Whew, are you as exhausted as I am? As I said last month, with the January inauguration of President Trump, it seems we moved into hyper drive. And February didn’t slow down a bit. From debates about the right political role for nonprofits, to advocacy in new areas like science, to efforts to reinvent journalism, to new grassroots organizing campaigns, to new ways to think about marketing in the nonprofit sector, there was a lot going on in the world of social change.
Here is my pick of the 10 best reads in the world of nonprofits, philanthropy and social change in February. If you want a longer list, follow me on Twitter @nedgington. And check out past months’ 10 Great Reads lists here.
- A big contributor to the exhausting pace is the daily onslaught of new and shocking pronouncements from the Trump administration. One with a potentially huge impact on the nonprofit sector was Trump’s call for an end to the Johnson Amendment, which limits the election-related activity of nonprofits. Many argued that this would be a destructive development for the sector, from limiting the collaborative position of the sector, to moving philanthropy away from social change and toward politics, to contributing to an elimination of the charitable tax deduction, to increasing dark money contributions to political campaigns. But others disagreed arguing that repealing the Johnson Amendment would level the playing field with for-profits. As always, the HistPhil blog gives some much needed historical perspective on the issue.
- Another victim of Trump’s ire in February was the news media. Journalism has been struggling for years amid falling advertising revenues and a changing digital landscape. But it seems the Trump administration may just be the impetus the industry needs to reinvent itself. As Jeff Jarvis argued: “Now we reinvent journalism. Now we learn how to serve communities, listening to them to reflect their worldviews and gain their trust so we can inform them. Now we give up on the belief that we are entitled to act as gatekeeper and to set the agenda as well as the prices of information and advertising. Now we must learn to work well with others. Now we must bring diversity not just to our surviving newsrooms — which we must — but to the larger news ecosystem, building new, sustainable news services and businesses to listen to, understand, empathize with, and meet the needs of many communities.” And Nieman Lab hosted a conversation among journalists and editors from The New York Times, The Wall Street Journal and The Huffington Post about the future of journalism. And Democracy Fund launched a cool new project, the Local News Lab, aimed at making local news more sustainable.
- In these uncertain times where many nonprofits are feeling under attack, advocacy has become a more important tool than ever. Writing in the Stanford Social Innovation Review, Jim Shultz offers some guiding questions for developing your nonprofit’s advocacy strategy.
- And speaking of new levels of advocacy, while scientists once strived to remain separate from politics, some scientists are finding themselves in the political arena just by investigating areas at odds with the Trump administration, like climate change. And some scientists created a network of scientists who could offer temporary space to U.S. scientists stranded overseas by the immigration ban.
- The Johns Hopkins Center for Civil Society Studies released a new online database that lets you slice and dice data on the U.S. nonprofit economy. Fascinating.
- Some nonprofits have enjoyed dramatic donation and follower increases as a result of the election. One of these, the ACLU has developed a pretty impressive social media strategy and plans for a much larger ground game. Similarly, Planned Parenthood is using their increased support to develop their grassroots organizing efforts.
- All of these efforts to resist the Trump Administration got David Brooks thinking about resistance movements throughout history and which might be most applicable now.
- Taz Hussein and Matt Plummer offered a wakeup call to social change leaders who think they don’t need to generate demand for their social change work: “It’s time [nonprofits] and their funders heed business findings on increasing noise in the marketplace and the need to make any new offering, even a life-saving one, stand out. In other words, they need to pay what it takes to actively drive demand.”
- And speaking of marketing in the nonprofit sector, Ann Christiano and Annie Neimand argued that nonprofits needs to stop “raising awareness” and instead create strategies for changing behavior: “Because abundant research shows that people who are simply given more information are unlikely to change their beliefs or behavior, it’s time for activists and organizations seeking to drive change in the public interest to move beyond just raising awareness. It wastes a lot of time and money for important causes that can’t afford to sacrifice either. Instead, social change activists need to use behavioral science to craft campaigns that use messaging and concrete calls to action that get people to change how they feel, think, or act, and as a result create long-lasting change.” Amen!
- Writing on the PhilanTopic blog, Kyle Crawford argued that chatbots — computer programs that conduct a conversation via voice or text — have a real role to play in social change, and nonprofits should become early adopters of this new technology.
Photo Credit: Max Pixel
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
In this month’s Social Velocity interview, I’m talking with Jane Wei-Skillern.
Jane is the co-author of the groundbreaking 2008 Stanford Social Innovation Review article, “The Networked Nonprofit,” and a leading researcher on networks for social change. She is a senior fellow at the Center for Social Sector Leadership at the University of California Berkeley’s Haas School of Business and has also served on the faculties of the London, Harvard, and Stanford Business Schools. For the past 15 years, her research has focused on high impact nonprofit networks, network leadership and network cultures.
