When I first heard the term "risk-aware nonprofit" I got this image of an
organization that attempted to isolate itself from any possible loss or
risk. When I read the first Hallmark of a risk-aware nonprofit was to "Takes
More Risks Than It Avoids", I knew I was off track in my thinking. Over the
past two years, the Nonprofit Risk Management Center convened and consulted
risk management experts from the nonprofit sector to identify 12 hallmarks
of a risk-aware nonprofit organization, along with practical strategies and
tools to help turn your organization into one that manifests the hallmarks
of a risk-aware nonprofit.
This Hallmarks tool was developed to provide thoughtful guidance to board
and staff members around an area that is too often relegated to "I'm pretty
sure the Finance Committee and staff are on top of our insurance needs." The
website provides both an overview and some detail in each area to allow your
organization to more clearly evaluate whether you are responsible risk
managers.
Hallmark #1: Takes More Risks than It Avoids
Hallmark #2: Heralds A Risk Management Champion
Hallmark #3: Guided By Reality, In Addition To Scary Headlines
Hallmark #4: Is Bold But Smart
Hallmark #5: Cultivates a 'Can-Do' Attitude Among Paid and Volunteer Staff
Hallmark #6: Sees the Whole Iceberg Not Just the Tip
Hallmark #7: Understands that Hindsight Isn't 20:20, But It's Better than a
Blindfold
Hallmark #8: Tells It Like It Is
Hallmark #9: Is Transparent with Insurance Partners
Hallmark #10: Values the Journey, Not Just the Destination
Hallmark #11: Engages the Board in Their Battle
Hallmark #12: Looks at Risk from Everyone's Perspective
Read more about each Hallmark at:
http://nonprofitrisk.org/tools/hallmarks/intro.shtml
Tuesday, February 15, 2011
Tuesday, February 8, 2011
Thoughts on Building a Prospective Donor Development Process
by Kevin Strickland, The Not-for-Profit Group for GuideStar.org
In today's tough economic environment, many not-for-profit organizations are struggling to grow donations. Taking a more strategic approach to donor development has never been more important. When our principals meet with those seeking donations, we hear common themes of why many are struggling to find new opportunities.
See whether any of these reasons apply to you:
.No time-Most of those responsible for development are busy, if there is
anyone responsible.
.Not sure whom to target
.Prospecting potential donors is a low return activity
.Prospecting new donors is frustrating
Getting new donors is tough. Making sure you have done everything possible to make it easier is not to say it will be easy. Here are some techniques being used by some of the most successful organizations:
1.Make sure your organization is targeting the right prospective donors.
2.Help people identify the best opportunities to target.
3.Build a plan for consistency and committing to the long haul.
4.Select the right approach to get the first appointment.
5.Prepare effectively for the first and second meeting.
6.Reinforce the process. Prospecting new donors is a team sport. Forget
freelancing. By creating opportunities for your organization to share market intelligence, effective calling techniques, and successful strategies, you build a process that can be managed over time. And you improve their chances for success.
In today's tough economic environment, many not-for-profit organizations are struggling to grow donations. Taking a more strategic approach to donor development has never been more important. When our principals meet with those seeking donations, we hear common themes of why many are struggling to find new opportunities.
See whether any of these reasons apply to you:
.No time-Most of those responsible for development are busy, if there is
anyone responsible.
.Not sure whom to target
.Prospecting potential donors is a low return activity
.Prospecting new donors is frustrating
Getting new donors is tough. Making sure you have done everything possible to make it easier is not to say it will be easy. Here are some techniques being used by some of the most successful organizations:
1.Make sure your organization is targeting the right prospective donors.
2.Help people identify the best opportunities to target.
3.Build a plan for consistency and committing to the long haul.
4.Select the right approach to get the first appointment.
5.Prepare effectively for the first and second meeting.
6.Reinforce the process. Prospecting new donors is a team sport. Forget
freelancing. By creating opportunities for your organization to share market intelligence, effective calling techniques, and successful strategies, you build a process that can be managed over time. And you improve their chances for success.
