October was a bit of a whirlwind in the world of social change. Continued concerns that philanthropy is not positioned to truly impact wealth inequality, a confusing pivot by Charity Navigator in the Overhead Myth movement, some case studies of networked approaches to social change, and a great blog series on nonprofit financial health all made for some interesting reads.
Below is my pick of the top 10 social change reads in October. But, please add what I missed in the comments.
- There seems to be a growing discussion around whether philanthropy, which results from wealth inequality, can actually be effective at remedying that inequality. Writing on the openDemocracy blog, Michael Edwards takes the Ford Foundation and other foundations working on wealth inequality to task for not seeking to reform the underlying systems that feed that inequality. As he puts it, “Imagine what would happen if we re-configured the supply of money for social change…It would mean the wholesale transformation of institutional philanthropy, since for Ford and others like it an assault on privilege is essentially an assault upon themselves.” And in an interesting and related development, this month head of the Ford Foundation Darren Walker joined the corporate board of Pepsico, which some argue contributes to the obesity epidemic and ultimately economic inequality. But David Callahan argues that Walker could serve as a positive force to push Pepsico to “do better.”
- For only the second time in its 26 years The Chronicle of Philanthropy‘s annual Philanthropy 400 list ranks a nonprofit other than the United Way Worldwide as the biggest fundraiser. This year Fidelity Charitable, which houses donor advised funds, took the #1 spot. And some think this is a bellwether for philanthropy. But Jim Schaffer has some issues with the list and how it ignores the deeper complexities of philanthropy.
- If you are looking for data about where the social sector is going, this month provided lots of it. From Fidelity Charitable’s report on the future of philanthropy, to a new study from the Alliance for Nonprofit Management on nonprofit board chairs, to new data from the Urban Institute on the nonprofit workforce.
- In a head-scratching move, Charity Navigator, one of the proponents of the campaign to overcome the Overhead Myth wrote a blog post arguing that nonprofits that keep their overhead percentage to 15% or less are “excellent.” Many, took them to task.
- On the eve of the presidential election, Kiersten Marek from Inside Philanthropy offers some predictions about how philanthropy focused on women’s and children’s issues might fare under a Clinton presidency.
- In what has become an incessant drumbeat, ProPublica again criticizes the American Red Cross, this time for a botched response to the Louisiana flooding this summer.
- As I mentioned earlier, I’m a huge fan of Twitter, but it’s struggling. NPR tech writer Laura Sydell wonders if becoming a nonprofit might be the answer for this social network that is playing a growing role in social change efforts.
- Using networks for social change is a hot topic lately. Talia Milgrom-Elcott provides a case study for a networked approach to growing STEM education, and R. Patrick Bixler, Clare Zutz, and Ashley Lovell provide a case study on using networks for regional conservation. But Jake Hayman, writing in Forbes argues that philanthropy actually dis-incentivizes nonprofits to pursue a networked approach.
- In a not-to-be-missed blog series, the Nonprofit Finance Fund provides a great tutorial on “Best Practices for Nonprofit Financial Health” (part one, part two, and part three).
- And if you wonder why you are here and what your role is, look no further than Steven Pressfield who writes: “I believe that life exists on at least two levels. The lower level is the material plane…The higher level is the home of…the Muse. The higher level is a lot smarter than the lower level. The higher level understands in a far, far deeper way. It understands who we are. It understands why we are here. It understands the past and the future and our roles within both. My job, as I understand it, is to make myself open to this higher level. My job is to keep myself alert and receptive. My job is to be ready, in the fullest professional sense, when the alarm bell goes off and I have to slide down the pole and jump into the fire engine.”
Photo Credit: Peter Griffin
Today is Halloween, which means it’s time for another monster list. In keeping with my Halloween tradition on the blog, today I’d like to add to past monster lists (of social change blogs, conferences, books, and resources) with a monster list of social changemakers to follow on Twitter.
