..

Dysfunctional: not even

doing what’s required

Functional: in compliance

LEVEL 1

Responsible: More than required;

planning for the futureLEVEL 2

Exceptional: Innovative,

creative, leading the pack in service to membersLEVEL 3

More swimmers…..Faster swimmers…..

The Frank Sinatra Model

“I did it my way”

The Otis Redding Model

“Sittin’ on the Dock of the Bay…watching the tide

roll away…”

The Katy Perry Model

“You're hot then you're cold…

You're yes then you're no”

The Bette Midler Model

“Did you ever know that you're

my hero?You're everything I wish I could be.”

Nonprofit Board Responsibilities

Four Major Categories

I. Trusteeship

II. Planning for the Future

III. Policy-Setting

IV. Financial

I. Trusteeship

Includes

A.Vision and Mission

B.Legal and Ethical Integrity

C.Enhancing Public Standing

D.Governance of the Board

A. What is a Vision Statement?

10 years from now, we will ………………..

A. Mission Statement

• Why do we exist?• What is our business?• What do we do?

Mission Statement:(“all rise”)

• You have a basic idea what your LSC mission statement says

• Your mission statement is publically posted Your mission statement has been reviewed since it was written

• You can recite some of your mission statement

• You can state your mission statement word for word

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If you don’t know where you’re going, it doesn’t matter how you get there!

• Doesn’t USA Swimming already have one?

• Make it YOURS

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The Mission Statement

• Indicates focus and purpose• Reference point for:

– Planning– Board and staff decision-making– Allocating resources– LSC assessment

• Suggested is 17 words or less

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Creating a Mission Statement

• A retreat of interested people• Time to reflect: SWOT• Not in conflict with USA-S

handout

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B. Ensure Legal and Ethical Integrity

• Governance means………….• Board is authorized to act and govern• Board is accountable to the members

– Accountable to USAS under 501c3 umbrella

• Protect and pass on the assets• Expectation of accountability and openness

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Legal Duties

• Duty of Care

• Duty of Loyalty

• Duty of Obedience

• Duty of Transparency

handout

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Board Structures-Bylaws

Bylaws determine:• the organization structure• the rights of the membership• procedures

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Your LSC Bylaws

• Template• Update ANNUALLY following changes

made at USAS

C. Enhance Public Standing

• Articulate the mission and goals

• Communicate your accomplishments

• Garner public support

Do you articulate your mission and goals?

Do you communicate your accomplishments?

Do you Garner Public Support?

Communication with our Membership:(“all rise”)

• Our website is updated frequently• We send blast emails • Someone answers the phone during

business hours• At least 75% of teams attend HOD

meetings• We use social networking

Communication Effectiveness

E-M ail

Telephone

Large Group

Sm all Group

One on One

One WayTwo Way

Source: BoardSource, Sandy Hughes

Speech

Handwritten note

Letter Personal/Business

Newsletter

Blast e-mail

Website

Most Effective

Least Effective

Your Website

• Who you are and what you do?• Only well-informed “swimming people”?• Professional, clear and accurate

– Promotes transparency– Central library for information

Can a novice parent find the information she needs?

D. Governance of the Board

• Build a Competent Board• Engage volunteers• Run engaging meetings• Operate legally and ethically• Evaluate board and LSC performance

Do you have?(“all rise”)

• Clear roles and responsibilities• Up to date Policies and Procedures

Manual• Written job descriptions• Functioning committees• A written crisis management plan• A written strategic plan

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Board Building

• Identify board needs

• Cultivate potential board members

• Recruit prospects• Orient new board

members• Activate all board

members• Educate the board

• Rotate board members• Evaluate the board and

individual members• Celebrate successes!

Your Current Board

• How old is your board?– Average age– Term limits not enforced– Playing musical chairs

• How diverse is your board?– Age– gender – ethnicity – interest– occupation

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Board Recruitment

• Two skills on every board– Attorney– CPA

• Also consider– PR and Marketing– Technology– Entrepreneur

Who do we have? Who do we need?