Tuesday, February 1, 2011
Every Board's Guide to Strong Organizational Leadership in 2011 - Michael Peregrine, Atty
For those of you who do not subscribe to the Chronicle of
Philanthropy(www.Philanthropy.com) yet. As an attorney, Mr. Peregrine's
focus is primarily on the internal workings of the organization, which
misses some important externally focused roles of the board, but each is an
important point. Some are more applicable to larger organizations or
organizations doing certain types of work but the list is well worth a run
through at the next Executive Committee or Finance Committee meeting.
-Executive compensation continues to gain attention. When you set your CEO's
compensation, have a clear rationale that you feel comfortable you can
defend when the local press calls.
-Conflicts of Interest - take a look at anyone on your board who is paid or
their business is paid to provide services to the organization. Be able to
substantiate why they were chosen, independent of their board position.
-Risk Management, Defending your Brand and your Intellectual Property,
Protecting your Reputation
-Knowing the Competition - from other nonprofits, business, and government
-Take the Long View - don't get distracted in current issues unless you have
to, that is where the staff is more focused.
-Term Limits - bring fresh perspectives and reduce excess familiarity with
management. Being certain to find ways to maintain institutional memory.
-Board Structure, Size - Every few years take a look at the size of your
board, membership, and committee structure. How do you need to evolve?
-Donor Stewardship - Does the board know how the organization ensures a
donor's restricted gift is used for its intended purpose or how donors are
thanked or recognized?
-Audit Committee - Have you created an audit committee, apart from your
finance committee? Should you? What will they do?
-Qualifying Value -- Given the looming national discussion concerning
deficit reduction, the board should lead internal efforts to quantify the
mission-based contributions of the organization.
You can see the full article if you are a subscriber at:
www.philanthropy.com or read a more extended paraphrase
at:http://www.nptimes.com/11Jan/NPW-01242011.html?tr=y&auid=7661428
Philanthropy(www.Philanthropy.com) yet. As an attorney, Mr. Peregrine's
focus is primarily on the internal workings of the organization, which
misses some important externally focused roles of the board, but each is an
important point. Some are more applicable to larger organizations or
organizations doing certain types of work but the list is well worth a run
through at the next Executive Committee or Finance Committee meeting.
-Executive compensation continues to gain attention. When you set your CEO's
compensation, have a clear rationale that you feel comfortable you can
defend when the local press calls.
-Conflicts of Interest - take a look at anyone on your board who is paid or
their business is paid to provide services to the organization. Be able to
substantiate why they were chosen, independent of their board position.
-Risk Management, Defending your Brand and your Intellectual Property,
Protecting your Reputation
-Knowing the Competition - from other nonprofits, business, and government
-Take the Long View - don't get distracted in current issues unless you have
to, that is where the staff is more focused.
-Term Limits - bring fresh perspectives and reduce excess familiarity with
management. Being certain to find ways to maintain institutional memory.
-Board Structure, Size - Every few years take a look at the size of your
board, membership, and committee structure. How do you need to evolve?
-Donor Stewardship - Does the board know how the organization ensures a
donor's restricted gift is used for its intended purpose or how donors are
thanked or recognized?
-Audit Committee - Have you created an audit committee, apart from your
finance committee? Should you? What will they do?
-Qualifying Value -- Given the looming national discussion concerning
deficit reduction, the board should lead internal efforts to quantify the
mission-based contributions of the organization.
You can see the full article if you are a subscriber at:
www.philanthropy.com or read a more extended paraphrase
at:http://www.nptimes.com/11Jan/NPW-01242011.html?tr=y&auid=7661428
Tuesday, January 25, 2011
Is Consensus Our Board Goal?
How many “real decisions” did your board make in the past year, beyond the budget and any routine signoffs that various funders might require? Do you ever wonder whether your primary goal, as a board, is to help lead the organization or to be sure everyone gets along and is not offended by a decision or position of the organization?
When I speak with board members of various nonprofit organizations, it seems pretty typical for many boards to go for months, even years, without posing a true decision for the board. How could this be?
I regularly hear comments like:
· We always approve everything unanimously
· It is uncomfortable to disagree
· Decisions are made before the issue comes to the board
· The board shouldn’t be just a rubber stamp
In contrast, I am supporting an organization through a strategic planning process who perceived everyone on the board was in general agreement and had full understanding of their program model and organizational priorities until they got into the planning kickoff discussion. Underlying perceptions and assumptions have come to light and now can be more clearly defined and stated.
