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Nonprofit Career Trends: Implications for 2013 and Beyond

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Tara Kirkland, Director of Consulting, and Tara Levy, Senior Consultant, Greenlights for Nonprofit Success

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Nonprofit Career Trends: Implications for 2013 and Beyond

  1. 1. Nonprofit Career Trends:Implications for 2013 & Beyond Tara Kirkland & Tara Levy 2012 TEXAS NONPROFIT SUMMIT SEPTEMBER 21, 2012 All contents © Greenlights for Nonprofit Success G R E E N L I G H T S . O R G
  2. 2. GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 2
  3. 3. SESSION AGENDA ▸ Data Overview ▸ Generational Transitions at Work ▸ Top 5 Trends in the Evolving Nonprofit Workplace ▸ Recommendations and Responses ▸ Action-PlanningGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012
  4. 4. GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012
  5. 5. Data Wonk G R E E N L I G H T S . O R G
  6. 6. RESEARCH: WHERE DOES THE DATA COME FROM? ▸ Greenlights surveys ▸ Young Nonprofit Professionals Network ▸ Nonprofit HR Solutions ▸ …and a lot of extra reading!GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 6
  7. 7. WHET YOUR DATA APPETITE ▸ Job creation:  43% increased their staff size in 2011 (34% in 2010)  43% plan to create new positions in 2012 ▸ Job transitions:  Most nonprofiteers under 55 have been in their current position for 2 years or less  25% estimate will stay in current position 1 year or less; 40% say 2-4 years ▸ Career commitment:  63% committed to career in the sector  Generally not interested in traditional professional leadership roles (ex: only 22% interested in ED role)GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 7
  8. 8. Generations:Gaps & Gripes G R E E N L I G H T S . O R G
  9. 9. Ask me about generational differences!GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 9
  10. 10. TRADITIONALISTS ▸ Born before 1946 ▸ Now, 66 and older  By 2020, youngest will be 75, some still in workforce! ▸ Shaped by WWII ▸ Loyalty, dependability, sacrifice ▸ Respect for authority (Photo: George C. Marshall Foundation)GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 10
  11. 11. BABY BOOMERS ▸ Born 1946 – 1964 ▸ Demographic ―bulge‖ ▸ Shaped by Cold War, TV (home) & ―the computer‖ (work) ▸ Nonprofit Founders ▸ Competitive, work long hoursGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 11
  12. 12. GENERATION X ▸ Born (1965 – 1979) ▸ ―Latchkey kids‖ self-reliant ▸ Shaped by: MTV, AIDS, Fall of Berlin Wall, the cell phone ▸ ―Baby Busters‖ who openly question authority (―cynical‖) ▸ Free agentsGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 12
  13. 13. MILLENNIALS (GEN Y) ▸ Born 1980 – 2000 ▸ Shaped by:  Google, Facebook, instant access to info  Major event: 9/11 ▸ Value ―immediacy,‖ community, tolerance ▸ ―Work as part of life‖ ▸ 46% workforce by 2020!GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 13
  14. 14. GENERATION 2020 ▸ First members enter Workforce post- college in 2020 ▸ ―a generation unplugged‖ ▸ Life lived onlineGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 14
  15. 15. GENERATIONS AT WORK What have YOU experienced?GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 15
  16. 16. #1 Compensation: More Important NOW than EVER G R E E N L I G H T S . O R G
  17. 17. PROFESSIONALIZING THE SECTOR ▸ Nonprofit jobs are now a career path.  More than 1/2 have advanced degrees ▸ Compensation is the biggest gap.  1/3 of our respondents are ―unsatisfied‖ with their salary more than any other aspect of their position and career  34% of organizations cited ―inability to pay competitively‖ as biggest challenge to staff retention  66% of new nonprofiteers have student loan debt (30% have $50,000+) ▸ “Compensation should be aspirational.”GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 17
  18. 18. KEY QUESTIONS ▸ How can organizations find and plan resources to make this significant additional investment in their staff? ▸ What kinds of compensation are valued by nonprofiteers, in addition to base salary? ▸ How can nonprofits promote and leverage the professionalization of the sector?GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 18
  19. 19. #2 COMPETING FOR TALENT: the Going Gets Tougher G R E E N L I G H T S . O R G
  20. 20. GROW, CHURN REPEAT ▸ Sector growing again: 43% of nonprofits are adding staff ▸ Retirement & resignations increasing sector wide across US  Central Texas EDs – almost 50% leaving post in 4 yrs or less ▸ Churn continues in Central Texas:  Most under 55 have been in current post 2 years or less  80% of Millennials say will stay in current job no more than 4 yearsGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 20
  21. 21. GOT TALENT? ▸ Staff retention? What’s that?!?  75% of nonprofits nationally have no plan in place ▸ Whither the ―Career Ladder?‖  50% of non-EDs surveyed were unsatisfied with ―opportunity for advancement‖ ▸ Key question: How can we retain and develop an increasingly mobile talent pool, even without competitive salaries and clear promotion opportunities?GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 21
  22. 22. GOT TALENT? “Personnel is a sucking bog… I spend a lot of time working with this person or this department or this team, and now it’s good, and then then get a new job. They’re like, “thanks for the training, bye!”Executive Director respondent, Daring to Lead 2011 SurveyGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 22
  23. 23. #3 Power to the People: More Democracy, Less Hierarchy G R E E N L I G H T S . O R G
  24. 24. THE FRENCH REVOLUTION, PART DEUX ▸ ―Flatter organizations incentivize collaboration, help leaders push each other to improve, and give new leaders a better chance to succeed in their new roles.‖ (YNPN)  Working in teams cited as the top motivator for millennials ▸ Increased focus on results, not titles  78% do not want the ED job  67% want to be a leaderGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 24
