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Management - Why Have a CEO?????


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In my observations of our local ballet company, I've reached the following conclusions about why there is a CEO position:  1.  Boards of Directors are lazy and don't want to have to go to a number of sources on staff for information.  They want to be spoon fed information and one stop shopping is the way to go for them.  2.  As corporate representation on Boards of Directors has increased, they expect and want business models with which they are familiar and have experience.  They mistakenly assume that the for-profit model is applicable to and in the non-profit world.  3.  The Artistic Director of our local company is foreign born and lacks familiarity with capitalistic business models.  It would appear that our Board feels that a CEO is the best way in which to address this deficiency.  I would be interested in learning if other companies using the CEO model have done so for similar reasons.

That may be the case for your local company, but while there was a trend in the early 80's to make arts management more corporate, thinking that MBA's could do a better job, the relationship between the board and artistic management varies widely among companies. The extent to which board membership is used for social purposes, including business networking has an impact, whether the board is run by a member of a company that is a key funder, the trust the board members have in the artistic team, the financial viability of the city/area where the organization exists, and how important the org is in the area's social life.

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