We focus on 3 things:Strategic and Business PlanningResource DevelopmentLeadership DevelopmentWhen people enter the nonprofit world, they often are out to “save the world”. As their career progresses, and as they enter into higher levels of formal leadership, the soon discover that the primary duty is to acquire financial resources.So leadership and resource development are two sides of the same coin. Without each other, they both fail.And here’s a secret to effective fund raising: Stop chasing the money, and start finding the leaders. When those leaders surround you and your dreams, that’s when the money starts to roll.
We’re gonna talk about three things. Starting broad, and narrowing it down to some concrete, actionable items. Here’s today’s rules:ParticipationBathrooms, stretching, breaksAristotle and radical exposure to two extremes
Stupid to sit on a giant tube of rocket fuel? Or, the epitome of vision and courage? Donors and looking for those people who have the vision and courage to accomplish remarkable things.
Describe the scene in JawsWhat are the metaphorical sharks swimming around your boat?Donors are looking for organizations that have big enough boats to survive these. More times than not, they’re granting preference to those org’s with endowments already established because those orgs have a better chance to survive.
People used to give to all three. Now it’s just the Good.They’re also picking favorite causes within organizations, and only giving restricted gifts to certain programs they like. This can be a tricky situation for many org’s, as some of the most effective programs are also some of the least “sexy” to individuals.
What kept the castaways on the island?If they would just murder Gilligan, they would have been off by the next episode.This isn’t fair, nor is it accurate, but many donors are looking at us and saying “what a bunch of Gilligans”
I see dead people.Volunteers are tired, and even the most committed person only has about 3-5 years of really active service.Do everything we can to make their volunteer leadership rewarding and effectiveReplenish our volunteer leadership, rather than looking to the same people over and over again.
Left Brain: Logic, rationality, wordsRight Brain: Emotion, creativity, picturesGiving my money to you is an inherently irrational act. We’re not going to overcome that by focusing on irrational arguments.No one wants to be known as an “emotional decision maker.” Yet that’s exactly what we all are! So we disguise that by asking for all kinds of logical reasons to give. Be careful not to fall for this. Four levels/types/changes in giving:1.) Transaction centered – NPO’s selling a product, and donors looking to make a deal. Arguably, this isn’t even a charitable gift.2.) Ego-centric – it’s about me. Names on list, public recognition, naming a building, donor societys3.) Philanthro-centric – It’s not about me; it’s about others. Becomes not about the money, but about what the money will accomplish.4.) Stewardship-centric – about faith, their relationship with God, and their response to that faith.
Donors what a relationship, and they’re feeling like they only get first dates with the organizations they favor.Don’t limit yourself to just one date, because your prospects will forget about you. Separate yourselves from all those other organizations but intentionally developing relationships with key leaders. That’s what they want, and we’re not performing!
Here’s how NPO’s are reacting to these changing times.Compare yourself, and let me know where I’m right, what I’m missing, and what may be way off base.
April 10 – set sail from LiverpoolThe iceberg didn’t kill anyone. Their fate was sealed by the lack of lifeboats.We talked about the “sharks” surrounding your organization. Now, do you have enough life boats to survive.Recognize that by the time we make it to our destination, we might not look the same as when we started the journey, but that we are well prepared for all the barriers which are ahead of us.
There’s no money out there anyway. We do I even try.Wrong. There’s plenty of money. When times were good, organizations did well, and some also struggled. Same as now.The difference is leadership. Organizations with solid leadership will thrive. Orgs with insufficient leadership will struggle.
1.The fallacy of sustaining our NPO’s through $20 gifts. Obama raised more money at all levels (small, mid, large). But first, he needed to raise big money with big gifts in order to a.) win Iowa and 2.) establish the systems to raise the smaller gifts.Political fund raising is diabolically different than philanthropy. Comparing the two is not apples to oranges; it’s apples to elephants.The advent of SMM. Not sure where it’s going, but the panacea is not salvation for NPO’s.Printing pressPost office and pony expressTelephoneFax machineEmailSMMWhat’s nextSure that each time these things were created, NPO’s gushed about how they were going to save their organizations!There’s not a Twitter or Facebook strategy. There’s a communication strategy, of which new mediums have been – and will continue to be – created.
What made time travel possible? The Flux Capacitor.Leadership is the Flux Capicitor of NPO’s
Compare and contrast between a traditional vs. transformational leader.Hold this up to yourself as a mirror, and decide where you are, and where you need to go.
Two key points to sumarize:Traditional leader focuses internally on saving our way to prosperity, and on survival. Surviving the year, surviving the next board meeting, etc.Transformation leader focuses externally on M & I, and sustaining the organization.How do we do this? Through relationships with other key leaders.
“I never heard of you before” to “Here’s a million bucks”Paralleled with dating. The only goal of the first is to . . . . Second date! Most efforts are focused on ID of new prospects, and on closing the deal. The real focus needs to be on moving people along the continuum.
I want to thank you for your attention during this time together. I want to thank you for inviting me here. That is a very real and appreciated compliment. Many people strive to reach that “next level” but few actually accomplish it. I don’t mean to be negative; that’s just a fact, and denying it will not change it. You are the leaders of your organization. People in your down-lines are looking to you for a model to follow. That is a significant but sacred responsibility. You have the potential to accomplish your hearts desire. Our Creator designed you that way. But you must push past your natural human instincts and unproductive comfort zones and embrace change. Effective change begins with awareness and awareness always leads to choice. You have been given the power to choose, and you only have two choices… grow or decline. My highest hope for you is that you may choose wisely.
Transforming the Nonprofit Marketplace HOPE IS NOT A STRATEGY Not-for-Profit Leadership in Transformational Times Mick Koster, Strategic Partners www.spi-pcs.com www.vesperservice.com
PART I: What’s Happening in the Nonprofit Marketplace?
Custom Services Strategic & Business Planning, specific to Not-for-Profits Resource Development/Major Gifts & Planned Giving/Endowment Building Staff and Board Leadership Development Transforming the Nonprofit Marketplace www.spi-pcs.com www.vesperservice.com
Mick Koster, Senior Consultant Strategic Partners firstname.lastname@example.org www.mickkoster.wordpress.com 248.939.0577 Transforming the Nonprofit Marketplace Kay Edwards, President & CEO Vesper Service Network www.vesperservice.com 262-643-7088 www.spi-pcs.com www.vesperservice.com