Nonprofit Sector

Mohammad Anas Wahaj | 31 aug 2017

Executive pay is always a topic of debate and more so when it is a case of nonprofits. Moreover, when nonprofit healthcare executives are in focus, the dynamics of the issue become even more complex. As healthcare is an essential aspect of everybody's life, rich or poor, and has a humanitarian dimension, the issue is an everyone's concern. In healthcare, just like in education, for-profit and nonprofit delivery models co-exist, but general population treats these sectors as noble and a large number despises the business-like profit-making approach. A debate is brewing up at the University of Vermont Medical Center (USA), a nonprofit healthcare provider, where CEO's salary is more than US$ 2 million. To justify the compensation, hospital board members say that their executive pay is in line with competitors and makes up a small portion of their budget. But there are other differing views. Sen. Chris Pearson (P/D-Chittenden) says, 'To see that the CEO of our hospital is getting US$ 2 million...it's just way out of whack with the Vermont economy.' State of Vermont has 14 hospitals, all of them nonprofits. Kevin Mullin, the state's chief health care regulator, decided to highlight the salaries of top officials in these hospitals. He says, 'I think it might be illuminating to the public.' Scottie Emery-Ginn, UVM's board chair, justifying executive compensation, says, 'Our health care professionals come from a national market...In order for us to get the best people and keep the best people, we need to pay competitively.' There are no clear rules on salaries of nonprofit employees. The IRS requires only that compensation be 'reasonable', which has been interpreted to mean comparable to similar organizations. A Wall Street Journal analysis of Form 990s found that, in 2014, 2700 nonprofits provided seven-figure compensation packages, and 3/4th of those organizations worked in the health care sector. Executive pay is a concern during the debates on cost of medical care. The US spends US$ 3 trillion annually on health care - more than any other country - and administrative costs are 20-30% of that sum. Sen. Pearson says, 'It obviously inflates our health care costs...When you have public-relations people at the state's largest nonprofit hospital making half a million a year, it undermines confidence in the entire system.' Views of other employees are important in this regard. Maggie Belensz, a nurse at UVM's neurological unit, says, 'It's difficult to hear those numbers as a nurse.' Laurie Aunchman, a UVM nurse and president of Vermont Federation of Nurses & Health Professionals, acknowledged the need to pay competitively but said the hospital should balance 'offering someone a million dollars or 2 million dollars' with investing money in 'taking care of the patient.' Mari Cordes, a UVM nurse and health care activist, says, 'We think it's an ethical issue. That excess money could be used to improve access to health care for everyone in Vermont...It could be used to provide support for people actually providing the frontline high-quality care.' Dr. Deb Richter, a universal health care proponent, described executive pay at Vermont hospitals as 'obscene.' Read on...

Seven Days VT: Million-Dollar Question - How Much Should Nonprofit Hospital CEOs Earn?
Author: Alicia Freese

Mohammad Anas Wahaj | 23 aug 2017

Rapid pace of innovation is the defining feature of the current era. According to the World Economic Forum, 'The speed of current breakthroughs has no historical precedent.' Financing industry now have innovative lending platforms, both for-profit and nonprofit, for small businesses. But there are concerns regarding many products as they may trap small businesses in a cycle of debt. Gina Harman, CEO (U.S. Network, Accion), explains the challenges that nonprofit lenders face due to rapid innovation happening in the industry and shares insights from the conversation between industry experts - Kate Mirkin (Salesforce.org, Salesforce's nonprofit social enterprise); Prashant Reddy (DemystData); Patrick Davis (CRF, Community Reinvestment Fund); Shaolee Sen (Accion). Myth 1 - The only barrier to scale is the absence of technology: Technology investments get wasted if there are no capable people to deploy it internally and manage the necessary changes in business processes. Challenges are even more when multiple organizations are involved in the project. Establishing and maintaining discipline is essential. Right technology with right data is required to maximize its utility. Myth 2 - For nonprofit organizations, passion to serve more people outweighs fear of change: Nonprofits must overcome lack of investment in talent, knowledge and resources required to drive technological innovation. Nonprofit organizations in business lending industry must consider change necessary to better serve their stakeholders. Collaborative approach to manage technological change must be adopted between the organization and the key stakeholders. Myth 3 - Only organizations with large technology budgets can innovate: Small investments in incremental improvements can add real value to organizations. Even effective data utilization can bring transformative changes at low cost. Within the social impact and mission-driven space, an approach with shared purpose and collective interests can help organizations collaborate and pool resources to implement and utilize costly technological innovations to provide value to the group. Read on...

