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A bit of Christmas spirit …

Published December 19, 2012 Uncategorized Leave a Comment

Once again, a highlight of the festive season has been the Choir With No Name Christmas Concert. If you didn’t catch them this year, then make a point of catching them some time next year. (I have to confess, I am an official CWNN groupie – as they call their supporters – but don’t just take my word for it check it out for yourself, www.choirwithnoname.org)

All members of the choir are people who have experience of being homeless, or otherwise living on the margins of society, who enjoy coming together to sing. Their shows are not at all sentimental or voyeuristic: this is a serious choir singing complex harmonies, not Saturday night karaoke. But it is also great fun – for the choir and their audience.

CWNN is the brainchild of the very talented Marie Benton and it has been her imagination, inspiration and persistence that has seen the original north London Choir With No Name go from strength to strength since it was founded in 2008. Since then it has performed across the UK, getting rave reviews and even supporting names such as Coldplay and Paul Weller. Last year saw the birth of CWNN Birmingham and a south London Choir has just been set up. And they say this is only the beginning…

I first came across CWNN several years ago, when they sang at an NCVO reception. Talking to members afterwards made me realise what a big difference an apparently small thing like joining the Choir had made to their lives: just being seen as ‘normal people who love singing’; doing something new – and doing it well; a chance to share stories and experiences; to be part of a team that helps each other; to prove themselves.

Seeing the Choir again this week, made me think about what we mean when we talk of ‘empowerment’. Too often it is associated with specific goals such as employability or personalisation, and more recently with activities such as running local services or taking over local assets. We forget that empowerment is also about the person within, how we feel about ourselves, our lives and our place within society. And we underestimate the importance of conviviality, of fun and friendship and the sense of belonging that that brings. That is what CWNN gives to its members.

Clearly food, warmth, shelter and security are essential priorities for all. But it is also true that everybody needs to be valued and respected for themselves, their spirit to be nurtured, regardless of their circumstances.

With homelessness once again on the rise, as the housing safety net falls apart, we need a diverse voluntary sector that both tackles the root causes of homelessness and provides support to those who are homeless or at risk of homelessness. Now more than ever.

We need organisations such as Shelter, speaking out on behalf of homeless people and campaigning for affordable homes for all. And we need those like St Mungos, providing emergency accommodation and longer term support to people with complex needs. But we also need organisations like the Choir With No Name, helping people living on the margins to feel good about themselves, their place in the world and their future. That is why I’m a proud member of the CWNN fan club.

Imitation is the sincerest form of flattery – will companies that use ‘social purpose’ as part of their branding affect charities?

Published September 6, 2012 public trust and confidence , Regulation , Uncategorized Leave a Comment

I read the Advertising Standard’s Authority’s ruling banning A4e from describing itself as a ‘social purpose company’ with interest.  I had thought that A4e were being ‘imaginative’, to say the least, when they said, on the home page of their website, “A4e is a social purpose company with one sole aim. To improve people’s lives around the world. We do this by helping them find work, skills, direction – or whatever it is they need”.  I wasn’t surprised therefore to hear that the ASA had upheld complaints about the use of the phrase, because the regulator was concerned that individuals would understand the claim to mean that A4e was a not-for-profit organisation.

My guess is that the ASA’s ruling will have lots of implications for other companies working in similar fields to A4e, providing public service contracts such as the Work Programme.  I imagine that, over the next few weeks, these companies will be making lots of edits to their websites and tender documents.

The Charity Commission’s latest survey of public trust and confidence in charities shows that charities continue to be held in high regard by the public.  It is not surprising then if a company seeks to gain some of that cachet by using ‘social purpose’ as part of their branding.

That said, there are countless examples of profit making companies who are honest and clear about what they do, and who have excellent corporate social responsibility (CSR) credentials.  For example, look no further than those companies featured in the Corporate Responsibility index  published by Business in the Community each year.  These companies are making a genuine and positive contribution to social good.  But it is important to remember they are also profit driven, whether for individuals or shareholders.

At the same time, the professionalization of charities over the last few years, and the drive to improve their efficiency, has led to some charities setting up commercial arms or subsidiaries to generate surpluses (profits) to support, or cross-subsidise, the activities carried out by their ‘parent’ charity. The challenge for these organisations is how best to describe the totality of their offering, with its mix of hard business decisions, and charity values, in a way that the public will understand and support, and which will enable these organisations to continue to attract fundraising income to support their charitable activities.

