Allied for Good

Assess and Design for Success

Sat, 24 Sep 2022 11:50:47 GMT

Organizational Design and Development

Part Two

In our previous post, we discussed the impacts of dynamic internal and external conditions on nonprofits and the key factors that drive organizational performance in the context of change. Here, we'll talk about how to assess and purposefully design an organization for sustainability and flexibility as the environment in which nonprofits operate evolves.

How should nonprofits go about assessing and developing initiatives that will improve their organizations? In most cases, starting with an up-to-date, responsive strategy is extremely helpful, though it may not be possible to engage in formal strategic planning when there are immediate, unexpected changes in the environment. Even then, however, informal direction from the board is necessary. Typically, however, it’s the executives—not the board—will drive assessments, since they are mostly focused on operational challenges.

These general steps should be followed for organizational assessment and design:

Step One

Define the desired outcomes

First, identify both the results the nonprofit needs to achieve to advance its mission. These are what the organization needs to be set up to accomplish. They should be informed by a strategic plan with measurable objectives, a baseline, and targets aligned with its population's and internal needs. However, if there is no formal strategy, measures can still be defined.

Step Two

Communicate the effort

Organizational assessments can be rather unsettling for the workforce, especially when people are uncertain of the purpose and approach. In addition, employees and volunteers are likely to have perspectives that will add value to the process. Mitigate rumors and build trust. Openly and consistently communicate, from initiation all the way to completion.

Step Three

Gather relevant information

What’s documented—and what’s not—will provide important information for an assessment. To the extent possible, collect the most current strategic plan, organizational chart(s), job descriptions, process maps and Standard Operating Procedures (SOPs), and other related information. It's important to note what the organization doesn’t have as well.

Step Four

Listen to the people

Managers, staff, and volunteers will help uncover how the organization looks and operates in practice. Understanding what’s really going on vs. what’s documented can illuminate issues and opportunities. People, especially on the "front lines" will also be able to describe their challenges and needs. Their also likely to provide valuable ideas on how to improve.

Step Five

Explain outcome and capacity gaps

Using what’s been collected, evaluate the organization’s current ability to achieve the outcomes and examine within and across factors to find the immediate and root causes of perfomance and capacity deficiencies. They can be laid out visually in a "logic flow" to better see causes and effects, as well as issues that contribute to more than one shortfall.

Step Six

Identify "quick wins" and systemic changes

It’s now time to decide how to “fix” what’s behind the capacity gaps. Some improvements—usually for the “surface” causes of performance and internal operational issues —can be made right away. Other initiatives will address more root causes, which may be complex and extend across factors. Solutions to the latter may require more time, effort, and investment.

Step Seven

Develop an implementation plan

How to roll out multiple change initiatives is a critical decision. Even “quick wins” need to be ordered based on benefits vs. costs and access to financial, human, and other resources. Prioritize, focusing first on critical issues and evaluating feasibility and cost-effectiveness. Board input is often needed here, particularly if projects require significant investment.

Executives should be the ones “sponsoring” organizational assessments. Ideally, objective outside consultants will guide them. Involving management and staff in identifying problems and developing solutions is essential. In addition, the need to communicate progress, outcomes, and rationale, can’t be over-emphasized. Inclusion and transparency helps build a sense of ownership, alleviates concerns, and helps overcome resistance. At the end of the day, everyone plays a role in making organizational change a success!

Post Authors

Jan Bresch - Executive Director, Special Love, Inc.

Tom Morley - Managing Director, Snowflake Consulting

More Information

Contact Jan , Tom , or NANSV to learn even more and get help with your assessment.

Stay tuned for Part Three of this series, Organizational Design Best Practices.

Factors in Organizational Performance

Thu, 01 Sep 2022 19:09:19 GMT

Organizational Design and Development

Part One

Things in the nonprofit world change often, and for many reasons.

Internally, executives and staff members leave, taking valuable skills and institutional knowledge with them. Their replacements bring new experiences and ideas. Roles and responsibilities evolve with employees’ capabilities, constantly re-forming to leverage individuals’ specific expertise and fill key organizational competency gaps. Over time, turnover can affect culture as well, sometimes in unexpected ways.

Meanwhile, external forces such as demographic and economic shifts can impact the types and levels of community needs, and also cause “ups” and “downs” in donations. New technologies emerge, presenting workplace, service delivery, public engagement, and management opportunities and challenges. Sometimes, change occurs relatively slowly. In other situations, like the Covid-19 pandemic, it happens very quickly.

Change, whether internal or external, often has significant implications for nonprofits. Organizations have to adapt to remain relevant, efficient, and effective. Adjustment requires recognition of the origins and dynamics of what’s changing and, consequently, responsive re-calibration of elements like strategies, services, and delivery methods, and the structure, processes, people, and technologies behind operations.

“Keeping up with the times” requires nonprofit leaders evaluate and, as needed, update direction and strengthen capacity. Organizational assessments should be planned, periodic, and regular, but can also be pushed by “events” as well. For example, executive transition, missed performance targets, and budget shortfalls suggest more immediate exploration, as do of unexpected issues like the pandemic and its aftermath.

Organizational Performance

Nonprofit performance is driven by several factors that in turn are enabled or restricted by an organization’s financial health and flexibility. These include:

Strategy and Governance
Programs and Supports
Structure and Workflows
People Resources
Management Capacity
Organizational Health

A good organizational assessment examines all of these elements how they inter-relate. They are discussed further below with example questions to ask about each.

