Nonprofit Governance Models

There comes a point in every nonprofit where the founders realize they require guidance, direction, and pairs of hands. This is the time to form the board of directors. But not all boards function the same. There are many governance models available to ensure that your charity is managed correctly and fulfills its goals.

The advisory model is among the most well-known models for governance of nonprofits. This permits the executive director to meet regularly with an advisory board for pointers on how to run the nonprofit. The governing board can be the same or different than the advisory board depending on the terms that are agreed on. The cooperative governance model is another common model. This is a highly democratic system which distributes power evenly among all board members. It is best suited for those organizations that are not legally required to have a chief executive officer.

The Policy Board Model is also very well-known. Created by John Carver, this governance model is an excellent tool for establishing policies that management and board must follow.

Although all of them are excellent models, they might not be the ideal suitable for your nonprofit. Fortunately, it’s common for nonprofits to utilize one central governance model, and incorporate other models to meet the unique requirements of their organizations. This creates a powerful combination of systems to help your organization thrive and achieve its goals.

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