The document outlines the challenges faced by nonprofits due to a significant decline in charitable giving, exacerbated by the recession and donor fatigue. It presents new strategies for survival, emphasizing the need for nonprofits to define their brand, incorporate business planning practices, utilize technology, appreciate donors, embrace innovation, and engage in participatory communication. The recommendations aim to help nonprofits adapt to a changing landscape and foster resilience to ongoing changes in the sector.

1. New Rules for Non Profits:
Tips for Navigating a Changed World
Linda Ziskind

2. Brother, can you
spare $11.32 billion?*
*According to a report from the Giving USA Foundation, total charitable
giving fell to $303.76 billion in 2009, down from $315.08 billion in 2008.

3. Nonprofits faced unprecedented, simultaneous
challenges over the past couple of years:

4. Nonprofits faced unprecedented, simultaneous
challenges over the past couple of years:
The ongoing recession has reduced federal, state, and
corporate funding dollars

5. Nonprofits faced unprecedented, simultaneous
challenges over the past couple of years:
The ongoing recession has reduced federal, state, and
corporate funding dollars
Soaring and prolonged unemployment, mortgage defaults,
and diminished net worth due to the battered market and
investment advisor malfeasance has resulted in diminished
individual donations

6. Nonprofits faced unprecedented, simultaneous
challenges over the past couple of years:
The ongoing recession has reduced federal, state, and
corporate funding dollars
Soaring and prolonged unemployment, mortgage defaults,
and diminished net worth due to the battered market and
investment advisor malfeasance has resulted in diminished
individual donations
The high response rate and amount donated towards aid in
the recent string of natural disasters has created a bit of
donor fatigue

7. The Results:
*Johns Hopkins University Center for Civil Society Studies, “Recession Pressures Non Profit Jobs” 7/14/2010
**Nonprofit Finance Fund Survey 2010
***Paul C. Light, professor of public service at NYU

8. The Results:
Nearly 40% of nonprofit organizations currently lack
adequate staff to deliver programs & services*
*Johns Hopkins University Center for Civil Society Studies, “Recession Pressures Non Profit Jobs” 7/14/2010
**Nonprofit Finance Fund Survey 2010
***Paul C. Light, professor of public service at NYU

9. The Results:
Nearly 40% of nonprofit organizations currently lack
adequate staff to deliver programs & services*
61% of nonprofits have 3 months, or less, of available cash
reserves.**
*Johns Hopkins University Center for Civil Society Studies, “Recession Pressures Non Profit Jobs” 7/14/2010
**Nonprofit Finance Fund Survey 2010
***Paul C. Light, professor of public service at NYU

10. The Results:
Nearly 40% of nonprofit organizations currently lack
adequate staff to deliver programs & services*
61% of nonprofits have 3 months, or less, of available cash
reserves.**
It has been predicted that more than 100,000 nonprofit
groups will fail between November 2008 and November
2010.***
*Johns Hopkins University Center for Civil Society Studies, “Recession Pressures Non Profit Jobs” 7/14/2010
**Nonprofit Finance Fund Survey 2010
***Paul C. Light, professor of public service at NYU

11. But peeking out from behind all of that grimness is a bit of sun.

12. But peeking out from behind all of that grimness is a bit of sun.
Social Media

13. But peeking out from behind all of that grimness is a bit of sun.
Social Media

14. But peeking out from behind all of that grimness is a bit of sun.
Social Media Technology

15. But peeking out from behind all of that grimness is a bit of sun.
Social Media Technology

16. But peeking out from behind all of that grimness is a bit of sun.
A new culture of
Social Media Technology participation,
collaboration, and
shared information.

17. Embrace change and learn the new rules: organizations that
reshape their strategies and tactics to meet new challenges are
the ones that will survive and continue to be effective

18. Non profits and for profit businesses are beginning
to learn from each other’s best practices, so it’s
not surprising that the new rules for non profits are
a lot like the rules that successful businesses follow

19. The New Rules:
1. Define your brand and mission.

20. The New Rules:
1. Define your brand and mission.
2. Incorporate businesses planning practices
a) Develop concrete financial and program objectives
b) Identify specific strategies and tactics for achieving
objectives
c) Define criteria for success for each program
d) Implement, review, analyze, revise

21. The New Rules:
1. Define your brand and mission.
2. Incorporate businesses planning practices
a) Develop concrete financial and program objectives
b) Identify specific strategies and tactics for achieving
objectives
c) Define criteria for success for each program
d) Implement, review, analyze, revise
3. Strategically incorporate technology to enable increased staff
efficiency, operational economy, and access to valuable data.