1. Strategy and Governance

First and foremost, nonprofits need clear direction and a strong board. It’s essential both a current strategy and the capacity to govern are in place. Organizational priorities should be responsive to community needs, and sound strategic oversight and decision-making is critical to recognizing and adapting to outcomes and future changes.

What is the strategy, and is it built on accurate understanding of and responsive to client challenges and preferences, internal needs, and external conditions?
Is there a strategic plan that’s:

Feasible given access to human and financial resources?
Actionable with specific initiatives, owners, and timelines?
On schedule and delivering expected outcomes?

Does the board have the right people, structure, roles, culture, and protocols to govern, guide, and enable the organization to fulfill its mission?
Is the information needed to make good decisions based on results, dynamics of the surrounding environment, opportunities and risks, etc.?

2. Programs and Supports

As discussed above, contexts may shift for nonprofits both over time and because of emerging or sudden events. Informed by their strategies, organizations have to examine and potentially modify the details of their services to adjust to new circumstances. They may also need to adapt in “support” areas such as marketing, public relations, etc.

Does the strategy indicate a need to modify the program mix (e.g., re-prioritizing, scaling up or down) while remaining aligned with the organization’s mission?
Does the organization need to:

Expand coverage in key programs (i.e., serve more people)?
Provide more benefits to clients (e.g., more financial support)?
Increase outreach to the relevant populations and donor prospects?

Are there other delivery methods (e.g., mobile services, virtual interactions) that might make it easier for clients to access programs, increase efficiency, etc.?
What are the financial, brand image, and brand awareness impacts of modifying services, and what do they mean for outreach efforts?

3. Structure and Workflows

Allocation, execution, and management of key functions also matters. Change can drive the need for redesign, as can correction of informal evolution that occurs based on individual strengths, skill gaps, culture, and other factors. Structure and processes have to be purposefully designed to facilitate quality, overall efficiency, and innovation.

Do key organizational units (e.g., departments or divisions) have clear goals and responsibilities, and do they look the same in practice as on paper?
Is the structure set up to:

Place reasonable accountabilities on the leadership team?
Ensure coverage and avoid duplication of efforts and outputs?
Best leverage skills required to do the organization’s work?

Are processes as streamlined as possible, are they documented and followed, do they meet standards for time, accuracy, etc., and are there any “bottlenecks?”
Are the right technologies (e.g., automation, collaboration) used to support cost-effective client interaction, service delivery, internal operations, etc.?

4. People Resources

The workforce makes things happen in nonprofits. Organizations need “right people, at the right times, doing the right things,” and responsibilities, skill requirements, staffing levels, etc. can change as the populations’ needs and nonprofits’ responses evolve. Optimal staffing is critical, but it can be challenging with limited nonprofit budgets.

What are the key roles and associated responsibilities and skills needed to deliver services and operate cost-effectively, in alignment with the strategy?
Does the organization have:

People on staff who can effectively fill these roles?
Staffing levels needed to deliver the required outcomes?
Ability to compete for talent (e.g., compensation and benefits)?

What can be done to best balance role requirements, staff capacity, and financial restrictions (e.g., new hires, professional development, contractors, interns)?
If there are people who don’t fit updated roles that reflect the organization’s direction, how should this be addressed with compassion, dignity, and support?

5. Management Capacity

The ability to manage to outcomes, which includes mission, organizational unit, and staff performance. There are three different components to look at here: Outcome Measures, Performance Management, and Managerial Skills. All of these things need to be handled well, all of the time, for nonprofits to be successful and sustainable.

Does the strategic plan include clear, well-defined metrics and targets that have been communicated to management and staff members?
Is the organization using:

Cascading performance accountabilities at all levels?
A structured approach to staff evaluation, feedback, and growth?
Transparent, consistent rules for performance-based rewards?

Are there opportunities to institute shared accountabilities across functions to complement collaboration requirements in the structure and workflows?
Are managers equipped with the skills to effectively manage (vs. supervise) staff and volunteers in various settings (e.g., on-site, distributed, remote)?

6. Organizational Health

Well-functioning nonprofits communicate. collaborate, and care for their people. For many, the latter is especially important given the clients and challenges staff encounter. With people coming and going over time, however, workplace norms and dynamics can change. They need to be institutionalized in policy and performance expectations.

What does leadership do to provide visible opportunities for communication and collaboration across the organization (e.g., team meetings, “task forces”)?
Do staff and volunteers:

Show a sense of ownership of the organization’s mission?
Contribute based on their knowledge, not their titles?
Feel like their ideas and challenges are taken seriously?

Are there programs (e.g., remote workplace, flexible work times, wellness, paid and compensatory time) for work-life balance and stress management?
Is there a focus on team-building within and across units and levels (e.g., sharing information, mixed group problem-solving, or social events)?

Factor Relationships

It should be clear from the discussion above that while individual factors contribute to organizational performance, they are also highly inter-connected. For example, strategy has impacts on programs and supports, which in turn have implications for structure, workflows, and staffing needs. Management capacity affects the ability to adhere to processes, Culture affects people, including the ability to attract and retain talent.

In our next post, we'll talk about how to conduct an organizational assessment and develop short- and long-term initiatives that will improve efficiencies and effectiveness.

Post Authors

Jan Bresch - Executive Director, Special Love, Inc.

Tom Morley - Managing Director, Snowflake Consulting

More Information

Read Organizational Design and Development Part Two - Assessing Your Organization

Contact Jan , Tom , or NANSV to learn even more!

