Eugene Fram (author of Policy vs. Paper Clips) sent me this nice piece to help boards think about metrics and more importantly pay attention to something other than day-to-day operations.
To me Mr. Fram offers two important lessons in this piece titled Using Imperfect Metrics Well. First, Mr. Fram reinforces that it is really up to the nonprofit Board to determine what success is for a nonprofit AND, determine if success has been achieved. Of course, and the bottom line to the article, some metrics, some measure of success, is necessary for effective governance.
Mr. Fram's second point and as he puts it: Using metrics, no matter how sophisticated, should never be divorced from the working relationship of the players. Their level of shared understanding, interpersonal trust, and willingness to be vulnerable are as important as the measurement tools they employ.
Here's Mr. Fram's and his co-author Jerry Talley's pdf for the article. Download Metrics_finale.pdf-12-09