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Investing Time
in People
June 11, 2011
San Francisco, CA
FRAMING
   THE PROBLEM
Investing Time
in People
According to GivingUSA



1.8 million
NGOs in the United States
According to GivingUSA



1.8 million
NGOs in the United States

$380 billion
donated annually
According to GivingUSA



1.8 million
NGOs in the United States

$380 billion
donated annually

60%
comes from individuals
According to GivingUSA



1.8 million
NGOs in the United States

$380 billion   40% go to
                churches
donated annually

60%
comes from individuals
According to GivingUSA



1.8 million
NGOs in the United States

$380 billion       4% go to
               international aid
donated annually

60%
comes from individuals
It’s not about how much
MONEY is being raised –
It’s not about how much
MONEY is being raised –

It’s about how that
money is USED
1
#


We often focus on
increasing the amount of
money raised rather than
redirecting the money
already on the table to
higher impact models.
Survey of donors; Hope consulting



90%
care about the impact of their funding
Survey of donors; Hope consulting



90% - CARE
69%
got some information about the NGO before
donating (from friends or other sources)
Survey of donors; Hope consulting



90% - CARE
69% - ASK
33%
self-stated they did research
Survey of donors; Hope consulting



90% - CARE
69% - ASK
33% - RESEARCH
6%
said they compared the organization to others
Survey of donors; Hope consulting



90% - CARE
69% - ASK
33% - RESEARCH
6% - COMPARE
2
#


People don’t ask questions
and they donate because of
good marketing, brand
recognition, and friendships
rather than impact level.
Too many people are
relying on one metric to
evaluate NGOs
Too many people are
relying on one metric to
evaluate NGOs
     1992 Guidestar
     Internet growing; they dragged
     the 990s online
Too many people are
relying on one metric to
evaluate NGOs

     ~1996 Charity Naviator
     Brought the 990s in & ran reports on
     the numbers, spit out metrics based on
     overhead rations
Too many people
are relying on one
                                      3
                                  #
metric to evaluate

     ~1996 Charity Naviator
     Brought the 990s in & ran reports on
     the numbers, spit out metrics based on
     overhead rations ß now that is one
     metric driving decisions
Overhead Ratios
    still on general public’s collective
    consciousness


    creating a fair
    system is proving
    near impossible
4
#


There are >160 rating
systems on the TRASI
website. Rating systems
might not be the solution.
PLANNERS
PLANNERS   vs   SEARCHERS
PLANNERS          vs   SEARCHERS




Announce good
intentions but
don’t motivate
anyone to carry
them out
PLANNERS          vs   SEARCHERS




Announce good
intentions but         Find things
don’t motivate
anyone to carry        that work &
them out               get some
                       reward
PLANNERS         vs   SEARCHERS




Determine what
to supply
PLANNERS         vs   SEARCHERS




Determine what
to supply             Figure out
                      what’s in
                      demand
PLANNERS       vs   SEARCHERS




Apply global
blueprints
PLANNERS       vs   SEARCHERS




Apply global
blueprints          Adapt to
                    local
                    conditions
5
#


Funding is often tied to
“plans” and these plans
often require a short time
frame. It’s easier to plan for
THINGS than people and
NGOs often focus on things.
We can take a
picture of things
but not investing
 time in people.
We should
be investing
time in
people
to
  have the
capacity and
 connections
to reach their
own goals
6
#


Donors are scared to give
non-tangibles (esp.
internationally). Once again,
funding is then focused on
things.
7
#


Some religions focus on
“charity” and further imbed
the “giving things” mentality
into our cultures.
Don’t research




  Buy bad car
Don’t research




Car breaks     Buy bad car
Don’t research
 You can
 change your
 behavior in
 the future




Car breaks       Buy bad car
Don’t research




      SCHOOL




Fails, adds to       Invest in the
corruption, etc.     wrong thing
Don’t research
 You don’t
 usually
 know it!



      SCHOOL




Fails, adds to       Invest in the
corruption, etc.     wrong thing
8
#


People rarely know if they
give poorly and might make
the same mistakes over and
over if the feedback loop is
not closed.
9
#


Today, many organizations
with GREAT marketing are
selling the idea of giving
things away.
#
    10
We call it “marketing” but we
don’t realize we are
EDUCATING and selling
models of aid which have
sometimes been adjusted for
fundraising results.
#
    11
There is competition for
funds. Fundraising efforts
usually focus on the org/
individual rather than the
“model” or impact. Co-
marketing around “investing
in people” is rare.
#
    12
The critics who are talking
about these issues are not
using successful marketing
techniques
INTRODUCING
   THE PLAYERS