I know, I know, Twitter is struggling. Maybe it will never become the profit powerhouse that Facebook is, but Twitter has become a unique and powerful social change tool, through hashtag movements like #BlackLivesMatter and #ArabSpring and its ability to connect like-minded people.
In my mind, Twitter is infinitely more thought-provoking and gamechanging than other social networks. So I hope it finds its way and continues to play an important role in the social change space.
Below is my monster list (in no particular order) of interesting social change people to follow on Twitter. These are people who have fascinating things to say about the world of social change. They are nonprofit, philanthropic, government leaders; journalists; thought leaders and more who use Twitter as a way to spark conversation, spread ideas and make social change a reality.
I have let them describe themselves via their Twitter “Bio”:
- @knightfdn The Knight Foundation supports transformational ideas that promote quality journalism, advance media innovation, engage communities and foster the arts.
- @pndblog Opinion and commentary on the changing world of philanthropy. Brought to you by Philanthropy News Digest and the Foundation Center.
- @vppartners Venture Philanthropy Partners brings people together to support children and youth.
- @RockefellerFdn The Rockefeller Foundation’s mission—unchanged since 1913—is to improve the well-being of humanity throughout the world.
- @carolinefiennes Director of Giving Evidence: encouraging /enabling charitable *giving* based on sound *evidence*. Wrote acclaimed book, It Ain’t What You Give. FT columnist.
- @ClaraGMiller President, F. B. Heron Foundation
- @MarketsForGood #Information to drive #socimp. Movement seeking ways to increase the social sector’s capacity to generate, share & use #data to improve decision making.
- @Cingib Strategist/writer for foundations/NPs on civic engagement, capacity-building, democracy, philanthropy, nonprofit sector, and education
- @kanter Let’s talk about networks, data, self-care, & social media for nonprofit learning & impact. #nptech Instructional designer, trainer, walker, & magic markers!
- @ajscholz Chief Everything Officer @SphaeraInc / Learning to collaborate to survive the 21st century / We now have the technological, legal and financial tools for it!
- @Philanthropy News, resources, advice, and commentary about the nonprofit world from The Chronicle of Philanthropy.
- @KateSBarr Believes that working at & leading nonprofits calls upon the best in people. Executive director at @NAFund
- @NTENorg Serving our members in the nonprofit community to better use technology to further their mission. We promote nonprofit tech (#nptech) & training (#NTENlearn).
- @Daniel_Stid Skeptical optimist, Madisonian, partisan of representative democracy, fan of Sparty and the Flying Dutchmen.
- @IUPhilanthropy Indiana University Lilly Family School of Philanthropy offers a comprehensive approach to philanthropy—Improving Philanthropy to Improve the World.
@EnrightGEO President/CEO of Grantmakers for Effective Organizations. Committed to helping our sector exceed expectations.
@FayDTwersky Director for Effective Philanthropy at the Hewlett Foundation.
@philCEP Phil Buchanan is president of the Center for Effective Philanthropy.
- @CEPData The Center for Effective Philanthropy focuses on the development of comparative data to enable higher-performing funders.
@kdreich BUILD Director at the Ford Foundation. Passionate about the social sector, addressing inequality in all its forms, & Jane Austen.
@nff_news We make millions of dollars in loans to nonprofits and push for fundamental improvement in how money is given and used in the sector.
@NatlCouncilNPs The National Council of Nonprofits is a trusted resource and advocate for America’s charitable nonprofits.
- @PackardOE We’re the Packard Foundation Organizational Effectiveness Team. We’re here to share and learn about organizational effectiveness, philanthropy and supporting the social sector.
@NicoleCOP Reporter at The Chronicle of Philanthropy ~ I cover nonprofit innovation, social enterprise, data, and technology. (I am so not the political pundit.)
I know I have missed many thought-provoking social changemakers. So, who would you add to the list?
