Business development through
capacity building
Harriet Stranks – Director of Grant Making, North & Wales
@harrietstranks
@lbfew
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
1
Our Model: More than just a Grant-Maker
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
2
Government has cut funding and directed it to larger charities
Changes in
income from
local and
central
government
Change in income (% change)
2008/09 to 2012/13
Changes in
income from
grants and
contracts
3
Small and Medium sized charities – Why they matter.
1. Local knowledge & understanding – rooted/embedded
in their communities
2. Boosting local social capital – building/nurturing
networks (from not to the community)
3. Working with complex needs – foster trust & personcentred
4. Innovation in service delivery – responsive & adaptive,
not one-size fits all
4
Follow us on Twitter @LBFEW
4 Strategic Priorities; 3 Cross-Cutting Objectives
1. Championing Small & Medium-Sized Charities
2. Improving responses to Domestic & Sexual abuse,
strengthening the sectors, reducing abuse at source
3. Tackling Financial Exclusion
4. Demonstrating new models – Homeshare programme
And…
A. Building the evidence base: evaluation & research
B. Raising our voice, increasing our profile
Follow us on Twitter @LBFEW
5
New Programmes launched April 2014
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
6
A Focus on Multiple Disadvantage & Measuring Impact
7
Relationship based grant making
Louise Telford NE
and Cumbria
Michele Lester
NW/Yorks
Yvonne Taylor
NW/Yorks
Gary Beharrell
East Midlands
Peter Cunnison
West Midlands
Jude Stevens
East /London
Mike Lewis
Wales
Emma Beeston
West Of England
Clare Rance
South West
www.lloydsbankfoundation.org.uk
Emma Tregear
South East/London
Sara Cooney
South Central/London
Follow us on Twitter @LBFEW
8
INVEST programme
•
•
•
•
•
Up to 25k for up to 6 years
Will support core or project costs
Must meet focus on multiple
disadvantage and transition
Must meet at least one of the Transition Outcomes
and at least one of the Progression Outcomes
• Must have systems in place to monitor outcomes
• Must be able to evidence need
9
INVEST programme outcomes
Examples of Transition Outcomes
• Safe, independent and able
to make positive choices
• Becoming employed
• Have not re-offended (in the
previous 6 months)
• Achieved accredited
qualification
• Progressed into or re-entered
education or training
• Safely managing addictions
• Progression into safe and
suitable accommodation
www.lloydsbankfoundation.org.uk
Examples of progression outcomes
•
Improved safety
•
•
Improved physical health
Improved mental health
•
Reduced isolation/increased
support networks
Improved employability
•
• Reduced substance
misuse/addictive behaviour
• Managing a tenancy and
accommodation
Follow us on Twitter @LBFEW
10
Enable programme
• Must meet focus on multiple disadvantage and
transition points, with holistic delivery
• Where a charity has identified a specific organisational
development need
• Must have a clear work plan of activities which lead to
the outcome
• Total grant of up to £15k up to 2 years
• The outcome must be to strengthen the organisation
in one of 5 areas
11
Enable & Enhance programme outcomes
IMPROVED ACTIVITIES AND SERVICES
IMPROVED LEADERSHIP/GOVERNANCE
IMPROVED STRATEGIC PLANNING/POLICY
IMPROVED STRUCTURES/SYSTEMS
IMPROVED COMMUNICATIONS
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
12
Enhance Support
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
13
Enhance – development
principles
Enhance – Background
– 3 elements
Enhance support will be provided through a
mix of three channels:
Bank Support
Foundation
Support
External
supplier
Grant
Manager
matches the
needs of the
charity
1.
External Supplier: Including third party
consultants, agencies, memberships or IT
programmes.
2.
Foundation Support: Online resources
and Grant Manager signposting relevant
information sources.
3.
Bank support: Bank volunteers to
become charity mentors to support
charities while boosting their own
personal development.
Charity Mentor - ‘critical friend’ provides charity with feedback and encouragement as well as some basic business
management support based on their own personal business experience.
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
14
Strengthening Charities – LBG Charity Mentoring
Bringing together colleagues from Lloyds Banking Group with
charities funded by the Foundation, Charity Mentoring is
about facilitating high-value volunteering and providing a
much needed resource to charities in the current climate.
Charity Mentors draw on their professional skills, experience
and networks to support charities. They offer challenge,
feedback and encouragement to help charities tackling their
most pressing issues.
Visit the Intranet to
enquire about Charity
Mentoring and sign
up.
310 Charity Mentors
have been matched
with charities funded
by the Foundation so
far, including 40
Mentors in London
“Mentoring makes us become the best
we can be. It makes you raise your
game. Going into a new setting and
meeting new people has made me think
really carefully about the strategies and
approaches that I use.
It’s made me reflect on how I interact
with my team, and bring these
approaches back into the business. ”
Nigel Mann, Halifax and Charity Mentor for Focus
12 Durg and Alcohol Rehabilitiation Centre, Bury
St Edmunds.
15
Enhance – development principles
The Foundation wanted to create a type of support that:
1.
2.
3.
4.
5.
6.
Delivered the aim -‘to strengthen funded organisations so that they can
deliver better services for people facing multiple disadvantages’
Stood a reasonable chance of delivering the outcomes
Was ‘simple and light touch’ to access
Was ‘personal, proportionate and appropriate’ for the charities
Had ‘no conditions’ attached or penalties for potential failure
Used other non-profits to deliver services
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
16
Enhance – Founding principles
•
•
•
•
•
•
The support should build capacity within the organisation, not merely
provide a quick fix solution.
