nonprofits

Our environmental resources are diminishing, our economy is crumbling, and according to a Washington Post Breaking News Alert that came in as I was writing this, “more Americans are going hungry” (49 million to be precise). Even as our problems seemingly become more and more complex, we are also being asked to take the reins, to look to the future and to predict what’s next for the nonprofit sector. We know that business as usual (if ever there was such a thing) is no longer going to cut it and it seems we’ll never go back to our pre-crisis standing. So, how do we take hold of this moment in time, and what role will the rising generation of Millennials have in helping lead the change?

Earlier this month, the James Irvine Foundation released a new study, Convergence: How Five Trends Will Reshape the Social Sector.  In it, LaPiana Consulting outlines five ways the nonprofit sector will be redefining its role, noting that, “The nonprofit sector is at an inflection point that will fundamentally reshape it long after the recession, when surviving nonprofits find themselves in a new reality — not just economically, but demographically, technologically and socially.” The five trends focus on the following areas:

• Demographic shifts that redefine participation
• Abundant technological advances
• Networks that enable work to be organized in new ways
• Rising interest in civic engagement and volunteerism
• Blurring sectoral boundaries

While reading the report, I couldn’t help but reflect back almost two years ago, to the beginning of Social Citizens. As I worked with Allison Fine to develop the key themes of the report, you’ll find some commonalities.  Remember, our goal was to see how the future of the nonprofit sector was being reimagined through the lens of the Millennial Generation. We defined a social citizen as someone who is, “energetic and passionate about social causes; brimming with new approaches and ideas for problem solving; disposed toward sharing the responsibilities and rewards of affecting change in the world; and using digital tools and people power (on and offline social networks) to make it happen.”

We found some distinguishing characteristics of “social citizens” – let’s take them point for point in comparison to the above study.

• Demographic shifts: Millennials are the most ethnically diverse generation in our history
• Technological advances: Millennials are net natives, growing up with cell phones in tow
• Organized Networks: Millennials go against hierarchical structures and have adopted a new collaborative style of leadership
• Civic engagement/volunteering: Millennials are volunteering at the highest rates of any generation
• Sector Boundaries: Millennials are merging lines between for profit and nonprofit structures and concepts. Social activism has become a new marketplace where goods and services are exchanged not just for money and profit, but good social outcomes.

I applaud the Convergence report for pointing out what’s changing and what it will take to survive amid these changes, and I hope that as a sector we’ll begin to break down some of the generational boundaries that still abound.  Call me naïve or an idealistic Millennial, but there has perhaps never been a better time to experiment, to let go of the status quo, and to embrace new opportunities for change.  We need to look at the world through a new lens.

The rising generation has a lot of ideas, and we’re being invited to more tables as evidenced by the record number of NextGener’s who participated at the Independent Sector Conference earlier this month.  Since Millennials seem to be inclined toward the types of behaviors that will shape the future of the sector, don’t you think greater cross generational collaboration could help ensure a smoother transition? How can we continue to bridge these generational gaps and recognize we're all in this together? 

Since my recent post encouraging would-be nonprofit founders to think again before converting their passion and ideas into a 501(c)3, I have been excited to see the great conversation around this issue. Thanks to everyone who has weighed in thoughtfully on entrepreneurship, innovation and replication - those who gave me an amen, gave me a strong rebuttal and, last but not least, gave me a raise. Since this issue seems to have struck such a nerve and it's not as black and white as to found or not to found, I think there's still more conversation to be had about how we can achieve a balance that benefits society.

Geoff Livingston suggests rather than discouraging entrepreneurs, who we're not going to be able to stop anyway, we should help them be successful by providing education and resources. That was my thought with suggesting people pursue incubation or fellowship programs - so that new ideas and models can flourish with help - but the existing programs obviously will not accommodate all the innovators ready to start up. I agree that smart innovation and unique entrepreneurial ways of addressing social problems makes the sector stronger and keeps established organizations on their toes by challenging the status quo. But can we encourage the social innovators we need while redirecting people who have passion and ideas, but who would be more effective as part of an existing initiative?

