Wednesday, October 31, 2007

School's Out Forever?

Secondary school teachers—junior high and high school—have been on strike in Israel for 18 days. For 18 days, students have not attended classes. Buildings may remain open, but there is no compelling reason for students to enter them.

Strikes are common in Israel across many industries. However, most strikes are resolved within a day or two. Parties are driven to the bargaining table, and to compromise, by the outcry from those parts of the country impacted by a lack of airport baggage handlers, garbage collectors, utility repair people, social security staff, etc.

As someone observing from the United States, I am struck by the lack of public condemnation of the strike and the inability of both parties to come to an agreement. News of the strike is often buried on Israeli news Web sites, and I have read little of parent protests or demands that both sides meet to get the children back in school and provide them with the education they need and deserve. It begs the question of whether getting one’s luggage within an hour of landing is more important than educating a country’s future leaders?

Today I was speaking about the strike with a colleague at a US based foundation that also funds supplemental education in Israel. She mentioned how troubled she was by the lack of organized response from the many NGOs that spend hundreds of millions of dollars each year to supplement the inadequate Israeli education system. Each day children are out of school, our job becomes that much more critical and difficult. We need the support of the schools, the teachers, the government and the parents. How can we help a system that can not muster the energy or excitement to help itself?

She also told me something even more troubling. Many of the children in disadvantaged communities have used this time off to find jobs that will help supplement their household income. Getting these kids back into school now that their families depend on the extra income may be difficult once the strike is over.

I don’t know enough about Israeli politics and unions to say who is right or wrong in this case, and while those in charge continue to debate the issue, I would encourage them to focus on the real matter at hand—that no matter what the final agreement reached may be, the children are the ones who have been coming in last.

For further commentary on the situation, I offer the links below:

Ha'aretz: Story of a 12th Grade Student

Jerusalem Post: Government Not Taking the Strike Seriously


Ha'aretz: One Teacher's Story

Monday, October 29, 2007

How Big is Your Pond?

The call came just the other night. It was 8:15 and I had just finished putting my kids to bed. “Hello, is Karen there?” “This is she.” “Hi, Karen, my name is Jane Smith and I am a student at Harvard College. I am calling you about the Harvard College Fund.”

Ah, the Harvard College Fund. In August of 2007, the Harvard endowment was reported to have reached $34.9 billion. If it only earned 5% simple interest per year--which, given the salaries of those running the endowment seems like a low figure--that would still provide $1.7 billion a year of interest income. There are at least 6 countries just in Africa with GDPs lower than that number. And while Harvard’s endowment is huge, it is not alone; there are many other universities and organizations with bank account balances over a hundred million dollars.

People often ask me why they should donate to such an organization when the amount they can afford to give will have relatively no impact. Why be a small fish in an enormous pond when you can be a huge fish--or even a whale--in a small pond by donating the same amount? A gift that may seem insignificant to a mega-charity can literally change the world for a smaller organization.

Donating to a large organization to which you feel a connection or whose mission you support is essential. Even if your donation is small, you are signaling that you are part of the community and are taking responsibility for and ownership of the organization’s actions. This is an important message.

However, in a small organization you can have a greater impact and help shape and determine the future of the charity. If you want to get involved and become a leader at an organization, the price of entry is likely much less at a small charity that at a big one.

While being a big fish has its advantages, being the biggest can have its drawbacks. Some small organizations are not equipped to handle one donation that is significantly larger than any other. The organization might not be prepared to scale up operations or have a plan to efficiently deploy additional resources. Additionally, an organization should never become too dependent on a single donor, nor does the donor want to feel too much responsibility for an organization’s ongoing success.

That said, don’t be afraid of being that first whale! Work with the organization to develop a plan to get others to reach the same level. Make your gift a “challenge” grant and set an example for others. If you can take this kind of leadership position, then you can help your favorite charity grow and expand programming, which is ultimately the goal of any donation.

Tuesday, October 2, 2007

"If I would be in this business for business, I wouldn't be in this business." (Sol Hurok)

A recent article once again discussed the shortage of quality managers for not-for-profit organizations. In response to this growing market need, many leading MBA programs are developing specific programs to encourage and prepare students for such a career path.

Such programs can be a boon for the industry, not so much because of the skills they could teach, but because of the credibility they bring to the profession among MBA students who might have thought about philanthropy only as a hobby to be started post-IPO.

Business skills and acumen are needed in not-for-profit organizations. Not for profit leaders must be able to develop a strategic plan, prepare and manage a budget, and hire, motivate and retain employees. Donors recognize the importance of a highly-skilled manager and more and more are drawn to organizations with business savvy leadership. However, a successful manager must also believe in the cause, and be willing to give more of him or herself and, sometimes get a little less (salary, recognition, acknowledgement, credit) in return. As I tell others who are considering the transition from corporate America to not-for-profit, “it’s just like running a business but you are not running a business.”