If you are a CEO or board leader, these possibilities can feel uncomfortable because it can be difficult to actually get things done if every decision is opened up to broad discussion. In addition, board members are usually not “experts” on the particular topic at hand and it takes time to appropriately equip your board team to have critical discussion and make important decisions.
A Starting Point:
· Confirm what authority the staff leader has to make decisions – most organization decisions should be made by the CEO/Executive Director within the constraints of the budget and strategic plan
· With the full board, define the expectations of the Executive Committee in determining what discussions and decisions come to the board. Define what decisions, if any, the Executive Committee will make.
· Focus board discussions around future issues and high level discussions of who you serve and how you allocate resources to best accomplish your mission.
· Don’t bring a decision to the board for approval if the CEO/Executive Director has the authority to make the decision – put it in the CEOs Report as an FYI
· Clarify what your bylaws say about making decisions. Most boards make most decisions with the majority of members in attendance(assuming quorum). Learn to disagree with each other respectfully and allow time for discussion separate from the decision.
· How can you better equip your board members to understand the people you serve and the way you do your work? They will make better decisions and share your story with more confidence and clarity.
· Do not get stuck in consensus or unanimous mode, because it can empower one or two individuals to control the destiny of the organization by withholding their votes.
· It is important for board members who disagree to be willing to support the decision after their perspective has been acknowledged and considered.
By Bryan Orander, President, Charitable Advisor and Not-for-Profit News
Tuesday, January 11, 2011
Welcome to the Age of the New Normal (www.Guidestar.org )
Partly due to the Great Recession, partly due to rapid advances in technology, and in part due to changes in our cultural norms, we have entered into the Age of the New Normal. And this New Normal is affecting every facet of how nonprofit organizations conduct their businesses, from raising funds to using new technologies to workplace issues.
To stay current and viable as an organization in this Age of the New Normal, here are just a few of the questions that need answers:
· How dependent are we on government funding?
· Do we still believe that marketing and branding would make us look too much like the for-profit sector?
· Are we still trying to raise money under the rubric of being a "charity that makes a difference"?
· How well do we collect and leverage our data?
· How well do our employees work together, especially employees from different age groups?
· Are we getting the most out of our volunteers?
· What about our use of technology?
Tuesday, January 4, 2011
How could 'Walking for Dreams 2011' benefit your Organization?
Last year, 30 nonprofits recruited over 1000 walkers and raised more than $91,000. Over the past 8 years, close to 100 different organizations have raised hundreds of thousands of dollars, in total.
I (Bryan) have been involved since the 2nd or 3rd year walking for several different organizations. I think of 'Walking for Dreams' as the walk-a-thon event for organizations who: 1) aren't big enough to do their own event or 2) don't want to spend valuable volunteer or staff time on event organizing, or 3) want to gather a group of their supporters around fund raising for one particular program.
Here's how it works: There is a $300 upfront fee but then the Sycamore Foundation plans, manages, and runs the event. They even provide an on-line donation website where your walkers can form teams and receive donations. All your nonprofit does is solicit walkers to participate and raise funds for your organization. Whether you have 5 walkers or 50, it is a fun event and can raise a meaningful amount of money for the effort you invest.
Promoted as the 'Walking for Dreams Family and Pet 5k Walk', the event encompasses just a couple hours of a beautiful Sunday afternoon on the scenic Canal Walk downtown. The energy is terrific, the colors are bright, the faces are happy. Each organization is assigned a table to greet and gather their walkers plus promote their organization to others in attendance. Everyone steps out together and then winds their way through the walk route and back to food and festivities at their own pace.
A Walk-a-thon event is a great way to introduce people to your organization, a good strategy to give reluctant board members or staff a 'safe' way to talk about your organization with friends and family, and a nice time for social connection between people who care about your organization.
To learn more or get signed up for the May 22, 2011 event, plan to attend the informational meeting on Friday, January 14 at 8:30 AM at the Irvington Office Center (338 S. Arlington Avenue). For more details you can also visit www.WalkingforDreams.org or call 317-260-0669.
Bryan
Here's how it works: There is a $300 upfront fee but then the Sycamore Foundation plans, manages, and runs the event. They even provide an on-line donation website where your walkers can form teams and receive donations. All your nonprofit does is solicit walkers to participate and raise funds for your organization. Whether you have 5 walkers or 50, it is a fun event and can raise a meaningful amount of money for the effort you invest.
