Development director
Encyclopedia
A development director is the senior financial officer
of an organization
, company, or corporation
. The position is comparable to a chief financial officer (CFO) or treasurer
. A development director is usually remunerated
for his or her work . In best practices for non-profit organizations, development directors earn salaries. Commissions are still considered unethical by professional organizations such as the Association for Fundraising Professionals, but the practice of commission based remuneration is growing, particularly in the current economy.
Senior fundraising employees of North America
n non-profit organization
s are usually called the development director instead of chief financial officer, in order to avoid the business connotation
s which the latter name evokes. It also distinguishes them from other members of the board of directors
(who are often not remunerated for their roles) and from non-executive director
s, who are not actively involved in running the corporation.
The role of a development director is to develop and implement a strategic plan to raise vital funds for their organization in a cost-effective and time-efficient manner.The development director's primary responsibility, however, is to oversee fundraising, rather than to actually raise money. This person may write grants, research foundations and corporations, and oversee or implement other fundraising strategies, but she or he works mostly behind the scenes, establishing a structure for effective fundraising. The development director may also be responsible for the financial condition of the organization, including developing business plans in collaboration with the board for the future of the organization. The development director is accountable to the Executive director
and the board (which grants the executive director the authority to run the company) and reports to the executive director on a regular basis. The board often offer suggestions and ideas about how to increase the fundraising, including contacts, and the development director chooses how to implement these ideas to maximize inflow while keeping outflow at a minimum and keeping donors happy.
The development director has an outreach role in the organization and often fulfills a Public affairs
role in addition to office-based work. Development directors motivate and satisfy donors, board members, staff and even the press.
As the title suggests, the development director is concerned with the growth of the organization. This includes staff, membership, budget, company assets, and all other company resources, to help make the best use of them and maximize the organization's profitability and profile.
Chief financial officer
The chief financial officer or Chief financial and operating officer is a corporate officer primarily responsible for managing the financial risks of the corporation. This officer is also responsible for financial planning and record-keeping, as well as financial reporting to higher management...
of an organization
Organization
An organization is a social group which distributes tasks for a collective goal. The word itself is derived from the Greek word organon, itself derived from the better-known word ergon - as we know `organ` - and it means a compartment for a particular job.There are a variety of legal types of...
, company, or corporation
Corporation
A corporation is created under the laws of a state as a separate legal entity that has privileges and liabilities that are distinct from those of its members. There are many different forms of corporations, most of which are used to conduct business. Early corporations were established by charter...
. The position is comparable to a chief financial officer (CFO) or treasurer
Treasurer
A treasurer is the person responsible for running the treasury of an organization. The adjective for a treasurer is normally "tresorial". The adjective "treasurial" normally means pertaining to a treasury, rather than the treasurer.-Government:...
. A development director is usually remunerated
Remuneration
Remuneration is the total compensation that an employee receives in exchange for the service they perform for their employer. Typically, this consists of monetary rewards, also referred to as wage or salary...
for his or her work . In best practices for non-profit organizations, development directors earn salaries. Commissions are still considered unethical by professional organizations such as the Association for Fundraising Professionals, but the practice of commission based remuneration is growing, particularly in the current economy.
Senior fundraising employees of North America
North America
North America is a continent wholly within the Northern Hemisphere and almost wholly within the Western Hemisphere. It is also considered a northern subcontinent of the Americas...
n non-profit organization
Non-profit organization
Nonprofit organization is neither a legal nor technical definition but generally refers to an organization that uses surplus revenues to achieve its goals, rather than distributing them as profit or dividends...
s are usually called the development director instead of chief financial officer, in order to avoid the business connotation
Connotation
A connotation is a commonly understood subjective cultural or emotional association that some word or phrase carries, in addition to the word's or phrase's explicit or literal meaning, which is its denotation....
s which the latter name evokes. It also distinguishes them from other members of the board of directors
Board of directors
A board of directors is a body of elected or appointed members who jointly oversee the activities of a company or organization. Other names include board of governors, board of managers, board of regents, board of trustees, and board of visitors...
(who are often not remunerated for their roles) and from non-executive director
Non-executive director
A non-executive director or outside director is a member of the board of directors of a company who does not form part of the executive management team. He or she is not an employee of the company or affiliated with it in any other way...
s, who are not actively involved in running the corporation.
The role of a development director is to develop and implement a strategic plan to raise vital funds for their organization in a cost-effective and time-efficient manner.The development director's primary responsibility, however, is to oversee fundraising, rather than to actually raise money. This person may write grants, research foundations and corporations, and oversee or implement other fundraising strategies, but she or he works mostly behind the scenes, establishing a structure for effective fundraising. The development director may also be responsible for the financial condition of the organization, including developing business plans in collaboration with the board for the future of the organization. The development director is accountable to the Executive director
Executive director
Executive director is a term sometimes applied to the chief executive officer or managing director of an organization, company, or corporation. It is widely used in North American non-profit organizations, though in recent decades many U.S. nonprofits have adopted the title "President/CEO"...
and the board (which grants the executive director the authority to run the company) and reports to the executive director on a regular basis. The board often offer suggestions and ideas about how to increase the fundraising, including contacts, and the development director chooses how to implement these ideas to maximize inflow while keeping outflow at a minimum and keeping donors happy.
The development director has an outreach role in the organization and often fulfills a Public affairs
Public relations
Public relations is the actions of a corporation, store, government, individual, etc., in promoting goodwill between itself and the public, the community, employees, customers, etc....
role in addition to office-based work. Development directors motivate and satisfy donors, board members, staff and even the press.
As the title suggests, the development director is concerned with the growth of the organization. This includes staff, membership, budget, company assets, and all other company resources, to help make the best use of them and maximize the organization's profitability and profile.