Karin Kirchoff & Mitch Stein: DAFs: 2026 Benchmark Report
We return to our 2026 Nonprofit Technology Conference coverage with a discussion of the third annual report on Donor Advised Fund fundraising. Our panel shares DAF giving results; changed donor behaviors; illiquid assets; best practices; and, much more. They’re Karin Kirchoff at K2D Strategies and Mitch Stein from Chariot.
Kelenda Allen-James: Dashboards As Functional Powerhouses
Kelenda Allen-James reveals lots of info on dashboards, including what’s their value; free entry-level tools; user training; timestamps; a warning on use of public data; paid apps; and, more. She’s with Commonpoint.
We’re the #1 Podcast for Nonprofits, With 13,000+ Weekly Listeners
Board relations. Fundraising. Volunteer management. Prospect research. Legal compliance. Accounting. Finance. Investments. Donor relations. Public relations. Marketing. Technology. Social media.
Every nonprofit struggles with these issues. Big nonprofits hire experts. The other 95% listen to Tony Martignetti Nonprofit Radio. Trusted experts and leading thinkers join me each week to tackle the tough issues. If you have big dreams but a small budget, you have a home at Tony Martignetti Nonprofit Radio. View Full Transcript
Welcome to Tony Martignetti Nonprofit Radio. Big nonprofit ideas for the other 95%. I’m your aptly named host and the pod father of your favorite hebdominal podcast. I’m back in my office studio. So the audio should sound much, much better. I’m glad you’re with us. I’d suffer with exotropia if I saw that you missed this week’s show. Here’s our associate producer Kate to introduce it. Hey Tony, introducing. DFS, 2026 benchmark report. We return to our 2026 nonprofit technology conference coverage with a discussion of the 3rd annual report on donor advised fund fundraising. Our panel shares DF giving results, changed donor behaviors, illiquid assets, best practices, and much more. They are Karen Kirchoff at K2D Strategies and Mitch Stein from Chariot. Then Dashboards as functional powerhouses. Kalinda Ellen James reveals lots of info on dashboards, including what’s their value, free entry-level tools, user training, timestamps, a warning on use of public data, paid apps, and more. She is with Common Point. On Tony’s take too. Career broadening. Here is DAFF’s 2026 benchmark report. Welcome to Tony Martignetti nonprofit radio coverage of the 2026 nonprofit Technology Conference. We are wrapping up today. It’s, it’s, this is the first interview of our final day, Friday. With me now are Karen Kirchoff and Mitch Stein. Karen is president at K2D. That will be Kilo 2 Delta Strategies, K2D strategies for those who use the uh The uh military uh alphabet and Mitch Stein. Mitch is head of strategy at Chariot. Karen, Mitch, welcome to our 2026 nonprofit technology conference coverage. Thanks so much for having us. Yeah, we’re happy to be here. Alright, I’m glad, I’m glad you are. Um, Karen, I’d like you to just do like a 30,000 ft view of the, the topic which is unlocking the power of donor advised funds, the 2026. 2026, the 2026 benchmark report, just give us a high level view, please start us off. Yeah, I, uh, sort of became obsessed with donor advise funds back during COVID, and a byproduct of that obsession was a secret shopper study that K2D participated in, made a bunch of daft gifts to different nonprofits, and then sort of watched the donor experience and spoiler alert, the donor experience was not very good, which led to a whole series of questions and how we met, uh, the folks over at Chariot. Um, with an interest in trying to get behind the scenes on why the donor experience was so poor, and that ultimately led to this donor advised fund fundraising report that we’re now in the 3rd year of digging into billions of dollars’ worth of donor data, um, shared, uh, without donor information by nonprofits. We have 53 participating nonprofits this year. Uh, to give us insight into the donor behavior and how data is captured and really what it means for donor value and the overall contribution to nonprofits and their and their mission work. OK, cool. Thank you, Mitch, what is your role in the, uh, 2026 benchmark report? Yeah, so Karen and I have been, um, co-authors of this. Karen and I have been co-authors of the study since we started, uh, and we collect, um, from a group of nonprofits we have them submit their historical fundraising data and we work with an outside, um, data scientists and analyze that. And we’ve just continued to build on number of participants, amount of data and depth of analysis, uh, together and then put that report out which has now been, you know, read by thousands and thousands of folks. Karen and I have gotten to present on this research at probably 1 dozen different conferences and workshops and it’s really opened up a whole new conversation for fundraisers where they have data and research specifically on their. Historical giving information because before that there was a real gap in the market. The only research we had was produced by the donor advised funds with their like outbound grant data, but no one really knew what was the nonprofit experience? How is this changing the makeup of their overall fundraising? How do the donor behavior differ for someone using a DAFF or when someone changes to start using a DAFF? Those are all questions that you can’t answer from the donor advice fund’s perspective. So it’s opened up a whole new field of research really in the fastest growing segment of philanthropy. OK, um, stay with you, Mitch. Uh, what are some takeaways from the 2026 report that we can go into detail? Yeah, I think the two most important ones that I saw were just the rate of growth of DA giving at nonprofits. Um, in 2024, the median across all participant organizations was 30%. The year over year change in the DAF revenue they saw from donors and the median change in non-DaAF giving, so all the other ways that individual supporters donate, was actually slightly down. So it is a drastic difference in the dynamics of DAFF giving versus overall individual fundraising. And the other insight is related to how donors change their behavior when they start using a DAF to support that organization. So what I mean by that is if Karen gives to um the American Cancer Society in 2022 and used a credit card, um, and then the next year used her DAFF for the first time with that organization, that’s an insight we have in this study, uh, and had over 40,000 examples of that. And what we found was that the average change in that support from one year to the next was a 10x increase in giving and the median was 2X. So yes, there are some large outliers, but those are still very valuable to the organizations that got much larger gifts, but over half of your supporters that changed their way of giving to using a DAFF are at least doubling their support. Yeah, OK, um, Karen, so let’s, let’s look into these. These two takeaways, uh, it’s just identified. So, the, the, do I understand it correctly, the rate of daft giving is down slightly. What, what the rate of daft giving is up exponential down? What’s down slightly? Oh, non-aft giving is down slightly. Oh, OK, which tracks with other industry benchmarking reports. That’s been a long standing trend. DF giving is really bucking that trend exponentially. OK. And why are we seeing that? I think there’s a lot of reasons for it. I think that, uh, the tax law changes in 2017 inspired a lot of people to fund DFS, um, the DAFFs themselves, the number of people who have DAFFS has been growing exponentially. Um, the change in the minimum required to open a donor advised fund has democratized staff giving. Um, donors are becoming increasingly strategic about their giving and more intentional about their giving. By using D DFS, um, and so all of that and, and frankly nonprofits are becoming increasingly strategic about how they ask for donors to use their dafts and so the combination of all those factors I think really influences that rate of growth in this particular form of giving and how can nonprofits be more strategic about about encouraging promoting DAFF giving? Yeah, I mean you gotta talk about it, right? You have to uh encourage donors. To use DFs in in every circumstance possible and that includes all of those mass market vehicles like direct mail and email and um other digital forms of giving but it also includes things like peer to peer fundraising. It includes things like events, um, it includes, uh, obviously major gifts, leadership giving those really large gifts, uh, but the number of, of daf gifts that are coming in below what is often considered a mid. Level or a major gift threshold meaning below $1000 is almost 70%. So I’ll say that in a different way. 70% of DAFF gifts come in under $1000. So there’s a bit of a perception that DAFF giving is only for the wealthy. It’s very, uh, you know, the sort of really high-end gifts, and it’s just not, uh, and I think the more that nonprofits lean into using mass market vehicles to solicit. At DAFFS and to remind donors that they can use their DAFF is driving a lot of that giving as well. You mentioned the democratization of DAFF, so that the minimum gift, what, what, what’s a, what’s a more typical, not gift, what, what’s a more typical, uh, donor advised fund opening requirement? So Fidelity a couple of years ago changed their minimum requirement to $0. You can now open a DAFF at Fidelity without putting a single dollar into your account. Um, Fidelity’s minimum distribution is $50 and so there’s, you know, this sort of very different world now. Are those numbers common or typical, or, uh, they’re, they’re, are they a bit of an outlier? They, it, it, it’s becoming increasingly. I mean, Mitch can certainly speak to this as well. Vanguard, uh, still has higher thresholds, um, and, uh, $10,000 or yeah, I think, I think Schwab’s 5, to open. No, Schwab is also $0 minimum. and $50 gifts, uh, minimum gift size, so same, same as Kelly, and those are the two largest, and they’re like drastically larger than any other daff. So that’s like a really large segment of the market, and Vanguard is the next largest, and their minimum account size is $25,000 and their minimum grant size is around $500 so they’re catering to a different audience, but it is certainly becoming common that. Community foundations around the country are lowering their minimums, um, both account size and, um, minimum grant size, and just thinking about how can we be a part of this trend. This is becoming popular for so many different demographics of donors and how can we make sure we’re not missing the chance to build those relationships. OK. And again, the two largest commercial DF providers, um, Schwab and Fidelity Fidelity, are zero minimum. And $50 distribution minimums gift minimum combined the two of them in 2025 donated $28 billion to charities. Yeah, alright, so we need to dispel the myth that your, your donor advised fund gifts are only gonna come from wealthy folks, so that’s, that’s in the past. OK, absolutely, very clear. OK, um, what about the, um. How common are the, the, the website widgets, you know, daf, uh, click here and connect to your daf. It’s, it’s easier now to give than it was just a few years ago, isn’t it? Through a donor advised fund. Like you had, used to have to go to the back to the fund site. Now, aren’t there widgets that that are on nonprofit websites, right? And a lot of those widgets send you back to your fund. To log in and and set up the distribution you don’t have to remember to do it right. I, I will say I’m gonna pass it to Mitch because Chariot has a product that really streamlines and I am not evangelizing the product necessarily, but it has a really great product that helps nonprofits capture a lot more of the data associated with staff giving. Yeah, Tony, what you mentioned has been around for a while are these widgets which is like you. Point reminds people and then sends them back to their fund. Um, what we introduced 3 years ago is a payment option, so it’s called Daftay that can be on the donation form at checkout next to Google Pay, credit card, all those ways you pay. It’s like express checkout and you can finish your grant recommendation right there. So especially for what we kind of call inspiration-based giving, a giving day, peer to peer fundraising, a match campaign, um. Anything where someone is trying to respond and make a gift and be part of something in the moment that often they’ll just make a credit card gift. And when you can intercept them and say no, no, no, make that daf gift right here, then that’s a huge opportunity for nonprofits and to Karen’s point that also comes in your marketing language, what you’re saying at events, how you’re communicating with peer to peer participants. It’s both and the technology, how can we make the user experience prompt them and use dafts more readily. But also educating your entire staff to know that they should be talking about it and communicating with donors about it. Someone just came up to our booth yesterday and said they were at a protest in Boston last weekend. And someone was going around handing out some flyers to donate to their nonprofit that you know was helping with the cause and we’re like, and remember you can use your donor advised funds that is awesome this person was like Mitch’s influence is everywhere. That’s amazing. Walking through the crowd at a grassroots, uh, at a grassroots protest, for like a mutual aid society for their neighborhood, it was incredible. I love it. Uh, Karen, I’m sorry if I missed it. Did, did you say what the average DF distribution is was in 2025? Do we, do we know that? It’s uh $1200 I think in the is that right Mitch? Am I remembering that right? The average through daft pay is around $1200 which is that tends to be a little smaller, yes, because that’s when people are supporting these events and causes and, um, the median for us was around $300. Um, it’s spotty from what the DF providers disclose, but Fidelity’s average, I think is around $4500. And then Schwab did actually disclose or Daft Giving 360 is their new name, but they did disclose a $500 median, uh, grant size in 2025 and in this study, the average is about $1200. OK, among those 53, 53 nonprofits that participated. OK, all right, but still, all right, but, but. That’s not a huge gift. Uh, it may be a major gift that a lot of small and mid-sized nonprofits, but there’s still a lot of, and that again, that’s an average, and there’s a lot of potential for smaller gifts because of the democratization we’ve been talking about, right? There’s potential for smaller gifts and there’s the potential for larger gifts. Fidelity reports that the average size of a daff in their, um, the, the daffs that they hold. Is just under $20,000. So if somebody’s making a $1000 or even a $100 gift out of their daff, odds are good there’s a lot more money in their daff. And with a strong case for giving, this is where a nexus between mass marketing and major gifts, I think, is really important because with a solid case for giving, I think you can go back to anybody who’s made a daf gift that maybe is not at a major gift level. And ask them to make a distribution that is at a major gift level because of the um likelihood that there’s a lot more money that’s sitting in their daff. What I was just gonna add, Tony, that the yes staffs are being democratized and they’re using them in all different levels, but like what Karen’s mentioning is it’s also still a really promising sign that that person likely has a lot of capacity. And so even if it is a smaller gift, I know a lot of folks that want to dedicate their prospect research, for example, to anytime someone makes a daft gift, try to learn more and see if there’s a chance that they actually have a lot more capacity. And to Karen’s point at Fidelity, it’s the median account size is over $20,000. So that means over half of of their fund holders have more than $20,000 that they’ve irrevocably committed to giving. It’s the only thing it can be used for. Those are relationships you want to build. What about the concern, uh, maybe this is in the past, so you can allay this maybe misconception as well. I’m happy to be. Contradicted, uh, that, uh, a lot of DA gifts come without donor information. We don’t know, you know, it comes from the DA provider, whether it’s a community foundation or a commercial institution and we don’t know who the donor is. Is that still a, is that still an issue? It, it does remain a problem. Um, the DFs themselves are getting better at, um, asking donors if they want their information shared. Fidelity now defaults to donors sharing information. If the donor wants to opt out and become anonymous, obviously they can, um, and Fidelity reports that more than 90% of their D DAFF gifts come with at least the name of the fund, if not also the address of that donor. Um, this is another place, frankly, where the daft pay tool is really effective because it captures all that information on the front end, including an email address which you don’t get from any of the DF providers, um, to be able to start to build those we’re not using Mitch’s chariot product. What, what do we do if we get a, a gift from any, any DF provider that doesn’t have donor info? What’s your advice? Yeah, I mean, it’s, and we, and I want, and we do, we’d like to have the info too, of course we want to have that info. What’s your advice? I mean, I, I think this is, there’s. A lot of value in having those internal conversations, um, you know, if that, because a lot of times those staff gifts are coming across, you know, over the transom through a caging operation or through the, you know, internal gift processing, and if those gifts aren’t flagged for, say, a major gift officer, even if they’re not at a major gift level, the major gift officer may know that they’ve been talking with somebody who has a daff and can reach back out to that person and confirm, was this your daft gift? This is not your daft gift. I mean, so it’s, it is additional legwork that is often required. Research if it, if a daf comes over, uh, with just the name of the fund and it’s the puppies and kittens fund, um, a major gift officer may know, oh yeah, that’s Jane Smith. Let me, I’m gonna reach out to her. That’s the internal. What about going back to the daf provider and asking, can we, can we get this information? Yeah, that, that most of the big dafs will not share it. Um, community foundations often will relay messages back to donors. And so if, if a daf is coming in from a community foundation without a name or an. Associated address, um, reaching back out to that community foundation is a really valuable step because they often have those donor relationships and will at a minimum relay a message if not share additional information a message, OK, you might write something and ask them to forward it. The commercial one, yeah, you’re making the point that’s, that’s on the, on the community foundation side, commercial ones, they won’t, they won’t forward a letter. They won’t. I, I had a client literally last month who I’m not kidding, out of $400,000 DF that came in through their caging operation. Um, and they reached out. It was a Fidelity gift. They reached out to Fidelity multiple times to try to get some information and, and got nothing. The donor wanted to remain anonymous, and, and that’s the donor’s right to do so. But, but Fidelity wouldn’t even forward a message forward this letter. No, no, they will not. Yeah, Tony, just one thing I wanna add there is it’s very important for nonprofits to know there’s a difference between being anonymous and only sharing the fund name. So I think a lot of people historically have said if I don’t have full information I just dump all of this into anonymous gifts and that’s really not a best practice when it comes to tracking your DAF giving, number one, because you’re not gonna be able to track it very well like when you wanna participate in analysis like what Karen and I do if you just have a big dump into it an anonymous donor record, that’s not helpful, but also you likely get more information over time. So if you’re tracking this account under a fund name. Then in the future, the puppies, all right, so if it comes back, right, you get another one, there might be more information. I might get an address, so it’s good to start tracking those donor records on the fund name even if you don’t have a donor name on it or it’s not fully clear. Um, and also if, if they’re disclosing something and not fully anonymous, there’s a much better chance that the DAF provider will engage with you on it to say, hey, actually I don’t know who this person is. Can you share this letter with them and you’re likely to have a better chance building that relationship? What would the something be that that would get shared, but it’s not full and it’s not a name, but you said if something is shared, what, what would that something be that you might, what, what data point might you get that’s not the donor’s name? So often you’re getting a fund name. So when you just a, yeah, and or you might get a donor name, but you, it’s John Smith, and so you don’t have enough information to identify them. So that’s often worth following up on. But, and I’ve just heard from many providers that as long as it’s a personalized letter, like a personalized follow up, that they will get it to them and oftentimes then they do engage and you’re able to build that relationship. So particularly for larger gifts, that’s definitely worthwhile. OK, all right, so. So you’re saying it is worthwhile, but Karen had the example of the $400,000 gift that, well, that was fully anonymous was one thing and also it’s from the data at all and from the large commercial staff which is gonna be hard to engage with. OK, OK, good. All right, thank you for making the distinction between community foundation ones and the and the commercial ones providers, but you, but Mitch, your point is if there’s some data. Then you have a better chance of being able to engage, at least get something forwarded than than if there’s nothing. It’s just a, it’s just a fidelity check and that’s it. OK, OK, uh, you know, you, you guys work with this day in and day out for years. I’m, I’m not newly initiated, but, uh, my work is in planned giving, uh, it’s not, I mean that there is some donor advice fund crossover, but you, you, you all are thinking about this day in and day out, um. So another takeaway aside from the rate of giving and the methods of giving was that People who give through DFS, once they give through DAFS, their, their behavior changes toward the nonprofit versus, I guess a control group that never gave a DAFF donor advice fund gift. One of the, what’s that, what’s those behavior changes? One of the data points that we looked at, um, in part because there are some we thought myths out there around DA giving and once. Somebody gifts from a DAFF, it’s in part because data collection can be difficult. Then they lose value over time or it doesn’t, doesn’t, it’s, it’s not worth soliciting D DAFF gifts. And what we learned in the study, and this has been repeated in each year of the study, was that if once somebody converts to using a D DAFF, let’s say the example Mitch was using a couple of minutes ago, I made a credit card gift in 2022. The American Cancer Society, it was $100 in the next year if I used my DAFF, uh, more than 50% of the time that value was gonna now be $1000 so 10x increase in value, um, and so that donor behavior really changes very dramatically from purely from a value perspective. Um, the other variable is around, or meant there are several variables, but a big one is around retention. Um, and donor retention among DAFF donors is exponentially higher, 13% points higher, not 13% higher, 13% points higher for donors who are using a DAFF versus donors who are not using a DAF to make a gift. And so there’s a, a case for, um, encouraging D DAFF giving and, um, developing those relationships to build longer term D DAFF giving because of the value associated with donors who are making investments with that giving vehicle. And 20% of DAF donors make more than one gift a year to the same organization, same, OK, OK. Any other interesting behaviors? In this giving community. Yeah, I, I think to Karen’s point, which the cohort, yeah, um, I just think what’s behind the data points we’re flagging like higher retention, um, multiple gifts a year, giving more, supporting more organizations is something we definitely see from the DAFF data, um, is the, the reasons why is there’s really a psychological change when you’re using a DAF for giving. And I find this is something that a lot of fundraisers don’t fully appreciate, and I always encourage them to open their own DA account, see it for themselves. They’re very accessible. You’ve got the big commercial ones. You can do it for 0 dollars at the top two commercial and even at like a Daffy is a mobile first app. Uh, DF provider where the minimum gift size is $18. GoFundMe has a DF product now where the minimum gift size, I think, is $5 or $10. So it’s really become accessible and then you can see for yourself what happens when you make a proactive decision to set aside money for giving that can’t be revoked for something else. So now you have these committed funds and it kind of forces you to think, well, what do I wanna give? like where do I wanna support and whenever you do get, you know, asked by a friend who’s doing a fundraiser or some crisis happens, you’ve got this ready store of funds. It’s like having a gift card at the ready and so you are way more you give much more liberally because you’re not weighing it against your other budget items that month it’s already accounted for. I’m gonna give a shout out to a friend of mine, Rudy Fletcher, who’s at the National Philanthropic Trust NPT. Uh, he has opened my eyes to something I’d like to explore with you that at, at, at the higher level, uh, the major, major donors, um, donor advised funds are valuable because the type of assets they can accept that are unusual like closely held. Uh, corporate stock or or LLC interests or something like that, uh, more esoteric gifts, wine collections, wine collections, art collections that are non the average nonprofit, well, probably 95% of nonprofits are not equipped to take these types of assets, so there’s, there’s value there too, I guess we’re talking about the, the commercial daft. Providers are set up to accept different types of gifts that others aren’t any that’s even the community foundations, yeah, yeah, yeah, they, they specialize in this. I mean, a lot of them use the same partners to help if you’re doing something that’s really a liquid or or complex to help, you know, value it, get the appraisal, do the sale, etc. But yeah, that’s thank you for using the word illiquid. You, you just condensed 600 of my words into one. I could have just said illiquid assets. Yeah, but illiquid and, or, you know, public securities are not always the easiest thing to divvy up and donate to a bunch of different organizations, get their information. Do they know how to handle that and sell it? Like there’s a lot involved. So if you’ve got $100,000 worth of stock that you want to donate in a year, you can do one transaction into your DAFF, a place that is set up to do that day in and day out. And then make cash grants out to 100 different nonprofits and so it’s really efficient for people who like to donate um these more tax advantaged avenues so that’s certainly once you’re on the higher end of donors, the DAF benefit is you know that you have all this flexibility it’s easier to manage you can do all this more complex giving uh in one place and the nonprofit experiences that they just receive cash. Yeah, so much easier, right? OK, thank you. Thank you, Rudy Fletcher, for making me aware of that. Thank you, Rudy. Do you know National Philanthropic Trust, NPT? Yeah, OK. I don’t know Rudy, but I know that’s OK. I know Rudy. You, you’re 2, you’re only 2nd away. You’re only 2 levels of bacon away from 2 levels of Kevin Bacon away from Rudy Fletcher. Everybody should know Rudy. Alright. Um, so, uh, so Mitch, why don’t you take us out with some inspiration about Daf Giving since, uh, Karen did the intro. Please leave us with, uh, inspiring words around Daf’s. Yeah, I mean, I just say there’s a lot of focus as we’re doing research on past giving trends and so I think it’s worth ending like thinking about the future, especially after a 2025 where every DAF provider I know has told me that their December and Q4 was like multiples of prior years in terms of contributions into those accounts. So with the tax changes, the markets are really hot, people were flooding their accounts with money. So that means that the opportunity in 2026 is enormous. Like no nonprofit can be ignoring this. You really should have a plan for how you are engaging with DA giving to make sure that you don’t get left behind from the fastest growing cohort of donors out there. Thank you very much. That’s Mitch Stein. He’s head of strategy at Chariot. With Mitch is Karen Kirchoff. Is it Kirchoff or Kirchoff? Kirchoff Kirchoff, with a C H. No, I don’t except Kirchoff. No, no, it’s Kirchoff. No, it’s Karen Kirchoff. She’s president at K2D Strategies. Thank you, Mitch. Karen, thanks very much. Thanks so much for having us. It’s a pleasure. Thank you and thank you for being with Tony Martignetti nonprofit radio coverage of the 2026 nonprofit Technology conference. It’s time for Tony’s take 2. Thank you, Kate. Career broadening. Last week, I took a course, just 2 days. And it had nothing at all to do with what I do, planned giving, fundraising, consulting, nothing. It was about organization design, how lots of organizations don’t do as well as they could, nonprofits we’re talking about, of course, uh, because they’re not organized correctly, the, the structure and the, and the processes and the, and the metrics and the people. are not all aligned around a strategy, strategy. So, a lot of times this is why strategic plans may not be so. Easy to implement because your organization is designed for the pre-strategic plan time. And so, that, I mean, that’s the basics of it. But the point is, It’s totally unrelated to what I do. I’m not adding this to my practice, certainly, and just on the strength of a two-day course. I’m not authorized, I’m not, uh, I’m qualified to do this with any nonprofit, but it’s just something different, you know, I, I saw it on LinkedIn, someone posted about the course. Uh, I was able to make the time and it’s just, it’s totally non nonprofit related, Certainly, it was all about social impact organization design. That was the name of the course, but just very different from, Anything I do in nonprofits. And it was, it became stimulating to, to think about. Nonprofits from a different perspective on a, with a totally different purpose. So, I would encourage you to step outside your comfort zone. You know, there was no test at the end. I mean, it cost me some money to go to the course, but, you know, it’s not like there’s that much at risk. And, um, I would encourage you to step outside and just like learn something different, even if it’s not something you’re gonna apply. It’s just a different perspective on nonprofits or maybe not even, maybe it doesn’t even have anything to do with nonprofits. Broadening, broadening, I just. It, it was very uplifting for me and I hope it would be for you too if you did something like that. And that is Tony’s take 2. Kate, One of my favorite university professors of all time taught me characteristics of knowledge acquisition. And one of like his big, you know, overall on our last day, he said never stop learning something new. And so, like a part of the course, we had to go take some, anything we could choose. It could have been like an art class, gym class, but like, learning something that we never like would push ourselves to go do. And that like still sticks with me today. It’s like, what can I learn today? What did you choose for the, what did you choose for yours? So long story cutting it down, I wanted to do like a glass mosaic class, uh, so the, I guess sea glass and we were supposed to make like a lamp. But it actually got canceled, so I ended up following a Bob Ross tutorial because I wanted to do something artsy. So I was learning from Bob Ross. Bob Ross, the classic. There, there are no accidents, just happy mistakes. Yes, there are no, there are no. Mistakes, just happy accidents, something like that. I think that’s what it is. There are no mistakes, just happy accidents. Yes. All right. Did you paint something? Did you paint a seascape or a tree? I painted a landscape. Yes, it’s hanging up in our dining room. Outstanding. Bob Ross is, uh, Bob Ross from the grave is, uh, is very pleased that you, you chose him for your. Characteristics of knowledge acquisition. Outside the box course. Excellent. We’ve got Bu butt loads more time. Here is dashboards as functional powerhouses. Welcome back to Tony Martignetti nonprofit radio coverage of the 2026 nonprofit Technology conference. My guest now is Kalinda Allen James, assistant assistant or associate vice president. Assistant vice president of information technology at Common Point, New York. Kalinda, welcome back to nonprofit Radio. It was about 2 years ago you were with us. Yes, it’s great to be here. Thank you. Your topic this year is dashboards, moving beyond pretty charts to functional powerhouses. Could you give us uh like a 30,000 ft view to kick us off? Um, yes. So, building dashboards is gonna allow people to have a quick view of their data and create narratives to help them make decisions. That’s pretty quick. OK, OK, thank you for that, um. How should we best uh approach the topic? Can we look at what, uh, what, I don’t know what the potential is or how to go about building your dashboards? What’s the best way to go into the topic? It’s like we have different entry points. So the first entry point is I just have raw data. I’m still got 15 Excel sheets. And there’s a manual process for every question that is asked. OK, and it’s like the first time, every time is like the first time we’ve never heard this question before, correct? OK, that’s why. OK, what else you got? OK, and the next is we have this expensive software and it comes with dashboards, so how do we leverage them now that we have our data in this expensive system? OK. And then it’s like we’ve been doing dashboards, they’re starting to make sense. What’s the best way to present these dashboards to our forward facing public? OK, those are our three entry points. I love how concise you are. It’s like boom, boom, boom. OK, OK, excellent. Um, all right, so let, let’s, let’s start with the, like. We don’t even have dashboards. Yes, so if you’re still the sun just got in my eyes. The sun just came out of a cloud. I’m sorry, go ahead. Yes, so if you are still at the spreadsheet way, um, there are some entry level tools like if you’re in like Google Sheets, there’s like Google Looker Studio, which is a free tool from Google. That can already access your Google Sheets to help you start building an entry-level dashboard, OK. And you do have similar um capabilities in Office 365 with Power BI. I’m sorry, it’s called Power BI. Yes, OK, OK. And both of these are included with the software you’re already using, um, but when you want to start sharing with the public, this is when you get into possibly licensing, this is when the prices start to go up, but this is the good part to start to see what you want your dashboards to look like, what questions are you trying to answer. And does a graph, a bar chart really help your story, or is it muddying the water? Are those the uh those are the the the the free resources that Google Power sorry, Google Looker Studio and Power BI Microsoft in Microsoft 360 Office 365. OK, OK. And um also a lot of our CMRs, um, customer relation management tools are offering a dashboard section in our products and we could start looking there. They have a lot of out of the box widgets, see how many in the past 3 months, how many in the past 2 months to start. And then you can start to look at your data. Um, I’m working with Salesforce at my company, and we are currently pushing our limits to the internal. Dashboards. From the water cooler standpoint, we want dashboards but better, but when you look at the analytics from the dashboards you already have, we see through adoption. 