Non-Profit Strategic Planning with a For-Profit Mindset

By Carolyn Rammel

In the for-profit world, much of an organization’s success is tied to producing a solid return on the investments of its shareholders and continuously increasing shareholder and enterprise value. For most non-profit organizations, this concept of return on investment (ROI), or shareholder/enterprise value, gets ignored. While it is true non-profit organizations do not have traditional “shareholders,” they do have investors. And these investors are looking to understand the impact (return) their investments are making.

But before an organization can report on an investor or funder’s return, it must first determine for itself the impact its mission and work is looking to create. Until this is clearly articulated, an organization cannot measure and monitor its success and ROI. So, how can non-profits incorporate this performance and measurement based mindset? For most it will start with a strategic planning initiative.

During the strategic planning process, the mission is affirmed and adjusted and the impact of that mission is clearly defined. Determining how the organization will assess its performance against those impact goals comes next. And it is this assessment practice, as defined by the non-profit, (not its funders), that establishes a true culture of performing to outcomes and knowing if one is on or off track in achieving the mission.

Not all non-profits find it easy to shift from a purely mission-aligned strategy to one based on impact and outcomes. What is the actual financial impact of putting someone in a home of his or her own? It’s incalculable. Yet, even when impact is difficult to measure in a quantifiable way, the idea of managing to an outcome or managing to a specific action in and of itself, still counts.

Having an external consultant facilitate this process is very helpful because initially, managing to outcomes is scary. The right consulting partner preserves an atmosphere of safety and trust while simultaneously revealing exciting possibilities. As seasoned strategic planning partners we help non-profits think deeply about their mission. We help design a pathway for achieving that mission, and set up management approaches to support the collection of data to channel into quantitative claims that not only satisfy funders, but ensure organizations have a clear method for understanding whether they are achieving their mission.

Once an organization reaches the end of this process, its leaders have immense confidence and clarity. They develop a culture of alignment because everyone knows what they are doing, why they are doing it, and just how well they are doing it. And it is in this moment of clarity and alignment that outcomes and ROI become benchmarks of success rather than merely data points.

About the author: Carolyn Rammel is a seasoned executive and consultant with 30 years of experience in the financial services, travel management, non-profit and consulting services industries. She has held leadership roles in marketing and product management, executed numerous international joint venture initiatives, and served as executive director of a Philadelphia based non-profit organization. As a consultant she specializes in the areas of strategic planning, facilitation, governance and leadership alignment, while teaching an executive global leadership program in locations around the world.

How a volunteer planning committee can make or break a signature event

By Kate Goffredo Dougherty

A signature event can be a truly seminal moment for a nonprofit. Execute well, and your organization is likely to receive a windfall of donations and a surge of support from stakeholders and prospects. Execute poorly, and you may find yourself with dwindling coffers and finger-pointing within the ranks.

That’s a lot of responsibility to place upon the shoulders of a volunteer planning committee. Fortunately, there are tried and true methods that Dunleavy & Associates has honed while helping to plan signature events for our nonprofit clients.

The first thing we tell any nonprofit in the early stages of planning an event is to assemble a committee of volunteers with a diverse set of networks and availability. It’s best that committee members have varying work schedules, ensuring someone is always available to complete tasks, and also varying social and professional networks, creating a large pool from which to solicit funds. A tried-and-true recipe is to have high-powered committee members use their network to pursue large donations, while volunteers with more free time handle day-to-day administrative or communications tasks.

Once you have formed the volunteer planning committee for a signature event, the next step is to organize. Subcommittees and their chairpersons should be selected on merit, and tasked with clearly defined responsibilities. Exact positions will vary based on the needs of each event, but all subcommittees will work best when chairs are chosen for their skill set and experience, not their seniority or patronage. In most cases, it’s wise to select a committee chairperson who is high-energy and experienced in planning, and who can take charge, grease the wheels daily, and motivate the committee throughout the process.

Perhaps just as important as utilizing the strengths of the people you do have, is to recognize the weaknesses presented by skills that are lacking. Common examples are organizations that are planning an event for the first time and don’t have experience in securing a location, or those that lack the capacity to handle the large volume of communications that successful event planning requires.

You’ll need to fill these gaps, lest one becomes the Achilles heel of your event. If you’re unable to find the expertise or capacity required within your own network, it’s at this point that enlisting the services of a firm such as Dunleavy & Associates should be considered.

Once you have all of your role players in place, it’s crucial to make sure everyone knows what is expected of them and follows through on those responsibilities. Often times, well-meaning subcommittee members will step outside the lines; a person responsible for securing a location will start nosing around the catering menu, or a volunteer tasked with calling donors will start shopping around for flower arrangements. While their intentions are to help, such blurring of responsibilities often ends up wasting time and annoying committee members already assigned to those tasks.

If you’re not sure you have the right people or enough experience to knock your next signature event out of the park, be sure to follow these best practices and consider bringing an organization like Dunleavy & Associates on board if there are gaps within your volunteer team.

About the author: Kate Goffredo Dougherty is Senior Project Manager, Operations at Dunleavy & Associates. With a background in nonprofit administration, Kate oversees the lion's share of Dunleavy's operations, and shares her expertise with clients seeking to improve their operational and organizational management. She also specializes in event planning.

