Restructure 2008-2009

Introductions and Agenda

Agenda
• Current context
• Reasons for current position
• What we’ve done about it
• Immediate changes
• What we want to do next
• Delivering the change

Current Situation

Successes
• Awarded Radio Academy 2008, Best Local Radio
Station in London
• Nominated for the Sony Radio Academy Awards
Station of The Year
• Successful with LSC bids for the first time
• Developed new training products and services
• Starting to get advertising and sponsors
• Starting to get sector partners engaged in the brand
• Improving quality of broadcast
• Increased our audience engagement
• Increased our profile

Nov 2008, Radio Academy
Best Local Radio Station in London

Expected cost revenue 08-09

Actual situation...

£70,000 losses to Mar 09

Reasons for current position

Reasons Causes
Decisions that should have been made weren’t Overstretched and fire-fighting
made at the right time
Have gotten away with working to tight Unable to adapt in the ways we used to due to
budgets in the past increase in size
Increasing running and overhead costs Increase in size
Income generation around the radio has failed Due to lack of marketing, and difficulties with
clear brand and image due to nature of
community radio. Sector partners don’t have
big enough budgets. Brand is not attracting
corporate sponsors.
Plans for increasing audience based on new Couldn’t afford to. No capacity to run a
platforms like cable or DAB haven’t taken off campaign to raise these funds
Spending based on forecasting Steady growth over past 10 years has suddenly
stopped.
Not enough agility to respond or change Primary cost saver is staff and it’s not been
straightforward to lose staff due to project
commitments
Not been successful with winning funding Wrong size – intermediate
Had to make too much ground on too many Contracts portfolio too broad
different things this year
SKFM contract withdrawn Internal financial issues at SKFM

Underlying causes of current state
1. Lack of budgets for marketing, non bid-based
fundraising, and networking
2. Intermediate size and impact affecting ability to win bids
3. Increase in organisational size and overhead costs
creating a reduced agility to adapt
4. Massively overstretched staff capacity resulting in
constant fire-fighting and reduced ability to focus
on/deliver strategic change
5. Unforeseen negative impact of the radio station on staff
capacity and organisational costs without realisation of
expected revenue

Why we’ve struggled with non-bid funding
1. Advertising sales failed due to lack of staff and
marketing – Lack of funding
2. Couldn’t raise money for cable or DAB – FM offering
lacked marketing and audience reach
3. No time to network – Staff overstretched
4. Not networking with the right people – Needed more
board engagement
5. Insufficient Board involvement – Irregular attendance
and unclear roles

What we’ve done about it

1. Board actively involved

2. Full organisational review

Issues
& Options

...detailed activity analysis

...stripped out all non-core activity

4wk Period Analysis Contracted Hours (7.5) Real Hours (6)
Total Available Staff Hrs (4wks) - 6 FT + 1PT 836 800
Total Staff Activity Hours 961
Total Freelance Hours 106
Total Volunteering Hours 451
Total Activity Hours 1518
Total Differential 161
Difference per person per month 24.77
Hours lost by cutting 2 staff 192
Additional workload for existing staff 54.31
Available Staff Contracted Hours Actual Hours
Jennifer Ogole (JO) CEO 140 150
Alex Mastihi (AM) Project Director 140 178
Helen Poole (HP) General Manager 140 207
Gabriella Incalza (GIK) Station Manager 140 133
Mercy Ogole (MO) Sales and Marketing 52 69
Kevin Behan (KB) Project Officer 84 84
Minal Patel (MP) Connexsion PA 140 140
Total 836 961

Primary Issue = Social Impact
becoming secondary to
Survival

Cause 1 =
short of operating funds

Cause 2 =
massively overstretched

Immediate Changes

1. Restructured Board

Primary Board Role Responsible Board Member
Chair Rizwan Tayabali
Strategy and Business Planning Rizwan Tayabali
Financial and Commercial Binoy Mistry
Oversight
Fundraising Wayne Marshall, Lazelle Daley
Networking Noel Anderson, Wayne Marshall
Bid Review Lazelle Daley
Strategic Advisory Responsible Member
Planning and Marketing Dylan Tibbs
Youth Services Anish Shah

2. Downsized activity

3. Started donations campaign

4. Contacted Funders & Partners

5. Consulted young people on the
relevance of our activities

6. Reviewed Bids &
Improved Application Processes

7. Reviewed development plans

8. Assessed viability

Established that there is a future...