Promoted as the 'Walking for Dreams Family and Pet 5k Walk', the event encompasses just a couple hours of a beautiful Sunday afternoon on the scenic Canal Walk downtown. The energy is terrific, the colors are bright, the faces are happy. Each organization is assigned a table to greet and gather their walkers plus promote their organization to others in attendance. Everyone steps out together and then winds their way through the walk route and back to food and festivities at their own pace.
A Walk-a-thon event is a great way to introduce people to your organization, a good strategy to give reluctant board members or staff a 'safe' way to talk about your organization with friends and family, and a nice time for social connection between people who care about your organization.
To learn more or get signed up for the May 22, 2011 event, plan to attend the informational meeting on Friday, January 14 at 8:30 AM at the Irvington Office Center (338 S. Arlington Avenue). For more details you can also visit www.WalkingforDreams.org or call 317-260-0669.
Bryan
Tuesday, December 21, 2010
BEST of 2010 in Not-for-Profit News
As the publisher of the Not-for-Profit News and a consultant with nonprofits in leadership transition, I have the benefit of seeing and reading much of the latest thinking around how nonprofits work and we try to share it with our readers. As we wrap up 2010, I took a few minutes to look back through the articles we featured this year that received great feedback from readers and/or resonated with what I am hearing through multiple channels. Each introduction either links to the article on our blog or another source.
In chronological order
Practical
1 ) Ten Quick Ways to Invigorate Board Meetings - Jan Masaoka of Blue Avocado
2) Does Your Board Use Executive Sessions? Jan Masaoka of Blue Avocado.
3) What Really Works In Building a Strong Board? - Mary Hiland, Ph.D of Hiland Associates in California.
4) Is Your Board Bowling Or Playing Golf? – Bryan
5) Register for the 2011 Central Indiana Board Chair Summit - January 21, 2011, presented by Peace Learning Center and Lacy Leadership Association. FMI, or Nancy Larner Ruschman at 317-327-7144.
Thinking
6) Nonprofit Sabbaticals Improve Organizational Capacity
7) How Many Board Treasurer’s Do You Need? – Bryan – Not just for dollars $$ -
8) Can Nonprofit Leaders Consider Retirement Again? – Bryan
9) School’s Out for Summer - An Introduction to Internships for Your Nonprofit – On November 3, we partnered with Indiana InternNet and United Way of Central Indiana to provide an introduction and training session to 50 nonprofit leaders with the hope of increasing the use of interns by nonprofits. FMI, go to www.indianaintern.net or contact Pam Norman.
Research
10) Central Indiana Nonprofit Salary Report – Bryan with Jim Morris, Pendula Consulting - www.CINSS.org
11) The BoardSource Nonprofit Governance Index 2010
Rants
12) The Annual Misperception of Charitable Priorities – Bryan
In chronological order
Practical
1 ) Ten Quick Ways to Invigorate Board Meetings - Jan Masaoka of Blue Avocado
2) Does Your Board Use Executive Sessions? Jan Masaoka of Blue Avocado.
3) What Really Works In Building a Strong Board? - Mary Hiland, Ph.D of Hiland Associates in California.
4) Is Your Board Bowling Or Playing Golf? – Bryan
5) Register for the 2011 Central Indiana Board Chair Summit - January 21, 2011, presented by Peace Learning Center and Lacy Leadership Association. FMI, or Nancy Larner Ruschman at 317-327-7144.
Thinking
6) Nonprofit Sabbaticals Improve Organizational Capacity
7) How Many Board Treasurer’s Do You Need? – Bryan – Not just for dollars $$ -
8) Can Nonprofit Leaders Consider Retirement Again? – Bryan
9) School’s Out for Summer - An Introduction to Internships for Your Nonprofit – On November 3, we partnered with Indiana InternNet and United Way of Central Indiana to provide an introduction and training session to 50 nonprofit leaders with the hope of increasing the use of interns by nonprofits. FMI, go to www.indianaintern.net or contact Pam Norman.
Research
10) Central Indiana Nonprofit Salary Report – Bryan with Jim Morris, Pendula Consulting - www.CINSS.org
11) The BoardSource Nonprofit Governance Index 2010
Rants
12) The Annual Misperception of Charitable Priorities – Bryan
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