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Jason Saul on Selling Your Impact - From Cutting Edge Collaboration, Jan 25th and 26th, 2012

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Text of Jason Saul on Selling Your Impact - From Cutting Edge Collaboration, Jan 25th and 26th, 2012

  • 1. Selling Your ImpactCentral Appalachia RegionCross-Sector Partnership WorkshopJanuary 26, 2012

2. Why So Expensive? CostPer$100Raised$25$20$15$10 $ $5 $0ObamaMcCainCorporations NonprofitsCentral Appalachia Cross-Sector Partnership Workshop2 2012 Mission Measurement, LLC. 3. We Have No LeverageCentral Appalachia Cross-Sector Partnership Workshop 3 2012 Mission Measurement, LLC. 4. Charity is Declining For the second year in a row, philanthropy has seen the deepest decline ever recorded. Contributions to foundations fell 8% in 2009, following an almost 20% drop the year before.Central Appalachia Cross-Sector Partnership Workshop 4 2012 Mission Measurement, LLC. 5. Where We Are TodayCentral Appalachia Cross-Sector Partnership Workshop 5 2012 Mission Measurement, LLC. 6. Business Model for Charity in JeopardySeptember 23, 2011 Obama Bill Scrambles CharitiesCentral Appalachia Cross-Sector Partnership Workshop 6 2012 Mission Measurement, LLC. 7. Jobs is the New PhilanthropyOctober 28, 2011 Are Companies Responsible for Creating Jobs? Central Appalachia Cross-Sector Partnership Workshop 7 2012 Mission Measurement, LLC. 8. CSR Has Only One Bottom LineJune 14, 2011To Be Good Citizens, Report Says, Companies ShouldJust Focus on Bottom LineCentral Appalachia Cross-Sector Partnership Workshop8 2012 Mission Measurement, LLC.http://www.nytimes.com/2011/06/15/business/15charity.html 9. Social Innovation Can Take Many Forms October 21, 2011ForF some of th worlds poor hope comes via design f the ld h i d i Central Appalachia Cross-Sector Partnership Workshop9 2012 Mission Measurement, LLC.http://www.nytimes.com/2011/10/23/arts/design/for-some-of-the-worlds-poor-hope-comes-via-design.html?ref=todayspaper 10. New Models at the IntersectionOctober 12, 2011New Companies Combine Profit and CharityCentral Appalachia Cross-Sector Partnership Workshop10 2012 Mission Measurement, LLC. 11. A New Generation of CSRCSR 3.0 CSR 2.0SocialInnovationCSR 1.0StrategicPhilanthropyCharity AccountabilityBusiness ValueCentral Appalachia Cross-Sector Partnership Workshop 11 2012 Mission Measurement, LLC. 12. Today, Its All About Impact and ValueHeadache Medicine Low Prices Website A Pain RelieverA Better Life The power to make the world more open andconnectedCentral Appalachia Cross-Sector Partnership Workshop 12 2012 Mission Measurement, LLC. 13. Social Innovation ExamplesCentral Appalachia Cross-Sector Partnership Workshop 13 2012 Mission Measurement, LLC. 14. Central Appalachia Cross-Sector Partnership Workshop 14 2012 Mission Measurement, LLC. 15. New Sources of Funding The Independent Sector The Social Capital Market$200 Billion$6 Trillion $100 Billion carve-out forchurchesCentral Appalachia Cross-Sector Partnership Workshop 15 2012 Mission Measurement, LLC. 16. A new set of stakeholders Independent Sector: Social Capital Market: PhilanthropistsImpact BuyersCorporate BeneficiariesPartners UpstreamBeneficiariesFoundations BoardConsumers that can paySocialS i l SharedBenefitValue ServiceSocial Government Providers Investors DonorsCentral Appalachia Cross-Sector Partnership Workshop16 2012 Mission Measurement, LLC. 17. Impact buyers: whats in it for them?Sees social andbusiness value Corporate Partners Relies on outcomes to create economicValues the personalvalue return on investment Upstream Beneficiaries Consumersthat can payHigh ValueBenefit Service SocialProvidersInvestors Sees an opportunity Allocates resources to improve servicesto buy certainofferingsoutcomes.Central Appalachia Cross-Sector Partnership Workshop 17 2012 Mission Measurement, LLC. 18. Impact buyers BuyerDescriptionExamplesAn outcomes-driven funder who has allocated a Social Investorsspecified amount of funding specifically to "purchase " a specific set of results.An individual or organization who consumes yourBeneficiariesthatth t can payproducts or services and is able to pay for benefits received.An organization that relies on your outcomes toService Providersenhance its service offering or achieve its owng business objectives. An individual or organization that relies on socialUpstreamConsumers Consumers outcomes produced earlier in the value chain togenerate desired outcomes or income.Companies that require certain social change inCorporatePartners order to create direct economic value for the business. b iCentral Appalachia Cross-Sector Partnership Workshop18 2012 Mission Measurement, LLC. 19. New realities1. Social outcomes now have economic value2. Its okay to expect an economic return from doing good3. Not all outcomes are created equalCentral Appalachia Cross-Sector Partnership Workshop 19 2012 Mission Measurement, LLC. 20. High-value outcomes HighStrategic Philanthropy High-Value Outcomes Affinity-based appeal toEvidence-based appeal toindividuals & foundations impact buyers alue