Photo Credit: Wikimedia Commons
A lot of the conversation in September centered around inequality, philanthropy and data. When do data and philanthropy address inequality and when do they actually reinforce it? And if you add to that discussion about whether donors really care about impact; concern about the distracting, addicting influence of social media; and a call for philanthropists to be more supportive of nonprofit organizations, September was a very interesting month in the world of social change.
- Equity has certainly become the new buzzword in philanthropy. But some are skeptical that philanthropy, as it currently operates, can actually impact it. Writing in The Guardian, Courtney Martin argues that in order to truly achieve equity, philanthropy must fundamentally change: “If we really want to reinvent philanthropy then we are going to have to look at the underlying historic and structural causes of poverty and work to dismantle them and put new systems in their place. It’s also about culture – intentionally creating boundary-bashing friendships, learning to ask better, more generous questions, taking up less space. It’s about what we are willing to acknowledge about the origins of our own wealth and privilege. It’s about reclaiming values that privilege often robs us of: first and foremost, humility. But also trust in the ingenuity and goodness of other people, particularly those without financial wealth.”
- Marjorie Kelly argues that the key to addressing wealth inequality is to return to the old model of worker ownership.
- And speaking of wealth inequality, The New York Times slices and dices U.S. income data over the last couple of decades to understand how inequality varies by state over time.
- According to Cathy O’Neil’s new book, Weapons of Math Destruction, the increased availability of data may actually be worsening wealth inequality. Journalist Aimee Rawlins reviews O’Neil’s book, which paints a very unsettling picture of how data is being used to lengthen prison sentences for people with a family history of crime, raise interest rates on a loan because of the borrower’s zip code, and otherwise reinforce our broken system. But perhaps data can also help address wealth inequality. The Salvation Army and Indiana University’s Lilly Family School of Philanthropy have released a new tool for mapping poverty in the U.S. The Human Needs Index (HNI) uses Salvation Army service data from communities across the country to track human need across seven areas. The idea is that with an improved ability to map need, philanthropy can more effectively address that need.
- One of the biggest uses of data in philanthropy is to prove the impact an intervention has, but Matthew Gerken argues that donors aren’t actually interested in impact. New research from Penelope Burk’s Cygnus Applied Research might disagree.
- Andrew Sullivan, the formerly prolific blogger, has had an epiphany about our addiction to social media and writes an amazing long-form piece about our “distraction sickness.” If you worry that our always on culture is leaving something to be desired, read this.
- Last month many were bemoaning philanthropy’s slow and weak response to the devastating summer flooding in Lousiana. Well, it looks like crowdfunding has come to the rescue.
- Long-time funder Elspeth Revere, retired from the MacArthur Foundation, writes a scathing critique of philanthropy’s unwillingness to fund nonprofits effectively and sustainably. As she puts it, “The challenges facing America and, indeed, the world require philanthropy to be as effective as possible. Nonprofit organizations are philanthropy’s partners in addressing these challenges. They have unusual flexibility to take risks and pursue solutions to our most pressing problems. As grant makers, we need to focus our attention and philanthropic resources on building strong leadership and solid, sustainable, and diverse institutions that address the problems and opportunities we care most about.” Amen!
- Jyoti Sharma, president of the Indian water and sanitation nonprofit FORCE, worries that a current focus on social entrepreneurship as the solution to world ills leaves much behind. As she argues, “Do we need to see social entrepreneurship as a “non”-nonprofit? Should we instead promote hybrid models that plan the social change effort with both charity and revenue streams? Should we encourage community entrepreneur networks where charity funds are used to support entrepreneurial efforts from within a beneficiary community that help solve their social problem? Should we advocate for governments and corporates to join hands with nonprofits in planning, delivering, and monitoring welfare services? Equally, should we set ethical and social responsibility standards for entrepreneurships and applaud them for their contribution to society?”
- And finally, the Nonprofit Tech for Good blog pulls back the curtain on social media with their “12 Not-So-Great Realities About Nonprofits and Social Media.”
Photo Credit: Ixtlilto
There was a very disturbing report last week. An NPR poll found that half of Americans who work 50-plus hours a week don’t take all or most of the vacation they’ve earned. And among those who do take vacations, 30% say they do “a significant amount” of work while on vacation.