Recruiting Nonprofit Board Members

tom.morley@snowflakellc.com (Tom Morley) — Wed, 01 Jun 2022 15:59:50 GMT

Six steps to attracting the right people for your needs

Effective nonprofit governance is to a large extent a function of having the right people on the board. Most of us know, however, that assembling a qualified, committed, and available membership isn’t easy to accomplish. Over half of respondents to our 2021 Board Governance Survey (with VAFCC) said recruiting was one of their most significant challenges, citing limited local candidate pools, competition among nonprofits in their communities, and the perceived weight of participation requirements as some of the most difficult obstacles to overcome. More than a few boards find themselves reacting to these conditions by accepting simply because they are willing to join—without evaluating the entire package against their needs. How this works out is anyone’s guess and, quite frequently, it doesn’t go well.

Despite the difficulties, though, it is entirely possible for most clinics to build an effective board by following some fundamental tenets of recruiting. Here are six things boards can do.

1. Define the key attributes of the right members.

To get the people they need, boards have to know who they’re looking for—the characteristics of people who can fill critical gaps and be positive, productive members. It may sound intuitive, but just 40% of our survey respondents reported taking a clear, consistent approach to defining skills and associated experiences. Those that aren’t doing it need to start, but it’s also not enough. It doesn’t matter how much knowledge someone brings if they’re unavailable, unmotivated, unproductive, or a poor “fit.” People have their personal and professional objectives, interests, values, attitudes, and competing priorities. Boards need to define the context-specific details of traits beyond just knowledge and experience that an individual needs to be a strong contributor.

2. Put someone in charge of the board recruiting process.

It’s essential to have a single person or group responsible for board recruiting. Too frequently, boards take a decentralized approach, counting solely on existing members to identify and refer potential candidates. While “word of mouth” is certainly helpful in the recruiting process, depending on an “all hands” construct is often at the expense of developing and implementing strategies to reach broader audiences (see #4, below). It also deprives boards of consistent vetting and nominating processes, which help assure those selected will in fact “fit” with what the board needs. Committees are particularly useful here, as members can share the burden while maintaining the integrity and consistency of outreach efforts as well as procedures to evaluate new prospects.

3. Articulate the “value proposition” of the opportunity.

It’s easy to forget that recruiting is a two-way conversation. It’s not just about candidates presenting their credentials and intangibles, but also organizations to describing how prospects will benefit from working with them. Nonprofit boards often lament how difficult it is to recruit people who can meet their expectations for participation, “give or get,” etc. as unpaid volunteers with competing responsibilities. One key is to tell them the value they’ll get can advance their interests, and tell them exactly how. Compelling “offers” are critical to outcompeting other nonprofits in the area. Remember, though, that attracting the right people, requires the mission to be the primary focus above, for example, professional aspirations that may also be accommodated.

4. Create a comprehensive, targeted recruiting strategy.

Even after defining their target compositions, many boards rely heavily on referrals and members’ relationships to fill seats. This can generate some good candidates. It’s also unnecessarily limiting. Informed recruiting strategies, just as non-profits should have for open positions in the workforce, broaden boards’ horizons because they can find more sources and approach groups with tailored messaging. Going where people with the desired experiences “hang out” and effectively conveying both what the nonprofit is looking for and the value proposition for prospective candidates creates deeper, richer candidate pools. From local business groups to social media, there are many options to consider. Find where the right people are, and tell them the right stories.

5. Be clear and honest about board member expectations.

Part of being the right person for a board is an individual’s ability and willingness to meet board requirements. Boards are often shy about telling candidates those expectations up front, however. This is understandable. They don’t want to scare otherwise interested, good people away. But delaying the discussion of expectations until later isn’t the right approach for anyone, for three reasons: (1) People who can’t meet requirements don’t have an opportunity to “self-select out,” (2) Boards can only guess whether new members will meet the commitments they’re unaware they’ve agreed to, and (3) It’s just unfair to lay out participation, financial, and other expectations after the fact. There’s no need for boards to hide what they want, and they’ll get better members for it.

6. Thoroughly evaluate interested candidates.

When people say “yes”, it’s tempting to accept them on the spot—after all, members are hard to find. However, it’s better not to fill an open seat than to fill it with the wrong candidate. If they’ve followed a sound recruiting process to this point, boards will know the characteristics of the right people—skills, relationships, intangibles, etc.—and they’ll have candidates who purport to have them. Some things, such as experience, can be easily assessed, but other traits are harder to see at first glance. They are no less important and need to be probed. Interviews by multiple board members, with purposefully developed, well-structured questions, scenarios, etc. are critical. Both personal and professional reference checks should also be done before approving someone.

Board recruiting is challenging for any nonprofit, whether large or small, urban or rural. There are no “magic bullets,” but there are ways to increase the chances of attracting and securing the right people for the need. While connections are great, don’t be limited to who your current board members know. Follow the process—from identifying needs to evaluating candidates—and you’ll get the right people.

Post Author

Tom Morley - Managing Director, Snowflake Consulting

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Contact Tom or NANS V for more information.

Do You Know Your Donors?

Wed, 01 Jun 2022 15:50:40 GMT

Connecting with the people when asking for cash

Near the beginning of the pandemic, I heard a surprising number of nonprofit leaders expressing dismay when talking about the situation at hand. They were saying things like: "We can’t ask donors for money right now, everyone is struggling."

It was difficult for me to sit back and bite my tongue. Yes, I’m that person... unsolicited advice is my jam! What I wanted to say (or scream, whatever) is: That’s sooooo wrong!

What struck me was the thought that many nonprofits don't really know their donors. When they ask individuals and families for contributions, they're often making a blanket ask instead of imploring them to give according to their level of ability. They're only asking for basic information like name and contact information, and not getting more significant details. In addition, they're not keeping track of their donors in a meaningful way.