18% of the people haven’t logged into the system to look at the existing dashboard yet. So maybe they would have more enjoyment if they actually looked at the dashboard. All right, so you have a recalcitrant 18%. Yes, um, and then when you look at the changes to the dashboard. There was only 3 requests for changes, so maybe taking your complaint from the water cooler directly to the dashboard designer will move the needle for you. So a lot of times we get the tool included. Um, our power users do our best to try to make it work, but sometimes pausing and investing in some training can help you leverage what you have so much better and so much faster before you go to the next new product. OK, right, training what you already have, yes, yeah, OK, and then using all the samples that you have, a lot of we come lots of templates we think we know what we want. But sometimes just experimenting with one of the built-in templates you’d be like, oh this is a really good way to look at our data, this totally changes the question and how we’re presenting it so I feel a lot of us for the time pressure to get our questions answered, we move away from native stuff too quickly. And another thing is when you start looking at the native, you’ll might see that there’s cracks in your data. And we’ll need to pause. I know in like one of our charts. Um, I didn’t know the primary language of 26% of my clients. But when you deep dive into the data, this occurred because a data merge between our case management systems and our fee for service systems. I’m not asking anybody about their language when they’re booking a tennis court. But this is the type of information I need to provide wrap-around services at the food pantry. And so we have to remember we cannot report on data we did not collect. So this is the type of question where, hey, do I leverage AI to review all my correspondence with the client to check which language I sent their correspondence in to update this field. Is this a time for us to pause and look into a universal intake form to get the base language so we can wrap data apples to apples when we are merging it? Or is this a question that we stop asking because that was for a project grant from 8 years ago and maybe we just need to clean up our question sets. So once we start looking at the dashboards, if they start to look wonky, it’s a great time to pause and reevaluate your data. We’re pulling data from a single source of truth, but sometimes the data will show us that we still have some side quest spreadsheets in some departments, and it’s not making it to the single source of truth, and this is where we could do some retraining. Um, some evangelism around the agency of why the single source of truth is the way to go. Evangelism around abandon your spreadsheets, you know, and come to the new, new, and how is it going to help us. Um, another thing is, as my co-co-presenter, um, Ash Shepherd, um, gave us was When we’re using dashboards internally for our current employees, making them fun and interactive so they can really relate to the work they’re doing in the data. So designing dashboards for people, not just for information. Make sure you have the company logo on it. Make sure that you have the company branding colors, so you can really feel connected to this is our data, this is our company. I stand behind this data. This data is showing the work I do person to person. OK, and also in Involving the users of the dashboards in the development of the dashboards. So, so, so I mean this is, I’m kind of amplifying what you’ve already said, so, so it reveals what the people actually want to know. Yes, OK. And also adding a good old fashioned instruction. This is how you should be looking at this data. Um, having good indexes, like, does pink always mean the same thing across every graph? Is red a bad color? Like is green a good color, you know, so really just adding some depth and context to your dashboard will help people approach it in the appropriate way. Can, can be. Personalized to the users like, so I don’t, I don’t use any dashboard tools. I’m a one person business, um. So I’m, I don’t have a, I don’t use these, but can individual users within the, within the nonprofit customize a dashboard for what they want to know, or is it needs to be more centralized and everybody’s looking at the same dashboards? No, that’s a great question. You can generally have more than one dashboard and you should, so you can really have targeted audiences. So there is going to be an executive team who’s gonna want to see the 30,000 ft of the whole agency at all times. and they will have a distinct dashboard, but then there’s going to be a dedicated department who’s gonna want a more nuanced and and detailed dashboard for just their part of the business. And so this is where you do get to individualization of the dashboards and you know, so what the executive team needs versus what the directors need versus what district managers need versus the individual contributor. You know, an individual contributor just might need a simple two graph, um, Dashboard with how many case notes I’m supposed to do this month and how far have I gone, you know, just like nice little ticker tape gauge system. And the executive team might want a more nuance how many clients year over year. OK, alright, so very personalized, um, yeah, personalizable, customizable, that’s what I wanna say, very customizable. OK, um, please, you know, you were, you were on a roll. I, I, uh, made you digress with a question. Yeah, go ahead. Um, other things to think about with the dashboard is how long are you going to use it. Are you looking for something dynamic that’s updating every month? And if that’s the case, you wanna add some automation, so maybe have the first of the month, pull the data, update the dashboard. Um, if you’re doing a community sur survey and you want real-time data, you might link your dashboard to like a Google form, and every time somebody answers the survey, the dashboard updates. Um, depending on the type of data. Um, depending on how people access the survey. You might want to put some distance between. Um, survey and live update. If there’s a chance that your data could be usurped by bad actors, you might want to put a human set of eyes before publishing. And creating a delay before public consumption. Um, all technology is a tool. And these tools can definitely help us make our jobs easier, give us the capacity to help more. But tools are only as good as their instructions, and when you’re new to dashboarding, it can seem confusing and overwhelming, so putting some more pauses between creation and public consumption is the best thing you can do for yourself because sometimes you only get one chance to make a first impression. Yeah, and protect yourself and your reputation, OK, organization and personal. You told everybody you did the work and now it’s embarrassing to the to to the organization. That’s a bad look for you. OK, yeah, yes, and also when you’re doing your dashboards, the curious minds want to know what is the underlying data that got you here. What was the time frame? Um, 2020 looked very different for a lot of organizations than 2019, and so not putting some time stamps to the data can create the wrong narrative. So definitely index your dashboards, be prepared to share how we got here because the inquiring minds will want to know. Yeah, that context, you’re right, people are going to forget what happened in 2020 and they’ll be questioning, well why. Was 2020 so bad? What’s this big rise since since 2021? Yeah, um, so definitely, um, making sure that you’re putting correct context, you know, advertising the data that created the dashboard, um, explaining the methodology will make the dashboard more believable, trustworthy, and people want to relate to it more. OK. These are great tips. What else? What else do you have? I mean, I’m just like, uh, letting you either a quarter in the slot. You go, go. And back to the data piece. Everybody likes a compelling graph, but there’s no data fairies. It is real people collecting data, analyzing data, entering the data way before a dashboard occurs. And we always have to circle back and double check our data is coming from the correct place and even if we are automating our dashboards for convenience, we need to always keep double checking to make sure the data is still good. Um, we have 70 different business models at our nonprofit. I’m collecting data from internal sources, third party government sources, um, individual contributor, family surveys. And if our third party chooses to change how they do data. The sink that has been working for me for 18 months will immediately break. And if I don’t have eyes on my data and I just rely on my automation. I’m going to start missing chunks of clients month after month until I fix that sink. And so even with the automation. Um, we must always have the human eyes on the dashboard and the data, because if you’re doing the work on the ground every day, you can spot immediately why 41,000 people without a primary language looks weird. But if you are a casual observer of the company, first time, um, seeing the corporation and you see this on a public dashboard, well, maybe that makes sense. And so this is why the person should never get separated from the data so you can continue to make sure that your data is reliable. OK, you gotta keep the human touch. Yes, alright, right, right, right, yep, that applies to a lot of artificial intelligence, well, all uses of AI. We haven’t specifically talked about AI, but there may very well be. You may have one of the tools involved in your data synthesis process. There has to be human oversight. And what will happen is the AI tracks learned behavior, so the AI will just assume what the numbers were last month, disregarding that the sink has broke, you know, and so we don’t want any hallucinations. Um, and that’s just with a constant check because AI is always changing. The business is always changing, so change has to be monitored. OK. Mhm, um, also with the human touch. Data and numbers can be very frightening to some. A lot of people who go into the social services might have started off in the 3rd grade with, I’m not a math person. So to now come into a data spreadsheet. And to see graphs and numbers and percentages and pie charts that can feel overwhelming and disconnected to the human connection of a caseworker working with a client. And so by making your dashboards with the human touch with the logos, with the funny gifts, really, you know, disarms the person who might have had a previous math aversion from earlier schooling and so that’s one of the great ways about making the personal touch, creating dashboards for the non-traditional analytic person. Built some humanity in yeah I like the idea of the like gifts and whatever yeah emojis yeah yeah and also providing detailed instructions even adding like a video instruction of where the data comes from, why we use this dashboard helps with onboarding so as you bring on new employees to your team, they will have a much faster uptake of the information if we build it correctly the first time. They’re like, yeah. OK. Mhm. And the other thing to look at is. There’s a lot of free tools. But free generally means open to everybody, visible to everybody. Depending on your clientele of the um customers you work with in your nonprofit sector. Public data might not be the best kind of data. You know, some of us are working with vulnerable communities. We are working in hot button topics of service. So just having all your data on the free platform to get a dashboard might not be a good look. So sometimes you have to look at how can you sanitize your data before you share it with the public good. Um, what is the privacy policies of your free software? Are they gonna be like next week, oh, I got a subpoena. I’m just sharing this information. Um, or is this like, hey, it’s a free website. I just downloaded it, used it for my personal use to sell people Beachbody. Um, therefore, really reading the terms and conditions of the software you enter, free and paid, will help you make sure that you don’t let the convenience of a dashboard put your company, your reputation, and your clients in danger. Are there some paid apps that you like beyond the the the two that we mentioned, the, the free resources? Are there some paid apps that you all talked about in the session that are valuable for dashboarding? Yeah, so things like Tableau, they really specialize in creating data collection from multiple sources and creating great dashboarding, um, Salesforce Native behind the paywall. And even in the um the free services they usually have a paywall version where you can enter a business agreement about how you’re both gonna protect your data, so depending on. What type of data you have and who you’re working with, you can always have the conversations and get the safeguards you need for your particular data, mhm, but some, you know, some of our um conservation nonprofits working with water counts, working with tree counts, that is the type of data that might be easily public. Without safety concerns. But some of our housing clients. You don’t want to have a spatial diagram. With a Google Map directly to a client’s house, show up on a graph, cautious, yes, and so this is why, you know, really working with your internal dashboards, really testing it for the questions you want to be answered internally, um, is the way to go at the beginning of your journey before you make everything on demand to the public. OK, you wanna leave us with one, final, I don’t know, overarching idea or the overarching idea is dashboards is an elevated tool to help you tell your story. To convey the message that you’re trying to communicate about the people you serve. But not let the convenience. Of the dashboard prevents you from being the best actor of the data that you collect. All right, we’ll leave it there. Thank you very much. Thank you, Kalinda Allan James, assistant vice president of Information Technology at Common Point, New York. Thanks very much, Kalinda. Thank you. And thank you for being with Tony Martignetti Nonprofit Radio coverage of 26 NTC, the 2026 Nonprofit Technology Conference. Next week, our 26 NTC coverage continues with brand you giving programs and donor retention. If you missed any part of this week’s show, I beseech you, find it at Tony Martignetti.com. Our creative producer is Claire Meyerhoff. I’m your associate producer, Kate Martinetti. The show’s social media is by Susan Chavez. Mark Silverman is our web guy, and this music is by Scott Stein. Thank you for that affirmation, Scotty. Be with us next week for nonprofit radio. Big nonprofit ideas for the other 95%. Go out and be great.
Dave LeVan shares the merger story of Water for Good and Lifewater International, to reveal how to lead a nonprofit merger in a resource-constrained environment, without sacrificing the mission. He explains the role of the board and C-suite; the importance of trust; the value of spirited conversation; and, a lot more. His story has takeaways far beyond mergers, for any period of uncertainty or change your nonprofit might face. Dave is CEO of Water for Good.
We’re the #1 Podcast for Nonprofits, With 13,000+ Weekly Listeners
Board relations. Fundraising. Volunteer management. Prospect research. Legal compliance. Accounting. Finance. Investments. Donor relations. Public relations. Marketing. Technology. Social media.
Every nonprofit struggles with these issues. Big nonprofits hire experts. The other 95% listen to Tony Martignetti Nonprofit Radio. Trusted experts and leading thinkers join me each week to tackle the tough issues. If you have big dreams but a small budget, you have a home at Tony Martignetti Nonprofit Radio. View Full Transcript
Welcome to Tony Martignetti Nonprofit Radio. Big nonprofit ideas for the other 95%. I’m your aptly named host and the pod father of your favorite hebdominal podcast. We have a listener of the week, Ross McCulloch from Glasgow, Scotland. Ross sent me a message on LinkedIn out of the blue, unsolicited. And he said Love the podcast. I asked him if he likes it as a concept, or if he’s a listener. Yeah, I like to probe these things. He said both, actually. So Ross loves the show as a concept and as a listener. Ross, nonprofit Radio loves you back. You are our listener of the week. Thank you so much for Your love of nonprofit radio. Oh, I’m glad you’re with us. I’d be stricken with walleye if I saw that you missed this week’s show. Here’s our associate producer Kate, with what’s coming. Hey Tony, we have mission-driven mergers. Dave Levan shares the merger story of Water for Good and Life Water International to reveal how to lead a nonprofit merger in a resource constrained environment without sacrificing the mission. He explains the role of the board and C-suite, the importance of trust, the value of spirited conversation, and a lot more. His story has takeaways, far beyond mergers, for any period of uncertainty or change your nonprofit might face. Dave is CEO of Water for Good. On Tony’s take too. Episode 790. Here is mission driven mergers. It’s a pleasure to welcome the president and CEO of Water for Good, Dave Levan. Water for Good is a nonprofit that provides access to safe water, improved sanitation, and hygiene in 5 countries. For 5 years, Dave was CEO of Life Water International. And realized the opportunity to merge their work with Water for good. Two organizations became 1 to accelerate the good work being done individually. The nonprofit is at waterforgood.org. And you’ll find Dave Levan on LinkedIn. Welcome to nonprofit Radio, Dave. Thank you, Tony. It’s good to be here. I’m glad you are. Thank you. Tell us the story of the merger of Water for Good with Life Water International, and then we’ll, we’ll get into the broader lessons for everybody after, but like, give us the, give us a summary of, of the facts, the fact pattern, as we used to say in, uh, law school. Yes, absolutely. Um, so, uh, we’ll get into this later, but nonprofits are, are fairly rare in the, uh, uh, mergers are fairly rare in the nonprofit world compared to the for-profit world. Uh, and for us, we didn’t actually start with the intent to merge. We started because both organizations were about the same size, and they were both doing things a little bit differently. So, historic Life Water, we have spent a lot of time really looking at, uh, being truly global, empowering, uh, folks with capacity and tools at the front line. Um, and we had also been, uh, done a big digital integration to connect people, uh, 300 people across 5 countries. And so we were really strong in that, and then also our, our product, what we, what we actually do, we do a 3-year program, and we’ve been producing results of 90% reduction in. Childhood diarrhea, and over 90% uh flowing reliable water at any of our water points. We had some really good processes and systems. And we were talking to them because we were ready to accelerate and take all of that out to the broader world. And so we would have conversations about, What conferences should we be at? Who should we be talking to? So Water for Good had spent a lot of time really building their brand, getting to know all of the players in the sector, um, from academia, through foundations, and, uh, you know, we’re present at uh World Water Week and other events. But they were really looking at saying, how do we, Do a digital transformation of our organization because we’re still using Excel spreadsheets, you know, with our financials and, and some of those things. So how did you do that? And so as we talked, we just started by saying, hey, you know, let’s not both create the wheel, let’s just talk to each other. And the more we talked about it, Uh, we realized that we should connect at some level, but even then, Merger was one option. We, we talked about different ways to work together and that sort of thing. Uh, but it just sort of made sense and kind of deserving to say, hey, we might as well just put this all together. Otherwise we’re both going to spend time and investment doing and creating what the other one already has. What the other one, what the other one has, yeah, one has a technological advantage and the other had broad reach. Yes. All right, I didn’t mean to cut you off. I was just, oh, yeah, so that’s, that, yeah, so that is where, uh, that’s where the conversation started from there. Uh, we started with just myself and the other CEO talking about it, uh, embracing some of the awkward conversations like, hey, we only Need one CEO. What does that look like? Um, and then we brought in the conversation to our senior leader teams and said, this is what this could look like. Uh, there’s a little duplication here. There’s a little gap here. Might need to move some people around. And then we start the conversation with our board, or our boards, um, uh, because again, we, we needed buy-in at all levels. Uh, and so just had to spend some time to, we’d have a conversation and we’d have some pause and some time for, for folks to think about it and come back with questions and challenges. Uh, so we spent about six months in those conversations. We finally set a date, went through due diligence and all of that. Uh, and then on January 1st of 2024, we officially merged. OK. And what was the time period from the, the beginning of those 6 months? You said it was like 6 months of conversation and exploration. From the beginning of that 6 months to the, to the merger. How, how long was that? So it was probably about 12 months of conversations. Uh, and at different levels, we, at different time frames, we brought different people into the conversation. Uh, so it’s probably a year or so before the actual date. And then sometime in the fall, we said, well, let’s do it on January 1st. Uh, but even then, we didn’t go public with it until February. We, we, we use some time internally to let the rest of the staff. Staff know this is what this is gonna look like, uh, and to get our board and our senior leadership team ready for all of that. OK, so was it roughly like 16 to 18 months, would you say in total? OK. Just give folks a sense of the, you know, the commitment of time and, and, and due diligence as you mentioned. OK. Um. So the, uh, it, it, it makes, it makes perfect sense. I mean, you can, the, the word synergy is often misused, but in this case, uh, it, it does apply. You can see that each one had, uh, advancements and, and advantages that the other wanted and didn’t have. So, right, so why not just bring us together so we can enjoy under one. Nonprofit, the benefits of what we both have created separately. It seems to make very good sense. All right. Yeah, absolutely. And by the way, I love that word synergy. It was really popular in the 80s and I have kind of kept it going myself. OK, but, uh, correctly, I hope, because people say like, you know, they, they’ll, I hope you’ll find synergy between you. Yeah, that just means like, I hope you’ll get along or you know that you can help each other, but a synergy has to mean that the, the, the result is greater than the sum of the, the two parts in this case, the two parts. So what the two parts brought together, it was synergistic because now you had lots of duplication that you could eliminate. You eliminated a lot of overhead costs that were duplicate. So there was in fact a synergistic relationship. Uh, greater than the sum of the two parts, but, uh, it’s a little bugaboo of mine, obviously. It’s, it’s, I’ve spent too much time on it already. But, you know, I like to, I like, language is a precise tool. I like to see it. I like to see words used correctly. So please, you know, just because you introduced two people doesn’t mean there’s synergy between them. They they have to merge, they have to merge their families, their work, you know, they’re, they’re gonna have to become very intimate together for there to be synergy. It’s, it’s, it’s highly unlikely actually that there will be synergy between the two people that you introduce. It’s very, very unlikely. So, you know, please, let’s, all right, we had fun with the word synergy, um. All right, so what are, like, what are some of the broad lessons? Uh, what, what would you like folks to take away now because, you know, the, the vast majority of our listeners are not gonna be involved in a merger most likely. But what, what should they be, maybe I should ask it this way first, like, what should we be keeping our ears open for? That might result in, look, if it doesn’t result in an actual merger, but maybe some kind of other partnership, joint venture, you know, joint program, what should we be attuned to listening for, watching, looking out for? Yeah, that’s a great, uh, a great question. So, you know, last time I checked there, you know, there’s two sources. One says there’s 1.4 million nonprofits in the US, and another is 1.9 million. There’s a lot. Uh, and 90% are, uh, under a million dollars in revenue. And so I think there’s a lot of opportunity. If it were for profit, where it’s been a bunch of my career, even you could see fierce competitors that because of a profit margin, they’d say, wow, we should, we should come together because we can actually make more money together. I think in the nonprofit world, the first thing I would say is just being open. And to the possibility of connecting, whether it’s in a joint venture, a merger, um, and, and I think sometimes we can get so locked into our own, not just our mission, but, but everything about it, the name, uh, all of the other things. So in this coming together, we have to stay focused on the vision and our vision, is to bring more water to more people, more sanitation to more people. So, our long-term vision is that that’s not an issue. Our short-term vision is to double our impact. Uh, so in order to do that, to go from 1.3 million people served to 2.6, we had to do things differently, and we couldn’t do it alone. And so, Being open to that conversation of a potential merger, collaboration, that’s deeper than just saying we collaborate with each other, we share ideas, that goes, that actually becomes to be more synergistic, right? Using the, using the term, it’s not just, we’re talking about it, we’re actually doing something that affects The outcome that we’re able to produce. And I think that would be the first thing, and then just looking at the, what opportunities will advance the mission of the organization. And I think there’s a lot of room in there, in, in the nonprofit sector for organizations to consider merging, uh, to consider working at a deeper level to actually achieve more and to cut costs. We cut like $3 million out of our overhead. That’s $3 million that can go to serve more people. In addition to that, we’re able to increase, even during the integration, we’re able to increase the number of people served ever so slowly in those years, but we continue to serve more people more effectively. And I think that would be a message I would want uh out there in the nonprofit sector to say, hey, start considering ideas and options. And, Uh, there’s a lot of barriers to why organizations don’t. I, I had, uh, lots of phone calls after we announced the merger from colleagues and friends who are leading nonprofits. But the gist of it was, hey, you know, we almost merged. Let me tell you about the time we almost merged. So, You know, my, uh, my enthusiasm would be, you know, to say to people, hey, you know, what stopped you? And what, what, what’s blocking that from happening? Uh, and to just look kind of openly at, at what, what is out there that’s causing organizations not to work closer together, not to be able to create more value for every dollar that they receive. In, in your sample of non-scientific, What, what did, what did, uh, non-scientific survey, what did