GAFL 749 Leading Nonprofits FALL 2010 SYLLABUS Instructor/s: Tine Hansen-Turton, MGA, JD Nicholas Torres, M.ED Fall Term 2011 Day/Time: Tuesdays 6-9 PM Classroom: Fischer-Bennett, Room 322 Phone Number: 215-718-4250 (Nick) 215-219-8857 (Tine) Email Address: nick@philasocialinnovations.org tine@philasocialinnovations.org COURSE BACKGROUND Leading Nonprofits is designed for those who have a practitioner s interest in the leadership and management of nonprofit organizations and their intersection with the private sector. Leading Nonprofits takes the student through the process of starting a nonprofit to managing and leading non-profits through key decisions and stages of development. Leading Nonprofits also facilitates the learning of essential tools to conduct in-depth analysis of a non profit's effectiveness and utilization of best practices. Leading Nonprofits will have a particular emphasis on governance structures, leadership/management models and styles, strategy and business development, strategic alliances, and policy implications. Leading Nonprofits will also address contemporary challenges facing The Social Sector related to organizational ethics and accountability, environmental climates, market forces and financial sustainability, and legislative politics. Students will develop a unique framework for understanding the role and function of the Social Sector comprised of Nonprofits, Social Enterprise, Public and Private Collaborations and Partnerships. Students will also develop practical tools to apply this understanding to strategic management, leadership, and public policy decisions, and will learn new competencies within this emerging field. COURSE REQUIREMENTS AND GRADING 1
Students will be required to create, build, and govern an emerging and established mock Nonprofit. In addition, students will be paired with a leader and/or CEO of a regional Nonprofit and will be expected to identify, study, and provide a thorough analysis of the organization regarding the CEO s leadership style along with the organization s governance, strategic and/or business planning, resource development, resource management, marketing and communications and evaluation strategies. Students will submit one a final polished paper that examines and analyzes the various functions required for successful leadership and management of their respective organization. Smaller papers will be required throughout the course, but will represent sections of the final paper. The required readings, as well as class lectures and discussion will provide research and trends on best practices within the social sector. Each student will give an oral final presentation focused on their respective organizational analysis and recommendations for improvements. Attendance and class participation in the creation of the mock Nonprofit and case scenarios will be factored into consideration in determining the final grade. Final paper and oral presentation demonstrating mastery of the organizational competencies and external forces will be weighed heavily toward the final grade. COURSE OBJECTIVES: Upon completion of this course, students should be able to: 1. Establish a Nonprofit. 2. Write an in-depth analysis of a Nonprofit that includes: effective and non-effective leadership and management styles; nonprofit business/funding models and functions; the scope and dimensions of the Nonprofit Sector, and nonprofit s legal framework; the eight basic organizational competencies; role and function of the Board and/or Advisory Board of Directors as related to governance, funding sources, mission and position in the organizational life cycle; influence and impact of government, philanthropic, corporate, and individual investments; and legal and ethical standards. 3. Strategize on Nonprofit development that includes: strategic alliances across Nonprofits, Private, Social Enterprise, Public, and Coalitions; political, social and economic forces; and advancement of mission through influence and leverage that includes lobbying and government relations. This course is taught through a mixture of theory and real business case examples utilizing field assignments, small groups practice exercises, readings, and developing and operating a mock emerging and established Nonprofit. This course is taught through a combination of didactic and 2
