CSI Trends and forecasts

Community Investment and Development Trends and Forecasts2016/2017

Reana Rossouw

Next Generation Consultants

Who we are:

� Next Generation Consultants helps organisations to become more responsible and sustainable.

� In the community/social investment and development sectors - we provide consulting and advisory, research and engagement, training and facilitation, impact assessment and due diligence services.

� We have developed the Impact Investment Index™ - a methodology that measures the impact and return on investment of community/social investment.

� We are recognised as industry/subject experts and thought leaders within the sustainable/social/ community development sectors.

2016/04/10 Next Generation Consultants 2

Please see: http://www.slideshare.net/Reana1/measuring-impact-and-return-on-investment-of-corporate-social-investment-and-community-development ANDhttp://www.slideshare.net/Reana1/evidence-of-impact-and-return-on-investment-40906503

Background:

• Our vision• To continuously contribute to increased socio

economic impact and ensure enhanced shared value

• Our Context• Global research – both developed and developing

countries with a specific focus on continental and regional trends

• Local interpretation – considering emerging global best practice and combining it with indigenous insight and knowledge

• Research methodology - literature reviews, personal interviews with key influencers and recognised leaders, focus groups with intermediaries and beneficiaries, internet surveys

• Benchmarked • Our Impact Investment Index (III)™ also informs our

trend report. The III consists the outcomes of our impact assessments which have considered over R3 billion worth of social/community investment. Over 600 programs, 15 focus areas, 15 dimensions of impact, 25 dimensions of return, and a library of more than 5000 indicators.


To recap: 2013/2014 Trends

� A brave new world - Evidence of collaboration

� Flipsides of the coin - Increased giving/increased expectations

� Lean and mean - Impact and outcome of the recession

� The next BIG thing - ESG, Impact Investment, Shared Value, SED, Social Entrepreneurship

� The war on ideas - The growth of flagship/signature programs

� Green/Blue is the new black - The rise of funding for the environment

� Alphabet Soup - The rise of governance and compliance

� New Age Stuff - SET committees, Baseline Studies, Human Rights based funding, Engagement, new guidelines

� Hindsight is perfect sight -Spectacular failures, theory of change vs theory of practice vs theory of grantmaking

� Dangerous half truths - Poverty alleviation vs Poverty reduction vs Poverty eradication

� Fixation on Numbers - Overemphasis on quantitative impact

� Dichotomies - Scalability vs focus, replicability vs results, responsiveness vs responsibility

� Keeping up with the Jones’s - New vs old investment/development models

� Volunteerism is cool - Growth in employee/customer/supplier/network involvement

� Please give that man a fish - The end of cliché’s

� I know what you did last summer -Community activism

� Local is lekker - Local heroes/local place based development

� Status quo is not an option - Failure of current M & E practices

� A horse-A horse for my kingdom - Ethical grantmaking

� Two hills ahead� What we know vs what we don’t

know

� What we say vs what we do

2016/04/10 Next Generation Consultants 4Please see: http://www.slideshare.net/Reana1/csi-professionals-briefing-2014-trends

To recap: 2014/2015 Trends

� Cross Roads or Tipping Point

� Between the rock and hard place – budget cuts, program cuts, resource cuts, new competitors, legislation and compliance

� The good, the bad and the ugly

� The Good - Sweet spot – integrating economic, environmental, social development

� The Bad – unsuccessful development models, lack of engagement, lack of evidence

� The ugly –discriminatory, unethical, failed programs

� It’s all about business - The business of funding vs the business of development

� It is not business as usual -Accountability, transparency, governance and compliance dominates

� Heightened focus on performance -Proof: Demonstrate impact, return, successful, measurable, meaningful

� Growing focus on issues - Holistic, integrated, systemic/sustainable development

� Creating shared value - The business of business vs the business of development

� Follow the (development plan) -Youth, skills, infrastructure, local economic development, national development plan


Please see: http://www.slideshare.net/Reana1/2015-trends-and-forecasts-corporate-social-investment-and-community-development-40906549

What is evident: More of the same won’t be good enough

What is required:New thinking –new models –new knowledge


THINGS ARE NOT CHANGING

THINGS ARE NOT CHANGING

FAST ENOUGH

THINGS ARE GETTING WORSE

Changes: The value chain


Government:

� The strategic goals of the DSD is:

� Review and reform social welfare services and financing

� Improve and expand ECD provision

� Deepen social assistance and extend the scope of the contributory social security system

� Enhance the capabilities of communities to achieve sustainable livelihoods and household food security

� Strengthen coordination, integration, planning, monitoring and evaluation of services

� More than half of all households in SA benefit from government’s social assistance program

� SA’s social assistance system is one of the largest in Africa and is government’s most direct means of combating poverty. Spending accounts to 3% of GDP and is projected to rise from R118 billion in 2014 to R145 billion by 2016.