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Board Recruitment

• Job descriptions and manuals– Written– BOD member manual– BOD policy manual

• Honesty in recruitment

Oh, it won’t take much of your time………..

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The Role of the General Chair

• Build participation• Communicate• Delegate• Be visible • Develop future leaders General

Chair

The Chair at Board Meetings

• Focus the Board on important issues– Set the tone– Design the agenda

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Individual Board Members

• The 4 Duties• Relationship with the Staff• Conflict of Interest

Board Members at Meetings

• Be present• Do homework • Wear your Board Hat• Sit at the table• Stay on the subject• Act on your responsibilities after the meeting

Board Membe

r

Committees

• Permanent – Executive – Finance – Nominating– Age Group– Senior – Officials – Diversity and Inclusion

• Task Force– Specific Assignment– Short Term

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Bring in “new blood”

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Board Dynamics

• Meeting Preparation• Read the Mission Statement• The Agenda

– Prepare and send in advance– Prioritize – Relate to goals of the LSC– Use consent agenda for

package approval

Allow sufficient time for thinking and debate (prioritized consent agenda)

handout

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Stimulate thinking and debate….get the party started!

• Silent Starts• One Minute Memos

• Surveys• Index cards• Around the table-what do you think?

• 5 Finger Consensus• Counterpoints

handout

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Conflicts

• Wearing the “Board Hat”– Duality of Interest– Recuse self as necessary

Removal from the Board

• In by-laws• Non attendance• conflict of interest• Process

• Term limits• Intervention• Vote

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Strongly Recommended Board Policies

• Conflict of Interest Policy

– Not always illegal and may be unavoidable

– Recuse self from discussion and voting

– Written policy signed annually

• Whistleblower Policy

• Document Destruction Policy

Handout (3)

Crisis Management

• Before the crisis:–A written plan–Who speaks for your

board?–Prepare for worst case

scenario

handout

II. Planning for the Future

A. Evaluate

B. Participate in overall planning process

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A. Evaluate

• The standards are:– the mission statement– the strategic plan – stated goals

Board Self-EvaluationA. Does

WellB. Needs

WorkC. Not

Applicable

LSC’s Mission

Relationship with Permanent Office Staff

Program Evaluation

Fund Raising

Financial Oversight

Strategic Thinking & Planning

Selection & Orientation of BOD

Public Relations & Advocacy

Board Operations

Board Liability & Risk Management

handout

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Key questions for LSC Assessment

• If we were starting over, what would we change?• Are our program priorities consistent with our mission

statement?• Of the various LSCs like ours, which are the best?• What is likely to change over the next 3-5 years?

B. Planning

• Strategic Planning Sessions– Set aside a weekend– Bring in a facilitator

• Arlene McDonald!

– Evaluate, plan– Action Steps

handout

Managing Change

• Tips– Shared vision– Baby steps– Take your time!!– DO SOMETHING

III. Policy Setting

A. Determine, monitor and strengthen programs

B. Create, enforce, evaluate policies

C. Hire and mentor CEO

Clear policies guide and protect the organization• Fiscal• Compensation• Governance

A. Monitor and Strengthen Programs and Services

• Determine which programs are consistent with mission and strategic plan

• Monitor effectiveness• Eliminate when necessary• Fund appropriately

Program Evaluation

• Meet schedule and policies• Athlete performance nationally• Education (Camps, Swimposiums)• # of Officials• Membership Growth and Retention• Communication Tools

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B. Board Policies

• Policies Support Programs• Establish Objectives• Formulate Statements• Implement• Evaluate

Written policies in an up to date policy manual!!