22. The New Rules:
1. Define your brand and mission.
2. Incorporate businesses planning practices
a) Develop concrete financial and program objectives
b) Identify specific strategies and tactics for achieving
objectives
c) Define criteria for success for each program
d) Implement, review, analyze, revise
3. Strategically incorporate technology to enable increased staff
efficiency, operational economy, and access to valuable data.
4. Show appropriate appreciation to your donors

23. The New Rules:
1. Define your brand and mission.
2. Incorporate businesses planning practices
a) Develop concrete financial and program objectives
b) Identify specific strategies and tactics for achieving
objectives
c) Define criteria for success for each program
d) Implement, review, analyze, revise
3. Strategically incorporate technology to enable increased staff
efficiency, operational economy, and access to valuable data.
4. Show appropriate appreciation to your donors
5. Embrace innovation

24. The New Rules:
1. Define your brand and mission.
2. Incorporate businesses planning practices
a) Develop concrete financial and program objectives
b) Identify specific strategies and tactics for achieving
objectives
c) Define criteria for success for each program
d) Implement, review, analyze, revise
3. Strategically incorporate technology to enable increased staff
efficiency, operational economy, and access to valuable data.
4. Show appropriate appreciation to your donors
5. Embrace innovation
6. Be part of the culture of participation, collaboration, and
communication.

25. 1. Define your brand and mission.
• Your brand identity is what distinguishes and identifies the soul of
your organization. It’s more than your logo, or website. It’s what
you say and how you say it. It’s your voice, your tone, your
programming, and your attitude. It’s how people think of you.
• Your mission (or vision, or core ideology) is part of your brand and
defines everything you do. It isn’t the product you make or
service you provide – it’s the benefits they deliver. (i.e., Merck
doesn’t talk about pharmaceutical research or drug efficacy.
Their mission is: “We are in the business of preserving and
improving human life. All of our actions must be measured by our
success in achieving this goal.”

26. 2. Incorporate business planning practices.
 Clearly define your financial and program objectives
 Use those objectives as the guide for developing programs,
development, and fundraising strategies and tactics
 Develop criteria for to measure and evaluate success for
programs, events, and fundraising initiatives. Use that criteria to
analyze results, evaluate effectiveness, and revise strategies or
tactics as needed.

27. 3. Strategically incorporate technology to
enable increased staff efficiency, operational
economy, and access to valuable data.
 There is a potential goldmine of data waiting to be extracted,
analyzed, and used to help you generate more revenue, develop
more successful relationships, and operate more effectively.
 Donor database and member management software
 Project and event management software
 Email marketing programs
 Online donation programs
www.nten.org (Consumers Guide to Low Cost Donor Management Systems –
pdf)
www.techsoup.org
www.constantcontact.com
www.basecamphq.com
www.networkforgood.org

28. 4. Show appropriate appreciation to your donors
 Stay in touch with donors, even if they can’t give as much as they
did at one time

29. 4. Show appropriate appreciation to your donors
 Stay in touch with donors, even if they can’t give as much as they
did at one time
 Make sure donors understand the direct impact of their gift – show
them how they have impacted your mission.

30. 4. Show appropriate appreciation to your donors
 Stay in touch with donors, even if they can’t give as much as they
did at one time
 Make sure donors understand the direct impact of their gift – show
them how they have impacted your mission.
 Say thank you frequently and meaningfully

31. 4. Show appropriate appreciation to your donors
 Stay in touch with donors, even if they can’t give as much as they
did at one time
 Make sure donors understand the direct impact of their gift – show
them how they have impacted your mission.
 Say thank you frequently and meaningfully
 Engage donors continuously – fundraising isn’t seasonal – it’s
always

32. 5. Embrace innovation.
 Non profits are facing unprecedented challenges on all fronts and
are finding that their established processes are falling short in
addressing them
 Foundation grantors and individual donors are increasingly
requiring evidence of program effectiveness
 As more and more people gravitate towards social media,
organizations must get better at finding and engaging them
there
 Reduced budgets and staffing makes it imperative to find
more efficient ways of operating

33. 5. Embrace innovation.
 Survival requires developing or finding, and then incorporating,
innovative new solutions to address challenges
 Research peer organization best-practices
 Implement accountability and evaluation processes
 Conduct an honest evaluation of your programs, fundraising,
marketing, and operations and look for new strategies and
solutions for the ones that aren’t successful
 Look for silos in your organization and find ways of integrating
efforts
 Find opportunities to collaborate

34. 6. Be part of the culture of participation,
collaboration, and communication.
 Marketing communication is not longer a passive channel.
People respond when they feel engaged and can
participate.
 Don’t drown in the social media ocean. Be practical about
how much you can handle.
 Your constituents expect transparency. Use social media to
provide that.
 Use social media channels to tell a compelling story:
 Twitter (TwitCause)
 YouTube (http://www.youtube.com/nonprofits)
 Flickr
 Facebook

35. Example: Brigham & Women’s Hospital in Boston

36. Example: Brigham & Women’s Hospital
in Boston

37. Example: Brigham & Women’s Hospital
in Boston

38. Example: 92nd Street Y in New York City

39. Example: 92nd Street Y in New York City

40. Example: 92nd Street Y in New York City

41. Example: Achilles International in New York City

42. Example: Achilles International in New York City

43. New Rules for Non Profits:
Tips for Navigating a Changed World
Linda Ziskind
July 20, 2010