State of the sector 2011

687 views

Published on

You know what the key challenges and priorities are within your own organisation – but how are contemporary economic and political challenges impacting your colleagues in the third sector? Exploring the key findings from our regular survey into what the sector is thinking and prioritising right now, drawing on data gathered in Autumn 2011.

Published in: Education
0 Comments
0 Likes
Statistics
Notes
  • Be the first to comment

  • Be the first to like this

No Downloads
Views
Total views
687
On SlideShare
0
From Embeds
0
Number of Embeds
1
Actions
Shares
0
Downloads
10
Comments
0
Likes
0
Embeds 0
No embeds

No notes for slide

State of the sector 2011

  1. 1. State of the Sector 2011March 2012Tel: 020 7426 8888Email: Michele.Madden@nfpsynergy.netWeb: www.nfpsynergy.net
  2. 2. Background• Research completed in partnership with Third Sector magazine• Third phase of the research• Over 600 respondents from a variety of organisations• Fieldwork - November 20112
  3. 3. Profile of respondents• Mixture of levels of role; CEO, trustees, senior manager, department or team manager, project worker• A quarter described their main area of expertise as fundraising, the remainder a mix of other areas e.g. operations, brand, management• 5% of respondents said their organisation had no employees, and over a third had between 1 and 25 employees• In terms of turnover over a third of organisations had a turnover of less that £1 million3
  4. 4. The impact of the recession and economic turmoil Not sure/Dont know Not relevant to us Decreased a lot Decreased a bit About the same Increased a bit Increased a lot Level of services provided -4%-6% -16% 32% 13% Overall income -2% -22% -26% 23% 7% Number of people employed -3% -13% -23% 24% 6% Income from donations -20% -9% -23% 18% 4% Income from central 6% -44% -19% -11% 3% government Income from local -44% -18% -15% 3% 1% government -80% -60% -40% -20% 0% 20% 40% 60% 80%Q1: “The recession and economic downturn have had an impact on the third sector in a range of ways. Please indicatehow the income, services and staff of your organisation have been affected in the last two years.” Ranked byincreased a bit/increased a lot Base=6954 State of the Sector Survey, 2011, nfpSynergy
  5. 5. The impact of the recession and economic turmoil Yes No Dont know/not sure 92% 69% 70% 58% 48% 48% 37% 25% 23% 6% 5% 7% 4% 4% 4% Are you looking at Has the recession Have you had to Has it prompted Has it prompted partnerships with prompted you to deliver different your organisation your organisation other alter your services or to consider to merge? organisations structure or change your merger? more than downsize? mission? before?Q2. How has your organisation responded to the pressures of the last two years? Base= 692. 5 State of the Sector Survey, 2011, nfpSynergy
  6. 6. The impact of government initiatives and funding Dont know Strongly disagree Disagree Neither agree nor disagree Agree Strongly agree The public sector cuts affecting the sector would -3% -23% 42% 8% have been made by a Labour government as well. The Big Society agenda offers new opportunities for the -18% -26% 28% 3% sector. The coalition government will be better for the sector than -25% -28% 9% 3% another Labour government would have been. The coalition government will be better for your charity than -24% -26% 9% 2% another Labour government would have been. -80% -60% -40% -20% 0% 20% 40% 60% 80%Q3: Eighteen months after the election, we are interested in your views on the coalition government and its impact onthe sector and your charity. Please indicate how much you agree or disagree with each of the statements below.Ranked by Agree/Strongly agree Base=6076 State of the Sector Survey, 2011, nfpSynergy
  7. 7. Government initiatives – perceived impact (part 1) Dont know Too early to tell Significant impact for the worse Slight impact for the worse No impact Slight impact for the better Significant impact for the better Gift Aid claims of up to £5000 without declarations 12% 10% 31% 35% 10%Inheritance tax concessions for making 10 per cent legacies 14% 21% 39% 20% 3% The Giving White Paper 26% 27% 32% 12% 1% The Transition Fund 26% 10% 51% 8% 3% Transforming Local Infrastructure 25% 18% 6% 38% 7% 2% Social Action Fund 29% 18% 42% 8% 1% Social Impact Bonds 29% 18% 2% 42% 7% 1%Q4: ‘Please tell us which government initiatives relating specifically to the third sector you think either have had, or willhave, the biggest impact on your charity.’ Ranked by slight impact/significant impact for the better Base = 580 7 State of the Sector Survey, 2011, nfpSynergy
  8. 8. Government initiatives – perceived impact (part 2) Dont know Too early to tell Significant impact for the worse Slight impact for the worse No impact Slight impact for the better Significant impact for the better Big Society Capital 26% 19% 2% 43% 7% 1%The Innovation in Giving 31% 41% 8% 18% 0% Fund Community First 35% 11% 43% 7% 0%Big Society Deregulation 29% 18% 42% 6% 1% Taskforce Community organisers 27% 16% 44% 6% 1% National Citizen Service 23% 13% 4% 51% 6% 1% Compact revision 32% 13% 47% 3% 1% Mutuals Taskforce 38% 10% 2% 47% 2% Q4: ‘Please tell us which government initiatives relating specifically to the third sector you think either have had, or will have, the biggest impact on your charity.’ Ranked by slight impact/significant impact for the better Base = 580 8 State of the Sector Survey, 2011, nfpSynergy