you hear as the reasons people, uh, the nonprofits didn’t merge? Well, I think in anytime there’s a merger, uh, everybody has to give something up, right? So, Life Water, at that time, I had been with Life Water. Life Water was actually a 47 year old organization, great organization, great legacy, great history. Uh, and Water for Good was actually a younger organization. So, uh, putting the two together, Made sense and we honored the history of both. It became like a, a joint history. Um, but in that process, we had to give up a name that was near and dear to many, many donors, board members, folks like myself who worked at the organization. And so, it’s trading off, giving that up, um, on the other side, water for good. Uh, constituency had to say, hey, who’s this new CEO? Um, and why are we doing things this way now? Um, and so I think in the merger, Both organizations had to give something up for something better. And at that point, it’s only the hope of something better. I think sometimes, uh, organizations get bogged down at that very level, like, uh, who’s, what’s the name going to be? Well, we don’t want to give up our name. What’s, who’s going to be the CEO? Well, we have one, you have one. How’s that going to work? Um, and I think it’s getting beyond those things, or we have a way of doing things, um, and yours is different. Um, and so it’s, I think getting those things get in the way, instead of just the mission to serve people with water, sanitation, hygiene, until there’s no people left on the planet that need that. Uh, and this helps accelerate that. So I think that’s where the, the, in, in my experience, uh, from the folks that I talked with. Yeah. All right. Uh, sacrifice, uh, compromise. How, how did you manage the, the, I mean, you could have gone with co-CEOs. That, maybe that may, well, no, this is not that reason. Yeah, I mean, I’ve had, I’ve had at least one guest on where co-CEOs, um, but you didn’t, obviously didn’t go that way. What, how, how did you work out the, the, the, the conundrum of the, the two CEOs being reduced by 50%. The two of us were in the room, and we were talking, and we’re whiteboarding what it might look like if we came together, and what the different options were. We even talked about like a um, uh, uh, a center of excellence, creating that together, and then both working with it. We talked about lots of different options, joint ventures. Uh, but at the end of the day, it was coming clear that we thought merger was the best. So, we basically just talked about What made sense, what our different experience levels were, what, where we both were in life, we’re at different points in life, uh, different outcomes, uh, and, and then we decided to sleep on it. And the next morning, we came back to the whiteboard and we talked about it again. Uh, and, and I think for, we both looked at it, and we both were in 100% agreement of how it should go. And the former CEO of, of Water for Good actually took the opportunity to help us through the transition and then move into another industry. Uh, and that was better for him at that time. So we just kind of talked through it and came up with a couple scenarios and a couple of solutions, uh, for the organization, what that might look like. OK, so in this case, it was, it was a life choice that The, the, the previous CEO of Water for Good was willing to make and ready, ready to make after the transition to, to step into another career. So that, uh, that kind of makes it a little, that kind of makes it a little easier, um, and, and we had that. I’m, I’m afraid of a situation where we both want to be CEO, right? And we had that conversation, just the two of us, like we didn’t bring other leaders on board, it wasn’t a popularity contest. It, it, because we both truly care about each other and so it was just, hey, if this isn’t like. We don’t need to take it any further. If, if we both can’t come to the same conclusions or where this might make sense, I think both of us were willing to walk away if that was what was best for the organization, and both of us were willing to stay. And then we just talked through why it made sense for us to do it the way we did it. How about, uh, getting the boards on board, um, the, the C-suite, and, and then below, you know, you’ve gotta, you gotta get a lot of, well, look, everybody’s not a decision-maker. The, the CEO and the board are the decision makers and maybe some influence from the C-suite, but they’re not, they’re probably not the ultimate decision makers. It’s gonna be the CEO and the board. So, Before we go, before we go below the C-suite, because I do want to talk about those folks too. You know, they’re, they’re, they’re the most fearful for losing their jobs or, well, the C-suite could lose their jobs too. We don’t need two CFOs, uh, we don’t need two CMOs and CIOs and whatever, you know, so. How do you, uh, how do you get people past their potential objections, get the buy-in. We also don’t need two full boards, I don’t think, unless you, unless you brought, unless 2 12-person boards became 1 24-person board. I don’t know. Uh, talk through the, the upper level before we get to the, the middle managers and the, and the folks actually doing the work on the ground. Yeah, no, you, you’ve mentioned a lot of the, the conversations that we had to have. There’s, we didn’t really find a playbook for this. It wasn’t like, oh, turn to page 3. This is how you do this part. Uh, and so we started with our senior leadership team. We started bringing them along. Um, in some cases, knowing this. This was going to happen. So at Lifewater, we needed a chief development officer, uh, early. We were, we already were looking, um, and we put that on pause because we knew that in 12 months, we might be merging, and they, there was a good chief development officer, and if we hired someone, then we’d have to, Figure out another job or let somebody go. So there was some of that where we, both organizations did not hire, knowing we’re having the conversations, which actually put some strain on the individual organizations in the, the year leading up to that, um, to have those, uh, holes or those gaps. And then we just talked to folks, so we had a development person who was going to report to a development person on the other side. Right? And they’re used to reporting. I think he, he reported to me. And so, just start having the conversations, and giving some time and some space. Uh, so it wasn’t like an announcement on a day, 6 months of let’s talk about it. Let’s talk about why. Um, in those cases, we had conversations about the, the strengths of multiple leaders and why one, it made more sense to have this role, one made more sense to have this role. Uh, and so we had a lot of those conversations with the C-suite, because I really wanted to have our leadership, senior leadership team on board, and really all like when we start talking to the rest of the organization that we were all like-minded. Uh, so we spent a lot of time meeting, talking about these things and talking about what we thought this needed to look like, even the name. Uh, at that point, we were thinking this made more sense because you can go with Life, water, water for good or something new, but we really, the brand equity with Water for Good was strong, we decided that, um, but systems, names, things like that, we start talking about with the organization. Uh, as far, and as far as roles and structure, um, and so that was the, the C-suite kind of bringing them along and really all of our, at the next level of leadership, we brought all of them in on the conversation. Um, and then I wanna, I wanna, I wanna stop you there. Hold on. All right, so what about the difficult ones? All right, so you gave an example of the easy one. Well, 11 had a CDO and the other didn’t. So Lifewater held off. Uh, OK. Uh, but what about, you had, weren’t there two CFOs? give us a, give us the hard case where you had two duplicate C-suite officers. Absolutely, um, and I think we were pretty transparent on what we painted a picture of here’s what we’re gonna need, right, because now you’re, uh, an organization that’s twice as large as you were before. So the leaders you have on both sides. Uh, are they ready to lead at that level, at that next level? Um, because in some cases, we were also thinking we might need a new position, right? Somebody who’s got broader experience than even that, that can bring it to our organization. Um, so, uh, we just had some really candid conversations. There were some leaders, uh, I think one of the things that happens is, There are people on both sides that use that as an option to, to opt out, right? Because they were really excited about the organization, what they were doing, but they’re not as excited about the merger. And that’s fine. We had very transparent conversations about that. That’s OK. If you, you were great, you helped us bring us to this point in the journey. Uh, but if you want to go use this as a, uh an opt out, um, to go this way a little bit instead of this way. That’s great. And so we had a lot of those heart to heart conversations. We had a few where it was like, well, why am I reporting to that person? Um, and we just had to have conversations again, we had to go back to, here’s where we want to be as an organization. That’s what I would say, Tony, is like focusing on the vision. This is the picture of what Want to look like as the new water for good and to get there, here’s what we need and this is why we believe this is the right structural, but why, but, but, but I don’t agree. I, I wanna, I wanna, uh, she should be reporting to me. I, I should not be reporting to her. I, I agree with the vision. I wanna stay. I don’t wanna, I don’t wanna use this as an opt-out, but I don’t agree. I, I think I have superior experience and I’m a better whatever than, than she is. Why, why are you, why do you believe, why are you making me report to her? Wow, Tony, I’m getting PTSD right now. If conversation I wanna get to the tough. I want, I like the tough situation, you know, absolutely. No, I think it’s. Tell me why I, why this is not fair. It’s not fair. Absolutely, no, uh, I, this. This is why we gave it some time, right? Because everybody has to process. And so we had the conversations, and candidly, in some points, we just had to say, this is what we think is best for us moving forward. Uh, and I, I acknowledge and understand that you don’t necessarily agree with that move. Fortunately, we didn’t have too many of those, but, um, ultimately, it’s just acknowledging that their opinion is valid. But it’s not the opinion that we think, and here’s why we believe in the stance that we’re taking. Um, and in some cases, uh, that causes a person to leave the organization. That would happen even in a non-merger, uh, situation where you’re growing the organization, and let’s say your, your director of marketing or sales or whatever got you to this point, but they’re not the person for the future. You’d have that same conversation. It’s It’s just, uh, it’s accentuated in a merger. There’s more of those happening. And so, it’s just being patient, but also letting the person know that they’re hurt, right? It’s not like you’re wrong, and I’m right. It’s more, these are two valid opinions. Here’s why we believe this is what’s best for the organization, and then give it some time. So in some cases, uh, the one I can think of was the, the person, Initially didn’t think they should move in their reporting, they did, and it turned out to be really healthy, and they developed a really strong relationship. Some cases that happened, in other cases, the person said, hey, you know, I’m, I think I’ll use this as an opportunity to go and do this other thing over in another organization. And we needed some of that, frankly, because The opt-out, um, we had to, we had to eliminate some jobs. So when it’s not actually a bad thing when people opt out, from a personal level, it might be someone you really liked, and you’re sad, you’re not going to see them, uh, as often, but from an organizational level, uh, that actually is healthy, I think, in a merger, because you’ve got to eliminate some jobs anyway, and you’ve got to create some time and space to figure out what are those jobs that you’re going to eliminate. All right. Well, thank you for taking on the PTSD with uh. It’s the hard, the hard, the hard, the, the hard case, the hard case. It’s time for Tony’s take 2. Thank you, Kate. This is episode 790. Which leaves us a mere 10 episodes, a mere 10 weeks away from episode 800, the 800th show, the 16th anniversary of Tony Martignetti nonprofit Radio. That’s his podcast, this one, the one you’re listening to right now. That’s this. 2010, we started. July 2010, unbelievable. 16 years later, we’re creeping up on show number 800. You know that I’m grateful that you are with us through the years, through the, through the decades, or the, the, the decade, uh through the decade 0.6. We have 1.6 decades. And I’m glad you’re with us. Thank you. Thank you for listening. The show would not be without its listeners. There’s a word for uh, uh, a podcast that nobody listens to, diary, right? This is not a diary. This is a bona fide podcast, so. Thank you for Not letting this lapse into, uh, uh, letting, letting it fail into, uh, being, becoming a diary. It’s not the nonprofit radio. Diary, it’s a nonprofit radio podcast because we have you. As a listener, I thank you very much for that. So 10 more weeks and we will be celebrating the 16th anniversary and the 800th show. And that is Tony’s take 2. Kate, For the 8800 show, we should uh get a little sneak peek at uh Tony Martignetti’s diary. I don’t think that’s a very good idea. No, I’m, I’m vetoing, I’m vetoing that idea. Well, I don’t, I don’t, I don’t, I don’t have a diary. She’s, you’re probably thinking, yeah, you’re just saying that, so I, I dropped the subject. But no, I really don’t have a diary. But if I did, I still wouldn’t think, uh, that’s a very good idea. Not very interesting. What about the associate producer’s diary? How about that? How about you? Open your, I’ll open your, your diary book. No, I, I can’t say that I have one. I wish I was into journaling. I got like a scrapbook. Yeah, yeah, how convenient. Yeah, we’ve, we’ve heard that, uh, we’ve heard that recently. Uh, I think it was about 15 seconds ago. We’ve got Fu butt loads more time. Here’s the rest of Mission-driven mergers with Dave Levan. How about the board? Talk about the, the two boards. Yeah, so we smashed them together, Tony. We had about, um, we had like 20 people. And what we did is, again, um, there were 20 folks, between 20 between between the two. Yeah, uh, it’s about 10 and 10. And there were a few folks on, on either board that were overcommitted and said, hey, you know, so we kind of left it out like, hey, if you’ve overcommitted, and this is one of many things, and you want to use this as an opportunity. Opportunity. So we had a few people do that, and we ended up with somewhere between 18 and 20. And what we decided is that we would, uh, just start out that way. I wouldn’t necessarily make that a recommendation for everyone, but for us, it seemed to work. We had a, uh, you know, it’s a volunteer, volunteer boards, uh, very committed boards, and we didn’t want to ask somebody to step off. So we just said, hey, this is going to be a little more, uh, challenging. But we want all of your opinions and what you bring to this merger because it will add value to who we become and where we’re going with that. So we did that, and it took us a couple of years, but, um, actually last year, we had, uh, in the last 11.5 years years, now we’ve had to add 4 new members. So we’re down to, uh, you know, we try to keep between 11 and 13, uh, in that range. And so, yeah, for a couple of meetings, we also took the two board chairs. And said, OK, we’re gonna have co-chairs, which again, from a CEO perspective, I’m not recommending that in every situation. Uh, in this situation, I knew our board chair well. I also happen to know their board chair, um, uh, through another, uh, channel. And so, there was a lot of trust between the three of us. And we just said, hey, you know what, let’s just do this. Let’s, for the first year or so, let’s just have, uh, Coach, uh, chair, and the one chairman was, was, uh, timing out, uh, on his time on the board anyway. So we just decided to go that route. It actually worked well for us, because then it wasn’t, uh, it wasn’t about eliminating a bunch of people, uh, through the board. We got a lot of good information as we transitioned, as we put documents together for governance. Uh, good information from both sides that we could put together into our new governance going forward. OK, cool. So, so, you did take on the, the, the co-model on the, on the board chair. We did. And not the CEO though. The CEO, one of you had to go. No, I understand. One was, 11 of you, you were the survivor. The, the, I don’t know, the, the, what, what are the, the victor writes the history or something? No, I’m sure you’re giving us the accurate history. No, one person did want, one CEO did want to go. All right, that’s good. So co-CEOs, I mean, co-board chairs, co-board chairs, co-board chairs. And then the other thing we did is we just left time. We would have conversations. Uh, I would say. Keeping the conversations focused, focused on the vision. Here’s where we want to go. We want to serve more people more effectively. This is why we think this makes sense, and allowing board members to, to kind of vet whatever it would be like, oh, we should use Life Water as a name, or oh, we should keep this system over here, that water for good head, uh, whatever it was that was near and dear to them, just giving them an opportunity to kind of express, uh, and I guess they’d be experiencing the loss, right? Cause there’s, there’s a loss. Uh, for both sides, but it’s, it’s with the hope of something better. And so to keep focusing on that something better, and to bring it into fruition, uh, it’s worth giving this up because of that. And so we just focused on that, and then we, we would have conversations, we’d leave some time and space, uh, for people to process, and write down their thoughts and get, and then get back together. And sometimes we would just deviate into a conversation that needed to happen about something about vision values. Uh, mission, what was that gonna look like? And we would just let it go down a trail, which typically in a board meeting you would, you would bring that back and get back to point. But sometimes we let that happen just so people could get kind of their feelings out, um, as a board. I remember one meeting we had, so they can, they, they can be heard like you were saying they can be, they can be heard. And these big picture, these big picture questions are magnified when you’re bringing the two nonprofits together. Absolutely, yeah. It’s, it’s valuable to have this, the introspective convers, you know, digressing conversations about values and, uh, mission and, and scope and, Yeah, it’s, this is a valuable exercise when you’re, when you do, when you’re in working through a merger. Absolutely. And, and I’d love to say we got it all right. And it was just perfect and smooth. That would be a myth. But I think what we did by, by that space and by, by learning and iterating as we went is we were able to tackle some of the bigger issues a little bit earlier, rather than being surprised by them later, we’re able to just, let’s just talk about this, because this is something that could be awkward. Um, and that’s the one thing I was thinking about, like, the transparency discussing, discussions, um, at those meetings, both with the senior leaders and with the board. Specifically thinking about what are the elephants in the room going to be at that conversation and not waiting till they came up. Let’s just talk about this. This is, this could be awkward, but we need to talk about it. And so, we really focused on those conversations as much as we could to address those at the front of the conversation. All right, now let’s bring the elephants in the room with the conversation with middle managers and folks, uh, functionally, you know, doing the work on the, on the ground. Uh, you know, I, I’m afraid I’m gonna lose my job. Absolutely. It’s a, it’s a big fear. And here’s the, the, the thing is, we tried to overcommunicate, right? So there was some initial, some leaders did it better than others, some leaders brought their teams along. Here’s what the change is going to look like, you’re going to be reporting here. This job might be a little, like, they, they had conversations, others didn’t bring leader, uh, folks along quite as well. And so you had all, all kinds of of reactions. Um, but I think the biggest one is fear, right? You know, Brene Brown says, if you have two pieces of, you know, two points of data, you’re gonna take the darkest, deepest road, and it’s always gonna be the worst-case scenario that you build in your mind. So, so knowing this, we just talked about, you know, communicate, communicate, communicate, have the conversations, even if you don’t know all the answers, have embrace the conversation, say, you know what, I don’t know the answer to that one. I’m gonna have to get back to you. You have the transparency to say, you know what, the role that you had was titled this, that’s not a job anymore. I think you could do this. Let’s, can we explore that together? Uh, we had a couple of roles like that. Um, and some were successful, some were, I think it’s successful either way, but some, we discovered that that is a role and that person has a heart and a passion and skill set for that role. In others, maybe it is a role, but that person is like, yeah, you know what, I, I appreciate that, but I don’t think that’s where I’m meant to be. Uh, and so you, you know, so then they, you know, would go to another organization, perhaps, and, and do what they were doing before. But it was having those conversations. Again, Tony, we didn’t get it all right, but, uh, it’s embracing that, uh, embracing the fact that employees might even be angry, right? They’ll be like, why’d you do that? I like it the way it was. Um, and, and again, it’s not a right or wrong. It’s not like you’re wrong, I’m right. It’s just more of, yeah, there are different opinions. This is why we’re doing this. Again, focusing on the, the, the vision. This is how we advance our mission. This is how we serve more people more effectively. We said that phrase a million times in those two years. This is how we believe we can serve more people more effectively, and that’s essentially what we’re here for. That’s our mission. Uh, and so we kind of went back to that, and then valued opinions, and then, uh, just work with whatever the situation turned out to be. If it was somebody taking a new role, helping them get the training, the opportunity to, to fail fast. To learn the role. Um, the other thing I will say is they were in one country, Central African Republic, Water for Good was in one country, Central African Republic. Life Water was in 44 different countries. So, we didn’t see a huge turnover of our country teams, and most of our employees are in. One of the countries that we were. And so it was mostly our US staff that felt that, um, but it was very real for, for the US staff, uh, to feel that. And so yeah, lots of patience, lots of conversations, lots of, lots of listening, uh, listening. times. Yeah, yeah, and validation, validating employees’ views, whether it was ultimately what you did or not as an organization, but validating that they’re, what they’re feeling and thinking is good. And it’s, it’s, it’s not wrong. It’s just different from where we’re going. Our conversation has value beyond mergers. Any, any kind of significant change in the organization. I, we might be taking on a new program, uh, adopting a new revenue model, uh, I don’t know, maybe even a new CEO, you know, whatever, whatever, whatever could be a, a culture shift in an organization. I think everything you’re saying is germane to, to any of those, uh, any of those episodes in a, in a nonprofit’s life. Yeah, for sure. Change is hard and change, change always brings fear to people. That’s the immediate reaction, like fear, like what’s the worst-case scenario? And you have to keep reminding them of the best-case scenario. I, and I say them. I actually love to change stuff. I mean, in my, if I look in my history of my career, there’s a lot of change management. Um, but I’ll tell you what, I still go to fear when it’s changes that are affecting me. Uh, and then I have to come out of that and say, well, what’s, what’s the positive side of this? Where are we really going with this? Um, and what’s interesting is in Lifewater, we had gone through, We had gone through a lot of changes right before the merger. The merger was 24 and 25. That’s when we did all the integration. But I would say coming out of COVID through almost right up to that time, at Lifewater, we had decided we’re going to be more global. So we moved about 40% of our headquarters jobs became jobs in the countries that we worked. So, our director of engineering instead of being in the US with 7 other The engineers, we basically moved all of our, all of our engineers are either from Addis Ababa, Tanzania, Uganda, and they’re at more, they’re closer to the work. So truly being global, the digital integration, like, here’s the system, here’s how we want you to use it. I think we launched 5 new systems. So we had gone through a lot of change at Lifewater. Um, but we did all that because we wanted to He voices, we wanted to connect people. Um, that, that whole idea of listening, we, we, we launched this bamboo HR. So our teams are in some of the most remotest, most remote parts of Africa, where people don’t have water and don’t have sanitation. That’s where they’re, they’re walking alongside communities. And so we’re, we want them to be able to connect. We still want their voice to be heard. You still want to have a pulse survey that says, how valued do you feel? How engaged are you? What, what, what equipment, what do you need to do, do your job better? We do quarterly conversations like that, so that we can know and hear all of those voices. We launched software like Asana so that all of our engineering projects across the world, instead of being a one-way street to an engineer in, say, in the US, That’s all open to everyone. So, if I’m in Cambodia, I can see how they’re uh engineering projects in Tanzania. I can learn from that. I can then connect with my colleagues, because I have the tools to do that. Um, and then if I’m feeling like I don’t have the tools, I can I can, I can reach right out to the CEO through Osana. In fact, I can assign him a task if I want. Um, and he may say, I don’t, I don’t have time for this, or can I give this to Tim, or can I give this to Beth, or can I give this to, you know, someone else. But trying to create that culture. Uh, and that was a major shift for us as an organization. So we had gone through a lot of change, even coming to that point. Uh, so for, for the Life water side, it was adding another country and continuing that process. For Water for Good, it was probably where, what it felt like for Life Water 3 years prior. Let’s expand out beyond the, the teams, which became a team, donors and volunteers. When did you, uh, when did you bring them into the conversation? And what was the, I, I guess the messaging was consistent. This is where we want to go and this is how we think we can serve more people more efficiently. But when did you start, uh, bringing in donors and volunteers to, in your, in your messaging? Yeah, that, that, that’s a great question. So we went, uh, we went senior leaders board, kind of in the, you know, pre-merger. In the merger, we actually then went to some key donors and foundations first. With individual conversations, kind of going through the same conversation. And then we kind of, uh, ultimately sent out a bunch of announcements, uh, and had lots of phone calls and lots of conversations. I will say this, there’s always a pause. And I, I, I, I saw this in the for-profit world, right? Like two companies merge, customers pause for a second, they’re like, is that still going to be the product and service and the company I believed in, like, what’s coming out of that, right? And so we, I would say to a donor. To each donor I’ve talked to, and it’s been lots in the last 2 years, every single one of them said, yeah, we paused for a moment, because we were former Water for Good, and we wanted to make sure that this was still going to be what we believed and what we loved about Water for Good, or we’re former Life Water. And we wanted to still make sure this is what we believed and loved about Life Water. So, that would be one takeaway I would give to any, any listener. If you’re considering a merger, consider the fact that you are going to have donors pause. Now, Some paused and still gave in that year. Others paused and didn’t give in 24, and they decided to wait in 25, and then, then, then, then they got back on board. But there is a pause, and I think it’s a legitimate pause, uh, because they want to make sure this is the organization that I believed in, to begin with. Uh, so we’ve had lots and lots of conversations with donors. We’ve had town halls, we’ve had lots of calls, lots of visits. Um, what is fascinating to me is, You can’t overcommunicate, um, because even with that, you know, as, as late as fall of last year, we still had a few donors that said, oh, did you merge? Um, and so, you know, again, it’s, it’s helping them just like our staff and our board, helping them see the vision for this is why we did this. Because when you donate a dollar, now, that will serve so many more people, uh, than it will. And so we, what’s kind of cool is for 24 and 25, Our strategic plan really was an integration plan. This is all the things we have to do to get these organizations. And Tony, it’s everything from, we have two really good mission statements, and they sound pretty similar, but what’s going to be the mission statement of this new organization? And it, it’s going to take those parts and the values and, uh, you know, all of that. And so, What’s been really exciting from a donor’s perspective is those 2 years, it’s an integration plan. And donors don’t get as excited about, hey, help us integrate. Um, but out of that, Now we’re able to prove out this is why this makes sense. So our strategic plan now is literally in the next few years, we served uh just over 1.3 million people this past year. We believe that we can serve up to 2.6 million by the, by three years from now. And part of that is bringing these assets together, um, moving more of our capacity to Africa, uh, and then expanding the way that we serve. And so, now we’re taking that out to donors, and that’s far more exciting. But during the merger itself, it’s a lot of, here’s why we’re merging, here’s where we’re going. Now we can actually show them in this plan. This is, we couldn’t have done this without merging. But now we can take these assets and we can actually serve more people more effectively. This is how we do it in the next 3 years. Did you see a pause among, uh, lower-level donors, maybe your monthly sustainers, $1500 a month. Did you see pausing there too, as well as the major donors? Less, there was less pausing there. Uh, and I think they, uh, I, I can, I can’t get in every donor’s mind, but it might, I suspect that’s because they could see the information that we were sending, and they could see that, wow, that sounds a lot like what I saw before, only better. Yeah, and it’s close enough. And look, you know, if they’re not, if they’re not a major donor, they’re not into your programs as deeply. They, they may just, they like the concept of the, the broader, they like the broader picture versus your major donors who may be giving to specific programs or, or specific countries, programs in a country, you know, are you gonna keep this up in Tanzania or you’re not, you know, that, I’ll pause for that reason. Versus, I guess your lower-level donors who are committed to the work, but not as, just not as detailed knowledge of it. Yeah, I think you’re exactly right. So anybody who is tied into a specific thing. And actually it, it tends to be more your major donors, but actually we have some at all levels that are really tied into Tanzania or Central African Republic. Um, and we do have a couple of, uh, a few major donors who say, hey, we love the work you do. We’re not necessarily tied into this country, this country, or this country. Um, but the more tied in a donor was to a specific thing we Did in a specific place, the more there was a chance that they would pause and you’d have more conversations because they wanted to be reassured that we’re going to continue doing that. We’re still committed. Absolutely. And the cool thing is, like I said, even in those two years of integration, and we, we wanted to, but we didn’t know if we, it’d be possible, we’re able to move the bar up. And actually serve a few more people in both those years than we had the year before, um, which is really, really exciting. Now we can accelerate that growth. But even during the transition, which was messy and chaotic, uh, but even during that transition, we’re able to serve more people. So I think going we’re able to see that, oh, yeah, you’re still doing that, you’re still serving all those people in Ethiopia. I, I hear a through line in all these conversations at all the different levels that we just talked about and then expanding out to, to the donors and volunteers is trust. Trust. All these conversations, people trusted you. Whether, whether it was an email to a $50 a month sustainer, or it was the board, the, the, the two, the two CEOs of the board or chairs, I’m sorry, the two chairs of the board, the two co-CEOs, the way the, the, the two CEOs, you all need to be, you all need to trust each other. Absolutely. And, and trust, I wouldn’t say trust is broken in a merger, it’s disrupted in a merger. It’s clouded over in a merger, because it’s like, wait a minute, this is different. This is a big move. And so as the dust settles, I’d say, OK, I get it. This is the same thing I bought into before, and I trust. Um, and some of that, uh, some of that, like you said, is it, it’s as simple as they see an announcement, they read about it, they see a video, um, other folks we had multiple conversations with, you know, and let them ask the, the probing questions that they had or the concerns that they had. Um, and again, I think you said it earlier, but that goes with all change, right? A merger just is a, a, a huge change. But with all changes that we have made as an organization, It’s the same thing. It, it disrupts that trust and say, wait a minute, is this still, are you still doing that? And is that still reliable? And is, is childhood diarrhea still being reduced? Are water points still functioning at 90%? You know, are these things still happening? Uh, and so, yeah, it’s, it’s kind of reassuring that yes, these are still happening, and, and more. Uh, I, I really appreciate the, the, the broader value of the, of, of our conversation beyond mergers. Um, I, I’m probably still gonna call it something mergers, like mission-driven mergers or something, but, but there is, I’m gonna make sure the, the notes say that there are takeaways that apply across any organization, any organization kind of change, uh, transition. Uncertainty, all these, I, I think everything we’re talking about and the kinds of conversations you’re, you’re revealing are essential to any, any kind of cultural change. Yeah, absolutely. And, and I think you hit it too with uncertainty. I mean, anytime there’s uncertainty, it’s, it’s again, just being reassured that yes, this is an organization, a process that you can trust. Um, it’s really, really important, uh, as far as an organization. Again, I’d like to say we got every one of those situations right. We worked hard to make sure we overcommunicated, uh, and that nobody was left behind. Um, and we’re still having, we’re still 2 years, 2 years in are still having some of those conversations. The nice thing now is we can actually tie it to this plan where we can show, uh, donors and partners, this is how we can actually serve more people. So now we did all that work, we built it up to how we wanted, and now this is how we can actually serve more people more effectively over the next 3 years. Ties back to the mission. 