When foundations and other nonprofit organizations are faced with filling the executive gap due a planned leadership change such as sabbatical, retirement, and resignation or an unplanned change due to illness or termination, a short-term veteran executive could be the answer to meet the needs of the organization. Any time a chief executive leaves a foundation, the board is rightly concerned with operations, grant making running smoothly, supporting staff and maintaining board relations.

Certified interim executives (interim) are emerging as viable and forward-thinking options to fill the executive director or CEO role when a vacancy arises. The foundation and nonprofit sectors continue to navigate huge changes since the Covid-19 pandemic and social justice movements of 2020. Many of our colleagues are ready for retirement or for something new. An interim executive is an experienced CEO immediately ready and prepared to lead the organization for a finite period of time- usually less than one year. The average interim placement is 4-9 months, and contracted time is customized by foundation or organization. Boards make the decisions based on what is best for the organization and the search process timeline for the permanent executive leader.

Foundations have long utilized the services of consultants to provide additional expertise to support the organization’s mission and vision.  An interim is another such specialized consultant. Running a foundation requires additional unique skillsets- usually only found in executives who have managed family offices or other foundations. Sometimes boards are interested in the opportunity to strengthen their good governance by pausing for a strategic break and proactive introspection as they prepare for a new leader, especially after a long-time leader exits. Engaging an interim allows for deep, future thinking and it allows the process to find the right next leader to unfold in an unhurried and purposeful way.  With an interim in place, a board can continue to re-vision and re-set strategic direction in preparation for the new leader and continue to build internal capacity during a critical transition period for the foundation. In other cases, an interim executive is a good idea if the foundation does not have an internal leader ready to step up during the transition.

Executive leadership transitions can be the most vulnerable for a foundation. An interim is duty bound to continue the momentum of the organization first and foremost. The interim has two main roles during his or her short tenure with the foundation: to maintain the day-to-day operations of the foundation and to do what is necessary to smooth the transition for the permanent leader.  The interim must help the organization honor and at the same time separate from what has been done in the past and create the space for what is to come. Sometimes this means stabilizing and nurturing dynamics of the board and staff as well as expectations of key community stakeholders. Other times this means using key indicator metrics to compare the foundation to other best practices and measurements which could inform the search process for the new leader. The interim maintains thoughtful communications with board, staff and community members to create a supportive environment through the transition to a new leader, which is many times full of emotions.

A successful interim is one who leaves the organization in a better place than he or she found it, building on the momentum of the organization and the previous executive. A successful interim manages and supports the staff in a way that reduce the stress of the transition and cultivates excitement about the future with a new leader. The successful interim has a strong plan for onboarding the new leader and works with the board and staff to implement that plan at the right time.

Running a foundation requires continuous and high-level decision making and a delicate balance of legacy and next generations.  While transition is always a period of uncertainty, it can be a powerful internal and personal process that moves the foundation onward to its next chapter. Foundations can be better prepared to lay the groundwork for the future success of the permanent leader by paying attention to the transitions, such as the exit of a chief executive, and the opportunities those transition present by hiring an interim executive.

Sources:

Managing Transitions, Making the Most of Change – William Bridges

Community: The Structure of Belonging- Peter Block

Certified Interim Executive training – Armstrong McGuire