2010/04/16

Fw: VPPNews: April Issue


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"When you do the common things in life in an uncommon way, you will command the attention of the world." George Washington Carver

What is Social Entrepreneurship?

Statement of Faith
You can find other "Market with Meaning" but you definitely want to see "Profit with Purpose".
I personally "Believe in Kingdom Transformation" because I know there is only ONE "Life for Significant".

--- 2010年4月15日 星期四,Venture Philanthropy Partners <vvrana@vppartners.org> 寫道﹕


寄件人: Venture Philanthropy Partners <vvrana@vppartners.org>
主題: VPPNews: April Issue
收件人: incubator.hou@gmail.com
日期: 2010年4月15日,星期四,下午11:14

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Chairman's Corner

Towards a New Kind of Collaboration – A Networked Approach to Social Change

It seems that almost everywhere you go these days, nonprofit and foundation leaders alike are talking about ways to foster and increase collaboration.   In these difficult times, when resources seem to be vanishing while the demand for services continues to increase, it makes sense that organizations consider working together to make available resources go further and perhaps achieve greater results.

In principle, everyone wants to collaborate, but the reality of making it happen is extremely tough.  Collaboration can be a loaded word.  Today, when funders talk about “collaborating,” nonprofits sometimes hear the term as code for “merger.”  The truth is, the nonprofit sector has been talking about collaboration for a long, long time, and for many, the word has become hollow because so often, the “collaborations” are forced, inefficient, for show only, or fail to result in any meaningful action or results. More »


Investor Update

VPP Investor Karen Shaufeld’s 100 Women Strong Improving Loundoun County

“My vision for Loudoun County is much more than advancing the nonprofit sector – there has to be a countywide plan with all the players involved, nonprofit, corporate, and government,” says Karen Schaufeld, a VPP investor and the founder of the philanthropic organization 100 Women Strong. Schaufeld is working, day by day, to make Loudoun County a place where each and every one of its citizens is cared for, from food to shelter, and healthcare to education. After all, she says, “Loudoun County is the richest county in the nation. If we can’t do it, how can anyone else?”

100 Women Strong is one way that Schaufeld is moving her county toward that goal. The organization is modeled on the giving circle: individuals come together to pool their donations and decide as a group where they will give the total funds. More »

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President's Perspective

Towards a New Kind of Collaboration – A Networked Approach to Social Change

Carol Thompson Cole

It seems that almost everywhere you go these days, nonprofit and foundation leaders alike are talking about ways to foster and increase collaboration.   In these difficult times, when resources seem to be vanishing while the demand for services continues to increase, it makes sense that organizations consider working together to make available resources go further and perhaps achieve greater results. 

In principle, everyone wants to collaborate, but the reality of making it happen is extremely tough. Collaboration can be a loaded word.  Today, when funders talk about “collaborating,” nonprofits sometimes hear the term as code for “merger.”  The truth is, the nonprofit sector has been talking about collaboration for a long, long time, and for many, the word has become hollow because so often, the “collaborations” are forced, inefficient, for show only, or fail to result in any meaningful action or results.

The reality of the current funding system for nonprofits is that these organizations find themselves competing against the very organizations with whom they might collaborate.  To consider teaming up with a competitor requires a whole new way of thinking and behaving.  It requires developing  trust, which  takes time,  and additional organizational capacity, and time and capacity are as scarce to nonprofit leaders as capital. It also means breaking down the silos and “turf” that a competitive funding environment creates.  Nonprofit leaders rarely have the luxury to step back and think through the “sweet spots” of potential collaboration – areas where time and effort put into coordinating with others in a strategic way could result in concrete “returns” for the organization and the population served. 

Yet research in the last few years shows that collaborating, and more specifically, partnering with more than one organization to create a network for change, can allow nonprofits to have much greater impact than they could ever have on their own.  As Jane Wei-Skillern and Sonia Marciano wrote in spring of 2008 in their Stanford Social Innovation Review (SSIR) article, “The Networked Nonprofit.