100%. Dave Levan, president and CEO of Water for Good. They, they’re at waterforgood.org. Dave is on LinkedIn. I hope you’ll accept my, uh, connection request if we’re not, if we’re not already connected. Dave, I enjoyed the conversation very much. Great value. Again, as I said, beyond mergers, but an interesting, good, good story too. Good. You got a lot of, you got a lot of energy around the story. I love it. It’s donor, um, listeners should see you like moving into the mic and, uh, getting, getting, getting energetic. Your hand flails around, which I love. I admire Italian. I, I can’t stop, you know, if you, if you tied my hands, I’d be, I’d be silenced. Um, no, you got a lot of passion for the, for the story too. I, I appreciate you bringing all that to us. Thank you. Thank you, Tony. Thanks for having me on the show. I appreciate getting to know you. Next week, back to our coverage of the 2026 nonprofit Technology conference with DF’s 2026 benchmark report and dashboards as functional powerhouses. If you missed any part of this week’s show, I beseech you, find it at Tony Martignetti.com. Our creative producer is Claire Meyerhoff. I’m your associate producer Kate Martignetti. The show’s social media is by Susan Chavez. Mark Silverman is our web guy, and this music is by Scott Stein. Thank you for that affirmation, Scotty. Be with us next week for nonprofit Radio. Big nonprofit ideas for the other 95%. Go out and be great.
Mitch McDermott stresses the value of a strong middle management team, and brings contrarian hiring and interviewing tactics, so you recruit the best team possible. He shares advice for nonprofits and individuals on working with recruiters, and adds a pro tip on how to find emails of hiring managers. He also takes on what’s current in remote versus in-office working; in-person versus virtual interviewing; assigning tasks to interviewees; the questionable value of salary surveys; and, more. Mitch is CEO of Talent Ascension Group.
We’re the #1 Podcast for Nonprofits, With 13,000+ Weekly Listeners
Board relations. Fundraising. Volunteer management. Prospect research. Legal compliance. Accounting. Finance. Investments. Donor relations. Public relations. Marketing. Technology. Social media.
Every nonprofit struggles with these issues. Big nonprofits hire experts. The other 95% listen to Tony Martignetti Nonprofit Radio. Trusted experts and leading thinkers join me each week to tackle the tough issues. If you have big dreams but a small budget, you have a home at Tony Martignetti Nonprofit Radio. View Full Transcript
Hello and welcome to Tony Martignetti Nonprofit Radio. Big nonprofit ideas for the other 95%. I’m your aptly named host, and I’m the pod father of your favorite hebdominal podcast. Oh, I’m glad you’re with us. I’d be stricken with prosopagnosia if you blinded me with the idea that you missed this week’s show. Here’s our associate producer, Kate, with what’s up this week. Hey, Tony, this week it’s. Mid-level recruiting strategy and tactics. Mitch McDermott stresses the value of a strong middle management team and brings contrarian hiring and interviewing tactics, so you can recruit the best team possible. He shares advice for nonprofits and individuals on working with recruiters and as a pro tip on how to find emails of hiring managers. He also takes on what’s current in remote versus in office working. In person versus virtual interviewing. Assigning tasks to interviewees, the questionable value of salary surveys, and more. Mitch is CEO of Talent Ascension Group. On Tony’s take 2. YMCA National Conference. Here is mid-level recruiting strategy and tactics. It’s a pleasure to welcome an entrepreneur, talent advisor, and the founder and CEO of Talent Ascension Group. Mitch McDermott is advancing how companies evaluate, hire, and build mid-level leadership teams. He has built a modern approach to mid-level recruitment by applying executive search standards to manager, director, and vice president hiring. The layer of leadership that most directly shapes organizational performance. The company is at talent ascension.com. And Mitch McDermott is on LinkedIn. Welcome to nonprofit Radio, Mitch. Yeah, thanks for having me, Tony. I’m glad you’re with us to talk about, uh, the power of a strong middle management team. Why, why do you say that, uh, this is the layer of leadership that mostly directly, most directly shapes organizational performance? You, you, you love the mid-level. What is it about these people? Yeah, one of the reasons is I saw a gap in our industry between how sea-level search was conducted and everything below it, and I realized the same hiring. Process used for entry level hiring was what was relegated for mid-level leadership. So I saw an opportunity to blend two aspects of our industry into kind of a new model, specifically for that level of the org chart. Um, but I, I, I believe that because when I think about nonprofits, at the large organizations, the sea levels really driving higher level strategy. The mid-level team is responsible for translating that strategy into results. And you think about telephone, if that’s not accurately translated, results don’t follow. Uh, and at the smaller orgs that we work with, directors could be leading functions, you know, where they are playing that blend of strategy and execution. They’re sitting with the board, they’re sitting with the ED or CEO and they’re Carving out strategic initiatives, but they’re also on the front lines driving the implementation of those initiatives. What, what’s, what’s the gap that you observed, and, and our listeners are small and mid-sized nonprofit professionals. What was the gap between entry level and executive? Maybe it’s maybe some, some parts may be obvious, but flesh it out in detail for us. Yeah, our industry is broken into two segments. There’s retained executive search. Companies are being paid on a retainer basis. It’s very high-end, almost like management consulting and how they approach recruitment. And that’s typically for C-level hires. And then there’s contingent recruitment, which falls for almost everything below the sea level. You’re only being paid if you win. So the approach a lot of businesses take is volume. They work with a lot of clients, but they fill 15 to 20% of what they touch. Um, they send a lot of candidates. It’s more of the spray and pray model because you’re not being paid with your time. So you use that time to create a lot of activity. And if you do that, enough will close that you’re in that 20% range and your company’s happy with you. Is that really, is that really, is it really that low that like only about 20% of the assignments on contingency are filled? Yep, that’s, that’s from the firm side. That’s the industry average for contingent recruiting. Refill rate has been around 60%. So we recruit the same way executive search firms recruit. We’ve integrated it with more of a contingent model pricing, um, specifically for mid-level leadership. So we play and function more like a C-level search firm, but we price more like a contingent firm. So we’ve taken the, the best aspects about both sides of the industry. And melded it together. OK, so, and so what are the best aspects of, uh, of executive recruitment that, that you want to see us apply to mid-level? Yeah, headhunting. That’s the big, there’s a difference between recruiting and headhunting. That’s an OK word to use. I was gonna ask you later on, is it OK to call you a headhunter, or is that, yeah, I, I, I actually take pride to it because I do believe it’s different, right? OK, it’s not a pejorative. All right, yeah, for me, headhunting is. Going after who you want, not who’s looking. Uh, recruiting is just finding people whose resumes align with the job description, who are probably having resumes posted or applying to jobs. It’s headhunting to me is more of a sales job. It’s convincing someone why to look at a change when they’re not looking. Recruiting is more of just aggregating a group of people who are looking and then putting it forward to a client. Um, so that’s the biggest value add, I think C-level search firms provide. They’re being paid for their time, so they can take the time to actually target a market, do heavy research, and then build relationships. A lot of the contingent, again, it’s the volume, it’s going through Indeed, LinkedIn. To me, it’s doing what companies could already do for themselves if they want to save a few bucks. It’s almost replicating an internal recruiting strategy for companies that don’t have internal recruiters, but Paying the same fees as they’re using an external firm, but in my opinion, providing less of that value. And the other thing is the consulting piece. Retained firms are, again, function more like management consultancies. They’re being paid for their time, so they take the time to actually talk to their client about misalignments, right? You’re paying this, you want this, we need to connect dots because the market doesn’t bear what you’re looking for in your price point. A lot of the contingent approach is like you give it 2 or 3 weeks. If you see success, you stay with it. If you don’t, you move on. And I think that’s where recruiters get the stigma of like the used car salespeople of the business world, and I get it, right? They’re not being paid for their time, so that belief is I need to work with a lot more clients and put my time where I have the best chance of You know, completing a search, but it does create a very transactional relationship between the firms and the companies right out of the gate, where retained search and what we do is much more of a partnership-based approach and how we interact with our customers. Yeah, let’s talk about the relationship part of, of, uh, headhunting. Um, so, you know, it, it, it, uh, I’ve, I’ve, I’ve always, um, I’ve always taken recruiters’ calls, even when I wasn’t looking. I mean, I, I haven’t, I haven’t been an employee for, I don’t know, 27 years or something like that. It’s been a long time, uh, and I’m not looking. But, but when I was, when I was, and I occasionally, I don’t know, maybe once or twice a year or something, I might hear from a recruiter, you know, I always take their, well, I always respond to their emails. Nobody calls anymore. I, but I used to take calls 25 years ago when recruiters would call. I used to take the call because I thought, you know, I, I might, I might like to use the person’s services or I might be in the market myself, my, myself sometime. But, so I just thought relationships would be valuable to have with, uh, uh, a couple of recruiters. But to talk about relationship building from the recruiter, the headhunting side, how does that, how do you keep up those relationships? Who do you, who do you have relationships with? Yeah, so we, we keep the relationships with the candidate. You know, what’s interesting though, when we get a search, we’re typically, it’s a bespoke search. So we go to who we know, but we also go to who we don’t know that best aligns with our clients need. Um, so it’s a very organic and holistic search process for every individual search. Um, a lot of it is just getting to know what they want. Uh, this is something I saw in our industry. A lot of recruiters do what I call sell jobs. So like, they would call you, hey, I’m working with this company, this role, this pay, and then you have the opportunity to say yes or no. Um. We actually put the candidate at the center of our recruitment strategy. So we pick up the phone, we do pick up the phone. That’s, I think one of our competitive advantages these days. And we ask them, hey, you’re probably not looking, but what, what would be exciting to you at this point in your career, whether it’s now, 1 year from down the line, 2 years, like, what would be a dream job that you would want us to pick up the phone and call you about? And we let them. Organically tell us what their goals are, what their vision for their career is, and then during that time, we’re also qualifying. So we start to ask them more about the role that they’ve done, uh, their experience, the impact that they’ve made at organizations, and if what they want long term aligns with what our client can offer and what they’ve done in their career aligns with what our client’s looking for, then we talk about the job. Uh, so it’s a very reverse process of how we engage with candidates. And if it’s not aligned, then we build that relationship, we’ve built that trust, we built the relationship, and we know exactly what they’re interested in to call them about in the future, versus just calling them every time we have a search with a certain title that sounds like their title. It’s much more personalized, I think, is how we build those kind of relationships with candidates. And if it is aligned, that’s where the magic is because What I find is people are open to exploring something if it’s the right thing, but there’s so much volume in today’s world, calls from recruiters, emails, and such low relevancy that when you actually have something that’s relevant, they are more willing to look than maybe they even thought when they first picked up the phone. OK. And that’s a part of what your work is, uh, you know, to help them see an opportunity that, that they don’t know about, and, but it, it seems to align with what you know about them. Um, You have some, uh. You have some ideas about contrarian interviewing tactics. What are, what are those? Why, why, why, why are you, first of all, why are you a contrarian? Yeah, I just personally think, why are you a troublemaker in your, in your industry? I think I, I, I like to say when we work with a client, half the time we’re rewiring how they think about hiring, and I’ll share a good example, and I think this applies specifically to nonprofits because Unfortunately, it’s just the nature of the beast. Oftentimes we get asked. That they can’t afford, they, they, the candidate they want and what they’re budgeting for don’t align. Um, and I find companies hire for criteria, not outcomes. My contrary belief is hire for outcomes. We had a nonprofit who was paying $30,000 below market for what they thought they needed. They, they put a list of all these check boxes and requirements that they felt would be required. They have to be this title and this experience. And we were on the search for a while. We showed them a lot of data. They weren’t going to raise the budget, which we understood, but at a certain point to be successful, we had to make changes, and we end up placing someone who is very, very successful, but wasn’t maybe who they thought they were looking for in the beginning, but could generate the outcomes that they were looking for, which didn’t check, didn’t check a lot of the requirements. Exactly, yeah, I think companies can get caught up, caught up on requirements and running a search based on a job description. In trying to match a job description with a, with a resume. Yeah, so, but how do we, how do we measure the person’s capacity for creating the outcomes that we need? Yeah, so like 11 way is to look at who they are. Like I have a belief people drive outcomes, not resumes. Um, and the ones with the best resumes are typically the ones who are looking all the time. This was a development role. So like, I was very, uh, critical to them that the person you want is not looking, because if they’re good right now, they’re being hung on to, and they were looking to diversify fundraising from institutional to individual giving due to some of the political changes in New York’s nonprofit landscape. And we found someone who didn’t check all the boxes, was lower in experience than what they thought, wasn’t the title that they thought, but she was at a very small nonprofit, and she stood up their individual giving program, uh, and, and was a player coach and leading it with a very small team, but also building it herself, um, and she’s done it. She’s, yeah, she did it, she did it at a smaller place. Let’s give her a shot to do it at a larger place. Exactly. And those are the kind of creative hires that I talk about. where they’re like, they need to be a VP, they need to have this title, and they need to be 15+ years. She was 8, she was half the experience they thought they needed. She’s been there 2 years and that client’s a raving fan of ours. So like those are the things that I look for is can the person achieve what you’re looking for them to achieve, less of the, the, the keywords and the requirements, but really focusing on what, what does success look like and can this person deliver that type of success. OK, that’s a, that’s a general hiring. Uh, approach that you have. What are there specific interview tactics, uh, like in, in the interview that can elicit this information, or you mentioned interviewing tactics. That’s what I’m focusing on. Yeah, to me, a lot of the interview tactics are about getting to know the person, not the resume. I’m very big on asking for someone’s vision for their career. I find people who have clear personal and professional goals tend to work towards them. People who don’t tend to look for a job, and to me a job is something that pays the bills. A career is something more than that. It’s something where they’re driven by impact. They’re fueled by contributions, by growth. So a lot of it is around like one of the big interview questions we ask every candidate is, what’s your vision? Where do you want to be in 5 years? Uh, and making sure that if we’re looking for a builder, they have something personally they’re building towards right now. Yeah. Others, how about other, other strategies or tactics? Yeah, a big one is again, getting to know the person. So vision is a good way to do it. I think, um, just understanding like what environments they thrive in. What I find is a lot of companies tell the candidate the environment. You know, hey, we’re lean, we need people who can do this, X, Y, Z. I try to ask questions without giving any of the answers. So I say, hey, where do you thrive? Do you thrive in an environment with a lot of structure, uh, a lot of support from a people’s standpoint, or do you thrive more in an entrepreneurial environment where there’s growth, there’s constant changes in direction, and I let them give me their organic answer. Um, that’s a big thing that we see clients do is, is they, they, they want to be honest, and they’re afraid that someone’s not going to work in that environment. So they give the answer to the question and then ask, which I find. People are gonna tell you what they’re gonna want, what you’re gonna wanna hear. Yes, uh, yeah, especially in this context, um, but so, but how do you assess what the culture is at the organization? So, you know, you’re asking a qualifying question for the candidate to give what, what the kind of environment they want to work in. But, but you need to know what the culture is like at the client that you’re recruiting for, because if the two are a mismatch, if the, if the candidate wants an entrepreneurial, wants an entrepreneurial setting, and it’s a micromanaging setting, that’s not, that, that’s not gonna, that’s not gonna work. But, but how do you assess the organizational culture? Nobody’s gonna tell you we’re a micromanaging institution here. Yeah, and you’ll be surprised how honest. Leaders are about the environment that they have. Uh, we normally, we, we interview the client, right? Throughout our sales process and intake process of a new search, we spent a lot of time getting to know them, where they’re headed, their biggest bottlenecks and obstacles, areas for improvement in their culture, where they think they win, where they think there’s, there’s room for improvement. Uh, and, and it’s about a lot of people reading. It’s, it’s one of those things where I think what we do as a science is some, it’s part asking the right questions. It’s part an art form of being able to actually pick up on the nonverbal cues and putting a story together. OK, well, we picked up on this, we picked up on that. I get the sense that here’s what’s going on. Um, so it’s a lot of just being honest and asking direct questions that can be a little bit uncomfortable sometimes from a cultural standpoint or challenge standpoint. You know, sometimes clients will say, hey, we’ve had 3 people in this role. Well, that concerns me, you know, eventually the company becomes a common denominator. So we dig in, we pulled the string on that, we want to understand. Tell us why every person didn’t work. Was it the wrong hire? Is it the wrong environment? Are you pushing good people away? And we’ll be honest with clients and tell them, I think for the 4th person to work, something’s gonna have to change with this department, you know, and this was another search we worked on where This is an actual story, and we ended up talking to the board. They, they, they met, they ended up changing the role a little bit and actually hiring for two roles underneath that person to make sure that when we get the right person, they actually have the support they need to be successful, because that department was understaffed and They hadn’t looked at that as a problem, but we ask those tougher questions and dig deep to make sure that, again, if we’re taking someone from a place they’re happy at, we want to make sure it’s a company they could stay at for a long time. We don’t want to put someone in an environment ethically where, you know, it, it’s a short term thing because they don’t have the right support. Uh, I, I work with a, I do, uh, planned giving fundraising. That’s, that’s my, that’s this podcast is a, A aside. Uh, a joy. It’s more than a side hustle or a gig. It’s a joy. But the way I make a living is plan giving fundraising. I, I’m, I, I’m working with a client that’s hiring. Uh, for a fundraising position. And the, one of the candidates didn’t, didn’t want to come to the office for the first interview. You know, he wanted, he wanted the first interview to be on Zoom or whatever, you know, virtual. We thought, I mean, that’s like, that’s a, to, to, to us, that was a disqualifier. Like you’re not even gonna come for a first interview. I mean, I don’t know, maybe, maybe a 3rd or 4th interview. Although if you, if you really want to work here, um, you know, all right, so, uh, it’s not, I mean, it’s, it’s in a suburb of New York City, so it’s not. It’s not, maybe, you know, maybe you had to take a train to get there or something, but I don’t know. What, what, what’s your, what’s your opinion of that? Is, was the, was the, was the candidate unreasonable or, or was the, was the nonprofit unreasonable to disqualify them based on that? It depends on the scenario. Is that candidate currently working? I don’t know. It wasn’t, it wasn’t a position that I work with, yeah, so I don’t know. I’ll answer in two ways. If they’re not working, I think it’s a concern. If they’re out of work, you want to see that, hey, they’re willing to do whatever it takes. And again, developments like sales, you want to see that initiative, that drive of, hey, I don’t mind how far it is. Like I’m gonna show up. If they are working, I would actually advise the client on, hey, this is a two-way interview. They have a job, so like, You’re gonna have to sell them as much as they’re gonna have to sell themselves. It’s gotta be a two-way street, and if they’re taking time away from work for a job they haven’t even learned about directly from the company. You know, it’s a softer commitment for them to do a video first and then come in the 2nd round. Let them be sold on the role of the company, why this would be a great career move for them. And give them the reason to really take that time off of work, because it is, you know, very confidential. People don’t want to know, don’t don’t want word to get out that they’re looking. So if they’re, they’re not an active candidate, I normally try to encourage a virtual first because it’s less pressure for that candidate to get away from their current role and company to spend that kind of time, and it gives the client a chance for the candidate to really get invested in why they should spend that time in the 2nd round. OK. Interesting perspective. Yeah, yeah. I, yeah, like I said, I don’t know the answer. OK, but, uh, but it does matter. What about, uh, What about, uh, you know, I, I’m so removed from what you do because I, like I said, I haven’t been an employee for over 20 years. Um, uh, uh, after-hours interviews, does that ever, does that ever happen? Like, OK, you know, we don’t mind, we don’t mind seeing you at 6 o’clock if you can get here. If you, if you can do that, is that, is that reasonable or is that unreasonable? It, it is reasonable, and normally the candidates are the ones that drive that personally. Like I find the candidates are like, hey, I have the boarded next week. Like I don’t want anyone to get wind of this. Can we do something at 6 o’clock? I can leave at 4:30, but I, I don’t want to take a 3 hour window to get on a train and, you know, be able to get back to the office, especially. Now in persons are harder because most environments are hybrid or fully in the office. It was different when things were more remote. It was easier. Now, you know, people are being seen by their companies a little bit more where they don’t want to raise a red flag. But yeah, they’re, they’re fairly common. Normally I find the candidates are the ones driving those instead of the client though. Interesting. OK. What about that? You just raised, you know, hybrid versus, I guess, in office full-time, uh, versus, versus full-time, uh, remote. What, what are, what are, Does it, what are candidates looking for, but that’s so generalized. Is it based on age? Is, is it based on, I mean, if, if we’re talking about mid-level performers, mid-level, uh, employees, what are, I don’t know, can you generalize or? What are, what are, what are folks looking for? It’s so case by case. I used to say generationally, the early career people who hadn’t been in an office before and COVID, they’re reluctant to come in. And then also the, the later career folks who feel like they’ve earned their stripes don’t want to as much. I haven’t worked on a fully remote role with a nonprofit organization in probably 3 years, so it’s always typically what we see is somewhere between. 