Here’s why these things matter:

If a nonprofit sends a mass e-mail or direct mail letter that asks recipients to contribute by checking a box and chucking a check at you for $25, $50, $100, $1,000, or any other amount, they will more than likely opt for the lowest amount (if they give anything at all). After they mail the donation, they'll never think about it again.

When nonprofits get in touch with prospective donors personally and talk about their goals and plans to achieve them, and get really excited about their organizations and missions, people are much more likely to give at higher amounts. Donors will also want updates to see if organizations accomplished the goals... and they'll remember!

There's significant r esearc h showing that households that earn between $100,000 and $1,000,000 tend to donate about 4% of their annual income to charities. If a nonprofit that interested me said that directly and left me to think about, I’m not sure what would happen next... but I know I'd start to rethink my measly $100 donation.

When collecting information about donors – at least the donors a nonprofit believes are capable of giving more than the average community member – organizations need to think outside of the box. The more connections they can make to individual contributors, the better. When they know the company a donor owns, they can set up a Google alert so they can send a congratulations note when it's in the news. If they find out when a person's birthday is, they can send a card. Personalization matters - the more nonprofits remember their donors, the more their donors will remember them.

Good information also helps nonprofits determine the right time to ask for donations (and when not to ask), as well as the right amount to ask for. It’s possible they’ll also be able to see if donors might be good volunteers or board members. If a person's Facebook shows he/she is an avid golfer, perhaps they'll be perfect for sponsoring that golf tournament fundraiser, leading the event committee, and/or participating and bringing their friends! It’s a lot harder to say "no" when someone calls and makes a personal "ask" that aligns with an individual's interests than it is if the request is a generic form letter.

If you're like me, chances are you can barely remember what day of the week it is, let alone remembering every potential donor, where they work, where they live, their hobbies, and everything else you’ve found out about If you are that special person who can remember all that, you won't live forever, or you'll move on at some point - and your organization would benefit from having your knowledge! For nonprofits, this means having some sort of donor software or other way of tracking the people you’re asking for donations (here’s a site comparing top donor software platforms ). I highly recommend getting someone with a high level of software comprehension to set one of these up for so they can customize the donor profiles and dashboard for maximum engagement and ease of use and comprehension for your staff.

Last bit of advice: When you feel like the world is upside down and everyone is suffering, that's the perfect time to invest in your organization and its programs more heavily (think of it like the stock market - when everything comes crashing down, that's when you buy)! Communities look to nonprofits to be leaders in helping people in need - to step up to the plate - when times are tough, and they're willing to provide support!

Post Author

Jennifer E. Goldman, ASBC - President, Resonance, LLC

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Contact Jennifer or NANSV for more information.

Listening to the Community

tom.morley@snowflakellc.com (Tom Morley) — Fri, 08 Apr 2022 09:06:47 GMT

Why and how to "go outside" in strategic planning

Every organization has a future to plan for, with many moving parts. Non-profits, whether they aspire to help more people, offer more services, increase program quality, or just “stay afloat,” have two options: “wing it,” or develop strategic plans that will guide board decision-making and provide blueprints for tomorrow. The former relies squarely on hope, while the latter prepares organizations to accomplish things in coordinated ways. Strategies integrate program, reach, capacity, and related ambitions with elements like marketing, fundraising, capital assets, technologies, internal efficiencies, workforce, and leadership. Done well, they’re road maps that keep everything together and support board choices that will stabilize operations and advance missions in well-informed, responsive, fiscally responsible, and risk tolerant ways.

Sound strategies require understanding the environment—populations’ needs, stakeholder concerns, external conditions, etc. In our 2021 Board Governance Survey with VAFCC, more than 80% of respondents affirmed their strategic plans account for these things. However, just one quarter said they actually engaged past, current, and potential patients, partners, corporate donors, community leaders, or others who may have relevant perspectives to obtain the necessary information. How, then, did leaders that didn’t solicit input beyond their clinics’ walls arrive at their conclusions? There is often data available that can be used to understand trends but, while important, it can’t tell the whole story. To fill the gaps, it seems safe to assume these board members and executives relied on their own perceptions.

Of course, incorporating leaders’ knowledge is useful, especially when they’re well-positioned to observe and have the ability to interpret internal and external conditions. It’s just that it’s not enough. Boards and executives, for example, can’t fully understand customers’ preferences or levels of satisfaction without actually asking. If they’re not listening to stakeholders, they may miss opportunities to develop meaningful collaborations with other non-profits, establish or strengthen funding relationships with corporations and foundations, or find new sources of volunteers. They may misinterpret how local government and relevant agencies envision their non-profits' roles in their communities and improve how they work together. These aren’t minor points. Understanding these types of things is essential to a well-rounded, effective strategy.

Let’s look at an example. Consider the case of one of our recent human services clients that assists people with emergency needs and keeps seeing the same customers, month after month. It lacks the resources to help them get beyond their current life situations and “off the system.” We undertook extensive background research as the first step the planning process, a significant part of which comprised gathering input from other nonprofits in the area, local officials, customers, and the broader community. One key result was learning, straight from the source, some surprising needs and barriers impeding access to services. Another was finding many organizations willing to participate in a network of end-to-end support meeting a range of urgent needs while also offering integrated pathways to stability and self-sufficiency.