  25. 25. KEY QUESTIONS ▸ How can nonprofits evolve our leadership to be more team-driven and inclusive? ▸ What other elements of nonprofit structures can be adapted to distribute authority and promote participation? ▸ How can we incorporate staff strategically into idea generation and decision-making throughout the year?GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 25
  26. 26. #4 Blurring Personal/ Professional Boundaries G R E E N L I G H T S . O R G
  27. 27. BLURRING BOUNDARIES 1. The digital workplace blurs boundaries.  Individuals generate ―content‖ & expect access to platforms used personally • ―the hyperconnected‖  Organizations are responsible for managing privacy concerns  KEY QUESTION: How does a nonprofit make it easy for employees who expect connectivity while protecting brand, securing accuracy & appropriateness at the same time?GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 27
  28. 28. BLURRING BOUNDARIES 2. “Weisure” time – work and leisure are viewed as one and the same…  Millennials ―networked by nature‖  48% say friends at work = very important  Workplace should address life issues?  Younger workers want continuous skill development, for work to build better ―life skills‖GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 28
  29. 29. BLURRING BOUNDARIES 3. Flexible worktime – desired, yet delicate  Flextime & Flexplace  ―Third Places‖  Survey says: increasingly desirable  ―The third rail‖ of benefits? KEY QUESTION: How can nonprofits increase flexibility, but maintain fairness and make sure work gets done?GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 29
  30. 30. #5 First, do no harm. First, do good. G R E E N L I G H T S . O R G
  31. 31. ABOVE ALL THINGS, BE GOOD. ▸ Across generations, there is a commitment to making a difference  ―Although many young nonprofit professionals seem sector agnostic, they are just as mission-focused as ever.‖ (YNPN)  97% of full-time nonprofit leaders 55+ want to make a contribution to society even after leaving current position ▸ Doing good is top professional goal  85% want to make an impact  83% want to be involved in something important  80% want to feel good about their work  79% want to improve their communityGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 31
  32. 32. KEY QUESTIONS ▸ Can you connect all of your organization’s jobs to your organization’s mission? ▸ How can you cultivate your staff’s commitment to the success of your mission and cause, and to the success of the community as a whole?GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 32
  33. 33. Recommendations G R E E N L I G H T S . O R G
  34. 34. INTENTIONAL LEADERSHIP ▸ Who will chart the course?GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012
  35. 35. ORGANIZATIONS INDIVIDUALSGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 35
  36. 36. COMPENSATION AND BENEFITS Organizations Individuals ▸ Budget for COLA and ▸ Make the case early merit raises, as well ▸ Ask before budget as bonus rewards cycle process begins ▸ Implement creative, ▸ Add value—and keep mission-driven track of it! incentives ▸ Recognize that compensation goes beyond salary ▸ Tuition reimbursementGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 36 36
  37. 37. TALENT MANAGEMENT Organizations Individuals▸ Regularly evaluate ▸ Set 1, 3, 5 year career performance; ensure goals & chart a course ―stars‖ are rewarded to get there meaningfully  Open to innovative proposals ▸ Find mentors (in & like ―side hustles‖ outside your org)▸ Prioritize leadership ▸ Seek out professional development (needs now, development (current next 3 – 5 years) job & next rung up!)▸ Creative ways to add ▸ Prove you can handle a ―rungs‖ to career ladder? promotion through ―above & beyond‖▸ Be prepared: succession performance planning for inevitable departuresGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 37 37
  38. 38. MORE DEMOCRATIC AND FLAT Organizations Individuals ▸ Regular, clear ▸ Regular, clear communication communication ▸ Build a culture that ▸ Champion new ideas supports staff and practices development and ▸ ―It’s up to you as the team building employee to create ▸ ―Treat staff as a key the job you want, to stakeholder.‖ (YNPN) identify what the ▸ Revise org chart and company is missing, consider alternative and what the models company needs, and be that.‖ (Forbes)GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 38 38
  39. 39. BOUNDARY BLURRING Organizations Individuals ▸ Clear social media ▸ Over-communicate to guidelines to clarify make sure you expectations understand workplace ▸ Can org culture, policies allow for more expectations connectedness, ▸ Champion new ideas flexibility? and practices that ▸ Effective flextime create community programs must be fair, performance-based ▸ Model accountability, ▸ Can your org become a ―mission first‖ attitude resource for ―life‖  Track performance issues?GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 39 39
  40. 40. MISSION-DRIVEN GOODNESS Organizations Individuals ▸ Connect job ▸ Again, consistent, descriptions and clear communication evaluations to impact to demonstrate accountability and ▸ Support and promote expectations employee involvement ▸ Find clarity about in the community as what gives you whole satisfaction and meaning ▸ Ask good questions during interview processGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 40 40
  41. 41. Action Planning G R E E N L I G H T S . O R G
  42. 42. QUESTIONS? DISCUSSION?GREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 42
  43. 43. KEEP THE CONVERSATION GOING! ▸ Go to http://501comm unity.org/TXNS ▸ Find this session and subscribe ▸ Ask us questions, comment on the session, and share your own ideas on career trendsGREENLIGHTS.ORG TEXAS NONPROFIT SUMMIT - 2012 43
  44. 44. Thank You! G R E E N L I G H T S . O R G

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