The Board GameIt Isn’t Always Fun (but it can be)

Mary Gratzer, Executive DirectorAdvertising Federation of Louisville

• Non-profit experience◦ Georgia Society of CPAs◦ Professional Photographers of America◦ Association Resources (management company)◦ FSA Group (management company)• FCSI, FCSI Educational Foundation, FCSI North

American Division• SFM, SFM Foundation• DiRōNA

◦ Advertising Federation of Louisville

Introduction

• Prevention is the best medicine• Treat a Board vacancy as a “human

resource issue”◦ Develop a profile/job description◦ What skills do you have on your current board ?◦ What do you need?

• Just like a good hire, this could be one of the best investments you make (or one of your biggest mistakes)

Building a Better Board

• FCSI North American Division Board of Directors – a.k.a Mary’s worst professional experience and most valuable lesson◦ Election was a popularity contest◦ Egos took over, which led to infighting◦ Organization was unable to move ahead until

board turnover took place◦ Worldwide governing body had to intervene◦ Main troublemaker was dissuaded from running

again (there is a nice way to do this)

Board Challenge #1

• Don’t automatically assume a vacancy needs to be filled (check your bylaws)

• Advertising Federation of Louisville’s bylaws specify a range of 35-56 (we’re at 47)

• Ideal board size: 15-25 Source: “High Impact Governing in a Nutshell: 17 Questions that Board

Members and CEOs Frequently Ask” Doug Eadie

Building a Better Board

• Once you have the right people in place, help them establish a connection◦ SFM Board member questionnaire: how did you get

started in the industry, what was your first job, your worst job, what other organizations do you belong to (good for possible partnerships), what is something people would be surprised to know about you

◦ Compile and distribute• Allow time for networking or activity before or

after meeting ◦ Coffee & Conversation◦ FCSI Shaker Village tour before board meeting◦ Any other ideas? What has worked for you?

Building a Better Board

• “Debbie Downer” is on your board and keeps squashing your dreams

Board Challenge #2

• Try to determine what is behind the resistance• You probably do this all the time in your

personal life, you just aren’t aware of it◦ Fear of failure◦ Resources taken from another project that is very

important to this individual◦ Overwhelmed and any new idea sounds like too

much work◦ Perhaps underlying personality issues◦ They didn’t do their homework on the issue

◦ What else?

Board Challenge #2

• How do you succeed? You need to campaign.◦ Engage the anticipated vocal minority in one-on-

one conversations◦ Find out what their objections will be in advance

so you are prepared to address them◦ Beware of “Group Think”◦ Get major influencers to buy in before presenting

for a vote or budgeting conversation

Board Challenge #2

• Pitching a new idea successfully• The DiRōNA Guide – from beautiful printed

publication to Z-card and check presenter cards◦ Armed ourselves with data from publishing

company◦ Modernized board member views on their audience• Today’s business traveler

◦ Identified those that would say “yes” and made sure they were supportive before presenting

◦ Got “The Guy” on our side

Board Challenge #2

The Influencers

Yes, this was a board meeting and those are wine glasses and cigars.

“The Guy”

Be Prepared to Show Examples

Make it look possible…

• Printing the Guide on their own would have cost the organization $150,000 (conservatively)

• Personalized check presenter cards and Z-cards, named “Guide on the Go” cost $17,000

• Distribution: traditional Guide, members who paid to play, 10 free copies each

• New concepts: 500 check presenter cards, 100 Z-cards, to every dues-paying member

• Opportunity to order more = new revenue stream

Do Your Homework

• A BAD idea that came from the board and was approved

• Chapter concept pushed from the top down: officers and FSA management

• I decided to do my OWN research with the membership to gauge the success factor◦ Scheduled a breakfast meeting at national

conference to gauge interest, gathered names of attendees, identified one region with the most interest and started there to develop a “case study”

A Slightly Different Challenge

• Stopped using the term “chapter” and branded them as “local networking groups”

• Started small but kept leaders in the loop, always providing a rationale

• Planned and held several successful events that generated profits, profiled member facilities, and identified new sponsors

• Reported on progress to the board with P&L statements

My Approach

More Props

• Kept a list of new sponsors (not tied to national)

• Non-members who attended the event paid more to attend and we were able to capture their data for recruitment purposes

• SFM members were typically Senior VPs. LNGs allowed lower-level personnel to attend an event and connect without having to attend the national conference

Success in Black & White

• What are you encountering?• Do you have a disconnected board?• An overbearing member? Sometimes it’s

the leader who won’t even listen to a new idea.

• Shared solutions….

Open Forum

• Principles of Association Management, Henry L. Ernsthal, CAE

• The Board-Savvy CEO, Douglas C. Eadie• High Impact Governing in a Nutshell: 17

Questions That Board Members and CEOs Frequently Ask, Doug Eadie

• American Society of Association Executives

Resources

Thank you.

Questions?