I cannot stress enough how important it is to the critical social change work we are all doing to take a break every once in awhile. And I mean really take a break and reconnect with those things that make us human, not machine. I don’t care what your job is and how critically important the work you do is, you will do it more effectively if you are a whole person. And you become and stay a whole person when you take time away from that job.
And because I believe in practicing what I preach, I’m about to take my own advice and disconnect from the world of social change (and social media) for the next few weeks. Instead I will be relaxing, playing with my kids, reading, hiking, and just being.
But in case you’ve already taken your time off (good for you!) and you want some things to read while I’m out, here are a few things to explore:
- If you are feeling uninspired for the work ahead, read this, this or this.
- If you want to read other viewpoints on social change, check out past guest bloggers here and here, or catch up with some interviews with social change leaders.
- If you want to encourage some big, game-changing conversations with your board, have them read this, this or this.
- If you need help moving your nonprofit in a new direction, check out these step-by-step guides or books.
- And if you like lists, check out the best social change books, blogs, or conferences.
I’ll be back to writing the blog in mid-August. In the meantime, I hope you all find some space to breathe, to think, and to reconnect with what you are meant to do. Because believe me, we need you back in the Fall inspired and ready for the hard work ahead.
Photo Credit: Five Furlongs
May offered some interesting insights into the world of social change. From a plea by nonprofit infrastructure groups for more funding, to some criticisms of philanthropy’s unwillingness to invest in rural economies or provide a realistic runway to nonprofits, to digital’s impact on journalism, to the evolving sharing economy, to a call for more nonprofit board resignations, to a way to break the nonprofit starvation cycle, there was a lot to read.
Below are my picks of the 10 best reads in the world of social change in May. But you can always follow me on Twitter (@nedgington) for a longer list.
And if you are interested in past months’ 10 Great Reads lists, go here.
- Perhaps the biggest news of the month was the letter written by 22 groups, which provide support to the entire sector (like the National Council of Nonprofits, the Nonprofit Finance Fund, and GuideStar), asking foundations to provide more funding for the nonprofit ecosystem. GuideStar CEO Jacob Harold (here) and National Council of Nonprofits CEO Tim Delaney (here and here) explain why this issue is so important. But Pablo Eisenberg disagrees.
- National Committee for Responsive Philanthropy Executive Director Aaron Dorfman takes philanthropy to task for not investing enough in rural communities, where change is needed most. As he puts it: “The philanthropic sector continues to neglect rural communities. A changing national economy, entrenched racial inequity and foundations’ reliance on a strict interpretation of strategic philanthropy has meant philanthropic resources for rural communities are few and far between, just when the opportunities for change are most urgent. This has to change if we want to see progress on the issues we all care about.”
- Piling on to the criticism of philanthropy, Laurie Michaels and Maya Winkelstein from Open Road Alliance, encourage their fellow philanthropists to help nonprofits deal with risk and disruption. As they put it: “Most grant budgets are designed with zero cushion even when the nonprofit is working in tough conditions that can turn the simplest obstacle into an unmanageable issue…any unexpected but inevitable change or deviation in the budget is potentially catastrophic. The nonprofit’s inability to fluidly adapt the budget to manage these roadblocks, however minor, can jeopardize even the largest of undertakings…Risks alone are threatening, but when the concept of risk goes unacknowledged, undiscussed, and unaddressed, those risks are more likely to become realities. All this adds up to lower impact, turning manageable events into liabilities.”
- Maybe female philanthropists can turn the tide. The Lilly Family School of Philanthropy released some fascinating new research about how women are changing philanthropy. And Megan O’Neil, writing in The Chronicle of Philanthropy, explains how nonprofits must adapt in order to tap into this growing philanthropic force.
- Journalism is changing rapidly, due in part to the growth of digital. Research shows that different social media platforms connect people to news in different ways, and long-form journalism is seeing a resurgence thanks to mobile.