Our client would not have known this important information if it had only included its board and Director. By extension, its strategy wouldn’t have been fully responsive community needs and preferences, and it would have missed out on a great opportunity to do more, for more people. This is just one of many cases that clearly demonstrate not only the value but the necessity of engaging clients, partners, stakeholders, and others outside of organizations developing strategies. Non-profits that get outside of their “board bubbles” are better positioned to create sound, well-informed, and well-rounded strategic plans than those that don’t. In a nutshell, that's the point of investing in strategy development. Why waste time and money on initiatives that aren’t going to lead to deliver a brighter future for your non-profit and community?

How do you engage outside your non-profit in strategic planning? There are five basic steps you’ll want to take. It’s generally a good idea to engage an outside, objective, third-party consultant party to help you along the way, but some of these things you may be able to do on your own to get started.

Study the “market.” Make a list of key groups who have inputs to provide. This will typically include customers, stakeholders, prospective partners, and the broader community.

Decide on an approach. Individual interviews, focus groups, and surveys are great options. Choose from among them to get the best information from each category, as efficiently as possible.

Think through what you want to know. Regardless of the approaches taken, consider what data points are most important to you, and design standardized questions to get this information.

Make the connections. Reach out to partners and stakeholders individually. Publicize focus groups and surveys in multiple ways. Build your audiences to generate sufficient responses.

Step back from the process. Get someone independent of your non-profit to ask the questions and analyze responses. You’ll likely get much more out of engagement with an objective take.

You shouldn’t make strategic decisions in isolation. There are voices beyond your organization’s walls with inputs—perceptions, challenges, ideas, and suggestions, and you will benefit from listening to what they have to say. Your non-profit’s future will thank you for it, and so will the population(s) you serve.

Post Author

Tom Morley - Managing Director, Snowflake Consulting

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Nonprofit Board Fundraising

tom.morley@snowflakellc.com (Tom Morley) — Wed, 02 Feb 2022 16:44:13 GMT

Why it needs to be done, and how to make it happen

“You need to be fundraising.”

Consultants regularly provide this guidance to nonprofit boards reluctant to get involved in fundraising. Prospective members often walk away when they’re informed “give or get” is a requirement. Executive Directors get frustrated when the imperative is altogether ignored, and they don’t get any help with building the kind of relationships with sponsors and large donors needed to support their organizations. Fundraising is a burden many boards and their individual members really don’t want to embrace. Sometimes, boards don’t understand why it’s important or accept it’s their responsibility. When they do, the “give” expectations are often financial commitments people can’t, don’t want, or don’t think they’re able to make, and the activities involved in the “getting” understandably fall outside of their comfort zones.

To be sure, there are boards that do “get it,” at least to an extent, and do accept responsibility for fundraising. In VAFCC’s 2021 Board Governance Survey, for example, nearly 60% of respondents indicated their boards have fundraising committees. Members contribute money directly at 70% of the organizations (the “give”), and about 60% told us people are leveraging their networks for donations (“the get”). In the same survey, however, more than half of participants viewed board engagement in fundraising as a top challenge and, when presenting to sponsors and major donors, board members regularly participate at just 10% of their nonprofits. This situation isn’t unique to our survey population. Studies suggest that a significant number of boards don’t adequately support their nonprofits’ fundraising needs.

Every board should play a significant role in fundraising, preferably through both direct contributions and solicitation of institutional and individual gifts, for several reasons:

Member giving is a tangible expression of a board’s belief in and commitment to the nonprofit’s mission. It lends a degree of credibility to the organization’s donor development efforts—both for routine individual outreach by staff and when members are trying to leverage their networks for more significant gifts. Nonprofits don’t have to answer: “If they’re not giving, why should I?”

When members are financially invested in a nonprofit, they’re often more willing to do what it takes to ensure the organization is successful and sustainable. It’s not a prerequisite—there are certainly people on boards who will have that attitude anyway—but it can change the mindsets of members who may otherwise not meaningfully participate in governance and support activities.

Corporate sponsors, foundations, and other institutions may not fund nonprofits that can’t show all of their members financially supporting them. For many funders, it’s about credibility. They seek confidence boards are unified and fully engaged in pursuing the organization’s best interests. For reasons like those above, member giving can be a good proxy that helps provide these assurances.

Board members typically have good reputations in their communities. Leveraged on behalf of nonprofits, individuals’ public standing and visibility provides legitimacy in addition to success stories, statistics, etc. Those who have extensive social and business networks can explore them to find what can be key funding sources, as well, directly or indirectly through follow-on connections.

Given the importance of board fundraising, it’s perhaps surprising that a good number don’t really get involved. The hesitance can be traced back to a few different issues. As mentioned above, the “give” can be imposing, and members sometimes feel they are already doing something for their nonprofits by volunteering on boards. At the same time, the alternative—the “get”—can be an intimidating challenge they’d rather not take undertake (making the “sale,” after all, doesn’t come naturally to everyone). It can also take significant time to prepare, appear at events, visit potential sponsors, etc. If not well-coordinated and directed, many members will simply not put in the necessary effort. Fundraising needs to be part of the “fabric” of the board. Here are some ways to make it easier to take on the responsibility.

Set a realistic but meaningful “give or get” requirement - For ownership to legitimacy, all members should be contributing financially. The amount should be an “investment,” but it shouldn’t be imposing. The “or” option helps play to individual strengths.

Establish and empower a Fundraising Committee - This is an “easy win,” but it’s important to give the committee a specific charter centered on prospect identification, coordination and preparation, follow-up, and retention activities.

Get marketing skills on or available to the board - Ideally, boards will have a member experienced in donor or customer engagement to guide their fundraising effort. If not, they should use a staff member or volunteer, or consider outside help.

