If you’ve never served on a nonprofit board, you might not realize just how much it can benefit your career and organization. Some business leaders worry it’ll take too much time away from their primary work, but that mindset misses the bigger picture. Being on a nonprofit board isn’t just about selfless service —it’s also a powerful way to grow both personally and professionally..
In fact, research even proves it! According to Alice Korngold’s 2018 Better World Leadership Nonprofit Board Leadership Study and her 2019 research on Nonprofit Board Programs Developing Business Leaders for a Sustainable Future, serving on nonprofit boards fosters leadership development, enhances productivity, and promotes workplace diversity. These studies underscore that nonprofit board service is a strategic leadership development tool that helps business leaders build skills necessary for long-term success and sustainability. The 2019 study found that nonprofit board participation:
- Equips leaders with the ability to navigate complex problem-solving in a rapidly changing world.
- Strengthens corporate social responsibility (CSR) efforts, making companies more attractive to employees and customers.
- Enhances leaders’ ability to integrate sustainability into corporate strategy, ensuring long-term business resilience.
- Develops ethical leadership, fostering inclusive decision-making and stakeholder engagement.
The longer individuals serve on nonprofit boards, the more profound these benefits become. Engaging in nonprofit leadership is not only a means of giving back but also a strategic investment in professional and organizational growth.
Top 10 Benefits of Serving on a Nonprofit Board
- Develop Leadership Skills
Nonprofit board members hone their leadership abilities by managing diverse teams, resolving conflicts, and making mission-driven decisions—skills that translate directly to business settings. The 2019 study highlights how this experience enhances leaders’ ability to build and lead high-performing, inclusive teams. - Gain Professional Development Opportunities
Board service exposes members to various aspects of organizational management, including finance, marketing, human resources, and fundraising, providing hands-on experience that can enhance their professional expertise. These cross-functional skills are critical for business leaders aiming to drive innovation and sustainability. - Expand Your Network
Board membership connects leaders with professionals from various industries, offering valuable networking opportunities that can lead to business partnerships and career advancements. The 2019 research found that nonprofit board participation expands social capital, fostering connections that drive both business success and positive community impact. - Strengthen Strategic Thinking
Board service requires members to make critical decisions that shape the nonprofit’s future. This fosters strategic thinking and problem-solving skills, which are crucial for business leadership. Korngold’s research also emphasizes that these experiences help leaders integrate sustainability and long-term thinking into corporate decision-making. - Enhance Financial Acumen
Managing nonprofit budgets and financial planning provides board members with essential financial literacy skills that can improve their ability to oversee budgets and financial strategies in their own companies. Moreover, leaders gain insights into balancing profitability with social responsibility. - Increase Cultural Competency
Korngold’s studies found that 78% of board members reported listening more carefully to different perspectives, and 85% gained a greater appreciation for diverse backgrounds. Research shows that diverse teams make better decisions 87% of the time, leading to stronger businesses and organizations. - Discover and Leverage Strengths
Serving on a nonprofit board allows leaders to identify and utilize their strengths while also discovering new skills through committee work and organizational initiatives. The 2019 study emphasizes how this self-awareness contributes to long-term leadership success and personal growth.