THE ALCHEMY PROJECT FEASIBILITY REPORT FAR Social Enterprise 2|page TABLE OF CONTENTS Page ACKNOWLEDGEMENTS 1. EXECUTIVE SUMMARY 4 2. PURPOSE OF FEASIBILITY REPORT 7 3. ALCHEMY PROJECT BACKGROUND AND STRUCTURE 7 4. METHODOLOGY 4.1 Consultation Framework and Process 4.2 Consultation Participants 8 8 10 5. FINDINGS 5.1 Leadership Development - Issues and Needs 5.1.1 The Not for Profit Sector 5.1.2 A “Good Leader” 5.1.3 Leadership Development – What Boards and Management Can Do to Support Leadership Development in Organisations 5.1.4 Leadership Development – What Role Staff Can Play in their Own Leadership Development 5.1.5 Young People in the Sector and Leadership Development 13 14 5.2 Leadership Development - Opportunities 5.2.1 Collaboration 5.2.2 Mentoring 5.2.3 Reflection 30 6. PRIORITY AREAS AND RECOMMENDATIONS 6.1 Leadership Role and Capability at Board and Management Level 6.2 Human Resource Development 6.3 Self-Awareness 6.4 Diverse Experience 6.5 Building Relationships 6.6 Recommendations: Conclusion 38 39 40 43 46 48 52 APPENDICES Appendix One - Methodology Logistics and Limitations 53 3|page ACKNOWLEDGEMENTS FAR Social Enterprise acknowledges the funding support for The Alchemy Project provided by the Westpac Foundation. We wish to acknowledge especially the contribution made by the many consultation participants from the not for profit, corporate and government sectors. For reasons of confidentiality, the individuals and organisations who participated in the consultation will not be named. FAR Social Enterprise also thanks: • The Sydney Mechanics’ School of Arts (SMSA) for their pro-bono support of this project • The individuals who submitted case studies • Jane Kenny of the Sydney Community Foundation, Doug Taylor of United Way and Roger West of WestWood Spice for their continued guidance and inspiration as The Alchemy Project Steering Committee and • National Children’s and Youth Law Centre (NCYLC) and in particular, James McDougall for auspicing the Alchemy Project Jo Taylor (Director) David Hardie (Program Coordinator) Jenni Iloski (Program Officer) A note on FAR Social Enterprise: FAR is a social enterprise founded by Jo Taylor and Jackie Ruddock. Having worked extensively within the not for profit sector, Jo and Jackie work with a number of specialist consultants to deliver a range of capacity-building and strategic projects within the not for profit, corporate and government sectors. They specialise in working with organisations that are at key points or at crossroads in development, and are looking at a range of sustainability questions and options. FAR believes in being accountable, transparent, progressive, sustainable and effective. Our organisations goals are to develop collaborative strength-based interventions focusing on management practices, adaptive leadership and engaging in innovative philanthropy. By generating an income through advice and the implementation of management practices and adaptive leadership programs, FAR has been able to also pioneer several pro bono initiatives for the social change sector. FAR SOCIAL ENTERPRISE – DECEMBER 2008 Feasibility Report revised December 2008 For further information on the Alchemy Project contact Jenni Iloski jenni@farsocialenterprise.com Alchemy is a FAR Social Enterprise Project This work is licensed under the Creative Commons Attribution-NonCommercial-Share Alike 2.5 Australia License. The symbols associated with the license are: 4|page 1. EXECUTIVE SUMMARY The Alchemy Project Feasibility Report documents and analyses the findings of the cross sector consultations undertaken to explore leadership development issues, needs, challenges and strengths (including opportunities) within the not for profit sector. A total of 42 individuals (from 29 organisations) from the not for profit, corporate and government sectors took part in the consultations. The findings outlined in this report are drawn directly from the discussions that took place in the various consultation forums. Consultation participants discussed their perspectives of the current state of the not for profit sector to provide context for their consideration of its leadership development issues and needs. When asked to identify the main challenges facing the not for profit sector, including those characteristics that were hindering its development of leadership capabilities, participants highlighted the following: ! the sector is held back by the perspective that its role is just about ‘doing good’ ! Limited funds and time are not available or not being allocated to staff development ! there are many examples of poor human resource practices ! there are limited career paths and opportunities for staff movement and progression, particularly in smaller organisations ! the sector has little time to focus on learning or reflection. People were also asked to consider their experience of a ‘good leader’ as a way of exploring notions of leadership within the sector, as well as the mechanisms in place to develop leadership capabilities. When the characteristics of effective or ‘good’ leaders were explored, the following attributes emerged. Effective leaders: ! are able to bring people with them ! have the ability to listen