Thought Leadership in Profile: Innovation in Nonprofit HR
Erica Young - The Society for Human Resource Management (SHRM)
As the current workforce continues to churn and find its footing in the new not-so-normal, Mockingbird reached out for a two-part interview with Innovation Catalyst Erica Young whose background in nonprofit work and strategic business partnerships at The Society for Human Resource Management (SHRM) places her at the intersection of people management in today’s nonprofit world.
Young has a Master of Professional Studies in Industrial and Organizational Psychology with a certification in Instructional Systems Design. She also comes from a strong background working in nonprofits having previously been the manager of volunteer services for Casey Trees, a top-rated nonprofit in Washington DC, and as an AmeriCorps member for two nonprofits, Byte Back and Reading Partners. She currently consults and trains nonprofit workers on salary negotiation skills and was gracious enough to relay tips and insight into what the nonprofit sector should be mindful of in the coming year.
Part One: Nonprofit Talent Recruitment
So before we dive into forecasting the future of people management within nonprofits, you have quite the extensive nonprofit experience as well. How would you describe your time in the nonprofit sector?
I don’t think my experiences are necessarily just relevant in the nonprofit world. I’ve heard friends and customers in the for-profit world share the same feelings. That said, without fail, I always feel and observe people explaining the experience as:
Exhausting
Relentlessly overreaching
Impactful
Nonprofits have a reputation for overworking and underpaying their employees. Why do we see this so often?
It is pretty frustrating to see this so often. I think we see this for a mixture of reasons. Nonprofit leaders capitalize on the fact during talent recruitment that people driven to mission-based work are willing to make sacrifices to feel like they are positively contributing to societies. Unfortunately, the pay is one of the sacrifices. Secondly, I’ve seen too many non-profit leaders push back against calling their organizations a business. Which is a problem. If you have an exchange of money (yes, grants count), then it’s a business. There is an exchange of money for goods or services. Since many nonprofits don’t see themselves as a business, I think they perpetuate the idea that they don’t have to operate to the same standards as “traditional” businesses. Which includes pay. Ultimately, though, I know nonprofits have to keep their expenses low, which equates to lower salaries.
Understandably lower salaries are a barrier for talent recruitment.
Unfortunately, organizations that offer lower pay see the most amount of turnover (unsurprisingly). And every time an employee leaves the organization it can cost a large amount of money to the organization in lost time, lost productivity, and time and resources to fill the new role. Ultimately, I think the low salary model many nonprofit organizations operate with is actually counterproductive to their budgets and to their impact.
How do you think nonprofit hr can start to restructure this environment to fit the current workforce?
I think the steps are easier said than done. First, HR needs to be seen as a business partner. After all, employee salary is the highest expense, making it a business decision. Business leaders and HR need to work together to understand where they are excelling and failing as it pertains to talent. As we’ve noted, salary is likely to be a pain point for many nonprofit organizations. But, engagement, culture, job training, or professional development could also be major areas for growth. Maybe an organization can’t increase salaries just yet, but they need to establish a plan that enhances the experience for nonprofit talent in other ways.
Second, I believe organizations need to do a better job at prioritizing their people as their greatest asset. Many organizations show appreciation for staff in a variety of ways, whether through incentives or simply recognizing positive achievements. I’d like to see more recognition and positive reinforcement.
In your opinion, what should be the main focus of people managers and HR for 2020?
2020 is a unique year for HR (and the world), given the renewed focus on (1) putting the “human” back in human resources thanks to COVID-19, (2) the global recession, and (3) the global discussion about racial injustice and bias. I think businesses, whether for-profit or non-profit, need to be present in solving these challenges. Non-profit mission-aligned organizations will likely need to play a big role in these discussions about humanity. By participating in these discussions, they will be forced to look inward at their own organizations.
For example, activists are looking beyond statements about racial injustice. They are looking at diversity on business boards and executive teams. They want to see diverse decision-makers. They’re also listening to worker’s stories about bias and discrimination. Saying you have zero tolerance for bias and discrimination is step one. But, what about translating those words into meaningful actions for your workforce, customers, and clients-- what does that look like?
I think HR will need to innovate to solve these deep challenges. --E
Mockingbird Analytics prides itself on bringing together experts in their field to consult and strategize on innovating within the social sector.
Our work with nonprofits in Los Angeles has included strategic planning, literature reviews, brand management, grant writing, and much more. Interested in finding out how we can amplify your social cause? You can contact us here.