practical lectures using case examples and small group exercises. Assigned text and article readings will broaden the students understanding of topics covered in the class. The final assessment will be based on participation in class mock Nonprofit exercise, a written paper, and final oral presentation demonstrating of the concepts. Distribution of the final grade is as follows: EVALUATION METHOD PERCENTAGE OF FINAL GRADE Participation (Group Feedback) 30 Paper (Writing Quality: Organization, clarity, grammar, power of ideas, cogency of examples, etc.) 40 Final Presentation 30 STUDENT CONDUCT Students are to submit their own work, and presenting the work of others as their own is not acceptable. In recent years, university students around the world have been tempted to appropriate information from the internet and to present it as their own. The incidence of this practice apparently is increasing. Suspected instances of plagiarism or other abuses in this course will be referred to the University Office of Student Conduct, and the students involved will be given grades of Incomplete for the course until the situation is resolved. All assignments are to be well written and to be submitted in smooth form for grading on the date due. On-time submission is a matter of fairness, since delayed assignments may benefit unfairly from the work done on time by other students and presented in class. Students who submit assignments after the date due may receive lower grades at the sole discretion of the professor. For stylistic guidance, the recommended handbook is Strunk and White, The Elements of Style. Students are advised to study The Elements of Style closely if they wish to score well on their written assignments. ATTENDANCE The course is planned on the assumption that students will attend all classes; students who miss classes should make arrangements to catch up without delay on the material presented and read an extra book on a related topic for that day and submit by the following class a succinct report showing the relevance of the ideas in the book to that covered during the missed class. Final grades of Incomplete will not be given except under extraordinary circumstances such as medical emergencies. Outside these extraordinary circumstances, if work has not been completed by the end of the course, a final grade will be assigned based on the best information 3
available in the sole discretion of the professor. Students are responsible for meeting all schedule commitments, including drop and add notifications, as well as for meeting all other program and degree requirements. REQUIRED TEXTS: READINGS There are three text books and many articles for this course. Students are expected to come to class having done the assigned readings in advance. Students should read the Collins and Crutchfield texts before class to capture primary ideas. The Jossey-Bass handbook will be used as a reference book throughout the course. D. Herman and Associates, San Francisco, 2005. Collins, J. Good to Great and the Social Sectors: Why Business Thinking is Not the Answer, A Monograph to Accompany Good to Great. 2005. Leslie Crutchfield and Heather McLeod Grant, Forces for Good: The Six Practices of High- Impact Nonprofits, 2008. Articles and materials. (Handouts and Blackboard) The readings will coincide with the topics that are covered in The Course Outline and Schedule. COURSE WEBSITE: The Website for this course can be found on Penn s Blackboard system where the syllabus, readings, and other materials will be posted. You will find readings, this syllabus, and other materials there. 4
SCHEDULE BY WEEK Week # 1: Overview & Introduction to the Nonprofit Sector Understanding of the Social Sector. Understanding leadership styles and how it impacts governance and ability to create impact. Understand goals/objectives of field assignment and mock nonprofit exercise. Presentation on basic taxonomy of the Nonprofit sector Presentation of social sector business models. Introductions & discussion of course objectives and expectations. Administration and application of leadership style test. Administration of pre course baseline knowledge test. Introduction to Guidestar as a tool to understand nonprofits Match with nonprofit organization leader Select nonprofit mock teams. D. Herman and Associates, San Francisco, 2005: Part One: Chapters 1 and 2. Collins, J. Good to Great and the Social Sectors: Why Business Thinking is Not the Answer, A Monograph to Accompany Good to Great. 2005. Leslie Crutchfield and Heather McLeod Grant, Forces for Good: The Six Practices of High- Impact Nonprofits, 2008. Week # 2: Nonprofit Law; Governance and Fiduciary Responsibility Understanding the nature, function and scope of the Nonprofit Sector. Understanding the Legal and Ethical Framework of the Nonprofit Sector. Understanding the basic role and functions of the CEO and management and Board of Directors. Discussion of historical perspectives in the US and internationally. Examination of similarities and differences between for-profit and nonprofit boards. Discussion on what characterizes strong and effective boards, their responsibilities and how they can be developed and nurtured. Examination of contemporary challenges to good governance. 5
