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Observing Nonprofits
   July 2004

The 2004 Nonprofit Leadership Conference -- sponsored by:

Alliance of Nonprofits for Insurance

Clark Nuber

Davis Wright Tremaine

Safeco

The Seattle Foundation

 

Agility: Leading Nimble Nonprofits

The Tenth Annual Nonprofit Leadership Conference: April 1, 2004.  Meydenbauer Center, Bellevue

To receive a notice for the 11th Annual Conference by email, please send a note with your name and email address to conference@tess.org


Choosing to Adapt: What Does it Take and Why it’s Important

Notes by Trisha Mattieu

Panelists: Linda Nageotte, Food Lifeline, Liz Vivian, Seattle Youth Involvement Network,

Carolyn Cunningham, United Way of King County

What’s “Out”

Being: sturdy, resilient, predictable, well-ordered, self-contained, well-behaved

And: having all the answers

What’s “In”

Being: extroverted, in pursuit of change and flux, connected to networks, inquisitive, a learning organization, willing to take risks

And: making systemic change, learning from the external environment

Four Basic Components of Adaptive Capacity

  1. External Focus
  2. Network Connectedness
  3. Innovation
  4. Inquisitiveness

External Focus

  • Adapt to the environments but also adapt environments to them.
  • Through external interactions organizations are influence and can influence. System-wide behavior.
  • Organizations are means to an end—they are mission directed. Accomplishment of th emission occurs outside organizations.
  • Be connected and engaged—not isolated and insular.
  • Internal, make your staff and board ready and able to “go external”

Network Connectedness

  • Organizations are neither the only nor necessarily the best containers in which to locate tasks—the architecture that drives organizational performance is networks.
  • The fullest realization of organizational potential occurs when non-profits occupying special niches create the potential for system-level effects that advance their missions more effectively than would be possible in isolation.

Innovation

  • Adaptive Capacity is to change in order not only to survive, but also to create.
  • Learning Organizations continually expand their capacity to create their future.
  • Innovation embraces dramatic new programs as well as improvements to existing processes.
  • Innovations mean not only creating something new but also challenging accepted wisdom.
  • How to encourage innovation: commit time and $ to experimentation; promote diversity; articulate new challenges; “seed” the organization with new thoughts and ideas.

Inquisitiveness

  • Organizations must be voracious learners. Seek out data, information and knowledge and then apply it to their work.
  • Value the process of self-evaluation.
  • Use data to improve performance and embrace change.
  • Must be part of the organizational culture—not just the leader’s personality, but nurtured throughout the organization.

FOOD LIFELINE

Summary

WA State has the 5th worst hunger problem in the nation. It’s an invisible problem. A tagline they use: Hunger: “the sooner you believe it, the sooner we can end it.” Food Lifeline is a food distribution center that stocks other nonprofits with food to distribute to hungry people. Their job is to raise food donations. To do this, they partner with manufacturers such as Kellogg’s, retailers such as Safeway, and local farmers.

They need to change as the industry changes. Recently, they have had to undergo a major change in the way they do business. There are two reasons for this. First, there have been a lot of mergers—with only 3 major chains and WalMart remaining. Second, the types of food people buy has been changing. People used to buy more non-perishables. Now, they buy more meals-already-made, fresh fruits and veggies. This is a HUGE shift from nonperishable to perishable foods. Food now has to be moved in 24 hours as opposed to 6 months. Because of this difficulty, donors, concerned about items spoiling, now only want to donate items such as bread.

A new alliance was created to respond to this new need for donations. The “Grocery Alliance”. They want to be able to donate to NPs in the same way, with the same standards that they stock their grocery stores. As a result, they need Food LifeLine to change in a way to make this happen, so spoilage is not something to worry about.

Kroger Approached Food Lifeline and asked them to set up a changed distribution system—which in the end changed the way they and the 250 organizations they supplied and received from did business.

Big Picture

  • Be willing to ask tough questions, put risky options on the table, play devil’s advocate, dream big, and rise to the occasion.
  • Look outside the organization for ideas and answers—don’t assume you posses the necessary knowledge or the best approach. Research best practices from around the country; complete a colleague-competitor scan.
  • Expect to be treated as an equal player; develop strategic partnerships accordingly. Define what you can and cannot do, what you need and want, and communicate this openly.
  • Leadership is key: build a capable workgroup, define a common goal, create a plan, hold the process, keep it moving and follow it through.
  • Be strong stewards for the organization: stay focused on the mission.