I will also concede Colleen Dilenschneider's point that even if the new nonprofits fail, there's nothing like hands on experience to teach leaders what it means to run an organization. She cites a 2006 Bridgespan Group study, which says the upcoming leadership deficit in the nonprofit sector will require about 640,000 new senior managers in the next 10 years. No doubt experienced young people will be in high demand. But is there another way these Millennial leaders can capture this learning experience without spending charitable dollars to no other end than knowledge of how to do it better next time?

My colleague Eric Johnson added his thoughts as well, comparing the nonprofit and for-profit sectors. He suggests that as a nonprofit startup, it can be more difficult to know if you're making progress because we don't have great established metrics for success, market valuation, and other mechanisms of the for-profit world. And while many nonprofit leaders are starting to recognize that you have to treat donors like consumers, the structure is complicated because the people who are funding your work are often different, and may have different interests than, the people you are serving.

So what are some possible solutions? As Geoff and I talked more about it, we tossed around one idea. If nonprofits are charged with looking after the social health of our communities, like doctors are charged with looking after our physical health, why shouldn't nonprofit leaders have to be certified to operate? If we require something more of doctors than just a desire to make us well, should we require something more of nonprofit executives than just a desire to make a difference? People have to get licenses to do our taxes, to drive our cabs, to cut our hair, and apparently to collect our rags (see photo), but we are going to give them our extra income without having any guarantee they know how to use it effectively to make the world a better place?

In an ideal world, we would all do thorough research to see how effective organizations are before we give our hard-earned money to them, but the reality is most of us don't. The average person does not have Guidestar bookmarked and is not motivated to break his piggybanks because he sees a tightly run NGO. We don't check nonprofits' 990s, what executive salaries are or how much goes to overhead. Research has indicated that including that financial information in an appeal actually makes donors less likely to give than if they receive an emotional appeal alone.

I know increased regulation sounds like a big Debbie Downer, but it can protect and benefit both donors and nonprofit founders. Is it better in the long run if someone spends two years in a program learning how to run a successful nonprofit than if they spend two years wasting money and time, jumping in before they're ready? If we have a nonprofit version of Bill Gates, Steve Jobs, or Mark Zuckerberg, who have all achieved amazing success and benefitted society without even a college degree, it may not serve us to delay their brilliant innovations, so exceptions would have to be made, but most people fit the rule and not the exception. Maybe a license requirement is just another roadblock, but it's helped me to trust my dentist, my accountant and my stylist as professionals. I think we should brainstorm and consider ways to help steer and encourage people with entrepreneurial passion and ideas toward the smartest choices and the greatest social good.

Oh, what the good folks at United Airlines must have thought – just another little customer service mishap, nothing new. But, in the new world we’re living in, customer service mishaps take on a whole new meaning when everyone is a broadcaster, and the twitterverse is your stage.

Warning nonprofits: the concept of the “customer service experience” also applies to you! In fact, most donors stop giving to charity not because of financial problems, but because of dissatisfaction of how they were treated by the nonprofit. From too many emails, to not sending a follow up thank you note, customer service is important, and in the uber-connected world it’s as important as ever. Perhaps we can all learn a lesson about staying ahead of the game from a recent incident involving musician, Dave Carroll on a flight last March.

It’s always tough coming off of a holiday weekend – so, in an effort to ease back into the work week we thought it would be best to do a roundup of some of the stories that caught our attention, got us thinking, and were worthy of passing along.  Also,  what's a "good read" in your feed right now? Please share with us in the comments.

There is a bit of tension in the nonprofit sector. Boomers are concerned about what they see as a crisis of leadership - they've invested years in their causes, and are not entirely comfortable stepping out of the way and leaving a void too large for the next generation to fill. At the same time, I spent some time this week talking to a group of Millennials at Council on Foundations and Emerging Practitioners in Philanthropy's preconference session, and a recurring theme was the need for mentoring and lack of opportunities to engage with seasoned leaders in our sector and receive help charting our own careers in the business of changing the world.