and hear the perspective of others ! network and form relationships across sectors ! bring a deeper sense of purpose, meaning and value to their work ! understand the value of reflection and create spaces for regular reflection ! are prepared to take some risks and make difficult decisions. Therefore, what can be done by organisations and individuals to develop these characteristics? The consultations explored this question and identified the leadership development needs of the not for profit sector. These needs have been analysed and are presented through the operating framework for many organisations in the sector: namely boards, management and staff. The identified needs highlight many complementary activities that organisations and individuals can undertake to foster leadership development. Alchemy is a FAR Social Enterprise Project 5|page Not for profit boards and management can support leadership development within their organisation and the sector by providing: ! strong Board direction and support for leadership development practices and programs ! an organisational strategic plan that sets an organisational direction and priorities and a context for staff and leadership development initiatives ! human resource management strategies and structures that promote reflective practices throughout an organisation ! formal and compulsory performance development processes ! management support and supervision that focuses on ongoing learning, feedback and reflection ! opportunities for staff to obtain advice and feedback through formal and/or informal mentoring ! opportunities for staff to gain diverse experience. The actions of boards and management are critical but will be ineffective without sector staff also taking personal responsibility for their own development as leaders. Not for profit sector staff can develop their leadership skills by: ! gaining diverse experience ! allocating structured time for self-assessment and self-reflection ! developing a sense of purpose in their work ! building networks and connections ! learning by doing and learning by failing ! stepping outside of their comfort zone ! accessing formal and/or informal mentoring. In addition, consultation participants repeatedly made reference to the opportunity the not for profit sector has to foster leadership development in three ways: through greater collaboration, through formal and informal mentoring and through the process of reflection. These opportunities are explored further in the identified priority areas. Finally, through analysing the Alchemy Project Literature Review and consultations, five priority areas for action for boards, management and staff have been identified: 1. Leadership Role and Capability at Board and Management Level 2. Human Resource Development 3. Self-Awareness 4. Diverse Experience 5. Building Relationships Strategies for each priority area are explored and recommendations are listed. Where possible, brief case studies are introduced to outline existing programs and initiatives already undertaken within the sector. The recommendations for Alchemy is a FAR Social Enterprise Project 6|page each of these priority areas are designed to encourage a ‘call to action’ for the not for profit sector, and its partners, to undertake further collaborative work to help address the sector’s leadership development needs. The Alchemy Project, within FAR Social Enterprise is committed to collaboratively developing and designing, one strength based initiative that focuses on one of the recommendations listed to support Leadership Development in the not for profit sector. Alchemy is a FAR Social Enterprise Project 7|page 2. PURPOSE OF FEASIBILITY REPORT This report documents and analyses the findings of the cross-sector consultation undertaken to explore leadership issues, needs, challenges and opportunities in the not for profit sector. The report aims to provide a focus for further discussion and collaboration directly related to leadership development. This document also acts as a ‘call to action’ for potential project partners to work on the suggested initiatives and strategies that have been identified. 3. ALCHEMY PROJECT BACKGROUND AND STRUCTURE The Alchemy Project is a FAR Social Enterprise project to help build a robust, transparent, accountable and sustainable not for profit sector. The project does this by working collaboratively cross-sector to harness current resources and build on current good practice, in order to develop and design innovative and sustainable solution(s) to the identified leadership shortage within the not for profit sector. The aims of the project are to: ! Identify issues, needs and challenges in the not for profit sector relating to skills and leadership development. This is done through undertaking research, writing a literature review and conducting consultations ! Ensure a representative cross-section of stakeholders have input into identifying issues and solution(s) relating to leadership development, and ! Collaboratively design an innovative and sustainable solution(s) to help address the skills and leadership issues identified. The project is being delivered in partnership with a Steering Committee of representatives from