- And it’s not just journalism that digital is changing. The Nonprofit Tech for Good blog offers 16 Must-Know Stats About Online Fundraising and Social Media and 5 Ways the Internet of Things Will Transform Fundraising.
- The growth of the “sharing economy”, where consumers rent or borrow goods and services rather than buy them, has huge implications for the social change sector. Pew Research outlines 8 key findings about how Americans relate to the sharing economy and interviews NYU professor Arun Sundararajan about how the sharing economy is evolving.
- Nonprofit Law blogger Gene Takagi pulls no punches in offering 12 Reasons Why You Should Gracefully Resign from a Nonprofit Board. Yes, yes, yes, to more accountability, honest conversations, and clear expectations on nonprofit boards.
- Writing in the Stanford Social Innovation Review, Jeri Eckhart-Queenan, Michael Etzel, and Sridhar Prasad discuss the findings of a new Bridgespan Group study that analyzed the indirect costs of 20 different nonprofit organizations. What they found, not surprisingly, is that indirect rates vary greatly depending on the business model and industry of a given organization (just as it does in the for-profit sector). The authors argue that if more nonprofits understand and report their true costs, nonprofits could break the starvation cycle: “It’s clear that philanthropy’s prevailing 15 percent indirect cost reimbursement policy does not take into account the wide variation in costs from segment to segment. Doing so would have far-reaching effects on philanthropy and grantees. If nonprofits committed to understanding their true cost of operations and funders shifted to paying grantees what it takes to get the job done, the starvation cycle would end.”
- A nonprofit dashboard is a good way to monitor and report on a nonprofit’s effectiveness and sustainability over time. Hilda Polanco, CEO of FMA, explains how to create a great one.
Photo Credit: Omarfaruquepro
I am often asked by nonprofit leaders, “Where are the funders who understand what nonprofits really need?” Well, they were at the Grantmakers for Effective Organizations conference (#2016GEO) last week in Minneapolis.
After attending the conference and curating a great group of bloggers who recapped each day (you can read Phil Buchanan’s Day 1 post here, Trista Harris’ Day 2 post here, and Mae Hong’s Day 3 post here), I have lots of my own thoughts percolating and wanted to share my takeaways from a great conference.
GEO is made up of 500+ member foundations that strive to be better philanthropists. They are a thoughtful bunch who seek to invest better in the nonprofits leading social change. As Linda Baker from the David and Lucile Packard Foundation said in her session on Real Costs for Real Outcomes, “We want to have authentic, trusting relationships with our grantees. We want them to have the impact they want to have in the world because that’s the only way we will have impact. It’s critical to our success.”
And that, in essence, is what GEO and its member foundations are all about. They view themselves and their money in service to those nonprofits creating social change. It is a different model than the traditional philanthropic model of nonprofits in supplication to those who hold the purse strings.
And because GEO is on the cutting edge of where philanthropy is and should be going, the conference this week encouraged philanthropists to push their work in some exciting new directions.
Here is what I saw emerging at the conference:
Philanthropy Must Embrace the National Call for Equity
From the #BlackLivesMatter movement, to student protests on college campuses, there is a growing demand across the country for equity — a level playing field — for all. And philanthropy has to get better at responding to this in the moment. As Alicia Garza founder of the #BlackLivesMatter movement said in her session, “Philanthropy is missing the opportunity to support the very change they are set up to resource.”
And the plenary panelists Peggy Flanagan, Michael McAfee, Doug Stamm and Starsky Wilson would perhaps agree and take it even further, encouraging philanthropist to re-examine the institutional racism inherent in the system. As Michael McAfee said, “I am deeply frustrated at our leadership. At the moment where consciousness about equity is elevated, we shift our priorities, our initiative, we do something to avoid the real work for this moment. We could do something if we could be more courageous.” In this moment where our country is grappling with issues of equity, philanthropy must step up and invest in the hard work of change.