  9. 9. What government initiative or policy change wouldyou like to see that would make a positivedifference to your organisation?• Very varied responses• Many made reference to specific government initiatives or policies that they wished to change (based on the purpose of their organisation) o Local government and their relations with small charities (particularly around contracting) o VAT o Gift Aid o Bureaucracy and red tape o Tax incentives/relief o NHS reforms9
  10. 10. The changing regulatory landscape and theindependence of the sector Dont know Strongly disagree Disagree Neither agree nor disagree Agree Strongly agree The Charity Commission fulfils its regulatory role in a -19% 48% 2% proportionate, helpful and appropriate way It makes sense that STREET fundraising is regulated by the -32% 39% 9% FRSB and the PFRA HM Revenue and Customs administers Gift Aid in a -23% 36% 2% proportionate, helpful and appropriate way The Fundraising Standards Board (FRSB) fulfils its self- regulatory role in a proportionate, helpful and appropriate -44% 26% 1% way The Charity Commission has responded effectively and -41% 21% 1% strategically to its cut in funding The Public Fundraising Regulatory Association (PFRA) fulfils its self-regulatory role in a proportionate, helpful and -57% 16% appropriate way The cut of a quarter in the Charity Commission’s budget will -16% -48% 12% 2% not weaken its regulatory functions -80% -60% -40% -20% 0% 20% 40% 60% 80%Q7: These questions are about the sector’s regulators, their remit and their performance. Please indicate how muchyou agree or disagree with each of the statements. Ranked by agree/strongly agree Base=55110 State of the Sector Survey, 2011, nfpSynergy
  11. 11. The changing regulatory landscape and theindependence of the sector Dont know Strongly disagree Disagree Neither agree nor disagree Agree Strongly agree My charity has the independence and freedom to speak out -9% 46% 27% freely on the issues that concern it My charity has independence in terms of funding -18% 36% 22% The independence of charities is compromised by the shift -22% 41% 14% from grants to contracts Payment by results is a threat to the independence of -4% -23% 41% 12% charities The independence of charities is compromised if they deliver -7% -28% 41% 7% public services The sector’s independence is in excellent health -8% -42% 22% 1% The sector’s independence is healthier than it was two years -10% -39% 13% 1% ago -80% -60% -40% -20% 0% 20% 40% 60% 80%Q8: Alongside regulation comes the independence of the sector and individual charities. So please indicate how muchyou agree or disagree with each of the statements below. Ranked by agree/strongly agree Base=55311 State of the Sector Survey, 2011, nfpSynergy
  12. 12. The big issues for your organisation (part 1) Dont know Strongly disagree Disagree Neither agree nor disagree Agree Strongly agree The public doesnt understand -3% 57% 29% how modern charities workWhat it means to be a charity is -17% 57% 11% increasingly blurred There is too much competition between charities, especially -21% 47% 13% the large onesI think the sector is too cautious 46% -2% -18% 12% about campaigning The governance of charities is -1% -21% 44% 12% fraught with difficultiesI think charities are usually ableto deliver better public services -2%-13% 39% 8% than government Sector infrastructure bodies -9% 13% -1% 33% need a radical rethink -80% -60% -40% -20% 0% 20% 40% 60% 80% 100% Q9: There is a range of big issues facing the sector. Please indicate how much you agree or disagree with each of the statements below. Ranked by agree/strongly agree Base=529 12 State of the Sector Survey, 2011, nfpSynergy
  13. 13. The big issues for your organisation (part 2) Dont know Strongly disagree Disagree Neither agree nor disagree Agree Strongly agree I am in favour of more delivery of -6% -22% 38% 8% public services by charities I think government is exerting too -17% 37% 8% much control over the sector I think the need for impact measurement by charities is being -32% 34% 5% over-emphasised Every charity should be able to make its own decision about -33% 33% 6% whether it wants to pay its trustees The big cuts to the government’s Strategic Partners programme were -2% -7% 27% 8% a mistake I think very big charities have a negative effect on the sector as a -10% -29% 23% 12% whole Existing infrastructure bodies serving the sector fulfill their -5% -20% 23% 4% purpose well I think the abolition of the sector infrastructure body Capacity -6% -12% 21% 5% builders was a mistake -80% -60% -40% -20% 0% 20% 40% 60% 80% 100% Q9: There is a range of big issues facing the sector. Please indicate how much you agree or disagree with each of the statements below. Ranked by agree/strongly agree Base=52913 State of the Sector Survey, 2011, nfpSynergy