“By mobilizing resources outside their immediate control, networked nonprofits achieve their mission far more efficiently, effectively, and sustainably than they could have by working alone.  Many traditional nonprofits form short-term partnerships with superficially similar organizations to execute a single program, exchange a few resources, or attract funding. In contrast, networked nonprofits forge long-term partnerships with trusted peers to tackle their missions on multiple fronts.”

One of Wei-Skillern and Marciano’s key findings was that networked nonprofits “are some of the most effective nonprofits in the world,” and they put their mission above their own individual organizations.

Leslie Crutchfield and Heather McLeod Grant write about a similar approach in their book, “Forces for Good: The Six Practices of High-Impact Nonprofits and article in SSIR. They found “nurturing nonprofit networks” to be one of the six practices that differentiate the most effective nonprofit organizations.

Using the concept of a network, formal or informal, to shape our thinking about collaboration and collective action can give us a new framework and energy for a conversation that has worn thin. As Bill Drayton, the founder of Ashoka, recently wrote in a post on “collaborative entrepreneurship”  for the McKinsey&Company blog, “What Matters,”

“However, we now live in a time where the rate and complexity of change are both escalating exponentially. This new environment requires a shift in the organization of both institutions and societies to one of flexible teams that come together around whatever change opportunities exist.”

Creating flexible networks and tapping into pre-existing networks are not a new concept for business, but creating and supporting networks for change is a new approach for philanthropy.  The David and Lucille Packard Foundation and the Monitor Institute have been pioneering exploration in this area through The Philanthropy and Networks Exploration, a two year inquiry into how networks can facilitate greater philanthropic effectiveness, which has resulted in some exciting pilot projects and research. Others, like FSG, are leading the way in researching approaches to measure collective action and assess the results of networks and collaborations.

Funders Need to Walk the Talk
As funders, we push our grantees to think about teaming up with others to reduce duplication, create efficiencies, and to create even more powerful programs with greater effect.  But in our efforts to promote collaboration, we must first step back and look at ourselves.  Just as we want nonprofit leaders to collaborate, we should think about alliances and alignment with other funders to maximize our efforts.

Over the 10 years that Venture Philanthropy Partners has been at work, we have found a number of ways to collaborate with a variety of people and institutions with positive results.  In many of these cases, we started small, tested the waters, and found that over time as we got to know each other better, we discovered other ways to work together and often brought in additional partners.  Many of these collaborations were not along traditional lines.

Perhaps the best example of teaming up lies in the creation of our investor community, now 74 strong, to aggregate capital to achieve shared goals.  Essentially, we have pooled the resources of individuals, families, and institutions to create a fund that is able to invest substantial financial and strategic resources  to help organizations become stronger and more effective. The sum of the parts is greater than all of the individual pieces.  We’ve also found that over time and through the course of attending VPP meetings and events, several investors have aligned with each other to work on other philanthropic projects.  They connected, got to know and trust each other, found common interests and passions, and teamed up.  VPP didn’t force it—it happened organically.  The VPP investor network is still growing and deepening its connectivity, but it has the potential to become a powerful network for change in our region.

Formal co-investing is another example of VPP collaborating at a funding level. VPP has worked closely with other national funders including  the Edna McConnell Clark Foundation (EMCF) and NewSchools Venture Fund (NSVF) to coordinate funding and strategic assistance for organizations at a level often not seen.  VPP has successfully co-invested with EMCF in three of our investments: See Forever Foundation, AALEAD, and the Latin American Youth Center.  EMCF brought its extensive expertise in evaluation and outcomes measurement as well as funding.  VPP brought its knowledge of the organizations and the region, and its ability to be on the ground and work with the organizations to assist in the implementation of outcomes management programs.

The collaboration between VPP and NSVF in an investment in Friendship Public Charter School also played to the strengths of each funder.  Each organization, of course, brought dollars to the table for a total of $4.5 million.  But they also brought complementary experience and knowledge that made the investment stronger.  VPP had the deep knowledge of the region and the players, and saw tremendous benefit in joining forces with NSVF, which had deep experience in investing in charter management organizations in other parts of the country.  The co-investment in Friendship meant that its business plan was 100% funded upon completion of the planning process.  The two organizations coordinated milestones, oversight, and reporting by Friendship, making the process as streamlined as possible for the organization.

