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Leadership

GEO Guest Post: Counter-Culture — Focusing Internally to Make More Impact Externally

phil buchananNote: As I mentioned last week, I am at the Grantmakers for Effective Organizations conference this week curating a group of bloggers. First up is Phil Buchanan, President of the Center for Effective Philanthropy (CEP). His guest post is below. In full disclosure, some of the foundations he mentions below are clients or funders of CEP. Don’t forget you can also follow the conference from afar on Twitter #GEO2016 and #2016GEO

Culture was front and center on the first day of the 2016 GEO National Conference – the featured topic at the opening plenary. A conference for some 800 staff of grantmakers interested in maximizing their external impact started by looking inward, at what happens within the walls of staffed foundations.

As Kathleen Enright, GEO’s president & CEO, put it, “culture and effectiveness are inextricably linked” suggesting that companies have recognized this. She cited as an example her positive experience as a customer with the online shoe retailer Zappos, which has been held up as an exemplar in terms of its corporate culture and customer service. [Note: Zappos was acquired by Amazon in 2009 but has sought to maintain a distinct culture.]

Enright moderated the panel discussion, which included Jim Canales of the Barr Foundation, Carrie Pickett-Erway of the Kalamazoo Community Foundation, and Sylvia Yee of the Evelyn and Walter Haas Jr. Fund.

“Culture is all around us, it permeates everything we do, and yet we often don’t realize it,” said Canales.

It also emanates outward. Yee discussed program officers as the nexus where culture and values are “translated” from the inside to the outside. And her point is certainly supported by the data. The organization I lead, the Center for Effective Philanthropy (CEP), has surveyed staff at nearly 50 foundations over the past decade. We know from our analyses that what happens within a foundation’s walls doesn’t stay inside those walls – that staff perceptions and grantee perceptions of foundations are correlated on some key dimensions.

This data and the arguments of the panelists about the importance of culture also resonate with recent writing on the topic. Tom David and Enright’s essay, The Source Codes of Foundation Culture, argues that foundation culture is crucial but often under-appreciated. In a similar vein, Amy Celep, Sara Brenner, and Rachel Mosher-Williams of Community Wealth Partners suggest in a recent issue of Foundation Review that, “Foundations have a tremendous untapped opportunity to more intentionally build culture.”

But culture and results don’t always correlate perfectly, as Fay Twersky of the William and Flora Hewlett Foundation (and a member of the CEP Board) suggested during the Q&A in a friendly challenge to Enright on her Zappos example. Citing other companies without naming names, she observed – to knowing laughter from the crowd – that “sometimes unhealthy cultures seem to be associated with very fat profits.”

Enright allowed that this was certainly true, as it surely is. And, of course, Twersky wasn’t arguing that culture doesn’t matter. Indeed, in her excellent piece, Foundation Chief Executives as Artful Jugglers, she suggests that building a healthy culture is one of the essential responsibilities of effective foundation CEOs.

But the point is that culture alone is not the answer.

Related, and not mentioned during the session, is that, in the business world, there seems to be a bit of a backlash of late against the emphasis on corporate culture. This is manifested in rants against “forced fun” and other “culture-building” that, at their worst, can look like self-absorbed navel-gazing that is divorced from the imperatives of the work.

This skepticism is perhaps most prominently expressed on the April Harvard Business Review cover, which blares “You Can’t Fix Culture: Focus on Your Business and the Rest Will Follow.”

“When organizations get into big trouble, fixing the culture is usually the prescription,” write Harvard Business School Professor Jay Lorsch and his research assistant. “But the corporate leaders we have interviewed – current and former CEOs who have successfully led major transformations – say that culture isn’t something you ‘fix.’ Rather, in their experience, cultural change is what you get after you’ve put new processes or structures in place to tackle tough business challenges.”

Let’s set aside (if we can) the fact that, unbelievably, this conclusion appears to be drawn from a very (very) limited sample of four interviews with men (yes, all men) who run major corporations. Still, I think there is a healthy caution here: that the focus on culture should not be an end in itself. It’s about the work.

And, in fairness, Enright and the panelists certainly were making that argument, too. They discussed the relationship between culture, being transparent, continual learning and improvement, and getting and receiving feedback. Repeatedly, the discussion about culture became something much, much broader – a discussion about effectiveness.

