Posts Tagged ‘Nonprofit Lifecycles’

The Formula for a Successful New Dance Company

Thursday, October 28th, 2010

Wendy Liscow, Program Officer

Luna Mexicana  1 photo by Saskia Marina

I had a glorious weekend. One of those weekends you aren’t even aware you need until you are in the middle of it and the tension melts away and your soul fills with joy. My typical weekend is as hectic and demanding as the work week, but this weekend I participated in the celebration of two leaders who each acted upon bodacious ideas with unrelenting courage that yielded highly creative outcomes. One visionary, Graham Lustig, launched his new dance company, and the other, Albert Appel, was honored for founding the Appel Farm Arts and Music Center in the middle of Salem County fifty years ago.

If you are familiar with nonprofit lifecycles, which we introduced during the recent kickoff of our Board Leadership Training series, you will recognize that one event celebrated the labor of love of a new start-up and the other celebrated a founder’s vision that has survived 50 years of growth and change to become a solid, mature organization. Although I am anxious to share both stories, I’m going to be disciplined and focus on the Graham Lustig experience and tell the tale of Albert Appel and his groundbreaking efforts in a future blog. (more…)

Guest Series: Developing Your Board Leadership

Monday, May 3rd, 2010

Today is the last of our Developing Your Board Leadership Series. For the last 6 weeks, we’ve been hearing from grantees who have recently taken part in our Board Leadership Training Series workshops and are now telling their stories about how they are applying what they’ve learned to their organizations.

Allison Trimarco of Creative Capacity kicked off the series with some really helpful and humorous advice about fundraising. We also heard about fundraising from Matt Finlay, board member of the Mayo Center for the Performing Arts. Ruth Fost of Pushcart Players talked about organizational succession planning while Liz Mitchell of the Printmaking Council of New Jersey shared her organization’s turnaround story. John Gattuso of the Hunterdon Land Trust Alliance discussed losing and choosing board members, while Eddie Rogers of The Shakespeare Theatre of New Jersey explained working through a major transition. Today, we hear from Maleyne Syracuse of the Peters Valley Craft Center and more about Nonprofit Lifecycles, a signature workshop of the Dodge Foundation’s Technical Assistance offerings.

A Nonprofit Is More Likely To Reach Its Programmatic Goals If It Is Well Managed

In her book, Nonprofit Lifecycles, Susan Kenny Stevens identifies the Seven Stages of Nonprofit Capacity:

  1. Idea
  2. Start-Up
  3. Growth
  4. Maturity
  5. Decline
  6. Turnaround
  7. Terminal

Org_Lifecycle_Large

According to Ms. Stevens, mature nonprofits have reached the stage in their lifecycle in which they are “well established, operating smoothly and…provide consistently relevant and high quality services.”

Peters Valley LogoPeters Valley Craft Center celebrates its 40th Anniversary this year. After 40 years, one might expect Peters Valley to be a mature organization. But it’s not quite that simple. Maturity doesn’t necessarily come automatically or easily or simply with time. Nonprofit Lifecycles has been a valuable and vital tool for our Board and Staff in assessing Peters Valley and identifying those things we need to do to make PV a truly mature organization.

I’ve been on the Board at Peters Valley for a little over 10 years. And for as long as I have been involved and for many years before that, Peters Valley has experienced cycles of boom and bust: one or two good years of balanced budgets or even surplus followed by years of deficit and struggle to pay off debt.

We thought the answer was simply more money. Emergency appeals (“Help Save Peters Valley!”) were successful but when you launch an emergency appeal every 2-3 years, it’s no longer an emergency. The answer isn’t simply more money—more money is a tactical solution—it certainly helps in the short term but often, as it did in our case, the quick fix masks deeper issues.

emergency box

The answer wasn’t more programs either. Like many nonprofits, PV tried to “program” its way out of its boom and bust cycle. But while new programs are grand to talk about and fundable in the short term, over the long term ours were not self-sustaining and created drag on organizational resources.

Recurring cycles of boom and bust are exhausting—for the Board, the Staff, donors and constituents. Peters Valley needed to create a sustainable turnaround.

Using the lifecycle framework, the PV Board saw that organization was stuck in a pattern of flipping from “Growth Stage” to “Decline” and back. While PV did not slip irretrievably into the Terminal stage, Peters Valley never fully matured either. One of the reasons the organization did not fully mature was that much of its administrative/management systems and infrastructure did not really progress past the Start-up stage.

Mature organizations must have a healthy balance between (1) their mission and programs, (2) their capital and (3) their organizational capacity. These are the 3 legs of the stool. If any one or more of them is not as strong as the others, the stool topples over. Peters Valley has a vibrant mission and wonderful programs. It has capital – some times more than others. But it had not fully developed the organizational capacity it needed to fully achieve its programmatic goals: enough people in the right jobs, all the proper space and systems and all the appropriate processes that would allow it to do everything it needs to do and do well.

stool that has fallen over

I want to be clear that this is not a criticism of the PV Staff. Peters Valley has great, hardworking and dedicated staff. But even the best, most hardworking staff need – frankly deserve – strong organizational capacity. Without a systematic approach to the organization’s growth—a truly strategic division of labor, evolved systems and planning and detailed policies and procedures—it’s just not possible to run an organization as complex as PV efficiently. Peters Valley offers over 150 two to five-day workshops, uses more than 100 guest instructors, welcomes more than 700 students (many of whom live and eat on campus), and operates more than 20 separate buildings, including studios, dorms and a kitchen, many of which are historic structures. And that’s just our Summer Adult Workshop Program!