Regionally, we have worked in a synergistic way with the Freddie Mac and Phillip Graham Foundations, informing each others’ investment strategies.  And in many cases, we have leveraged our resources through investment in the same high performing nonprofits.  From VPP’s inception, the presidents of the Community Foundation for the National Capital Region and the Meyer Foundation have been thought partners for us and both have served on our board.

A Networked Future
Instead of thinking of collaboration as a yoke to be feared, what if nonprofits could look at networking together in new and different ways?  What if nonprofits in the region were driving toward a similar set of outcomes for children and youth and collecting similar types of data?  What if organizations were more intentional in the way they referred youth and families to one another, creating more systematic approaches?  What if there were forums and opportunities to share tools and knowledge with one another in a targeted, meaningful way that actually drives performance?

If we think of a group of nonprofits functioning more as a network than as a collaborative, a network that intentionally, meaningfully, and strategically coordinates goals, data, accountability, and strategies, and makes use of technology to seamlessly communicate and connect , we begin to see tangible possibilities for organizations to work together in a way that amplifies all efforts.

As for funders, we need to be careful not to force collaboration down anyone’s throats.  We know from new research on what motivates people in the workplace that carrot and stick approaches aren’t always the best way to get people to do things.  Instead, we as funders must do a better job of collaborating with each other. We can work towards building networks of funders where we pool our knowledge assets as much as we combine our capital.  We can also support and facilitate collaboration and networks.  We can incentivize , celebrate , and share examples so that people can see real benefit and positive results.

The Lodestar Foundation in Phoenix recently created a Collaboration Prize with a $250,000 purse for organizations that can demonstrate effective and good collaborations.  In its first year, it received 600 entries, and the Foundation has created a database of examples of successful partnerships and their results.   In addition to the prize, the Foundation also makes grants to organizations to help them explore collaboration.  They are not only rewarding collaboration after the fact, but are helping organizations find the time and expertise to think through new ways of working together.

All of us who care about the nonprofit sector need to find ways to work together more often.  We are in the midst of difficult  times.  But it is from times like these that great inventions and breakthroughs emerge.  Perhaps the silver lining of this moment will be that after years of talking about it, as a field we may actually find ways to align our work and create networks for social change so that we can improve services and increase our reach far beyond our individual capacities.  If that happens, we will all benefit.

- Carol Thompson Cole

Investor Update

VPP Investor Karen Schaufeld’s 100 Women Strong Improving Loundoun County

Karen Schaufeld“My vision for Loudoun County is much more than advancing the nonprofit sector – there has to be a countywide plan with all the players involved, nonprofit, corporate, and government,” says  Karen Schaufeld, a VPP investor and the founder of the philanthropic organization 100 Women Strong.  Schaufeld is working, day by day, to make Loudoun County a place where each and every one of its citizens is cared for, from food to shelter, and healthcare to education.  After all, she says, “Loudoun County is the richest county in the nation.  If we can’t do it, how can anyone else?”

100 Women Strong is one way that Schaufeld is moving her county toward that goal.  The organization is modeled on the giving circle: individuals come together to pool their donations and decide as a group where they will give the total funds.  100 Women Strong works on the same principle, with each member giving an annual donation of $10,000 and then deliberating as a group over the grant applications that are received.  The reaction to this idea of collaborative investing has been so favorable that in just one year - and a difficult economic one at that - 100 Women Strong has gone from twelve members to eighteen.

Karen Schaufeld

Schaufeld started the group with three reasons in mind: first, she wanted to get involved with something local; second, she didn’t want to spend most of her time actively fundraising; and third, she wanted to make a larger impact with her money by giving to one or two causes, rather than spreading it thinly among many.  Now, 100 Women Strong is becoming an established player in the world of Loudoun County philanthropy, with two grants already under its belt and more to be made this year.  Schaufeld is extremely pleased with the success of 100 Women Strong: “I’m very happy and humbled that people wanted to become involved in these trying economic times.  Ten thousand dollars is a lot of money to contribute – and it’s also a lot of money in terms of what Loudoun County charities generally receive.”  The group’s potential for impact, therefore, is great.