Give members the direction and tools they need to fundraise - Boards need to make it easy for their members. Providing specific “who, what, when” instructions and a “tool kit” with the resources they need for outreach and to engage their networks is essential.

Don’t leave the Executive Director alone on fundraising pitches - Make sure there’s a board member involved in every outreach effort. As discussed, boards give important credibility to nonprofits—when they show they care, sponsors are more likely to as well.

Keep the board visible at the clinic and in the community - Presence alone can send a clear public message. All members should be at the nonprofit’s key events, and boards should also have representation at events in which the organization participates.

Boards need to give fundraising the importance it deserves—it should be emphasized as an essential function. Care should be taken to ensure that it doesn’t become its sole focus, to the point at which governance and strategic responsibilities are no longer the main priority. However, when fundraising is given the proper attention and boards set expectations, coordinate efforts, and support members and staff in their efforts, and each individual is given and embraces the message they are there to serve the nonprofit in the most effective ways possible—not just to “make up the numbers”—it will pay off. Quality and quantity of member participation will increase, public image will improve and, of course, nonprofits will get more institutional sponsors and major funders. For your future, get your board involved!

Post Author

Tom Morley - Managing Director, Snowflake Consulting

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Diversifying Your Nonprofit's Board

tom.morley@snowflakellc.com (Tom Morley) — Tue, 11 Jan 2022 22:00:39 GMT

Integrating representative people and perspectives

Over the last decade, organizations have grown increasingly concerned with “diversity.” Along with high-profile corporate statements of commitment, some states have passed or proposed laws enshrining diversity requirements for boards and executive leadership, and the number of jobs dedicated to diversity in the workforce has grown almost three-fold since 2014. [1 ] In the midst of this push, though, nonprofits have been relatively inactive in pursuing diversity. One recent study, for example, showed that nonprofit chief executives and board members are overwhelmingly white, with disproportionately low representation from all other racial and ethnic groups. While nonprofit leaders say they recognize and aren’t satisfied with the lack of diversity across the sector, however, there are few signs of movement. [2]

In a 2021 Board Assessment conducted by Snowflake and the Virginia Association of Free and Charitable Clinics (VAFCC), nearly half of respondents indicated their boards do not adequately reflect community and client demographics. [3] There are many potential reasons, including but not limited to complacency, failure to understand the population and recruit with purpose, lack of diversity in local candidate pools for sought-after professions or skill sets, and challenges reaching certain groups. Many boards don’t fully appreciate the benefits of diverse representation, and don’t understand what meaningful diversity actually looks like. It isn’t about “checking the box” for self-satisfaction and reputation. Rather, it’s to recognize the population’s needs, barriers, etc. and enable more informed governance decisions.

It’s easy for boards to be self-contained “bubbles” focused on what the collective membership thinks is important based on their own individual experiences (especially when they don’t proactively seek out external input, which doesn't happen as often as it should). [4] When Boards are “out of touch” with current and prospective clients and stakeholders, they risk misunderstanding community priorities, challenges, concerns, etc., and can't accurately convey them to others outside of the organization or respond to them effectively in governance and strategic decision-making. Frequent public surveys are possible, but often infeasible. Instead, integrating the voices of those who are regularly interacting with a nonprofit—or aren’t, but should be—requires better ways to give them a seat at the table.

The idea isn’t to seek demographic diversity for diversity's sake, rather to pursue the “representative perspectives” of current patient and prospective client populations as well as the broader community. Integrating their viewpoints in deliberations and decision-making by seeking out individuals who can speak to the needs of those most affected by the nonprofit’s services, outcomes, future direction, etc.—whether they’re from different racial, ethnic, economic, social, and/or other groups—can greatly enhance board effectiveness. In fact, it’s been clearly demonstrated that boards incorporating the people most connected to their nonprofits are able to have richer discussions, make better choices among governance options, and gain access to more community resources, including new donor pools. [5]

If you’re one of the 50% of nonprofits that feels your board isn’t diverse enough,[6] don’t panic and go try to find someone from every racial and ethnic group out there. You don’t have to diversify just because everyone’s doing it. Diversity is at its best when it embodies your key stakeholders—clients, donors, and the community. Be purposeful about it. Take the time to understand the people who are, or who should be, engaging with your nonprofit in different ways, and consider different options to involve them. You can, for example:

Establish a seat or two for a current or former client(s) and perhaps a typical individual donor. Ensure recruiting reaches and encourages potential candidates to participate.

Set up an Advisory Board comprising existing and prospective clients, donors, and stakeholders. Hold regular meetings with Advisors for their opinions and guidance.

Solicit perspectives from clients, representatives of the donor base, community members, and key stakeholders. Set aside a dedicated time in every board meeting to hear them.

Assign a board “ambassador” role (e.g., a committee) that will interact with a broad cross-section of the local community. Set up a schedule for reporting back to the board.

These are just some of the ways boards can involve diverse demographics and roles interacting with their nonprofits in governance and strategy, either by allowing for direct representation on the Board of Directors or establishing listening mechanisms that can be continuously leveraged (not just “once in a while”). Whatever approach you choose, make it a top priority—a critical component of discussions and decisions (and even enshrine it in a diversity policy). If you get it right, you’ll have a better board and a more impactful nonprofit.

[1] Estrada, S. “D&I roles more than doubled since 2015, report says,” HRDive, https://bit.ly/3z1oiQc (Jul. 2020, ret. Dec. 27, 2021).

[2] “Leading with Intent: 2017 National Index of Nonprofit Board Practices,” BoardSource (2017), pp. 9 – 10.

[3] “Summary Report on Board Governance Survey,” Virginia Association of Free and Charitable Nonprofits (2021).