United Way, WestWood Spice and the Sydney Community Foundation. The project is funded by the Westpac Foundation. This first phase of The Alchemy Project includes: ! Recruiting a cross-sector steering committee ! Researching current understanding of the skills and leadership shortage in the not for profit sector by undertaking: o A Literature Review (completed June 2008) o Cross-sector consultation (completed August 2008) ! Development of this Feasibility Report documenting the research findings and recommendations for potential strategies (completed November 2008) ! Development and design of at least one particular solution to be implemented in Phase Two during 2009. Alchemy is a FAR Social Enterprise Project 8|page 4. METHODOLOGY 4.1 Consultation Framework and Process The Alchemy Project Literature Review1 provided a focus for the consultations and positioned the project to complement (rather than duplicate) other sector research being undertaken on broader workforce-skills capacity issues. The Alchemy Project also acknowledges there is significant work being undertaken elsewhere to develop workforce capability frameworks and workforce development strategies for the not for profit sector. Similarly, while training in core management skills (e.g. strategic planning, budgeting and people management) is acknowledged as a component of developing leadership capabilities for those that are engaged with running organisations, it is also not explored in detail within this study. The Alchemy Project Literature Review highlighted the consultations for this project were to specifically focus on the gaps identified in the not for profit sector around leadership development and the different notions of leadership. Therefore, the aim of the consultations was to provide a space to discuss leadership issues, needs, challenges and opportunities in the not for profit sector and gain representative views on the current leadership practices and opportunities within the sector. The consultations also aimed to obtain individual’s experiences, views and ideas to help inform the development of a pilot project(s) in 2009 to help address the leadership challenges in the not for profit sector. A framework was established prior to commencing the consultations to identify key stakeholders who are engaged, influence or have contact with the not for profit sector. The following categories were identified and formed the basis for identifying individuals to participate in the consultations. ! The Not for Profit Sector including o Representatives from not for profit organisations that employ staff, including representatives from the 30,000 not for profit organisations that employ under 20 staff (defined as ‘small’) and the 5000 not for profit organisations that employ over 20 staff (defined as ‘large’)2. 1 A copy of The Alchemy Project Literature Review can be obtained by contacting FAR Social Enterprise. 2 There are 35,000 not for profit organisations in Australia, approximately 30,000 of which have less than 20 employees (source: ACCORD, The Nonprofit Sector in Australia: A Fact Sheet and SEEEN and Perpetual Foundation, Contrary and Congruent Views of Leadership and Management in the Australian Social Economy) – see The Alchemy Project Literature Review for additional information. Alchemy is a FAR Social Enterprise Project 9|page o o o Representatives of not for profit organisations identified by the Steering Committee or funding body as having existing leadership development opportunities that contribute to the sustainability of the organisation. People at the beginning of their career in the not for profit sector including young people (people under 25 years) and people transitioning from another sector into the not for profit sector. People in senior management positions in the not for profit sector including CEO’s who have been promoted through the not for profit ranks and those that have transitioned from another sector. ! ‘Observers’ of the sector - Individuals from organisations who through their position come into contact with a number of not for profit organisations and could comment broadly on their observations of leadership opportunities within the sector. ! Corporate senior managers that have implemented successful leadership opportunities within their organisation. All target groups were represented in the consultations. These consultations were held in August 2008 and were a mixture of: ! One-on-one interviews of one hours duration ! Two Intimate Dialogues, of two to three hours duration (one in Sydney and one in Melbourne), targeting young, successful leaders from the not for profit sector ! Two open forums of three hours duration, targeting young people in the sector; those who have transitioned into the sector in the last five years; and those working in the sector with an interest in leadership. Once individuals had confirmed their participation in the consultations, they were provided with a copy of The Alchemy Project Literature Review in order to provide them a context for the research. Additional details on consultation methodology can be found in the Appendices of this report. Alchemy is a FAR Social Enterprise Project 10 | p a g e 4.2 Consultation Participants