You can read other interviews with social changemakers in the Social Velocity interview series here.
Nell: Jane, you and Sonia Marciano arguably coined the term “networked nonprofit” with your 2008 Stanford Social Innovation Review article of the same name. But is the idea of creating and using networks to create social change necessarily new to the space? How is a networked nonprofit different now than in the past, or what has changed?
Jane: In our article, we were most interested in the ways in which leaders and organizations catalyzed and engaged in collaborations successfully. Thus, the focus in the article was much more on the culture, or the norms and values, of what makes collaborations succeed, rather than a strict definition or structure of what collaborations should look like.
The concept of partnerships, collaboration, alliances, networks, or any number of other terms we could use, are of course nothing new in the nonprofit sector. In fact, we are not particular about the terminology that is used to describe collaborative efforts or whether they choose to use the term “networked nonprofit” at all. These lessons were drawn from detailed case studies of successful networks, many of which had been operating for years or decades before we studied them as researchers.
At the same time, we used the term “networked nonprofit” to describe a particular approach to collaboration, one that was oriented around social impact above all else, that emerged from the bottom up by community members in the field, as a way to address problems more effectively, rather than collaboration for collaboration’s sake. The networks were unique in that while they might have been catalyzed by a few instrumental actors initially, all participants worked in true partnership, as peers and equals to drive toward field level impact.
Consequently, they were able to achieve significant commitment, investment and support from participants, and generate leverage on resources and capacity, to achieve mission impact much more efficiently, effectively, and sustainably. It is this experience and wisdom about what was working well in the field that we wanted to bring attention to, especially at a time when so many in the field were struggling to scale impact through individual social entrepreneurs/social enterprises by proliferating program/organization innovations, building organizational capacity, scale, and brands.
Nell: How is the concept of a network different than or related to the concept of a social movement, like BlackLivesMatter? Are social movements the same or different than networks?
Jane: I believe that the concepts that enable social movements to succeed are very similar to those that would enable networked nonprofits to succeed. Social Movement scholars and analysts have highlighted four stages of successful social movements which were succinctly described in this article. These four stages are:
- A community forms around a common goal
- The community mobilizes resources
- The community finds solutions (what I call “fourth options”)
- The movement is accepted by (or actually replaces) the establishment
In this respect, networked nonprofits are very similar. The network emerges around a common goal, rather than a particular program or organizational model. The community mobilizes the resources from throughout the network, and based on existing relationships in the community. The solution is emergent and comes from the community members themselves, rather than being pushed from the top down. And finally, once a network is up and running and proves itself to be effective, it becomes the primary vehicle for change, rather than the individual organizations themselves.
Nell: You recently launched a new site offering resources to those interested in becoming a networked leader. What is your goal with this new site?
Jane: The stated mission of the website is: “To champion network leaders, and the networks that they serve, to nurture change on the challenges that dwarf us all.” It’s an interesting story about how we came to create this website together.
In early 2016, I had the opportunity to work with Children and Nature Network to share my research on network leadership through a series of webinars with their network members. Through this project I got to know Amy Pertschuk, co-founder of Children and Nature Network, who found the ideas so compelling that she offered her services pro bono to help develop a web site to share resources.
Initially, Amy asked if we should create a domain name focused on me and my research. I immediately realized that that would be too limiting. In order to achieve leveraged and scalable impact through this website, I absolutely needed to practice what I preach and make the site much less about me and much more about championing network leaders and the networks of which they are a part.
It also made sense to reach out to some of my most inspiring and trusted colleagues who have deep experience leading, developing, and writing about networks themselves to develop the website jointly. We have all worked to build this site to support experienced and aspiring network leaders. The resources on the site have been collected and curated by a community of practitioners and network supporters working to increase the impact of social sector leaders and organizations by promoting the principles of successful networks.
Nell: Is the networked approach right for every nonprofit, or does it apply better to certain types of leaders or organizations? And how can a nonprofit leader interested in this approach move forward with it?
Jane: I like that you emphasize that it is an approach rather than a structure or model. Sometimes people think that they need to reorganize or restructure in order to be a network. Instead, I view it as a mindset and leadership approach that can be used by people in all types of organizations, whether in the private, public, or nonprofit sectors. Though I do believe that it is particularly relevant in the social sectors where the primary objective is, or should be, to generate social value that is not owned or captured by any single entity, in contrast to private sector organizations whose objective is to generate shareholder value.
