Interim Executive Directors Are Necessary, So Why Do So Few Know The Real Deal About Them?
Sign that reads "Time for Change"

Interim Executive Directors Are Necessary, So Why Do So Few Know The Real Deal About Them?

Most nonprofits are stretched for resources - funding, staffing, board engagement, etc. while fulfilling critical social impact work all the same. Even the most steady and strong of organizations can feel the little wave (or tsunami) of instability that comes with an executive transition. No matter if your executive director walks out the door gracefully with plenty of time to overlap with the next leader or if your executive director is removed with a ton of fireworks and no replacement in sight, an interim executive director is a key, though temporary, role for any nonprofit. 

Executive change is a matter of when, not if. The average nonprofit ED tenure is around five years. So if executive transition is so common, why do they generally cause such havoc? One is the nature of the ED role - it's difficult, multifaceted, and serves as an organizational lynchpin. Time and effort are factors too. The typical time to find and hire a new ED is 7 to 10 months. That span is a long time for board to funnel their collective energy into a search and for the staff to keep soldiering on without strategic leadership. Lastly, most people do not inherently know how transitions could and should work. Enter the Interim ED.

What is an Interim ED? For these purposes, an Interim is a professional from outside the organization who specializes in nonprofit management and transitional leadership. They are often consultants and/or former ED's. Interims bring experience from previous nonprofits, years of management, and working closely with nonprofit constituents of all kinds. Many bring a generalist skill set, while others have deeper knowledge in a particular area, say finance, programs, or fundraising. These professionals also have no intention of serving as the permanent ED, allowing them to serve the organization as independently as possible.

You might ask: What about an interim ED who is already inside the organization and is appointed to serve and may even be considered for the new ED role? Perhaps, but this seemingly easy solution may cause more harm than good due to lack of clarity, as we will discuss, lack of knowledge around transition and lack of executive leadership experience. Often the internal friction and uncertainty for staff makes an internal interim a poor choice.

Why is professional interim leadership so important? A professional Interim provides clarity. Clarity for staff, board, and stakeholders allows the proverbial ship to keep sailing in the proper direction in the most efficient, effective way possible. Let's look at each group.

1. Clarity for Staff. Someone has to make the big, difficult decisions but also sometimes the small ones that can bog a team down. An Interim ED can do this, giving the staff confidence in the bigger picture, while letting them focus on their roles. Nonprofit work is hard enough, much less when you have to also try to do your boss' part. Interims teach and train staff on what to expect from the change process. Sound interim leadership is a way to defend against employee turnover and increase staff engagement and satisfaction.

2. Clarity for Board. Having the one leader to work with on the staff side is critical. Having a professional Interim who can be focused on the mission and organizational health while making consultative recommendations for improvements can be life changing and evolve the work forward. Having been a part of many executive searches, interim leaders can also provide another expert voice when working with search firms and provide organizational context as the search progresses.

3. Clarity for Stakeholders. Funders, volunteers, and other supporters want to see that the organization is being taken care of and utilizing a professional Interim ED can demonstrate that. An Interim will know how to approach these different groups and message accordingly for organizational benefit.

Executive leadership transition is inevitable. Strong organizations invest in protecting the overall mission and organizational health. Hiring a professional Interim Executive Director can be the best thing you have ever done for your nonprofit. If you need help evaluating your organization, ED, or interim leadership options, please reach out.

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