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The Challenges of Being a Board Member

Serving as a board member of any non-profit organization can be a deeply rewarding and meaningful experience. Certainly this is true for the Academy. Over the years, more than 30 individuals have served as members of the Academy’s governing board, from a range of different groups. Some individuals have spent many years on the board. The average tenure has been 4.9 years.

However, despite being very rewarding this work also can come with its own set of challenges. Board members play a crucial role in guiding an organization’s mission, ensuring its financial stability, and overseeing its operations, and these can be demanding tasks. Below are listed some of the most common challenges that non-profit board members can face. Issues specific to the Academy’s Community Board and its work are noted, and we also offer some insights into how to navigate the challenges of board membership effectively.

A Substantial Time Commitment

One of the first challenges that many non-profit board members often encounter is the significant time commitment required. Board meetings, committee work, and various responsibilities can be demanding, especially for those who have other full-time jobs or personal commitments. Balancing these obligations can be a juggling act, and finding time to fulfill board duties can be challenging.

The Academy’s Community Board meets monthly, which is a relatively frequent meeting schedule. This may place more burden on board members than is typical for other non-profits. The ability to set realistic expectations for managing your time as a potential board member is therefore key. Understanding the time commitment required before joining the board is essential.

Financial Challenges - Board Members as Donors

Non-profit board members serve as “fiduciaries” who oversee an organization’s finances and ensure that decisions are made in the organization’s best interests. As you may be aware, in many non-profit organizations board members are also often expected to contribute financially themselves (via donations, usually) to the organization they work with. This can be a source of concern for individuals with limited financial resources.

Unlike many non-profit boards, the Academy’s Community Board does not at this time place any firm expectations on board members regarding direct financial contributions by board members. Obviously, we do encourage any and all donations from board members who are financially able to contribute. But no specific financial contributions are expected of Community Board members.

We also recognize that some categories of board members (e.g., students, alumni, and clinic patients) already by definition contribute financially (or have contributed in the past) – sometimes very significantly – to the college.

However, even though the college does not place firm expectations on board members regarding ongoing current financial contributions, it is important for Community Board members to be aware of this “non-profit norm” relating to financial contributions, and the significance of setting an example for others in this respect. It is also always helpful if a non-profit organization such as the Academy can truthfully report that all its board members have donated financially to the college in some way, usually via unrestricted donations, no matter how small those donations may be!

Balancing Personal and Organizational Goals

Non-profit board members often join because they are passionate about an organization’s mission. And this is usually true of the members of the Academy’s Community Board. Balancing personal objectives with the greater good of the organization can, however, sometimes be challenging, especially when personal preferences or distinct individual goals conflict with the best interests of the organization as a whole.

Unlike many non-profits, the members of the Academy’s Community Board mostly fill seats that are designated for specific core stakeholder groups. Sometimes these groups may have “collective interests” that do not always overlap entirely. And yet, decision making by individual members cannot be influenced solely by the needs of one specific group, let alone the individual him- or herself. The interest of the organization as a whole must always take precedence. This perspective reflects the “fiduciary duty” that all board members have. See the Community Board Handbook for more details.

This can create a complex picture for decision making. All members of the Academy’s Community Board must maintain a overall focus on the organization’s overall mission, not just their own (or their own group’s) interests. Transparency in decision-making processes is also essential. Board members should also be sure to actively discuss potential conflicts of interest whenever they arise, and be prepared to recuse themselves when necessary.

As a general rule, non-profit board members are collectively responsible for the organization’s activities, in a broad legal sense. Ensuring compliance with all regulations, including financial reporting, tax filings, and adherence to the organization’s mission, and so on, is therefore essential. But this can be quite a complicated matter.

As an accredited non-profit educational institution in the US, the Academy regularly engages with a wide array of diverse regulatory agencies – including, for example, the State of Florida Commission on Independent Education; the Accreditation Commission for Acupuncture and Herbal Medicine; the US Department of Education; and the Internal Revenue Service.

Each agency has various regulatory requirements that the college must meet, and sometimes these regulations are idiosyncratic. The board as a whole is ultimately responsible for ensuring that the organization is in compliance with these various regulations.

Seeking out professional legal and financial advice and assistance, when necessary – either from within the board or externally – can often help ensure compliance. And it is helpful to know that the college retains an excellent General Counsel (attorney) who provides legal advice and support to the board whenever necessary. A strong understanding of the organization’s bylaws and policies on the part of board members, and a commitment to staying abreast of best practices and changing regulations, are extremely helpful.

Liability Concerns and Challenges

It is important to note that, even though the board as a group shoulders many sometimes weighty responsibilities on behalf of the organization, individual Community Board members do not take on any personal legal or financial liability for any decisions made by the board as a whole, when the group has acted appropriately and in good faith. The organization specifically protects all board members with various insurance mechanisms (e.g., Directors’ and Officers’ Insurance) and indemnification policies specified in the bylaws, which ensure against any personal liability.

Potential Leadership and Decision-Making Challenges

Non-profit board members often have to make difficult decisions, including decisions relating to personnel matters or strategic direction. Disagreements and conflicts can arise when board members have varying opinions about the organization’s future. Open and constructive communication among board members is vital. Creating a culture of respectful dialogue and collegial and ideally consensus-based decision-making processes can help navigate challenging situations.

Fiduciary Decision-Making Within a Stakeholder-Based Governance Structure

As noted above, relative to most other non-profits the Academy’s situation is unusual in that the various core stakeholder groups participate more-or-less equally in the overall governance structure of decision making. Sometimes between-group disagreements may arise in this kind of situation, and these can be challenging for the group as a whole. When this happens, it is important that all board members remember to take a true fiduciary approach. This means that the best interest of the organization as a whole must be the guiding principle in decision making, not the interests of particular individuals or sub-groups of individuals within the community of stakeholders.


ifpm_challenges.txt · Last modified: 2024/03/09 23:04 by admin

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