Hiring a Chief Development Officer: A Field Guide for Mission-Driven Organizations

Few roles matter more to a nonprofit's future than its chief development officer, and few turn over as often. A national study by CompassPoint and the Evelyn and Walter Haas, Jr. Fund found that half of development directors expected to leave their jobs within two years, and that open development director positions stayed vacant for an average of six months. Every one of those departures costs relationships as well as time.

Here is what we have learned from recruiting development leaders for associations, foundations and mission-driven organizations.

Most development hires fail on the organization, not the candidate

A talented fundraiser cannot succeed where the chief executive and board are not part of the work. Before recruiting, be honest about how much time the chief executive will spend with donors, which board members will open doors, and whether the organization treats fundraising as everyone's responsibility or as one department's problem. Candidates will test these questions in interviews, and the best ones will walk away if the answers are vague.

Hire for the program you are building next

"Development" covers very different jobs. An organization moving from events and grants to major gifts needs a relationship builder who is comfortable asking for significant commitments. One preparing for a campaign needs someone who has run one. One with a large membership base needs strength in annual giving and data. Decide which program you are building over the next three years and hire for that, not for a generic list of fundraising skills.

Look at the evidence behind the totals

Fundraising totals on a resume are usually team results. Ask candidates what they personally closed, how they built and managed a portfolio, how they grew donor retention, and what happened to those relationships after they left. The answer to the last question tells you a great deal about how they steward donors on the organization's behalf rather than their own.

Set a realistic first year

Major gift relationships often take a year or more to mature. A new development leader measured only on dollars raised in the first twelve months will be tempted to chase short-term gifts at the expense of the pipeline. Agree on first-year goals that include portfolio building, donor meetings and systems, alongside revenue.

Mission fit matters, but it is not the whole answer

Candidates who share the organization's mission bring credibility and staying power. But limiting the search to people from the same cause shrinks the pool considerably. Some of the strongest development leaders we have placed came from adjacent causes, higher education or healthcare philanthropy and made the mission their own. For organizations with a military or veterans mission, like the Army Historical Foundation, whose Vice President of Development search we are leading this year, candidates with service connections and those with deep major gifts experience are both worth serious consideration.

Questions to settle before you recruit

• Which fundraising program must this leader build over the next three years?
• How much time will the chief executive and board commit to donor work?
• What are realistic goals for the first year, beyond dollars raised?
• Are the data systems and staff in place, or is building them part of the job?
• Is compensation competitive with the organizations your best candidates would leave?