3 to 5, maybe 2, but 3 is kind of the norm I would say in office 3 days in office, yeah, and it also depends on the role. Could we do more than just development, right? Some program related roles are tough to do unless you’re there touching things be right, um. And some clients are just, hey, we’re a 5 day a week culture, like, and either people fit that culture or they don’t. Um, so it’s very case by case. I wouldn’t say there’s as many patterns now generationally. I think it’s kind of a personal thing. If they have it, they don’t want to give it up. If they’ve been going in 33 days a week, 5 is not horrible, but they probably don’t want to come in more than 3. You know, it’s very person to person based on what they have now and what they may or may not have to give up. OK, and it’s been a few years and you haven’t done a fully remote search yet in those, in those couple of years, in the, in the last 2 to 3 years, not one fully remote search. Interesting. OK. OK. All right. You got, you bring an interesting perspective, well, valuable, valuable perspective, Mitch. It’s time for Tony’s take 2. Thank you, Kate. Uh, this week, as you are listening, uh, I am at the. YMCA National Development Conference, uh, it’s called NATO for North American YMCA Development Officers, NATO. Uh, so if you are there, please come see, uh, us. Uh, I say us because I’m presenting along with Brian Saber. You might know Brian. He’s the founder of Asking Matters. Uh, they have the, uh, the different, and Brian’s been on the show several times. They have the different asking styles, whether you’re, uh, an intuitive or a go-getter, or a, or a, uh, rainmaker, and I forget the fourth one. But You know, the asking, the asking styles, they’re very popular. So he and I together are presenting on Friday at the NATO conference. Gifts and wills, the ABCs of how to ask, and we’re gonna talk through. The, the format and the flow of your solicitation meetings around gifts and wills. Uh, lead up to it, how to get the meeting, how to conduct the meeting and, and lead it. And then how to follow up. So all about the, uh, the solicitation process specific to the most popular planned gift of all, the gifts and wills. So if you’re in Long Beach, this is all in Long Beach, California. This week. So if you’re in Long Beach at the NATO conference, I hope you’ll check us uh at the, uh, at that presentation, which is, uh, it’s on Friday, Friday morning. And that is Tony’s take 2. Well, actually, let me add, uh, I’m grateful to be at the NATO conference. This is the 3rd year in a row that I’ve spoken. Uh, and this year doing it with, uh, with Brian. So, very grateful to have the YMCA North American uh organization always always bringing me back year after year. I appreciate that. And that is Tony’s. Well, actually there’s one, no, that’s it. That is Tony’s take 2. Kate. I must just like hit my mic, um, to say break a leg at your presentation. That’s so exciting. Thank you. Thank you very much. We’ve got Bu butt loads more time. Here’s the rest of mid-level recruiting strategy and tactics with Mitch McDermott. What about the idea of having the person do some work? Like write a, write a, write a letter to a donor. Write, write, uh, you know, so, hopefully it’s not like so burdensome, like it takes 3 hours, but, you know, write a donor communication or something like that. Is that, is that kind of, is that kind of childish or is that, is that? Reasonable. You put it either way, I’m, I’m not invested in this. I, I don’t, I don’t do this. I don’t do these things. I have a one-person company. I don’t hire people, so I’m not, I’m not picking your brain from my, I’m not trying to get free advice. It’s just things I’ve seen through the years. I’m, I’m, I’m questioning. 9 out of 10 development searches have some type of written project. Do they? Interesting. Yes, to me, I think it can be helpful. I also think sometimes it’s not. It really depends on the level of the candidate. Like to me, if someone’s been doing something successfully, we can run reference checks to make sure that their performance on their resume and what they tell us is accurate, um. You know, they’ve been a VP for 7 years and they have a 20-year career in development. They’re, they’re probably credible, right? If they haven’t jumped around a lot and they’ve stayed at organizations through growth, you can kind of make the case that this might be a little elementary for this candidate, and sometimes we’ve had that happen where we really have to coach the candidate. The client is adamant about, you know, at the end of the day, we can provide consultation, but the client’s gonna do what they want, and we have to be OK with that. So like coaching the candidate like, hey, it’ll only take an hour, I know it’s elementary. But if you want this, show them, show them why, you know, give them a taste of what you can get. We’ve had some candidates feel like it’s like giving free work. Sometimes it’s more comprehensive than just like, hey, write up a program for individual giving or kind of a campaign that you would do high level, one or two pages. Sometimes it’s in-depth strategic planning where they would probably pay a consultant to do that kind of work. That’s where it gets a little dicey because candidates feel like, hey, I’m doing free work at this strategic plan, like write a strategic plan for us. Like an annual plan for year one, how you would approach this job, and I think again it comes from having limited resources, so they want certainty. When anyone hires, they want certainty. They want to know that the person they hire is going to do what they want them to do and achieve what they want, and they want certainty that person’s going to be around for 10 years. Neither of those you’re ever really gonna get, um, and I think those longer projects are for them to feel really certain that if they hire that person, they’re going to get the outcome they want. OK. Very interesting. Um, yeah, my advice for, for companies doing that is keep it easy, no more than an hour of work and no more than one page worth of work sample. Like keep it easy, get a sense of their strategic thinking, get a sense of their work product, but don’t put a big obstacle in front of you where you might lose the person you want by asking for too much. And again, it’s different if someone’s not working. It is different because the companies have more leverage. And the person doesn’t have as much going on in their work life to be able to put that time in. But when someone’s working and they have families and the weekend’s time for that, and you put an eight-hour assignment in front of them, it, it can be a bottleneck for them. Yeah, yeah. Well, I, I was just thinking, I mean, 8-hour assignment, yeah. Well, no, but you know, like if you’re, if you’re a, if you’re gonna be, you know, chief development officer. Uh, you know, put together a plan for the office. You know, we’ve got 12 people who’ll be working with you. Put together your first-year plan. That sounds burdensome. Yeah, Uh, versus, versus, you know, put together a, maybe a plan for a campaign. Or something like, you know, something discreet. Maybe an email campaign or a peer to peer campaign, you know, around our, you know, whatever. All right, all right. Um, I’ve seen candidates be very proactive with, uh, bringing, like bringing an outline or something, you know, that, that isn’t solicited. Um, I think that that’s impressive. Like if you’ve, if you’ve spent time going through, you know, here are the, here are the major points that I would focus on and how I would focus on each one. Like, you know, maybe enhancing, deepening your relationships, acquiring new donors. I mean, those are very different, you know, but whatever the, whatever the job requires, uh, you know, like put together a one-pager, I think that’s impressive. I agree, I agree. Again, I think it all comes down to who it is, right? If, uh, and we’ve had some Passive candidates put things like that on their own, or they just have one. It’s kind of like their playbook of, hey, if I come into any organization, here’s my playbook for how to drive or build a giving strategy in a certain segment of giving. Um, I’ve seen candidates who, again, I think if you’re not working, I would encourage you to take the time to do that, do everything you can to put your best foot forward and wow, the, the company you’re looking at. When people aren’t working, it is different because we’ve had candidates get an offer and they turned it down because they just felt like what they had now is better. So it is kind of that that balancing act of the company also needing to kind of show the candidate why they should make that move, because there’s risk for them too, uh, if they leave a company they’re relatively happy at, they want to know that this is going to be better. If we’re hiring at a lower level, let’s say it’s maybe it’s entry level or maybe it’s not quite mid-level, like mid between entry and mid, and, you know, uh, it’s, it’s likely. Gonna be filled by someone who’s Gen Z, you know, like, or, or just, you know, barely over. Um, you mentioned, you know, moving around a lot. That’s still, that’s still a red flag. Like, if you spend 12 to 18 months at a play, you know, and you’ve done that only like 33 times or something in a row. That’s not a red flag. That’s not a red flag. That’s not a red flag. I, I think it’s relatively normal, and this is across any industry. OK. The 1st 5 years of career, people are kind of figuring out the industry, the job, the functional area they play in. So I think that’s relatively OK. Where I get concerned is the 1 to 2 year stints over a 10 or more year career. And we see a lot of that in development, especially in the frontline facing fundraisers, where, you know, and, and that concerns me because if you go into somewhere for a year or 2, you’re not really seeing a lot of impact. Year one, right, the impact compounds. So you gotta build your collecting a paycheck and moving on before the business actually gets the ROI from the higher. So they’re jumping, they’re jumping because somebody will pay them $200,000 or $25,000 more exactly. Yeah, that’s a red, OK, that’s where it concerns me, but early career, I think is relatively normal, uh, again, across, across any industry, any function, most 5 sub 5 year experience candidates hop around a little bit because they’re figuring out what they want to do. Uh, after 5 years, I’d want to see some 3+ year stints, but to be honest, and this is across averages, most, the average tenure now is 2.5, 3 years. If you look at, you know, someone’s last 5 years, they probably worked at 2 places. It would be more surprising to see someone only worked at 1 in the last 5 years. In, in what kinds of roles you’re talking about? Across the board, anything. Yeah, yeah, this is, this is across industries and functions. 3 years, 2, 2.5 to 3 is somewhat of the average. You see some of the 1.5, maybe a 5 here or there, um, but finding the people who stay at companies 5 years on average is almost hard to come by nowadays. There’s a lot more movement and I think also, um. You know, COVID-related stuff, you know, um, companies doing downsizings or, you know, a lot of changes in the corporate environment. What I find now is not a lot of organizations offer a 10-year career. Um, I think earlier in the 2000s, you could go to a company, you had growth, you had development. A lot of that’s changed. The synergy between employee and employer is kind of disintegrated in certain ways on both sides. Yeah, now when you say company, you, when you say company, you’re including nonprofits. Yeah, even nonprofits, yeah, yeah, yeah, I think that’s very unfortunate, you know. I, I, I, I don’t expect that you’re gonna be able to keep somebody like for a career, you know, 35, 40 years with us. But You know, but the, the mentality on the employer side that You know, they’re, they’re probably only gonna be with us for a few years anyway. So, you know, let’s not invest in professional development. Let’s not invest in a career progression plan for them or, uh, what, maybe that’s overstating, but a, a progression plan for them here at the organization. Let’s, let’s not talk about that with folks, you know, because they’re not gonna be around long enough. That, I, I think that, I mean, that’s self-perpetuating. I think, I mean, self-fulfilling, you know, OK, so there’s no, you, you can’t do professional development. I don’t see any growth here. Uh, you know, so that, that’s self-fulfilling. You’re gonna drive people away. Yeah, and it’s interesting, the candidates who get an offer and turn it down are the ones that have been 7 years and they feel a sense of loyalty because the companies, the things that they’ve gained, the skills, the experience, that loyalty isn’t worth breaking. Um, but again, right, not enough organizations, nonprofits do that these days. So it’s the, the problem is on both sides, and I think the solution starts with the organizations only because you got to show people a reason why they shouldn’t leave. Yeah, and you got almost recondition your employee group to go, this is a place that’s going to give me everything I want. I don’t need to leave for 5 or 100 because I’m not going to get all those things there. Yeah, no, I agree. I, I think it starts with the employer. I don’t think the employees should be asking for these things. I think the employer should be offering. Professional development, uh, uh, progression opportunities, mentoring, you know, a buddy system, something like that, you know, for onboarding, um, OK, so I just created my own nice segue. I want, uh, I’d like to hear your advice on onboarding a new employee. What, what, what do you like to see there? Yeah, I think with mid-level it’s different than, yeah, mid-level, um. I think give people the trust and autonomy up front, where I see hiring go wrong is when leaders are reluctant to give away the responsibilities all at once. So like I’ll give you an example, like if you hire down, like we talked about finding someone who can create outcomes, but maybe don’t meet your criteria, sometimes clients will put a but, but then I don’t want them to lead the team right away. I want to give them, you know, time to ramp before this. And then the people start to feel underutilized uh in those roles. So I think if you, if you make a hire, hire the right person and trust that you did and give them trust day one, and allow them to prove and, and keep that trust, where I see some of the onboarding fail is where they have to earn trust, and that becomes very real for the candidate, and then they start to feel undervalued or underutilized, and they start to wonder what is a year here going to look like, um. Because they’re not feeling that sense of autonomy and empowerment, um, so I think it’s very big on, again, giving people trust on day one. Trust that you, you, you made the right hire and let them prove to you. That you made the right choice and and give them that leeway out of the gate versus kind of setting, I guess, emotional levers of when you feel they’re ready for certain things. Trust that you hired the person who’s ready for the job today. Hire the right person, yeah, yeah, yeah. But what else about onboarding? Other advice? Yeah, I think, um, like check-ins. I think sometimes people forget that again, like you’re the kid is interviewing you as much as them and and they’re interviewing you the 1st 90 days. They’re evaluating, is this a place I’m going to spend the rest of the year? Is this a place I can spend 3 years. So I think almost. Making established check-ins and being really open to feedback, um, and not having too much of an ego from an employer standpoint around things. Again, if I think if you hire the right person, they’re gonna find things, they’re gonna find gaps and challenges. So be open minded to those things, knowing that someone’s gonna want to make the environment and the organization better. I’ve seen people say they want to hire someone who can bring ideas and help, but when it actually happens, yeah, right, now we’ve never, yeah, we’ve never done it that way. Yeah, you hired me to do things differently. Yeah, those are where I see hires not work, right? Yeah, they just don’t have, that’s maybe more of an empowerment thing or, or, or empowerment of ideas and, and impact. Um, so that would be the advice there too is, you know, be open to ideas, be open to change. Again, if you hire the right person, their goals are the same as yours. So be open-minded on maybe a different or better way of getting to that outcome. What’s your advice for nonprofits, uh, how to work best with a, Recruiter, headhunter. Yeah, yeah, I think it depends because I do think there is a lot of noise in our industry. I would say really dig into the firm that you use on how they recruit, their methodology, because there, there’s not a lot of headhunting agencies out there anymore. There’s a lot of the high volume models. So I would dig into what’s your fill rate? How many candidates should I expect to see? If you’re hearing more than 5, they’re likely just going to be throwing things at the wall and move on. when success isn’t there. Um, you know, how long does it take typically for you to fill a role like this? What’s your average timeline? What do you do if you have challenges, 3 or 4 weeks in? Do you move away? Or do you come back to us and give us feedback and data to help us? Um, so I think finding a true organization that’s gonna go after who you want, not just who’s looking is going to be key. And also trust the partner, just like the hire, right? Trust that if you pick the right partner. They’re gonna come back with probably challenges and obstacles and budgetary constraints and be open-minded on their counsel on how to solve those challenges and bottlenecks. What are, what are, what are some of those challenges, bottlenecks that you see that, that result in I guess when you’re saying there’s, there’s we’re getting bad outcomes like we don’t have enough applicants, we’re not getting the right kinds of applicants. What are, what are some of the causes of that? To be honest, 80% of our searches are misaligned comp. What they want and what they’re paying don’t match. 80% of our nonprofit searches across every function, finance, operations and programs, especially development. They want all the bells and whistles, but they’re paying for a role one or two levels below where those people play. You know, they’ll hire a VP but they’re paying for like a manager, senior manager type of candidate. Um, that’s The biggest constraint. More often than not, the searches we work on have those constraints with nonprofits. So I think being realistic, I also think Hiring is always looked at as a cost because you’re working with a fixed budget. Where I look at certain and I look at hiring as an investment and I try to coach my clients on that. If it’s a finance role, it’s tougher to make the case. If it’s a program role that can develop revenue through contracts. That could be, there could be an ROI of paying $200,000 more. If it’s development and someone can bring in half a million dollars of new funding versus someone who could do a million dollars in a year, that delta is probably worth paying another $2,500,000 to get an All-Star. So I, I try to recondition my clients to look at certain roles that have an actual ROI and the ROI of even spending 10,000 or $200,000 more to get a greater ROI from that higher. What about looking at the salary benchmark studies, uh, you know, Candid has one. I think they’re, they’re typically what they’re typically wrong. Like where we see challenges is where clients do work with a compensation company. If I hear they’re working with a compensation company, it almost turns me off from wanting to search because then they use that data as the law. Like we know this is the market. Those are almost never accurate, because what you think about is maybe someone makes, let’s say 1:30 today, and maybe the benchmark is 130 at the ceiling, but they’re not going to leave for less than 140. You know, at the end of the day, you got to pay people what it takes for them to actually make a move, um, you know, and, and oftentimes people are already currently making more than what our clients paying, but they do, they want someone from a big, let’s say they’re a grassroots nonprofit. We want someone who can create structure and development. We want someone from a more established that someone that did this already. Well, guess what? They’re at a They went from a 10 person company to 100. Now they’re making way more than what you’re offering based on your compensation study benchmark for a company your size. So your comp range is accurate, but not based on the market you want us to look at. So that’s where we see people get caught up is. Sometimes it can be accurate, but it all comes down to who you want and where they’re at, what kind of organization they’re at, and bigger companies are gonna likely pay more than the smaller nonprofits. You make a really, well, you make several valuable points. The, the one that struck me especially is, You know, you gotta pay people to move. You don’t, pay them what they’re getting now. Why would they go to an unknown when they’ve got, they’ve got the known that they’re comfortable in. So you’ve gotta pay a premium to get the good talent to make a move. Yeah, absolutely, and I, I personally think it’s worth it, because I find when people are out of work, and I hate to generalize, but I find especially In development or any kind of sales or revenue driving role, companies are fighting to hang on to those people, even in tough times because that’s their way out of the hole. Um, you can get some really good people who are out of work or have been out of work and maybe they’re doing some consulting and taking their time to find the right thing, um, but you never know if they’re taking the first thing they get, or if they really are attracted to you. And I’ve seen some of these roles where it’s like, hey, we hired this person, you know, people aren’t sticking, but they’re hiring people who have been out of work for a year. They take the first thing they get, and then they use the time to find what they really want. Or again, if I, I, I think people make moves for two reasons. You’re running away from something, sometimes running away from unemployment, uh, or a really bad environment. Or you’re running towards something. The people who run towards something, that’s how you get a 3 to 5 year career stint out of someone is they chose you over what they had, um, because of what you can offer as a company, as a culture. Interesting. Um, so I look at those things as, yeah, you might spend a little more, but if that person sticks around and you’re not replacing this person and paying us another fee in 2 years, and you get more performance out of that person. Spend the money on the right people, they’ll, they’ll pay you back tenfold. It sounds like you, you, you maybe have a bias against folks who have been out of work for, for a, for a while. You’re more, it sounds, it’s, uh, it sounds like you’re more scrupulous of those folks. If they’ve been out of work 6 months or a year. Yeah, I don’t have a bias or or scrutinizing, scrupulous, yeah, scrupulous, yeah, I don’t know. OK, I’m sorry. I just wanna make sure I I use the right word. OK, yeah, I, I’m not biased, but you got to dig into the story. Like for sure, you know, I’ve had people where, hey, this job, you know, the company was horrible, right? I, I look at the common denominators of the right story. If it’s someone, hey, we had really hard times, they fought to keep me on. I was the last person. I, I definitely send that person. Again, you just don’t know though if they’re gonna take the right job or the first job, and that’s the only thing I want to really dig into through the interview process is how aligned is this versus you need a job and you’re going to take it if you get it. Uh, and is this a place you could see yourself spending a long career at? Because you just don’t know, um, but what I find is you get told what you want to hear when they need the job. When they don’t, you get a little bit more authenticity, so. I’m not biased by any means. There’s really good people who have been out of work. And, and again, the story’s got to make sense, depending on who they are. Um, but I find, you know, again, it’s, you got to dig in more to make sure you’re getting authenticity versus being told, you know, what you want to hear, essentially. Let’s flip a little bit for the benefit of, uh, no longer now nonprofit leaders who might be hiring, but individuals who may get contacted may want a relationship with a recruiter. So on the individual, on the candidate side, what’s your advice for dealing with you and the folk, the folks of your ilk in your, in your work? it’s always good to have a conversation like you said. You never know when you’re gonna need a job. You know, you could be stable, thinking everything’s good, 6 months go by, you could be out of work, the nonprofit could have had a really hard time. So I think it’s always good to proactively build a relationship. People think about, well, I don’t need a recruiter now, but it’s easier for us to help you if we already know you, and we know who you are, what you bring to the table, what you’re looking for. And again, I kind of look at us like agents in the sports world, right? You tell us what you want in a year. We can call you back in a year with the perfect thing. You still might not be looking, but it’s the right time and the right opportunity. So I think proactively building relationships can be helpful. Um, and I also think like when it comes to a job search, let’s say you are in a place where you’re not working, um, I find people are out of work a lot longer because the way people look for jobs five years ago, no longer creates the same output. There’s a lot of AI. There’s a lot of fluff and noise in applying and interviewing and being seen. I actually encourage candidates to apply for jobs like people did before LinkedIn. Make a list of the top 50 nonprofits you’d love to work for. And reach out, LinkedIn, email, phone call, go into an office, you know, do things like that that separate you and allow you to be seen as a person, not just the resume. Uh, we’ve had a lot of success coaching people on kind of old school tactics of how to find work and getting away from the, you know, applying to 100 jobs or 50 jobs a day, but taking more of a targeted approach to being seen by the right companies. Interesting. I, I love your, uh, I love the old school approach. I mean, I’m 64 years old. That’s probably, that’s probably how I got my last job 2028 years ago or something. Um, yeah, no, actually it was. I was talking to the, uh, Yeah, I was talking to the director of development before he was ready to hire for director of planned giving, but he knew he had a hire coming up, and I was a director at a, at a, a director of planned giving at a smaller college, and this was a bigger, this was a bigger university. So yeah, so actually we had, uh, Probably two breakfasts, you know, before hours, like 88 o’clock, 8:00 a.m. breakfast meetings. I, I asked you about after hours, I guess you could do before hours. Yeah. So he was pretty savvy. Uh, and then he did, he did recruit me when he was ready to hire. But he talked to me before, like a year before he, he had the job opening. Yeah, yeah, and I find people unfortunately these days, again, not to generalize, but I see a pattern. People don’t want to invest the time like that. Well, I don’t need a job. Why would I have breakfast with them, you know, I have my own stuff to do. People don’t see the value in building their network and relationships. Yeah, it’s your career though, man. It’s your career. Like, like you just, you know, you spend 8 hours a night in bed, you should have a good quality bed. You, you’re spending 8 to 10 hours a year, a day at work. You know, you wanna, you wanna have a quality of life, a quality of career. You gotta invest in it. Uh, I, OK, you know, again, at 64 years old, I love the old school approach. Yeah, me too. A lot of stuff we do is, is leveraging kind of that old school relationship driven. Can you, I’m, I’m putting you on the spot. Can you share a story of somebody who did that, who invested time in whatever way, and they ended up taking a job that was very good for their career? Yeah, I mean, it was someone I basically, I, I, I have this saying, it doesn’t matter what your job. The title is Everyone’s in sales and uh he wasn’t a salesperson, but I told him exactly what to do, you know, build a list of the 50 companies. I gave him free tools that you can use to find email addresses for people, uh, showed him how to find hiring managers on LinkedIn that he could associate the job posting to and then gave him some templates and sequences that he could use, you know, send a connection, no message, just connect, send an email, attach your resume with kind of a. A scripted email template I gave him and within a month he had like 2 offers, uh, and one of them wasn’t even a company that had a posting. And that’s the other thing we get calls from roles that aren’t online because they’re replacing someone so people don’t think about the hidden job market. I would say half of our current roles nobody could apply for or would know about. Um, their searches happening in the background. So doing that one, keep someone in mind for you, like what happened with you maybe a couple months down the line. And also, you might fall into an opportunity you didn’t even know existed, but focus on finding the right company that aligns with what you want to do, the mission that aligns with the mission you’re inspired by, and where you can make an impact. So, yeah, I had someone that I kind of coached through that process, did some cold outreach, got a a a really early win, started interviewing, um, so yeah, it it definitely does work, and, uh, even one of the offers was from a really, really big nonprofit. And you’ll, you’ll think this is funny. The last interview was with HR. Instead of the reverse process where you apply in the first interviews with HR, the hiring manager is like, Let’s grab lunch. Like, I wanna, like, you know, picked up the phone. They had a phone call. Let’s grab lunch. The last interview was actually the HR interview, and at that point he already had the job. Um, but yeah, the hiring I passed the process, and you kind of create your own way of getting in, which, in my opinion, can be better sometimes. Oh, absolutely. Yeah, if the hiring manager knows they want you, HR is gonna come along. I mean, they’re not gonna object unless they, you know, unless they, they, you know, they don’t, assuming they don’t find some red flag, you know, whatever. But assuming nothing like that. The person who’s gonna be, who’s gonna be working with the, the, the new hire tells HR this, this is the person I want. It becomes pro forma with the, with, with human resources. Yeah, exactly, yeah, and I find people the wrong buyers, right? They, they market themselves to the HR person who doesn’t really have the authority. They’re working off a criteria list where the hiring manager. Might be willing to be flexible for the right person if you can prove to them that you’re that person. So, I normally encourage people who are looking, shoot high. If you’re in development, reach out to the CDO or even executive director, depending on the size, like go as high as you can and let them introduce you down. It creates more leverage in that process of being seen and trying to work your way slowly up that ladder. Love this. What about that, uh, you mentioned ways of finding. Managers’s emails that you can associate with. Is that a, is that a proprietary secret? No, no, proprietary trade secret. All right, can you share it with nonprofit radio listeners? It’s a, it’s a website called hunter. H U N T E R. O. Uh, you make an account, you get free 50 credits a month. It’s like 100 bucks for like 500 emails. So like it’s not even expensive if someone needed more, but you get 50 free emails a month, uh, and literally you put in the website domain of the company, and it tells you the nomenclature, you know, first dot last name at or first initial. So you don’t need if you have 3 people at a company, just use one credit and you have everyone’s email and you can kind of use the names on LinkedIn to figure it out, yeah. Outstanding. Thank you for that, Mitch. What, what’s the, what’s the site again? Hunter.io. Hunter.io. All right. Yeah, thanks for sharing that. Yeah, of course. This is great. Uh, you got a lot of good advice, savvy, savvy, uh, savvy advice, you know, from the nonprofit side, a little on the individual side. Um, And uh you’re, you’re, uh, you’re bringing senior-level search strategies to, to mid-level positions. All right. He’s Mitch McDermott, founder and CEO of Talent Ascension Group. They’re at talent ascension.com. Connect with Mitch on LinkedIn. Appreciate you very much. I loved it. Thank you very much, Mitch. Yeah, thanks for having me, Tony. This is a great conversation. I’m glad. Next week, mission driven mergers. If you missed any part of this week’s show, I beseech you, find it at Tony Martignetti.com. Our creative producer is Claire Meyerhoff. I’m your associate producer Kate Martignetti. The show’s social media is by Susan Chavez. Mark Silverman is our web guy, and this music is by Scott Stein. Thank you for that affirmation, Scotty. Be with us next week for nonprofit Radio. Big nonprofit ideas for the other 95%. Go out and be great.
