Removing the Mysteries about Church Finance. Jerry L. Johnson

whether it’s your local church or a major corporation, have a definable rhythm that comes from balance. Finances require a balance, as we will see. Sound business principles are applicable here, acquired from years of business experience, business school training, and biblical wisdom.

       Organizational Culture

      Social culture is the norms, habits, and traditions found in organizations, or communities and reveals how the people in that body work together, communicate within and without, and establish patterns that define what is acceptable to them and what is not.

      The “culture” of a church will affect behaviors and outcomes. We often do not associate a “culture” with a church, other than talking about how friendly everyone is, or some other topical observation. The culture of a church is its own, developed over time, and maintained in both subtle and overt ways. Even in church, where people sit suggests there are patterns to be maintained, and how people react when someone else occupies that spot.

      The esteemed professor, writer, and organizational behavior expert, 1Dr. Edgar Schein, has written of three levels of “values” in an organization. This is relevant in all organizations, including churches, and may be reflective of the church’s religious beliefs. The three levels have technical descriptions: Artifacts, Espoused Values, and Basic Assumptions.

       Artifacts

      The Oxford Dictionary defines "artifacts" as an object made by a human being, typically an item of cultural or historical interest.

      According to Schein, the easiest level of values to identify, that is apparent to any observer, is artifacts. For a church, this level could include hundreds of physical items, like steeples, hymn books, pews, crucifix icons or pictures, choirs, and even the church building itself. What they are and the way they are displayed may indicate their importance to the members of that church. Photographs of past or current pastors prominently displayed can tell a story. Section 14 has a more detailed discussion of church artifacts viewed from multiple perspectives. Certain artifacts may be missing which you normally expect to see. Many churches no longer display steeples atop the main building, while others are set up in strip-malls where there is no place for a steeple.

      If certain artifacts are commonly used by a certain denomination, does their absence detract from the validity of that church’s status? An example might be the cross atop the church building.

       Espoused Values

      The next level of “values” is espoused values, church espousing their friendliness, their support of the “homeless” through food banks, meals, or youth programs. This “value” is important to the church, is talked about publicly and privately; they are proud of this. Espoused values contribute to the development of normal standards of the organization for how it conducts business now and in the future. Their espoused values are what they are known for, or want to be known for, what they want others to talk about, what they talk about among themselves. Perhaps it is their generosity, or their community outreach. One church has a “singing Christmas Tree” each year, another has a ham or turkey delivery each Thanksgiving and Christmas. These are espoused values the people talk about, and proudly point to. One church has a butterfly garden that attracts hundreds, maybe thousands, of butterfly’s each year; it also attracts many admirers. Another caters to senior citizens with trips, game night, and luncheons.

      While some churches offer a food pantry for those in need, others prepare meals, both in their own facilities or coordinated with volunteers to provide meals at a public location. The importance of this may be greater for the providers than for the recipients; it's something for them to talk about, to bring the church's focus to a common function.

       2Basic Assumptions

      Bion (1961) used the term basic assumption to designate that which, fundamentally, the individual must assume in order to be part of a group. Basic assumptions come into play at unconscious, apathetic, and affective levels.

      The hardest to distinguish, and hardest to change, are “basic assumptions”. This takes digging and pushing deep to get to the last “why is that”, with many denials along the way. These are not even recognized, they have become blended into the fabric of the church, indistinguishable of themselves. Even when challenged about this action, the response is always “this is the way it has always been done.” These assumptions compel behavior without their existence being acknowledged or even recognized. These are values that are taken for granted, and when challenged, always produce a big pushback. People establish norms without being aware that is what they are doing.

      These values are reflective of the behaviors of the membership, of how they communicate with each other and visitors. They are entrenched habits that are conducted usually without conscious plan. Is there a fellowship of reaching out warmly to visitors, or do they allow visitors to find their own way? People do not create Basic Assumptions through an intellectual exercise but rather by what they are used to, what is comfortable, what is familiar. Basic Assumptions do not encourage change.

      The reader is challenged to review these levels of values throughout this book and in their own church, and identify their own artifacts, espoused values, or basic assumptions. Understanding the “values” of the church will help in understanding where the church stands on a matter. A critical component of success (not a “bad” word) is understanding why you are doing what you are doing (or want to do). Decisions are predicated on values and compel action.

      Cells (or groups) over time within a church become insular. Whether the cell is in an organized group like a Sunday School class or a social group like a coffee clutch, they tend to develop over time a hostage attitude, us over them through their Espoused Values. Small size churches of 100 members or fewer, have many features that large churches may not have, where strong cells are unlikely to form. Instead, the cell becomes the entire membership. This is evident when visitors enter their midst and they are expected to welcome the visitor. Whether it is acknowledged, everyone wants to be a part of an exclusive group; if that is unlikely, then they create their own. This behavior can become a Basic Assumption that is invisible but nourishes a sense of superiority.

      What sets a church apart from the Rotary Club? Is it how they care for each other?

      One medium size church had elder members, many widows or widowers who lived alone. No one from the church performed welfare checks on some, if not all, the elderly members.

      Another, larger church, had a long-time member whose profession required intermittent travel. When he was admitted to the hospital, the church was notified several times of his terminal condition, yet no one visited this man or his family before he died. By your actions you are indicted.

      Offerings in the small churches average just above breakeven, generally, paying the bills which are maintained at a modest level, but not much more. Offerings are influenced by attitudes in the church, that are revealed in many ways.

       Management Tools

      Every endeavor has specialized tools used by those skilled in their use to enhance the effectiveness of the worker. Management and finance are no exception. The tools are available but may have to be better understood before they can even be recognized as a tool. Businesses need to have the use of certain tools, and if necessary, they hire persons with those specialized skills to use the tools. Some of the skills are endemic to all businesses, while others are specific to certain type business.

      Barbers have technical skills for trimming hair, shaving faces, and other hair related skills. But the successful barber shop proprietor must also deploy a plethora of management skills, marketing skills, and personal skills, which is the same for much larger enterprises. Four examples (Table 1-1) highlight need for business skills with leaders of organizations, whether private, public, for-profit or non-profit.

       Actual Examples

      Businesses owned by a Certified Public Accountant, an attorney, and a banker still ran into trouble. It did so because their special technical skill was narrowly focused and did not pertain directly to managing a business, but to the technical features for which the business