� The child support and old age grants are the 2 largest programs –constituting about 75% of total spending.

� Others are the War Veterans, Disability, Grant in Aid, Foster Child and Care Dependency grants

� The NDA focus on food security, ECD, ED and income generation programs

� The NYDA focus on national youth services, education and skills development


Social Development: Pocket Guide 2014/2015

Funders:

� Changing role of funders

� Forecasters, particularly from northern Europe and the US, report that ideas about the role of philanthropic capital are changing. 3 Distinct types of grantmakers are evident:

� Reactive or Demand-led: Funders judge applications on merit and are responsive to demand

� Compensatory or Deficit-led: Strategy based on clear ‘deficiencies’ – which may have received little previous funding

� Instrumental or Interventionist: Clear about project intent and impact – funding is aligned with strategy.

� Changing focus� Funding for HIV/Aids – this is no longer seen as a disease that

kills but instead about getting access to preventative medicines – this changes dynamics and many funders are pulling out of HIV funding, and the Global Fund is also shifting its focus of countries and priorities.

� Equality on grounds of ethnicity is coming back into the spotlight. This is increasingly happening in the US, South Africa, Brazil and parts of Europe.


NGO’s:

� Economic uncertainty – increased volatility and shocks

� Board representation (demographics) is a concern - (youth, diversity, inclusivity)

� Changing relationships and responsibilities between government, private sector and development sector – i.e. government abdication of service roles, non-payment on contracts, rise of social/impact investment/bonds

� Increasingly competitive environment

� Effectiveness of collaborating in networks are questioned

� Changes in stakeholder accountability expectations

� Advocacy – a role that needs to be taken up again

� Changing customer demand and expectations

� Rapid technological change

� Demographic shifts

� Evolving regulatory frameworks

� Cyber security


Wildcards:

� There will be less support for ‘softer’ projects, as part of a bigger trend. We may instead see more specific big issue ‘harder’ projects.

� Funders think many topics that are difficult to fund (social justice and cohesion) and complex (requiring multiple stakeholders/ long term/ systemic issues to address) will suffer from reduced funds.

� Issues affecting women are being downgraded in importance and visibility.

� Changing funding models - More participatory funding vehicles will emerge in 2016, with a particular focus on marginalised populations and possibly as a way of hearing children's’ voices.


What’s (not) working?


Enough evidence:

� SILOED RESPONSES and PATHWORK PROJECTS� Social impact has been designed and is delivered across multiple

departments, sectors and jurisdictions, often without coordination

� Short-term, ‘single-dose’ interventions, annual projects/ pilot projects that do not take off and uncoordinated project funding have led to patchwork responses with little significant impact

� THE DESIGN OF PROGRAMMES IS MOSTLY BUDGET-DRIVEN RATHER THAN NEEDS-DRIVEN

� Although differences between companies exist, the vast majority of SI programmes are developed based on the available budget, rather than what is needed to achieve a company’s social objectives. This is contrary to virtually all other aspects of corporate operations, where the available budget is determined based on what it takes to reach the proposed objectives.