Dr. Laura Janusik: Honoring Others Through Effective Listening
We take a break from our Nonprofit Technology Conference coverage, to learn the difference between hearing and listening; how effective listening makes people feel; the 4 habits of listening; the goal of listening; the importance of the pause; and, much more. You need to listen to Dr. Laura Janusik, from ListeningToChange.com.
We’re the #1 Podcast for Nonprofits, With 13,000+ Weekly Listeners
Board relations. Fundraising. Volunteer management. Prospect research. Legal compliance. Accounting. Finance. Investments. Donor relations. Public relations. Marketing. Technology. Social media.
Every nonprofit struggles with these issues. Big nonprofits hire experts. The other 95% listen to Tony Martignetti Nonprofit Radio. Trusted experts and leading thinkers join me each week to tackle the tough issues. If you have big dreams but a small budget, you have a home at Tony Martignetti Nonprofit Radio. View Full Transcript
Hello and welcome to Tony Martignetti Nonprofit Radio. Big nonprofit ideas for the other 95%. I’m your aptly named host, and I’m the pod father of your favorite hebdominal podcast. Oh, I’m glad you’re with us. I’d be stricken with prosopagnosia if you blinded me with the idea that you missed this week’s show. Here’s our associate producer, Kate, with what’s up this week. Hey, Tony, this week it’s. Mid-level recruiting strategy and tactics. Mitch McDermott stresses the value of a strong middle management team and brings contrarian hiring and interviewing tactics, so you can recruit the best team possible. He shares advice for nonprofits and individuals on working with recruiters and as a pro tip on how to find emails of hiring managers. He also takes on what’s current in remote versus in office working. In person versus virtual interviewing. Assigning tasks to interviewees, the questionable value of salary surveys, and more. Mitch is CEO of Talent Ascension Group. On Tony’s take 2. YMCA National Conference. Here is mid-level recruiting strategy and tactics. It’s a pleasure to welcome an entrepreneur, talent advisor, and the founder and CEO of Talent Ascension Group. Mitch McDermott is advancing how companies evaluate, hire, and build mid-level leadership teams. He has built a modern approach to mid-level recruitment by applying executive search standards to manager, director, and vice president hiring. The layer of leadership that most directly shapes organizational performance. The company is at talent ascension.com. And Mitch McDermott is on LinkedIn. Welcome to nonprofit Radio, Mitch. Yeah, thanks for having me, Tony. I’m glad you’re with us to talk about, uh, the power of a strong middle management team. Why, why do you say that, uh, this is the layer of leadership that mostly directly, most directly shapes organizational performance? You, you, you love the mid-level. What is it about these people? Yeah, one of the reasons is I saw a gap in our industry between how sea-level search was conducted and everything below it, and I realized the same hiring. Process used for entry level hiring was what was relegated for mid-level leadership. So I saw an opportunity to blend two aspects of our industry into kind of a new model, specifically for that level of the org chart. Um, but I, I, I believe that because when I think about nonprofits, at the large organizations, the sea levels really driving higher level strategy. The mid-level team is responsible for translating that strategy into results. And you think about telephone, if that’s not accurately translated, results don’t follow. Uh, and at the smaller orgs that we work with, directors could be leading functions, you know, where they are playing that blend of strategy and execution. They’re sitting with the board, they’re sitting with the ED or CEO and they’re Carving out strategic initiatives, but they’re also on the front lines driving the implementation of those initiatives. What, what’s, what’s the gap that you observed, and, and our listeners are small and mid-sized nonprofit professionals. What was the gap between entry level and executive? Maybe it’s maybe some, some parts may be obvious, but flesh it out in detail for us. Yeah, our industry is broken into two segments. There’s retained executive search. Companies are being paid on a retainer basis. It’s very high-end, almost like management consulting and how they approach recruitment. And that’s typically for C-level hires. And then there’s contingent recruitment, which falls for almost everything below the sea level. You’re only being paid if you win. So the approach a lot of businesses take is volume. They work with a lot of clients, but they fill 15 to 20% of what they touch. Um, they send a lot of candidates. It’s more of the spray and pray model because you’re not being paid with your time. So you use that time to create a lot of activity. And if you do that, enough will close that you’re in that 20% range and your company’s happy with you. Is that really, is that really, is it really that low that like only about 20% of the assignments on contingency are filled? Yep, that’s, that’s from the firm side. That’s the industry average for contingent recruiting. Refill rate has been around 60%. So we recruit the same way executive search firms recruit. We’ve integrated it with more of a contingent model pricing, um, specifically for mid-level leadership. So we play and function more like a C-level search firm, but we price more like a contingent firm. So we’ve taken the, the best aspects about both sides of the industry. And melded it together. OK, so, and so what are the best aspects of, uh, of executive recruitment that, that you want to see us apply to mid-level? Yeah, headhunting. That’s the big, there’s a difference between recruiting and headhunting. That’s an OK word to use. I was gonna ask you later on, is it OK to call you a headhunter, or is that, yeah, I, I, I actually take pride to it because I do believe it’s different, right? OK, it’s not a pejorative. All right, yeah, for me, headhunting is. Going after who you want, not who’s looking. Uh, recruiting is just finding people whose resumes align with the job description, who are probably having resumes posted or applying to jobs. It’s headhunting to me is more of a sales job. It’s convincing someone why to look at a change when they’re not looking. Recruiting is more of just aggregating a group of people who are looking and then putting it forward to a client. Um, so that’s the biggest value add, I think C-level search firms provide. They’re being paid for their time, so they can take the time to actually target a market, do heavy research, and then build relationships. A lot of the contingent, again, it’s the volume, it’s going through Indeed, LinkedIn. To me, it’s doing what companies could already do for themselves if they want to save a few bucks. It’s almost replicating an internal recruiting strategy for companies that don’t have internal recruiters, but Paying the same fees as they’re using an external firm, but in my opinion, providing less of that value. And the other thing is the consulting piece. Retained firms are, again, function more like management consultancies. They’re being paid for their time, so they take the time to actually talk to their client about misalignments, right? You’re paying this, you want this, we need to connect dots because the market doesn’t bear what you’re looking for in your price point. A lot of the contingent approach is like you give it 2 or 3 weeks. If you see success, you stay with it. If you don’t, you move on. And I think that’s where recruiters get the stigma of like the used car salespeople of the business world, and I get it, right? They’re not being paid for their time, so that belief is I need to work with a lot more clients and put my time where I have the best chance of You know, completing a search, but it does create a very transactional relationship between the firms and the companies right out of the gate, where retained search and what we do is much more of a partnership-based approach and how we interact with our customers. Yeah, let’s talk about the relationship part of, of, uh, headhunting. Um, so, you know, it, it, it, uh, I’ve, I’ve, I’ve always, um, I’ve always taken recruiters’ calls, even when I wasn’t looking. I mean, I, I haven’t, I haven’t been an employee for, I don’t know, 27 years or something like that. It’s been a long time, uh, and I’m not looking. But, but when I was, when I was, and I occasionally, I don’t know, maybe once or twice a year or something, I might hear from a recruiter, you know, I always take their, well, I always respond to their emails. Nobody calls anymore. I, but I used to take calls 25 years ago when recruiters would call. I used to take the call because I thought, you know, I, I might, I might like to use the person’s services or I might be in the market myself, my, myself sometime. But, so I just thought relationships would be valuable to have with, uh, uh, a couple of recruiters. But to talk about relationship building from the recruiter, the headhunting side, how does that, how do you keep up those relationships? Who do you, who do you have relationships with? Yeah, so we, we keep the relationships with the candidate. You know, what’s interesting though, when we get a search, we’re typically, it’s a bespoke search. So we go to who we know, but we also go to who we don’t know that best aligns with our clients need. Um, so it’s a very organic and holistic search process for every individual search. Um, a lot of it is just getting to know what they want. Uh, this is something I saw in our industry. A lot of recruiters do what I call sell jobs. So like, they would call you, hey, I’m working with this company, this role, this pay, and then you have the opportunity to say yes or no. Um. We actually put the candidate at the center of our recruitment strategy. So we pick up the phone, we do pick up the phone. That’s, I think one of our competitive advantages these days. And we ask them, hey, you’re probably not looking, but what, what would be exciting to you at this point in your career, whether it’s now, 1 year from down the line, 2 years, like, what would be a dream job that you would want us to pick up the phone and call you about? And we let them. Organically tell us what their goals are, what their vision for their career is, and then during that time, we’re also qualifying. So we start to ask them more about the role that they’ve done, uh, their experience, the impact that they’ve made at organizations, and if what they want long term aligns with what our client can offer and what they’ve done in their career aligns with what our client’s looking for, then we talk about the job. Uh, so it’s a very reverse process of how we engage with candidates. And if it’s not aligned, then we build that relationship, we’ve built that trust, we built the relationship, and we know exactly what they’re interested in to call them about in the future, versus just calling them every time we have a search with a certain title that sounds like their title. It’s much more personalized, I think, is how we build those kind of relationships with candidates. And if it is aligned, that’s where the magic is because What I find is people are open to exploring something if it’s the right thing, but there’s so much volume in today’s world, calls from recruiters, emails, and such low relevancy that when you actually have something that’s relevant, they are more willing to look than maybe they even thought when they first picked up the phone. OK. And that’s a part of what your work is, uh, you know, to help them see an opportunity that, that they don’t know about, and, but it, it seems to align with what you know about them. Um, You have some, uh. You have some ideas about contrarian interviewing tactics. What are, what are those? Why, why, why, why are you, first of all, why are you a contrarian? Yeah, I just personally think, why are you a troublemaker in your, in your industry? I think I, I, I like to say when we work with a client, half the time we’re rewiring how they think about hiring, and I’ll share a good example, and I think this applies specifically to nonprofits because Unfortunately, it’s just the nature of the beast. Oftentimes we get asked. That they can’t afford, they, they, the candidate they want and what they’re budgeting for don’t align. Um, and I find companies hire for criteria, not outcomes. My contrary belief is hire for outcomes. We had a nonprofit who was paying $30,000 below market for what they thought they needed. They, they put a list of all these check boxes and requirements that they felt would be required. They have to be this title and this experience. And we were on the search for a while. We showed them a lot of data. They weren’t going to raise the budget, which we understood, but at a certain point to be successful, we had to make changes, and we end up placing someone who is very, very successful, but wasn’t maybe who they thought they were looking for in the beginning, but could generate the outcomes that they were looking for, which didn’t check, didn’t check a lot of the requirements. Exactly, yeah, I think companies can get caught up, caught up on requirements and running a search based on a job description. In trying to match a job description with a, with a resume. Yeah, so, but how do we, how do we measure the person’s capacity for creating the outcomes that we need? Yeah, so like 11 way is to look at who they are. Like I have a belief people drive outcomes, not resumes. Um, and the ones with the best resumes are typically the ones who are looking all the time. This was a development role. So like, I was very, uh, critical to them that the person you want is not looking, because if they’re good right now, they’re being hung on to, and they were looking to diversify fundraising from institutional to individual giving due to some of the political changes in New York’s nonprofit landscape. And we found someone who didn’t check all the boxes, was lower in experience than what they thought, wasn’t the title that they thought, but she was at a very small nonprofit, and she stood up their individual giving program, uh, and, and was a player coach and leading it with a very small team, but also building it herself, um, and she’s done it. She’s, yeah, she did it, she did it at a smaller place. Let’s give her a shot to do it at a larger place. Exactly. And those are the kind of creative hires that I talk about. where they’re like, they need to be a VP, they need to have this title, and they need to be 15+ years. She was 8, she was half the experience they thought they needed. She’s been there 2 years and that client’s a raving fan of ours. So like those are the things that I look for is can the person achieve what you’re looking for them to achieve, less of the, the, the keywords and the requirements, but really focusing on what, what does success look like and can this person deliver that type of success. OK, that’s a, that’s a general hiring. Uh, approach that you have. What are there specific interview tactics, uh, like in, in the interview that can elicit this information, or you mentioned interviewing tactics. That’s what I’m focusing on. Yeah, to me, a lot of the interview tactics are about getting to know the person, not the resume. I’m very big on asking for someone’s vision for their career. I find people who have clear personal and professional goals tend to work towards them. People who don’t tend to look for a job, and to me a job is something that pays the bills. A career is something more than that. It’s something where they’re driven by impact. They’re fueled by contributions, by growth. So a lot of it is around like one of the big interview questions we ask every candidate is, what’s your vision? Where do you want to be in 5 years? Uh, and making sure that if we’re looking for a builder, they have something personally they’re building towards right now. Yeah. Others, how about other, other strategies or tactics? Yeah, a big one is again, getting to know the person. So vision is a good way to do it. I think, um, just understanding like what environments they thrive in. What I find is a lot of companies tell the candidate the environment. You know, hey, we’re lean, we need people who can do this, X, Y, Z. I try to ask questions without giving any of the answers. So I say, hey, where do you thrive? Do you thrive in an environment with a lot of structure, uh, a lot of support from a people’s standpoint, or do you thrive more in an entrepreneurial environment where there’s growth, there’s constant changes in direction, and I let them give me their organic answer. Um, that’s a big thing that we see clients do is, is they, they, they want to be honest, and they’re afraid that someone’s not going to work in that environment. So they give the answer to the question and then ask, which I find. People are gonna tell you what they’re gonna want, what you’re gonna wanna hear. Yes, uh, yeah, especially in this context, um, but so, but how do you assess what the culture is at the organization? So, you know, you’re asking a qualifying question for the candidate to give what, what the kind of environment they want to work in. But, but you need to know what the culture is like at the client that you’re recruiting for, because if the two are a mismatch, if the, if the candidate wants an entrepreneurial, wants an entrepreneurial setting, and it’s a micromanaging setting, that’s not, that, that’s not gonna, that’s not gonna work. But, but how do you assess the organizational culture? Nobody’s gonna tell you we’re a micromanaging institution here. Yeah, and you’ll be surprised how honest. Leaders are about the environment that they have. Uh, we normally, we, we interview the client, right? Throughout our sales process and intake process of a new search, we spent a lot of time getting to know them, where they’re headed, their biggest bottlenecks and obstacles, areas for improvement in their culture, where they think they win, where they think there’s, there’s room for improvement. Uh, and, and it’s about a lot of people reading. It’s, it’s one of those things where I think what we do as a science is some, it’s part asking the right questions. It’s part an art form of being able to actually pick up on the nonverbal cues and putting a story together. OK, well, we picked up on this, we picked up on that. I get the sense that here’s what’s going on. Um, so it’s a lot of just being honest and asking direct questions that can be a little bit uncomfortable sometimes from a cultural standpoint or challenge standpoint. You know, sometimes clients will say, hey, we’ve had 3 people in this role. Well, that concerns me, you know, eventually the company becomes a common denominator. So we dig in, we pulled the string on that, we want to understand. Tell us why every person didn’t work. Was it the wrong hire? Is it the wrong environment? Are you pushing good people away? And we’ll be honest with clients and tell them, I think for the 4th person to work, something’s gonna have to change with this department, you know, and this was another search we worked on where This is an actual story, and we ended up talking to the board. They, they, they met, they ended up changing the role a little bit and actually hiring for two roles underneath that person to make sure that when we get the right person, they actually have the support they need to be successful, because that department was understaffed and They hadn’t looked at that as a problem, but we ask those tougher questions and dig deep to make sure that, again, if we’re taking someone from a place they’re happy at, we want to make sure it’s a company they could stay at for a long time. We don’t want to put someone in an environment ethically where, you know, it, it’s a short term thing because they don’t have the right support. Uh, I, I work with a, I do, uh, planned giving fundraising. That’s, that’s my, that’s this podcast is a, A aside. Uh, a joy. It’s more than a side hustle or a gig. It’s a joy. But the way I make a living is plan giving fundraising. I, I’m, I, I’m working with a client that’s hiring. Uh, for a fundraising position. And the, one of the candidates didn’t, didn’t want to come to the office for the first interview. You know, he wanted, he wanted the first interview to be on Zoom or whatever, you know, virtual. We thought, I mean, that’s like, that’s a, to, to, to us, that was a disqualifier. Like you’re not even gonna come for a first interview. I mean, I don’t know, maybe, maybe a 3rd or 4th interview. Although if you, if you really want to work here, um, you know, all right, so, uh, it’s not, I mean, it’s, it’s in a suburb of New York City, so it’s not. It’s not, maybe, you know, maybe you had to take a train to get there or something, but I don’t know. What, what, what’s your, what’s your opinion of that? Is, was the, was the, was the candidate unreasonable or, or was the, was the nonprofit unreasonable to disqualify them based on that? It depends on the scenario. Is that candidate currently working? I don’t know. It wasn’t, it wasn’t a position that I work with, yeah, so I don’t know. I’ll answer in two ways. If they’re not working, I think it’s a concern. If they’re out of work, you want to see that, hey, they’re willing to do whatever it takes. And again, developments like sales, you want to see that initiative, that drive of, hey, I don’t mind how far it is. Like I’m gonna show up. If they are working, I would actually advise the client on, hey, this is a two-way interview. They have a job, so like, You’re gonna have to sell them as much as they’re gonna have to sell themselves. It’s gotta be a two-way street, and if they’re taking time away from work for a job they haven’t even learned about directly from the company. You know, it’s a softer commitment for them to do a video first and then come in the 2nd round. Let them be sold on the role of the company, why this would be a great career move for them. And give them the reason to really take that time off of work, because it is, you know, very confidential. People don’t want to know, don’t don’t want word to get out that they’re looking. So if they’re, they’re not an active candidate, I normally try to encourage a virtual first because it’s less pressure for that candidate to get away from their current role and company to spend that kind of time, and it gives the client a chance for the candidate to really get invested in why they should spend that time in the 2nd round. OK. Interesting perspective. Yeah, yeah. I, yeah, like I said, I don’t know the answer. OK, but, uh, but it does matter. What about, uh, What about, uh, you know, I, I’m so removed from what you do because I, like I said, I haven’t been an employee for over 20 years. Um, uh, uh, after-hours interviews, does that ever, does that ever happen? Like, OK, you know, we don’t mind, we don’t mind seeing you at 6 o’clock if you can get here. If you, if you can do that, is that, is that reasonable or is that unreasonable? It, it is reasonable, and normally the candidates are the ones that drive that personally. Like I find the candidates are like, hey, I have the boarded next week. Like I don’t want anyone to get wind of this. Can we do something at 6 o’clock? I can leave at 4:30, but I, I don’t want to take a 3 hour window to get on a train and, you know, be able to get back to the office, especially. Now in persons are harder because most environments are hybrid or fully in the office. It was different when things were more remote. It was easier. Now, you know, people are being seen by their companies a little bit more where they don’t want to raise a red flag. But yeah, they’re, they’re fairly common. Normally I find the candidates are the ones driving those instead of the client though. Interesting. OK. What about that? You just raised, you know, hybrid versus, I guess, in office full-time, uh, versus, versus full-time, uh, remote. What, what are, what are, Does it, what are candidates looking for, but that’s so generalized. Is it based on age? Is, is it based on, I mean, if, if we’re talking about mid-level performers, mid-level, uh, employees, what are, I don’t know, can you generalize or? What are, what are, what are folks looking for? It’s so case by case. I used to say generationally, the early career people who hadn’t been in an office before and COVID, they’re reluctant to come in. And then also the, the later career folks who feel like they’ve earned their stripes don’t want to as much. I haven’t worked on a fully remote role with a nonprofit organization in probably 3 years, so it’s always typically what we see is somewhere between. 3 to 5, maybe 2, but 3 is kind of the norm I would say in office 3 days in office, yeah, and it also depends on the role. Could we do more than just development, right? Some program related roles are tough to do unless you’re there touching things be right, um. And some clients are just, hey, we’re a 5 day a week culture, like, and either people fit that culture or they don’t. Um, so it’s very case by case. I wouldn’t say there’s as many patterns now generationally. I think it’s kind of a personal thing. If they have it, they don’t want to give it up. If they’ve been going in 33 days a week, 5 is not horrible, but they probably don’t want to come in more than 3. You know, it’s very person to person based on what they have now and what they may or may not have to give up. OK, and it’s been a few years and you haven’t done a fully remote search yet in those, in those couple of years, in the, in the last 2 to 3 years, not one fully remote search. Interesting. OK. OK. All right. You got, you bring an interesting perspective, well, valuable, valuable perspective, Mitch. It’s time for Tony’s take 2. Thank you, Kate. Uh, this week, as you are listening, uh, I am at the. YMCA National Development Conference, uh, it’s called NATO for North American YMCA Development Officers, NATO. Uh, so if you are there, please come see, uh, us. Uh, I say us because I’m presenting along with Brian Saber. You might know Brian. He’s the founder of Asking Matters. Uh, they have the, uh, the different, and Brian’s been on the show several times. They have the different asking styles, whether you’re, uh, an intuitive or a go-getter, or a, or a, uh, rainmaker, and I forget the fourth one. But You know, the asking, the asking styles, they’re very popular. So he and I together are presenting on Friday at the NATO conference. Gifts and wills, the ABCs of how to ask, and we’re gonna talk through. The, the format and the flow of your solicitation meetings around gifts and wills. Uh, lead up to it, how to get the meeting, how to conduct the meeting and, and lead it. And then how to follow up. So all about the, uh, the solicitation process specific to the most popular planned gift of all, the gifts and wills. So if you’re in Long Beach, this is all in Long Beach, California. This week. So if you’re in Long Beach at the NATO conference, I hope you’ll check us uh at the, uh, at that presentation, which is, uh, it’s on Friday, Friday morning. And that is Tony’s take 2. Well, actually, let me add, uh, I’m grateful to be at the NATO conference. This is the 3rd year in a row that I’ve spoken. Uh, and this year doing it with, uh, with Brian. So, very grateful to have the YMCA North American uh organization always always bringing me back year after year. I appreciate that. And that is Tony’s. Well, actually there’s one, no, that’s it. That is Tony’s take 2. Kate. I must just like hit my mic, um, to say break a leg at your presentation. That’s so exciting. Thank you. Thank you very much. We’ve got Bu butt loads more time. Here’s the rest of mid-level recruiting strategy and tactics with Mitch McDermott. What about the idea of having the person do some work? Like write a, write a, write a letter to a donor. Write, write, uh, you know, so, hopefully it’s not like so burdensome, like it takes 3 hours, but, you know, write a donor communication or something like that. Is that, is that kind of, is that kind of childish or is that, is that? Reasonable. You put it either way, I’m, I’m not invested in this. I, I don’t, I don’t do this. I don’t do these things. I have a one-person company. I don’t hire people, so I’m not, I’m not picking your brain from my, I’m not trying to get free advice. It’s just things I’ve seen through the years. I’m, I’m, I’m questioning. 