Nonprofit Board Composition, Engagement, and Leadership: Does Diversity Make a Difference?

• In Event: Diversity and Inclusion through Nonprofit Organizations

Abstract

In 2018, the Lilly Family School of Philanthropy (LFSOP) partnered with Johnson Grossnickle and Associates (JGA) and Board Source on a study (Osili et al., 2018) that measured the impact of nonprofit board diversity on philanthropy, leadership, and board engagement. The theoretical framework hypothesized that organizational characteristics (age, revenue, and subsector) and board diversity (gender, race/ethnicity and age) are influencing factors for board outcomes (board member engagement, fundraising engagement, and advocacy engagement). That study found that “diversity on nonprofit boards falls short of reflecting the diversity of the United States” but that “boards with higher percentages of women tend to have more board member engagement, higher fundraising engagement and higher advocacy engagement” and “the pursuit of board diversity delivers its own rewards” (Osili et al., 2018).
As a follow-up to that study, this study attempts to determine the impact of nonprofit board diversity on philanthropy, leadership, and board engagement in Central Indiana. This study combines quantitative and qualitative methods to explore diversity among nonprofit board in Central Indiana as well as the role diversity plays in the engagement of the board.

Boards that had a higher percentage of non-White members were more likely to indicate that their board is actively engaged in oversight and governing the organization as well as more likely to indicate that they think strategically. In addition, boards that had a higher percentage of women were more likely to indicate that the board is actively engaged in oversight and governance. Organizations that believed that their organization has done well promoting diversity and inclusion within the organization were more likely to have board members participate in all aspects of fundraising.

References

Osili, U., Zarins, S., Bergdoll, J., Kou, C.X., Kalugyer, A.D., Staashelm, J., Tian, Y. & Davenport, A. The Impact of Diversity. (2018). Lilly Family School of Philanthropy, Johnson Grossnickle Associates, & BoardSource.

Authors

• Laura Littlepage, Indiana University

• Una Osili, Indiana University

• Jonathan Bergdoll, Indiana University