AFP Westchester NPD 2013 Looking in the Mirror: the Power of Strategic Development Assessment - Jose...

1Fundraising Development Services Strategic Consulting© 2013 CCS

LOOKING IN THE MIRROR:THE POWER OF A STRATEGIC DEVELOPMENT ASSESSMENT

Jose Barquin, Corporate Vice President

2Fundraising Development Services Strategic Consulting

Learning Objectives

1. Understand purpose, value, and context of a Strategic Development Assessment

2. Learn about components of an Assessment Report

3. Identify the steps in conducting a Strategic Assessment

4. Share best practices


About CCS

● CCS is a comprehensive fundraising consulting and management firm founded in 1947.

● Headquartered in New York with offices in Chicago, Washington, Boston, San Francisco, Toronto, London and Dublin

● Provides campaign design and management, development services and strategic planning and consulting

● In 2011, assisted 200+ clients with goals over $3 Billion

● Diverse client roster: - Hospitals and medical centers - Civic and cultural organizations - Colleges and universities - Environmental organizations - Religious institutions - Human services agencies


Recently Completed Development Assessments

● Africare

● City College

● Easter Seals NY

● Hawken School

● Hillel International

● The Jewish Daily Forward

● Manhattan Childrens Center

● UF College of Pharmacy

● UF Shands

● UNCG

● University of Florida Gator Boosters


Current Philanthropic Landscape

● Study reflects nationwide decline in charitable giving caused in part by factors that include:

– Political and economic uncertainty

– Financial insecurity resulting from the recession

● Findings indicate that charitable contributions to the top 400 charities are projected to decrease by 1% from $81.7 billion this year.

● The report represents implications for long-term sustainability of fundraising practices across the country.


Current Philanthropic Landscape (continued)

$3.16B in 2012 giving represents 3.5% increase from 2011


Purposes

● A Strategic Development Assessment is a comprehensive study that will help an organization ensure that they have the proper resources available to run a successful fundraising program.

● Analyze recent fundraising performance, systems, and/or staffing to:

Identify strengths, weaknesses, opportunities for growth Evaluates the competition the organization faces to generate financial

support Develop strategic steps and tools to solicit financial support in a cost effective

manner Assist in creating a comprehensive development plan Optimize and strengthen your development operation


Value

● Provides objective review of development performance, structures, practices and achievements

● Creates a road map to building fundraising capacity

● Determines where to focus resources in the short-term to ensure success in existing programs

● Develops long-term department objectives

● Demonstrates commitment to continuous improvement


Additional Value

● Highlights best practices

● Compares benchmarking data

● Presents organizational and staffing changes for effective results

● Maximizes potential of campaign


When should you conduct a development assessment?

● Change in department or organization’s leadership

● In connection to a campaign (can be completed prior, during, or at the conclusion)

● Desire to improve overall fundraising performance

● Commitment to benchmarking and creating best practices

● Reassessment of program after loss of a major funding source

● Increase in need for services


Assessment Methodology

DATA COLLECTION

• Collection of organization’s fundraising operational data

INTERVIEWS • A series of discussions with key stakeholders- board members- staff- major donors- other

STATISTICAL REVIEW AND ANALYSIS

• Gathering institution’s data and analyzing it• Assembling similar information from a wide range of like

institutions for comparative analysis• Research and provide other philanthropy data on sector

topic FINAL REPORT • Providing a comprehensive document including statistical

analysis, benchmarking and comparison and recommendations


Step 1: Data Collection

• Gather fundraising data for the last five years

By constituency (individuals, corporations, foundations, government)

By method (personal solicitation, direct mail, online, special events, planned gifts, etc.)

By gift level (necessary to develop gift tables)

• Other key statistical information

Board giving

Top donors (individual, corporate and foundation)

Past campaign information

Overall and development budgets

Special event results (gross and net revenue)

Direct mail results (renewal rates, cost , frequency, etc.)

• Accurate data is key!


Step 1: Data Collection

• Opportunity to collect additional supporting documents:

Organizational chart

Job descriptions

Annual reports

Collateral materials (brochures, proposals, etc.)