9 out of 10 development searches have some type of written project. Do they? Interesting. Yes, to me, I think it can be helpful. I also think sometimes it’s not. It really depends on the level of the candidate. Like to me, if someone’s been doing something successfully, we can run reference checks to make sure that their performance on their resume and what they tell us is accurate, um. You know, they’ve been a VP for 7 years and they have a 20-year career in development. They’re, they’re probably credible, right? If they haven’t jumped around a lot and they’ve stayed at organizations through growth, you can kind of make the case that this might be a little elementary for this candidate, and sometimes we’ve had that happen where we really have to coach the candidate. The client is adamant about, you know, at the end of the day, we can provide consultation, but the client’s gonna do what they want, and we have to be OK with that. So like coaching the candidate like, hey, it’ll only take an hour, I know it’s elementary. But if you want this, show them, show them why, you know, give them a taste of what you can get. We’ve had some candidates feel like it’s like giving free work. Sometimes it’s more comprehensive than just like, hey, write up a program for individual giving or kind of a campaign that you would do high level, one or two pages. Sometimes it’s in-depth strategic planning where they would probably pay a consultant to do that kind of work. That’s where it gets a little dicey because candidates feel like, hey, I’m doing free work at this strategic plan, like write a strategic plan for us. Like an annual plan for year one, how you would approach this job, and I think again it comes from having limited resources, so they want certainty. When anyone hires, they want certainty. They want to know that the person they hire is going to do what they want them to do and achieve what they want, and they want certainty that person’s going to be around for 10 years. Neither of those you’re ever really gonna get, um, and I think those longer projects are for them to feel really certain that if they hire that person, they’re going to get the outcome they want. OK. Very interesting. Um, yeah, my advice for, for companies doing that is keep it easy, no more than an hour of work and no more than one page worth of work sample. Like keep it easy, get a sense of their strategic thinking, get a sense of their work product, but don’t put a big obstacle in front of you where you might lose the person you want by asking for too much. And again, it’s different if someone’s not working. It is different because the companies have more leverage. And the person doesn’t have as much going on in their work life to be able to put that time in. But when someone’s working and they have families and the weekend’s time for that, and you put an eight-hour assignment in front of them, it, it can be a bottleneck for them. Yeah, yeah. Well, I, I was just thinking, I mean, 8-hour assignment, yeah. Well, no, but you know, like if you’re, if you’re a, if you’re gonna be, you know, chief development officer. Uh, you know, put together a plan for the office. You know, we’ve got 12 people who’ll be working with you. Put together your first-year plan. That sounds burdensome. Yeah, Uh, versus, versus, you know, put together a, maybe a plan for a campaign. Or something like, you know, something discreet. Maybe an email campaign or a peer to peer campaign, you know, around our, you know, whatever. All right, all right. Um, I’ve seen candidates be very proactive with, uh, bringing, like bringing an outline or something, you know, that, that isn’t solicited. Um, I think that that’s impressive. Like if you’ve, if you’ve spent time going through, you know, here are the, here are the major points that I would focus on and how I would focus on each one. Like, you know, maybe enhancing, deepening your relationships, acquiring new donors. I mean, those are very different, you know, but whatever the, whatever the job requires, uh, you know, like put together a one-pager, I think that’s impressive. I agree, I agree. Again, I think it all comes down to who it is, right? If, uh, and we’ve had some Passive candidates put things like that on their own, or they just have one. It’s kind of like their playbook of, hey, if I come into any organization, here’s my playbook for how to drive or build a giving strategy in a certain segment of giving. Um, I’ve seen candidates who, again, I think if you’re not working, I would encourage you to take the time to do that, do everything you can to put your best foot forward and wow, the, the company you’re looking at. When people aren’t working, it is different because we’ve had candidates get an offer and they turned it down because they just felt like what they had now is better. So it is kind of that that balancing act of the company also needing to kind of show the candidate why they should make that move, because there’s risk for them too, uh, if they leave a company they’re relatively happy at, they want to know that this is going to be better. If we’re hiring at a lower level, let’s say it’s maybe it’s entry level or maybe it’s not quite mid-level, like mid between entry and mid, and, you know, uh, it’s, it’s likely. Gonna be filled by someone who’s Gen Z, you know, like, or, or just, you know, barely over. Um, you mentioned, you know, moving around a lot. That’s still, that’s still a red flag. Like, if you spend 12 to 18 months at a play, you know, and you’ve done that only like 33 times or something in a row. That’s not a red flag. That’s not a red flag. That’s not a red flag. I, I think it’s relatively normal, and this is across any industry. OK. The 1st 5 years of career, people are kind of figuring out the industry, the job, the functional area they play in. So I think that’s relatively OK. Where I get concerned is the 1 to 2 year stints over a 10 or more year career. And we see a lot of that in development, especially in the frontline facing fundraisers, where, you know, and, and that concerns me because if you go into somewhere for a year or 2, you’re not really seeing a lot of impact. Year one, right, the impact compounds. So you gotta build your collecting a paycheck and moving on before the business actually gets the ROI from the higher. So they’re jumping, they’re jumping because somebody will pay them $200,000 or $25,000 more exactly. Yeah, that’s a red, OK, that’s where it concerns me, but early career, I think is relatively normal, uh, again, across, across any industry, any function, most 5 sub 5 year experience candidates hop around a little bit because they’re figuring out what they want to do. Uh, after 5 years, I’d want to see some 3+ year stints, but to be honest, and this is across averages, most, the average tenure now is 2.5, 3 years. If you look at, you know, someone’s last 5 years, they probably worked at 2 places. It would be more surprising to see someone only worked at 1 in the last 5 years. In, in what kinds of roles you’re talking about? Across the board, anything. Yeah, yeah, this is, this is across industries and functions. 3 years, 2, 2.5 to 3 is somewhat of the average. You see some of the 1.5, maybe a 5 here or there, um, but finding the people who stay at companies 5 years on average is almost hard to come by nowadays. There’s a lot more movement and I think also, um. You know, COVID-related stuff, you know, um, companies doing downsizings or, you know, a lot of changes in the corporate environment. What I find now is not a lot of organizations offer a 10-year career. Um, I think earlier in the 2000s, you could go to a company, you had growth, you had development. A lot of that’s changed. The synergy between employee and employer is kind of disintegrated in certain ways on both sides. Yeah, now when you say company, you, when you say company, you’re including nonprofits. Yeah, even nonprofits, yeah, yeah, yeah, I think that’s very unfortunate, you know. I, I, I, I don’t expect that you’re gonna be able to keep somebody like for a career, you know, 35, 40 years with us. But You know, but the, the mentality on the employer side that You know, they’re, they’re probably only gonna be with us for a few years anyway. So, you know, let’s not invest in professional development. Let’s not invest in a career progression plan for them or, uh, what, maybe that’s overstating, but a, a progression plan for them here at the organization. Let’s, let’s not talk about that with folks, you know, because they’re not gonna be around long enough. That, I, I think that, I mean, that’s self-perpetuating. I think, I mean, self-fulfilling, you know, OK, so there’s no, you, you can’t do professional development. I don’t see any growth here. Uh, you know, so that, that’s self-fulfilling. You’re gonna drive people away. Yeah, and it’s interesting, the candidates who get an offer and turn it down are the ones that have been 7 years and they feel a sense of loyalty because the companies, the things that they’ve gained, the skills, the experience, that loyalty isn’t worth breaking. Um, but again, right, not enough organizations, nonprofits do that these days. So it’s the, the problem is on both sides, and I think the solution starts with the organizations only because you got to show people a reason why they shouldn’t leave. Yeah, and you got almost recondition your employee group to go, this is a place that’s going to give me everything I want. I don’t need to leave for 5 or 100 because I’m not going to get all those things there. Yeah, no, I agree. I, I think it starts with the employer. I don’t think the employees should be asking for these things. I think the employer should be offering. Professional development, uh, uh, progression opportunities, mentoring, you know, a buddy system, something like that, you know, for onboarding, um, OK, so I just created my own nice segue. I want, uh, I’d like to hear your advice on onboarding a new employee. What, what, what do you like to see there? Yeah, I think with mid-level it’s different than, yeah, mid-level, um. I think give people the trust and autonomy up front, where I see hiring go wrong is when leaders are reluctant to give away the responsibilities all at once. So like I’ll give you an example, like if you hire down, like we talked about finding someone who can create outcomes, but maybe don’t meet your criteria, sometimes clients will put a but, but then I don’t want them to lead the team right away. I want to give them, you know, time to ramp before this. And then the people start to feel underutilized uh in those roles. So I think if you, if you make a hire, hire the right person and trust that you did and give them trust day one, and allow them to prove and, and keep that trust, where I see some of the onboarding fail is where they have to earn trust, and that becomes very real for the candidate, and then they start to feel undervalued or underutilized, and they start to wonder what is a year here going to look like, um. Because they’re not feeling that sense of autonomy and empowerment, um, so I think it’s very big on, again, giving people trust on day one. Trust that you, you, you made the right hire and let them prove to you. That you made the right choice and and give them that leeway out of the gate versus kind of setting, I guess, emotional levers of when you feel they’re ready for certain things. Trust that you hired the person who’s ready for the job today. Hire the right person, yeah, yeah, yeah. But what else about onboarding? Other advice? Yeah, I think, um, like check-ins. I think sometimes people forget that again, like you’re the kid is interviewing you as much as them and and they’re interviewing you the 1st 90 days. They’re evaluating, is this a place I’m going to spend the rest of the year? Is this a place I can spend 3 years. So I think almost. Making established check-ins and being really open to feedback, um, and not having too much of an ego from an employer standpoint around things. Again, if I think if you hire the right person, they’re gonna find things, they’re gonna find gaps and challenges. So be open minded to those things, knowing that someone’s gonna want to make the environment and the organization better. I’ve seen people say they want to hire someone who can bring ideas and help, but when it actually happens, yeah, right, now we’ve never, yeah, we’ve never done it that way. Yeah, you hired me to do things differently. Yeah, those are where I see hires not work, right? Yeah, they just don’t have, that’s maybe more of an empowerment thing or, or, or empowerment of ideas and, and impact. Um, so that would be the advice there too is, you know, be open to ideas, be open to change. Again, if you hire the right person, their goals are the same as yours. So be open-minded on maybe a different or better way of getting to that outcome. What’s your advice for nonprofits, uh, how to work best with a, Recruiter, headhunter. Yeah, yeah, I think it depends because I do think there is a lot of noise in our industry. I would say really dig into the firm that you use on how they recruit, their methodology, because there, there’s not a lot of headhunting agencies out there anymore. There’s a lot of the high volume models. So I would dig into what’s your fill rate? How many candidates should I expect to see? If you’re hearing more than 5, they’re likely just going to be throwing things at the wall and move on. when success isn’t there. Um, you know, how long does it take typically for you to fill a role like this? What’s your average timeline? What do you do if you have challenges, 3 or 4 weeks in? Do you move away? Or do you come back to us and give us feedback and data to help us? Um, so I think finding a true organization that’s gonna go after who you want, not just who’s looking is going to be key. And also trust the partner, just like the hire, right? Trust that if you pick the right partner. They’re gonna come back with probably challenges and obstacles and budgetary constraints and be open-minded on their counsel on how to solve those challenges and bottlenecks. What are, what are, what are some of those challenges, bottlenecks that you see that, that result in I guess when you’re saying there’s, there’s we’re getting bad outcomes like we don’t have enough applicants, we’re not getting the right kinds of applicants. What are, what are some of the causes of that? To be honest, 80% of our searches are misaligned comp. What they want and what they’re paying don’t match. 80% of our nonprofit searches across every function, finance, operations and programs, especially development. They want all the bells and whistles, but they’re paying for a role one or two levels below where those people play. You know, they’ll hire a VP but they’re paying for like a manager, senior manager type of candidate. Um, that’s The biggest constraint. More often than not, the searches we work on have those constraints with nonprofits. So I think being realistic, I also think Hiring is always looked at as a cost because you’re working with a fixed budget. Where I look at certain and I look at hiring as an investment and I try to coach my clients on that. If it’s a finance role, it’s tougher to make the case. If it’s a program role that can develop revenue through contracts. That could be, there could be an ROI of paying $200,000 more. If it’s development and someone can bring in half a million dollars of new funding versus someone who could do a million dollars in a year, that delta is probably worth paying another $2,500,000 to get an All-Star. So I, I try to recondition my clients to look at certain roles that have an actual ROI and the ROI of even spending 10,000 or $200,000 more to get a greater ROI from that higher. What about looking at the salary benchmark studies, uh, you know, Candid has one. I think they’re, they’re typically what they’re typically wrong. Like where we see challenges is where clients do work with a compensation company. If I hear they’re working with a compensation company, it almost turns me off from wanting to search because then they use that data as the law. Like we know this is the market. Those are almost never accurate, because what you think about is maybe someone makes, let’s say 1:30 today, and maybe the benchmark is 130 at the ceiling, but they’re not going to leave for less than 140. You know, at the end of the day, you got to pay people what it takes for them to actually make a move, um, you know, and, and oftentimes people are already currently making more than what our clients paying, but they do, they want someone from a big, let’s say they’re a grassroots nonprofit. We want someone who can create structure and development. We want someone from a more established that someone that did this already. Well, guess what? They’re at a They went from a 10 person company to 100. Now they’re making way more than what you’re offering based on your compensation study benchmark for a company your size. So your comp range is accurate, but not based on the market you want us to look at. So that’s where we see people get caught up is. Sometimes it can be accurate, but it all comes down to who you want and where they’re at, what kind of organization they’re at, and bigger companies are gonna likely pay more than the smaller nonprofits. You make a really, well, you make several valuable points. The, the one that struck me especially is, You know, you gotta pay people to move. You don’t, pay them what they’re getting now. Why would they go to an unknown when they’ve got, they’ve got the known that they’re comfortable in. So you’ve gotta pay a premium to get the good talent to make a move. Yeah, absolutely, and I, I personally think it’s worth it, because I find when people are out of work, and I hate to generalize, but I find especially In development or any kind of sales or revenue driving role, companies are fighting to hang on to those people, even in tough times because that’s their way out of the hole. Um, you can get some really good people who are out of work or have been out of work and maybe they’re doing some consulting and taking their time to find the right thing, um, but you never know if they’re taking the first thing they get, or if they really are attracted to you. And I’ve seen some of these roles where it’s like, hey, we hired this person, you know, people aren’t sticking, but they’re hiring people who have been out of work for a year. They take the first thing they get, and then they use the time to find what they really want. Or again, if I, I, I think people make moves for two reasons. You’re running away from something, sometimes running away from unemployment, uh, or a really bad environment. Or you’re running towards something. The people who run towards something, that’s how you get a 3 to 5 year career stint out of someone is they chose you over what they had, um, because of what you can offer as a company, as a culture. Interesting. Um, so I look at those things as, yeah, you might spend a little more, but if that person sticks around and you’re not replacing this person and paying us another fee in 2 years, and you get more performance out of that person. Spend the money on the right people, they’ll, they’ll pay you back tenfold. It sounds like you, you, you maybe have a bias against folks who have been out of work for, for a, for a while. You’re more, it sounds, it’s, uh, it sounds like you’re more scrupulous of those folks. If they’ve been out of work 6 months or a year. Yeah, I don’t have a bias or or scrutinizing, scrupulous, yeah, scrupulous, yeah, I don’t know. OK, I’m sorry. I just wanna make sure I I use the right word. OK, yeah, I, I’m not biased, but you got to dig into the story. Like for sure, you know, I’ve had people where, hey, this job, you know, the company was horrible, right? I, I look at the common denominators of the right story. If it’s someone, hey, we had really hard times, they fought to keep me on. I was the last person. I, I definitely send that person. Again, you just don’t know though if they’re gonna take the right job or the first job, and that’s the only thing I want to really dig into through the interview process is how aligned is this versus you need a job and you’re going to take it if you get it. Uh, and is this a place you could see yourself spending a long career at? Because you just don’t know, um, but what I find is you get told what you want to hear when they need the job. When they don’t, you get a little bit more authenticity, so. I’m not biased by any means. There’s really good people who have been out of work. And, and again, the story’s got to make sense, depending on who they are. Um, but I find, you know, again, it’s, you got to dig in more to make sure you’re getting authenticity versus being told, you know, what you want to hear, essentially. Let’s flip a little bit for the benefit of, uh, no longer now nonprofit leaders who might be hiring, but individuals who may get contacted may want a relationship with a recruiter. So on the individual, on the candidate side, what’s your advice for dealing with you and the folk, the folks of your ilk in your, in your work? it’s always good to have a conversation like you said. You never know when you’re gonna need a job. You know, you could be stable, thinking everything’s good, 6 months go by, you could be out of work, the nonprofit could have had a really hard time. So I think it’s always good to proactively build a relationship. People think about, well, I don’t need a recruiter now, but it’s easier for us to help you if we already know you, and we know who you are, what you bring to the table, what you’re looking for. And again, I kind of look at us like agents in the sports world, right? You tell us what you want in a year. We can call you back in a year with the perfect thing. You still might not be looking, but it’s the right time and the right opportunity. So I think proactively building relationships can be helpful. Um, and I also think like when it comes to a job search, let’s say you are in a place where you’re not working, um, I find people are out of work a lot longer because the way people look for jobs five years ago, no longer creates the same output. There’s a lot of AI. There’s a lot of fluff and noise in applying and interviewing and being seen. I actually encourage candidates to apply for jobs like people did before LinkedIn. Make a list of the top 50 nonprofits you’d love to work for. And reach out, LinkedIn, email, phone call, go into an office, you know, do things like that that separate you and allow you to be seen as a person, not just the resume. Uh, we’ve had a lot of success coaching people on kind of old school tactics of how to find work and getting away from the, you know, applying to 100 jobs or 50 jobs a day, but taking more of a targeted approach to being seen by the right companies. Interesting. I, I love your, uh, I love the old school approach. I mean, I’m 64 years old. That’s probably, that’s probably how I got my last job 2028 years ago or something. Um, yeah, no, actually it was. I was talking to the, uh, Yeah, I was talking to the director of development before he was ready to hire for director of planned giving, but he knew he had a hire coming up, and I was a director at a, at a, a director of planned giving at a smaller college, and this was a bigger, this was a bigger university. So yeah, so actually we had, uh, Probably two breakfasts, you know, before hours, like 88 o’clock, 8:00 a.m. breakfast meetings. I, I asked you about after hours, I guess you could do before hours. Yeah. So he was pretty savvy. Uh, and then he did, he did recruit me when he was ready to hire. But he talked to me before, like a year before he, he had the job opening. Yeah, yeah, and I find people unfortunately these days, again, not to generalize, but I see a pattern. People don’t want to invest the time like that. Well, I don’t need a job. Why would I have breakfast with them, you know, I have my own stuff to do. People don’t see the value in building their network and relationships. Yeah, it’s your career though, man. It’s your career. Like, like you just, you know, you spend 8 hours a night in bed, you should have a good quality bed. You, you’re spending 8 to 10 hours a year, a day at work. You know, you wanna, you wanna have a quality of life, a quality of career. You gotta invest in it. Uh, I, OK, you know, again, at 64 years old, I love the old school approach. Yeah, me too. A lot of stuff we do is, is leveraging kind of that old school relationship driven. Can you, I’m, I’m putting you on the spot. Can you share a story of somebody who did that, who invested time in whatever way, and they ended up taking a job that was very good for their career? Yeah, I mean, it was someone I basically, I, I, I have this saying, it doesn’t matter what your job. The title is Everyone’s in sales and uh he wasn’t a salesperson, but I told him exactly what to do, you know, build a list of the 50 companies. I gave him free tools that you can use to find email addresses for people, uh, showed him how to find hiring managers on LinkedIn that he could associate the job posting to and then gave him some templates and sequences that he could use, you know, send a connection, no message, just connect, send an email, attach your resume with kind of a. A scripted email template I gave him and within a month he had like 2 offers, uh, and one of them wasn’t even a company that had a posting. And that’s the other thing we get calls from roles that aren’t online because they’re replacing someone so people don’t think about the hidden job market. I would say half of our current roles nobody could apply for or would know about. Um, their searches happening in the background. So doing that one, keep someone in mind for you, like what happened with you maybe a couple months down the line. And also, you might fall into an opportunity you didn’t even know existed, but focus on finding the right company that aligns with what you want to do, the mission that aligns with the mission you’re inspired by, and where you can make an impact. So, yeah, I had someone that I kind of coached through that process, did some cold outreach, got a a a really early win, started interviewing, um, so yeah, it it definitely does work, and, uh, even one of the offers was from a really, really big nonprofit. And you’ll, you’ll think this is funny. The last interview was with HR. Instead of the reverse process where you apply in the first interviews with HR, the hiring manager is like, Let’s grab lunch. Like, I wanna, like, you know, picked up the phone. They had a phone call. Let’s grab lunch. The last interview was actually the HR interview, and at that point he already had the job. Um, but yeah, the hiring I passed the process, and you kind of create your own way of getting in, which, in my opinion, can be better sometimes. Oh, absolutely. Yeah, if the hiring manager knows they want you, HR is gonna come along. I mean, they’re not gonna object unless they, you know, unless they, they, you know, they don’t, assuming they don’t find some red flag, you know, whatever. But assuming nothing like that. The person who’s gonna be, who’s gonna be working with the, the, the new hire tells HR this, this is the person I want. It becomes pro forma with the, with, with human resources. Yeah, exactly, yeah, and I find people the wrong buyers, right? They, they market themselves to the HR person who doesn’t really have the authority. They’re working off a criteria list where the hiring manager. Might be willing to be flexible for the right person if you can prove to them that you’re that person. So, I normally encourage people who are looking, shoot high. If you’re in development, reach out to the CDO or even executive director, depending on the size, like go as high as you can and let them introduce you down. It creates more leverage in that process of being seen and trying to work your way slowly up that ladder. Love this. What about that, uh, you mentioned ways of finding. Managers’s emails that you can associate with. Is that a, is that a proprietary secret? No, no, proprietary trade secret. All right, can you share it with nonprofit radio listeners? It’s a, it’s a website called hunter. H U N T E R. O. Uh, you make an account, you get free 50 credits a month. It’s like 100 bucks for like 500 emails. So like it’s not even expensive if someone needed more, but you get 50 free emails a month, uh, and literally you put in the website domain of the company, and it tells you the nomenclature, you know, first dot last name at or first initial. So you don’t need if you have 3 people at a company, just use one credit and you have everyone’s email and you can kind of use the names on LinkedIn to figure it out, yeah. Outstanding. Thank you for that, Mitch. What, what’s the, what’s the site again? Hunter.io. Hunter.io. All right. Yeah, thanks for sharing that. Yeah, of course. This is great. Uh, you got a lot of good advice, savvy, savvy, uh, savvy advice, you know, from the nonprofit side, a little on the individual side. Um, And uh you’re, you’re, uh, you’re bringing senior-level search strategies to, to mid-level positions. All right. He’s Mitch McDermott, founder and CEO of Talent Ascension Group. They’re at talent ascension.com. Connect with Mitch on LinkedIn. Appreciate you very much. I loved it. Thank you very much, Mitch. Yeah, thanks for having me, Tony. This is a great conversation. I’m glad. Next week, mission driven mergers. If you missed any part of this week’s show, I beseech you, find it at Tony Martignetti.com. Our creative producer is Claire Meyerhoff. I’m your associate producer Kate Martignetti. The show’s social media is by Susan Chavez. Mark Silverman is our web guy, and this music is by Scott Stein. Thank you for that affirmation, Scotty. Be with us next week for nonprofit Radio. Big nonprofit ideas for the other 95%. Go out and be great.
