The Not for Profit Board’s Role in Stakeholder Relations: Survey Results and Analysis

By Todd Cain, Laura Edgar and Dustin Munroe
The report “The Not-for-Profit Board’s Role in Stakeholder Relations” by the IOG presents the findings of a national survey on how not-for-profit (NFP) and co-operative boards engage with stakeholders. The study highlights that while fiduciary and strategic responsibilities are well understood, stakeholder relations remain underdeveloped in board governance theory and practice. The survey reveals that staff, members, and funders are viewed as the most significant stakeholders, with chief executives and board chairs playing critical roles in engagement. It identifies wide variation in stakeholder practices based on governance models, revenue sources, legal structure, size, and sector. The report introduces three conceptual models to support board development: a Typology Tool to tailor strategies to organizational type, an Engagement Intensity Tool to assess board involvement, and a set of Techniques for clarifying board and staff roles in stakeholder engagement. Ultimately, the report emphasizes that effective stakeholder relations are essential to good governance and organizational legitimacy, and offers a range of best practices for boards to enhance their performance in this area.