� NON-ENGAGEMENT WITH STAKEHOLDERS� Programs designed ‘for’ communities dominate the service delivery

landscape. Consultation is often the apex of community engagement, and users of services have little say in the ongoing design, learning and evaluation of services that, in the end, are about affecting change in theirlives

� LACK OF EFFECTIVE MEASUREMENT OF PROGRESS� Many services are not effectively evaluated, and if they are - the analysis

of their impact is not shared with other service providers or stakeholders. Therefore it is hard to know if and how things are improving, and it is harder still to learn from failures


Let the figures speak:

� Since 1994 – budget spend on social services has increased by 15% from 45% to 60% (of total national budget) in 2014/2015

� Education accounts for 35% of the social services budget DOWN from 49%

� Health accounts to 21% of the total social services budget DOWN from 23%

� Social security (most of which is social grants) accounts for 30% UP from 21%

� It is predicted that in 2016/2017 18 million people will receive social grants

� In 2009 the number of people in receiving social grants overtook the number of people employed. By 2013 there were 90 people employed for every 100 people in receipt of social grants

2016/04/10 Next Generation Consultants 14Source: Please sir, I want some more … IRR/CRA May 2015 Research

Let the evidence speak:

� Education� 85.5% of schools are no-fee schools attended by 73.2% of all

pupils

� BUT more than 700 000 pupils drop out of the schooling system per year

� Health� Very little gains have been made

� Severe malnutrition among under fives (below 60% of expected weight for their age) have come down BUT 40% out of every 1000 children still suffers from severe malnutrition

� The proportion of households with adequate food access has decreased by only by 2%

� Maternal health – 2584 women died in child birth, during pregnancy or during delivery or termination of pregnancy

� Similarly TB has worsened – the infection rate has doubled since 2012

� HIV/Aids between 2002 and 2014 - the number of people living with HIV increased from 4 to 6 million

� Basic services –

� The number of people receiving free water increased by 53%

� The number of people receiving free electricity increased by 28%


Prevailing Trends:2013-2016


Top 3 Trends:

1. THE RESOURCE SQUEEZE: � One prominent trend that began with the Great Recession will

continue its drain in 2016: scarce financial resources.

2. THE UPWARD SPIRAL OF NEED: � The dramatic decline in government funding increased

demand for services, as communities and individuals continue to struggle and look to non-profits to provide basic services.

� This trend continues notwithstanding increased social security spending by government due to job losses, increased interest rates, increased cost of living.

� The upward spiral of need for basic services is likely only to increase in 2016, while the resources that non-profits have available to them will continue to be squeezed.

3. ADVANCING MISSIONS THROUGH ADVOCACY: � The significance of the first two trends heightens the need for

both funders and intermediaries to advance their missions through advocacy.

� Advocacy is a means to address systemic changes and influence policy.

� It is now recognized and acknowledged that the greatest barriers to progress are current government policy environment and the current economic climate. If non-profits and funders are serious about bringing things “to scale,” advocacy is the way to achieve it.


Trends 4 – 6:

4. INCREASED TRANSPARENCY ABOUT OUTCOMES: � Because of the intense competition for financial resources, and

donors’ desire to know where their contributed money is going, it continues to be important for all stakeholders in the value chain to be transparent about not only their finances, but also their outcomes.

5. OWNING OUR COSTS: � In 2014, the overhead myth started to burst about how much it

really costs to run the operations of a non-profit.

� Similarly in 2015, the real cost of funding and grantmakingcame to light because of reporting requirements.

� In 2016, we anticipate there will be a growing awareness about the need for both funders and non-profits to know and really “own” the true costs of meeting their missions.

� Underestimating and under-investing - The old saying “Everything takes longer and costs more than you expect” is very true when you are trying to drive social change. Yet donors chronically underestimate what it will cost to create results and, as a result, underinvest in the capacity required to make those results a reality. When organisations receive less than required to succeed, they underperform.

6. INCREASED SCRUTINY: � 2016 will bring a continued focus on good governance.

Consider Principles and Practices/ Standards/Guidelines/ Frameworks that offer guidance for ethical and accountable governance and financial practices.


Trends 7 - 10

7. PICTURES THAT TELL STORIES: � If 2013 was the year of sustainability reports, 2014 the year of

integrated reports and 2015 was the year of the infographic, 2016 is going to be the year of data visualization. Storytelling with pictures will increasingly be the way we read and understand data, so having the ability to communicate effectively with data will be important.

8. ONLINE EVERYTHING – GIVING/VOLUNTEERING/ ACTIVISM:� Campaigns going viral (Ice bucket challenge), crowdsourcing a

reality, activism a growing phenomenon (#generation), the growing importance of social media, and an always connected environment.

