I had the good fortune to hear Paul Light speak at the Nonprofit Governance Conference in Tacoma at the end of October. (Thanks to the event organizers at The Nonprofit Center for the opportunity!) Light is a senior fellow at the Brookings Institute, an author, and longtime cheerleader/critic/advisor of the nonprofit sector. He proposes choosing a future of Rejuvenation for the nonprofit sector, and he issued a challenge to each one of us to do things differently to claim that future. Here’s my rendition of Paul Light’s take on Rejuvenation and how technology fits in.
4 Possible Futures for the Nonprofit Sector
In Paul Light’s view, there are 4 potential outcomes of the current economic downturn:
1) Miraculous rescue (still waiting?)
2) Whither (organizations take a series of steps designed to keep going — cut programs, shed employees, reduce pay and benefits — resulting in a gradual erosion of morale and effectiveness)
3) Winnowing (15% of small businesses have gone under during this Depression. If the nonprofit sector mirrors that, it means the loss of 100,000 nonprofit organizations through mergers, dissolution or mothballing.)
4) Rejuvenation (we take action to get engaged, be more effective, find a voice as a sector, take the opportunity to clarify value proposition, and other proactive steps)
4 Things to do to claim a future of Rejuvenation
If you, like Paul Light and the rest of the nonprofit leaders in the room on 10/30, choose Rejuvenation over the alternatives, Light suggested 4 things to do next week to position your organization for a robust return:
1) Scrub down your organization in a meaningful, deliberate fashion. Look at programs and positions that have been added over time and reexamine the need for them. This is not withering — show courage, be deliberate, emphasize productivity over efficiency. Cut to produce more versus to cost less. Identify metrics, hold yourselves accountable, be diligent.
2) Talk about brand identification. Be clear about your theory of change and your value proposition. Look with a fresh eye at whether it’s reflected in what you say to the world about what you do. What does your Web site say — does it reflect the theory of change? Measure results to make the case about your success. Only 11% of donors surveyed in March 2008 believed that nonprofits spend money effectively. Let’s make it clear what we’re up to.
TECHNOLOGY NOTE: Web sites are critical for brand identification and to fundraising. And databases and other technology tools are critical for measurement and tracking of results.
3) Make sure your organization has the resources to succeed. Shake the poverty mentality! Make investments for the long term, rather than spending from savings simply to close a revenue gap. Work together — where is our voice at the state capitol?
TECHNOLOGY NOTE: Nonprofits need and deserve gear that works. For one thing, “Generation Nexters” or Millenials insist on it. If we want to attract young talented people to the sector, and retain them, we must provide the technology tools for them to function effectively.
4) Develop pride. Reinforce your mission statement every time you meet internally or externally. Say it out loud: “We’re out there to make a daily impact.” Teach Board members to show thanks to staff and respect for the mission and accomplishments of the organization at every meeting. Create esprit de corps through conversation about why you’re there, why the work matters to you. Talk about faith in the possible, pride in the organization. Say it out loud: “I’m nonprofit and proud of it.”
Try it right now: “I’m nonprofit and proud of it.” Louder, I can’t hear you…
