Business Versus Family Model of Leadership: Understanding the leadership paradigm in
the small church.

By Dr. Glenn Daman

There remains a vast difference between what is written today about leadership and the
type of leadership accepted by people within the small church. In recent history, the
church has adopted much of the leadership model formulated within the secular business
community. While it is true that there is much that can (and should) be learned from the
business paradigm of leadership, often that paradigm conflicts with the concept of
leadership adapted within the small church. This results in the accusation that the small
church remains hardheaded, unchangeable, unleadable, old fashioned, or worse, downright
sinful.

However, the problem is often not found in the people within in the church but in the
failure of the leaders to understand the different paradigm by which the small church
understands the role and nature of leadership. Whereas much of what is written about
church leadership follows a business model, the small church operates under a family model
of leadership where relationships form the fabric.

1.The business model manages by objectives; the family model manages by relationships.

Management by objectives means that the leaders of the church and/or group formulate
goals and objectives which become the basis for decisions. Plans are made based upon the
desired outcome. Any decision that does not result in the achievement of the objectives is
to be rejected. Only those that move the group closer to the accomplishment of the goals
are validated. Within the small church, decisions are not based upon objectives, but upon
the effect the decision will have upon the unity and fellowship within the congregation.

A decision, no matter how significant or beneficial, will be rejected if it is
perceived to undermine or threaten the unity within the community. The decision to replace
the organ with a keyboard is not based upon the objective of reaching baby boomers, but
how it will affect the family who donated the organ and the person who has been playing
the organ for the past twenty years.

2.Within the business model the leader is the visionary and direction setter; in the
family model the congregation sets the vision and the leader serves as a facilitator and
guide in assisting the congregation in determining and implementing its vision.

Most of the literature today dealing with the vision and direction of the church
reflects a model adapted by the business community. Within this model, the pastor is
responsible to set the direction and vision for the congregation. The congregation then
follows the pastor and assists the pastor in implementing the vision. 

George Barna, in his book, The Power of Vision, quotes Bill Moore who states, "The
leader’s got to have a vision of where he plans to take the company. He has to be able to
dramatize that vision for  his organization." (p. 168). In George Barna’s model,
the pastor function like the leader of a  company in determining the direction for
the church. As the pastor communicates the vision to the board and congregation, then they
will rally around the pastor in moving the church forward.

In contrast, the small church often balks at any pastor who attempts to dictate the
direction of the congregation. In the family model of leadership, any direction for the
family is based upon input from the whole group, with each family member having a say in
the matter. The role of the pastor is not to set the direction, but to help the
congregation establish the direction they want to go. The people, not the pastor sets the
vision for the congregation. The pastor is responsible to work with the various groups to
implement that vision. In the small church they want a pastor who listens to their visions
and dreams and works with them in achieving them.

3.Within the business model the pastor serves as the CEO, in the family model the
pastor serves as a shepherd. The small church wants a pastor who relates to them as
individuals. They look for someone who will minister to them as a person rather than
through programs. They want a leader who is approachable, who provides guidance and
comfort through the struggles and daily pressures of life. While the pastor may oversee
the various programs and ministries, the people are more concerned about relational skills
than managerial skills. Within the business model, the pastor’s performance is evaluated
based on the effectiveness by which he supervises the programs and sets the direction for
the church’s ministries. In the business model, it is more important that the pastor
ministers to the whole congregation than to each individual within the congregation.

In the small church, how he ministers to each individual within the congregation is
more important than how he ministers to the whole congregation. People evaluate the pastor
by how well he relates to them. People examine the amount of time spent with them. They
want to know the pastor personally and individually. They are not content to leave
messages with his secretary or be referred to another staff member. The pastor needs to be
accessible and available to each one.

4.Within the business model of leadership organizational plans dictate policies and
procedures, in the family model of leadership relationships dictate policies and
procedures. The business model operates under the assumption that the health and well
being of the organization is more important than the individual. Procedures are determined
based upon the effect they will have upon the whole organization. Consequently, policies
and procedures are designed to protect the organization and keep the congregation running
smoothly.

Within the small church, because it focuses upon a family model, the assumption is that
the individual is more important than the whole organization. It is not that they fail to
see the importance of the organization, but that the health and well-being of one
individual is seen to significantly impact the health and well-being of the whole group.
If one person is dissatisfied or upset, then the whole congregation experiences tension
and the group dynamics are drastically altered. Consequently, policies and procedures are
made to assure health of the individual and protect the individual from harm, even at the
expense of organizational effectiveness.

5.The business model measures success by programs and growth, the family model focuses
upon stability and unity. The church operating under a business model measures success by
results. They are product oriented rather than process oriented. The church is considered
evangelistic if baptisms are occurring. The number of programs that are being developed
and the amount of people participating within these ministries measures the growth and
success of the church.

Thus, people evaluate the health of the congregation by the location and visibility of
the church, the percentage of people involved in small groups, the stability of the
financial resources, the adequacy of the facilities and the development of multifaceted
programs. If numbers are increasing, people are satisfied because the church is growing.
When numbers are decreasing, the leadership becomes dissatisfied because the church is
declining.

Within the family model, relations and inward experiences measure success. The
congregation is process oriented rather than product oriented. The congregation is
considered to be evangelistic if people are sharing Christ with their neighbors and being
involved in the community even if that does not translate into baptisms and the addition
of new members. The church is successful when there is unity within the congregation, when
people are caring for one another. Health is measured by the absence of conflicts, the
stability of the rolls, the willingness of people to be involved and the amount of
personal growth experienced. People are satisfied regardless of the numbers as long as
each individual is growing.

6.In the business model few make most of the decisions, in the family model the
congregation makes most of the decisions. The larger the church the more decisions are
made by delegation. The various boards are responsible for most of the decisions. The
congregation is responsible for the election of people to serve on the boards. The people
decide only the most significant decisions that affect the whole congregation and future
of the church.

Within the smaller church, everyone is considered to have an equal voice and the
congregation makes most of the decisions. The various boards make only minor decisions and
then only after the congregation has carefully delineated what those decisions would be.
The boards are responsible for researching the issues and bringing recommendations to the
congregation, but it is the congregation who has the final say in the matter. Within the
business model, decisions are made by the whole only when they affect the whole. In the
family model, decisions are made by the whole even when they affect only a part.

7.In the business model the budget guides decisions, in the family model decisions
guide the budget.  When a business contemplates a proposal being considered, one of
the first considerations is how the idea will fit within the budget. While the financial
statues is not the sole determining factor, it does play heavily into the process. The
formation of the new budget for the coming year is an important process and is given
careful consideration.

Within the family model, the budget plays a far less significant role. Within the small
church ,budgets are made but rarely followed. People give based upon the need presented
rather than the budget. The budget serves only to give general guidelines. When needs
arise and proposals given, decisions are based upon the present financial status rather
than any future budget. If there is a need, the congregation readily alters the budget
rather than restricts it based upon the future budgeted needs.

8.In the business model groups function independently, in the family model groups
function interdependently. In the business model, there are a number of different groups
that compose the whole function independent of each other. Only when their function and
purpose affects the whole congregation, or another group is there mutual discussion and
inter-relatedness. Within the family model, the focus shifts to the whole where each group
is an interrelated part. As a result, every decision of one group is of interest with the
other groups, even when that decision does not have any direct bearing upon them. People
in the Christian Education department desire to know what the Worship Group is doing
because they see their work as part of worship and want to coordinate efforts. 

————————

- From _Mikros_ (the Greek word for Small) published bi-monthly by the Institute for
Small Church Health. Dr Glenn C Daman, editor.

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