The Board from Hell

Taken from the Summer 2002 edition of the Zeitgeist Client Newsletter

 
As Destination Marketing Organizations grow, they invariably become more visible in the communities they serve. With this visibility often comes an increased interest from community members to serve on DMO Boards.
 
A decade ago, many DMOs complained that they couldn't get the best and the brightest to serve on their Boards. The folks with the brains and the juice tended to gravitate toward more traditional economic development boards, such as Chambers of Commerce and Economic Development Councils.
 
But many of the community leaders we once coveted have now retired, leaving a new brand of Board candidate in their wake. This is just one of the danger zones that we'll feature over the next few issues in "The Board from Hell."
 
TODAY'S YOUNG TURKS

In a galaxy that now seems far, far away, there used to be a brand of community leader that volunteered their time for the greater good. Sure, it looked good on their resume and it afforded them some interesting networking opportunities...but that wasn't their primary reason for involvement.

Instead, it was the deep sense of community that their parents (and the time) had instilled within them. The "we're in this together" mentality that evolved from the World War II generation. Today's community leaders come cut from a different cloth. The "up yours" 60s, the "whatever" 70s and the "my, me, mine" 80s have produced a new breed of Board members that don't play as well together and are singularly focused on the bottom-line (both the organization's and their own).
 
It's an impatient, sometimes cut-throat Board that now peers at the DMO CEO across the conference table. "What have you done for me LATELY," is a much more common meetings mantra than yesterday's "How can we create the future."
 
We're not saying that this is wrong. Demanding greater accountability is actually a good thing for today's DMO. But the CEO that utilizes traditional tactics or expectations with this new brand of Board will find the sledding to be treacherous. And those that attempt to mold these new-style Boards to the "way it was" will fail. It's not the Board that must change but the CEO.
 
The knowledge that these Boards want results should power the CEO to produce compelling, easy to read reports that outline key measurements. Report on unique web visitors and visitor center stats if you must, but today's Board wants impact. Reporting 6 conventions totalling 2,800 room nights is better. Reporting that these events will produce an economic impact of $500,000 and room tax receipts of $10,500 is even better.
 
Because this new breed wants to see ROI. Because their bosses over the years have demanded ROI. It's all they know...and what they now expect as they emulate what they think their predecessors expected.
 
THE APPOINTED BOARD

While not necessarily the result of a changing culture in community leaders, the DMO world seems increasingly plagued with Boards that are predominantly appointed by others.
 
The "why" behind such a governance structure is easy: control. Whether it is as innocent as a government believing that it has a fiduciary responsibility to monitor the expenditures of public tax revenues or as sinister as a Mayor wanting to pack the Board with friends that got her elected, the result is rarely positive.
 
This should be simple. Board members that are appointed do not represent the good of the organization or the destination. Board members that are appointed represent the appointers. Thus, the appointed Board often struggles to do "the right thing."
 
If it is the innocent belief that the organization must be monitored, that can be best accomplished through a well-crafted contract for services. In fact, like rock-scissors-paper, a good contract beats having your appointee do your bidding...because sometimes they goof and don't vote the way they've been told.
 
If it's nothing but a power thing, everybody involved needs a hobby. Unless there is the ability to make money on DMO decisions (which would be a conflict of interest), there should be no more motivation for one to serve than to benefit the community at-large.
 
A few appointments are a good thing. One could even say desirable. They can create informational liaisons with key governmental units and community organizations, resulting in stronger co-operative relationships and a furthering of joint goals. But, once a Board slips past the 50% level in its appointments, it has effectively lost the ability to insure that the Board is leading the organization.
 
In the Next Board From Hell:
The Weak Chair and the Plague of the Overbearing Committee.

 

 

ZEITGEIST CONSULTING
PO BOX 45445 - MADISON, WI 53744 - 608.836.8876