Reinventing the Nonprofit Leader
Download as PPTX, PDF3 likes2,675 views
The document discusses the urgent need to reinvent nonprofit leadership in the face of increased competition, limited resources, and complex social challenges. It outlines eight key strategies for effective leadership, including moving beyond traditional metrics, embracing strategic planning, utilizing financial resources wisely, and fostering stronger organizational infrastructure. The goal is to enhance nonprofit effectiveness and sustainability while focusing on meaningful social impacts.
Reinventing the Nonprofit Leader
- 1. Reinventing the Nonprofit Leader © 2015 Social Velocity
- 2. More Competition 1.4 million nonprofits in US, up 19% since 1999 More for-profit social change orgs Less Funding Private donations level over last 30+ years Government spending cuts at every level More Complex Social Challenges Crumbling institutions Growing wealth disparity Shrinking civil discourse and participation Struggling Leaders Limited resources for building leadership skills
- 3. It’s time to Reinvent the Nonprofit Leader
- 4. 1. Unlocks the Charity Shackles 2. Moves to Impact 3. Embraces Strategy 4. Uses Money as a Tool 5. Refuses to Play Nice 6. Breaks Down The Walls 7. Demands Real Help 8. Remembers The Dream The Reinvented Nonprofit Leader
- 5. 1. Unlock the Charity Shackles
- 6. Baked Into vs. Beside the Economy Systems vs. Symptoms Experts vs. Volunteers Demand vs. Apology Investment vs. Pennies “Social Change” “Charity”
- 7. The number of nonprofits grew 50x faster than businesses over the last 10 years Nonprofit revenues grew at double GDP growth rate Millennials bake social change into work and life Source: The Urban Institute Social Change has Value
- 8. 2. Move to Impact
- 9. In the past, nonprofits were rated on... ...And now nonprofits are rated on… Amount spent on “overhead” (20%+ was unacceptable) Financial Health Financial ratings tables Fundraising efficiency Working capital ratio Revenue & expense growth Accountability & Transparency Independent board Audited financials Policies/procedures Information sharing Results Reporting Align mission and $ Results logic & measures Validators Client voice Evaluations
- 11. Give based on values Want to be engaged Focus on impact Pave their own way Source: www.nextgen.org Johnson Center for Philanthropy and 21/64
- 12. Target Population Tier Two K- 2nd grade children in AISD External Context High school drop out rate increasing Activities Provide daily, targeted literacy intervention Short & Long-Term Outcomes Students get to grade level in reading, improve academics Assumption s Literacy level at 3rd grade predicts future success The Theory of Change
- 14. Financial Crisis $ for Mission Creep Program Development Board Uncertainty Decision Making Reactive Vs. Strategic Stay Afloat Fix the Problem “Yes” “No” Status Quo Constant Improvement Rubber Stamp Fear Unique Assets Data and ReasonEgo Opportunity
- 16. Attracts more, longer-term funding Directs activity Filters future opportunities Engages board & staff Puts resources to highest/best use Creates financial sustainability Achieves more impact Benefits of Great Strategy
- 17. Clients, Board, Staff, $, Volunteers Great Strategy Change to a Social Problem
- 18. 5 Key Strategic Questions 1. What is our end goal? 2. What are our core competencies? 3. What is our strategy for getting to our end goal? 4. What is the sustainable model to get there? 5. What people and networks do we need with us?
- 19. 4. Use Money as a Tool
- 20. Financing is... A long-term strategy for bringing enough money in the door to achieve your mission. How much should we raise to accomplish our goals? How much can we accomplish with what we can raise?
- 21. Board, Staff, Donors Money Strategy Infrastructure Sustainability Funding Sources Programs Message Fundraising Financing Worn out Excited, engaged Annual, programs Long-term, all costs Inadequate Fully funded Weak Few Strong GrowingFlat or declining Diverse, Robust Community changeNeed
- 22. Assess Your Money Function 1. Organizational Strategy Does it integrate money & programs? Does it create measurable value? 2. Mission & Vision Is the vision a compelling beacon? Does the mission work toward it? 3. Board & Staff Leadership Does board have the right skills, experience, networks? Do we have the right staff and structure?