Amanda Bache: Disaster Recovery & Incident Response For Accidental Techies
Our conversations from the 2026 Nonprofit Technology Conference continue with your DR & IR plan. Cyberattacks, hardware failure or human error can cause big problems, but get minimized when you have the right plan in place. Amanda Bache helps you keep calm when everything crashes, by working ahead of time to identify your critical systems; create actionable response steps; test your plan; and maintain resilience. She’s with Paths For Families.
We’re the #1 Podcast for Nonprofits, With 13,000+ Weekly Listeners
Board relations. Fundraising. Volunteer management. Prospect research. Legal compliance. Accounting. Finance. Investments. Donor relations. Public relations. Marketing. Technology. Social media.
Every nonprofit struggles with these issues. Big nonprofits hire experts. The other 95% listen to Tony Martignetti Nonprofit Radio. Trusted experts and leading thinkers join me each week to tackle the tough issues. If you have big dreams but a small budget, you have a home at Tony Martignetti Nonprofit Radio. View Full Transcript
And welcome to Tony Martignetti Nonprofit Radio. Big nonprofit ideas for the other 95%. I’m your aptly named host and the pod father of your favorite Hebdomadal podcast. I’m traveling for several weeks, so my audio is not gonna sound as good as it usually does on the road with my laptop. But the, uh, the quality is still there. It’s just that, the, the, the substance, of course, still high quality. It’s just the sound quality, not so good. Oh, I’m glad you’re with us. I’d suffer the effects of urethral incontinence if I had to leak the idea that you missed this week’s show. Here’s our associate producer, Kate, with what’s up this week. Hey Tony, here’s what’s up. Disaster recovery and incident response for accidental techies. Our conversations from the 2026 nonprofit Technology conference continue with your DR and IR plan. Cyberattacks, hardware failure, or human error can cause big problems, but get minimized when you have the right plan in place. Amanda Bach helps you keep calm when everything crashes by working ahead of time to identify your critical systems, create actionable response steps, test your plan, and maintain resilience. She’s with Paths for Families. On Tony’s take too. Under pressure. Here is disaster recovery and incident response for accidental techies. Welcome to Tony Martignetti nonprofit radio coverage of the 2026 nonprofit Technology conference. We’re wrapping up our day two coverage with Amanda Beach. Amanda is IT support and operations specialist at Paths for Families. Amanda, welcome to nonprofit Radio. Thank you for having me. I’m glad you’re with us. Your topic is disaster recovery and incident response essentials for accidental techies. Oh, that’s great. So you obviously do not need to be a tech person to understand what to do in case of disaster or bad incidents. Could you just give us an overview before we get into it deeper? Um, of incident response and disaster recovery, you wanna be prepared for anything from, um, floods, fires, anything that can happen to your agency or your house, um, and also incident response like cybersecurity and ransomware, um, so you wanna be prepared for either of those incidents and have a policy so you’re not making the decisions on the fly and in the panic. OK, you want, you want us to keep calm during these. All right, thank you. Thanks for that. Look, it’s like 30,000 ft overview. So let’s, uh, let’s dive in a little bit. Um, yeah, so it’s not all bad actors, like you said, floods, fires, right? Uh, technology fails. You may have heard rumors about that from time to time. Hardware fails. OK, OK. Uh, but it could also be bad actors. Yes, that will the cybersecurity, that’s we’re gonna tie that into bad actors with cybersecurity and then the incident response. OK, OK, um, would you like to talk about the, the cybersecurity first? Is that, is that the best way? Or we can tell the disaster recovery and then um there’s other plan called business continuity. Um, business continuity is kind of where you want to keep all of your business essentials in one place and basically I call it a table of contents of any incident policies you may have and you wanna just think about like your what what you’re gonna do in a disaster, what you’re gonna do in an incident response, and then what you need to do to get back online. OK, OK, so let’s start with disasters. I don’t know, we wake up, uh, and there’s a flood, right? I mean it happens, uh, there’s a fire. Um, all right, so what do we need to be thinking about in our. Disaster recovery plan so that we’re not Panicked and we are well we’re still gonna be a little panicked with a fire or a flood, but we’re not as panicked as we would be if we had no plan. You want the first thing you wanna think about is how you’re gonna communicate with other staff and how you’re gonna make sure everybody’s safe. That’s the biggest thing is we wanna make sure they’re safe. Um, if obviously we’re gonna call people or email them, but it might be the Internet’s might be down like wireless communications could be down, um, in which case you can create like a meeting spot. And we, so we have two offices in Maryland and we created a park or uh designated a park in between the two offices and within a certain time frame after that incident we all go and meet at the park in person in order to make sure we’re actually all physically safe and to see if anybody needs any support. Um, another piece of advice I give everybody is buddy system. So if you have somebody that lives near you, go check on them. Like, does anything, you know, do they need anything? Are they physically OK? And then the last piece is we have to um have two forms of communication like um emergency contacts for somebody and this is also good for our remote workers who might work in another state and let’s say a hurricane has hit Texas before and we have a worker in Texas we couldn’t reach her because she was out of power so we were able to. That family that she had in the area and they were able to confirm that she was OK she just had lost power so it’s a way to also include remote employees who are not physically in the state that you are in OK and those forms of contact and that includes other people. I thought you were taking like sell an email, yeah, but like sell an email might be down so then you got to think of an alternative way to make sure everybody. is safe. OK, so there’s an alternative contact person for everybody on the team. OK, OK, um, and who’s managing our, our plan, our disaster recovery and incident recovery plan? The plans are made for the people. Like they help avoid confusion and panic, but the point we like the basically the agency will develop the plan. Um, the IT team, like our IT team is developing the plan, but we’re help, like especially disaster recovery, we’re including everybody else’s feedback because we wanna make sure like what do you think you might need in a disaster? Like what do you think would help you? So disaster recovery we are including like other staff people and their feedback because we wanna make sure like. What do you need and what can we do to help you because part of it, well, you just talk about safety and communications. How can we make sure you’re safe and how can we get in touch with you? Yeah, and that’s the other thing is how do we keep people safe, not only how do we communicate with people, but how do we keep people safe, um, so one of the things that we talk about is like if there’s an incident in an office location or your home. Um, evacuate if you need to and then shelter in place. People don’t think about that, so we actually lay it out in the plan and so like shelter in place, turn off any like white lights, any, uh, music producing or, you know, noise producing things, and like if you can move heavy furniture in front of a door to protect yourself, not necessarily for like an active shooter, but it could be fire, it could be anything else. Um, and then the other thing we wanna think about is also sending emergency alerts out. So if you’re, you’re in an office and let’s say there’s something going on in the office, you wanna alert somebody who might be coming in to that location. And say hey there’s a fire in the office. Don’t everybody stay away from this location because somebody just could come into that office and not know. How do you do that? Um, emergency communication sometimes via email or you could do like group text or like WhatsApp text or Teams, um, if you have that, um, information, um, sometimes like we’ve had somebody. Call somebody else and be like I can’t talk. I can’t send this out can you alert the other staff that this is going on? It was just a power outage we had a power outage in the office and obviously she couldn’t get anything out because everything died on her and so like can you let everybody know don’t come in because we have a power outage, um, and then we also say follow local law enforcement instructions so if they’re on scene they take priority and they’re gonna be the ones that help do that do you practice these? Um, we haven’t, but we are going to start. Um, I call them like fire drills. Yeah, yeah, we walk in and there’s all of a sudden there’s, you’re, you’re just, you came into a fire and you were just told to evacuate. All right, so do it and let’s carry out the plan. Yeah, that’s the same thing we used to do in elementary school, like fire drills because you thought we never know. Yeah, and then the next thing we talk about in disaster recovery is how do we return to work? How do we do the work we do if something might be going on. Um, so we always tell everybody to be flexible, like understand, and if we can get a message out to clients, just explain to them like, hey, there’s been a fire, our staff is affected. If we can’t, then we’ll just like maybe we’re re remote work. Everybody just shifts to all remote work, or they, we can work from an alternative location. So if your office has been like had a fire, you can maybe go to a local library. And work at your library in order to um get the work done and then you always wanna have have your leadership obviously they they know they know what’s going on and ensure that they have um clear communication out to the staff what to expect like everybody can remote work, OK. The uh the the office is gonna be reopening. Everybody can come back and so it’s just making sure that everybody can do that safely, OK. Do you have people for each of these communications? Like even the emergency communications, like, is there somebody designated and then there’s a secondary, or it’s we haven’t thought about that, but that’s a really great idea. But if whoever’s in the office, if there is something going on like primary person might not be there, yeah, so it’s like if there was a fire in the office and there’s a person there, then obviously they’re the point of contact to like get the information out, yeah, um, I was thinking more like routine like coordinate communicating with the staff. The, the office is going to reopen in 3 days. Yeah, that would typically. be like the senior leadership and like the CEO like I know our CEO like when we have recently had a snowstorm, an ice storm, we actually did shut down for a while and she was communicating out via emails, hey, we’re gonna be closed for 2 days hey everybody can take a 2 hour delay so she was kind of the one that was like leading the charge and letting everybody know about that. OK, yeah, um, what else besides safety communications, what else belongs in this disaster recovery plan? Um, it’s just everybody just has to remain flexible and remain calm. And the more you can do that, the better everything will be, um, and then like just every just take your time getting back to normal to be safe about it if you don’t feel comfortable coming back yet just communicate with that and I feel like at that point everything is great. Um, the only other thing I recommend is with all of your policies like this disaster recovery and incident response, make hard copies for all of your offices and all of like your IT and leadership have printed copies in their homes in case the Internet goes down and we can’t get to it. We’re, yeah, then we’re in big trouble like, oh what do we do? Well, I don’t know, it’s in SharePoint, yeah, it’s the plan in the cloud and we can’t get to the cloud, yeah. OK, excellent. I was thinking of something, but uh uh it’s escaped me. I will, I’ll think of it, um. All right, thanks. What, uh, so, so, so distinguish this again between disaster recovery now and incident response. Yes, so the way that this disaster is like you’re recovering from a disruption, a major disruption that has happened with your agency. The incident response plan is now something has happened. Now how are we gonna fix it, and that’s gonna be a lot more involved than disaster recovery, um. So the first thing you want to think about, I’m sorry, before we get to incident response, I thought of the thing I was thinking about disaster recovery, um, we’re, we’re gonna be remote maybe for a week. We had a fire, flood, whatever. What if everybody doesn’t have the tech at home that they need. To to do the work remotely and their laptop was in the flood. Yeah, I mean it’s something we’ll definitely work with staff on um thankfully our like our office we all have laptops and we all work from home, but if need be like we would make sure they have what they needed to. Get you know the work done like again if you’re if you have a buddy system or like if there’s a way we can like FedEx you something if you live like externally but you’re like something happened and you need us to send you a new laptop because you’re burned up or something we can obviously FedEx and get you what we need. It’s time for Tony’s take 2. Thank you, Kate. I’m feeling under pressure with my book. The editor is the next step, and she needs enough time with it. Before we get it to the graphic designer who also needs time with it. And this is, this, this is all just feeling, uh, a little stressful. A little, uh, you know, like deadlines are imminent. I’ve got, I’ve got to finish my part within the next like 788 days or so. And there’s still a fair amount to do, so. That’s why I say feeling under pressure like the uh. Queen and David Bowie song from 1981 Under Press. Uh, that’s all I’m saying. Uh, trust me. So just uh sharing that, you know, book. Publishing, self-publishing is uh still fun. And I’m enjoying it. Uh, it, it’s, it’s a challenge, but I’m up to it. Just uh feeling. Under pressure for the next week or so. And that’s Tony’s take too. Kate. Well, if singing doesn’t work out, at least you’ll have a book. Singing is not likely to work out, so the book better do very, very, very well. We’ve got just about a buttload more time. Here’s the rest of disaster recovery and incident response for accidental techies with Amanda Beach. Incident response, um, it’s like what are you gonna do when something happens, um, so the first thing I like to lay out in my incident response plan is identify what your three tiers are for your, your, um, software. So tier one would be the most critical software and that can’t go down like you can’t function as an agency if it goes down. And so our, our example would be email, our website, um, like our phone system, things like that because we need to be able to get in the clients and get the support out. Tier two would be something that can go down for a like small amount of time for a small disruption. But has to come up in order for us to function a little bit, um, so our example would be like Zoom and Teams because that’s how we do like our video calls and our trainings and then tier three is some like things that can go down but they don’t need to come up right away and you can find workarounds so such as like. FedEx.com stamps.com. Like if we need to send something out we can just get in our car and take it to there. So you want to start by thinking about what are the most critical things first so when you do have an incident or a disaster, you know what you need to bring online 1st, 2nd, and 3rd, yeah. So with an incident response, yeah, so you wanna think about the first thing you want to think about is who is going to be on the team you have to have an incident response team like who is going to. Be on the team to help run the plan when something goes wrong, um, so, yeah, great question. So that that you could, it can vary depending on the agency and who wants to know. See, on ours we have about 5 people, but you could have up to like 67, or 8 people. So one instance is the IT manager and IT lead. They’re gonna be the person. That kind of liaisons between all of the members of the team kind of making sure everything’s getting done we’re on track with things, things like that you can have your IT support and uh IT vendors so like we use a managed service provider and we also have an MDR vendor so we would include them because they need to know what’s going on uh. Oh, I can’t remember right now, so, so they, they monitor all of the, the back end like the, uh, vendors and stuff and all of our, um, security. Um, that’s, that’s blanking on me right now. All right, they, they manage your back end. They, they, they watch your butt, yeah, and like they’ll alert us if like somebody is logging in from like Sweden or something, so they just kind of help monitor our logins and like what’s going on, um, and then you, if you have, um, communications and PR team, so if you need to get anything out to the media, you wanna have somebody on your team if you need to do that. You wanna have legal counsel so in case there is law enforcement involved or anything we wanna have legal involved in case you need legal advice. Um, you’ll have HR in case there’s any staff or personnel issues that are going on, and then the biggest thing is cybersecurity insurance, a vendor, so just a little caveat, I highly recommend everybody has cybersecurity insurance because they will help you along the way. And like we did have an incident 3 years ago but we we we didn’t know what to do so yeah so somebody clicked an email signed in and then they got their credentials and they were able to log in as that person and I caught it. I called the person I’m like, did you send this email? and they were like, no, I’m at my son’s karate practice. I’m like, oh, so I called my managed service provider. I’m like, we have a problem. What do we do? And they were like, OK, well let’s call the cybersecurity insurance company. So and we did. They helped us hire. A forensic investigator, they helped craft the message that we sent out to the clients, help with like the client’s credit reports like credit monitoring. They crafted what we needed to put out for social media and thankfully it was just a small fee deductible that we had to pay. And that was it. But if the agency does not have cybersecurity insurance, they could go bankrupt paying for all of that. And like I said in my session, I probably wouldn’t be here if we didn’t have cybersecurity insurance. So always include them in the team too, because they like they took off running and they did it all, and which was great because we didn’t know what we were doing. Also the rescue reputation to risk your, your public communications, they helped you craft. Oh, it was perfect like. They they kind of did everything, um, but it was like we just kind of went from, but I highly recommend like you’re gonna take one thing away, have cybersecurity insurance because without them it’s gonna cost tens of thousands if not hundreds of thousands of dollars to recover from something, yeah, uh, more on the incident response, yes, yes, so the, um, you wanna establish clear communication, um, so again, essential communication is key. Um, depending on the urgency, so like when we had our incident, I picked up the phone and called, which is not our norm these days to actually physically call somebody, and but if I had sent her an email she may not have seen it until the next day and the bad actor could have been like in the system for even longer than it was so like think about that as well and then you also kind of wanna think about documentation. So that’s the next biggest thing I wanna say about any type of plan and policy if you ever have a disaster or an incident response, you want to document everything so think about how you’re gonna document and like how you’re gonna report how you’re gonna train staff to report an incident. And like set up blogs like it could be a Word document or an Excel and they could just be like like the who, the what the when the where the why just like Tina Smith reported a phishing email and she’s not sure if it’s a real thing or not so we’re just gonna document it. It’s better to have it documented than not sure. Um, which kind of leads us into the next stage of the what I call the life cycle of an incident response plan. Um, it kind of goes in a circle, but then it can kind of jump around the circle a little bit which I’ll talk about, um, so the first thing you wanna do is preparation which is creating your incident response plan, creating the team, getting those documentation ready, those logs ready like. Um, and then explained it’s trained to staff like what phishing emails look like, do the cybersecurity training with staff so they understand what they’re looking at and how to report it, and you also wanna tell them who to report it to like in our incident like you’re gonna report it. Like me and my boss, like we have a little form and then we’ll take it from there and then we’ll, we’ll contact you and then we’ll see if it’s a real incident or not. So that’s part of the preparation is like training everybody, um, and I always say at that point you’re gonna hope and pray you don’t go any further than that, um, but then the next stage is what I call detection and analysis so we’ve gotten. An alert from somebody that they think there’s an incident we’re gonna investigate everything whether it’s like oh I’ve got a phishing email I’m not sure what it is or hey there’s somebody it’s locked my computer out and I ransomware so we’re at that point we’re going to investigate it we’re gonna document the call or the end like the um report. And then we’re gonna like take a look and see like OK this is just a phishing email. Thanks for not clicking this great job to tight you know and then at that point we’ll go back, yeah, exactly, gold star and then at that point we’re gonna go back to the preparation so it’s kind of like like a. Bouncing around a circle and then if at that point if we realize it’s an actual incident like like this we had hacked and we had bad actor in her email we at that point it’s detection and it’s containment eradication and recovery so there’s 3 steps in that part of the plan containment we wanna contain that incident. So like we wanna make sure like the bad actor is getting getting out of that person’s email so we like reset the password reset multi-factor, and we were like looking at how this could happen plus you have a team or or a vendor who can help with forensics exactly and then the back out yeah see where they’ve been and then the back end. You’re like, OK, we know this happened, but how did this happen? So again we had the forensic investigator they like looked into how it happened and then so that’s containment and then eradication is how we’re gonna fix this, um, so it could be like patch on a software when you’re since your computer’s screwy like somebody got in. So, um, eradication is maybe we need to reimage the computer, maybe we need to start from scratch, maybe we just need to remove the software and then once we’ve done all of that recovery is we wanna make sure that everything is working as it should, but we also wanna make sure other staff. Are not experiencing that same incident so like it was an email that got sent out to everybody. I was like this looks weird, but we wanted to make sure that other people didn’t click that same email that caused that. So we were like, is everybody OK? Did you, you know, everybody’s doing everything and that’s, you know, you should be doing, um. And then from that it’s like it’s a full blown incident we’ve contacted everybody we’ve done the plans and now everything’s hopefully back to normal and then what you wanna do is you wanna have a post incident recovery meeting. So once after the incident has completed you’re gonna get your incident response team together and you’re gonna have like a follow up meeting about it and my biggest advice is that we’re here to learn what what happened from beginning to end but we’re not here to blame. Anybody for what they did or what they clicked or you know they didn’t do something right we’re here to learn about the process whether it worked or not so in that meeting you’ll wanna talk about like the timeline from beginning to end like all right like this person caught it we reported it then we did this then we did that um and given that also you wanna also review review all the documentation logs that we have so who did what when. There who talked to whom and like we want to make sure everything is like the I’s are dotted, the I’s are dotted and the T’s are crossed because if law enforcement has us have to get involved they’re gonna want our logs so they would want to know what happened from A to Z and all the details in between, um, and then you want to figure out what worked well, what didn’t work well, um, and then you kind of wanna like go back and review the plan and like. From what went well and didn’t, yeah, like what is this working as it should and then if it didn’t go back and tweak the plan, just start small. That’s like my old big advice is start small even if you have a one page incident response plan, start small and then go from there, as you know, you kind of not to hope that anybody has to go through with it, but just start small with one page and then kind of build on that and figure out what’s needed at that point. OK, OK, um, you had wanted to talk a little about the business. Continuity, yeah, so business continuity is I call that the umbrella of the all the um disaster recovery and incident response plans, um, in there I talk about like the tiers that I mentioned earlier about the software system 123 yeah and like and you also wanna lay out what disasters you’re actually gonna, you’re gonna like cover or what incidents you wanna cover in the disaster recovery and incident response so it’s like the umbrella term. So like are we gonna cover we’re gonna cover natural disasters, active shooters like really be linear about everything that we wanna cover and have policies for because so that way somebody knows like oh if there’s an active shooter in our office, OK, that’s in the disaster recovery plan so it’s kind of like your table of contents of like where do we find this where like if there’s an incident or there’s a disaster where do I go? So it’s like that’s your umbrella and holds all the other information on there, um. The other thing that I get questions about a lot is how do we get buy-in from leadership and board about needing these plans? um, the best way to describe that and get the buy-in from them is explaining the risks like what could happen if we don’t have this plan. And the answer is you are making decisions on the fly in a panic and crisis mode and they may not be the most ethical and like responsible thing you’re just like running around with a chicken with its head cut off because you don’t know what to do and. You also wanna explain to them what’s gonna happen without it because it’s it’s gonna be a hot mess and so that’s a big question that I get all the time is like how do I, how do I get buy in because nobody’s like we don’t need these. I’m like yeah we really do and so we didn’t have a plan when we had our incident and leadership was like oh we were OK we we survived and. You know, everything went fine. I’m like, no, it didn’t really tiny incident. Yeah, you’re talking about the one that you caught that you reported, yeah, yeah, that was pretty small in the scale of disasters and incidents, yeah, and but it was like they don’t need a plan. I’m like it was, it was a little crazy because I didn’t know who to call. I didn’t know what to do. We had to call a forensics like they, we call mat. It was a little crazy and so we were like no I was a little panicked like and if I had had a plan I would’ve been like OK open the book all this I do this OK you do that so it’s really helpful to have like how are we gonna keep our business running when there’s a problem yeah that’s a good way to stop I think. How are we gonna continue business because there are people counting on. Well, people, animals, the environment, whatever, whatever, whatever our work is, there’s, there’s someone or something counting on us. We gotta continue. Amanda Beach, IT support and operations specialist at Paths for Families. Where’s Paths for Families? Oh, we are located in Maryland, DC, and Virginia. OK, yeah, thank you very much. Thank you for having me. I really appreciate it. You’re welcome. Thank you. And thank you for being with Tony Martignetti nonprofit radio coverage of the 2026 nonprofit Technology conference in Denver. Next week, more from 26 NTC with, branding you’re giving programs, and donor retention. If you missed any part of this week’s show, I beseech you, find it at Tony Martignetti.com. Our creative producer is Claire Meyerhoff. I’m your associate producer, Kate Martinetti. The show’s social media is by Susan Chavez. Mark Silverman is our web guide, and this music is by Scott Stein. Thank you for that affirmation, Scotty. Be with us next week for nonprofit Radio. Big nonprofit ideas for the other 95%. Go out and be great