Tag Archives: cuts

Do NOT say “Need to Cut Costs? Involve Volunteers!”

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(update: Just got a tweet from GiveGood2012, which said,

@jcravens42 love the blog. You’ve made us rethink our marketing gambit. Thank you!!!

Hurrah for them! For all of us! Now, just several thousand other people to go…)

Back in December of 2011, I blogged about Survival Strategies for Nonprofits, also applicable to non-governmental organizations, (NGOs), community based organizations (CBOs), charities, and government agencies focused on the community or the environment, etc., per the current dire economic climate. I wrote that blog in response to so many blogs on similar themes that I found unrealistic – or that said something like this:

Are you a #charity or #socent who needs help to cut costs? Read about our skilled volunteer matchmaking service (a tweet from GiveGood2012)

As my long-time followers know, these kinds of statements drive me crazy, because:

  • Volunteers are NOT free. There ARE costs associated with involving volunteers, particularly volunteers in high-responsibility roles. To involve volunteers effectively, YOU NEED MONEY.
  • People looking for jobs (and, in case you haven’t noticed, there are a LOT of people looking for jobs), as well as unions, read those statements and say, “See, this is where we opposed volunteer involvement – you are doing this to replace paid workers!” It’s why the union of professional firefighters in the USA opposes all volunteer firefighting programs. It’s why the unionized school employees in Petaluma, California protested volunteer involvement in schools. Why shouldn’t they be outraged – you just said volunteers could – and will – take paid jobs away!
  • It leads to poor decision-making by boards of directors and governments. I was contacted by a state historical agency once upon a time. There were patrons of the state historical library that frequented the site and helped fellow visitors in finding information on an ad hoc basis. The agency decided to formalize the activities as a volunteer program, so visitors would know they were talking to someone who officially-represented the organization, so helpers received the proper training, and so helpers received the proper thanks. The informal helpers became formal volunteers, and the volunteers loved it — they saw it as a “promotion”, as a recognition of their knowledge and past help. The volunteer program flourished over just a couple of years, and the agency decided to present it as a success story to the state legislature, which provides funding for the library. Unfortunately, agency representatives presented it in terms of money saved: they calculated a dollar value for each hour the volunteers had contributed, and said, “This is how much money we saved involving volunteers.” And the state legislature was very impressed — so impressed that they cut one of the paid staff member positions and other budget items, and told the agency to do more with volunteers “so you can save even more money.

If you are thinking of converting any roles at your organization from paid to volunteer, do not think of it nor talk about it as a way to save money, and do not think of it nor talk about it as a temporary solution.

Instead, think of it as a permanent re-alignment of your organization. You are doing this for strategic reasons – choose to reserve certain roles for volunteers because you have decided volunteers are the best people for those roles.

Consider this:

  • Does the American Red Cross train mobilize thousands of volunteers to staff most of its services during crisis situations because it “saves money”, or because volunteers are actually the best people for those tasks?
  • Does the Girl Scouts of the USA have volunteers deliver the vast majority of its programs to girls to save money, or because volunteers are the best people for those roles?
  • Do many women’s domestic violence shelters reserve the role of victim’s advocate for volunteers because it “saves money”, or because its clients prefer to work with someone they know is volunteering in that role – they aren’t there for the pay, but because of their desire to help?
  • Does CASA recruit and train volunteers to help children in the court system to save money, or because volunteers are actually the best people for those roles?

When I was directing the United Nations’ Online Volunteering service, administered through UNDP/UNV, the head of UNV at the time, Sharon Capeling-Alakija (whom I miss every day), said something really interesting in a staff meeting that I have never forgotten: she said the reason she was so committed to the OV service was because, without it, “the only way people can be involved in UNV is to become a UNV and going into the field for two years, or by becoming a staff member at headquarters – and most people can’t do this. With this, anyone can be involved in our work now.” I loved that statement. I’ve never forgotten it.

If your organization or program decides that its going to increase the number of volunteers it involves, then reserve certain roles exclusively for volunteers – for instance, all consultancies that will support staff, all front desk/phone staff, all bloggers, all conference support staff, all food servers, etc., and make it a permanent change that will last even when the economy gets better.

Not only are volunteers NOT free, this realignment regarding volunteer involvement will cost money – probably more money than you are already spending now to support and involve volunteers: more volunteers will need to be screened, trained more than once, and supervised and supported, and all employees and volunteer staff in leadership roles will need training on how to work with volunteers – and training is rarely free!

Develop a mission statement regarding why your organization involves volunteers. For example:

All tasks at our organization related to advising new entrepreneurs/mentoring young people/delivering meals/repairing bicycles are reserved for volunteers. We feel these roles, which are fundamental to the meeting of our organization’s mission, are best done by volunteers – unpaid staff donating their time and talent – rather than paid employees.

Such-and-such organization reserves certain tasks and roles specifically for volunteers, per our commitment to create opportunities for the community to participate in, offer feedback and endorse our work.