How can nonprofits maintain authentic donor relationships throughout the year?

by Debi Hoxter

Congratulations! You’ve identified, cultivated and solicited your donor and he/she has just made a major gift (the amount of a major gift will vary depending on the size of your organization).

At this point, many nonprofits believe their work is complete, but nothing could be further from the truth, for this is when authentic donor stewardship begins.

What is authentic donor stewardship? It is the stewarding of the individual, not just the gift, and is grounded in the desire to treat donors as partners by honoring their generosity and demonstrating how their gifts make a difference.

Remember, donors have contributed to your nonprofit because they feel a connection to your organization, its mission and the individuals involved. Nurturing donor relationships enables those who give to connect more deeply to your organization and those you serve and, as a result, make future contributions. Follow these steps to keep them connected to your nonprofit and aware their gift is appreciated.

Step One: Learn a prospective donor’s stewardship expectations before the gift is secured – or soon after

Ask the donor prospect what would be the most meaningful way to steward his/her gift, and what that would look like. Importantly, determine his/her preferred means of communication early on and for all outreach going forward, whether it be by phone or email (donors always appreciate being asked). This conversation enables you to learn more about who the donor is and what motivates him/her to give.

Step Two: Place a phone call within 24 hours of receiving the gift

Within 24 hours a phone call should be placed by your organization’s Executive Director/CEO and the person with whom the donor has the closest relationship. There is nothing that can substitute for a gracious and heartfelt “thank you,” and a donor will always remember the personal outreach.

Step Three: Send a personalized acknowledgment letter within two business days of receiving the gift

Ideally, a letter should be sent to acknowledge the donor’s gift within two days of receipt. If a template is used to create the letter, it should be personalized so that it appears to be written specifically for that donor and the donor’s partner should also be acknowledged in the letter. The dollar value of the gift should be listed in the letter and a brief explanation of the gift’s benefit to the organization.

The acknowledgment letter should always include a short, handwritten post-script.

Step Four: Communicate with your donor throughout the year to demonstrate the impact of his or her gift

Oftentimes donors feel that the nonprofit they support communicates with them only when it’s time to solicit another gift. To set your organization apart, it is critical to build your donor relationships throughout the year through authentic, customized stewardship tactics, identifying a plan that is meaningful to each donor.

For example, invite the donor to visit your organization and make introductions to staff and clients who have benefited from their generosity. Similarly, a letter from a staff member or client expressing his thanks to your donor for his gift and its impact is especially meaningful.

Smaller, donor-only events are also an ideal way to express thanks to your donors and build a sense of camaraderie among your donor base. If your nonprofit has just completed a renovation, plan an event to thank donors for their contributions and conduct first-look tours of the new offices. For those who prefer one-on-one interactions, a lunch invitation to update a donor on how his or her gift is impacting your organization would be especially meaningful.

Step Five: Make personal connections/touches throughout the year

Staying in touch on a personal basis throughout the year is certain to build your relationships with donors. Invite your donor to participate in a Career Day if applicable to your organization. Send your donor a note when a child is getting married or if a grandchild is born. These milestones should be in your database of details gathered during the cultivation step. Or, in lieu of the standard holiday card, consider sending a Thanksgiving card that expresses your gratitude.

Most important is creating a stewardship plan for each donor and developing a calendar of “touches” throughout the year. Dunleavy & Associates’ development professionals have the expertise to guide you throughout the donor cultivation, solicitation and stewardship process. To learn more, visit our website at http://matchingmissions.com

About the author: Debi Hoxter is Director, Corporate & Foundation Relations at Dunleavy & Associates. Pulling from her prior experience as Executive Director, Corporate Underwriting at WHYY, Debi works with clients to build donor and corporate relationships and create strategies for meeting revenue goals. She began her career in advertising, working first at Ted Bates and Grey advertising agencies in New York before serving as Advertising Sales Manager at Philadelphia Magazine.

Does crowdfunding work for nonprofits?

By Brittany Alba

Nobody wants to be the old curmudgeon: the parent who thought The Beatles' hair was too shaggy or the Scooby Doo villain who shakes his fist at all the meddling kids.

But embracing a new way of raising money like crowdfunding can be a risky proposition for nonprofits. It means taking a leap of faith into methods with which your organization has no proven track record for success and it means betting that you’ll be able to do it well.

However, all nonprofits that do make crowdfunding work have one thing in common: They take the leap with both feet.

Too many nonprofits think they understand the concept of crowdfunding, but don't commit the resources to properly execute it. They'll develop an idea for a campaign, but fail to spend the money on an engaging online landing page, or neglect to create a compelling marketing campaign that is essential for success.

While crowdfunding can attract donors of all ages (with last summer's ALS Ice Bucket Challenge being the perfect example), the demographic usually is weighted toward Millenials. And younger donors like their crowdfunding campaigns like the rest of their Internet: with thoughtful, sleek design, use of multimedia, and copy that speaks to them.