What Goes in a Policy Manual

• No conflict with by-laws, USAS rules• In detail:

– Registration information: transfers, Outreach– Financial procedures– Travel reimbursement– Meet scheduling, hosting and administration– Zone Team

handout

Rules and Regs vs Policy Manual

Rules and Regulations

• Admin of Competitive Program

• Swim Meets• Age Group Competition• Senior Competition• Championships• Special Teams and Events

• Wet Side Policies

Policies and Procedures

• Financial and Fiduciary• Membership• Office and Staff• Functioning of the Board• Volunteer and coach• Safe Sport

• Dry Side Policies

C. Hire and Mentor the CEO

• To carry out policy• To oversee programming

LSC Models

• LSC Models– All volunteers– Permanent office (paid) staff + volunteers– Paid Executive Director+ staff + volunteers

Common Issues

• High stress and frustration of Board Members• Can’t satisfy day-to-day demands and implement

strategic plans• Implementation of new initiatives is difficult.• Work is informal and spotty.• Management worsens with growth• Difficult to find talented “new blood”

In the absence of a Chief Executive………

• Who is delegating?• Who is keeping track?• What is the chain of command?• Ultimate responsibility?

General Chair Job Description

• The General Chair shall:– oversee and have general charge of the management,

business, operations, affairs and property of the LSC, and general supervision over its officers and agents;

– shall call meetings when and where deemed necessary;

– shall preside at all meetings; – shall appoint committee chairmen and members for

standing and special committees or coordinators as may be necessary to permit the LSC to effectively, efficiently and economically conduct its affairs. 

Handout (2)

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The “Permanent Office” Staff

• Leads and manages• Communicates• Educates• The “face” of the LSC

– The person who deals with the public

Questions for the Future

1. Can volunteers do it all?

2. How big is too big?

3. How small is too small?

4. Can we bundle services?

5. Are new volunteers “stepping up?” Why or why not?

IV. Finances

A. Ensure adequate resources

B. Budget

C. Manage assets effectively

A. Ensure Adequate Resources

• Where does your $$$$ come from?– Registrations– Surcharges– Splash fees– Donations– Sponsorships

To increase income we ______________

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B. Budget

• How much do we need to reach our goals?

• Are we budgeting to achieve our mission?

Budgeting According to Mission:Examples

• Mission says “education”…….– Does budget reflect education?

• Mission says “excellence”……..– Does budget reflect a commitment to excellence?

• Mission says “support to highest levels”…….– Does a 10 year old going to Zones get more $$

than a swimmer going to Olympic Trials?

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Hard Money Budget

• Items you can’t afford to be without

• Covered by basic fees and guaranteed income

• Examples:• Basic Administrative/staff costs• Registration• Basic Zone expenses

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Program Enrichment Budget

• Plan and dream• Immediate & long term needs• Sources

• Surcharges • Sponsorships • Surplus

Examples of Program Enrichment

•LSC Training Camp•Travel to Dual Meet with another LSC•Coach education and clinics•Scholarships for disadvantaged swimmers

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C. Manage Assets Effectively

Fiduciary Responsibility Includes:

• Financial Basics• Monitoring• Adequate Controls• Overseeing Legal Obligations

Nonprofit is a tax status, not a business plan.

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Financial Oversight

• Reporting• Financial Policies• USA Swimming sample documents

Handout (2)

Financial Policies

Reserves

• Used to:– Manage cash flow interruptions– Meet commitments and obligations– Generate investment income

• Liquid assets: quickly converted to cash• Written policy for use• USAS Board Policy: 6 months of program

funding and operating costs

Audits

Internal Audit

• Done by individuals associated with organization

• Studies internal controls and procedures

• Issues report

External Audit

• Done by independent CPA

• Tests controls and risk factors

• Attests to whether financial statements are GAAP* compliant

*Generally Accepted Accounting Principles

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Conclusions:Hallmarks of an Effective Board

1. Clear roles & responsibilities2. Focus time & attention on important

things3. Engages in evaluation & planning4. Has confidence to take risks5. Open, honest communication6. Works together as a unit

Going Forward:

A. To provide a challenging, competent environment for our swimmers we will: ________________________________

B. One thing we do really well is: ________________________________

C. Our biggest issue or challenge is: _________________________________

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Need Help?

Arlene McDonald:

LSC Governance Consultant

arlenemcd@aol.com

Sue Anderson:

Programs and Services Director

sanderson@usaswimming.org