Adapt to Succeed A New Model of Collaboration, Cooperation and - - PowerPoint PPT Presentation

Adapt to Succeed

A New Model of Collaboration, Cooperation and Consolidation

In Order to Survive Thrive… We Must Change With It! We are in the Midst of a Sea Change

We are in the Midst of a Sea Change

• Trends & Headwinds (What’s Changing)
• What’s Not Changing
• Possibilities for Collective Impact

Insurance Funding Is Changing

• Integrated Physical and Behavioral Healthcare
• Value-Based Payments
• Mega-Mergers
• Data-Driven

• Fewer Contracts
• Prevention Focused
• Equity and Social Justice
• Access Desserts
• Buying Outcomes, Not Services

Government Funding is Changing

Philanthropic Funding is Changing

• Boundaries are blurring between philanthropy & business.
• United Way funding is decreasing or gone.
• More pooled giving and donor advised funds.
• Entry and mid-level giving are going down.
• Funder fatigue, growing demand for outcomes and impact.

Our Sector is Changing

• The big and strong are getting bigger and stronger.
• Small organizations lack leverage and negotiating power.
• 3% more nonprofits being added every year.
• Low pay. High turnover. Shortage of trained staff.
• Financially challenged

Financial Outlook Getting Worse

• Over 210,000 Human Service Orgs.
• >75% have budgets under $1M
• 30% have less than 1 month operating reserve
• 50% have negative operating margins over 3 years
• 10% of CBOs went out of business during last recession

Outcomes for Children and Families!

What’s NOT Changing

A New Baby is Born Addicted to Drugs Every 19 Minutes

Dramatic Increase in Maternal Opioid Use O v e r 5 %

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C h i l d r e n a r e N O T R E A D Y f

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K i n d e r g a r t e n W i d e n i n g H e a l t h D i s p a r i t i e s i n C h i l d r e n

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C

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R e f e r r a l s t

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P S A r e I n c r e a s i n g

Mental Health Issues in Children on the Rise

ChildTrends

Teen Suicide Now at 30 Year High!

S h

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k i n g D e c l i n e i n L i f e E x p e c t a n c y

Sectors, Organizations and Services Remain Siloed and Uncoordinated

What’s NOT Changing

How can… ü Thousands of very small ü Financially challenged ü Working in silos ü Changing environment Solve today’s biggest issues?

We Can’t!

We decided to take a look in the mirror

Ballmer Group & Kresge Foundation

Joining Forces

to Strengthen Human Services

Significant changes will be required of the not-for-profit, government and philanthropic sectors. Funders must encourage and incentivize innovation and disruptive partnerships, mergers and affiliations to realize maximum value, efficiency and impact. Boards that are serious about their legal and fiduciary duties must be open to the possibility of consolidation - and not solely as a last resort.

How might we Join Forces to Drive Collective Impact?

Why Us?

Aligned Missions

We strengthen the lives of children, youth and families by restoring hope and stability. Where Hope Grows and Families Flourish. Where Kids Find Healing and Hope. We partner with families to build healthy foundations for children. We promote and inspire youth to lead safe, healthy, and successful lives.

Aligned Vision All children are safe and healthy; Flourishing physically, socially, emotionally, and educationally; Well-nurtured by family and community.

Aligned Goals

ü Expand timely access to Continuum of Care ü Reduce silos and system complexity ü Implement best practices ü Negotiate better reimbursement rates ü Share facilities, support services and infrastructure ü Align advocacy and communication ü Scale a more sustainable business model ü Dramatically Improve Outcomes and Collective Impact

The Partnership Matrix

Questions to Consider

• 1. Trends you are experiencing
• 2. Partnerships you’re already in
• 3. Fears and concerns of stakeholders

Creating and managing Collective Impact requires a separate organization to serve as the backbone for the entire initiative. The expectation that collaboration can occur without supporting infrastructure is one of the most frequent reasons why it fails.

§ Partners become Membership Orgs and make the new Umbrella / Backbone the sole member. § Partners operate as a subsidiary

• f the Umbrella Org.

§ Each org retains their name, assets and liabilities.

Parent + Subsidiary (The Backbone)

ORG 1 Exec Director

• Mental Health,

Addiction & Counseling

• Early Learning
• Early Intervention
• Home Visiting
• Foster & Adoption
• Basic Needs

ORG 2 Exec Director

• Mental Health,

Addiction & Counseling

• Nursing
• Home Visiting
• Housing
• Employment

ORG 3 Exec Director

• Mental Health,

Addiction & Counseling

• Early Learning
• Early Intervention
• Basic Need

Support

• Prog. Director

Chief Program Officer. Assessments, Intake, Quality, Data, Research, Training Chief Financial Officer Finance Billing Contracts Chief External Relations Philanthropy, Comms Outreach Advocacy Chief Operations Officer HR, Recruiting, Prof Devel, Facilities, IT / IS, Transportation

• Prog. Director
• Prog. Director
• Prog. Director

Example of What Org Chart Might Look Like

Governing Board Of Directors for Parent Organization

CEO

We Can’t Do It Alone

From Siloed and Uncoordinated

To Aligned and Well Coordinated

Collective Impact

There is no way society will achieve large-scale progress against the urgent and complex problems of our time, unless a collective impact approach becomes the accepted way of doing business.

From Stanford Social Innovation Review

Game Changer In this environment, successful nonprofits must be more than service providers, they must be game-changers!

From David LaPiana