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Nonprofit Management

Newsletter 

May 2013

Beyond Interim Fundraising: OAI Leads the Way


It takes an average of 8-10 months to hire development directors for organizations with budgets of $1-10M.[1]  Hiring the right executive director and other executive functions (chief financial officer, chief operating officer, etc.) can take the same amount of time -- and only 25 percent of those hired will stay in their jobs more than five years.[2] 

 

The "Temporary Fundraisers Can Ease the Strain of Rampant Turnover" article published earlier this month by The Chronicle of Philanthropy discusses how many nonprofits -- large and small -- are using consultants as short-term interim fundraising leadership solutions.  While these efforts keep fundraising on track and dollars rolling in, nonprofits also are learning that they need to address longer term leadership and strategy issues during staffing transitions.  The same rings true for other interim executive functions -- executive director, CFO, COO, etc.

 

At what point should you decide that a long-term solution is more valuable than filling an interim position or hiring for a position that might be vacant shortly thereafter?

  

When you know that it will take more than a few months to fill the position or when you recognize that completing a strategic review, restructuring, or project before hiring long-term staff makes sense.  In these cases, long-term outsourcing ensures consistent and stable operations while providing surge resources to implement long-term strategies that enhance missions.  It also makes more sense in many cases to hire a larger team of professionals with vast experience rather than one full-time employee who might be overwhelmed by the combination of ramping up in their new position and delivering strategic advice at the same time.

 

OAI has provided long-term solutions for more than 20 years (see some examples of our work described below).  Our interim solutions clients often learn that there are larger issues that need to be fixed before they can hire senior executives.  We have seen time-and-time again that it can take much longer than expected to fill senior leadership positions with the right person, and our clients often ask us to extend our contracts from interim to long-term solutions.

 

Instead of thinking how you will get by without leadership on a month-to-month basis, consider using outsourced professionals as long-term partners for your nonprofit's success.

 

 

* * *

OAI's Managing Partner Steve Orr and Managing Director Kathleen Loehr will be leading a free webinar on this topic hosted by GuideStar on Tuesday, July 30, 2013, at 1pm EDT.  Details and registration information will be released soon.      

 

 
[1] UnderDeveloped: A National Study of Challenges Facing Nonprofit Fundraising produced by CompassPoint
     and the Haas, Jr. Fund.

[2] Daring to Lead 2011 produced in partnership by CompassPoint and the Meyer Foundation.

 


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American Nicaraguan Foundation (ANF)  

ANF retained OAI in July 2012 to provide immediate fundraising support and overall fundraising staff management. Since then, OAI has been helping to raise funds for their annual Gala as well as cultivating corporations, individuals, and foundations that are close to ANF and their work in Nicaragua. OAI began our work for ANF with a formal assessment of ANF's fundraising efforts, complete with a comprehensive, multi-year development plan that ANF is implementing with OAI serving as the interim CDO. Additionally, OAI is leading ANF's Strategic Planning process which will result in a Strategic Plan and board governance changes.

 

OAI and ANF both understand the benefits of in-person teamwork and OAI is onsite three days a week in ANF's Miami or Nicaraguan offices, helping the organization transition into a sustainable nonprofit that is preparing for its next 20 years.   

"We don't often hire consultants, but as consultants go, you are unusual. You roll up your sleeves and work beside us. You are partners."

 
- Rafael S�nchez, Executive Director,
 

American Nicaraguan Foundation


 

American Red Cross   

The National Capital Region and Northern New Jersey Region of the American Red Cross hired OAI when they lacked a full-time CDO. Despite organizational complexities, OAI identified specific strategies to augment fundraising efforts with individuals, foundations, and corporations in both regions. OAI helped the American Red Cross staff to identify proper gift levels for each prospect and create cultivation and solicitation plans with specific, personalized asks. As interim CDO, OAI provided professional leadership to the departments by making recommendations on ways to maximize staff efficiencies, improve internal operations, and expand the team's fundraising capacity.

