Maximize your Nonprofit Through the 'Mack Truck' Theory

This post almost wrote itself as I sat across from an associate who was discussing the “Mack Truck Theory.” If you manage a nonprofit and you’ve never heard the term, tattoo it on your forehead because it may be one of the most important concepts you'll ever apply to your organization.

The theory says every leader should document not only what they do, but why they do it and how they do it, so if they're hit by a Mack truck tomorrow, someone else can step in and keep the organization moving forward.

But the Mack truck theory is about more than just processes, it is also about people.

The most common mistakes made by nonprofit leaders – especially in the early stages of organizational development – are as follows:

• Creating all processes and policies “in your head” and not documenting them (step-by-step) on paper.

• Hiring your friends to do jobs essential to your organization’s survival.

• Populating your board with people intended to protect your position, not grow your organization.

All three are often seen as necessary in the beginning, but all three will eventually destroy the organization from within if allowed to persist beyond development stages.

I get it. It is scary to start a nonprofit. It is scary to take that leap of faith. No one wants to feel like they are stepping into the abyss alone. But that fear can make us insular, tempting us to surround ourselves with a few safety blankets designed to reassure us that “it’s a great idea!” “People will support this no matter what!” “You’re an amazing person for doing this.”

But at some point you must apply a litmus test to your concepts and brace yourself for some difficult truths. It’s either that or you go merrily on your way believing only the words of your personal echo chamber and blaming the economy, the governing political party, the  media, your staff or (fill in the blank) for your organization’s lack of growth. It’s a recipe for failure every single time.

So how do you avoid it? Pretty simple really.

First, regarding bullet point one:

Document. Document. Document. Whether you keep a work journal or you draft individual papers on your various processes, create a paper trail of every process and policy: the thought behind it, its goals and objectives and how it functionally fits into day-to-day operations. When I worked at the National Aviation Hall of Fame, our Executive Director required that everyone learn how to turn on and off every single exhibit. He had the process written down and followed us around as we attempted to interpret and implement. Why? “If I get hit by a truck on the way home tonight, the Center still needs to open its doors tomorrow.” Smart man. The Mack Truck Theory in action.

Document your operational policies, your contact list, your fundraising plan, how to access your computer files, where the spare keys to your building are located, how to access software programs, who your board members are and why (you’d be surprised how few nonprofit employees even know they have a board, let alone who is on it.) Document and securely store ALL necessary paperwork: your IRS letter of determination, W9, Articles of Incorporation, non-discrimination policy, job descriptions, state solicitation paperwork, program descriptions, 990s, annual and program budgets and more.

They aren’t just necessary in the event of a Mack Truck disaster, they are absolutely essential for grantwriting, fundraising and strategic growth. They're also invaluable during leadership transitions, audits, accreditation reviews and major donor due diligence.

Bullet point two:

I get hiring your friends. And if your friends are skilled in fundraising, strategic planning, communications, marketing or some other vital nonprofit function, then, by all means, go for it! Just be sure that your friend understands where the friendship stops and the job description begins.

I have a particular friend that I have hired twice…and would do so again. Not only is she a go-getter and an excellent nonprofit generalist but she has never once looked at me with a pouty lip and said, “but I thought you were my friend…” That’s not to say we haven’t had some spirited debates and occasionally gone to our separate corners to ponder next steps, but we always reconvene, discuss and eventually compromise. You want that in ANY employee, but especially those you will interact with long after the business dealings are done.

Thus, I won’t say “never hire friends,” I will only say “do so very strategically” and make sure you both know the ground rules going in. And, for Pete’s sake, hire them based on their actual skill sets and ability to contribute, NOT because they are friends.  

I briefly worked with a Florida nonprofit where the founder had populated her staff with her “church ladies.” Don’t get me wrong, church ladies are a force of nature – frequently very organized, logistical and downright brutal in their enforcement of structure and process. Gotta love ‘em! But, in this case, institutional knowledge was lacking and there was no real effort made to remedy that. They all just muddled along, reinforcing each other’s weaknesses instead of building on strengths. It was a mess and, so far as I know, it still is.

Bullet point three:

I understand this one completely. The first hurdle is understanding down to the core of your soul that you do NOT “own” your nonprofit. You never will. It may reflect your heart, but it will never be you, and you should never become indistinguishable from it. Once you clear that hurdle you will be in a much better position to assemble a board designed to grow the organization and HELP you build a foundation that lasts long after you are gone.

I will go so far as to say that it is okay, initially, to add a few key folks who you know are squarely in your corner. I’d rather see them on your board than in your employ. Board members have finite terms, but employees can last far beyond their usefulness if you don’t have the backbone to fire them. But even in the case of “comfort board members,” try to choose ones that bring a particular skillset or knowledge base to the table, and buttress them with community/business leaders, programming beneficiaries and subject matter experts.

Your board actually has a job to do and you want people who are willing and ABLE to do it well.

Conclusion

If you examine and apply this information to your daily nonprofit operations, you will scaffold the organization for success (and make your own life and job much easier.) Great nonprofits aren't built to depend on one extraordinary founder. They're built to survive one.

That's the real lesson behind the Mack Truck Theory.