Nick Grono, author of 'How to Lead Nonprofits' and CEO of the Freedom Fund, on the Complexities of Nonprofit Leadership

Do One Better with Alberto Lidji in Philanthropy, Sustainability and Social Entrepreneurship

Nick Grono, author of How to Lead Nonprofits and CEO of the Freedom Fund, delves into the unique challenges and responsibilities of nonprofit leadership, offering valuable insights drawn from two decades of experience in the sector.

Grono reflects on the complexities of guiding purpose-driven organizations, contrasting the quantifiable metrics of success in the private sector with the more elusive task of measuring impact in the nonprofit world.

He underscores how nonprofit leaders must grapple with ambiguity, balance diverse stakeholder expectations, and navigate the tensions between aspirational goals and practical realities.

We explore the nuanced role of culture in nonprofit organizations and highlight the transformative potential of a positive, cohesive culture — what he calls a "superpower" — founded on psychological safety. This environment, where all voices are valued and dissenting perspectives are welcomed, is crucial for fostering innovation and ensuring better decision-making. Grono stresses that such a culture is cultivated by leaders who model vulnerability, acknowledge their mistakes, and create spaces for candid dialogue.

The conversation also explores the thorny issue of impact measurement, which Grono argues is vital despite its inherent challenges. Unlike financial accounting in the corporate world, nonprofit impact is often subjective and context-dependent, demanding greater intentionality and honesty in its evaluation. Grono illustrates these difficulties with examples from his work at the Freedom Fund, noting the pitfalls of oversimplifying metrics like the number of meals served or people rescued, which may fail to capture the broader systemic changes nonprofits aim to effect.

Ultimately, Grono’s insights underscore the unique leadership skills required in the nonprofit sector — an ability to navigate complexity, inspire trust, and build cohesive teams, all while staying anchored to the organization’s mission. His reflections offer lessons not just for nonprofit leaders, but for anyone seeking to understand how to lead with purpose in a rapidly changing world.

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