  14. 14. Biggest challenges for charities – ‘top 3’ responses Creating a sustainable funding base 69% Growing our voluntary income 51% Communicating the importance of our 47% work Creating an effective board 28% Securing funding from government 20% Keeping high quality staff 18% Dealing with red tape and bureaucracy 15%Sorting out our back office functions (eg 13% IT, finance, etc) Attracting high quality staff 11% Finding and keeping volunteers 8% Other 10% 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% Q10. What are the three biggest challenges facing your organisation? Please tick up to three of the options below Base- 537 14 State of the Sector Survey, 2011, nfpSynergy
  15. 15. Magic wand - fundraising• Grants o Centralised applications o Appropriate reporting levels o Feedback on failed applications o Shorter applications• Change in attitudes to giving o General public o Within organisations – trustees, staff• Staff o Not enough of them! o Not skilled or experienced15
  16. 16. Magic wand – other issues (not fundraising)• Trustees o “A limitless supply of capable, prudent and dedicated trustees – preferably a high percentage also being qualified accountants”• IT/systems• Leadership o “getting (a) CEO who actually understands how to run a business and make strategic decisions”• Administrative burden on small charities16
  17. 17. Issues in the sector – Key attributes (first 8) Most important attributes required to be a successful charity – in 2011, 2009, and in 2007 Quality of work and/or 65% 70% services 67% 55% Quality of leadership 56% 58% 55% * New category for 2011 Strength of values and 54% ‘Involvement of vision 55% beneficiaries’ in 2009 (1%) 44% Financial soundness 46% 43% 2011 Input from clients and 39% 2009 beneficiaries* 2007 Quality of trustees and 37% 31% governance 38% 32% Capacity to innovate 35% 34% 32% Quality of management 32% 33%Q13. Please choose up to five of the following attributes which you believe are most important in creating a successful charitywith a high impact on its beneficiaries. Base=532 (in 2011). 17 State of the Sector Survey, 2011, nfpSynergy
  18. 18. Issues in the sector – Key attributes (next 8) Most important attributes required to be a successful charity – in 2011, 2009, and in 2007 29% Quality of fundraising and/or marketing 28% 26% 22% Ability to work in partnership 40% 30% 19% * New category for 2011. Management of brand, image and reputation 18% ‘Involvement of 15% beneficiaries’ in 2009 (1%) 18% Ability to attract, develop and retain top talent 28% 30% 2011 10% 2009 Campaigning and media/PR skills 19% 23% 2007 9% Modern IT strategy/attitude to digital media 8% 10% 7% Internal communications 11% 12% 6% Strong commitment to diversity 9% 12%Q13. Please choose up to five of the following attributes which you believe are most important in creating a successful charitywith a high impact on its beneficiaries. Base=532 (in 2011). 18 State of the Sector Survey, 2011, nfpSynergy
  19. 19. Issues in the sector – Key attributes (first 8) Skills most required/desired by respondents in their charity – in 2011, 2009, and in 2007 43% Fundraising 42% 35% Web/Digital Media 30% External 33% 31% Communications or PR 32% 2011 Marketing 32% 2009 2007 31% Strategic planning* 34% 31% Governance/Trustees 34% 31% Evaluation skills* 26% 27%Information Technology 23%Q14 . Which five of these skills or expertise are you finding in short supply, or would ideally like to have more of, in your charity? Base=511 (in 2011). *Answer option not included in 2007 State of the Sector questionnaire. 19 State of the Sector Survey, 2011, nfpSynergy
  20. 20. Issues in the sector – Key attributes (next 8) Skills most required/desired by respondents in their charity – in 2011, 2009, and in 2007 26% Legal expertise* 24% 23% Leadership 24% Internal 20% 22% Communications 20% 2011 Campaigning 22% 2009 2007 19% Human Resources 21% 17%Financial management 19% 15% Management 19% 12% Service delivery 10%Q14 . Which five of these skills or expertise are you finding in short supply, or would ideally like to have more of, in your charity? Base=511 (in 2011). *Answer option not included in 2007 State of the Sector questionnaire. 20 State of the Sector Survey, 2011, nfpSynergy
  21. 21. Biggest concerns in the next few years• Sustainable funding and survival o “sustainability and ability to meet increasing demands with diminishing resources” o “operating may cease if funding is not obtain[ed] in the next few months!” o “moving away from an over-dependence on statutory funding” o “whether we can survive in a format/structure that stays true to our vision or whether the environment will force unacceptable changes”• Staff and Volunteers• Governance o “my charity desperately needs someone at the top with a vision for what direction the charity should be going and a strategy for how to achieve that. Our trustees are hopeless…”21
  22. 22. What are the biggest challenges facing yourorganisation?22
  23. 23. 2-6 Tenter Ground Spitalfields London E1 7NH (w) www.nfpsynergy.net (t) 020 7426 8888 (e) insight@nfpsynergy.net Registered office: 2-6 Tenter Ground Spitalfields London E1 7NH Registered in England No. 04387900 VAT Registration 839 8186 7223

×