“The closer we get to the community, to the people whose lives we are trying to improve, the more humble we will be,” said Pickett-Erway. “The more feedback that you can get the better.”

Yee, too, emphasized the link between “culture and organizational effectiveness.” She noted, for example, the importance to effectiveness of “hiring a diverse staff. We need people who can stand in somebody else’s shoes, who have experienced difference themselves.”

And Canales talked about moving from “transparency 1.0” to transparency that is about two-way exchanges.

We need, as the panelists did, to keep the focus on culture as a necessary element of effectiveness rather than promoting too much of an inward gaze among institutions that, in all honesty, are already often seen as isolated and insular. What I don’t want, and what I guess fear a little, is that some foundations will misread the encouragement to focus on culture as an invitation to spend endless hours on office space re-designs, staff personality tests, or trust-building exercises. These things all have their place (or at least the first two do) but in limited doses.

The culture conversation should be integrated with, not separate from, the conversation about goals, strategies, implementation, and performance indicators. My experience (for what it’s worth) suggests that what bonds a staff together best is a sense of shared purpose and alignment toward – and progress against – shared goals.

Put another way, culture is a crucial part of the effectiveness puzzle, but it isn’t a magic bullet.

Nothing is.

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Blogging the Grantmakers for Effective Organizations Conference

GEO conferenceI’m really excited to announce that I will be doing something a little different on the blog next week. I am attending the Grantmakers for Effective Organizations (GEO) conference in Minneapolis May 2nd – 4th, and GEO has asked me to curate a set of bloggers to report on the conference.

I have rounded up a rockstar group of bloggers who will be sharing their insights from the conference with you here on the blog. And the blog series will be reposted to the Minnesota Council on Foundations blog, which is a co-host of the conference.

GEO is made up of 500 member grantmakers who are working to reshape the way philanthropy operates and promote strategies and practices that contribute to grantee success.

The GEO conference is held every other year and brings together philanthropic leaders from across the country who all share a common vision for advancing smarter grantmaking practices that enable nonprofits to grow stronger and more effective.

Some of the sessions in this year’s conference that I am particularly excited about include: “Can Foundations Help Grantees Build Fundraising Capacity?,” “Real Costs, Real Outcomes. What Funders Need to Know,” and “Supporting Leadership Development in Social Justice Organizations.” In addition, there will be some really interesting plenary sessions about things like culture in philanthropy and philanthropy’s role in overcoming inequity.

It promises to be a fascinating conference.

So, starting next Tuesday, May 3rd you’ll be hearing from this great group of guest bloggers:

 

phil buchananPhil Buchanan, President of The Center for Effective Philanthropy 
Phil is a passionate advocate for the importance of philanthropy and the nonprofit sector and deeply committed to the cause of helping foundations to maximize their impact. Hired in 2001 as CEP’s first chief executive, Phil has led the growth of CEP into the leading provider of data and insight on foundation effectiveness. CEP has been widely credited with bringing the voice of grantees and other stakeholders into the foundation boardroom and with contributing to an increased emphasis on clear goals, coherent strategies, disciplined implementation, and relevant performance indicators as the necessary ingredients to maximize foundation effectiveness and impact. Phil is no stranger to the Social Velocity blog — I interviewed him here, and he guest blogged last summer here.

 

trista harrisTrista Harris, President of The Minnesota Council on Foundations
In her role at MCF, Trista helps award more than $1 billion annually. Prior to joining MCF in August 2013, she was executive director of the Headwaters Foundation for Justice in Minneapolis, and she previously served as program officer at Minnesota Philanthropy Partners. Trista earned her master’s of public policy degree from the Humphrey Institute of Public Affairs, University of Minnesota, and her bachelor of arts from Howard University, Washington, D.C. She is a passionate national advocate for the social sector using the tools of futurism to solve our communities’ most pressing challenges and is a member of the trends in family philanthropy task force for the National Committee for Family Philanthropy.