Impact is the bottom line for 100 Women Strong.  As Schaufeld says, it’s the goal that matters – giving children a quality preschool experience, for example – not who accomplishes it.  100 Women Strong has supported two nonprofits so far: in 2009, Loudoun Community Health Center received $25,000 for a new examination room and Leadership Loudoun was given $3,600 for their mental health summer camp free meal program for low-income youth.  This month, 100 Women Strong will review its next round of grant applications, which it accepts through the Piedmont Community Foundation.  While they normally fund specific projects or initiatives, the group is now considering setting some funds aside for capacity building, including board training and guidance on setting strategic goals.

So why 100 Women Strong?  One reason, Schaufeld says, is that women enjoy being with other women; there’s an inspirational aspect in belonging to a group of women, in addition to the fun, social outlet it provides.  Since this didn’t seem to exist in Loudoun County, she decided to create it.  “Women tend to give in a lot of different ways, and the women who are involved,” she says, “have the experience and the passion to want to give back through more than just check-writing.”

100 Women Strong is far from being Schaufeld’s first or only foray into philanthropy.  As young adults, both she and her husband, Fred,  received scholarships to Lehigh University, an education that would have been out of reach “unless someone had faith in me,” she says.  Because of that, scholarships have always been an important part of their giving.  Karen is also on the board of the Amazon Conservation Team, which she became involved in after going on trips to the Amazon. “You see a guy with a bow and arrow trying to protect this rainforest from bulldozers and corporations – for me, that was the hook.”

Karen and Fred Schaufeld, Chairman and Founder of NEW Corp, joined the VPP Investor family in 2006.  They were both impressed with VPP’s hands-on, strategic approach: “DC has so many problems – it’s good to see an organization with strategic, long-term thinking.  That’s the only way to accomplish anything, think long-term and execute every day.”   

When asked about recent changes she has seen in the giving sector, Schaufeld commented that many folks she knows have pulled back and thought much more carefully about where to give their money.  However, she added, at the same time that funds are being reduced,  hands-on involvement is on the rise: “Our generation can’t just give money and back off; we’re very hands-on.”  She also believes that people, especially young adults, will start searching for organizations that bring diverse groups of people together to solve societal problems.  “Young people will get these things done – they don’t see the gaps and separations that the older generation does.”

Schaufeld knows that there are still miles to go before the goal of having each and every citizen taken care of is met.  But she and 100 Women Strong are working hard to make Loudoun the most successful county in the nation in caring for others and raising the standard for nonprofit best practices.  She notes with a smile: “It’s not all work, though. Giving should be fun.  Not that it’s not serious business, but it should be fun.”

Investor Update

Leading Educator and Venture Capitalist Join Board of Venture Philanthropy Partners

Venture Philanthropy Partners (VPP) welcomes two new directors to its board: Robert Templin, President of Northern Virginia Community College (NOVA) and Art Marks, General Partner of Valhalla Partners, Reston, Virginia.

“Both Bob Templin and Art Marks have a keen understanding of what it takes to grow successful enterprises and the importance of investing in building strong, sustainable nonprofit organizations and their leadership.  Their experience, commitment to VPP’s philanthropic approach, and deep concern and passion for helping young people propel themselves and their families to better lives will be invaluable to VPP as it continues to move forward with its second portfolio and other initiatives,” said Carol Thompson Cole, President and CEO of Venture Philanthropy Partners.

