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Building a High-Performing Nonprofit Team

March 19, 2025

Team CelebrationA nonprofit’s success isn’t just about having a strong mission—it’s about having the right team to drive that mission forward. Yet, many nonprofit leaders struggle with hiring, retaining, and empowering the best talent. Without a cohesive and dynamic team, even the most well-intentioned organizations can face burnout, inefficiency, and mission drift. So, what separates high-performing nonprofit teams from those that struggle? The answer lies in leadership, trust, and culture. Here are three essential strategies to help nonprofit leaders build and sustain a thriving team.

  1. Shift from Authority to Empowerment

Nonprofit leaders often wear multiple hats, but one of the biggest mistakes they make is trying to control too much. Whether it’s micromanaging team members, making all the key decisions, or creating rigid processes, excessive control limits an organization’s ability to grow. A study by Gallup found that employees who feel trusted and empowered are 67% more engaged and significantly more productive.

True leadership in the nonprofit sector means equipping teams with the tools, knowledge, and confidence to take ownership of their work. When staff members feel trusted, they are more likely to take initiative, problem-solve creatively, and feel deeply connected to the mission. Leaders should focus on setting clear expectations and providing support rather than dictating every step of the process.

One practical way to foster empowerment is to give team members autonomy in their decision-making. Instead of providing answers, leaders can ask, “What do you think is the best approach?” This small shift encourages staff to take responsibility and think strategically about their work.

Action Step: Evaluate your leadership style. Are you making too many day-to-day decisions that your team could handle? Start delegating more responsibility and encouraging independent problem-solving.

  1. Build a Team That Complements, Not Replicates

Passion for a cause often forms the foundation of nonprofit teams, but passion alone is insufficient for success. Many organizations make the mistake of hiring people who think like their existing leadership, leading to blind spots, lack of innovation, and a team that struggles with problem-solving.

Instead, high-performing teams comprise individuals with diverse skills, perspectives, and working styles. According to research from McKinsey & Company, organizations that prioritize cognitive diversity in leadership teams are 33% more likely to outperform their peers. This means actively seeking people who challenge assumptions, offer different viewpoints, and bring unique strengths to the organization.

Hiring should focus not just on technical skills but on cultural fit and growth potential. The best teams comprise individuals who align with an organization’s values while also contributing new ideas and expertise. A nonprofit that only hires for passion but neglects strategic skills, operational expertise, or financial acumen will struggle to scale its impact.

Action Step: Assess your hiring strategy. Are you prioritizing diversity in skills and perspectives, or are you unintentionally hiring people who think just like you? Ensure your next hire brings something different to your team.

  1. Foster a Culture of Continuous Improvement

Nonprofits operate in fast-changing environments, yet many organizations cannot adapt because they lack a system for continuous learning and improvement. High-performing teams build in regular evaluation and reflection to assess what’s working, what’s not, and how to improve.

Stanford Social Innovation Review article highlights that the most successful nonprofit organizations regularly gather feedback, not just from external stakeholders, but from their own teams. Creating a culture where employees feel comfortable discussing challenges, testing new ideas, and learning from mistakes is essential for long-term success.

Leaders should implement structured check-ins, team debriefs, and open forums for discussion. More importantly, they should model a growth mindset by welcoming feedback and making adjustments based on staff input. When employees see leadership embracing continuous learning, they are more likely to adopt the same mindset, leading to a more innovative and adaptive team.

Action Step: Create a space for ongoing evaluation. Whether through weekly check-ins, quarterly reviews, or informal discussions, build a system where your team regularly reflects on its progress and identifies areas for growth.

Final Thoughts

A nonprofit is only as strong as its team. Leaders who shift from authority to empowerment, build a team with complementary strengths, and foster a culture of continuous learning set the foundation for long-term success. By making these key adjustments, nonprofit leaders can create an organization where employees feel valued, supported, and motivated to drive real impact.

The question every nonprofit leader should ask is: Am I creating an environment where my team can thrive? If the answer is uncertain, it’s time to reassess how leadership, hiring, and team culture are shaping your organization’s future.

Resources

Visit Your Path to Nonprofit Leadership Podcast episode 308 with Chris Jenkins for more information on this important topic. 

Looking to expand your nonprofit leadership skills? PMA is here to help! Learn more about our unique programs designed specifically for advancing your nonprofit career. 

Let us guide you on your unique Path to Nonprofit Leadership

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