 

mae hongMae Hong, Vice President of Rockefeller Philanthropy Advisors
Mae is responsible for building RPA’s presence in serving individual donors, foundations and corporations throughout the Midwest. Bringing 18 years of nonprofit and philanthropy experience to RPA, she previously served as Program Director at the Field Foundation of Illinois. Mae actively participates in local and national philanthropic associations and networks, serving in leadership roles on committees, engaging in public speaking opportunities, and facilitating planning and execution of philanthropic initiatives. She currently serves on the boards of GEO, the Illinois Humanities Council and the Daystar Center. She is a past chair of the board of Chicago Foundation for Women.

 

And once the conference is over, I will plan to do a wrap-up blog post on my thoughts and insights from the conference.

If you plan to be at the conference, please let me know, I’d love to see you there! And if you can’t make the conference but want to follow the content from afar, follow the Twitter feed at #2016GEO.

Photo Credits: GEO, CEP, MCF, and RPA

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Do You Know Your Nonprofit’s Target?

targetWhen I work with nonprofit leaders to create a strategic plan, one of the first things we do together is create a Theory of Change. A Theory of Change is an articulation of why your nonprofit exists — what you ultimately hope to accomplish. The Theory of Change is the culmination of answers to a set of 5 key questions, the first of which is, “Who is Your Target Population?”

Your Target Population is the individuals or groups that your nonprofit is seeking to benefit or influence. So if you are a social services nonprofit, your target population is probably your clients. If you are an advocacy group, your target population is probably lawmakers. But often a nonprofit has multiple target populations. For example, a school that works directly with both children and their parents would have both groups as separate target populations.

When a nonprofit exists just to do good work, its leaders are less clear and less disciplined about exactly who they are seeking to benefit or influence. But it is absolutely essential that your nonprofit get crystal clear about who your target population is, in order to better create change for those targets, more effectively encourage funders to invest in what you are doing, put your limited resources to their highest and best use, and, most importantly, to really understand how best to create change with your target.

But figuring out your target population is not easy.

First, let’s start with who is not your target population:

Not Your Funders
Your target population is not individuals or groups who fund your work. While funders are absolutely critical to your success, they are not core to your mission-related work. So while you would love to influence them to give you more money, their doing that will not by itself create social change. They are not your target population, rather they are a means to an end.

Not The Targets of Your Competitors or Collaborators
Your target population is also not individuals or groups that are being better benefitted or influenced by other organizations or entities. This is where your Marketplace Map comes in (another key part of a strategic planning process). As a nonprofit you will be most successful when your 1) core competencies (what you do better than anyone else) uniquely position you to address 2) a community need, apart from your 3) competitors or collaborators. So once you figure out who your competitors and collaborators are, you should avoid target populations that are being more effectively served by those other entities.

Not Those Who You Cannot Change
Your target population is also not individuals or groups who you really want to help, but are simply not well-positioned to do so. This is the case with nonprofit leaders who are so big-hearted that they continue to add new groups to serve until they realize that their services and the people they serve range much too far and wide. This approach often spreads a nonprofit too thin and ends up providing diminishing returns for the organization and their clients. While it often goes against a nonprofit leader’s ethos, sometimes you have to turn some people away in order to better serve those who you can serve really well.

So who is your target population?

Your target population then are those people who you are uniquely positioned to benefit or influence and in doing so you will move closer to achieving your nonprofit’s long-term vision for change. When you get clearer about who you are best positioned to benefit or influence, you will be better able to direct your precious resources (staff, board, funders, volunteers) toward achieving that ultimate goal.

In other words, when you are clearer about who you want to change, you will become better at actually creating that change.

If you want to learn more about a Theory of Change, download the Design a Theory of Change Guide, or if you want to learn more about the strategic planning process I take clients through, download the Strategic Planning Benefit Sheet.

Photo Credit: vizzzual.com

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Building Better Nonprofits: A Podcast

podcastLast month I was asked by Ted Bilich, CEO of Risk Alternatives — a Washington, DC firm helping nonprofits manage their organizational and financial risks —  to participate in a podcast. This is part of their ongoing podcast series “About Risk” which talks to thought leaders about risk management and process improvement for nonprofits, small businesses, and startups.

In the podcast Ted and I talk about:

  • How the nonprofit landscape has become more competitive
  • Why nonprofits need a theory of change
  • How and when to engage in strategic planning
  • How nonprofits can determine if they are applying best practices
  • The benefits of a financial model assessment
  • How to address common risks involving a board of directors
  • And much more

You can listen to the podcast below, or click here.