Huffington Post: 3 Innovation Myths that Nonprofit Lenders Should Abandon
Author: Gina Harman

Mohammad Anas Wahaj | 31 jul 2017

2017 'Consumer Email Habits Report: What Do Your Customers Really Want', a study of 1003 online respondents commissioned by Campaign Monitor and conducted by Market Cube, finds that nonprofit email marketers are lagging behind peers, and the preferences of constituencies, in their ability to provide personalized, relevant messaging. 81% of consumers in the report want touches of personalization in emails they receive from nonprofits. In terms of relevancy of emails to supporters and potential supporters, nonprofits lag behind substantially with only 42% respondents stating that they regularly receive relevant emails. Andrea Wildt, chief marketing officer for Campaign Monitor, says, 'Email personalization can be based on either personal demographics or behavior - how an individual is interacting with an organization...personally relevant emails resonate better with recipients - building a trust that is sometimes hard to foster when recipients are bombarded with so many contacts from so many senders.' According to Ms. Wildt, 'Nonprofits struggle to provide personally relevant emails due to overall lack of ability to capture data and use that data to segment. Resources available to nonprofits are often far more modest than those of retailers.' Further complicating matters for nonprofits is the disparate ways various age groups interact with emailed material. Ms. Wildt suggests, 'Nonprofits must take a multi-pronged approach to marketing (using different tactics/strategies/technologies to target specific age groups)...They are just not quite as mature at leveraging some of the technology. There is so much noise that nonprofits really need help cutting through. The competition for donors' wallets is still fierce.' Read on...

The NonProfit Times: Marketers Not Giving Consumers What They Want
Author: Andy Segedin

Mohammad Anas Wahaj | 26 jul 2017

Richard J. Weller, professor of landscape architecture at University of Pennsylvania, and team of academics have created an online project called 'Atlas for the End of the World', a collection of maps and graphics to help viewers see where and how urbanization is in conflict with biodiversity. According to Prof. Weller, 'We mapped that interface between urban growth and the world's most valuable diversity...That conflict is bloody, it's disastrous, it's happening all over the world.' The project is an answer to Ortelius's 'Theatrum Orbis Terrarum' (Theatre of the World), printed in 1570 and thought to be the first modern atlas. Prof. Weller hopes that by 'mapping the intricacies of ecological conflict...architects, designers, and others can help create more ecologically sustainable relations between people and the planet.' Read on...

Nonprofit Quarterly: Data Activists Map the World's Ecological Conflict
Author: Cyndi Suarez

Mohammad Anas Wahaj | 17 jun 2017

Innovation Showcase (ISHOW) by American Society of Mechanical Engineers (ASME) is a hardware competition for socially minded projects. The purpose is to create awareness that hardware engineers too play a role in social innovation. K. Keith Roe, President of ASME, says, 'Our research showed a tremendous lack of support for hardware innovators seeking to enter global markets and make a societal impact.' Paul Scott, ASME ISHOW Director, says, 'From South America to West Africa to Southeast Asia, there are many talented folks that are changing paradigms with their work.' Currently, ASME ISHOW is held in US, Kenya and India. This year's American competition will be held on 22 June 2017. According to ISHOW website (thisishardware.org), 10 American finalists alongwith their projects are - (1) Hahna Alexander (SmartBoots: Self-charging work boots that collect status and location data and provide workforces in hazardous environments with actionable insights); (2) Jonathan Cedar (BioLite HomeStove: An ultra-clean cookstove that reduces smoke emissions by 90% and biomass fuel consumption by 50% compared to traditional open fire cooking, while also co-generating electricity from the flame to charge mobile phones and lights); (3) Matthew Chun (RevX: A transfemoral rotator that restores dignity to low-income amputees by enabling them to sit cross legged, dress themselves, get back to work, and more); (4) Shivang Dave (QuickSee: PlenOptika developed the QuickSee to disrupt the barriers to eyeglass prescriptions for billions of people worldwide so that they can get the eyeglasses they need); (5) Alexandra Grigore (Simprints: With a novel fingerprinting system, Simprints aims to create a world where lack of identity is never the reason why anyone is denied basic services in healthcare, education and finance); (6) Mary McCulloch (Voz Box: Millions of people, right now, are nonverbal. Current devices are too expensive and uncustomizable. The Voz Box is an innovative speech generation device that has customizable sensors and is affordable); (7) Erica Schwarz (Kaleyedos Imaging Device (KID): A revolutionary infant retinal imager that will empower neonatal intensive care units (NICUs) worldwide to decrease the incidence of visual impairment and blindness due to infant retinal disease); (8) Kenji Tabery (VeggieNest: Smart home gardening systems, and aims to address the growing market need for access to organic, affordable, and nutritious produce that enable global consumers to be food secure); (9) Team Sixth Sense (Team Sixth Sense: We have designed a system of sensor to attach to lower-limb prosthetics that works with NeoSensory's current technology to provide realtime vibrotactile feedback); (10) Quang Truong (EV 8 Cooler: Evaptainers creates low-cost mobile refrigerators that run on water. These are perfect for low income families who live off grid or cannot afford a conventional refrigerator). Read on...