The table below outlines the number of people who took part in the Alchemy consultations: Not for Profit Participated in consultations 353 individuals who are engaged in a NFP organisation RSVP but did not attend Sent Literature Review only (interested in project but could not attend consultations) Total 29 different NFP organisations Corporate Govt 5 2 12 3 5 2 4 52 10 6 Not specified Total 42 2 17 11 2 70 3 This is the total number of individual not for profit participants. The total number of not for profit organisations represented was 29 as some organisations had multiple representatives in the consultations. Alchemy is a FAR Social Enterprise Project 11 | p a g e ! Size of 29 participating NFP organisations The chart below represents the percentage of individuals that participated and were from ‘large’ and ‘small’ not for profit organisations. There were 17 ‘large’ and 12 ‘small’ not for profit organisations. Size of NFP organisation representation 41% Large Small 59% ! Consultation Forum Attended (OF-23, ID-10, I-9) The chart below shows the methods of consultation and percentage of participants that engaged in those types of consultations. In total, 23 people participated in the Open Forums, 10 people in the Intimate Dialogues and 9 people attended interviews. Participant involvement in consultations 21% Open Forum Intimate Dialogue Interviews 55% 24% Alchemy is a FAR Social Enterprise Project 12 | p a g e Gender Breakdown (F: 24 and M: 18 T: 42) ! Twenty-four females and eighteen males took part in the consultations. Gender Breakdown 43% Male Femaie 57% ! Age Breakdown (Under 25 years: 7, 26-35 years: 15, 36 years and above: 20) The chart below highlights the age breakdown of individuals who were involved in the consultations. Age breakdown of participants 17% 47% Under 25 years 26-35 years 36 years and above 36% Alchemy is a FAR Social Enterprise Project 13 | p a g e 5. FINDINGS The findings of The Alchemy Project consultation are drawn directly from the discussions that took place in the various consultation forums. They are the opinions expressed by people working in (or in partnership with) the not for profit sector. They are not necessarily the opinions of The Alchemy Project Team, including the Steering Committee or FAR Social Enterprise. As The Alchemy Project Literature Review, other current research and the consultations confirm, the not for profit sector is experiencing a significant period of change. It is also giving increasing attention to the workforce it needs to deliver on its expanding array of challenges, including greater attention to effective leadership and workforce development. Nevertheless, The Alchemy Project consultations have shown that some of the characteristics of the not for profit sector continue to limit the extent to which organisations and individuals are focusing on staff or leadership development. These identified characteristics provide the context for the leadership development findings that follow. The consultation discussions identified the key characteristics of effective leaders. This examination of what it means to be a ‘good leader’ helps inform the analysis of leadership development that follows, including the leadership development needs identified for the not for profit sector. These needs have been analysed and are presented through the operating framework for many organisations in the sector, namely boards, management and staff. The particular leadership development challenges facing young people in the sector are then discussed. The consultations also identified the opportunities that currently exist to successfully build the key elements of leadership development across the sector. These opportunities – collaboration, mentoring and reflection – are further developed in the priority action areas, strategies and recommendations section. Alchemy is a FAR Social Enterprise Project 14 | p a g e 5.1 Leadership Development – Issues and Needs 5.1.1 The Not for Profit Sector Within the consultations, people were directed to think about the following types of questions: ! What are the main challenges that the sector identifies? ! What is hindering an effective approach to finding, developing and supporting future leaders? A number of critical challenges were identified. “ Some sector leaders, observers and representatives believe that the sector is held back by the perspective that the sector’s role is just about ‘doing good’. Some also link this motivation to the development of insular relationships within the sector and an unwillingness to tackle inefficiencies. For example, concern was expressed that the way positions are filled (and how people progress in the sector) does not necessarily help the sector access individuals with the right set of skills. The not for profit sector needs to promote people based on talent and skills not just years of experience. CEO, Large Not for Profit People are so passionate about the sector and their cause but there is just so much duplication and a lack of consolidation of services. The ego and the passion can prevent consolidation and collaboration. CEO, Small Not for Profit We focus too much on softer outcomes and are less willing to tackle ineffective