And you can see all episodes in the “About Risk” series here. And if you want to listen to more podcasts about the evolving nonprofit sector, go here, here or here.

Photo Credit: Patrick Breitenbach

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Don’t Cheat Us Of Your Contribution

DancesI’ve been thinking about creativity a lot lately. I don’t mean getting messy with paints and crayons, although that’s cool too.

Rather, I’ve been thinking about the idea (which was new to me until the last few years) that each one of us was put on earth to create something unique and important. Creativity is not just the assignment of famous writers, talented artists, even genius entrepreneurs and inventors.

Creativity is inherent in each one of us as human beings. And it is our obligation to tap into that creativity to do what we were put here to do. As (my hero) Steven Pressfield, author of The War of Art, wrote:

“If you were meant to cure cancer or write a symphony or crack cold fusion and you don’t do it, you not only hurt yourself, even destroy yourself. You hurt your children. You hurt me. You hurt the planet. You shame the angels who watch over you and you spite the Almighty, who created you and only you with your unique gifts, for the sole purpose of nudging the human race one millimeter farther along its path back to God. Creative work is not a selfish act or a bid for attention on the part of the actor. It’s a gift to the world and every being in it. Don’t cheat us of your contribution. Give us what you’ve got.”

Have you ever watched someone do something and felt that they were so incredibly suited to what they were doing that you were witnessing the work of an angel?

I know this sounds crazy, but I saw this with my son’s basketball coach recently. With two active boys I’ve seen lots of coaches in my time (some better than others). But I had never witnessed such complete grace and flow. Normally he’s just an average guy, but when this coach enters the basketball court you instantly can tell that he was put on this earth to inspire children to give the sport their all. His beautiful mix of tough love, endless support, helpful critiques, and raw passion for the sport turned a rag-tag team of kids who had never played before into a sight to behold.

And it makes you think, what if for some reason this coach had never become a coach? What if he, or some other force, got in his way? What would this world be like if he wasn’t allowed to be a coach? What would his life be like if he had to stifle his obvious gift?

But we do, all of us, sometimes (or perhaps a lot of times) get in our own way. We hinder ourselves from figuring out what our unique contribution is. When that happens we need inspiration to spur us to find our creative voice.

As Elizabeth Gilbert, author of Big Magic, explains, that when you are stuck:

“Find something to do — anything, even a different sort of creative work altogether — just to take your mind off your anxiety and pressure. Once, when I was struggling with a book, I signed up for a drawing class, just to open up some other kind of creative channel within my mind. I can’t draw very well, but that didn’t matter…I was fiddling with my own dials, trying to reach inspiration in any way possible…Einstein called this tactic ‘combinatory play’ — the act of opening up one mental channel by dabbling in another. This is why he would often play the violin when he was having difficulty solving a mathematical puzzle; after a few hours of sonatas, he could usually find the answer he needed.”

When I’m lost and can’t get back into my creative flow, I turn to another form of creativity to inspire me, sometimes art, sometimes writing, sometimes dance or music.

Something that has inspired my creativity lately is Walter Martin’s video for his song Down by the Singing Sea. His ethereal song paired with images of Russian ballroom dancers utterly in their own flow is completely captivating. It’s goofy and awkward and beautiful and thrilling all at the same time. For me, this is witnessing grace. So I listen and watch (and, yes, dance!) and their creativity spurs my creativity.

Maybe Walter will work for you as he does for me. Or maybe he won’t.

But you must find your creativity. Because when you are creating what you were put here to create, you are “nudging the human race one millimeter farther along its path back to God.”

So don’t cheat us of your contribution. Give us what you’ve got.

Photo Credit: Barry Goyette  

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Social Change Requires a New Nonprofit Leader

leadershipNote: Earlier this month I was asked by the Philanthropreneurship Forum to write a piece about nonprofit leadership, which follows. The piece originally appeared on the Forum here.

The new millennium has been a difficult one. A struggling global economy, threatening climate change, crumbling education and healthcare systems, and a widening income gap are just a few of the social problems we face. And as our social challenges mount, and the government increasingly offloads services, the burden shifts to the nonprofit sector.