Nuts and Bolts:

Time

  • 18 months beginning to end, 6 months intensive work.
  • 10 hours a week for ED on top of basic work.
  • 2-10 hours a week for key managers and department staff.

Money

  • Received $183,000 in corporate/foundation funds to cover project start-up costs.
  • Developed annual holiday promotion with key for-profit partner—now raising 400,000 lbs of food/$85,000 annually.

Core Team

  • President & CEO
  • Key Managers (Operations, Food Resources, Agency Relations)
  • Developed Grocery Rescue Project Workgroup made up of 7 staff.
  • Hired full-time program administrator—have since added 2 additional program staff (drivers)

Positive Outcomes for the Organization

  • Program recognized by parent organization, America’s Second Harvest, as a National Best Practice
  • Developed a new organizational standard for program development, including: clear, comprehensive, mission-driven program business plan; communication plan; project management template.
  • Developed full program documentation to facilitate program expansion and replication.
  • Staff is reinvigorated
  • Stakeholders and wider community are newly committed to the organization
  • Tangible results—2 million lbs of food for hungry people at current program levels—expanding to 5.6 million over the next 2 years with current partner.

Greatest challenges for Executive Director

  • Time and timeline: balancing on-going work with new project development; balancing donor needs against agency capacity.
  • Internal and external communications with stakeholders.
  • Knowing when to push, when to back off.

YOUTH INVOLVEMENT NETWORK

Summary

The Seattle Youth Involvement Network, founded in 1991, connects youth with elected officials with real decision-making power. It has formed several programs, such as a Mayor’s Youth Council, and Youth Volunteer Corps and has traditionally put on a Youth Involvement Day every year.

However, Seattle has been changing, and the organization has realized that they also needed to change. They have had to confront some real questions about whether this organization was something that should continue, or whether it had done the job it set out to do.

They followed the trends and realized that youth voting has dropped 15% since 18 year olds first got the vote compared to 4% for the overall rate for all ages. Surveying youth, they’ve discovered that youth simply don’t know what to do when it comes to voting.

They have therefore decided that the greatest impact they can have is in getting young people involved in politics. And they decided to take the program statewide. This has been a whole new strategic direction for the group. Are now brainstorming new name for group, trying to find funding.

Big Picture

  • Be willing to ask tough questions, put risky options on the table, play devil’s advocate, dream big, and rise to the occasion.
  • Look outside the organization for answers and don’t assume you know what the community needs or wants—it’s constantly changing: engage stakeholders in varied, meaningful ways; research best practices from around the world: complete a colleague-competitor scan.
  • Be ready to hear what comes back.
  • Leadership is key: have a team who can work well together, hold the process, keep it moving and come to a conclusion.
  • Be strong stewards for the organization: stay focused on the mission, community and what is best for the organization—this is not about what the executive director or the board chair wants or is willing to do.

Nuts and Bolts:

Time

  • 12 months beginning to end, 6 months intensive work.
  • 10-40 hours a week for ED on top of basic work.
  • 2-10 hours a week for board chair.

Money

  • Received capacity building grants from Nonprofit Assistance Center and Allen Foundation.
  • Spent $12,000 on consultant
  • Spent $1,500 on printing materials and buying food.
  • Spent $16,000 on staff time.

Core Team

  • Executive Director
  • Board Chair or other board leader
  • Organizational Development Consultant
  • Support staff—hire admin staff if organization doesn’t have this capacity already

Positive Outcomes for the Organization

  • Clear, comprehensive, mission-driven plan for the first the in the history of the organization.
  • Board is reinvigorated.
  • Stakeholders and wider community are recommitted to the organization.

Greatest challenges for Executive Director

  • Time, juggling all the different balls in the air and catching them gracefully.
  • Working hard to make the right choices given all the varied pieces of information and lack of clear mandate.
  • Navigating my role as executive director and keeping the focus away from me. Balancing my passion, ideas and expertise with cultivating board leadership. Strategies that worked: I was always the last person to speak during every conversation, meeting and retreat; I thought long and hard about what was really important and advocated only when I felt it was critical; and I maintained an open, honest working relationship with the board leader and our consultant. 
 

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