staff and processes. The view that benefit just comes from doing good is a real blocker and has meant that the sector has become lazy in its development of leaders. ” People just do not know when to move on – there are long standing and insular relationships within teams that end up holding the organisation back. Not for Profit Representatives, Open Forum Many individuals also talk about being in survival mode and being driven by 12-month competitive funding cycles. Related to this is the view of some that funding structures only provide for funding of direct service provision and preclude the allocation of funds for capacity building programs. The upshot of all this is that many report that funds and time are not available or not being allocated to staff development. Alchemy is a FAR Social Enterprise Project 15 | p a g e “ The sector has to focus firstly on securing funding, then on client service delivery and only then is it able to focus on people development. Not for Profit Representative I really struggle to think of more than one or maybe two funders who were prepared to fund capacity building and development initiatives. CEO, Small Not for Profit The Government is now starting to realise that 5% to 20% is needed for administrative costs and some organisations are now including leadership development in their administrative budgets. Not for Profit Observer ” Participants also talk about the effort required to meet funder-reporting requirements that are onerous and/or lack consistency. Related to this is a lack of outcome measures for tracking and reporting progress on capacity building and service delivery initiatives. “ A core issue is that for effective not for profit performance, an external agency such as government should not be able to impose expectations that do not necessarily fit with what the sector can deliver – defining social return through evidence and outcomes is harder to do. CEO, Small Not for Profit Government funding measures numbers, outputs and outcomes and there are not good measures for social engagement and building social capital. How do you measure real capacity building and empowerment? Not for Profit Observer ” Many sector representatives commented on poor (or non-existent) human resource practices which lead to unstructured work allocation, role duplication, uncertain accountabilities and in some instances, staff burn-out and high levels of staff turnover. One of the stated outcomes of this is that leadership responsibilities are being randomly allocated to “the last person left standing”. In some cases people report that this is how they were able to step up and prove themselves, albeit without the support they really needed. However others acknowledge that this approach to ’developing’ leaders is unsustainable. A related human resource challenge that was discussed is the limited career paths and opportunities for staff movement/progression in many (particularly smaller) not for profits. Alchemy is a FAR Social Enterprise Project 16 | p a g e “ ” The limited resources, small number of staff and lack of spaces to move to are a real barrier for staff to progress in small organisations in the sector. CEO, Small Not for Profit Some state that this is being addressed in other ways through rationalisation of the sector, however this outcome does not necessarily address the career development gaps identified by people in the sector. This sector has approximately 30,000 organisations with less than 20 staff and there will continue to be significant restrictions to career paths in many of these organisations, especially if this challenge is viewed from a single rather than cross-agency perspective. “ Small, efficient organisations need to be able to build capacity in different ways – we need creative partnerships to build these dialogues. Not for Profit Observer ” When discussing the lack of funding and proper human resource practices, some also point out the related impact of having no time to focus on learning or reflection. They note that some organisations are so caught in survival mode that they do not provide the space for reviewing how the organisation is progressing, the lessons being learnt or the factors impacting on its operating environment. Some also point out that this is a challenge across the sector: “ What the sector really needs is a “professional institute” that would provide a place to reflect, network and obtain peer feedback and support. Not for Profit Representative ” It is important to note that while the challenges outlined above are typically seen as barriers to leadership development, in fact they can be reframed as challenges that can be creatively overcome. More simply they are not excuses for not taking action. Alchemy is a FAR Social Enterprise Project 17 | p a g e 5.1.2 A ‘Good Leader’ As the purpose of The Alchemy Project is to explore leadership issues, needs, challenges and opportunities in the not for profit sector, the consultations looked into people’s experience of a ‘good leader’ to begin a conversation into both notions of leadership within the sector, as well as the mechanisms in place to develop leadership. Within the consultations, people were asked to reflect on questions such