Social VaCharity Business Income Emotional appeal toUnrelated corporateindividuals( (cause) marketing ) gLowwEconomic ValueLowLEconomic Value HighHi hCentral Appalachia Cross-Sector Partnership Workshop20 2012 Mission Measurement, LLC. 21. Change the conversationOUR NEED TO SELLTHEIR NEED TO BUY Case for Support Business Case Our approach, p gpp, program Their need or pain p and services The value you can offer Our impactthem O accomplishments Our li h t E id Evidence th t you can that meet their need Its not about telling our story, its about showing our valueCentral Appalachia Cross-Sector Partnership Workshop 21 2012 Mission Measurement, LLC. 22. The Formula Capture YourMarket Sell ImpactYour Impact Your Impact Engage Identify thestakeholdersimpact Build the to developbuyers who business case your inventory value your for current andof outcomes,outcomes,new investors assets and assets and capabilitiescapabilitiesCentral Appalachia Cross-Sector Partnership Workshop 22 2012 Mission Measurement, LLC. 23. Key QuestionsWhat does this new market mean for us?What outcomes can we sell? sell ?Where can we create the most leverage?Central Appalachia Cross-Sector Partnership Workshop 23 2012 Mission Measurement, LLC. 24. Sell Your ImpactRonald McDonald House Charities Example Children & Families RMHC Chapters Owner/OperatorsSuppliers McDonalds CorporationGrantees Hospitals DonorsCentral Appalachia Cross-Sector Partnership Workshop24 2012 Mission Measurement, LLC. 25. Sell Your ImpactExample: Value Propositions Outcome orShared ImpactNon Profit Need/Pain ValueValueBuyer Enable family ImprovedIncrease bed centeredpatient resultsturnover care and shorter d h t improves i hospital stays revenue Improve Increasebrand trust customer Drive sales revisit intentCentral Appalachia Cross-Sector Partnership Workshop25 2012 Mission Measurement, LLC. 26. Sell Your ImpactFree the Children Example Youth Participants Schools & School Boards Corporate FundersFundersOverseas CommunitiesTeachers ParentsCentral Appalachia Cross-Sector Partnership Workshop26 2012 Mission Measurement, LLC. 27. Sell Your ImpactExample: Value Propositions Outcome orSharedImpactNon Profit Need/Pain ValueValue Buyer Improve studentCharacter Improve student engagement education engagement and and successcurriculum deliver character d li htthrough social mandates & educationFree theaction student engagementChildren Increase Activate youth employeeEmployeep yand their engagement & engagementfamiliesconnection and access to through social with youthnew markets actionmarketCentral Appalachia Cross-Sector Partnership Workshop 27 2012 Mission Measurement, LLC. 28. BreakCentral Appalachia Cross-Sector Partnership Workshop 28 2012 Mission Measurement, LLC. 29. Exercise: Overview Capture YourMarket Sell ImpactYour Impact Your Impact Engage Identify thestakeholdersimpact Build the to developbuyers who business case your inventory value your for current andof outcomes,outcomes,new investors assets and assets and capabilitiescapabilitiesCentral Appalachia Cross-Sector Partnership Workshop 29 2012 Mission Measurement, LLC. 30. Round 1: Capture Your ImpactDiscussion: What Outcomes Do We Produce?30 mins 1.What is unique and different about the region? About each of our organizations? 2.What valuable resources or capabilities do we bring to bear? 3.What social outcomes do we strive to achieve? 4.Which of these outcomes are most important and valuable to business?Change in Statusg ROISystemic Changey gBehaviorImprovement Action AttitudeAdoptionVisibilityKnowledge Touch points EngagementAwarenessEffortsOutreachCentral Appalachia Cross-Sector Partnership Workshop30 2012 Mission Measurement, LLC. 31. Round 1: Capture Your ImpactNotes: Success Equation Exercise 30 mins High Value Outcomes Impact What changes in status, behavior or condition most directly influence D? What are we ultimatelytrying to accomplish?A + B + C = D PerformanceMeasuresHow do wemeasure progresstoward ouroutcomes? Key Strategies Which programs or activities will drive results?Central Appalachia Cross-Sector Partnership Workshop31 2012 Mission Measurement, LLC. 32. SUCCESS EQUATION: EXAMPLE Priority OutcomesImpactBuild capacity toImprove job Improve Family Increase Savingsmanage personal readiness and Financial & Assetsfinancesretention StabilityA + B + C = D # clients who achieve# of clients who# of clients whofinancial literacy become job-ready become banked# clients who become# of clients placed in Client savings ratePerformancefinancially low-risk jobs Measures# of clients who retainjobs for 90 days or moreCentral Appalachia Cross-Sector Partnership Workshop32 2012 Mission Measurement, LLC. 33. Round 2: Market Your ImpactDiscussion: Who Values Our Outcomes? 30 mins 1.Who directly benefits from the outcomes we produce? Corporatep 2.What if our organization(s) orPartners efforts did not exist? Who would care?UpstreamBeneficiaries 3.Who is willing to pay for ourConsumers that can pay Shared outcomes?Value 4. 4 Who is in pain because theyre they re not getting what we produce?Se

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