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Charity Navigator: Financial Measures and Beyond Presentation at InsideNGO: Finance Grants and Contracts Annual Meeting Ke...
 
AGENDA <ul><li>What limitations exist with the current rating system? </li></ul><ul><li>How should nonprofit impact be mea...
<ul><li>America's premier  </li></ul><ul><li>independent charity  </li></ul><ul><li>evaluator providing timely, relevant, ...
The Data Proves Impact <ul><li>92% say evaluations affected their decision to support individual charities </li></ul><ul><...
Mission <ul><li>1. </li></ul><ul><li>To help private contributors make intelligent decisions when selecting a charity to s...
Mission (continued) <ul><li>2. </li></ul><ul><li>To educate private contributors and policymakers by providing information...
Mission (continued) <ul><li>3. </li></ul><ul><li>To drive more funding to high performing nonprofits by highlighting them ...
Our Old Rating System – One Dimensional
The Problem?
The Solution!: A 3-D View
QUALITIES OF A HIGH IMPACT ORGANIZATION Accountability & Transparency Financial Health <ul><li>Positive, sustainable chang...
Introducing CN 2.0: A 3-D View Financial Health Accountability/Transparency Effectiveness/Results More Comprehensive Ratin...
Accountability & Transparency Accountability & Transparency
Accountability & Transparency  : IRS 990 Reporting Form Info.
Accountability & Transparency: Web Site Information
Accountability & Transparency: More on Web <ul><li>Does the charity web site have readily accessible information about the...
Effectiveness & Results: The Holy Grail Effectiveness & Results: The Holy Grail
Effectiveness & Results: Collaboration <ul><li>Independent Sector/BBB – self report  </li></ul><ul><li>GiveWell – deep dat...
The Battle for the Soul of the Nonprofit Sector
More Information <ul><li>Articles:  in Philadelphia Journal of Social Innovation </li></ul><ul><li>“ The End of Charity” b...
Your Questions & Our Web Addresses Website-  www.charitynavigator.org Blogs-  www.kenscommentary.org blog.charitynavigator...
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Charity Navigator: Financial Measures and Beyond

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Presentation by Ken Berger, president & CEO of Charity Navigator at InsideNGO's Finance Grants and Contracts Annual Meeting, July 13, 2010.

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  • Charity Navigator: Financial Measures and Beyond What is in store with the next generation of charity effectiveness rating systems? How should nonprofit impact be measured beyond simple metrics of financial ratios or program outputs? What limitations exist with the current rating system? Discuss these important issues with Ken Berger, President and CEO of Charity Navigator.
  • Hunter: 1. Data to drive decision making 2. Hold organization’s accountable.
  • Let’s do the numbers.
  • Transcript of "Charity Navigator: Financial Measures and Beyond"

    1. 1. Charity Navigator: Financial Measures and Beyond Presentation at InsideNGO: Finance Grants and Contracts Annual Meeting Ken Berger, President & CEO July 13, 2010
    2. 3. AGENDA <ul><li>What limitations exist with the current rating system? </li></ul><ul><li>How should nonprofit impact be measured beyond simple metrics of financial ratios or program outputs? </li></ul><ul><li>What is in store with the next generation of charity effectiveness rating systems? </li></ul><ul><li>One smile and one fact </li></ul>
    3. 4. <ul><li>America's premier </li></ul><ul><li>independent charity </li></ul><ul><li>evaluator providing timely, relevant, </li></ul><ul><li>unbiased information on the fiscal health </li></ul><ul><li>of nonprofit organizations. </li></ul><ul><li>Largest evaluator of charities: 5,500+ </li></ul>#1 Web Site for Rating Charities – “Your Guide to Intelligent Giving”
    4. 5. The Data Proves Impact <ul><li>92% say evaluations affected their decision to support individual charities </li></ul><ul><li>CN ratings influence billions in donations </li></ul><ul><li>The majority of CN users are: Older, Higher Income, More Educated, Online Investors </li></ul>
    5. 6. Mission <ul><li>1. </li></ul><ul><li>To help private contributors make intelligent decisions when selecting a charity to support, by providing information on our evaluation of the performance of charities. </li></ul>
    6. 7. Mission (continued) <ul><li>2. </li></ul><ul><li>To educate private contributors and policymakers by providing information regarding what is of critical importance when making a social investment in a nonprofit. </li></ul>
    7. 8. Mission (continued) <ul><li>3. </li></ul><ul><li>To drive more funding to high performing nonprofits by highlighting them and providing them with objective information to leverage with their supporters and prospective social investors. </li></ul>
    8. 9. Our Old Rating System – One Dimensional
    9. 10. The Problem?
    10. 11. The Solution!: A 3-D View
    11. 12. QUALITIES OF A HIGH IMPACT ORGANIZATION Accountability & Transparency Financial Health <ul><li>Positive, sustainable change </li></ul><ul><li>Independently evaluated </li></ul>HIGHER RISK INVESTMENT LOWER RISK INVESTMENT
    12. 13. Introducing CN 2.0: A 3-D View Financial Health Accountability/Transparency Effectiveness/Results More Comprehensive Rating System
    13. 14. Accountability & Transparency Accountability & Transparency
    14. 15. Accountability & Transparency : IRS 990 Reporting Form Info.
    15. 16. Accountability & Transparency: Web Site Information
    16. 17. Accountability & Transparency: More on Web <ul><li>Does the charity web site have readily accessible information about the following: </li></ul><ul><li>Its goals and objectives? </li></ul><ul><li>Its strategies for achieving them? </li></ul><ul><li>Its capacity for achieving them? </li></ul><ul><li>How it measures progress in achieving them? </li></ul><ul><li>What its measurements indicate about progress to date? </li></ul>
    17. 18. Effectiveness & Results: The Holy Grail Effectiveness & Results: The Holy Grail
    18. 19. Effectiveness & Results: Collaboration <ul><li>Independent Sector/BBB – self report </li></ul><ul><li>GiveWell – deep data review </li></ul><ul><li>GreatNonprofits - everyone </li></ul><ul><li>Growth Philanthropy Network – “almosts” </li></ul><ul><li>Keystone Accountability - constituents </li></ul><ul><li>Philanthropedia – experts </li></ul><ul><li>New Philanthropy Capital – overall analysis </li></ul>
    19. 20. The Battle for the Soul of the Nonprofit Sector
    20. 21. More Information <ul><li>Articles: in Philadelphia Journal of Social Innovation </li></ul><ul><li>“ The End of Charity” by David Hunter </li></ul><ul><li>“ The Battle for the Soul of the NP Sector” by Berger, Penna and Goldberg </li></ul><ul><li>Book : Billions of Drops in Millions of Buckets: Why Philanthropy Doesn’t Advance Social Progress by Steve Goldberg </li></ul><ul><li>Web Sites </li></ul><ul><li>www.alleffective .org </li></ul><ul><li>Google: Nonprofit Effectiveness, Independent Sector </li></ul><ul><li>Video : www.savingphilanthropy.org </li></ul>
    21. 22. Your Questions & Our Web Addresses Website- www.charitynavigator.org Blogs- www.kenscommentary.org blog.charitynavigator.org Twitter- kenscommentary
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