[4] Ibid.

[5] “Ten Things to Know About Board Diversity – Lessons from ‘Building a Diverse Board of Directors: Turning Intention into Results,’” Maryland Nonprofits, https://bit.ly/3JmNk0V (Dec. 2019, ret. Dec. 27, 2021).

[6] VAFCC (2021).

Post Author

Tom Morley - Managing Director, Snowflake Consulting

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Contact Tom or NANSV for more information on this important topic.

Getting Ready for What's Next

Thu, 01 Apr 2021 12:33:20 GMT

Four steps to a post-Covid strategy

Although no one knows exactly it will be fully behind us, the Coronavirus pandemic appears to be in decline. It’s time for non-profits to plan for the future, a luxury they didn’t have when Covid-19 reached our shores. In our previous post, we presented seven things to consider as the country emerges from “Covid conditions,” touching on aspects of client demand, service delivery, workforce and workplace change, donor engagement, communication, and collaboration. Now, our attention turns to integrating these and other, related factors into strategic thinking about how to prepare for what comes next.

The graphic below shows the four key steps that need to be part of non-profits’ post-Covid planning, and is followed by a brief description of each element.

1. Look and Learn

As we’ve stated before, non-profits shouldn’t be thinking about going back to “old ways.” Most organizations have tried new different things as part of their pandemic responses, and this is the time to internally assess what worked, what didn’t, and why. Learn from your adaptations. Were you able to serve more people, in more ways? Did you stay consistent with your mission? Did any of your changes demonstrably sustain or improve program outcomes, client access, workforce cost-effectiveness, donor engagement, and/or internal efficiency (for example, is there evidence that virtual interventions work as well as in-person)? Understanding your successes and the practices that didn’t deliver is critical information for planning your approach to the post-pandemic future.

2. Ask and Explore

Your internal evaluation may suggest program, delivery, and outreach modifications produced the same or better results than pre-Covid practices. However, this may not tell the entire story, as demand will be dynamic, client expectations and preferences may be shifting, and the public may not be fully aware of how you’ve changed and what you’ve accomplished (for example, clients might like mobile services vs. going to a fixed site). How can you know? Simply put, ask! Go straight to the sources and find out what clients need and want, what donors (new and old) want to see and hear about, and what the public knows. Also, talk to your peers—what are they doing? What opportunities are there to maintain pandemic-era collaborations, or start new ones now?

3. Create and Balance

Evaluation and exploration will provide key information to inform strategy, but they don’t create it by themselves. Ideas and decisions that leverage best practices and correctly interpret lessons learned will define your future. Consider these things, and generate ideas that will increase your value to the community through the best mix of pre-pandemic practices, Covid-era solutions, and post-pandemic opportunities (e.g., collaboration with other non-profit, government, and business partners). You’ll need to assess cost-effectiveness and resource feasibility in a complex budget environment, while taking advantage of opportunities to increase income and reduce expenses. There will be tradeoffs, but also ways to be significantly better for the population you serve.

4. Prepare for Change

Post-Covid strategy demands readiness for transition. Program priorities, delivery methods, and outreach plans may necessitate redefining jobs and re- and/or cross-training employees and volunteers to both meet existing needs and increase flexibility for shifting demand. Maintaining virtual services and/or keeping some portion of your workforce remote will require establishing an adequate technology infrastructure. Funding will also be essential—especially as Covid grants expire, and everyone will need to be involved in informing donors and sponsors plans, impacts, and financial needs. The process of setting up frameworks for community collaboration has to start right away. These are just some of the immediate preparations you’ll need to make for the future.

Does this sound suspiciously like “strategic planning?” It should, and the time is now. Anticipating how demand will change in a dynamic environment will be more challenging than usual, but that can be overcome with: (1) Detailing a shorter time horizon in a longer-term context, (2) Considering scenarios, and (3) Constantly reviewing data (e.g., program and delivery use, demographic, and economic trends) to make informed adjustments. More than ever, strategy can’t be a static exercise. There are uncertainties, certainly, but the steps outlined above will ensure you won’t be caught off guard, but are ready for what comes next.

Post Authors

Tom Morley - Managing Director, Snowflake Consulting

Dawn Devine - Executive Director, Shenandoah Valley Discovery Museum

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Emerging from the Pandemic

Thu, 25 Mar 2021 14:08:48 GMT

Seven things for nonprofits to consider

Most nonprofits have been greatly affected by the Coronavirus pandemic. Organizational responses varied and, in many cases, they were reactive to events on the ground, which happened quickly and often in unexpected ways. As difficult as Covid has been, there finally seems to be a light at the end of the tunnel as vaccines become more widely available. Nonprofits will again need to respond to an evolving environment but this time, there is a window to think strategically, even though the future has uncertainties. Looking backwards is a mistake. It’s a different time, full of challenges as well as opportunities to accomplish more.

Key Things to Keep in Mind

1. Client demand won’t be settled for a while.

Needs changed during the pandemic, and many non-profits had to re-prioritize and even add new programs. Post-Covid, demand will be dynamic—lagging with economic recovery and shifting as conditions evolve. Non-profits need to assess their portfolios and respond strategically, staying consistent with their missions while correctly interpreting and adapting to a rapidly evolving world.

2. Pandemic delivery changes are future opportunities.

Covid brought immediate, unforeseen restrictions on delivery. As in-person becomes feasible again, adaptations made shouldn’t necessarily be discarded. Virtual programs, on-line resources, mobile options, and other methods may be more cost-effective, and can increase scope and/or coverage. Non-profits should align with clients' preferences, while evaluating results vs. required resources.