Peters-Valley-Craft-Gallery

Peters Valley Craft Center store

So why did Peters Valley not fully develop the organizational capacity it needed? It’s not uncommon for an organization’s programs to get ahead of its capacity and there are many reasons for this. I will mention one that is probably relevant to other organizations: an overreliance on volunteers. As PV grew and its programs evolved, especially when resources were slim, we were blessed with many dedicated volunteers, especially Board members, who were more than willing to jump in and help out where needed. This is great for a nonprofit in the Start-up or early Growth Stage. But as an organization matures, it can’t continue to simply rely on the good will of volunteers. As volunteers came and went, often there was no paper trail and limited institutional memory about who had done what, what had worked, what hadn’t worked or when things needed to be done. It is possible to use volunteers successfully (we have an excellent volunteer who runs our annual craft fair very successfully), but it takes structure, systems and organization!

So where are we today? As I said earlier, capacity building isn’t necessarily easy and it is the Board’s responsibility to ensure that the organization has the resources it needs to build capacity, a responsibility that the PV Board has embraced. Efforts are underway to ensure an appropriate division of labor among staff members, identify functions that need to be filled and create position descriptions. Written policies and procedures are being developed to cover all of our functions. Moreover, last year, the PV Board committed itself to a comprehensive strategic planning process, in order to ensure that we evaluated and took appropriate action with respect to all 3 legs of our stool: mission and programs, capital, and capacity.

chess-image1

I could devote another whole blog to our strategic planning process so I won’t go into a lot of detail here. But we are very pleased that among the 15 Board and staff members who participated in our goal setting retreat on April 17th, we had broad consensus around goals and, not surprisingly, several addressed organizational capacity. We are working now on the strategic plan itself and an actionable implementation plan. But it all began with a frank assessment of where PV was in its lifecycle.

maleyne headshotMaleyne Syracuse is the President of the Board of Directors of Peters Valley Craft Center. She is also is President of Board of Directors of the Pike County (PA) Public Library and serves as a member of the Board of Trustees of two NYSE traded closed ends funds. Ms. Syracuse retired in 2007, after over 25 years as an investment banker, most recently as a Managing Director with JP Morgan. She enjoys gardening and fiber arts—a passion she developed after taking weaving courses at Peters Valley. Ms. Syracuse lives with her husband and their two cats in New York, NY and Milford, PA.

The Dodge Foundation thanks all of our guest bloggers in the Developing Your Board Leadership series for their time and thoughtful input. We hope that these blog posts have been informative to all of our readers. For further information about our Technical Assistance workshops, please visit the Dodge website.

Guest Series: Developing Your Board Leadership

Monday, April 12th, 2010

Over the past six months, teams of board members and nonprofit executive leadership attended Dodge Technical Assistance workshops including Nonprofit Lifecycles, Assessment, Board Care and Feeding, and Strategic Planning, among others. We have heard terrific feedback and ideas from many board members who are actively applying the learning to their board work. The “Developing Your Board Leadership Series” is their forum to share what they’ve learned.

Today, Liz Mitchell shares with us the turnaround story of the Printmaking Council of New Jersey.

Printmaking Council website

The Turnaround Stage: A Phased Approach

Completing the Dodge Board Leadership Training Series and hearing the many stories of fellow nonprofit leaders has helped me begin to see the Printmaking Council of New Jersey as the little engine that could.

Like many nonprofits, the Printmaking Council of NJ (soon to be the Printmaking Center of NJ) began in the living room of a group of impassioned individuals. Florence Wender and a few fellow printmakers came together over 37 years ago to formalize their ideas and create an artist cooperative with an educational outreach program. The mission of the organization uses the uniqueness of this timeless art process as a tool for building community through in-house and outreach programs, exhibitions and an open printmaking studio for working artists of all levels.

My connection to the Printmaking Council has been as an active member for many years. Over time, I began to see that there were functional difficulties within the organization. In 2008 the little engine began to stall. I had always felt that PCNJ was a true gem, and I was seeing it lose its polish. I decided to join the Board of Directors to bring my prior board experience to bear on the challenges at hand. At the time, the organization was in a state of flux and the board was faced with hiring a new director. It was clear that new leadership was needed to move the organization forward. We also needed to evaluate the effectiveness of the model of the organization, which was still operating much like an artist cooperative and faced a prolonged decline in the process.