� This means that funders, non profits and communities need to be aware – information and communication need to be optimised for mobile devises therefore information and communication – and (responsiveness and transparency) are critical

9. THE LEADERSHIP/SKILLS CHALLENGE: � At the core of this trend is the heavy burden placed on all resources

to be knowledgeable, skilled, experienced, in all matters social and developmental. All resources need to be good managers of people, gracious with demanding stakeholders, tech-wizards, advocates for their missions, equally savvy with legal issues and social media, and at the same time strategists able to keep their organisation ‘on mission’.

10. WHAT IS IN A NAME – NEW FINANCING/ ORGANISATIONAL STRUCTURES ADD CONFUSION:

� A trend that will become much stronger in 2016 is experimentation with legal structures designed to deliver social good.

� New forms of entities that combine for-profit investments with social benefit objectives. (Social Enterprises)

� Social impact investment and the promise of “pay-for-performance” are getting lots of attention, - as are concepts of shared/blended value – commercially driven social solutions.


The big issues:

� What we know:� We still have not reached pre-2007 funding levels

� Notwithstanding innovation – new models of funding and development – the number of organisations/projects/programmes/communities funded – declined – meaning there was no leverage of partnerships, collaboration, technology – we are in decline – all of us

� What we don’t know:� Where were real change – impact – success –

sustainability

� What we don’t know we don’t know:� Let the statistics/science/evidence speak

� As much as in real life – few tax payers are carrying the rest of society – we see the same in socio economic development – a few funders contributing more than 75% of all funding and development

� If the Mining Industry is responsible for more than 50% of all CSI funding – what will happen when the industry collapse?

� If the economy does not grow – poverty will increase -profitability will be affected – which will affect grantmaking – a vicious cycle


2016:Theme of the Year:

Disruptive Development

Two contradictory forces drive today’s economy:

One – information is about abundance

Two – sustainability is about scarcity and resilience

New Concepts:

� New buzzwords in 2016/2017 to watch out for:

� Inclusive economy

� Circular economy

� Social capital� Social value� Conscious capital� Collective/social

impact

� Old(er) news� Shared/Blended

value� Social economy� Social

entrepreneurship� Social innovation� Impact

investment

� New drivers� The Sustainable

Development Goals

� Sustainability and Integrated Reporting

� The forgotten� National

Development Plan


New influences:

� Big Data� Requiring practitioners to

collect, analyse, share, distribute more robust data –more effectively - and to use qualitative analysis more intelligently (not only quantitative data)

� Mission based investing� Using market based

techniques/tactics/ tools to address specific societal challenges in order to increase/scale/replicate programs and interventions to achieve measurable social/environmental and economic ROI and impact

� Dealing with the impact of climate change and the impact thereof on the quality of life of communities

� Crowdsourcing� The democratisation of

fundraising – everyone is a funder/philanthropist – but they also want to be involved see/experience what their contribution achieves

� Human rights lens to funding and development

� Leading issues in development include: Women, children, people with disability, LGBT, demanding their human rights to: education, health, water, housing, basic services, and addressing issues such as human trafficking, child labour, etc.

� Youth Bulge� Africa’s future: Un/under-

educated, unemployed, marginalised, alienated who are so aspiring, socially conscious, and need to be empowered

� The seven million South Africans between the ages of 16 and 24 who are neither in school nor working and are in danger of falling through the cracks, with no pathway out of the educational gap and into the workforce.

� Persistent issues� Increased HIV infections,

slow/declining economic growth, limited foreign direct investment, chronic unemployment, unstable political context, increased violence and crime, gender inequalities, etc.


2016:Disruptive Development

Trends 1-4: The obvious

1. The impact of climate change� Water, Food, Energy = Blue/Green/Renewable

economies

� Retail Sector: Food Security / Supplier Development

� Financial Sector: Negative impact on profits / risk mitigation strategy

2. Waste is wealth� Circular economy, inclusive economy/development,

shared value

� Aspects of sustainability also becomes risk mitigation strategy

� Mining Sector – Recycling / Beneficiation / Local Content Strategy

3. Activist youth� The # generation – Fees must fall/Rhodes must

fall/Zuma must fall

� Skills development / bursary programs / tertiary education vs ECD

4. Global development� The impact of the SDG’s

� South Africa missing more than half of the MDG’s


Trends 5-6: The emerging

5. The era of compliance and governance has arrived:� International Standards: United Nations Declaration

of Human Rights, the United Nations Global Compact, the OECD Guidelines for Multinational Companies, the IFC Performance Standards for Social and Environmental Sustainability

