Economic realities have been harsh over the last few years. While the economy fluctuates, it’s important for nonprofits to examine their business models to determine their effectiveness and improve the components that need updating. While change can be nerve-wracking and always involves risk, there are a few basic traits that each successful nonprofit possesses when adapting to new challenges. In addition to securing a Nonprofit Insurance Program, nonprofits are advised to consider these five traits to ensure their success and longevity.

Leadership

First and foremost, it’s critical to employ a leader who understands the whole of the organization and views the big picture. Leaders should be dedicated to carrying out the mission and to strive for long-term success, not just focus on the projects at hand. Further, while change may be necessary, it’s wise that the board members understand the weight of the risks involved and how they may impact the business both short and long term.

Decision-Making

Rather than guess, directors of nonprofits should make informed decisions based on qualitative, quantitative, and financial factors.

Planning

The Chronicle of Philanthropy states that a commitment to planning and self-reflection, including a management team that knows how and when to seek the advice of outside advisers for strategic planning, producing financial models, and measuring results is imperative.

Adaptive Capacity

Successful nonprofits are nimble and welcome change with a willingness to attempt new ideas. Maintaining a positive outlook and nurturing a culture of flexibility can promote this mentality in nonprofits.

Focus on Results

Nonprofits that are focused on results with their board of directors, leaders, managers, and staff are more likely to be successful in the face of obstacles. Further, nonprofits need to implement a strategy to track the new program’s success to understand the cost-benefit of the improvements.

At Charity First, we proudly serve the nonprofit sector with specific policies that are tailored to meet their risk exposures and are crafted to safeguard the operations of these organizations at competitive prices. For more information, contact us today at (800) 352-2761.