If you don't have the capability to generate eye-catching landing pages within your organization, you'll need to commit resources to get outside help to run a successful crowdfunding campaign.

A successful campaign also will need to generate crowdfunding ideas that will connect with the target demographic. This is best done by going to the source: By asking your younger employees or even 20-something family members for ideas they would find compelling or amusing.

There's no way to ensure a campaign will find the audience that San Francisco's Batkid did, for example, but younger audiences are often drawn to stories about their peers. And if your 20-something niece or nephew finds a story or idea compelling, it's a good bet dozens of their friends will, too.

As the Internet continues to grow in influence, and Millenials more significant in nonprofit demographics, crowdfunding will grow in importance as well. Every nonprofit will sooner or later have to take the leap, and enthusiastic and early adopters will find themselves ahead of the curve.

About the author: Brittany Alba is a Project Manager with Dunleavy & Associates, and has worked with clients across the education, human services, and community development sectors. She specializes in media relations, graphic design, market research, and event planning, and has embraced her role helping the firm and its clients find new ways to raise funds in the digital age.

A Tribute to David Letterman: The Dunleavy Top 10

Say it ain’t so, Dave!

After a nearly 22-year run, David Letterman will be making his final sign-off on the Late Show tonight on CBS. It’s been an incredible run: Combined with his previous time spent on Late Night, Letterman’s more than 30 years as a talk show host surpasses even that of Johnny Carson.

The Dunleavy & Associates team has many big-time Letterman fans among its ranks, and we couldn’t let this occasion pass without notice. In honor of David’s signature Top Ten List, we created a list of our own to highlight the “Top Ten Ways that Dunleavy Makes a Difference.”

We may not have the side-splitting writers of the Late Show, but the Dunleavy & Associates team is still very proud of the work that we do to support all of our fantastic clients and their missions. So without further ado…

The Top Ten Ways that Dunleavy Makes a Difference

10. We’re professionals with experience

Dunleavy & Associates’ 14 team members have more than 150 years of combined experience working in the nonprofit sector (that’s as many as five Lettermans!). This includes positions in organizations large and small, for profit and nonprofit, with a variety of missions and services. We love matching the experience of our team members with the needs of our clients.

9. We’re professionals who care

At Dunleavy & Associates, we mean it when we say “Our Mission Is Your Mission.” Some people finish the 9-to-5 workday and forget about their job while watching … ahem, late night television. But our employees are passionate about the nonprofit clients they serve, always going the extra mile, even after typical working hours.

8. We’re professionals who teach

In many cases, our clients hire us to fill a knowledge or skills gap that exists in their organization. We see it as our job not to just fill that gap temporarily, but to pass along our know-how to the client so that their nonprofit is stronger after our relationship ends. To use the old saying, we don’t just bring the fish, we teach you to fish, too!

7. We’re professionals who learn

We’re happy that Letterman will retire on his terms and get to relax after a successful career. But Dunleavy & Associates never rests on its laurels! Just as we teach our clients, we also know the value of learning new methods and strategies from them. Our employees also pursue continuing education opportunities to make sure they stay on top of what it takes for nonprofits to succeed in 2015.

6. We’re professionals who are honest

When a client hires Dunleavy & Associates, they’re getting more than just an extra employee. They also get a strategic partner who will be honest in her analysis and help you make the important decisions.

5. Our clients get capacity There’s no better feeling than taking a bit of burden off your shoulders. When capacity is stretched thin, it can be difficult to find an individual with the exact skill set needed to help with the load. The multi-talented Dunleavy roster can handle any responsibility, giving clients the confidence to tackle bigger problems.

4. Our clients get talent Letterman is one of the all time greats of late night. Our goal is to be the all-time great of nonprofit services. Our team members wear many hats and are flexible, mobile, and responsive. We may not get the glamour of showbiz, but we get the reward of making a difference, and that’s plenty.

3. Our clients get change Our clients don’t just get short-term solutions. Dunleavy & Associates team members help to institute meaningful change so that clients are stronger organizations after our services are completed. We do upgrades, not band-aids.

2. Our clients get commitment and connections The Dunleavy team is proud of our activities outside the office: Our average employee donates $1,000 and 100 hours of her time each year to nonprofit causes, and many team members hold leadership positions in a variety of regional organizations. It’s a reflection of how much we care, and has the added benefit of growing our professional networks and experience, which we pass on to our clients.

And the number one way that Dunleavy makes a difference for our clients…

Drum roll please…

1. WE ARE FUN TO WORK WITH!

This is an idea Letterman could certainly get on board with.

At the end of the day, the nonprofit industry is one that’s all about passion. But stress and budgets and reviews can suck the joy out of the job. Our team members love helping to make a difference, not only for a client’s constituents, but also for its employees. We’re all in this together, and nothing makes us feel better than using our time, energy and abilities to relieve the burdens of our clients and seeing them get them excited about changing the world again.

David Letterman has truly made a difference in the lives of the tens of millions he’s entertained over three decades on the air. We’re not at those numbers just yet, but with the help of our current and future clients, we’ll get there.

Thanks for your support and don’t forget to watch David Letterman in action one last time, tonight on CBS at 11:35 p.m.