The charity was the client, not the Foundation.
The Foundation would not be a party to any of the external support
delivered.
The organisation (senior responsible person) should be committed and
willing to engage, if this became an issue, support could cease.
Consultant support would be outcomes focused with a clear plan
Bank support was more organic in approach and depended on the
individual skills of the mentor.
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
17
Enhance
– What
charities
accessing
support for y/e)
66 Enhance
Awards
(£149k)
+c100 are
Charity
Mentors(aim=250
Number of charities recieving each type of Enhance intervention
(total 658 outcomes from 267 charities)
Project planning
Reaching new audiences
Risk management
Website development
Collaboration
Financial controls
Marketing
Human resources
Review of board
Change management
Trustee training
Social entrepreneurship
Impact assessment
Policy and practice
Procedures Review
Monitoring frameworks
Fundraising strategies
Income generation
Business planning
0
10
www.lloydsbankfoundation.org.uk
20
30
40
50
60
70
Follow us on Twitter @LBFEW
80
90
100
18
Enhance – Key Learning from IVAR evaluation
Helped
A high level and experienced support provider with a focus on
strategy
Hindered
Support that is basically an injection of part-time help with practical
issues rather than focused on organisational effectiveness
A match between the skills of the support provider and the charity’s
needs
Lack of ‘fit’ or empathy between the charity and the support provider
Securing high level strategic input on the charity board
Weak or unstable charity leadership
Being left with a very clear action plan that focused energies
Support for governance not welcomed by the Chair and/or failure to
include all the trustees
Involving everyone – staff and trustees – so that the support reaches
into the heart of the organisation
Lack of organisational capacity, especially where the chief executive
officer is part-time
A relationship was maintained with the provider after the formal
support had ended.
The charity is in a financial crisis and focused on fighting for survival
The support provider is:
o
enthusiastic
o
committed
o
motivational
o
inspiring
o
non-judgemental
o
knowledgable
The support provider is:
o
providing support in areas which are not specifically his / her
area of expertise
o
inconsistent / unreliable
o
putting their personal benefit before the best interests of the
charity
o
too busy
o
out of his/her depth
The charity
o
is half-hearted about support or doesn’t appreciate the
implications for time and effort
o
is not motivated or is unable to address the issue identified as
likely to produce the most change
The charity has:
o
commitment to the process
o
capability to effect change
o
capacity for implementation
o
strong leadership with strategic vison
Evaluation learning – IVAR report
1. Unintended consequences of the support were sometimes more valuable than the intended
outcomes, such as increased confidence, increased ability to act or lead, reduction in
isolation and increased networks.
2. It was important to reduce the risk of key man /woman dependence by involving a wide
range of people in the support.
3. It was important to work at the pace of the charity
4. It was important to see capacity building as a strategic journey rather than disjointed pieces
of work.
5. It had to be assumed that there would be failures in some of the support, this usually fell into
the following categories;
•
•
•
•
rapport was not established / not given a chance to develop
changes in staff
the charity did not seek help from the Grant Manager when the support started to fail
the charity went into crisis / fire-fighting mode and could not focus on development.
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
20
Targeted work in Redcar and Port Talbot - Values and approach
1. We will work with the selected projects to support them in a nurturing and helpful way. We will not
impose our opinions on them but help them to find solutions which suit their values and culture.
2. We will act as facilitators and convenors, we will create conversations, bring the right people together and
link them together, encouraging strategic thinking and helping the organisations to consider the needs of
the population as a whole.
3. We will support the development of networks to reduce isolation and duplication and increase cross
referral mechanisms.
4. We will recognise competition and support development of healthy competition.
5. We will promote the value of small and medium-sized charities to other local stakeholders and we will
work to get these organisations a seat at the table of decision makers and influencers.
6. We will involve other funders in our work and keep them informed, encouraging them to collaborate.
7. We will work at the pace of the organisations involved and allow them to lead the way, we will be
respectful and maintain confidentiality of their development needs.
8. The emphasis of the pilot will be on creative co-creation, not steering.
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
21
How else does the Foundation support grantees?
1.Ella Forums
2.School for Social Entrepreneurs
3.Action learning sets
4.Grantee focus group
5.Westminster events
6.Charity Achievement Awards
7.Round tables on specific subject areas
8.Grant manager connecting and networking charities
9.Grant manager support and signposting
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
22
What next? How we need to adapt our strategy
1. Enhance can be more strategic and have a bigger impact
2. Charities need to recognise their journey and engage with the
ambition
3. We need to start with strategy and engage Trustees
4. Impact measurement is poor
5. We need more tools in the toolbox
6. Fundraising, digital, commissioning etc.
7. Blended finance. Repayable grants
8. Charities in crisis
9. Working with other funders.
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
23
Doing more with less
1.Most charities we speak to report an increase in
demand, few are being strategic about how they cope
with that
2.Facing forward report – practical steps for charities to
plan for the future
3.Making the most of free resources – Cranfield Trust,
Corporate partnerships, CITA, NCVO, sign posting
4.Diversifying income streams and finding ways to
increase unrestricted funding
5.Manging risk in grant making more effectively.
6.Buying into leadership, not balance sheets.
www.lloydsbankfoundation.org.uk
Follow us on Twitter @LBFEW
24