� Industry specific Standards: The Extractives Industry Transparency Initiative, The International Council for Metals and Mines, Better Coal Initiative, the KZN Coal Hub Initiative, The Fossil Fuel Foundation

� South African Legislation: The Constitution, The Mineral and Resources-, Petroleum Acts, The Mining/Financial/ICT/Retail Charters

� Corporate Governance Frameworks: King IV, The GRI, The IIRC, Accountability 1000SES, The Companies Act, the JSE-SRI Index, The BBEEE Act, Social and Ethics Committees

6. The era of reporting has arrived:� Reporting on input, activities and outputs – only

quantitative outcomes

� The impact of business being mitigated through social investment

� Carbon offsetting, job creation, skills development, enterprise development, etc.

� Generation and sharing of energy and water


Trends 7-8: The hidden -compliance

7. Donors of all sizes are focusing their giving, asking metrics-focused questions about impact and are contemplating the return on their philanthropic investment.

There is as much difference between qualitative and quantitative impact as there is between impact and return on investment

� Negative impact, unintended impact and indirect impact is also impact – in development not all impact is positive – BUT it has never been accounted for

� Measuring both impact and return and reporting thereon requires much more focus. The evidence is clear – both the grantmaking and development sectors have not stayed on top of reporting requirements – and as such their legitimacy is questioned – and practitioners are earmarked as ignorant.

8. Community stakeholders are a critical part of any program yet continue to be seen as merely ‘recipients/beneficiaries’ of interventions

� Can you prove engagement with stakeholders

� Can you prove/guarantee scientific outcomes

� Can you provide evidence of impact/return

� Is your data assured/verified?


Trend 9:Relationship Challenge

� 9. If “donor-centric” was the buzz term of 2015, 2016 will be the year of making good on the donor-centric promise. Organisations will invest in cultivating only critical relationships. How?

� To get in the door – is a challenge

� To get an interview – is a miracle

� Direct mailing – is old fashioned

� Donor priorities are shifting

� Refugees/migrants (global) – gender based funding (women/girls empowerment (Africa)

� Dealing with the impact of climate change

� Dealing with the impact of unemployed youth

� It now about 1) relationships 2) evidence

� The rules are being made by funders – and others simply have to follow

� 2016 is where forward-thinking organisations will implement strategies that are truly donor-centric.


Trend 10:Winner takes all – the brand war

� 10. In a race to build a compelling business social brand – that can stand against competitors –provide differentiation – uniqueness and consumer/customer/employee appeal – the one who wins the race or the war will be able to provide:

� The unique program

� That raises the profile and brand of the funder

� That speaks to the business objectives

� That supports competitiveness and differentiation

� Provides opportunities for new products, services and markets

� Supports market/ leadership positioning

� Can be scaled – replicated – implemented nationally

� Provides detail of impact and return

� Will be the winner – no matter the cost or budget!


Trend 11:The wild cardFinancing Models

� The social finance and social innovation tipping point

� For many organisations, 2016 will mark an important “tipping point” for social innovation and social finance. The social innovation ecosystem has experienced significant growth in the last several years, generating new networks, grant programs, policies, and innovation labs across the continent.

� The concept of Impact Investing have demonstrated strong thought leadership on a sector-wide level, but many organisations are looking for support and resources to apply social innovation tools and concepts on a smaller scale to improve their day-to-day operations and strategic planning. Case studies and success stories are important in demonstrating impact, and in 2016 non-profit leaders and policymakers will continue to seek examples, models, and templates to help embed social innovation tools in their day-to-day work.

� Social impact bonds and other social finance tools are also experiencing an important tipping point, and 2016 will be an important year of critical uptake to bridge the gap between exploration and implementation:

� Will social finance ”mainstream’” in South Africa?

� What government direction, if any, will government provide?

� As social impact bonds in international jurisdictions mature and continue to report on their initial results, national government will have South African context.