 

"I've worked with a lot of consultants over the years. My experience with the OAI team is very positive. They have met expectations...they have actually exceeded them."

 

- Linda Mathes, CEO, American Red Cross  

in the National Capital Region

OAI was serving as interim CDO when Superstorm Sandy hit the New Jersey area. In the wake of the storm, OAI kept the regional team organized and focused, opened lines of communication with National Headquarters, recommended tactics for donor relationship management, and is now developing a long-term stewardship plan for the scores of new donors who contributed over $20 million to the disaster recovery.

 

 

Deafness Research Foundation (DRF)

DRF hired OAI to provide nonprofit management for the organization after our success working on four of their fundraising gala events raising a total of $1.5 million. In 2004, the DRF board radically changed the management of the organization by dismissing their 12-person staff, closing the national office in Washington, DC, and turning the management of the organization over to AMG, an association management consulting firm. While AMG was able to service the administrative functions of DRF, they lacked the specific fundraising skills that are necessary to keep a 501(c)(3) organization moving forward.    

 

In 2005, the DRF board came to OAI looking for comprehensive services that would keep the important research work of the organization funded. For two years, OAI assumed managerial responsibility for the organization and DRF surpassed the original fundraising goals by 120 percent.

 

"In a relatively short period of time, OAI has helped refocus and revitalize DRF and our board by enabling us to run more efficiently and effectively. Knowing that the day-to-day management of DRF is in competent and qualified hands allows us to focus more on achieving our mission and vision."

 

- Armand P. D'Amato, Former Chair, DRF 


  

Youth, I.N.C.

With a venture philanthropy-based mission, Youth, I.N.C. has always focused on its return on investment, core competencies, and mission since its founding 20 years ago. As outsourced Executive Director of Youth, I.N.C. for the past 20 years, Steve Orr not only played a large role in the initial development of the organization, but he also brought in OAI to manage the back-office financial, administrative, and human resources functions and to co-manage the front-office fundraising, event/gala management, strategic planning, and board management functions in partnership with the 12 full-time Youth, I.N.C. staff.

    


As a result, Youth, I.N.C. has grown from the bottom up -- providing more than $45 million of support to nearly 600,000 children and youth through partnerships with more than 100 youth programs.  

 

 

 

 

 

                              


Orr Associates, Inc. (OAI) invites you to a free seminar  

at the Foundation Center in New York:   

 

 

 Thursday, July 25, 2013

10:00am - 12:00pm

 

The Foundation Center

79 Fifth Avenue, between 15th and 16th Streets

Second Floor

New York, NY 10003


Nonprofits face unprecedented pressures in our fast-changing world, including intense competition for funding, a higher demand for services every year, and an uncertain economy that can make planning difficult. Given these and other factors, effective board leadership is essential to help drive a nonprofit forward.

 

Join us as we explore techniques for building a powerful and engaged board of directors. During this interactive session, you will learn how to revitalize the engagement of current board members, and how to identify, recruit, and orient new members in order to build the best team for your nonprofit. Some of the topics that will be considered include:

  • Optimal board size
  • Board diversity
  • Job descriptions
  • Board recruitment best practices
  • Committee functions and structure
  • Board engagement in fundraising
  • Leadership succession
  • Involvement of past board members

Speaker:

  • Richard O. Walker III, Managing Director, Orr Associates, Inc. (OAI)

 

Registration:

Space is limited. Register by clicking here.   

 

If you need further information, please call The Foundation Center at (212) 620-4230.

 

Please arrive on time or your seat may be given away to others who are waiting to attend. 

 

We look forward to having you join us!

About Orr Associates, Inc. (OAI)

 

OAI is a national leader in fundraising and development consulting, with a focus on campaign strategy, planning, and implementation. With more than 22 years of experience working exclusively with nonprofit organizations, OAI has assisted more than 400 clients in raising hundreds of millions of dollars for their causes. With a staff of more than 50 professionals in Washington, DC and New York City, OAI is well positioned to assist its clients in achieving their goals.

 

See how we can help you today at www.oai-usa.com  

 

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