This requires sophisticated messaging, as the Commission’s survey also suggests that there is some evidence to suggest that the public already finds the boundaries between charities and other organisations blurred and confusing.  If charities cannot describe the totality of what they do, I wonder what the longer term impact will be on public trust and confidence.   Does it also make it easier for commissioners and funders, when faced with a ‘social purpose’ company or a charity ‘business’, to focus in the main on price?

Longer term, I think the ASA’s ruling will make companies delivering public services think twice about how they describe themselves.  Hopefully it will also act as a reminder to charities working in the same arena to reassert one of their most cherished characteristics – that any money they generate is used for public benefit, not private gain.  It is public benefit that after all that makes charities unique and special, and that’s a powerful ‘USP’ well worth guarding.

Rosie’s blog first appeared in the Guardian Voluntary Sector Network  

Squeezing the middle

Published November 23, 2011 Localism , Public services , Uncategorized Leave a Comment
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The age of austerity is affecting organisations in all sectors, but times appear to be particularly tough for local voluntary and community organisations delivering local public services. This is the sector’s ‘squeezed middle’: organisations that are too big to survive without funding, but too small to achieve the economies of scale needed to thrive in a more competitive environment. They are discovering is that it is hard to be a mission-driven organisation in a cuts-driven world.

Many of these organisations began life by challenging the way that public services were provided: identifying gaps and piloting new ways of delivering services to meet people’s needs more effectively. They were localism in action. That is why the sector has tended to be strongest in areas where the state has been weakest, for example in child protection and adult social care – for many years the ‘Cinderella services’ of the welfare state.

Opening up all public services to ‘any willing provider’ will create new opportunities for some, but not necessarily for this squeezed middle. I can only think of one or two national charities who may be interested in taking over some acute health services, for example. And in spite of all the talk of voluntary organisations running prisons in recent years, it is still just talk. Many, if not most want to continue doing what they do best: providing high quality specialist and niche services to local communities.

Yet this is more difficult to do when commissioners are going for fewer, larger contracts to help balance their budgets. And at a time when VCOs are competing for funding with organisations from all sectors, including major players in the business world – indeed, it could be argued that in this environment the very concept of ‘voluntary sector funding’ will soon be consigned to the history books.

VCOs are fighting back. We recently spoke to one CEO of a medium sized charity who has spent many months building and leading a consortium of local VCOs to bid for a large, single contract to provide services locally. Now waiting to hear if the bid will be successful, she highlighted the tensions and dilemmas for mission-driven organisations in the current financial climate:

‘I am perfectly comfortable being business-like, but that doesn’t mean I want to be more like business. I made a positive choice to come into this sector because I share its values and principles. Because it puts the user first, it’s not just about the bottom line.

‘I’ve put together the most competitive bid I can without compromising on quality or values; I would rather see my organisation go to the wall than do that.’

To some extent these concerns are shared by commissioners. As one senior local authority manager told us:

‘With the cuts we are in danger of losing real expertise, commissioners with specialist knowledge of services are being replaced by generic procurement officers who know a lot about process – EoIs and PQQs etc – but little about outcomes. I’m really worried that this will mean that contracts will go to those who can put in the best bid, not those who can deliver the best service.’

The Coalition Government is keen that, in spite of the cuts, the voluntary and community sector should play a key role in delivering public services – getting a larger slice of a smaller cake. Its best value guidance, for example, attempts to create a level playing field by emphasising the importance of social as well as economic value.  But, as always, policy is made as much by the actions of those on the ground as by the intentions of Ministers. And the reality on the ground is that local VCOs are being squeezed hard.

Belinda’s blog first appeared in Civil Society.

Independence and the impact of commissioning

Published September 21, 2011 Uncategorized Leave a Comment
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The creation of the Panel on the Independence of the Voluntary Sector is important and timely. (See http://www.independencepanel.org.uk/)   The voluntary sector’s independence is vital, and it will shape much of the discussion about the sector’s evolving role over the next five years.  We were therefore delighted to be invited to make a submission to the Panel, based on our experience of the sector.