Forecasts:2016

What we know:

Funding Sector

� Continues broad focus, multiple focus - short-term funding/program cycles

� Lack proper measurement and evaluation tools, processes and methodologies

� Continues low-level investment in NGO capacity building

� Limited application of new tools and innovation in program design or funding models

� Lack of collaboration

� Lack of communication

Development Sector� Development lessons, lessons

learnt and insights or low impact development programs not shared for risk of future funding

� Interventions are not based on community engagement/input or scientific research or baseline data

� Monitoring and evaluation expertise is not a given or funded, neither is development based on international/ academic/scientific (best of breed) practices

� The sustainability of the development sector continues to be challenged as funding for core operational expenses are limited - affecting the outcome and impact of interventions


What we still don’t know:

� How to address systemic social issues singularly

� How to ensure/guarantee development models will provide the right outcomes and impact

� How much resources will be required to affect real change

� The sustainability of non-profit organisations continues to be challenged as funding for core operations and capacitating is limited. What happens if the funder disappears – what happens if the community burn down the project. What are the risks associated per program, organisation, community, intervention?

� Why is government ‘missing in action’? Not part of discussions, not part of program implementation, program design or reporting on program outcomes


Strategic considerations:


2016 –Funders:

� Think local first - NDP/IDP/LED/SED/SLP integration and alignment

� Think global second - the SDG’s

� Don’t get confused = shared value is not CSI –blended value is a philosophy

� Social innovation is not another way to make money from ‘the poor at the bottom of the pyramid’

� Not every NGO is a social enterprise

� Stop delegating responsibility to NGO’s - they cannot save the world in isolation or change systemic issues singlehandedly

� Advocacy funding must return to investment portfolios in order to affect systemic change


2016 –NGO’s:

The odds are against you:

� If you function on your own, if you pursue strategies that lack the infrastructure to affect systemic change, the cloud to influence government, or the scale to achieve national/sustainable impact – you are not going to make it

� There is no chance/assurance/evidence with all the money in the world or the most dedicated/hardworking staff – you can save the world with unscientific, underfunded, non-collaborative and unaccountable approaches


Forecasts:2016 into the future

2016/2017: Trends to Watch:Funders

1. Falling trust in grantmaking

2. Impact investment – evidence of impact is building

3. Watch out for diversity/equality/ inclusion/inclusive/ human rights based funding – new portfolio growth at the expense of other portfolio’s

4. Educational funding needs to change – will funders however change approaches? Changes from education to skills development to combat youth unemployment?

5. Health funding – going nowhere slowly?

6. Environmental investment and development areas –ready for take off – but very few programs/initiatives –scientific evidence of change

7. Big Data – what do you know about it –� Gather, analyse and synthesize data - Data on gaps,

eco systems mapping - Baseline data – Comparative data - Benchmarking data - Triangulated data


2016/2017: Trends to Watch Development Sector

1. New opportunities for civic engagement – youth groups, advocacy, green economy, climate change, entrepreneurship

2. Increased use of protests, actions, # generation – using technology and social media to gain support, visibility, action, fundraising

3. Collaboration, sharing economy and network approach in a resource constraint environment to scale interventions and geographies

4. Work harder to dispel the ‘overhead myth’ and focus on raising funding for capacity building and integrated services

5. Find new sources of revenue – social entrepreneurship, impact investment, crowdsourcing, viral marketing campaigns

6. Be ready to provide evidence of impact – more demand for outcomes requires more due diligence, information and data management, new competencies and skills – create own theories of change, provide baseline data, conduct M & E

7. Learn to advocate for the sector as well - not just causes and projects

8. Be ready for comparisons and benchmarking – based on science and evidence – outcome and impact

9. Become more strategic – both for own organisations and programs – as well as income and funding/capacity strategies


Forecast 1: The obvious Re-strategise

� Theory of change / theory of practice / theory of grantmaking

� Do you have the knowledge/insight/understanding of complex and connected/interdependent social issues

� Do you have a theory of development

� Do you have a measurement framework

� Scalability and replicability� Do you have the resources/competencies required

to ensure sustainable development/outcomes/impact and return

� Have you defined sustainable development

� Collaboration and partnership� Are you willing and able to do what it takes to affect

real change


Forecast 2: The emerging –Re-organise

� Development cannot happen without:� Engagement

� Collaboration

� Knowledge

� Stakeholder pressure/expectations will persist and increase

� Performance based trust� The development sector will have to demonstrate

credibility and capability

� The investment sector will be challenged to demonstrate creative and innovative programs that affect real impact and return

