Leading the Fundraising Charge: The Role of the Nonprofit Executive

NONPROFIT LEADERSHIP 101

The first book of its kind to link the role of organizational leader with the role of fundraising leader, Leading the Fundraising Charge explores the multifaceted elements and approaches that will cause donors to resonate with your organization.

You′ll learn why people give, what share of the market you might capture, and how much you need to invest in a fundraising program. Filled with essential guidance to deal with the challenges and issues that executives confront when leading a nonprofit organization dependent on philanthropic support, Leading the Fundraising Charge equips nonprofit executive directors, development directors, and nonprofit boards with best practice concepts, as well as an in–depth look at:

Leadership Concepts: discover what people expect of you in the CEO position Philanthropy Concepts: explore why a philanthropic culture makes such a difference Development Concepts: examine fundraising practices and who you should hire Relationship Concepts: learn best practices for attracting high–potential donors Solicitation Concepts: evaluate the strength of your case, campaigns, and communications

Preface xix

CHAPTER 1 Leadership Concepts
Essence, Enigma, Energy, and Effect 1

Introduction 1

ESSENCE of Personal Leadership
Necessary Elements and Ingredients 2

ENIGMA of Positional Leadership
Pressures of Being at the Top 18

ENERGY of Fundraising Leadership
Differences Between Good and Bad 27

EFFECT of Organizational Stages
Various Stages Will Alter Strategy 33

INFANCY
Vision and Values Create Impetus 36

CHAPTER 2 Philanthropy Concepts
Principles, Motivations, IMPACT, and Culture 49

Introduction 49

PRINCIPLES of Organized Philanthropy
Spiritual and Democratic Ideology 50

MOTIVATIONS of Personal Philanthropy
Discovery of Complexity and Complications 62

IMPACT of Community Philanthropy
Measurable Economic and Social Benefits 72

CULTURE of Organizational Philanthropy
Foundation for Successful Fundraising 81

ATTITUDE
Perception Influences Opinions 82

ADVOCACY
Communications Shape Cultures 84

ACTION
Aligning Cultural Ideas and Ideals 87

CHAPTER 3 Development Concepts
Profession, Professionals, Program, and Plan 95

Introduction 95

PROFESSION of Fund Development
From Begging, to Selling, to Marketing 96

PIONEERS (1641 to 1904)
Moral Imperative to Collect Contributions 98

CAMPAIGNERS (1905 to 1960)
Consultants Who Codified Campaign Theory 99

TECHNOCRATS and INNOVATORS (1960 to 1990)
Merged a Calling Into a Career 101

REFLECTORS and CORRECTORS (1990 to 2005)
Shifted to a Donor–Focused Culture 103

RESPONDERS (2005 and Beyond)
Faced Expansion, Retraction, and Globalization 104

PROFESSIONALS in Fund Development
Characteristics, Credentials, and Compensation 107

CHARACTERISTICS
Expertise, Competencies, and Conscience 108

CREDENTIALS
Education, Experience, and Certification 112

COMPENSATION
Equitable and Competitive Salaries 116

JOB DESCRIPTION
Roles, Responsibilities, and Expectations 117

PROGRAM for Fund Development
An Integrated Seemless System 121

STRATEGIES
An Integrated Development Program 121

RESOURCES
Adequate Infrastructure and Systems 124

TEAMWORK
Key to Unleashing Energy and Talent 132

PLAN for Fund Development Program
Articulation of Metrics and Methods 136

COMPONENTS of the Plan
The Individual Parts, Assembled, and Linked 138

EVALUATION of Plan
Measures to Reduce Risk and Increase Effectiveness 141

CHAPTER 4 Relationship Concepts
Social Exchange, Alignment, Cultivation, and Management 147

Introduction 147

SOCIAL EXCHANGE in Relationships
Move From Transactions to Transformations 149

MARKETING
Social Exchange Based on Shared Values 149

MOTIVATIONS
Evaluation of Constituency Profile 153

CONSTITUENTS
Focus on High Potential Prospects 156

ALIGNMENT of Relationships
Constituency Analysis Uncovers Patterns 163

RESEARCH
Identify Donors With Linkage and Interests 164

SEGMENTATION
Organize Similar Donors Into Groups 170

TARGETING
Rate, Rank, and Match Donors With Cases 172

CULTIVATION in Relationships
Strategies To Build Long–Term Relationships 175

DONOR PYRAMID
Donor Movement and Monetary Distribution 176

CULTIVATION CYCLE
Process to Engage Donors Toward Mission Affinity 179

MOVES MANAGEMENT
Relationship System Involving Multiple Contacts 182

MANAGEMENT of Relationships
Techniques To Expand the Donor Base 184

ACQUISITION
Identify and Invite Donors to Give 186

RENEWAL
Encourage Donors to Repeat Behavior 190

UPGRADE
Building Donor Loyalty and Attachment 193

OVER–ABOVE
The Final Step in Donor Management 195

CHAPTER 5 Solicitation Concepts
Case, Campaigns, Communications, and Goals 199

Introduction 199

CASE to Solict Gifts
Critical Elements of a Case for Support 200

MISSION
Relevance and Achievability of Vision 201

LEADERSHIP
Marketplace Position in the Community 202

STABILITY
Structurally Sound and Financially Responsible 203

READINESS
Institutional Assessment of Worthiness 204

CASE FOR SUPPORT
Compelling, Urgent, and Realistic Goal 205

CAMPAIGNS to Solicit Gifts
Integration of Fundraising Methods 207

ANNUAL
Program for Repeat, Loyal Giving 210

MAJOR
Program for Inspired, Impactful Gifts 213

CAPITAL
Program for Mega, Named Donors 215

LEGACY
Program for Donors′ Last Gifts 218

COMMUNICATIONS to Solicit Gifts
Motivational Elicitors to Generate a Response 221

DONOR FOCUSED
Creation of a Social Exchange 222

METHODS
Solicitation Effectiveness and Efficiency 229

STEWARDSHIP
Accountability for Donors and Dollars 236

GOALS to Solicit Gift
Budgetary Approach to Match Needs and Interests 240

Summary 243

References 243

About the Author 245

Index 247

KARLA A. WILLIAMS, ACFRE, is the principal of The Williams Group, a consulting firm serving clients across the country who want to enhance and expand their philanthropic efforts. She works with CEOs and trustees to assess their potential for civic engagement, create innovative nonprofit programs, and recruit talented people. She is nationally known and a highly respected industry leader, bestselling author, adjunct faculty at three universities, and expert in nonprofit organizational development.