Accelerate Your Impact: 10 Ways to Fuel Your Nonprofit's Fundraising Engine

Pursuant

Introduction

The only thing certain about the future is that it is uncertain. We’d all like to have a proverbial crystal ball and know exactly what is about to happen next. Unfortunately, that doesn’t exist. And if it did, our roles might be diminished because the essence of leadership is the ability to move forward in the tension between what we know and what we don’t.

One thing we do know is that the climate of fundraising is changing. What has worked in the past is not what will work today—or tomorrow. We must adapt. We must find new ways to apply the fundamentals of fundraising. Only then will we be able to overcome the mounting challenges of our work.

In order to accelerate change, we must become smarter fundraisers. Working smarter means assessing what’s working—and what isn’t. It means applying both creativity and analytics to ensure we are telling our story to the right people and giving them the chance to respond in measurable and meaningful ways.

This book was created with you, the nonprofit leader, in mind. My hope is that what you read will refresh and equip you. It takes a strong leader to put aside what’s always been done to make room for necessary changes, even if those changes are painful. We trust it will serve as a practical and actionable guide as you lead through change.

Despite the relentless challenges we face in acquiring, upgrading, and retaining donors, we have every reason to be hopeful about the future. This is our moment to influence fundraising for many years to come.

—Trent Ricker, Pursuant CEO

1

Rethinking a Culture of Philanthropy:

Key Concepts to Assess an Organization’s

Culture

Gary M. Cole

It’s not uncommon for fundraising practitioners to speak of the culture of philanthropy that exists within their organizations. The term itself has become quite popular in recent years. However, what is uncommon is an ability to collectively articulate what exactly the phrase means, how it looks, how it should be measured, and how those whom the organization serves may benefit from such a culture. As catalysts for change, development professionals have perhaps the best vantage point to view the entire organization. But in order to effect change and help create a philanthropic culture, an understanding of organizational culture is first needed.

Organizational Culture

There are two schools of thought on organizational culture. Some believe that organizations have cultures. Others believe that organizations are cultures. For the purpose of this chapter, organizational culture describes the attitudes, experiences, beliefs, and values of an organization. Simply put, the culture defines how things are done in an organization and how individuals within it interact with one another.

A Culture of Philanthropy

A culture of philanthropy refers to an organization’s attitude toward philanthropy and the development process. But in this instance, philanthropy refers to more than fundraising revenue goals. Practitioners must first understand the value of the organizational culture, the importance of philanthropy, the link between philanthropy and development, and the leadership roles for each of us in this process to truly understand how to create a culture of philanthropy. Even then, there are broader behaviors and practices that must be understood. Following are four key components that will provide a deeper dive into what kind of culture actually exists within your organization. Evidence of a strong culture of philanthropy typically includes:

demonstrated leadership at all organizational levels

authentic storytelling and a commitment to conversation with all stakeholders

mission-driven systems, staffing, structure, and processes

shared values and a collective commitment to a common goal

Leadership and Followership

Creating a culture of philanthropy within an organization begins at the top. The board’s level of engagement is a critical element of a strong philanthropic culture. How often the board meets, the style of the meetings, term limits and rotation schedules, board giving, and the activities of board committees send messages about the value placed upon the board’s leadership in philanthropy. Other critical factors are how the board chooses to measure progress toward mission, the impact of philanthropic efforts, and the importance placed on long-term relationships.

But it doesn’t end there. What’s also required is the ability to lead from the middle—or, quite frankly, wherever your position ranks in the hierarchy. Doing so provides all with the opportunity to impact positive change.

But there are specific aspects to leadership necessary to create a culture of philanthropy beyond the visible willingness of boards to engage in strategy, staff to counsel superiors, or managers to follow subordinates.

Governing boards and senior leadership are responsible for an organization’s administration and strategic direction. Where their sustained focus resides says a great deal about the existing culture, climate, and areas of perceived significance.

Philanthropic organizations have missions. They exist to serve society, not to simply provide employment for those working within them. Leadership must maintain a balanced focus on both the organization’s impact on society and its operational efficiency. Again, this does not stop at the top, but should penetrate deeply to all levels of the organizations.

Organizational attention drifts far too often. Focus shifts solely on operational efficiencies (the cost of raising a dollar is one example) and tactics, as opposed to measuring the intended impact on those served by the organization and society as a whole. Subsequently, without many noticing, board and internal conversations shift to the organization’s needs as opposed to societal needs. Philanthropic support becomes the answer to little more than budgetary gaps, as organizational strategy focuses on maintaining organizational profitability rather than serving others.

This diminishes the case for support and the role of philanthropic investments and those willing to make them, and it marginalizes fundraising practitioners as well. Being an efficient organization does not mean it’s more philanthropic.

Being an efficient organization does not mean it’s more philanthropic.

The responsibility then rests on the entire organization to maintain focus on the mission. Hanging plaques with the mission statement in offices or asking staff to involuntarily stand and recite the mission at staff meetings does not make an organization more philanthropic. Leading, regardless of your position classification, and following while living the mission creates a more philanthropic culture.

Storytelling

Purposeful and authentic storytelling is vital in any organization, but it is increasingly necessary in philanthropic organizations seeking to engage external support in order to advance the organizational mission. Consensus building, a shared vision, and inclusion in the process are required by both internal and external constituents.

Unfortunately, stories are far too often more monologue than dialogue. Gaining ownership of and commitment to the organization’s vision becomes much more difficult when leaders develop a vision for the organization without first soliciting feedback from all key stakeholders. Key stakeholders, who are critical to the success of the vision, are then relegated to the role of spectator rather than being engaged, respected, and active participants.

This practice creates both a disincentive for staff to offer feedback and a diminished desired to engage in the success of the organization with any degree of passion or enthusiasm. As a result, staff simply wait for further instructions before proceeding with any tactical assignment. The result for the organization is a less creative, less autonomous, and less committed staff.

The same concept holds true outside of the walls of the organization. Storytelling must be about meaningful, authentic, two-way conversations when engaging volunteers, advocates, and those willing to make philanthropic investment in the mission. We must spend more time being interested instead of simply trying to be interesting. Our stories must have a goal. They must be memorable, and they must be actionable.

Often organizations create communication plans that lack integration or goals. The plans are measured by the message being delivered as opposed to the message received.

Creating a culture of philanthropy requires that all within the organization speak the same language and tell the same story.

Creating a culture of philanthropy requires that all within the organization speak the same language and tell the same story. It requires that all messages and all communication channels become integrated to increase interaction, involve others more meaningfully in the life of the organization, enhance a shared vision, and create viral advocates for the cause. In short, philanthropic organizations are those that move from talking at people to talking with people—and they do so with purpose and intent.

Systems, Processes, Staffing, and Structure

How we organize ourselves also says a great deal about who we are and what’s important to us. There are a number of aspects related to organizational structure that contribute to enhancing an organization’s culture of philanthropy. Three aspects of utmost importance are staffing and structure, systems and processes, and reward systems.

First, examine your current organizational structure. Is it mechanistic and militaristic, or organic and flat? Does it encourage autonomy, decentralized decision making, teamwork, and collaboration?

Second, assess your job descriptions. Do your currently filled positions and their respective job descriptions accurately reflect your intended outcomes? In other words, do the roles delegated to staff reinforce your organizational objectives, or do they undermine them? We often assume the existing staffing and structure promote a culture of philanthropy when they actually promote a culture of charity. There is indeed a difference between the two, but what is it?

A culture of charity is set up