Case Study: Multiservice Organization Mock Nonprofit Understand the components of organizational mission, articles of incorporation, public charity, bylaws and governance structure. Political, social and economic forces as they impinge on the governance function (e.g. political earmarks, Sarbanes-Oxley). Practice Deliverables: Complete necessary steps to create legal structure for a nonprofit organization Engage with field assigned Nonprofit organization and do background research. Sign social sector contract with Nonprofit organization. In teams gather the basic information to establish a mock Nonprofit in Pennsylvania. Readings (Handouts and Blackboard): D. Herman and Associates, San Francisco, 2005: Part One: Chapters 3, 4, 5. Axelrod, N. Board Leadership and Development Bowen, W., When a Business Leader Joins a Nonprofit Board Dees, J.G. 1998. Enterprising Nonprofits. Harvard Business Review, January-February: 4-15. Hall, P.D. Historical Perspectives on Nonprofit Organizations in the United States Miller, C. 2003 Hidden in plain sight: Understanding Nonprofit capital structure. Quarterly. Silk, T., The Legal Framework of the Nonprofit Sector in the United States Silverman & Taliento, L. 2006. What business execs don t know but should about Nonprofits. Stanford Social Innovation Review. Summer: 37-43. Taylor, B., Chait, R. and Holland, T., The New Work of the Nonprofit Board Van Til, J. Nonprofit Organizations and Social Institutions Week #3: Leadership & Governance Explore leadership models and theories over time from traits theory to organizational transformation. Examine leadership styles of regional and national leaders and their relationship to various strategies to manage change. Discuss different leadership styles. Understand the difference between organizational leadership and management. 6
Case Study: Multiservice Organization Mock CEO and Leadership Recruitment. Conflict of Interest Policies Student Presentations: Analysis of legal, governance, and fiduciary of respective field assigned organization. Mini Paper Assignment 1 Due (Ungraded, but submitted for feedback for final paper) Develop the right questions to understand leadership and governance dynamics during interviews with nonprofit leader and management team D. Herman and Associates, San Francisco, 2005: Part Two: Chapters 6, 7, 9 Relationship Strategies. How to Identify and Communicate with the Four Behavioral Styles. Herman, R., and Heimovics, D., Executive Leadership Beer, Michael. (2007). Leading Change. Harvard Business School. January. 1-6. Heifetz, Ronald; Grashow, Alexander; Linksky, Marty. 2009. Leadership in a (Permanent) Crisis. When the economy recovers, things won t return to normal and a different mode of leadership will be required. Harvard Business Review. July-August. 62-69. The Work of Leadership NGen Fellows Report Week #4: Business & Strategic Planning Understand business plans versus strategic plans. Understand theory of change, agency outcomes, unit projections revenues against expenses, and unit costs. Discussion on clearly articulating vision and mission statements with clear and measurable goals guides the work of the organization and holds the CEO accountable Case Study: Multiservice Organization Nonprofit Creation: Presentation of Mission, Vision, and Strategy/Business Goals 7