as: ! Are there a set of characteristics that define an effective leader? ! What words are used to describe how leaders operate, how they gain respect and how they sustain themselves and others? ! From your experience, what is one piece of advice you would give emerging leaders? It is important to again note that leadership was explored in its broadest sense: as both individuals in leadership roles, as well as all people displaying leadership qualities or actions within their organisations. When the characteristics of effective or ‘good’ leaders were explored, a key attribute that emerged was that a leader is able to bring people with them. People within leadership roles empower others by sharing responsibility and letting go of control, encouraging participation and helping to unlock the potential of those around them. “ For example, people within the consultations said: Leadership is about understanding how to engage individuals so they feel valued and empowered. A smart leader knows that the best results will always be achieved through a team of committed people who will come up with creative ideas which will always be better than those that you try to develop in isolation. Your vision is your anchor point, but a lot of your focus is engaging people to implement that vision. So how you relate to others is very strategic. Inspire them, listen to them, appreciate them. Do unto others as you would have them do to you. Not for Profit Representatives Leadership also includes the ability to listen and hear the perspectives of others – those both internal and external to the organisation. Effective leaders ‘know what they don’t know’ and understand the value of hearing the voices of others. They are able to step back, listen and observe. They recognise the value in stopping from time to time and asking some key questions. This is to stop and check that they have not lost sight of the big picture as well as to provide clarity to their team to make sure that others are still with them on their journey: Alchemy is a FAR Social Enterprise Project ” 18 | p a g e “ Before you take action, even if you think you understand, stop – make sure you have consulted, and most importantly that you have listened. Not for Profit Representative ” Leadership is also about communicating effectively at many levels, including networking and forming relationships across sectors: “ Don’t lose sight of the fact that this is all and always about people and relationships – so invest in them. Young Leader, Large Not for Profit People note that these relationships serve different purposes – the effective leader understands the value of developing relationships with allies and confidants4 – having groups of like-minded people to network with and be challenged by: “ Always remember your purpose. Pay a coach, find mentors, develop confidants, believe you might be wrong and that you might be right. ” Know the difference between a confidant and an ally and keep checking this out. Young Leaders, Not for Profits In the consultations, participants also noted that effective leaders bring a deeper sense of purpose, meaning and value to their work and it is this that often sustains them during challenging times. “ Their actions are grounded in a deep sense of identity and integrity: Be authentic and follow your instinct/inner voice. Not for Profit Sector Observer 4 In this context the definition of allies and confidants reflects the adaptive leadership work of Harvard Professor Ronald Heifetz as outlined in Leadership on the Line (2002). Allies are people who share many of your values or strategies and can be valuable members of your coalitions but they operate across boundaries and have a range of loyalties. Confidants have few conflicting loyalties and provide you with a place to be completely open and honest – they also tell you what you may not want to hear. Alchemy is a FAR Social Enterprise Project ” 19 | p a g e Leadership is SERVICE. Be clear about who you are and what you wish to contribute to the world. In essence be true to yourself. Know who you are and why you’re doing what you’re doing - this will sustain you in your position and help keep you on track when your Board’s goals, your lack of time, overwhelming workload etc start to deplete you. Not for Profit Representatives Integrity. Act with integrity in all that you do. Be true to your values, your potential, your sense of purpose. Never tell lies. Operate transparently, acknowledge errors made, reward your people appropriately. ” Be ethical in whatever you do in your leadership role, regardless of whatever situation you are in. Young Leaders, Not for Profits Within the consultations, many people highlighted the importance of reflection in developing as a leader. There was much discussion within the interviews and sessions that leaders understand the value of reflection and create spaces for regular reflection in the professional and personal aspects of their lives. This includes learning from varied experiences and a deliberate focus on reflecting on ‘failure’ – the things that have not worked out as planned. “ Give yourself time to continually question and reflect on why you are doing what you are doing and then go for