Philanthropy Must Invest in Stronger Organizations
GEO members have always been on the forefront of understanding that it takes strong organizations to create real outcomes, but this conference took that to another level. From a session on unrestricted operating support, to one on supporting fundraising capacity, to one on funding nonprofits’ real costs, GEO was pushing its members, and philanthropy as a whole, to recognize that real change will only come when we support organizations, not just programs.
As one attendee put it, “The project funding paradigm ignores the health of the nonprofit organization in which the project lives.” Yes, absolutely. GEO members are recognizing–and perhaps leading the rest of philanthropy to begin recognizing–that you cannot have effective programs, strong outcomes, and ultimately social change without strong, effective organizations behind them.
And that means that philanthropy can and should lead the way in funding the full costs, including program AND operating costs, along with working capital, fixed assets, reserves, and debt. And at the same time, philanthropy must be a partner with nonprofits in figuring out how to overcome their capacity constraints, like lack of fundraising expertise, lack of management knowledge, and lack of adequate systems and infrastructure.
Philanthropy Must Humble Itself
There is no doubt that GEO members are a humble bunch; they view their role as supportive to the real work of social change, which is different than traditional philanthropy that viewed itself as all knowing. But, perhaps there is still work to be done.
Vu Lee, blogger from Nonprofit With Balls and Executive Director of Rainier Valley Corps, spoke eloquently of philanthropy’s “trickle down” approach to working with communities of color and encouraged philanthropists to take a better approach: “We have to start changing philanthropy’s perception of what communities of color are. Instead of infantalizing communities of color, recognize that communities have the solution, they are the solution, they are the light.”
And Deepak Bhargava from Center for Community Change spoke of the typical grantor/grantee relationship being similar to a feudal relationship, where the philanthropist is the Lord and the nonprofit is the serf. Instead, he encouraged the social sector to move to a place of “public friendship” between grantor/grantee where both sides are:
- United by a vision of big change
- Accountable to each other
- Thinking of themselves as custodians of organizations leading to a better place
- Engaging in creative, generative conflict
He spoke of this ideal as something that we must “persuade a new generation of philanthropists is possible.”
And perhaps this new philanthropy is possible. GEO certainly seems to think so. So let’s hope that this new vision for philanthropy is embraced by the growing GEO membership and that that membership in turn leads philanthropy as a whole to a more effective way of investing in social change.
As Alicia Garza put it, “Effective grantmaking is moving resources to change agents AS change is happening and getting out of the way.” Amen!
Note: As I mentioned last week, I am at the Grantmakers for Effective Organizations conference this week curating a group of bloggers. Next up is Trista Harris, President of the Minnesota Council on Foundations. Her guest post is below. And don’t forget you can also follow the conference from afar on Twitter #2016GEO.
Day two of the 2016 GEO National Conference was all about bringing equity to the forefront in Grantmaking. Two of the morning short talks really stood out for me:
- Isaiah Oliver, Vice President of Community Impact at the Community Foundation of Greater Flint, on the water crisis, and
- Alicia Garza, co-founder of #BlackLivesMatter and special projects director for the National Domestic Workers Alliance, about turning moments into movements.
Here’s some of what they covered.
Isaiah Oliver told a heartbreaking story about how the Flint water crisis is impacting his family directly. He said “I trusted those that said the water in Flint was safe, so I gave it to my babies. My little girls should not have to analyze public water. What if this was your child?” The EPA has said that 15 parts per billion is a safe level of lead in the water; two weeks ago there were houses in Flint that had 11,040 parts per billion. Isaiah said that “if a house is on fire, you need to get the people out and then worry about blame later.” We have not yet gotten all of the people out of the fire.
Alicia Garza said “Hashtags don’t start or sustain movements, people do.” Philanthropy is not prepared to support fast moving movements. Our structures and processes have created a situation where celebrities have given more to #BlackLivesMatter than philanthropy has. She made two critical suggestions to address this issue:
- Philanthropy should get money to change agents while change is happening. Fund movements to fail fast and learn quickly from those failures to innovate their strategies.