Now more than ever nonprofit leaders must step up to the plate. In fact, it is time for a new kind of nonprofit leader, one who has the confidence, ability, foresight, energy, and strength of will to find and deliver on solutions. It is time we move from a nonprofit leader who is worn out, worn down, out of money and faced with insurmountable odds, to a reinvented nonprofit leader who confidently gathers and leads the army of people and resources necessary to create real, lasting social change.

In my mind, here is what the new nonprofit leader should look like:

Unlocks the Charity Shackles
“Charity” is more than a word, it’s a destructive mindset that keeps the work of social change sidelined and impoverished. “Charity” harkens back to the beginnings of philanthropy, which was largely the purview of women and viewed as tangential to and less valuable than the more important “business” of the male-dominated world. While charity was an afterthought, social change is rapidly becoming an integral part of the economy. As social problems mount, we must shift from the “charity” of our predecessors to an understanding of social change as part of everything we do. And nonprofit leaders must confidently and assertively articulate the critical importance of their work and why it requires real investment, because social change is about changing larger systems. So it takes real, significant investment of resources, not the pennies that charity requires.

Moves From Misplaced Gratitude to Impregnable Confidence
In the nonprofit sector there is such a pervasive power imbalance that misplaced gratitude, or gratitude for acts that are actually NOT helpful, often gets in the way of real work. If a nonprofit leader acts grateful when she should actually voice frustration or disappointment (with a delinquent board member or a meddlesome funder), she is cutting off authentic conversations that could result in more effective partnerships. Nonprofit leaders must rise from bended knee with confidence in themselves, their staff, and their social change work to articulate what they really need. To be truly successful, a nonprofit leader needs a board that will move mountains, donors who fully fund and believe in the organization, and a staff that can knock it out of the park. And they get there by being honest about, not grateful for, the roadblocks in the way.

Lives, Breathes and Leads Strategy
Real social change is only a pipe dream if it is not connected to smart strategy. To get there a nonprofit leader must ask board and staff to answer some key strategic questions like:

  • What change do we want to create?
  • Where do we fit in the external environment?
  • How do we measure if that change is happening?
  • What are the right activities to get to there?
  • What is the most sustainable financial model to get there?
  • What people and networks do we need with us?

These are not easy questions, and finding the right answers is even harder. But that is true leadership.

And part of that strategy may involve a (formerly feared) move into advocacy. 501(c) 3 organizations have long been told to stay out of politics. The myth is that charity is too noble to be mired in the mess of pushing for political change. But the fact is that simply providing services is no longer enough to solve the underlying problems. Nonprofits are increasingly recognizing that they can no longer sit by and watch their client load increase while disequilibrium grows. Nonprofits must (and many already are) advocate for changes to the ineffective systems that produce the need for their existence.

Uses Money as a Tool
Without money, a compelling, inspiring, world-changing vision for social change is only a sentence on paper. As much as we might like to deny it, nonprofits exist in a market economy, and without a smart plan for how a nonprofit will secure and use money there is no mission. So instead of dreaming up magic bullet fundraising schemes, a nonprofit leader must develop an overall financial model for her work that fully integrates with the organization’s mission and core competencies. And because money is so central to mission, you cannot make decisions about the organization, about programs, about staffing, really about anything without understanding the financial implications of those decisions.

Embraces the Network
If instead of building an institution, a nonprofit leader built networks, she could be much more effective at creating long-term social change. A true leader leaves her ego, and the ego of her organization aside in order to assemble all necessary resources (individuals, institutions, funding) to chart a path towards larger social change. Instead of thinking just about her organization, her staff, her mission, her board, her donors, the nonprofit leader must analyze and connect with the larger marketplace outside her walls, the points of leverage for attacking the problem on a much larger scale than a single organization can. A nonprofit leader understands that the network approach — particularly for nonprofits that are so resource-constrained — can create a much larger effect than a single entity can.

I believe that what separates great leaders from mediocre leaders is an ability to inspire others to greatness beyond what they thought possible. A true leader asks us to rise above our current circumstances – and in the nonprofit sector where more and more is being asked of organizations with less and less, those circumstances are often dire — to do more and be more than we ever thought possible. It is with that kind of real leadership that lasting social change can happen.