it! Young Leader, Large Not for Profit It’s not about getting it right all the time – you learn as much from the mistakes as you do from the successes, so don’t be afraid to make them! Trust yourself. Not for Profit Representative ” Related to this space for reflection, people highlighted a focus on the self, that is, an understanding that looking after oneself is not just wise but an essential part of maintaining purpose and vision. This includes a focus on ongoing selfdevelopment, leading by example and demonstrating real commitment to one’s own leadership development: Alchemy is a FAR Social Enterprise Project 20 | p a g e “ Take care of self – to inspire others into action – to lead an organisation. Leadership of self, others, organisation – and in that order. Ask for what you need to support your development – if it’s not available at first, ask again. Not for Profit Representatives ” While the effective leader brings people with them and consults widely and often, this does not mean that they are indecisive. In fact, people highlighted there are times when leaders need to act decisively and be prepared to take some risks and make difficult decisions. They have a strong sense of direction yet are able to change direction when this is necessary. “ Don’t be wedded to your own rightness. Not for Profit Representative ” Finally, some noted that effective leaders are not necessarily in formal management roles and in fact, are able to effectively exercise their leadership capabilities from various roles and levels in an organisation. “ People in formal management positions aren’t necessarily leaders…a leader is different to a CEO. Not for Profit Observer ” In summary, from these consultations, people reflected that effective leadership within the not for profit sector is about: ! empowering others ! building relationships within organisations at all levels, and cross sector ! not always having the answer ! holding to purpose ! making time to critically reflect. Alchemy is a FAR Social Enterprise Project 21 | p a g e 5.1.3 Leadership Development – What Boards and Management Can Do to Support Leadership Development in Organisations The organisational context for leadership development starts with the governance structure of an organisation. Therefore, within the consultations, people were asked about their current issues and needs in relation to organisational structures and leadership development. During The Alchemy Project consultations, participants voiced concerns over the role of not for profit sector boards5. It was an issue that arose regularly, and these concerns relate to both the capability of boards and the structures of governance that underpin their operation. It is clear from the participants that the leadership capability of the board sets the tone for the overall leadership capability of an organisation and boards which have few characteristics of effective leaders are unlikely to drive highly effective organisations. “ Recognising, promoting and encouraging good leadership starts with the Board. CEO, Large Not for Profit ” Others commented that skills and expertise gaps in some not for profit boards mean that some managers and staff do not receive the direction and/or support they need from their board. For some organisations this results in a lack of direction, for others it impacts negatively on the motivation levels of management and staff, and for others it results in poor role clarity. The impact of these skills gaps are exacerbated by unclear accountability structures and governance responsibilities, and a lack of training for board members. “ Boards have become less and less democratic. Accountability is key. My Board does not clarify roles and structure. They need to be held accountable. Young Leader, Intimate Dialogue Boards don’t have accountability. Board members get elected on specific skills but don’t necessarily have Board leadership skills. Not for Profit Observer 5 In this capacity boards refers to governance mechanisms also known as Committees of Management and Committees of Governance etc. Alchemy is a FAR Social Enterprise Project ” 22 | p a g e Therefore, strong board direction and support for leadership development is critical and some organisations comment on the interest, support and resources that are provided by their boards for staff and leadership development programs. “ The role of the Board is to provide resources, support, direction and skills capacity. Open Forum Participant We have real support from our Board members, they are involved in our programs and are interested in our staff – they come and sit in on team meetings. HR Manager, Large Not for Profit ” This commitment from the board provides a strong sense of legitimacy for leadership development activities to be implemented throughout an organisation. More specifically, leadership development is more likely to occur in organisations where the board and management have in place: ! An organisational strategic plan (including a plan for skills and leadership development) which is appropriately resourced and supported by ongoing demonstrated Board and senior management commitment. ! Human resource strategies and structures that promote clarity in purpose, role