Tag Archives: guidestar

What’s Up With The TechSoup Global/GuideStar International Merger?

This article was first published on the Idealware Blog in April of 2010.

TechSoup/GuideStar Int'l Logos

TechSoup Global (TSG) mergedwith GuideStar International (GSI) last week. Idealware readers are likely well-familiar with TechSoup, formerly CompuMentor, a nonprofit that supports other nonprofits, most notably through their TechSoup Stock software (and hardware) donation program, but also via countless projects and initiatives over the last 24 years. GuideStar International is an organization based in London that also works to support nonprofits by reporting on their efforts and promoting their missions to potential donors and supporters.

I spoke with Rebecca Masisak and Marnie Webb, two of the three CEOs of TechSoup Global (Daniel Ben-Horin is the founder and third CEO), in hopes of making this merger easier for all of us to understand. What I walked away with was not only context for the merger, but also a greater understanding of TechSoup’s expanded mission.

Which GuideStar was that?

One of the confusing things about the merger is that, if you digested the news quickly, you might be under the impression that TechSoup is merging with the GuideStar that we in the U. S. are well acquainted with. That isn’t the case. GuideStar International is a completely separate entity from GuideStar US, but with some mutual characteristics:

  • Both organizations were originally founded by Buzz Schmidt, the current President of GuideStar International;
  • They share a name and some agreements as to branding;
  • They both report on the efforts of charitable organizations, commonly referred to as nonprofits (NPOs) in the U.S.; Civil Society Organizations (CSOs) in the U.K.; or Non Governmental Organizations (NGOs) across the world.

Will this merger change the mission of TechSoup?

TechSoup Global’s mission is working toward a time when every nonprofit and NGO on the planet has the technology resources and knowledge they need to operate at their full potential.

GuideStar International seeks to illuminate the work of every civil society organisation (CSO) in the world.

Per Rebecca, TechSoup’s mission has been evolving internally for some time. The recent name change from TechSoup to TechSoup Global is a clear indicator of their ambition to expand their effectiveness beyond the U.S. borders, and efforts like NGOSource, which helps U.S. Foundations identify worthy organizations across the globe to fund, show a broadening of their traditional model of coordinating corporate donors with nonprofits.

Unlikely Alliances

TechSoup opened their Fundacja TechSoup office in Warsaw, Poland two years ago, in order to better support their European partners and the NGO’s there. They currently work with 32 partners outside of the United States. The incorporation of GSI’s London headquarters strengthens their European base of operations, as well as their ties to CSOs, as both TechSoup and GSI have many established relationships. GSI maintains an extensive database, and TechSoup sees great potential in merging their strength, as builders of relationships between entities both inside and outside of the nonprofit community, with a comprehensive database of organization and missions.

This will allow them, as Rebecca puts it, to leverage an “unlikely alliance” of partners from the nonprofit/non-governmental groups, corporate world, funders and donors, and collaborative partners (such as Idealware) to educate and provide resources to worthwhile organizations.

Repeatable Practices

After Rebecca provided this context of TSG’s mission and GSI’s suitability as an integrated partner, Marnie unleashed the real potential payload. The goal, right in line with TSG’s mission, is to assist CSOs across the globe in the task of mastering technology in service to their missions. But it’s also to take the practices that work and recreate them. With a knowledge base of organizations and technology strategies, TechSoup is looking to grow external support for the organizations they serve by increasing and reporting on their effectiveness. Identify the organizations, get them resources, and expose what works.

All in all, I’m inspired by TSG’s expanded and ambitious goals, and look forward to seeing the great things that are likely to come out of this merger.

NPO Evaluation, IE6, Still Waters for Wave

This post was first published on the Idealware blog in January of 2010.

Here are a few updates topics I’ve posted on in the last few months:

Nonprofit Assessment

The announcement that GuideStar, Charity Navigator and others would be moving away from the 990 form as their primary source for assessing nonprofit performance raised a lot of interesting questions, such as “How will assessments of outcomes be standardized in a way that is not too subjective?” and “What will be required of nonprofits in order to make those assessments?” We’ll have a chance to get some preliminary answers to those questions on February 4th, when NTEN will sponsor a phone-in panel discussion with representatives of GuideStar and Charity Navigator, as well as members of the nonprofit community. The panel will be hosted by Sean Stannard-Stockton of Tactical Philanthropy, and will include:

I’ll be participating as well. You can learn more and register for the free event with NTEN.