Technical.ly DC: 10 engineers will showcase hardware's role in social innovation
Author: Nia Dickens

Mohammad Anas Wahaj | 30 may 2017

Volunteering for a charitable cause is not only a popular way to give back to society, but it also helps individuals to hone their skills and add to their experiences. There are number of platforms, both online and offline, like United Way, Points of Light, VolunteerMatch etc, that can assist in finding the right cause to volunteer. According to Basil Sadiq, marketing associate at VolunteerMatch, 'Our platform gives volunteers the ability to search for opportunities that adhere to their skill level or learning outcomes.' Following are some innovative ways to volunteer - (1) Strut your stuff: Volunteer for a community theater production; Share music with hospital patients; Share your voice with the community by giving tours; Interpreting exhibits at a local museum or zoo; Share your voice that can help people who use assistive communication technology. (2) Plan a party: Help in birthday celebrations to homeless kids and families; Contribute for hospice agencies and senior centers that plan events. (3) Get crafty: Knit and sew for those in need. (4) Make very special deliveries: Bikers can participate in logistics service for a charity. (5) Build and rebuild: Help veterans to build and maintain homes; Build and improve parks and playgrounds for kids. (6) Create Code: Address community problems with technological solutions; Write code and develop website for a cause; Help raise money for charitable causes by participating in computer games events. (7) Volunteer virtually: Blogging; Language translation; Virtual interaction with people in trauma and offer relief. (8) Hike or climb for a higher cause: Keeping and maintaining trails; Add service to a hiking vacation; Helping with outdoor adventures. (9) Help a pet get to a new home: Transport a rescued pet. Read on...

Reader's Digest: 9 Creative Ways to Volunteer and Really Make a Difference
Author: Catherine Holecko

Mohammad Anas Wahaj | 24 may 2017

Nonprofit boards can be critical resource for the organizations if utilized effectively. Board members bring diverse set of skills, experiences, networks etc. But above all, the passion to do good for the society by supporting the causes of the nonprofits is one of their main driving force. Organizations have to devise mechanisms and methods to effectively use board's time to avail full benefits of the skills and passions. Members of the Forbes Nonprofit Council share the following advice - (1) Pamela Hawley, UniversalGiving: Cultivate a real relationship; Understand board members and their interests; Find out what they care about. (2) Elizabeth Cromwell, Frederick County Chamber of Commerce: Use a consent agenda; Board members are fully prepared and know the deliverables; Productivity is enhanced. (3) Gloria Horsley, Open to Hope: Hold smaller discussions online; Helps to timely address issues; Improves working partnership. (4) Eleanor Allen, Water For People: Engage board members through individual action plans; Customized to each member's strengths; Improves engagement and commitment. (5) Daniel Speckhard, Lutheran World Relief: Seek the board's help with strategy; Engage the board on broad, macro and strategic issues to set the strategic direction of the organization. (6) Peggy Smith, Worldwide ERC: Focus on transparency and efficiency; Stay in frequent contact with board members and perform due diligence on all information - financial, strategic and operational - before it's shared with the entire board. Read on...

