Managing and Communicating with Staff in Tough Times

In tough economic times, honest communication between the organization’s leadership and staff is paramount. Consistently and clearly sharing information about the organization’s financial status will help dispel rumors and make people feel included and informed – the unknown may be worse than the known in many cases.

 

Richard Male and Associates offer the following tip for communicating clearly with staff in stressful times:

“Honesty with staff is always the best policy. Make sure that you are very honest and direct with your staff and let them know quickly what the financial picture is. Describe the financial situation to everyone as a group rather than letting them hear about it piecemeal through the grapevine; you want everyone to hear the same information at the same time.”

 

Although it is often a last resort, some nonprofits will have to lay off staff during these economic times. While it is no one’s first choice, there are ways to communicate with staff and other stakeholders of your organization to ensure that they have a clear picture of what is going on.

 

The Fieldstone Alliance advises organizations to follow these “Do’s” and “Don’ts” in the event of staff layoffs:

 

“When considering potential staff layoffs, DON’T be absent during this time of need; tell different versions of the story to different stakeholders; hide the truth; draw the process out any longer than necessary; provide false hope where no reason for hope exists; assume that employees’ reactions will be the same as yours; use platitudes such as, ‘work smarter, not harder.’

 

When considering potential staff layoffs, DO monitor budgets and costs closely and anticipate shortfalls accurately; create a plan of action that integrates considerations of legal issues, practical issues, leadership and managerial issues, and cost issues; be credible – be sure your words and actions match; anticipate unintended consequences – be aware of the impact of your actions; tell the truth, always and to everyone; realize this process will take time, emotional energy, and money; and create an atmosphere of empathy and hope.”

 

The Minnesota Council of Nonprofits also has a “Q&A” on reducing your organization’s risk during employee layoffs here.

 

The tips above offer strategies to strengthen nonprofit organizations in tough times. Visit the following links for the full text of each article:

Richard Male’s “Rich Tips Newsletter,” November 6, 2008: http://www.richardmale.com/richtips/20081106.htm.

Fieldstone Alliance’s “When Layoffs are Necessary, Nonprofits Need to be Planful”: http://www.fieldstonealliance.org/client/tools_you_can_use/11-05-08_workforce_reduction.cfm

 

For even more information, visit The Denver Foundation’s website and check out “Resources for Nonprofits” for a more complete list of websites and articles offering resources in a variety of areas.

Building Programs in Tough Times

As many organizations see their budgets shrinking with the recession, they may worry about how to keep key programs going. This week’s tips focus on ways that nonprofits can focus on, and even expand, those programs that represent the crucial elements of their missions.

 

Michael Seltzer, author of the “A to Z Survival Guide for Uncertain Times,” offers an alphabetical list of tips and strategy recommendations that he learned from grantees, clients, and other consultants. One tip advises organizations to:

“Be bold. The pressure to scale back programs and to promise less is real. But it’s important, when possible, to find new ways to provide value to clients, funders, and supporters.”

 

Colorado-based JVA Consulting’s Nonprofit Street blog allows the greater nonprofit community to share information related to the functioning of the nonprofit sector in this economy. The post “Coping with Tough Times: The View from Nonprofit Street,” highlights top recommendations for organizations from the staff at JVA, including:

“Look for grants to help your organization build its capacity. These types of grants will help you build capacity through activities like creating a strategic or evaluation plan, or developing a marketing plan that will continue to make your organization more profitable and more attractive to potential funders. Check out the Technical Assistance grants offered by The Denver Foundation.”

 

Finally, Michael Seltzer encourages nonprofits to both build capacity and be bold by collaborating:

“In normal times, many nonprofit leaders view collaboration as the most unnatural of acts. These are not normal times. There is much to be gained, including cost savings and enhanced impact, by working more closely with others.”  

 

The tips above offer strategies to strengthen nonprofit organizations in tough times. Visit the following links for the full text of each article:

Michael Seltzer’s “A to Z Survival Guide”: http://pndblog.typepad.com/pndblog/2008/10/the-a-to-z-nonp.html.

JVA Consulting Nonprofit Street:  http://www.jvaconsulting.wordpress.com

 

The Colorado Nonprofit Association and Community Resource Center, with support from The Colorado Health Foundation and many other partner organizations across Colorado, are conducting a statewide survey on the impact of the current economy on all types of nonprofit organizations within Colorado. The results will be used to provide practical, low-cost tools and resources to help nonprofits in addressing the key challenges, needs, and opportunities. 
 
To complete the survey, please follow the link below. Please complete this survey by 9:00 am on Tuesday, February 10
http://www.surveymonkey.com/s.aspx?sm=h7YvU1gvqQv5ArWcrTuqrw_3d_3d

 

For even more information, visit The Denver Foundation’s website and check out “Resources for Nonprofits” for a more complete list of websites and articles offering resources in a variety of areas.