The Half-Life of Internet Explorer 6

It’s been quite a few weeks as far as headlines go, with a humanitarian crisis in haiti; a dramatic election in Massachusetts; A trial to determine if California gay marriage-banning proposition is, in fact, discriminatory; high profile shakeups in late night television and word of the Snuggie, version 2 all competing for our attention. An additional, fascinating story is unfolding with Google’s announcement that they might pull their business out of China in light of a massive cybercrime against critics of the Chinese regime that, from all appearances, was either performed or sanctioned by the Chinese government. There’s been a lot of speculation about Google’s motives for such a dramatic move, and I fall in the camp that says, whatever their motives, it’s refreshing to see a gigantic U.S. corporation factor ethics into a business decision, even if it’s unclear exactly what the complete motivations are.

As my colleague Steve Backman fully explains here, here’s been some fallout from this story for Microsoft. First, like Google and Yahoo!, Microsoft operates a search engine in China and submits to the Chinese governments censoring filters. They’ve kept mum on their feelings about the cyber-attack. Google’s analysis of that attack reveals that GMail accounts were hacked and other breaches occurred via security holes in Internet Explorer, versions six and up, that allow a hacker to upload programs and take control of a user’s PC. As this information came to light, France and Germany both issued advisories to their citizens that switching to a browser other than Internet Explorer would be prudent. In response, Microsoft has issued a statement recommending that everyone upgrade from Internet Explorer version 6 to version 8, the current release. What Microsoft doesn’t mention is that the security flaw exists in versions seven and eight as well as six, so upgrading won’t protect you from the threat, although they just released a patch that hopefully will.

So, while their reasoning is suspect, it’s nice to see that Microsoft has finally joined the campaign to remove this old, insecure and incompatible with web standards browser.

Google Wave: Still Waters

I have kept Google Wave open in a tab in my browser since the day my account was opened, subscribed to about 15 waves, some of them quite well populated. I haven’t seen an update to any of these waves since January 12th, and it was really only one wave that’s gotten any updates at all in the past month. I can’t give away the invites I have to offer. The conclusion I’m drawing is that, if Google doesn’t do something to make the Wave experience more compelling, it’s going to go the way of a Simply Red B-Side and fade from memory. As I’ve said, there is real potential here for something that puts telecommunication, document creation and data mining on a converged platform, and that would be new. But, in it’s current state, it’s a difficult to use substitute for a sophisticated Wiki. And, while Google was hyping this, Confluence released a new version of their excellent (free for nonprofits) enterprise Wiki that can incorporate (like Wave) Google gadgets. That makes me want to pack up my surfboard.

NPTech Lineup Details

Details have come in for two exciting events in February:

On Thursday, February 4th, at 11:00 am Pacific/2:00 pm Eastern, don’t miss The Overhead Question: The Future of Nonprofit Assessment and Reporting. This panel discussion with represenatives from Charity Navigator and Guidestar will cover all of the questions I’ve been blogging about here. Join me with moderator Sean Stannard-Stockton of Tactical Philanthropy, Bob Ottenhoff of Guidestar, Lucy Bernholtz of Blueprint R & D, Christine Egger of Social Actions, David Geilhufe of NetSuite, and host Holly Ross of NTEN. Free registration is here.

And on Wednesday, February 10th, from 10:00 to 2:00 Pacific (1:00 to 5:00 Eastern), NTEN and the Green IT Consortium are putting on the first Greening Your IT Virtual Conference. With a plenary by Joseph Khunaysir of Jolera Inc. and six tactical sessions explaining how your org can benefit yourselves and the earth, including the one I’m co-presenting with Matt Eshleman of CITIDC on Server Virtualization.  Registration is $120, and it looks well worth it.

Won’t You Let me Take You On A Sea Change?

This post was originally published on the Idealware Blog in December of 2009.

seachange.png

Last week, I reported that Nonprofit assessors like Charity Navigator and Guidestar will be moving to a model of judging effectiveness (as opposed to thriftiness). The title of my post drew some criticism. People far more knowledgeable than I am on these topics questioned my description of this as a “sea change”, and I certainly get their point.  Sure, the intention to do a fair job of judging Nonprofits is sincere; but the task is daunting.  As with many such efforts, we might well wind up with something that isn’t a sea change at all, but, rather, a modified version of what we have today that includes some info about mission effectiveness, but still boils down to a financial assessment.

Why would this happen? Simple. Because metrics are numbers: ratios, averages, totals. It’s easy to make metrics from financial data.  It’s very difficult to make them out of less quantifiable things, such as measuring how successfully one organization changed the world; protected the planet; or stopped the spread of a deadly disease.

I used to work for an org whose mission was to end poverty in the San Francisco Bay Area. And, sure enough, at the time, poverty was becoming far less prevalent in San Francisco. So could we be judged as successful?  Could we grab the 2005 versus 2000 poverty statistics and claim the advances as our outcomes? Of course not. The reduction in poverty had far more to do with gentrification during the dotcom and real estate booms than our efforts.  Poverty wasn’t reduced at all; it was just displaced. And our mission wasn’t to move all of the urban poor to the suburbs; it was to bring them out of poverty.