Forbes: Six Ways Nonprofits Can Improve Board Relations
Author: NA

Mohammad Anas Wahaj | 19 apr 2017

Sometimes a simple idea or a message can provide a direction and approach that leads to great long-lasting results. Same happened with Alan McCormick, a partner with a Dubai-based investment firm Legatum, when he was seeking investment ideas for philanthropic funding. He came across a simple message from Alan Fenwick, professor of tropical parasitology at Imperial College London - 'For a fraction of the amount being donated to treat HIV and other potentially fatal infectious diseases, the annual distribution of basic existing drugs to schoolchildren could help prevent widespread infection by a parasite that causes stunting of growth and malnourishment, and limits access to education - with life-long consequences.' The quote inspired Mr. McCormick and his firm to fund pilot programs in Africa to tackle neglected tropical diseases and finally create their own health-focused funding vehicle, The End Fund, with a small staff to co-ordinate and support programs. The programs have provided impressive return on investment and inspired others searching for ways to donate for maximum impact. According to Mr. McCormick, 'It's relatively tough giving away money and doing it well...Ideas need champions, so you need to create an organization...The End Fund model is about the ability to have people come together and collaborate, and bring their expertise.' Read on...

The Financial Times: Philanthropy - The search for the best way to give
Author: Andrew Jack

Mohammad Anas Wahaj | 28 mar 2017

In recent years, more than 50 countries have increased their restrictions on foreign aid to non-government organizations (NGOs). One of the concerning aspects of the trend is that it's happening not only in authoritarian regimes but also in democracies. The research paper, 'Globalization Without a Safety Net: The Challenge of Protecting Cross-Border Funding of NGOs', by Prof. Lloyd Hitoshi Mayer of University of Notre Dame Law School, identifies this problem faced by NGOs and explores options for countering the restrictions. Some of the new restrictions are - additional registration and reporting obligations, requirements to obtain government approval before seeking or accepting funding and mandates that funding be routed through government agencies or used only for specific activities. Prof. Mayer cites three factors that led to crackdown on cross-border funding - (1) A steady rise over the years in the amount of money flowing from Western donors to NGOs in other countries. (2) An increase in funding designated for human-rights protections and pro-democracy efforts. (3) An overall swelling of nationalist feelings in many countries. Prof. Mayer says, 'I think it's part of the larger trend we see globally of countries becoming more suspicious of foreign influences and the influences of outsiders, and more suspicious of attempts to empower and encourage minorities within countries. They are concerned about the importation of foreign values and views.' The challenges created by restrictions may require alternate strategies. According to Prof. Mayers, 'It creates a huge burden on both the funders and domestic NGOs that seek to challenge these restrictions, because the landscape is constantly changing, and they have to customize their response to every country where they're involved.' Read on...

Notre Dame News: Professor offers options to counter escalating crackdowns on NGOs
Author: Kevin Allen

Mohammad Anas Wahaj | 28 mar 2017

As crowdfunding becomes a mainstream strategy for individual fundraisers and nonprofit organizations, it becomes imperative to understand the industry trends that provide best fundraising results, and have potential to continue into the future. Christopher Moore, Marketing Mixologist at Floship, shares important trends shaping the industry and shows how to incorporate these ideas in crowdfunding campaigns - (1) Diverse Crowdfunding Platforms: Assess crowdfunding needs. Select the right platform to get specific target audience. Niche platforms are now available. (2) Nonprofit Crowdfunding Campaigns: Many crowdfunding websites are specific to nonprofits. It's easier for nonprofits and charitable organizations to meet their fundraising goals through crowdfunding. The benefits include - Expanded social reach; High speed fundraising; Low-risk giving. (3) Fully Customizable Fundraising Experiences: Fundraising process is becoming more customizable. Campaigns could be specifically designed and promoted. Ways it is happening is - Brandable campaign pages; Fundraising model flexiblitiy; Variety of sharign options. (4) Crowdfunding Campaigns Paired with Events: Events add a real-world component to the online campaign. It boosts the fundraising potential. Following ideas can be used - Pick the perfect theme; Include a variety of fundraising activities; Simlify event registration. (5) Highly Visual Campaigns: To make an impact on online donors include videos, photos, graphics and to-the-point campaign story. Read on...

Business 2 Community: 5 Crowdfunding Trends That Are Here to Stay
Author: Christopher Moore

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