In our submission we have focused on the impact of commissioning, not because we believe it is the biggest issue for all organisations but because the changes currently underway or envisaged are likely to have a significant impact.  This impact will affect public service delivery organisations directly but could have a much wider knock-on effect on how the sector overall is perceived.

However, in thinking about independence its worth remembering that changes in the voluntary sector are happening at a point where trust in charities and the voluntary sector is much higher than most other institutions.  It has not had a systemic failure such as that witnessed in the banking sector, nor has it suffered a crisis such as the MPs expenses scandal or ‘Hackgate’ in the print media.  We therefore remain optimistic about the sector’s future prospects.    To read our full submission see independence%20panel%20submission[1]

Getting out of the bath…

Published August 30, 2011 Uncategorized Leave a Comment

What are some of the future trends for strategic planning to 2015?

Why 2015?  Well, May 2015 will be the date of the next General Election, if the coalition government’s proposals for a fixed term Parliament get approved.

Why a bath?  Read on…

Nearly two-thirds of charities receive no public funding.  Their focus will be on longer-term major trends and how they can best respond.  For some charities that might be the impact of an ageing population, and the public’s changing expectations about the standards of care they require.  For others it may be climate change and environmental sustainability.   The exponential growth in mobile technology and open information sources will generate debate for others.

However, for any charity it will be hard to disregard the economic outlook.  It looks like Vince Cable’s likening of the economic downturn to the shape of a bath – a steep downward slope to the bottom of the bath, followed by a long flat period with conditions eventually improving and then a steep upturn – is proving correct.  The latest predictions are that we’ll be getting out of the bath by 2015, but that it will take a long time for households to notice it.

In the meantime the predicted increase in interest rates now looks to have slipped to late 2012,  the impact of the increased utility bills is being felt, and, for those charities working overseas, the prospect of turbulent exchange rates (albeit tempered by the Government’s relatively stable overseas aid budget) all add to a complex financial calculation.

For charities reliant on local authority or health funding the impact of the public spending cuts are already feeding through.  Finding and developing alternative forms of income and growing a social enterprise may be attractive, although the experience of charities in the past suggests that it can take years, even decades, to build up sustainable alternative business plans and income flows.

Others will focus on the opportunities offered by the Open Public Services White Paper, and the funding available from the Office of Civil Society to assist in bidding for public service contracts.

There will be consolidation in the charity sector, but it will not be dramatic.  For some charities, it will be a time to take a fresh interest in potential collaborators, as well as in merger opportunities.  Expect to see a lot of this activity amongst the infrastructure bodies.

Charities’ organisational structures will also change.  There is likely to be a shedding of regional structures, given the emphasis on localism and the need to bear down on costs.  The new found power and ideological differences of the devolved administrations, including their differing attitudes to the ‘marketisation’ of public services, will also impact upon charity structures.

Expect also to see a growing tension between a government transferring public services and promoting localism, whilst also wishing to retain central control arrangements in a number of areas.

There have been some signs of this already.

For example, the somewhat hastily drawn up proposals within the Public Bodies Bill started with the presumption that any charity funded by the government could be ‘directed’ to act in a certain way, and ‘required’ to carry out functions.  The National Trust and other charities successfully lobbied the government for this to be removed.

A second example is the government’s rule about the treatment and control over the use of formerly exempt charitable museums and galleries’ reserves.   These charitable funds are being counted as part of the government’s bank balance, and the charities will need advance permission from the Treasury to spend them.  This applies to most of London’s best known museums, who are currently examining ways of accessing their historic reserves without breaching Treasury rules.

A third is the recent government decision that NHS charities with corporate trustees should be regarded as ‘controlled’ for accounting purposes and included in the NHS’s ‘balance sheet’, albeit with an implementation date deferred  until 1 April 2013.

These charities will be at the centre of an on-going debate about appropriate models of governance and accountability that will safeguard their independence.

Last, expect to see charities using their independence to underpin their campaigning and lobbying activity and to demonstrate their benefit and value over the next few years.

(An edited version of Rosie’s article first appeared in September’s Charity Finance.)

Blog

Published August 11, 2011 Uncategorized Leave a Comment

Our blogs, posts and articles will appear here.

Contact details:

bprcassociates@gmail.com
Rosie Chapman 07803 504439 rosiechapman1@btinternet.com
Belinda Pratten 07535 715142 belinda.pratten@btinternet.com

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