Certified Fund Raising Executive (CFRE) Practice Test

In terms of board functions, which activity would typically fall outside their responsibilities?

1. Setting overarching fundraising strategies

2. Constituting active fundraising committees

3. Hiring the executive director

4. Publicly representing the organization

The correct answer is: Hiring the executive director

The activity of hiring the executive director typically falls outside the responsibilities of the board in the context of daily operational tasks but is rather a fundamental responsibility of the board as a governing body. While the board indeed plays a crucial role in hiring the executive director, it does not typically engage in ongoing management or operational decision-making; this is where the executive director's responsibilities are emphasized. Instead, the setting of overarching fundraising strategies, forming active fundraising committees, and publicly representing the organization are all strategic and governance-level functions that align with the board's role in steering the organization and ensuring its mission is pursued effectively. These activities focus on the broader vision and sustainability of the organization, which the board is fundamentally charged with overseeing. Understanding the delineation between governance and management is essential, as the board should concentrate on high-level oversight rather than day-to-day management tasks, fostering a clear distinction in roles within the organization's leadership structure.