Student Presentations: Analysis of leadership of respective organizations following field assignment. Mini Paper Assignment 2 Due (Ungraded, but submitted for feedback for final paper) Review business or strategic plans of Nonprofit field assignment. D. Herman and Associates, San Francisco, 2005: Part Two: Chapters 8 Bryson, John M., The Strategy Change Cycle: An Effective Strategic Planning Approach for Nonprofit Hunter, David. 2006. Using a theory of change approach to build organizational strength, capacity and sustainability with not-for-profit organizations in the human services sector. Evaluation and Program Planning 193-200 Grant, Heather McLeod; Crutchfield, Leslie. 2007. Creating High-Impact Nonprofits. Stanford Social Innovation review. Fall. 32-41. Rangan, Kasturi, V. (2004) Lofty Missions, Down-to-Earth Plans. Harvard Business Review. March 1-10. Building Your Company s Vision, James C. Collins and Jerry I. Porras: Harvard Business Review. Fisman, Raymond; Khurana, Rakesh & Martenson, Edward. 2009. Mission-Driven Governance. Stanford Social Innovation Review, 7 (3): 36-43. Week #5 Evaluating Organizational Effectiveness Understanding the importance of program evaluation, outcomes, social return on investment and measuring organizational effectiveness. Understanding how to use data to drive mission, management and governance. Organizational and program measurement of effectiveness and social return on investment Case Study: Multiservice Organization Nonprofit Creation: Create Business Plan using class framework Determine Organizational Outcomes and tools for measurement 8
Student Presentations: Analysis of business plans and/or strategic plans of respective organizations. Mini Paper Assignment 3 Due (Ungraded, but submitted for feedback for final paper) Analyze of data and evaluation measurement of respective field organizations Identify data and evaluation outcomes and measurement controls for mock Nonprofit. D. Herman and Associates, San Francisco, 2005: Part Three: Chapters 14. Murray, Vic, Evaluating the Effectiveness of Nonprofit Organizations Tierney, Joseph P. And Grossman, Jean B., Making a Difference: An Impact Study of Big Brothers/Big Sisters, published by Public Private Ventures, Philadelphia, PA. Herzlinger, R., Effective Oversight: A Guide for Nonprofit Directors Sawhill, J. & Williamson, D. 2001. Measuring what matters in Nonprofits. McKinsey Quarterly, 2001(2): 96-107. Week 6 # Resource Development Articulate a development plan with targeted goals. Identify partnerships and investors to reach organizational development goals. Examine the prerequisites, principles and strategies which make up the fundraising process aimed at philanthropic sources. Understanding government funding and the special challenges it presents to mission driven Nonprofits. Discuss opportunities for developing for profit enterprises. : Effective Development Practices; Ethics of Fundraising; Value of human capital vs financial capital. Case Study: Multiservice Organization Development plan Presentation of Data and Evaluation Outcomes and measurement controls of respective organizations. Mini Paper Assignment 4 Due (Ungraded, but submitted for feedback for final paper) Practice Deliverables: Identify partner strategies for mock Nonprofit. 9
Identify partner strategies for field assignment. Research funding resources for mock Nonprofit. D. Herman and Associates, San Francisco, 2005: Part Four: Chapters 17, 18. Lets, C., Ryan, W., and Grossman, A., What Foundations Can Learn from Venture Capitalists Hunter, David. The End of Charity Burd, Nancy: Money Matters Massarsky, C., Enterprise Strategies for Generating Revenue Harper, M. 2002. Thinking sustainable profits. www.indiatogether.org/economy/articles/sustprofit.htm Lehr, David. 2008. Dialing for development. Stanford Social Innovation Review, Fall: 44-49. Foster, William & Fine, Gail. (2007). How Nonprofits Get Really Big. Stanford Social Innovation Review. Spring. 46-55. Sagawa, Shirley & Segal, Eli. (2000). Common Interest, Common Good: Creating Value Through Business and Social Sector Partnerships. California Management Review. Winter. Volume 42. 105-122. Measuring Value: A Guide to Social Return on Investment. Crook, C. 2005. The good company: A survey of corporate social responsibility. The Economist. Jan 22nd: 1-14. Week # 7 Resource Management Understand management strategy with appropriate controls regarding expenses vs. revenues and ability to make quick decisions. Understand the development of nonprofit budget, financial and management accounting, the audit function, risk management, and an analysis of the role of human resources. Risk and liability of nonprofits based upon financial and other reports Case Study: Policy Organization Organizational Budget; Projections, and Cashflow Presentation of development plans for respective organizations. Mini Paper Assignment 5 Due (Ungraded, but submitted for feedback for final paper) Creation of controls (i.e. checks and balances) for management of resources Analysis and interpretation of nonprofit financial reports 10
