Leadership Roles in a Nonprofit Organization

According to 2023 data from Statista, most nonprofits in the United States are 501(c)(3) organizations, which are religious, charitable, and similar types of organizations. The missions of these approximately 1.5 million organizations range from advancing community economic development goals to promoting environmental causes to fighting hunger to supporting families affected by Alzheimer’s. Individuals filling leadership roles in a nonprofit organization are responsible for navigating the intricacies of fundraising, development, community outreach, and stakeholder relationships.
Nonprofit leaders serve a purpose that aligns with the organization’s mission and long-term strategy. Many of their positions are interdependent. No matter the size of the nonprofit organization, leaders are needed to guide the staff and meet the expectations of stakeholders. What’s distinctive about these types of leaders is their mission-driven focus.
As in for-profit organizations, nonprofits employ leaders to fill both executive roles and those in technology, outreach, culture, marketing, event planning, and accounting. Individuals who aspire to work in the nonprofit space may want to consider earning a master’s degree so that they’re prepared before applying for positions.
What Is Nonprofit Leadership?
To be a nonprofit leader requires a passion for a cause and strategic management skills. Top managers, along with nonleadership employees, contribute to the success of the organization and its sustainability. Because of the many types of leadership roles available, individuals might gain experience in administrative, marketing, communication, education, or case management positions to prepare for a leadership role.
Nonprofit leaders employ a number of different leadership styles, including the following:
- Transactional leadership. Transactional leaders use a structured approach to managing focused on achieving short-term goals and contractual obligations.
- Servant leadership. Servant leaders are motivated to pursue the organization’s mission, solve problems, listen to concerns, empower others, and build community relationships
- Charismatic leadership. Charismatic leaders use their personalities or powers of persuasion to motivate others.
- Transformational leadership. Transformational leaders are optimistic about the future of the organization and are focused on its growth.
Types of Leadership Roles in Nonprofit Organizations
Nonprofit organizations focus on a mission rather than generating income, so leaders are responsible for shaping the organization’s direction, fulfilling its goals, and managing its resources. These are some common leadership positions in nonprofit organizations:
Chief Executive Officer/Executive Director
Chief executive officers (CEOs) or executive directors are the top senior leaders who have the primary task of being a liaison between the board of directors and the organization. The CEO or executive director oversees the day-to-day operations and strategic vision of the organization, as established by the board. In addition to being operational leaders, they typically manage the organization’s budget, serve as its spokesperson, launch its fundraising efforts, and ensure that its needed resources are secured.
According to Payscale, nonprofit CEOs earn an average annual salary of $113,330 as of September 2024.
Chief Financial Officer
Chief financial officers (CFOs) play a pivotal role in the success of a nonprofit organization. These professionals manage the organization’s investments, ensure that its accounting reports are accurate, and oversee its compliance with tax laws and grant regulations. They are responsible for maintaining financial accountability, as well as developing long-term financial strategies and making wise financial decisions.
Payscale reports that CFOs earn an average annual salary of $149,640 as of September 2024.
Chief Operating Officer
Chief operating officers (COOs) work with CEOs on managing daily tasks at the highest level. However, COOs concentrate on relationships and issues concerning personnel, staff development, and program implementation. They make certain that the organization runs smoothly and maintains productivity.
Director of Philanthropy
Leadership roles in nonprofit organizations aren’t limited to C-level positions. Directors of philanthropy develop and manage the organization’s fundraising process, donor relations, and grant administration. Because nonprofits rely on donations, grants, and sponsorships to support and fulfill their mission, these professionals are valued members of the organization’s leadership team. Other common titles for this role are fundraising manager, development director, advocacy director, and corporate giving director.
According to Payscale, directors of philanthropy earn an average annual salary of $96,730 as of July 2024.
Get Trained for Nonprofit Leadership Roles With a Master’s Degree
Professionals who fill leadership roles in a nonprofit organization have the opportunity to help their community and align their values with their passion projects and careers.
Individuals interested in pursuing a career as a nonprofit leader should consider enrolling in the Master of Arts in Social Impact program at Claremont Lincoln University. The program includes classes in nonprofit and social sector leadership, finance for managers, project management, strategic communication, and social change marketing. To accommodate students’ work schedules, CLU offers the program 100% online with interactive learning sessions.
Part-time students may complete the program in as little as 22 months, while full-time students may finish in as few as 13 months. Common positions for graduates include director of community impact and engagement, nonprofit program director, and director of planned giving.
Find out how Claremont Lincoln University can prepare you for leadership roles in a nonprofit organization.
Sources
Connecteam, “Most Common Nonprofit Job Titles and Their Responsibilities”
Forbes, “20 Key Characteristics Needed in Today’s Nonprofit Leaders”
Helping Hearts, Caring Souls, “What Are the Job Titles in a Non-profit Organization?”
Indeed, “155 Nonprofit Job Titles to Consider”
Indeed, “Nonprofit Leadership: Different Types and Important Skills”
OneCause, “Nonprofit Leadership: 4 Leader Types”
Payscale, Average Chief Executive Officer (CEO), Non-Profit Organization Salary
Payscale, Average Chief Financial Officer (CFO) Salary
Claremont Lincoln University is a non-profit university offering affordable online degrees, graduate certificates, and professional development programs. Through a socially conscious education framework, CLU’s mission is to create a new leadership ecosystem through its proprietary Claremont Core®, a distinctive model that encompasses the knowledge needed to become an effective leader of positive change in the workplace or community. CLU is regionally accredited by the highly regarded WASC Senior College and University Commission (WSCUC), which ensures institutions meet strict standards and fulfill their missions to serve their students and the public good. Degree programs at CLU focus on healthcare administration, human resources, organizational leadership, management, professional studies, public administration, social impact, and sustainability leadership.
Claremont Lincoln University is the university of the Lincoln Institute of Land Policy, a non-profit global thought leader solving social, environmental, and economic challenges. Together, we are mobilizing leaders worldwide to tackle the most pressing climate, land, water, finance, housing, infrastructure, and other issues.