Investing Time
in People
NGOs
Donor Advisors
•    Keystone Accountabilities
•    Tactical Philanthropy
•    Effective Philanthropy
•    HIP Investors
•    FSG Consulting
•    Etc…
Rating Systems
•    Charity Navigator (overhead)
•    Philanthropedia (experts in the fields)
•    Great Non-Profits (like Yelp!)
•    GiveWell (very indepth, small number of orgs – for
     example, no water orgs as none fit their criteria)
•    Guidestar (auto pulls 990s – now feeds into many
     others)
•    Give.org (Better Business Bureau)
•    IRIS (Social enterprise impact – from Blab, Acumen,
     McKinsey, Rockefeller Foundation)
•    TRASI (“Tools and Resources for Assessing Social
     Impact - from The Foundation Center – lists 164
     Tools/Methods/Best Practices for assessment)
Fundraising Platforms




                  … and many more…
NGO Consultants or Impact-Maximizing Orgs

•    Root Cause
•    Compass Point
•    Pari
•    Purpose
•    Free Range Graphics
•    OTF Group (government scale)
•    The SROI Network
•    3iE (+ research)
•    SROI Network (improve their communication)

•  And more…. (graphic design, movement
   building, organizational development, impact
   measurement, etc)
Donor Facing Marketing Organizations

•    The Adventure Project
•    KIVA
•    charity:water
•    Etc…

•  Organizations which exist to market/fundraise
   for other organizations within a specific topic
   but are not responsible for implementing the
   programs themselves…
Foundations
•    F.B. Heron
•    Ford Foundation
•    Tides Foundation (in SF)
•    Threshold Foundation (in SF)
•    Sooooo many!
Research Groups
•    Poverty Action Lab (MIT)
•    Innovations for Poverty Action
•    Center for Global Development
•    World Institute for Development Economics
     Research of the United Nations University
     (UNU-WIDER)
•    Overseas Development Institute
•    Kiel Institute for the World Economy
•    Brookings
•    Development Research Institute (Easterly/NYU)
•    Etc…
Blogs
•  AidWatch (Easterly) - “The essential insight of
   Aid Watch is that more aid will reach the poor
   the more people are watching aid”
•  So so so many!
Coalitions/Networks
•  CGI (Clinton Global Initiative) Commitment
   Maker
•  Social Edge
•  Next Billion
•  ICOSA
•  Etc…
Movement Builders (for this topic)
•    PovertyCure
•    STRIVE (Collective Impact Movement)
•    SEVEN Fund (Research and more)
•    US?
FRAMING
    THE GOAL
Investing Time
in People
Organizations
     focusing on
“Investing in People”
   and sustainable
offerings which have
   a high positive
       impact




   Donors focusing
 their money on high
impact “solutions” to
the worlds problems
HOW
     CAN WE
    GET THERE?
Investing Time
in People
www.investingtimeinpeople.org

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Investing Time in People: Framing the Problem and Starting a Movement - June 2011