Photo Credit: Chuck Abbe

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Understanding Movements for Social Change: An Interview with Sean Thomas-Breitfeld

SeanT-B_headshotIn today’s Social Velocity interview, I’m talking with Sean Thomas-Breitfeld, Co-Director of the Building Movement Project, which brings a social movement perspective to research on nonprofit organizations. Prior to joining the BMP staff, Sean spent a decade working in a variety of roles at the Center for Community Change, where he developed training programs for grassroots leaders, coordinated online and grassroots advocacy efforts, and lobbied on a range of issues. Before joining the Center, Sean worked as a Policy Analyst at the National Council of La Raza, where he developed research and lobbied on issues related to employment and income security.

Nell: What is the role of leadership in movement and network building? How do you balance the need for organic and distributed power with the need for someone (or multiple someones) to provide vision and marshal resources?

Sean: I think it’s important to start by teasing apart the concepts of movements and networks, or any other organizational structure/formation that might be the “cool new thing” in the nonprofit sector at any point in time.

I’m pretty traditional (admittedly even rigid) when it comes to what makes a movement. For me, movements are bigger than any organization, coalition, network or campaign could ever hope to direct or contain. That’s not to say that organizations – and networks of organizations – don’t have a role in supporting movements, but nowadays it seems like everyone’s talking about movements, but too often in a way that’s disconnected from the kind of fundamental social change that feminist, anti-war, civil rights movement leaders did a generation ago.

If an organization is trying to build a campaign or network to support its mission, generate a ton of subscribers and followers, and raise their profile as a “legitimate” advocate on an issue, that’s great. But that’s a campaign. Not a movement.

I spent a chunk of my career working on campaigns, and maybe it’s because I was trained by organizers, but we were clear about the difference between our measurable campaign deliverables (whether a policy was won or lost, how many people turned out for an action or march, etc.) and the more intangible aspiration that our organizing would spark some movement energy on the ground.

Part of the reason that my organization holds up leadership as a key focus area for our research is that we recognize that organizations, networks, movements need strong leaders and also need strong collective leadership. So when we think about the balancing act, it’s not that distributed power and vision / resources are at opposite ends of a scale. In fact, from a movement perspective, distributed leadership actually enhances the movement’s vision and brings more resources to bear on the fights the movement takes on. This is not to say that there aren’t struggles over leadership and between individual leaders/personalities… all of our organizations are made up of human beings interacting with each other, so conflict is going to be inevitable. The challenge is how to make those tensions and conflicts generative.

Nell: As you look at two current social movements — Black Lives Matter, and student protests on college campuses — what are your thoughts on their methods? How successful do you think they have been and will be in the future?

Sean: I think we’re in a very exciting movement moment. When we look back on the 1960s, that decade occupies a special place in our collective imagination because we have enough distance to see how specific moments and events and sparks connect to each other. I’d suggest that the rise of Black Lives Matter is connected to the increasing visibility of student protests on college campuses. And not just in the obvious examples where Black Lives Matter was a rallying cry. Young people play an important role in movements, and they always have.

I worked for several years supporting campaigns to reform our country’s broken and inhumane immigration policy. And young people – whether they were in high school or on college campuses or working to support their families – have been critical to the movement for immigration reform. When I had the privilege to be in the room with young folks to strategize about actions and protest and tactics, there was a ton of creativity and fun that I – as someone in my thirties – had forgotten or lost touch with. I think that the turn we saw towards civil disobedience as a strategic choice was informed by the impatience of young people with an insider political game that wasn’t working for communities.

Progressive activists have gotten back in touch with direct action and civil disobedience in the last few years, and I think that’s an important tool / method to have at our disposal. The reason we build movements is because the polite, official ways of making change haven’t worked. And the way to break through is to assert that Black Lives Matter, or to come out as undocumented and unafraid. The willingness of activists to put their bodies on the line to shut down traffic and disrupt the status quo isn’t just about getting media attention; it’s about demonstrating a commitment to change that inspires others to take their own steps in the ongoing struggle for justice.