Board listing

Strategic plan

Fundraising plan


Step 2: Interviews

• Private conversations with:

Staff (executive leadership, development, marketing and communications, etc.)

Board members (President, development committee members, etc.)

Major donors

• Interview discussions include:

Position and responsibilities

Strengths and weaknesses of the development program


Step 3: Statistical Review and Analysis

STATISTICAL REVIEW

• Reports includes statistical review, analysis and comparison data

• The Statistical Review

Sets the stage for analysis

Presents a basic overview of most recent FY

Should always include the data source



STATISTICAL ANALYSIS

• The statistical analysis makes observations and conclusions by looking at the organization’s fundraising performance in a variety of ways

• For example:

Program growth and consistency

Program balance (by constituency and method)

Board giving

Gift levels

Private support as % of operational expenditures

Other areas for analysis?



STATISTICAL ANALYSIS: BENCHMARKING

• How do we choose organizations to benchmark our client against?

Peers

Aspirational

Highly successful in one area of practice

Our selections AND the clients opinion

• How do we get a hold of these organizations?

• Who do we contact peer organizations?

• What do we offer in return for benchmarking?



Brooklyn Friends School

Saint Ann's School

The Berkeley Carroll School

Lycee Francais de New

York

Calhoun School

Packer Collegiate Institute

Poly Prep Country

Day School

Collegiate School

Spence School

Dalton School

Trinity School

Horace Mann School

The Brearley School

$0.00

$1,000,000.00

$2,000,000.00

$3,000,000.00

$4,000,000.00

$5,000,000.00

$6,000,000.00

$480,122

$819,642$894,327

$1,012,378$1,033,893

$1,439,652

$1,555,794

$3,067,261

$3,122,946

$4,173,441

$4,585,673$4,635,761

$4,931,044

Example:



• When gathering and analyzing comparative data for an assessment report, we review philanthropy sites that produce surveys, and other data

Giving USA

The Conference Board

The Foundation Center

VSE (Voluntary Support of Education)

The Chronicle of Philanthropy

Center on Philanthropy at Indiana University

Committee Encouraging Corporate Philanthropy

National Association of Independent Schools


Step 4: Plan of Action

● Use the information gathered during the course of the development assessment to create a comprehensive plan of action:

Short-term goals

Long-term organizational strategies

Optimize and strengthen base of financial support

Reorganize department structure to optimize success without breaking the bank



Proceed into external study

Complete new staff hiring and

integration

Conduct comprehensive

wealth screening

Assign portfolios to

front line fundraisers

Re-calibrate staffing

functions

Example Plan of Action:



Director of Advancement

Executive Administrative

Assistant

Director of Development

Director of Annual Fund & Parent

Relations

Director of Alumni Relations & Events

Records, Research & Stewardship Coordinator

Database Manager

Example: Suggested staffing structure


Study Example: University of Florida

CCS has worked with the City College of New York on a Development Assessment, which included:

Individual meetings with key stakeholders – Board members, donors, others

Review and assessment of advancement methods/data

Landscape analysis – benchmarking with peer institutions


Typical Recommendations within an Assessment

Based on interviews, the statistical review, benchmarking against other like institutions, develop a plan for how your institution can become even better. These recommendations can be cultural, structural/organizational and operational in nature.

CULTURAL: Recommendations for creating/enhancing a “culture of philanthropy” at the institution (e.g. among the organization’s board, development department, employees, volunteers)

STRUCTURAL/ORGANIZATIONAL: Recommendations for reshaping the Development/Advancement effort. These could address the Development/Advancement Office’s org chart (structural/organizational perspective) as well as staffing (from a “people” perspective; is the department staffed sufficiently, are the right people in the right chairs, etc.)

OPERATIONAL: Recommendations for strengthening the Development/Advancement Office’s various activities (e.g. major gift effort, annual giving, employee campaign, etc.)


Questions and Discussion


Thank You!

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AFP Westchester NPD 2013 Looking in the Mirror: the Power of Strategic Development Assessment - Jose...

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