The business aspects for Division I-A intercollegiate athletics programs, particularly as they relate to expenses, certainly have increased over the years. Today’s intercollegiate athletics departments are feeling the effects of state budget cuts, the strain to maximize donor support to balance the budget, and the challenge of chasing the ongoing goal of providing the best student-athlete experience possible to young men and women.

It is absolutely critical then for intercollegiate athletics departments to run successful fund-raising campaigns. Leadership has been shown to be one of the most significant factors in the successful development efforts of an intercollegiate athletics department. But what type of leadership contributes to a successful fund-raising campaign?

Research has shown that when athletics departments use the traditional top-down leadership approach that is not inclusive of all involved, the department’s finances suffer. Ideas in that model are handed down without discussion, and subordinates are expected to carry out those concepts without objection.

Top-down leadership often fails in today’s society because the work force is better educated, and the business environment is changing faster than ever. For an organization to be successful, it must use employees’ knowledge and skills more effectively, and give them the ability to respond to the changes. In terms of fund-raising, the top-down approach is susceptible to failure because it can lead to donors being asked for their philanthropic support without educating them about the department’s needs. In addition, an athletics director may not even be aware of what areas of interest a donor has, which could lead to the AD spending time trying to gain support for a project where there is no interest.

Therefore, finding alternative leadership styles to enhance development efforts is critical. In theory, a “transformational” leadership style offers many of the qualities needed for athletics directors to run successful financial campaigns.

Transformational leadership works by influencing major changes in the attitudes and assumptions of organizational members and building commitment for the organization’s mission, objectives and strategies. It is effective because leaders in the transformational model pay attention to, and are sensitive of, the needs of their subordinates and themselves. Transformational leaders cultivate the acceptance of the group mission through intellectual stimulation and individualized consideration. They seek to unite subordinates as they work toward a common purpose.

In terms of fund-raising under this model, an athletics director spends time getting to know and developing trust with the supporters. The athletics director then works closely with the donor to match the priorities of the department with the goals of the supporters.

However, there is minimal research on the leadership characteristics needed to sustain successful development and fund-raising initiatives. That is why I conducted a study pertaining to how various leadership styles, and the transformational leadership style in particular, affect a donor’s willingness to contribute to a university’s athletics department.       

The study surveyed donors of two Division I-A institutions about the athletics director’s behavior, philosophy and actions. The donors were asked to rate on a scale of 1-5 whether they preferred a stated characteristic or behavior. In addition, donors were asked seven demographic questions and an additional question to determine the relationship between a donor’s inclination to support the program and his or her preference for transformational leadership characteristics in the AD’s leadership style.

The responses showed a strong preference for the AD using a transformational leadership style. Results also indicated overwhelmingly that donors who shared similar values with an AD who used a transformational leadership style were more inclined to continue contributing to the athletics program.

In addition to the specific interactions between the AD and the donors previously mentioned, donors can sense when a department is working as a team and when the staff feels valued and committed to the department’s mission. Some of the characteristics identified as positive by donors pertaining to the way an AD manages her or his staff were: (1) an AD who is able to identify and articulate a vision, (2) provide an appropriate model (lead by example), and (3) foster the acceptance of group goals. If an AD wants to maximize the level of philanthropic support for the athletics program, he or she needs to work with donors using a transformational leadership style that has proven to be successful in a business environment.   

Brian D. Wickstrom is the assistant athletics director for development and business partnerships at the University of Michigan.