To come back to the movement vs. network distinction for a moment … Patrisse Cullors – one of the three women who created #BlackLivesMatter – recently posted a super insightful piece titled “We Didn’t Start a Movement, We Started a Network.” And in that she writes about her concern when the media started referring to the “Black Lives Matter movement” because, as she put it “movements don’t belong to any one person, and we knew that this movement wasn’t started by us.” That commitment to recognizing and lifting up the many amazing organizations doing critical on-the-ground organizing is what makes this movement moment feel really different and important, and hopefully lasting. I think there is something to the fact that many of the most visible leaders today are women who are unapologetically black and feminist. I think the movement for Black lives is a game changer, and I’m really excited to see the movement continue to have more success in the future.

Nell: Because the nonprofit sector is so resource-constrained and competition for dollars is so stiff, there is often a perceived risk to building networks. But how can (and why should) nonprofits overcome this and become more networked?

Sean: That’s an interesting observation, because it seems to me that the resource incentive is for organizations to join networks. Philanthropy doesn’t seem to want to invest in small, local organizations that are doing their own thing. The tendency seems to be for funders to give big grants to national networks and count on them to disperse the money to groups on the ground. Now, I’ve worked for national intermediaries my whole career, so I have seen the way that strategy works to support national campaigns that are disciplined and strategic. But I know that there’s lots of concern – especially on the part of people of color led grassroots organizations – that the “trickle down” strategy isn’t working.

Part of the piece about competition for resources is about leadership, and specifically who is leading the networks versus who is leading the small grassroots organizations that comprise networks. Last year, I worked with some colleagues on a report titled #BlackWorkersMatter, and one of the things that came out from the interviews I did with leaders around the country who are using community organizing as a strategy for addressing the jobs crisis in Black communities is that there are a lot of biases playing out in our sector that leave Black-led – and people of color led organizations in general – at a disadvantage for funding, visibility, all of the currencies that give an organization power and stability right now.

Already, we know from the Daring to Lead survey of nonprofit EDs, that the top-level leadership of the sector is overwhelmingly white. And I think we have to grapple with what it means if the leadership of our networks doesn’t match the demographics of the constituents who come to our organizations for support. BMP just launched a survey on Nonprofits, Leadership & Race, and I’m really curious about what the data will reveal in terms of people’s experiences and perceptions about how implicit biases might be playing out inside of organizations and the nonprofit sector.

Nell: What is or should be philanthropy’s role in building social movements and networks? And is philanthropy currently helping or hurting these efforts?

Sean: I think funders can and definitely do play a role in supporting both social movements and networks, but since investing in networks seems like a clear priority already, I’m going to focus on what funders should do to invest in social movements.

I think the first – and most important – thing a foundation should do if they’re interested in supporting social movements is invest in grassroots organizations that are doing authentic base building, popular education and leadership development. And give them general support dollars for multiple years to do that work. Foundations also should recognize that the slow work of organizing may not yield the kind of metrics and deliverables that have become so central to how we evaluate campaigns.

Beyond that commitment to organizing, foundations can use their unique vantage point to identify organizational leaders and strengthen connections between them. Obviously, money directly to the organizations is important, but sometimes the funding is needed to convene people to discuss, debate and disagree about the movement’s vision and strategy. Having philanthropy support relationship-building between leaders and organizations is really important for any movement ecosystem.

Photo Credit: Building Movement Project

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10 Great Social Innovation Reads: Feb 2016

social change readsFebruary focused (at least in my mind) on innovations in philanthropy. A new growth capital fund for nonprofits, radical philanthropists, trends in charitable giving, and philanthropy’s role in creating the future. Add to that a bold move by a nonprofit to wrest a lucrative city recycling contract from a for-profit company, research on Millennials’ hopes for the future, and a call for presidential candidates to take a lesson from history. It was a great month.

Below are my picks of the 10 best reads in the world of nonprofits, philanthropy and social change for the month of February. And if you want a longer list of what catches my eye, follow me on Twitter @nedgington.

You can also see past months’ lists of 10 Great reads here.