Dr. Templin has been deeply immersed in advancing education and the economic and social health of the Washington, DC region during the past 25 years.  Since 2002, he has served as President of NOVA, Virginia’s largest institution of higher education and one of the nation’s largest community colleges, enrolling more than 72,000 students at its six campuses.  Under his leadership, the college has increased enrollment by more than 12,000 students and grown its revenues by more than $90 million annually.  He has also forged a strong alliance among business, education, health, technology, and community leaders to create a comprehensive strategy to double the region’s output of registered nurses and allied health professionals.  Prior to joining NOVA, Dr. Templin was a senior fellow at the Morino Institute and assisted in the development and launch of Venture Philanthropy Partners.  Previous to that position, he served as President of Virginia’s Center for Innovative Technology, working to enhance Virginia’s economic competitiveness through technology-based economic development.

Mr. Marks has been an active member of the Washington business and entrepreneurial community since his move from Milwaukee in 1979, which was the year he received an email address and learned about networking.  Access to the web led him to the world of entrepreneurs and innovative technologies.  Mr. Marks started Valhalla Partners in 2002 based on the belief that a modest-size venture fund created the opportunity for a better alignment of interest between entrepreneurs and investors.  Previously, Mr. Marks spent 18 years at New Enterprise Associates (NEA) and 10 years in operations at GE.  At GE, he was responsible for much of the time-sharing and software business in Rockville.  He spent his first five years at GE running the X-Ray equipment business.  Before GE, he worked at Baxter Labs in various roles including acquisitions, finance, marketing and sales.  Mr. Marks received an MBA from Harvard and a BS in Engineering from the University of Michigan.

Yvonne Favors Joins VPP Team as Business Manager

VPP welcomes Yvonne Favors to her position as business manager.  In this role, Favors is responsible for office management, technology coordination, finance operations, human resources functions, and administrative support.  Favors comes to VPP with over twenty years of experience in administrative and support roles, most recently at Civitas Group, LLC in Washington, DC as Office Administrator.  Her previous experience also includes working as an Executive Assistant and Team Leader at PricewaterhouseCoopers, and various support roles at Northwest Airlines.

“Yvonne is a welcome addition to our team, with her extensive knowledge of the countless functions necessary to smooth office management.  She will add greatly to the capacity of the VPP team, and I am happy that she has accepted this position with us,” said Carol Thompson Cole, President and CEO.

Carol Thompson Cole Speaks at the National Human Services Assembly

On March 10th, VPP president and CEO Carol Thompson Cole gave remarks at the National Human Services Assembly’s Annual Meeting of National Collaboration for Youth CEOs. Her full remarks, titled “The Intersection of Old and New, Local and National: Creating a Culture of Innovation,” can be found on our website.

Investment Partner Updates

AALEADAsian American LEAD named Finalist for the 2010 Washington Post Award for Excellence in Nonprofit Management
Thanks to Rick Chen, Manager of Development and Communications, for this update.

The Center for Nonprofit Advancement announced on March 12 that Asian American LEAD was a finalist for the 2010 Washington Post Award for Excellence in Nonprofit Management. The Washington Post Award for Excellence in Nonprofit Management is an annual award presented to a Washington, D.C. metropolitan area nonprofit organization. The award rewards management competence, recognizes innovation, and promotes sustainable best practices that lead to excellence in nonprofit management.

“Shortly after I joined AALEAD, I attended the awards ceremony for the Washington Post Award,” said Rosetta Lai, AALEAD Executive Director. “Then and there I set a goal for management excellence. That goal has guided me to reach the level of success we have found in our practices today.”

The announcement of the winner will be on June 24, 2010.

CFNCMary’s Center Receives Award for Utilization of Electronic Health Records
Thanks to Lyda Vanegas, Advocacy and Communications Manager, for this update.

The Delmarva Foundation has recently granted Mary’s Center with the Excellence in Prevention through Electronic Health Records Technology Award.  The award recognizes Mary’s Center’s excellence in leveraging electronic health records to improve rates of cancer screenings and immunizations.

“Since the implementation of the electronic medical records at Mary’s Center, we’ve seen the improvement in our productivity and the optimization of our outcomes, and it’s encouraging to be recognized by this award,” says Maria Gomez, President and CEO.

The Delmarva Foundation is a national, not-for-profit organization with the mission of improving health in communities.  Mary’s C

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