  • 1. Investing Time in People June 11, 2011 San Francisco, CA
  • 2. FRAMING THE PROBLEM Investing Time in People
  • 3. According to GivingUSA 1.8 million NGOs in the United States
  • 4. According to GivingUSA 1.8 million NGOs in the United States $380 billion donated annually
  • 5. According to GivingUSA 1.8 million NGOs in the United States $380 billion donated annually 60% comes from individuals
  • 6. According to GivingUSA 1.8 million NGOs in the United States $380 billion 40% go to churches donated annually 60% comes from individuals
  • 7. According to GivingUSA 1.8 million NGOs in the United States $380 billion 4% go to international aid donated annually 60% comes from individuals
  • 8. It’s not about how much MONEY is being raised –
  • 9. It’s not about how much MONEY is being raised – It’s about how that money is USED
  • 10. 1 # We often focus on increasing the amount of money raised rather than redirecting the money already on the table to higher impact models.
  • 11. Survey of donors; Hope consulting 90% care about the impact of their funding
  • 12. Survey of donors; Hope consulting 90% - CARE 69% got some information about the NGO before donating (from friends or other sources)
  • 13. Survey of donors; Hope consulting 90% - CARE 69% - ASK 33% self-stated they did research
  • 14. Survey of donors; Hope consulting 90% - CARE 69% - ASK 33% - RESEARCH 6% said they compared the organization to others
  • 15. Survey of donors; Hope consulting 90% - CARE 69% - ASK 33% - RESEARCH 6% - COMPARE
  • 16. 2 # People don’t ask questions and they donate because of good marketing, brand recognition, and friendships rather than impact level.
  • 17. Too many people are relying on one metric to evaluate NGOs
  • 18. Too many people are relying on one metric to evaluate NGOs 1992 Guidestar Internet growing; they dragged the 990s online
  • 19. Too many people are relying on one metric to evaluate NGOs ~1996 Charity Naviator Brought the 990s in & ran reports on the numbers, spit out metrics based on overhead rations
  • 20. Too many people are relying on one 3 # metric to evaluate ~1996 Charity Naviator Brought the 990s in & ran reports on the numbers, spit out metrics based on overhead rations ß now that is one metric driving decisions
  • 21. Overhead Ratios still on general public’s collective consciousness creating a fair system is proving near impossible
  • 22. 4 # There are >160 rating systems on the TRASI website. Rating systems might not be the solution.
  • 24. PLANNERS vs SEARCHERS
  • 25.
  • 26.
  • 27.
  • 28. PLANNERS vs SEARCHERS Announce good intentions but don’t motivate anyone to carry them out
  • 29. PLANNERS vs SEARCHERS Announce good intentions but Find things don’t motivate anyone to carry that work & them out get some reward
  • 30. PLANNERS vs SEARCHERS Determine what to supply
  • 31. PLANNERS vs SEARCHERS Determine what to supply Figure out what’s in demand
  • 32. PLANNERS vs SEARCHERS Apply global blueprints
  • 33. PLANNERS vs SEARCHERS Apply global blueprints Adapt to local conditions
  • 34. 5 # Funding is often tied to “plans” and these plans often require a short time frame. It’s easier to plan for THINGS than people and NGOs often focus on things.
  • 35. We can take a picture of things but not investing time in people.
  • 37. to have the capacity and connections to reach their own goals
  • 38. 6 # Donors are scared to give non-tangibles (esp. internationally). Once again, funding is then focused on things.
  • 39. 7 # Some religions focus on “charity” and further imbed the “giving things” mentality into our cultures.
  • 40. Don’t research Buy bad car
  • 42. Don’t research You can change your behavior in the future Car breaks Buy bad car
  • 43. Don’t research SCHOOL Fails, adds to Invest in the corruption, etc. wrong thing
  • 44. Don’t research You don’t usually know it! SCHOOL Fails, adds to Invest in the corruption, etc. wrong thing
  • 45. 8 # People rarely know if they give poorly and might make the same mistakes over and over if the feedback loop is not closed.
  • 46.
  • 47. 9 # Today, many organizations with GREAT marketing are selling the idea of giving things away.
  • 48.
  • 49. # 10 We call it “marketing” but we don’t realize we are EDUCATING and selling models of aid which have sometimes been adjusted for fundraising results.
  • 50. # 11 There is competition for funds. Fundraising efforts usually focus on the org/ individual rather than the “model” or impact. Co- marketing around “investing in people” is rare.
  • 51. # 12 The critics who are talking about these issues are not using successful marketing techniques
  • 52. INTRODUCING THE PLAYERS Investing Time in People
  • 53. NGOs
  • 54. Donor Advisors •  Keystone Accountabilities •  Tactical Philanthropy •  Effective Philanthropy •  HIP Investors •  FSG Consulting •  Etc…
  • 55. Rating Systems •  Charity Navigator (overhead) •  Philanthropedia (experts in the fields) •  Great Non-Profits (like Yelp!) •  GiveWell (very indepth, small number of orgs – for example, no water orgs as none fit their criteria) •  Guidestar (auto pulls 990s – now feeds into many others) •  Give.org (Better Business Bureau) •  IRIS (Social enterprise impact – from Blab, Acumen, McKinsey, Rockefeller Foundation) •  TRASI (“Tools and Resources for Assessing Social Impact - from The Foundation Center – lists 164 Tools/Methods/Best Practices for assessment)
  • 56. Fundraising Platforms … and many more…
  • 57. NGO Consultants or Impact-Maximizing Orgs •  Root Cause •  Compass Point •  Pari •  Purpose •  Free Range Graphics •  OTF Group (government scale) •  The SROI Network •  3iE (+ research) •  SROI Network (improve their communication) •  And more…. (graphic design, movement building, organizational development, impact measurement, etc)
  • 58. Donor Facing Marketing Organizations •  The Adventure Project •  KIVA •  charity:water •  Etc… •  Organizations which exist to market/fundraise for other organizations within a specific topic but are not responsible for implementing the programs themselves…
  • 59. Foundations •  F.B. Heron •  Ford Foundation •  Tides Foundation (in SF) •  Threshold Foundation (in SF) •  Sooooo many!
  • 60. Research Groups •  Poverty Action Lab (MIT) •  Innovations for Poverty Action •  Center for Global Development •  World Institute for Development Economics Research of the United Nations University (UNU-WIDER) •  Overseas Development Institute •  Kiel Institute for the World Economy •  Brookings •  Development Research Institute (Easterly/NYU) •  Etc…
  • 61. Blogs •  AidWatch (Easterly) - “The essential insight of Aid Watch is that more aid will reach the poor the more people are watching aid” •  So so so many!
  • 62. Coalitions/Networks •  CGI (Clinton Global Initiative) Commitment Maker •  Social Edge •  Next Billion •  ICOSA •  Etc…
  • 63. Movement Builders (for this topic) •  PovertyCure •  STRIVE (Collective Impact Movement) •  SEVEN Fund (Research and more) •  US?
  • 64. FRAMING THE GOAL Investing Time in People
  • 65. Organizations focusing on “Investing in People” and sustainable offerings which have a high positive impact Donors focusing their money on high impact “solutions” to the worlds problems
  • 66. HOW CAN WE GET THERE? Investing Time in People