- Structural racism exists in philanthropy, and grantmakers should develop strategies to get out of the way of social movements.
Then there was a panel on Equity as an Effectiveness Imperative.
Michael McAfee, of Promise Neighborhoods Institute at PolicyLink, when given the chance for closing remarks at the Equity as an Effective Imperative plenary luncheon, said “I love all of you.” That may strike those not in attendance at the 2016 GEO conference as an odd thing for a speaker to declare to a room of 900 funders, grantmakers and organizational leaders, but in context it perfectly summed up the message of the collective speakers. For equity to truly be a part of the work in philanthropy there must be equal parts discomfort and love throughout all conversations and collaborations.
In addition to McAfee, the panel included: Minnesota State House Representative Peggy Flanagan, CEO of Meyer Memorial Trust Doug Stamm, and moderator Reverend Starsky Wilson of the Deaconess Foundation. Each of the four speakers brought a vulnerability to how they shared their personal and professional experiences with racial inequities in the philanthropic sector. And this created an open and connected space in the ballroom.
Wilson made it clear from his opening remarks that the plenary would focus on racial inequities and the uncomfortable work grantmakers face if meaningful change is to be made. Flanagan talked about her work as Executive Director at the Children’s Defense Fund-Minnesota and the impact there in creating people of color-centered and American Indian-centered spaces to talk about early childhood education. Stamm talked frankly about the heavy burden carried by the people of color at Meyer Memorial Trust as they’ve worked to make racial inequalities more than just a side conversation in their work but actually take action to make internal and external changes. And McAfee shared how sometimes talk about “equity” can be a way to avoid dealing with subtle or institutional racism.
There were powerful questions from attendees about the importance of what language is used and how it is used and how to decide when to educate a colleague about race and when to delegate that education to books or professional development. McAfee, Flanagan and Wilson shared stories of often feeling subtly or overtly ignored, othered or discounted while Stamm admitted his slow learning curve as a white person who hasn’t been forced to be aware of institutional racism.
Numerous attendees expressed on social media that this conversation resonated in ways few other conference sessions ever have. You can see the emotional and engaged responses to a moving and important conversation at #2016GEO.
March was a whirlwind in the world of social change. From successful nonprofit advocacy efforts, to new ways to measure fundraising effectiveness, to finding inspiration in small American cities, to a disconnect between civic engagement funders and activists, to new technology to serve the homeless, and a lot more in between, there was much to read.
Below are the top 10 things that caught my eye in the world of social change in March. If you want to see the longer list, follow me on Twitter @nedgington. And if you want to see past months’ 10 Great Reads go here.
- SeaChange Capital Partners put out a stunning report about the depressing state of financial risk management in health and human services nonprofits in New York, but their insights could really be applied sector-wide. As the report cautions: “Trustees must strive to maximize the good that their organization does while managing its risks. Balancing these can be challenging because of the passion they feel for the organization and its mission. Nonprofits lack the indicators of organizational health that reach the directors of for-profit businesses, such as stock prices or credit spreads…In this context, nonprofit trustees in leadership positions must ensure that well thought through risk management processes are in place. In a challenging operating environment, the status quo is no longer acceptable.”
- Perhaps help is on the way. A fascinating conversation happened between the head of the Nonprofit Finance Fund, Antony Bugg-Levine and Fred Ali, head of the Weingart Foundation and champion of the movement to cover full costs and give nonprofits unrestricted flexible funding. Ali is a huge proponent of investing in nonprofit capacity, as he describes: “The incessant [funder] focus on restricted programmatic grants has come at a huge cost to our sector. When we were considering a shift to unrestricted grants, we took a look back and found that many times the organizations we were supporting were not producing the outcomes we were looking for because they didn’t have the ability to invest in the kind of infrastructure that is necessary to produce those outcomes. So when I hear foundations object to our approach, I have to ask, ‘What are you trying to accomplish? Does your grantmaking approach help or hinder the development of capacity and sustainability?’ It is pretty clear that we have a lot of nonprofit organizations that are doing incredible work, being asked to do even more work, and they are not getting the kinds of support they need to that work effectively.” Yep.