As a part of our commitment to both transparency and to creating opportunities for community investment in our organization, such-and-such organization welcomes volunteers in a variety of roles, including activities that directly support our paid employees, leadership positions and client services.

 

Just as some jobs are best done by paid employees, some tasks and roles at our organization are best done by volunteers. We therefore reserve certain positions for volunteers, including…

 

Our organization involves volunteers so that we can tap into skills, experiences and talents beyond what our excellent professional staff already bring to our organization and its work.

 

Every employee at our organization looks for ways to involve volunteers in his or her work. This is part of our commitment to involving the community in all aspects of our work.

 

Such-and-such organization is committed to helping to cultivate new professionals in the field of name-of-field-redacted. Therefore, we reserve certain tasks and roles for volunteer interns, to provide career-development experiences to emerging professionals.

 

 

Lots more advice on writing a mission statement for your organization or program, and examples of such, here.

Also see:

Going all-volunteer in dire economic times: use with caution

The Value of Volunteers (and how to talk about such)

Survival Strategies for Nonprofits

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I’ve seen two blogs in the last two weeks regarding survival strategies for nonprofit organizations (NPOs), non-governmental organizations, (NGOs), community based organizations (CBOs), charities, etc., per the current dire economic climate.

I was unimpressed with both of them. They were all big picture ideas that lacked specifics (Refine your mission! or Merge with another organization!). Mission-based organizations are looking for ideas to do next week, to save or make money now.

These blogs also talked about volunteers only in terms of saving money – get volunteers to do those things that, in better economic times, you would pay someone to do.

So I came up with my own ideas, based on what I’ve experienced or observed at other organizations, to help a mission-based organization survive these tough economic times:

