Grantmakers Build Nonprofit Capacity by Advancing Good Governance

Based on interviews with staff from 54 grantmaking institutions throughout the United States, Advancing Good Governance explores and examines the investments of grantmakers in nonprofit governance. Interviewees agree that nonprofit boards are essential for setting strategy, supporting the chief executive, providing financial and programmatic oversight, and championing the investments made by grantmakers and others. However, there is room for improvement in the strategic use of board members. In studies by the Urban Institute, BoardSource and others, nonprofit organizations give their boards average or below-average marks in critical areas. Subpar board performance contributes to chief-executive burnout and other organizational problems, including underdeveloped strategic focus and poor decision-making.