- Pew Research is really knocking it out of the park lately. Every day they come out with fascinating data slices that are relevant and topical. Like their infographic on the 10 demographic trends that are shaping the U.S. and the world, which blew my mind. And if you want to dig into data just on the nonprofit sector, check out this in-depth report from The Bureau of Labor Statistics, which The Nonprofit Quarterly calls “required reading for leaders and board members of nonprofits and philanthropy.”
- On Monday, the governors of both California and New York signed legislation raising the minimum wage in their states to $15 per hour. Apparently we have the advocacy efforts of nonprofits to thank for this social change.
- But economics professor Mark Hendrickson doesn’t see a lot of value in the nonprofit sector. If you feel like getting justifiably incensed, take a look at his eye-popping read in Forbes where he is responding to what he calls the “turf war” between philanthropy and capitalism. Hendrickson provides many stunning quotes about the nonprofit sector, including this whopper: “Many non-profits do good work (albeit without the efficiencies imposed by the profit-loss calculus). However, they have no moral standing to criticize or condemn those who create the wealth that the non-profits spend. Non-profits essentially are professional mendicants trying to do good with other people’s money. It’s time for the non-profits to abandon their petty turf war and to muster enough grace at least to keep silent if they can’t bring themselves to express gratitude for the dominant, indispensable role of the profit-makers in advancing human welfare.” Wow.
- So now that you’re mad, let writer James Fallows inspire you. He and his wife Deb have been on a three-year journey across the country visiting small cities to understand what contributes to their cultural and economic resilience. What they found is that despite political dysfunction at the national level, there is some very inspiring progress happening at the local level: from urban renewal, to bipartisan compromise, to educational reform, to state-of-the-art job training and much more. As Phillip Zelikow, a professor at the University of Virginia and quoted in Fallows piece put it: “In scores of ways, Americans are figuring out how to take advantage of the opportunities of this era, often through bypassing or ignoring the dismal national conversation. There are a lot of more positive narratives out there—but they’re lonely, and disconnected. It would make a difference to join them together, as a chorus that has a melody.”
- And speaking of innovation, some nonprofits have developed apps to better serve the homeless, to varying degrees of success.
- Writing about civic engagement in The Nonprofit Quarterly Austin Belali bemoans the disconnect between those who are leading a new surge in civic movements (like Black Lives Matter) and the philanthropists funding civic engagement efforts, noting: “While the leaders of what could be described as a twenty-first-century movement for inclusive democracy are largely women and people of color, civic engagement philanthropy and the organizational leadership it supports is stubbornly the opposite.” And looking at a specific kind of civic engagement (voter turnout among young people), Abby Kiesa and Peter Levine might agree when they argue in the Stanford Social Innovation Review: “We must ask whether society supports youth engagement, and, if it does, how that support can be made equal for all youth, regardless of education, race, and income. We believe that encouraging youth to engage and to contribute their skills and values can help improve the political culture, but major institutions—educational, governmental, political, and civic—must actually want that to happen.”
- Adding to what has been a scarce (but hopefully growing) body of research on fundraising effectiveness, The Bridgespan Group released a new study about calculating the fundraising effectiveness of each affiliate within a national nonprofit network (like Big Brothers Big Sisters or the YMCA). They created a calculation they call “share of wallet,” which they define as “current fundraising performance compared to fundraising potential as gauged by the pool of donor dollars you draw from.” This fairly simple calculation of how much each site raises vs. what is possible to be raised can help a national nonprofit uncover which sites are more successful and why, and then hopefully help lower performing sites raise more.
- And finally, social media maven Beth Kanter urges us all to take a digital detox day. Sounds fantastic…how about a week instead?
Photo Credit: David McSpadden