� Stakeholders will keep developers and investors accountable and reporting will drive transparency


Forecast 3: The hidden –Re-Create

� Be ready for:� Compliance to regulation – be ready to provide

evidence

� The importance of monitoring, evaluation and impact assessments cannot be emphasised enough

� The moral market place – be ready to be exposed

� Ensure governance, compliance, standards, frameworks and guidelines are encapsulated in risk management strategies

� Consider both competitive and comparative advantages – be ready with new investment AND development models

� Reconsider your theory of change (what you do/fund) / theory of practice (how you do it) / theory of grantmaking/development (what you are trying to achieve)

� Community / stakeholder driven development

� Engagement and activism will influence future development agendas – at SHORT notice


In conclusion: Re-Consider

� Focus Areas Changes = Fewer Programmes = Fewer Partners

� From education to skills development to job creation

� Focus on YOUTH

� Winners and losers: Health, security, safety, art, sport, housing to more immediate/urgent issues

� Focus on FOOD, WATER, #issues

� Investment Changes = Less Funding = Less Resources

� Focus on integrated development -ECONOMIC, ENVIRONMENTAL and SOCIO ECONOMIC

� Development Changes = Performance based Funding = More measurement and Reporting

� No investment without research or baseline studies to provide evidence for impact

� No investment without return to provide shared value for all

� Focus on INDICATORS to measure impact and return

� Strategic Changes� Engagement lead

development:

� Communities –expressed needs

� Employees –expressed priorities

� Government –expressed expectations

� Fewer focus areas -Fewer long term programs = Less Cash –More volunteering and non-cash giving


The dichotomy of development

� Change will affect us all� Fewer programs - Just not enough resources

� Balance between (company) flagship programs and community needs

� Back to shorter term programs

� Need flexibility – emergency response

� Need evidence – importance of performance to build trust

� Global influence

� Understanding the link between the SDG’s and local development

� Good news – development is aligned – globally and locally

� Bad news – development is influenced by specific issues

� Ugly news – change will affect all of us – we need to ensure that we have the right resources, knowledge to ensure and affect sustainable development


2017:There is no place left to hide – whether you are on the investment or development side – it does not matter

In the age of transparency – responsibility is measured by accountability

Accountability is measured by performance

Performance measures impact and change

The circle is complete


Will tomorrow be much better?

� If you don’t change direction, you will end up where you are headed.

� The Professionalization Map. � In this view, grantmaking needs to gets its act together

and act like a real profession. It needs clear standards of ethics and performance, transparent information and widespread knowledge sharing. Institute these reforms, and development will become not only much more effective; it will police itself and keep the regulators at bay.

� The Social Justice Map. � In this view, what’s wrong with development is that it

isn’t democratic enough. It doesn’t listen to a wide variety of stakeholders. It doesn’t represent the changing diversity of the African landscape. It doesn’t target its efforts toward the deep inequalities that allow it to exist in the first place. Fix these things, and development will be much more accountable. It might even be transformed.

� The Performance Map. � In this view, development isn’t enough like business. It

needs strategies based on value creation and focused activities, all expressed in clear goals against which performance can be measured. It needs to borrow tools and techniques that will help donors see themselves as investors, which in turn will encourage them to use their money more effectively and efficiently in support of social goals.


New Classification and not just focus areas:

� Responsive� Value: Taking care of

communities where you are – helping to sustain communities for the immediate and short term, respond to crises, linked to employee giving and volunteerism. Broad-based support –demonstrating caring and responsiveness

� Strategic� Specific investments to

achieve results aligned with and material to business strategy by extending expertise and other resources to achieve a bigger social impact and profile

� Catalytic� Support for large scale,

holistic and integrated initiatives to meet complex social challenges. Catalysts for transformative social and business innovation and ensuring lasting change


Catalytic

Strategic

Responsive

Thank You

� Reana Rossouw - Next Generation Consultants

� Next Generation Consultants are internationally recognized and have published extensively and spoken at local and international conferences. Copies of these articles, research papers, presentations, whitepapers and awards are available on:

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Date post:	09-Jan-2017
Category:	Business
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