Analysis of resource management and development strategies of respective organizations. D. Herman and Associates, San Francisco, 2005: Part Four: Chapters 19. Anthony, Robert N., Young, David W., Financial Accounting and Financial Management Young, David W., Management Accounting, Herman, Melanie L., Risk Management Miller, Clara. (2005) The Looking-Glass World of Nonprofit Money: Managing in For- Profits Shadow Universe. Spring. Volume 12, Issue 1. Bedsworth, William; Gregory Ann Goggins; Howard, Don. (2008). NonProfit Overhead Costs Breaking the Vicious Cycle of Misleading Reporting, Unrealistic Expectations, and Pressure to Conform. The Bridgespan Group. Week #8 Marketing and Communications: Understanding messaging and vehicles for communications representing the service goals, financial projections, and social return on investment. Explore cause related marketing and other forms of revenue generating alliances with the for profit sector. Effective Communication and Marketing Analyze the appropriate tools for appropriate messaging (paper, web, social media, video, powerpoint) Case Study: Policy Organization Organizational Brand and Message Student Presentation: Analysis of resource management controls of respective organizations. Mini Paper Assignment 6 Due (Ungraded, but submitted for feedback for final paper) Practice Deliverables: Analyze resource marketing and communications strategies of respective organizations. Develop mock marketing and communications plan and targets for mock Nonprofit. 11
D. Herman and Associates, San Francisco, 2005: Part Three: Chapters 12. Gaitner, Brenda, and Moyer, Mel S, Marketing for Nonprofit Managers Berglind, Matthew; Nakata, Cheryl. 2005. Cause-related marketing: More buck than bang? Business Horizons, 48 (5): 443-453 Storytelling as Best Practice by Andy Goodman. Put Pen to Paper Tips and Techniques for Visionary Speeches Executive Presentation Guide Five Fundamental for Transforming Your Slides. Ferrick, Tom. 2009. Bleak House. Summer. Week #9: Building Alliances Class objectives: Examine three types of public/private partnerships: complementary, supplementary and adversarial. Analyze alliance strategies of respective organizations. Case Study: Policy Organization Marketing and communications strategy and plan along with targets for mock Nonprofit. Develop alliance strategy for mock Nonprofit. Student Presentations: Present analysis resource marketing and communications strategies of respective organizations. Mini Paper Assignment 7 Due (Ungraded, but submitted for feedback for final paper) D. Herman and Associates, San Francisco, 2005: Part Two: Chapters 6. Andreasen, A., Profits for Nonprofits: Find a Corporate Partner Dees, G., Enterprising Nonprofits Yankee, John, Wilken, Carol K. Strategic Alliances Nambisan, Satish. 2009. Platforms for Collaboration. Stanford Social Innovation Review. Summer. 44-49. Week #10: Advocacy and Coalition Building 12
Understanding how advocacy, lobbying and government relations can be utilized to advance the mission of a Nonprofit. Discussion what have we learned about building coalitions focused on social advocacy? Analyze advocacy and coalition strategies of respective organizations. Case Study: Policy Organization Strategic Partnership Targets and Value Added Memorandum of Understanding. Advocacy and Coalition Building Plan Student Presentations: Analysis of alliances and strategic partnership strategies. Mini Paper Assignment 8 Due (Ungraded, but submitted for feedback for final paper) D. Herman and Associates, San Francisco, 2005: Part Two: Chapters 10. Smucker, B., Nonprofit Lobbying, Handouts and Internet References. Harvard Business Journal, May 2010 Edition. Week #11: Managing People, Transitional and Generational Leadership Understanding recruitment and retention. Understanding the generational leadership differences. Understanding succession planning. D. Herman and Associates, San Francisco, 2005: Part Five: Chapters 23, 24. : Good Retention and Attrition Practices Case Study: Policy Organization 13
Nonprofit Human Resources Policies Succession Planning Student Presentations: Present advocacy and coalition strategies for respective organizations. Mini Paper Assignment 9 Due (Ungraded, but submitted for feedback for final paper) Weeks # 12 and 13 Bringing It All Together Student Presentations: Present advocacy and coalition strategies of respective organizations. Nonprofit Creation: Present advocacy and coalition building plan for mock Nonprofit. Student Final Presentations Final papers are due Week 12. 14