The Great Game of Synagogue Business

by Yoram Samets

I believe it is every member’s responsibility to provide financially for the success of their synagogue. I also believe that there are many different ways to financially support your synagogue. One opportunity that would make a big difference to the organization's financial success would be to bring the financial/business issues out of the back room.

Most of us receive our yearly fundraising appeals, membership dues reminders, and messages about the myriad schemes created to raise money for our synagogues. But few of us understand what is behind the ongoing need to raise money. Few of us think about our synagogue as a business, or understand what it takes to run a synagogue today.

By and large, the system most synagogues use to financially run their operations is directly related to the past, and not the future. The costs of operating a synagogue  -- and how the synagogue will raise the revenue necessary to be successful -- is often a closed-door conversation among a few members and key staff.  

Many businesses have moved to an "open book" policy -- where they share the financial successes and failures with their employees. The primary purpose of  this kind of transparency is to get more employees to think like owners. If business can move toward an open structure that results in a more successful operation, why don't synagogues follow?

As a non-profit business a synagogue already publishes its revenue and expense budgets for the congregation to see and vote on. Why not take "open book" approach and make it part of the synagogues ongoing culture?

Here are some of the advantages to exploring this idea:

• Teach and motivate your members. You have already opened the books to get your budget approved by the congregation, why not update the numbers monthly, this will unify and motivate members to act differently.

• Increase organizational trust. In the culture we live in, we see the continued erosion of trust in our institutions. Operating in an open book environment increases trust through open, honest information.

• Open books end organizational ignorance. Most synagogues have a constant need to raise more revenue. Everything costs more today, even if you do nothing to add to expenses. Having an open book process enables more members to understand the business of the organization. It enables members to see the strengths and the weaknesses of the business. This is all about providing information on an ongoing basis. Information leads to greater business success.
• Community teamwork. Neither being on the fundraising committee, or being the member that is asked for money is an enjoyable situation. And both roles are often made worse because neither really understands the business issues that are driving the need for the revenue. When all members have the same financial understanding, they tend to support one another, pull together, and achieve the communities objectives.
• Open books encourage innovation. Your synagogue's successful financial future is directly tied to improving its process and procedures. Open books will engage more congregants to contribute more money, volunteer more time, and provide new ideas to improve the synagogue’s operation.  

So what are you waiting for? Open your books and you will see many wonderful improvements in your community.