Liz Mitchell Printmaking Council

Liz Mitchell

In June 2008, Linda Helm Krapf was hired as the new Executive Director and brought with her more than 25 years of experience working in the nonprofit field. It was clear to Linda that the organization was in the Decline Stage of its nonprofit lifecycle, and to successfully navigate the Turnaround Phase would take tremendous focus and resolve. Shortly after Linda arrived, I was asked to become the Board Chair of the organization. As we were adjusting to the newness of our positions, the Board and staff began to review, define and prioritize the major organizational challenges. We believed that nothing was so broken that it couldn’t be fixed. In Susan Kenny Stevens’ book, Nonprofit Lifecycles, she describes this stage as “Where Rubber Meets the Road.” I could not agree more!

What we had going for us was experience, tenacity and some refined tools in our toolbox. What we had going against us was that we had a long, long way to go. Over the next 18 months the board began a phased approach to making the necessary changes needed to get the organization back on track. We began to evaluate the organization examining PCNJ’s policies against nonprofit best practices, which identified the weakest points and greatest vulnerabilities. We patiently and bravely took this time to complete a laundry list of items in the “Fix What is Broken Phase.” This involved: creating checks and balance systems; resolving conflicts of interest; hiring qualified staff; and establishing program goals around excellence. We then moved to the work of updating stale curricula, assessing profitability and holding successful fundraising events. Over time, we accomplished an overarching goal to repair strained donor relationships and win the trust of members. A remarkable synergy between the board, staff and members was born in this time.

The next phase was a vision quest. We held salons for open discussion among the membership and found creative ways to engage our stakeholders. We used the following words of Linda C. Crompton, President, Board Source, as a mandate to keep focused and move forward:

“True leaders will recognize that there is opportunity embedded within the financial crisis and seize the moment to evaluate, restructure, retool; in short, to regenerate their organizations. All former bets are off, and the leaders who ask the generative questions—in effect, question everything—will build organizations that come out the other side of the turmoil stronger than ever.”

In September of 2009, we were ready to chart the future course for PCNJ. This process defined the capacity of the organization. We used our creativity to imagine the best Printmaking Council of New Jersey, and planned for the way to give that image purpose. Strategic planning became the new engine that would drive the mission and programs.

In the process of strategic planning we realized that even though we had worked hard and successfully cleared many hurdles, we did not yet have a fully trained board with the experience to execute our ambitious goals. This realization came just as the invitation to join the Dodge Training hit my email. Serendipity was at play as the training sessions that followed yielded invaluable information and real world experience for our board members.

We coined these months in Dodge training as the “Getting Our Governance Ducks in a Row Phase.” Five PCNJ board members participated in Dodge training, creating a critical mass of understanding of the complexities of nonprofit management. Training also clarified the responsibilities each member needed to make. The board began to see and experience a shift in the way they manifest their commitment to PCNJ, and the foundation of the organization began to shift and stabililize. Every time board members responded to the new responsibilities that they helped to define, the organization took a giant step forward. The result is that we now have a shared plan and strategy that has everyone’s mark on it.

Printmaking Council Phillemon

Phillemon Hlungwani gives an artist presentation in the PCNJ Gallery. Phil participated in PCNJ’s international print exchange with the Artist Proof Studio in Johannesburg, South Africa.

The difference at PCNJ is palpable and is evidenced by the support and response from our funders, and through the enthusiasm of our membership. The training has strengthened the board, creating a more focused and value-driven organization. As we round the bend of the Turnaround Phase this new knowledge has helped inspire courage, even though we can’t always fully see what lies ahead.

Board members have talked about “aha” moments at Dodge training. One I remember best was during “The Care and Feeding of Quality Board Members.” Laura Otten took us through the section on board meeting agendas and introduced the models of consensus and strategic agendas. Those of us attending realized that PCNJ was actually fully prepared to define the structure of the agenda for our board meetings beyond reading reports and putting out fires, and into a strategic agenda format. Together, we had laid the ground work, navigated the phases, stayed focused, and let ourselves be inspired by our shared commitment. Being able to take advantage of a sophisticated tool such as a strategic agenda defines the other, less obvious benefits of the work we just accomplished and the training that supports the work – the benefit of efficiency. In these challenging times, our ability to stay relatively small requires that we operate with utmost efficiency. Efficiency allows the engine to work like a Swiss watch. Aha!

PCNJ now has a strong working engine clipping along towards the future with everyone “on board.” Two years into our turnaround we have made lasting and fundamental change. We have replaced: fear with courage; haphazard decision-making with best practices; planning out of convenience with strategic planning; and austerity with prudence. It’s thrilling to now witness the momentum that follows. PCNJ now attracts individuals who are passionate, not only about the arts, but also about doing a job right and recognizing that although challenging, the work of turning an organization around can be infinitely rewarding.

Liz Mitchell has been the Board Chair at the Printmaking Council of New Jersey since 2008. She has also served on the Foundation Board at Raritan Valley Community College for the last ten years, most recently as the Vice Chair. She is an educator, curator and collage artist who makes artist books and installations. Her work is collected both nationally and internationally. She has completed three artist in residencies at Lafayette College in Easton, Pa and most recently held a solo exhibition in the Ben Shahn Gallery at William Paterson University in Wayne NJ.

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