Navigating Challenges: Insights from CEO Jim Peffley

At the recent NeighborWorks America Real Estate Convening, I had the opportunity to lead a future-oriented discussion titled “Doing Business Differently- Evaluating Potential Strategies to Navigate This Challenging Market.” This session brought together leaders from across the country to share perspectives on how nonprofit organizations can adapt, stay resilient, and continue advancing their missions in today’s complex environment. 

I was joined by three network leaders: Caroline Horton of Aeon, Nick Mitchell-Benett of Come Dream Come Build, Bernel Hall of New Jersey Community Capital, and Steve Kirk of Rural Neighborhoods.

I learned a great deal from speaking with these leaders, and believe the takeaways are worth sharing here for the benefit of those who were not in attendance. My takeaways from the discussion were:

Focus on being proactive. 

Anticipate future challenges and act sooner rather than later. Certainly, put thought into your plans, but then act. Being proactive is an effective way to avoid major challenges.

Continuous improvement is critical to long-term organizational health. 

Healthy organizations regularly evaluate not just what they do, but also how they do it. They seek opportunities to refine their approach to be more effective and efficient.

Do not procrastinate when facing a challenging situation.  

This is a tough one. When faced with a significant challenge, we often delay decisions because there are no appealing options. In almost all circumstances, the challenge will only become more significant if you procrastinate, and your options will become increasingly limited.

Put mission before optics and pride when facing challenges. 

Sometimes nonprofit leadership requires owning challenging situations and making decisions you would prefer to avoid. An example is selling a property you cannot properly maintain. There may be concerns about how stakeholders will view the sale of a key asset; however, if the sale is in the best interest of those you serve, you should prioritize the mission over personal discomfort.

Mergers/partnerships/alliances can have real mission benefits, but are often avoided because of perceived reactions or non-mission concerns.

More nonprofits than ever are seriously considering how to become more efficient and effective. Unfortunately, mergers are often viewed as evidence of failure rather than a wise decision to increase impact and the efficient use of resources. In addition, leaders of nonprofits can have personal concerns about the impact on their role.  That concern is understandable, but mission needs to come first. I personally think more organizations should consider merging, particularly if they serve the same market with similar or complementary products. There is a strong bias against merging, which at times leads organizations to avoid the discussion until merging is the only option. Priya Jayachandran wrote an excellent piece on this subject.

Be optimistic. 

Each of these leaders is navigating through a challenging time, yet they all demonstrated an optimistic attitude. I asked them why they are optimistic. The common theme was that our industry has navigated through challenges before, and we are equipped to do it again. The mission of creating opportunities for others motivates them to engage in their work with confidence, determination, and optimism.

I always enjoy spending time with representatives of NeighborWorks member organizations. I appreciate what you and your teams do every day. It is important! Please feel free to reach out if you have any questions or perspectives on the issues outlined above.