  1. There was a really exciting development in philanthropic support of nonprofit capacity in February. Ten donors led by the Edna McConnell Clark Foundation joined together to form Blue Meridian Partners, which will award $1 billion worth of unrestricted, performance-based grants, via 5 to 10-year investments of up to $200 million per nonprofit. According to Edna McConnell Clark Foundation president Nancy Roob, this venture is a new way to invest in high-performing nonprofits, because as she puts it: “Without large, long-term investments of growth capital for organizations with proven results, we’ll continue to salve but not solve our big social challenges.” Yep.

  2. And speaking of innovations in philanthropy, Inside Philanthropy provides a really interesting profile of philanthropist Farhad Ebrahimi and his Chorus Foundation, which although a relatively small foundation is taking an unusual approach to environmental giving by using a spend-down plan, providing long-term general support grants, and practicing mission investing.

  3. In analyzing Blackbaud’s 2015 Charitable Giving Report and comparing it to other available data both in the US and Canada, Amy Butcher of The Nonprofit Quarterly finds some interesting insights about how philanthropy is evolving.

  4. But perhaps it isn’t evolving quickly enough. Minnesota Council on Foundations President Trista Harris recently attended the Abundance 360 Summit about the technology of the future and was disappointed at the lack of a philanthropy presence. As she puts it, “Change in the world and our communities is happening at a breathtaking rate, driven by access to infinite information and exponential increases in computer processing speeds. This accelerating rate of change makes the challenging work of doing good even more difficult. Foundations are trying to make the world a better place, but we are often using yesterday’s information to do so. What if we could predict the future and prepare for the realities that will soon impact our communities? I believe it is our responsibility, as philanthropic leaders, to learn the skills necessary to understand and create the future.”

  5. Pew Research does an excellent job of unearthing data that relates to the issues of the day. In February I was especially interested in their report that while Millennials are less confident than Gen X or Baby Boomers about America’s future, so were their parents and grandparents when they were young.

  6. And while we are on the topic of history…Every once in awhile New York Times columnist David Brooks really strikes a chord. In February he used his column to pen a letter to several of the remaining presidential candidates encouraging them to use a “Roosevelt Approach,” as Brooks describes: “Many Americans feel like they are the victims of a slow-moving natural disaster…it’s a natural disaster caused by structural forces — globalization, technological change, the dissolution of the family, racism. A great nation doesn’t divide in times of natural disaster. It doesn’t choose leaders who angrily tear it apart. Instead, it chooses leaders like Franklin Roosevelt and Dwight Eisenhower…they were…able to set an emotional tone that brought people together and changed the nature of Americans’ relationships with one another. During their presidencies, the bonds of solidarity grew stronger and the country more formidable. They were able to cultivate a deep sense of unity, responsibility and sacrifice.”

  7. Writing in the Stanford Social Innovation Review, Daniela Papi-Thornton, deputy director of the Skoll Centre for Social Entrepreneurship, is quite critical of what she calls, “Heropreneurship,” when social entrepreneurs who have little experience or training are generously funded to solve complex social problems. According to her: “Unfortunately, all too often, the people who get the funding to try their hand at solving global challenges haven’t lived those problems themselves….We’re wasting limited resources on shallow solutions to complex problems, and telling our students it’s OK to go out and use someone else’s time and backyard as a learning ground, without first requiring that they earn the right to take leadership on solving a problem they don’t yet understand.”

  8. Nonprofit Tech for Good offers a nice list of 36 apps and online tools for nonprofits.

  9. In an interesting decision, the Minneapolis city council voted to award the city’s 5-year recycling contract to a nonprofit, instead of the for-profit that manages recycling for most of the country. Writing in The Nonprofit Quarterly, James Araci sees an exciting trend: “It’s a smart move for nonprofits to shift perceptions of America’s waste from a commodity to be sold to countries like China to an engine of local job creation and environmental benefits.”

  10. And finally, head of the Nonprofits Assistance Fund, Kate Barr takes aim at the nonprofit overhead myth by encouraging nonprofit leaders to change their own language and thinking: “If we in the nonprofit sector want to bust the overhead myth and bring attention to the things that really matter, then it’s our responsibility to take the lead by communicating differently and better. In order to take that lead, don’t wait for the question to come in and then argue why the [overhead] ratio isn’t important or meaningful. We have to replace it.” Sing it, Kate!

Photo Credit: jwyg, cropped version of “Work with schools : after a book talk, showing boys gathered…” from New York Public Library

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