At the risk of sounding like a young and entitled Millennial, I would say that many of us are eager to lead, and while we do lack many of the experiences of our predecessors, we also have valuable technology and social media skills, a different leadership style, which can be more inclusive and draw a new group of people who have been feeling jaded or disengaged, and an insistence on a double-bottom line – all of which are beginning to change the ways we support the causes we care about.

I wonder if there isn't a solution to these issues in creating intergenerational skilled volunteering programs. Especially with the economic crisis, nonprofits will need to rely more on pro bono work - not just for legal services, but for fundraising, marketing, HR programs, websites and more. In this, let's face it, slightly depressing job market Millennials like myself are eager to gain valuable experiences to beef up our resumes and find opportunities to establish ourselves as leaders. And most Boomers will admit that while they have mastered many things, understanding why someone might poke them on facebook, isn't one of them.

You might be thinking this is obvious, and I know I’m not the only person to ever suggest intergenerational learning – but my peers and I are still having trouble finding access to these opportunities. I attended a panel on corporate volunteering at COF, I didn’t hear any examples of programs which intentionally brought Millennials and Boomers together where they could give back and learn from each other. A few people mentioned the added benefit of being able to connect with senior leadership or potential mentors that they would otherwise not have a chance to interact with, but it seemed largely anecdotal and left to chance. While they might take increased coordination at first, I would love to see Millennials and Boomers learning from each other - while helping a cause they're passionate about. Are there good models that I’m missing? Why don’t we see more of this?

With video recording and publishing readily accessible through smart phones, flip cams and even the “old-fashioned” digital camera -- nonprofits are finding new and low cost ways to create compelling stories of their good work.  

1. Go to "edit" your video: and fill out the fields in the section marked “Call to Action Overlay”
2. Click “save,” cross your fingers, and the overlay should appear on your video

• Last month the Chronicle of Philanthropy hosted a very rich online chat called Using Video to Spread Your Nonprofit's Message and Mission.
• Nancy Schwartz offers her picks of 6 Nonprofits Who are Putting Great Online Video to Work along with links to the videos.
• Michael Hoffman at See3 Communications offers readers his 11 Tips for Using Online Video to Raise Money
• Need a camera? Flip Cam is giving cameras to eligible nonprofits through their Flip Video Spotlight Program.

Last week as Mark Zuckerberg began to unveil the features of the now highly anticipated Facebook redesign (the second in less than a year), I posed the following question on my Twitter feed: “Interested to see if the new facebook redesign helps or hurts NPOs and their causes. Hope it helps, any ideas?”

The new interface means more sharing and communicating. This will allow donors, activists, volunteers and constituents to engage in real, substantive ongoing conversations. The applications which were such a central part of the Facebook user experience a year ago, will diminish as the authentic voice of the nonprofits and their constituents will have the opportunity to take a more active role.  Gone are the days of being limited to only sharing your message with your immediate fans or supporters. Updates to an organization's Wall or other discussion sat idle and were never broadcast – in other words, if your fans and supporters didn’t return to your page, they would never know a new discussion was happening. Now, they won’t have to go to your page to interact, they will see updates in their newsfeeds and participate as part of your community.

I just finished the new book, Working Across Generations, from the Movement Building Project folks, Frances Kunreuther, Helen Kim and Robby Rodriguez. It's a really terrific read and roadmap of the difficulties of this moment of leadership transition from Boomers to the rest of us. Read more »

The Chronicle of Philanthropy recently posted information about the Department of Education’s request for feedback on proposed regulations regarding implementation of the College Cost Reduction and Access Act of 2007.

Come again?

Basically, this new law forgives the remaining debt of student loan recipients who have worked as full-time “public service employees” for a period of 10 consecutive years while making their payments. In other words, you graduate, land a solid gig at a nonprofit, government agency, or other still-to-be-defined “public service” employer, and you won’t have to pay any more monthly debt owed after 10 years working there or remaining in the sector. Read more »