So the announcement that our ratings will now factor in mission effectiveness and outcomes could herald something worse than we have today. The dangerous scenario goes like this:

  • Charity Navigator, Guidestar, et al, determine what additional info they need to request from nonprofits in order to measure outcomes.
  • They make that a requirement; nonprofits now have to jump through those hoops.
  • The data they collect is far too generalized and subjective to mean much; they draw conclusions anyway, based more on how easy it is to call something a metric than how accurate or valuable that metric is.
  • NPOs now have more reporting requirements and no better representation.

So, my amended title: “We Need A Sea Change In The Way That Our Organizations Are Assessed”.

I’m harping on this topic because I consider it a call to action; a chance to make sure that this self-assessment by the assessors is an opportunity for us, not a threat. We have to get the right people at the table to develop standardized outcome measurements that the assessing organizations can use.  They can’t develop these by themselves. And we need to use our influence in the nonprofit software development community to make sure that NPOs have software that can generate these reports.

The good news? Holly Ross of NTEN got right back to me with some ideas on how to get both of these actions going.  That’s a powerful start. We’ll need the whole community in on this.

Get Ready For A Sea Change In Nonprofit Assessment Metrics

This post was originally published on the Idealware Blog in December of 2009.

watchdogs.png

Last week, GuideStar, Charity Navigator, and three other nonprofit assessment and reporting organizations made a huge announcement: the metrics that they track are about to change.  Instead of scoring organizations on an “overhead bad!” scale, they will scrap the traditional metrics and replace them with ones that measure an organization’s effectiveness.

  • The new metrics will assess:
  • Financial health and sustainability;
  • Accountability, governance and transparency; and
  • Outcomes.

This is very good news. That overhead metric has hamstrung serious efforts to do bold things and have higher impact. An assessment that is based solely on annualized budgetary efficiency precludes many options to make long-term investments in major strategies.  For most nonprofits, taking a year to staff up and prepare for a major initiative would generate a poor Charity Navigator score. A poor score that is prominently displayed to potential donors.

Assuming that these new metrics will be more tolerant of varying operational approaches and philosophies, justified by the outcomes, this will give organizations a chance to be recognized for their work, as opposed to their cost-cutting talents.  But it puts a burden on those same organizations to effectively represent that work.  I’ve blogged before (and will blog again) on our need to improve our outcome reporting and benchmark with our peers.  Now, there’s a very real danger that neglecting to represent your success stories with proper data will threaten your ability to muster financial support.  You don’t want to be great at what you do, but have no way to show it.

More to the point, the metrics that value social organizational effectiveness need to be developed by a broad community, not a small group or segment of that community. The move by Charity Navigator and their peers is bold, but it’s also complicated.  Nonprofit effectiveness is a subjective thing. When I worked for a workforce development agency, we had big questions about whether our mission was served by placing a client in a job, or if that wasn’t an outcome as much as an output, and the real metric was tied to the individual’s long-term sustainability and recovery from the conditions that had put them in poverty.

Certainly, a donor, a watchdog, a funder a, nonprofit executive and a nonprofit client are all going to value the work of a nonprofit differently. Whose interests will be represented in these valuations?

So here’s what’s clear to me:

– Developing standardized metrics, with broad input from the entire community, will benefit everyone.

– Determining what those metrics are and should be will require improvements in data management and reporting systems. It’s a bit of a chicken and egg problem, as collecting the data wis a precedent to determining how to assess it, but standardizing the data will assist in developing the data systems.

– We have to share our outcomes and compare them in order to develop actual standards.  And there are real opportunities available to us if we do compare our methodologies and results.

This isn’t easy. This will require that NPO’s who have have never had the wherewith-all to invest in technology systems to assess performance do so.  But, I maintain, if the world is going to start rating your effectiveness on more than the 990, that’s a threat that you need to turn into an opportunity.  You can’t afford not to.

And I look to my nptech community, including Idealware, NTEN, Techsoup, Aspiration and many others — the associations, formal, informal, incorporated or not, who advocate for and support technology in the nonprofit sector — to lead this effort.  We have the data systems expertise and the aligned missions to lead the project of defining shared outcome metrics.  We’re looking into having initial sessions on this topic at the 2010 Nonprofit Technology Conference.

As the world starts holding nonprofits up to higher standards, we need a common language that describes those standards.  It hasn’t been written yet.  Without it, we’ll escape the limited, Form 990 assessments to something that might equally fail to reflect our best efforts and outcomes.