Primary Opportunities =
Increase sponsor relevance
& Commercialise services

What we want to do next

Step 1

Re-Focus

What are we really trying to
achieve?

Address Youth Social Exclusion

1. Start by unifying the brand to
increase value

e.g. Ensure the radio station is
also effecting social outcomes

Currently follows the
standard radio model...

What could we be doing?

Break the mould

Be the first to create a
Social radio station

Bang FM

Social Radio for an
Excluded Generation

Focus on web streaming

Go Global

2. Create a working value chain...

Create Focus Groups
for Youth Consulting /
Marketing Activity
Engage
unsigned
young artists
Disseminate
knowledge
through talks

3. Create a unified group
mission

4. Restructure the organisation
to enable commercialisation and
maintain focus

Charity Trading Arm

Step 2

Look at business model
innovation for financial
sustainability

Business model innovation is
about new ways of monetising
existing services

Low Cost / High Benefit

Opportunities for Monetisation

BANG Group Monetisable Assets
1 Engaged youth demographic
2 Training IP (Model and material)
3 Radio broadcast (Online and FM)
4 Socially Oriented Youth Brand
5 Premises

New business models / revenue streams
1 Increase Brand Equity / Value
2 Attract corporate sponsors for Radio
3 Repackage L1 IP for associative sponsorship
4 Franchise the model (train the trainer) and repackage L3
training courses for resale
5 Develop collaborative bid writing with viable partners
6 Set up marketing consultancy based on youth
demographic
7 Commercial Partnerships

1. Increase Brand Equity

...through personality, footprint,
uniqueness, impact, and
connected value chains

2. Attract corporate sponsors
for the radio broadcast

...by increasing relevance for
1. brands with youth audiences
2. organisations with CSR drives

3. Repackage L1 I.P. for
Digital Channel Distribution

Generate Associative Sponsorship

4. Franchise L3 Training &
Model to Other Charities

...through packaging
training services via a
“train the trainer” model

5. Increase Collaborative bid writing

...with bigger players,
by focusing on niche training
that complements their offerings

6. Create Gen Y market consultancy

...based on connecting brands
with the youth demographic

7. Develop Commercial Partnerships

...that leverage and extend our
service platforms

e.g. NVA Entertainment
interested in BANG’s broadcast,
Gen Y consultancy and training
offerings to support their
record label, marketing and
charitable youth project services

But...

Can we do this with our current
organisational design?

Current Context

Too many issues

So... No!

We need to change

Delivering this change

We’ve started already

1. High level project definition
to deliver change
and new revenue streams

2. Detailed task and resource
planning for restructure

...defining skills and capacity needed

3. Market research and financial
modelling under way

4. Internal resource diverted
and refocused to deliver change

5. Workshops started with
young people to involve them in
planning, and ensure what we’re
creating is relevant to their
needs

6. Launched new website with
improved social features
and advertising

7. Reprogramming under way

8. Just-Giving Campaign set up

9. Working with potential partners

10. Facebook cause set up

11.Slideshare account up and running

12. Youtube channel up and running

In a nutshell...

We’re taking this very seriously

We’re doing the best we can
as fast as we can

The future is bright

But we need to get through
the next 3 months...

...and we need your help
to get there

Thank-You

Rizwan Tayabali (Chair)
rizwan.tayabali@gmail.com
Jennifer Ogole (CEO)
jennifer@bang-ed.com
www.bang-ed.com / www.lifefm.org.uk