Right on the heals of the Ontario College of Teachers admission they are not transparent enough with the stakeholders, the Toronto Star broke another story this weekend about Mothers Against Drinking and Driving: MADD's 'exorbitant costs' anger charity's volunteers.

The Oakville-based National Charity is taking it over the head from dedicated volunteers who have to request financial information about the organization.  We are not going to spend much time analyzing the arguments presented on both sides, because we think some of the language speaks for itself:
  • 'They have a right to know where it really goes'
  • 'Won't reveal MADD Finances - salaries and administrative expenses'
  • 'One in six charities spent more on fundraising and administration than they did on charitable work'
  • 'Fundraisers typically take 70-90 cents of each dollar'
  • 'Counts the worts in each fundraising request and appropriates expenses based on that'
  • 'Ironically, the person who does not donate get the most public awareness'
  • 'Incorrect allocations of expenditures'
  • 'Enhance the accountability of our expenses allocations'

We did our own 'sniff test' on how MADD shares information. We quickly found a page Where the Money Goes - Budget and Financial Statements in just a few clicks. However, the page itself was a little underwhelming, PDFs uploaded to the website which can be down loaded. The traditional method of lazily pushing information out to the public. 

Although MADD seems to have taken the first step towards transparency there is much more they can be doing to remain accountable to their stakeholders.  For example, presenting reports in a more accessible manner so that they can be viewed without being downloaded will likely increase the number of document views.  Adding commentary so there is a story behind each document will add context.  Creating a space where people can engage online - share comments, opinions, and ask questions will create an engaged community. 
We have a friend/colleague who used to be heavily involved at MADD. We are going to ask her about this story, her experience and how our approach to the Sharing Imperative can help. As Framework's goal to help creatively connect people to causes and causes to people, it is important that we understand why traditional Nonprofit Management is so often failing to meet the expectations of the general public. 

Do you have a similar experience? What do you think of the Star article? Want to get involved in getting the Sharing Imperative into the water supply? If so, contact us.
 
 
To read the full post, click the photo below. You'll be directed to Sharesies.org. But a quick recap: Over 3,500 professional fundraisers from around the world gathered in Vancouver April 1st to 3rd to learn and talk about the future of Philanthropy. Anil and Aine (pictured below) has a booth set-up to listen to and share with attends interested in the Future of Philanthropy and how technology can play a role.
Picture
Click the photo to read the full post on Sharesies.org
 
 
Yesterday was the first day of Mashable’s Social Good Summit (#SocialGood).  The Summit is presented in conjunction with the United Nations Foundation and brings together organizations working to resolve world issues using innovative ideas.  

One of my favourite presentations today was by Scott Harrison  the founder of Charity: Water a non-profit that brings drinkable water to people living in developing countries.  Charity: Water is one of the few charities that operates on a 100% donation to project mandate which means that every dollar raised goes directly to funding clean water projects.  

What I loved about this presentation was Scott’s approach to funding transparency.  Since all funds raised go directly to projects, they are able to connect actual dollars raised to physical projects in the field and give donors a direct look into the projects they are funding.  

Today they announced the ‘Dollars to Project’ initiative which brings a new level of transparency to the way they communicate with donors.  This new website provides donors with a comprehensive online report that tracks every dollar raised.  

Once the money is raised and the project is completed, fundraisers will receive an individualized report that lets them know what countries their funds supported, how many were served, and how their funds were used.  Each project is assigned a unique GPS code which is included in the report and pinpoints the exact location on a Google map.  In addition, each reports comes with a series of images of the project site and is completely sharable with embedded sharing features.

This is exactly the type of transparency that needs to be promoted within our sector.  We are already doing this at Framework when we sharing all our budgets, invoices, and expe_nses online.  Seeing more and more charities move towards this method of giving is very important to maintaining a strong degree of transparency and trust with donors.

Another announcement which had me very excited was Howard Buffet’s announcement of LearningbyGivingFoundation.org. A new fund investing in teaching philanthropy in post-secondary institutions.  The foundation is funded by a $5 million dollar gift (or ‘investment’) by Doris Buffet.  McMaster University was listed as one of the schools involved with the project.  Partner schools teaching these classes will $10,000 grants to distribute to local non-profits within their community.  

These are only two of the very exciting projects announced today (as I jokingly put it on Twitter #socialgood is the charitable sector’s #techcrunchdisrupt) and there are still two more days of announcements and inspirations.  I am really looking forward to seeing how the rest of the conference unfolds.
 
 
BY ANIL PATEL, EDITED BY TEAM FRAMEWORK

On June 27th/2011, the Ministry of Citizenship and Immigration announced a $3 million round of funding available to eligible non-profit organizations. You can read about the funding criteria here. The primary applicant has to engage two other official collaborators on the project and submissions are due July 29th/2011. You can see the entire proposal, budget and research online here. (Essentially, we were seeking up to $280K to hire a shared service in Information Communication Technology (ICT) Systems Administration plus related costs for 10 organizations over three years.)

In early July, a number of organizations contacted Framework stating interest in working alongside our team as collaborators (and vice versa). Being summer, many people were on holidays, making it a tricky time to pull something together quickly and more importantly, well.

As of yesterday, we were 97% done. The logic model is amazing. The ‘need’ well documented. A significant amount of pre-work was complete on the ICT planning amongst the organizations that we were collaborating with us  (via our Open Architecture model).

Sadly, there was one small technical glitch that brought the submission to a halt, one of little significance, not worth commenting on. As a result, we’ve dropped out of this proposal. #fail.

What is important is what we learned from this process.  I spoke to nearly 30 organizations, most of which were leading or sponsoring a submission, making this a very competitive round.  The submission required technology planning as part of the application, so there was a strong possibility that many of the applications would be applying for funding to support very similar ideas.  Finally, the one-month submission window left little time to develop innovative ideas and identify partnership/collaboration opportunities.  

So here is how we are moving forward:
  • All of our major proposals that are being submitted to a public granting body or foundation/corporation interested in collaboration/transparency will be posted online, even while in development;
  • We will actively solicit feedback from our trusted colleagues about the logic model, activities/impact, budget and reporting methodology;
  • All successful and unsuccessful proposals will be visibly made available;
  • As the number of proposals grow, we want to engage funders to see how this level of transparency can augment their reporting regimes for better collective learning amongst other funders and grantees
Sharing this failed proposal online verifies our belief that we are working faster and smarter, not harder and in circles. This proposal write-up and dissemination was approximately 3x faster than similar proposals we’ve applied to in the past. If we were successful, reporting would be 10x faster and easier than our old methods.

What do you think? This proposal sharing is in beta: what do you like about our plan? What concerns you? would you be willing to share proposals, ready or not? Why, or why not? Feedback is most welcome. In our next post, we will discuss the above with respect to Canada’s Grants Economy1.

Note #1: The Grants Economy is the number of fundraising professionals who help raise money or act as consultants to foundations and corporations about where donations should go.