  • Make sure your web site and all of your social media activities emphasize what your organization is accomplishing, in detail, rather than your desperate need for funds. If someone looks at your web site, it should exude impact and results, not desperation. People and organizations are cutting back on donations, but they are NOT eliminating giving altogether; they want to give where they know their money will make a real difference. If your web site & social media activities aren’t emphasizing results and opportunities, and isn’t showing exactly what donations pay for, you are regularly missing out on donations.
  • Are you charging for activities and services as you should? For instance:
    • Organizing an activity for a group of volunteers from the local branch of a national bank requires a huge amount of time and resources on your part, often to create an activity that your own employees could do more efficiently or an activity that’s actually not critical to the organization – the activity is to give the group a feel-good experience, but it’s at your expense. Are you charging the corporation a fee, even a small amount, to cover some or all of these costs? Be ready to show a detailed lists of what the costs are for your organization to create this group volunteering activity.
    • Corporations frequently ask nonprofits to collaborate on a project, to advise the company on an activity, such as the development of new software or the launching of an event. For anything that is going to require staff to spend more than an hour on a corporation’s project, ask the corporation to cover the staff person’s time. Consider this: if you wanted the company to do a project for your organization, they would most probably charge you for that service – so why not ask them for the same consideration?
    • What about training for volunteers – what are the exact costs of this, and should you be asking volunteers to pay for some of these costs, even a small amount? Would a corporation be willing to give you a donation in return for saying that they “sponsor” all volunteer training?
  • Does your organization have a service or activity it could sell, for a fee? For instance,
    • If you are a women’s shelter that involves volunteers as counselors to victims of domestic violence, could you market the training you provide to these volunteers to local businesses, corporations and large government offices, as professional development for their employees? Those organizations could pay to have your trainer come onsite to their companies and train their staff regarding recognizing domestic violence, how to make referrals if they see an employee in need, etc.
    • If you are an animal shelter, would area dog trainers be willing to come onsite for a seminar on pet safety or pet training, providing their one-day training for free, with the seminar fee going to your shelter, and the trainers being allowed to pass out advertising about their training to attendees?
    • Do you charge even a nominal fee to those that want to use your company lunch room or common room bulletin board to advertise local services? (restaurants, pet boarding, printing, apartment finders, etc.).
    • Do you have a large space you could rent to other organizations and companies for events, meetings or storage?
  • Ask employees and volunteers for ways to cut expenses in the coming weeks and the coming months. Have them look at their individual program and department budgets and come back to you with ideas of ways to eliminate expenses. Let them submit ideas on-the-record and anonymously. Open ideas up to discussion (on a private online discussion group, for instance, or over lunch – and, of course, staff should provide their own lunches). You might be surprised at just how much money could be saved per the ideas of your own employees and volunteers.
  • Give each department or program a required target for expense reduction. 10%? 20%?
  • Do the written job descriptions for every employee and high-responsibility, long-term volunteer role at your organization reflect reality? Have every employee and high-responsibility, long-term volunteer review his or her job description and edit it to reflect what they are actually doing, to note what they can’t do but feel is still essential, and to note what they aren’t doing, and don’t feel they should be doing, but that’s still listed in the description. Are some staff duplicating each others’ efforts? Should some roles be combined (and, therefore, some positions eliminated or cut back)?
  • Could your organization afford unpaid furloughs for employees? Many employees would welcome unpaid days off to lengthen their holiday time off or their paid vacations. Ask employees for their feedback about the consequences to your clients and programs if they took an unpaid week off — or two weeks off — in summer, for instance.
  • Look at your printing costs. How much of what you are producing in print form could be offered online, with anyone who wants such printing it themselves (and paying for that printing themselves, either from home, from their work, from a public library or from a copy center?)? How much of what you print is actually being read – and should you reduce the size of your printed publications? Is your printed annual report really necessary this year? Do any of your volunteers, including board members, or family members of your employees work at large companies or institutions that might be willing to donate their onsite printing equipment to produce your program brochure? Do you charge the public or donors for any printed report that is more than 10 pages?
  • Be specific on your web site about your organization’s costs. How much do you spend each month on electricity, for instance? Post the cost to your web site and note that you are looking for an Electric Angel – someone willing to sponsor your electricity bill for next month, which will allow you to do whatever it is you do to add value to your community or the planet. Before doing so, make sure your utility use is efficient – is the office thermostat set to a energy-efficient setting?
  • Put a temporary moratorium on furniture purchases of any kind. Post your furniture needs to your own web site and to a freecycle online group for your area. Use your social media to discuss such as well.
  • It may be in the best interest of your organization to scale back, postpone, or even eliminate a service, program or activity. A nonprofit theater may need to scale back its season by one show. Another organization may have to eliminate or scale back an annual onsite event. This may be your opportunity to become even more focused on your mission. Look at how much every program or activity costs, in detail, and think about way to reduce those costs, or evaluate the consequences of scaling back, postponing or eliminating that program or activity in relation to your organization’s mission.
  • If you are thinking of involving more volunteers, don’t think of it as a temporary solution; think of it as a permanent re-alignment of your organization. If you decide that you are going to reserve certain roles for volunteers – for instance, all pro bono consultancies that will support staff, all front desk/phone staff, all bloggers, all conference support staff, etc., make it a permanent change that will last even when the economy gets better. Volunteers aren’t free. In fact, this realignment regarding volunteer involvement will cost money – perhaps more money than you are probably spending now to support and involve volunteers (they will need to be screened, trained more than once, supervised and supported!), but perhaps the savings from elsewhere can pay for this.
  • Be explicit to board members and the press about any cut that is going to affect the scope or even the quality of your organization’s service. It may sound great to an outsider for your organization to eliminate paid positions, while you know that the consequences to clients, the community or the environment will be devastating – think about how you will make those potential consequences crystal clear and very public. That can affect the thinking of an annual large donor that’s considering scaling back on their donations to your organization soon.
  • Get the press, government leaders and corporate leaders onto your location and viewing your work. I don’t mean fundraising events – I mean you need to invite them all to observe program activities, to attend a volunteer training, or to view for themselves your organization in action. The press wants something visually-appealing: people moving or laughing, or people being very expressive. Government leaders and corporations want to see something that is representative of your organization’s impact. Make these invitations in a friendly, no-pressure way, and do NOT ask for donations in the invite nor during the site visit. All you are doing is building connections and interest, so that when the time does come to ask for a donation, you have a relationship with the potential funder, and the organization understands your organization’s work.

You should have detailed information about your current expenses and a tracking system that allows you to see – and share – exactly how much money you are saving each month and each quarter over the coming year. In sharing that information, tout not only how lean and efficient your organization is; also note what the consequences are of these cuts to clients and the community. When announcing cuts, you don’t want to give the impression that your organization had been wasteful or frivolous in its spending previously – and with these cuts, now it’s not. You also don’t want to send the message that your organization can cut and save its way out of its financial challenges.

If you do end up cutting back or eliminating a program – and cutting employee positions – be as generous as possible with departing staff. You are saving your organization from financial hardship but putting employees into financial hardship:

  • Contact a temp agency or any employment agencies in your city and ask to arrange immediate onsite interviews for staff you are laying off, so that when you lay off an employee, you can hand that person a card and say, “This person is waiting for your call after our meeting to set up an informational interview, review your résumé and talk about employment openings and temp opportunities.” If there are no temp agencies in your geographic area, talk to your board members and see if they work at companies that have highly-skilled HR people, and if the company would be willing to donate this person’s time to do at least two job-coaching sessions with departing staff, regarding preparing résumés and LinkedIn profiles, the best online job boards to use and using social media for job searches.
  • Write each person a letter of recommendation and write a recommendation on his or her LinkedIn profile.
  • Give laid off employees at least three weeks salary and payment for all unused vacation (and remember that they will be out-of-work for MUCH longer than that, in all likelihood).

What are your ideas for saving money ASAP for nonprofits, NGOs and charities, so that they can survive the ongoing financial crisis? Be specific.