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women in philanthropy

10 Great Social Innovation Reads: May 2016

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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.

  1. 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.

  2. 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.”

  3. 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.”

  4. 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.

  5. 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.

  6. 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.

  7. 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.

  8. 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.

  9. 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.”

  10. 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

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10 Great Social Innovation Reads: July 2012

I was out of town for the first half of July (and mostly away from social media), so I’m probably not qualified to give a 10 best list for the month, but I’m still going to try (ha!). As always, please add what I missed (particularly this month) to the comments.

To me, July was about outcomes and measurement. As I mentioned in an earlier post, there is a growing drumbeat for social change organizations to measure what (if anything) they are changing. Some readers commenting on that post argued that measurement is not a new thing for the nonprofit sector. True, it’s not new, but its importance (to funders, ratings agencies, government agencies, etc.) is increasing dramatically. So those in the social change world must heed the call and understand the new reality.

As always, you can see the 10 Great Reads lists from past months here.

Here’s July’s 10 Great Reads in Social Innovation:

  1. In two back-to-back posts on the Full Contact Philanthropy blog, David Henderson explains how nonprofits have to get “smarter about how we allocate our scarce resources.” First by getting strategic about who they serve and then by focusing on outcomes.

  2. Bill Shore of Share Our Strength adds to the drumbeat by arguing “nonprofit organizations are failing to grapple with the threshold questions on which all else depends: what specific objective are they trying to achieve and how will they measure whether they have or have not done so. “

  3. In the Los Angeles Times, Jared Billings takes social innovation darling, Teach for America, to task by asking whether TFA can actually change student achievement if the majority of their teachers leave the profession after only two years.

  4. On the Mission:Innovation blog Nicole Wallace reviews Andrew Zolli’s new book Resilience and his argument that nonprofits must embrace a “new mind-set, one that emphasizes improvisation, ad hoc networks, and adaptation.”

  5. On the Forbes blog, Victor Hwang recapped this month’s Global Innovation Summit and the 10 Lessons on Growing Innovation that emerged from it.

  6. Maybe not everyone should be a social entrepreneur says Lara Galinsky, who (shockingly) works for Echoing Green, one of the biggest supporters of social entrepreneurs.

  7. And maybe not every nonprofit should scale, says John Brothers in a great two-part series on the Stanford Social Innovation Review blog.

  8. On what is quickly becoming one of my favorite blogs (Unsectored), Mark Hecker recounts the story of true collaboration between public, private and nonprofit sectors when a drug raid was turned into small business development and job creation.

  9. It looks like women may be changing the face of philanthropy in exciting ways. “Women are exerting a greater influence on how philanthropy is done as they accumulate wealth and use their clout to change the way funds are raised and distributed.” Cool!

  10. Echoing the comments of Vikki Spruill from the Council on Foundations, Rick Cohen argues that foundations need to be more transparent in their work.

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