your guide to intelligent giving where the heart meets the mind
TRANSCRIPT
Your Guide to Intelligent Giving
Where the Heart
Meets the Mind
The Data Proves Impact 4.5 million distinct
visitors (6.4 million hits) in 2012
92% say evaluations affected their decision to support individual public charities
CN ratings influence decisions on billions in donations annually
The Nonprofit Sector Problem*
“… there is virtually no credible evidence that most nonprofit organizations actually produce any social value.”
*“The End of Charity” by David Hunter – Philadelphia Social Innovations Journal
WHY IS THERE A LACK OF RESULTS REPORTING?
• A Fear of Fallout from Potential Criticism• It’s All About the Work• Performance Measures are Reductionistic • Lack of Resources• Bored Boards• Donor Indifference• The Growth Motive• Inadequate Monitoring (Internal & External)
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OUR DEFINITIONS OF ACCOUNTABILITY & TRANSPARENCY (per Prof. Brackman Reiser)
ACCOUNTABILITY - is an obligation or willingness by a charity to explain its actions to its stakeholders.1)FINANCIAL - to safeguard and manage the charities financial resources.2)ORGANIZATIONAL – to consistently follow rules of governance and operational process.3)MISSION – to set goals and then measure and manage performance to assure the charity is achieving meaningful results. TRANSPARENCY - an obligation or willingness by a charity to publish and make available critical accountability data about the organization.
Financial Health
Accountability (Governance) & Transparency
Results Reporting
A scalable, in depth, multi-dimensional charity rating system.
CN 2.02011 -
Organizational
CN 1.02002 -
Financial
CN 3.02013 -
Mission
FROM ACCOUNTABILITY IN ONE DIMENSION TO THREE AND BEYOND
THE FUTURE (CN 4.0?): OUTCOME MEASUREMENT
THE FIRST STEP TO UNTYING THE GORDIAN KNOT:MISSION ACCOUNTABILITY - RESULTS REPORTING
1. Alignment of Mission, Solicitations and Resources
2. Results Logic and Measures
1. Validators
2. Constituent Voice
3. Published Evaluation Reports
*Prototype for purpose of illustration only. Final product is likely to be different and/or vary by cause area.
PART 2
Why do you think this is the most important issue in the non-profit
sector today?
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90%
87%
78%
76%
62%
59%
46%
41%
34%
31%
30%
28%
24%
0% 20% 40% 60% 80% 100%
Org's Effectiveness
How the Org will Use my Donation
Quality of Leadership
Percent of Costs to Overhead
Ease of Donation
Not Being Asked for Money Too Often
Ability to Direct Donation's Use
Regular Progress Reports
Endorsements by Person I Trust
Prompt and Sincere Thank You
Ability to Get Involved
Org Approach - Novel / Innovative
Contact with the End Beneficiaries
THE DONOR PROBLEM
* Based on the Money for Good donor research of Hope Consulting
Because donors will have access to much more robust information than ever before about each charity’s ability to bring about long lasting and meaningful change in the world.
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WHY IT IS SO IMPORTANT FOR DONORS?
The Nonprofit Sector Problem*
“… there is virtually no credible evidence that most nonprofit organizations actually produce any social value.”
*“The End of Charity” by David Hunter – Philadelphia Social Innovations Journal
Because many more charities will become focused on measuring and managing their performance.
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WHY IT IS SO IMPORTANT FOR CHARITIES?
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THE BENEFICIARY PROBLEM
Ultimately we believe this will lead to a significant and measurable improvement in human welfare and acceleration in solutions to our world’s most persistent problems.
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WHY IT IS SO IMPORTANT FOR BENEFICIARIES?
(The Nonprofit Marketplace Hewlett Foundation, 2008)
THE PROBLEM SOLVED
HOW WE ARE HELPING SOLVE THE PROBLEM