- 23. 4. Program Delivery & Impact Does our program portfolio balance social/financial impact? Do we measure results? 5. Marketing Are we making a case for investment? Are we using the right channels? 6. External Partnerships Do we have the right strategic alliances? 7. Financial Model Does money align with mission & competencies? Are all revenue-generating activities profitable?
- 24. 5. Refuse to Play Nice
- 25. NonprofitVolunteers Staff Board Funders Clients Policymakers So many demands push on a nonprofit…
- 26. Say “No” To… Mediocre strategy Hiding your full costs Asking for permission “Mission creep” donors Underperforming staff Absent board members
- 27. Lead Real Conversations 1. Gather Data 2. Set Goals 3. Manage Politics 4. Be Transparent 5. Lead
- 28. 6. Break Down the Walls
- 30. Strategy Board direction Executive Director leadership Staff action Stakeholder feedback Create a 4-legged strategy
- 31. 7. Demand Real Help
- 32. Nonprofit Leaders Need Help 73% of nonprofit leaders say they lack resources to build leadership skills Biggest challenges are: Fundraising Staff management Board management Sources: Center for Effective Philanthropy and Meyer Foundation
- 33. “Nonprofits that build robust infrastructure (like sturdy IT and financial systems, fundraising processes, and other essential overhead) are more likely to succeed than those that do not.” - Ann Goggins Gregory & Don Howard, “The Nonprofit Starvation Cycle”
- 34. The Starvation Cycle Funders Demand More for Less Nonprofit Skimps on Staff, Systems Nonprofit Is Less Effective Fewer People Served, Changed
- 35. Overhead is NOT a Dirty Word % of Dollars Spent on Programs Focuses on inputs, rather than impact Compares apples to oranges Forces nonprofits to “hide” infrastructure costs Distinction is meaningless and destructive
- 36. Revenue Ongoing Supports day-to-day BUYS services (beds for a homeless shelter) vs. Capital One time Supports infrastructure BUILDS organization (evaluation system) Two Kinds of Money
- 37. Capacity Capital BUILDS a Nonprofit Technology Systems Evaluation Planning Development staff Training Leadership coaching
- 39. 1. List Your Needs What is holding your org back? 2. Add a Plan and Price Tag What is your plan and what will it cost? 3. Identify Current Major Donors or Board Who could be convinced of the need? 4. Make the Pitch Capacity investments = more mission Build Your Capacity Capital Pitch
- 40. Before Tutoring 800 students/year Small, disengaged board Lack of management expertise Limited individual & school district dollars Raised $60K+ in capacity capital for planning & leadership coaching After 3X growth in students (800 to 2,400) Larger, more engaged board Significant financial commitment from school district Growing donor base
- 41. 8. Remember the Dream
- 42. Keep Your True North Get Brutally Honest Find Inspiration Share War Stories Become a Cheerleader Forgive Yourself
- 43. 1. Unlocks the Charity Shackles 2. Moves to Impact 3. Embraces Strategy 4. Uses Money as a Tool 5. Refuses to Play Nice 6. Breaks Down The Walls 7. Demands Real Help 8. Remembers The Dream The Reinvented Nonprofit Leader
- 44. Learn More… Reinventing The Nonprofit Leader Book Download Now
- 46. Nonprofit Leader Coaching More engaged board Clearer strategic thinking More productive staff Greater financial sustainability Higher performance More info at socialvelocity.net/consulting
- 47. © 2015 Social Velocity www.socialvelocity.net (512) 694-7235 Twitter: @nedgington Facebook: Social Velocity
Editor's Notes
- #8: Photo credit: http://pixabay.com/en/stock-chart-line-chart-line-chart-149421/
- #23: Photo Credit: https://www.flickr.com/photos/59937401@N07/5858011914/
- #24: Photo Credit: https://www.flickr.com/photos/59937401@N07/5858011914/
- #27: Photo credit: http://www.flickr.com/photos/bionicteaching/8667813445/
- #28: Photo credit: http://en.wikipedia.org/wiki/Liberty_bond
- #40: Photo credit: http://en.wikipedia.org/wiki/File:Zack_Greinke_on_July_29,_2009.jpg
- #43: Photo credit: http://commons.wikimedia.org/wiki/File:Compass_align.jpg