The network leadership principles focus on: mission before organization; governance through trust-based relationships, rather than top down controls; promotion of others rather than oneself; and building of constellations rather than stars. These can be applied at all levels of an organization, from the executive suite to leaders out in the field. It is a shift from traditional leadership approaches that focus on the charismatic individual who has formal authority to get things done, to a more open-sourced approach to addressing social problems.
Network leaders start with the mission and engage others (especially those they seek to serve) to mobilize resources to support them doing what they would have wanted to do for themselves. It is a significant departure from doing ‘to’ and instead working with others as peers, equals, and true partners.
Photo Credit: Harvard Business School
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
What is it about June and social change? Last June was the landmark ruling by the Supreme Court legalizing gay marriage, a huge victory after decades of social change work. This June, while perhaps not as pivotal, offered some clear glimpses of impending social change.
The horrible tragedy in Orlando stirred Democrats in the U.S. House and Senate to stage protests calling for votes on gun legislation. And the United Kingdom’s vote to leave the European Union sent shockwaves around the world. Add to that some fascinating data (about civil rights and education, charitable giving, and the refugee crisis), some strong words about tech philanthropists, and a distaste for the term “nonprofit,” and it made for an interesting month in the world of social change.
Below are my picks of the 10 best reads, but if you want a longer list, follow me on Twitter @nedgington.
And if you want to see past months’ great reads lists go here.
- In the wake of the brutal killing of 49 people at the Pulse nightclub in Orlando, the U.S. Congress temporarily ground to a halt with a Democratic filibuster in the Senate and then a Democratic sit-in in the House, all in the name of forcing Republicans to take a vote on gun control legislation. While neither effort was successful in passing gun legislation, change may be coming, due in part to a new and growing gun control group.
- June also saw the shocking vote by the United Kingdom to leave the European Union (“Brexit”), a move that many argue will have a huge impact on the global economy. Much was written about the implications of the vote, but most interesting (and most related to social change) were Spencer Wells’ fascinating look at the fundamental economic, demographic and political shifts behind the vote, and Jake Hayman’s view on what philanthropy can learn from it. As he put it: “The future of philanthropy and the future of politics have to lie in something beyond the economic. Indeed it will be the ones that invite those they wish to serve into the heart of decision-making and dedicate themselves to reforming systems – rather than propping them up – that will come to thrive.”
- One of the reasons some in the United Kingdom voted for Brexit may be fear about the refugee crisis. Ever relevant to the issues of the day, Pew Research offers some key facts about the world’s refugees.
- And speaking of votes, in the November U.S. presidential election Millennials (because of their sheer numbers) stand to have a real impact. Derrick Feldmann from Achieve discusses some new research about Millennials’ particular approaches to civic engagement and how they might play out in the presidential election.
- Writing in The New York Review of Books, Lewis B. Cullman and Ray Madoff express “grave concern” about a fundamental shift they see in the funding of the nonprofit sector due to the increasing popularity of donor advised funds (DAFs). Donors receive an immediate tax benefit when setting up a DAF, but the donation may not find its way to the nonprofit sector for years to come. As they put it, “Donor-advised funds have been a bad deal for American society. They have produced too many private benefits for the financial services industry, at too great a cost to the taxpaying public, and they have provided too few benefits for society at large. When we consider their overall effect, we see that rather than supporting working charities and the beneficiaries they serve, they have undermined them.”
- One of the smartest philanthropic thinkers, by far, is Clara Miller president of the F.B. Heron Foundation. She offers a two part treatise (part 1 and part 2) on what the foundation of the 21st century should look like. She writes that foundations must learn to adapt their approach and business model: “While permanence may be a key mission requirement for some…fossilized thinking cannot be. We simply can’t succeed in a vacuum, especially when the pace and nature of the gaps we are called upon to fill have become larger and more frequent, the problems more intertwined and the needs more urgent.” Amen!
- Never one to pull punches, blogger Vu Le has some strong words for a particular type of philanthropist, those coming from tech companies thinking they know how to fix nonprofits. As he tells them, “Don’t think for a moment that just because you’re great at one thing, it means you have the legitimacy to give advice in an area that you have little experience and training in. I don’t go around telling you how to design apps or wifi-enabled smart light switches. If you want to truly partner to solve entrenched issues our community members are facing, then great. But first, get rid of your assumptions and ego. Otherwise, let’s agree to swipe left.”
- Another favorite truth teller, Phil Buchanan from the Center for Effective Philanthropy clearly articulates why the term “nonprofit” is critical and necessary: “Sometimes, nonprofits need to be the voice of opposition to those whose motivation is profit.” Yep.
- Giving USA released their annual data on giving in the nonprofit sector. And if you are hungry for even more data about the nonprofit sector, thanks to a a federal court order the IRS is now providing machine-readable nonprofit Form 990s from 2011 to the present.