3. Staff and volunteers may have new responsibilities.

Furloughs occurred during Covid, roles changed with program re-prioritizations, and many nonprofits cross-trained to alleviate shortages in the face of evolving demand. Staff will need to be re-integrated and/or hired, but the work may be different. Assessing requirements, redesigning jobs, and leveraging flexibility from building knowledge across programs and operations will be essential.

4. The remote workplace may be a long-term solution.

For safety reasons, many people moved to remote work during Covid. There were challenges, but also has significant potential, from job satisfaction to reducing the “office footprint.” Non-profits should consider long-term possibilities, weighing staff preferences, productivity, technology and equipment investments, job requirements, and savings opportunities for their organizations.

5. Donor engagement is more important than ever.

The economy forced some “traditional” donors to hold back. Perhaps surprisingly, however, some gave more, and new people also stepped up. As things improve, non-profits need to get past contributors back, sustain higher donation levels, and keep who they’ve added. Outreach will take “all hands,” but the effort invested should lead to a larger base providing more steady income.

6. The need for communications can’t be overstated.

Clients, donors, partners, the general public, and even staff may have known a non-profit pre-Covid, but they may not see how programs, accessibility, and other aspects are changing post-pandemic. Getting the word out about new services, ways to interact, impacts and financial “asks,” etc. will be critical. For some non-profits, messaging may even require re-branding to reflect their evolution.

7. Building on collaboration will increase capacity.

One positive aspect of the pandemic is that it spurred conversations among nonprofits that haven’t always happened. They connected to share challenges and responses, and collaborated to ensure that clients received the help they needed. These interactions should be continued and built upon post-pandemic, so the entire non-profit community is working together to best serve the public.

For most nonprofits, the challenge isn’t simply deciding “when” to “re-open,” but also “how.” The seven considerations discussed above are intricately connected—no change occurs in a vacuum, and actions need to be carefully coordinated. As such, this isn’t the time to be reactionary and attempt to respond “on the fly” once things have already happened. Post-Covid modeling and adaptive strategy is essential, and there’s no better time than the present to come up with one. It’s a new world out there, and there is great potential for non-profits to be even better resources for the populations they serve—if they get ahead of the curve.

Post Authors

Tom Morley - Managing Director, Snowflake Consulting

Dawn Devine - Executive Director, Shenandoah Valley Discovery Museum

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C ontact us to learn more about the planning for the post-Covid environment.

Read our follow-up post, Getting Ready For What’s Next: Four Steps to a Post-Covid Strategy

Text Marketing for Nonprofits

Thu, 17 Dec 2020 12:27:19 GMT

SMS and MMS: More tools in the toolbox

Nonprofits can use Text Marketing to text donors about fundraising events and activities. They can use the use the keyword to ask people to text words like "donate" to get a link to a donation page, use text to coordinate volunteers to help when needed, and reach out and communicate with those in need through their mobile devices.

What is text message marketing?

Text message marketing, also referred to as SMS marketing, is the act of sending information about events, services, changes, activities, successes, etc. and providing calls to action to your key stakeholders via text message. Nonprofits can not only can use SMS text messaging, for messages less than 160 characters, but also MMS (Multimedia Messaging Service), which enables more text and also use of pictures and videos to communicate messages.

It’s often referred to as Mass (or Group) Texting, which allows organizations to reach key groups en masse by composing and distributing one text message or text campaign. This is not group texting like you can do on your personal cell phone. Messages are sent to each person in the group individually, and each text can be personalized with names and other custom, personalized data fields that appeal to individuals directly.

Why text message marketing?

Text message marketing, also referred to as SMS Marketing, is currently the most effective way for nonprofits to reach their donors, volunteers, and clients. Did you know that text messages have nearly a 100% open rate? Many people will ignore phone calls, emails, and social media messages, but not texts. The use of targeted and personalized text messages to solicit donations, update donors on events and activities, coordinate volunteers, and keep clients informed has quickly becoming the most effective way to get your message heard.

According to the New York Times, Americans check their cell phones an average of 80 times per day. That’s about once every 12 minutes! Most people have their cell phone within arm's reach, even when they are sleeping. By texting information, you can be assured your target audiences will get your message, read it, and respond. Today, it's the number one way to increase engagement - you can reach the people you need to contact quickly and easily, and 45% of text messages are responded to within 90 seconds!

Learn more

Eight Reasons Why Text Message Marketing is Very Effective and How to Start

Using text messages to communicate

Here are five ways nonprofits can use SMS and MMS marketing:

1. Promote Fundraising Events

Text marketing is a fast, low cost, and easy way to tell people about events. Create a message and send it to all of your past donors and other targeted groups with just a few clicks. Send pictures along with links to your website.

2. Send Thank You Texts

Let your donors know that you appreciate their support with SMS automation for their donation or for attending your event. Remember, texts can be customized to individuals, so it appears you're contacting them personally!

3. Organize Volunteers

Easily coordinate all of your volunteers by creating bulk messages that can be personalized and sent to each person individually. You can then carry on a two-way conversation (not "reply all") with anyone who responds.

4. Follow Up With People You Have Helped

Schedule automated text messages to follow up with clients who have used your services over a set period of time. When someone answers, you can have direct exchanges with them, follow their progress, etc.

5. Capture New Leads

Ask recipients to text a keyword to donate or receive additional information automatically. You can also integrate your existing website and contact form into your text messaging service, to make it easier for people to engage.

Post Author

Greg Armfield - President, TextP2P

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Contact Greg for more information.