By: Andrea Peterson, Program & Communications Manager – NPLI 

According to BoardSource’s latest Leading With Intent report, only 29% of nonprofits surveyed reported that they have adopted a written succession plan or policy to guide the board when the CEO/Executive Director transition occurs. Why is that? 

Succession planning is often framed in terms of the hypothetical “win the lottery” scenario, which can make the conversation feel too far off or reactive. In reality, thoughtful succession planning is one of the most considerate and strategic actions nonprofit leaders and board members can take to ensure the long-term health and stability of an organization. With a plan in place, all parties involved with your organization – staff, volunteers, donors, partnering agencies, and clients – can rest assured that regardless of the transition reason, your mission will continue onward. 

What elements should you think about when considering your succession plan? Let’s break the process down into five key categories: 

Marketing and Communications 
When a transition occurs within the organization, how will you communicate this change to your supporters? Start by identifying your stakeholders, both internally and externally. Each audience will require different information, and messaging should be crafted accordingly. Establish the ‘why’ behind your succession plan and clearly communicate the long-term benefits of proactive planning, such as mission stability and continuity. Determine the best channels of communication, and be sure to keep messaging clear, consistent, and on-brand. 

Finance and Development 
It’s important to maintain donor confidence and financial stability throughout a leadership transition. Key financial roles, responsibilities, and accounts should be documented, along with financial controls. Development efforts should focus on maintaining key donor relationships and ensuring consistent stewardship and grant management.  

Board Roles & Responsibilities 
The board is responsible for initiating and overseeing the succession process, particularly when there’s a turnover in executive leadership. Board members aid in the succession planning by developing and approving a clear succession plan, identifying interim leadership if needed, and leading the search and hiring process for a new Executive leader. Your board can help ensure organizational stability by overseeing finances, upkeeping donor relationships, maintaining clear channels of communication with all stakeholders, and supporting staff.  

Standard Operating Procedures and Document Retention 
Standard Operating Procedures (SOPs) provide clear, step-by-step guidance for essential tasks and responsibilities, allowing interim leadership and incoming hires to maintain vital organizational processes, such as payroll, without major operational disruption. Document retention ensures that critical records are organized, accessible, and secure. Files should include financial reports, donor histories, grant information, Human Resource files, and strategic plans. Together, SOPs and strong document management practices help preserve organizational knowledge, support accountability, and provide a roadmap for new leaders to follow. 

Staffing 
Proactively identifying and developing emerging leaders at all levels of your organization ensures continuity, stability, and long-term mission impact. By investing in leadership development, creating growth opportunities, and fostering a culture of learning, organizations can reduce the reliance on any one individual and retain top talent. Succession planning also shows a commitment to internal growth and equity, helping staff see their future within the organization and areas where they may grow and go. By making education and leadership development a part of your succession planning process, you are helping ensure that when leadership changes occur, there are prepared and capable individuals who are ready to step up and fill critical roles, either intermittently or long-term. 

Succession planning isn’t just about preparing for major transitions; it’s about building an organization that’s ready for the future, whatever it may bring. By approaching your succession plan through the lenses of communication, finance, development, documentation, and leadership development, you can help your nonprofit ensure continuity, maintain trust at all levels, and preserve mission impact through times of change. Whether you’re planning for long-term growth or a sudden leadership departure, thoughtful succession planning empowers organizations to thrive in uncertainty and fosters a culture of sustainability, adaptability, and shared leadership.  

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The Nonprofit Leadership Initiative (NPLI) is a program within the Community Foundation for the Fox Valley Region dedicated to providing resources needed by effective nonprofit boards and executive leaders. Since its inception in 2015, NPLI has offered a wide range of leadership, management, and technical skill-building programs, as well as peer learning circles, to the entire nonprofit sector in the Fox Valley region.