- And speaking of fascinating data, the Department of Education released their annual civil rights data, which has been gathered every year since 1968 in order to assess enforcement of civil rights laws. NPR highlights some jaw-dropping findings.
Photo Credit: Kyle Pearce
I’m a little late on my 10 great reads list this month because the GEO conference kept me busy, but there was lots going on in April. From the most pressing issues facing foundation leaders, to what history can tell us about new philanthropy and combatting xenophobia, to how nonprofits create economic value, to Millennials and social change, to state lawmakers attacking nonprofits, it was not a slow month.
Below are my 10 favorite reads from the month of April.
- If you read only one thing on this list, let it be Ruth McCambridge’s fascinating interview with media theorist Douglas Rushkoff. He argues that a nonprofit (or benefit corporation) business model is far better at creating value than a corporate model that operates under a “scorched earth policy.” He argues that corporations transfer value only to their shareholders, instead of the economy as a whole. As he puts it:
“Unlike the for-profit sector, the nonprofit company can’t sell itself, and it doesn’t have shares that go up in value…the way you make money is not by making your share price more valuable and then selling those to other people…the investment that you put in the company stays in the company. You can’t extract that when you leave. So, it’s much more like a family business, and if you look at the data, family businesses do better than shareholder-owned businesses in pretty much every single metric, and they last a whole lot longer. You’re building a company not because you want to take value out of it and then use that money to bequeath an inheritance to your grandchildren, but rather you’re building a company that you hope will still be around when your grandchildren need a job, to circulate wealth when you die. That’s why I’m trying to convince Internet startups to be benefit corporations, multipurpose corporations, or best of all, nonprofits.”
- And if you only have time to read two things on this list, let the second thing be Phil Buchanan’s essay on the five most pressing issues facing foundation leaders, “Big Issues, Many Questions.” A thought-provoking read.
- Pew Research provides a cool interactive graphic of the ebbs and flows of political polarization over the last 20+ years.
- While we are talking about change over time, I have always thought there are great parallels to be drawn between the philanthropists born of today’s digital age and the Gilded Age philanthropists. Nellie Bowles writing in The Guardian seems to agree in her piece about the “Digital Gilded Age.”
- And speaking of the history of philanthropy, Alfred Perkins, writing on the HistPhil blog, sees parallels between our current xenophobic political environment and the anti-Japanese sentiment in World War Two. But back then Rockefeller Foundation philanthropist Edwin Embree fought it. And perhaps there is a lesson there for philanthropy today: “By moving boldly beyond the customary boundaries of organized philanthropy, Embree was able to challenge deeply-held prejudices, demand justice for a vulnerable minority, and extend the impact of the monies he disbursed. This pioneer of his profession would not have voiced the idea, but implicit in his words and actions is the notion that foundation executives might on occasion serve as the nation’s conscience. In these less stringent times, his example might provide useful lessons for his contemporary successors—to the benefit of the philanthropic enterprise, and the nation as a whole.”
- So what will the future of social change be? All eyes are on Millennials, from how they turn out to vote, to how they donate, to what they think of capitalism, to how they find housing.
- A recent conference focusing on “maintainers” rather than the overly popular “innovators” aimed to uncover how critical the role of those maintaining the world in which we live are. As one of the conference organizers, Lee Vinsel (assistant professor of science and technology at the Stevens Institute of Technology) put it, “The vast majority of technologies that surround us and underpin our lives are not innovations. And the vast majority of labor in our culture is not focused on introducing or adopting new things, but on keeping things going.”
- Nonprofits have been under fire lately by state lawmakers who are trying to make it even harder for nonprofits to do their work. Tim Delaney from the National Council of Nonprofits provides an overview on what’s happening and what we can do about it. And Erin Bradrick delves into a proposed California bill that didn’t make it out of committee but sets a dangerous precedent on legislating nonprofit overhead rate disclosure in fundraising.
- Particularly during an election cycle, the struggle of the modern news media becomes more evident. The Knight Foundation released a troubling report that the news media has grown less able to defend their First Amendment rights in court. And French economist Julia Cage argues in her new book that the news media should embrace a nonprofit business model in order to reflect better its social role of bolstering our democracy.
- Hanh Le from Exponent Philanthropy and Rusty Stahl from Talent Philanthropy make a very convincing case about why funders should invest in nonprofit talent. Let’s hope this helps turn the tide.
Photo Credit: Stepan Lianozyan via Wikimedia Commons
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
February 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.
- 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.
- 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.
- 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.
- 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.”
- 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.
- 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.”
- 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.”
- Nonprofit Tech for Good offers a nice list of 36 apps and online tools for nonprofits.
- 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.”
- 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