and accountabilities. This includes clear role descriptions, open recruitment practices and formal induction. ! Formal performance development systems incorporating goal setting, annual professional development plans and six monthly progress reviews for all staff. ! Management support and supervision and a culture that encourages feedback, reflection and ongoing learning at all levels of the organisation. Participants highlighted that these are not components that are negotiable depending on the size and resourcing levels of a not for profit organisation. Rather, they are core to the development of an organisation’s leadership capabilities. Some larger not for profits (typically with access to greater resources) have also been able to introduce additional elements to their leadership development programs. These include more formal professional development and training programs informed by staff surveys and other consultative forums. Similarly, through the project consultations it was highlighted that there are other leadership development needs that the management of not for profits can address for minimal cost. Two of the strongest themes emerging from the consultations were the need to focus on reflection at the organisational and personal level (this is explored more fully in 5.2.3) and a desire for mentoring at varying levels (see 5.2.2). Alchemy is a FAR Social Enterprise Project 23 | p a g e Management can encourage a culture of reflection by creating reflection spaces for staff. This may be undertaken through forums such as regular staff meetings, structured time for “self-reflection” and/or the establishment of peer networks within or across organisations. They can also encourage staff to reflect both internally (e.g. on their role and progress within an organisation) and externally (e.g. on the relationships that they and their organisation have with other agencies/sectors). It was reported that the need or desire for mentoring is widespread in the sector. This need is expressed in various ways and can include formal and informal mentoring, within or cross-organisation mentoring and within or cross-sector mentoring. An important message for organisations is that there is a strong desire from staff to share ideas and obtain feedback and advice from a more experienced individual, ideally outside of their formal management structure to ensure a more honest process. This can be formally provided through an organisational mentoring program but equally can be facilitated through the establishment of networks that provide the space for informal mentoring relationships to form. Managers of not for profit organisations also need to consider how they can best meet the strongly held need for staff to gain a diversity of experience reported by those consulted. The opportunity to take on new responsibilities, gain experience in different roles, on different projects, and in different organisations/ sectors, is seen as important ways of gaining diverse leadership experience. It may also act as preparation for assuming more defined leadership positions. Not for profit organisations that have limited capacity to provide this diversity of experience can explore ways of partnering with other organisations to provide opportunities for staff movement and exchange. They can also examine how work within projects and roles is allocated and link this to the professional development plans of staff. These findings clearly highlight from participants a variety of issues and needs and suggestions of how not for profit boards and management may provide an appropriate framework to drive leadership development in an organisational context. In summary, to support leadership development boards and management may provide: ! ! ! ! ! ! ! Strong board direction and support for leadership development practices and programs An organisational strategic plan that sets an organisational direction and priorities and a context for staff and leadership development initiatives Proper human resource management strategies and structures Formal and compulsory performance management processes Management support and supervision that focuses on ongoing learning, feedback and reflection Opportunities for staff to obtain advice and feedback through formal and/or informal mentoring Opportunities for staff to gain diverse experience. Alchemy is a FAR Social Enterprise Project 24 | p a g e These actions provide a strong framework for effective leadership development. However it was also noted within The Alchemy Project forums that such actions are likely to be ineffective without sector staff also taking personal responsibility for their own development as leaders. This is developed further in the next section. 5.1.4 Leadership Development – What Role Staff Can Play in their Own Leadership Development The development of leadership capabilities does not start when an individual assumes a position of authority in an organisation. Nor is it something that just occurs at particular stages of one’s career. This was particularly highlighted within the Intimate Dialogue consultations, where people aged under 30 years in leadership positions discussed their progressive movement through the sector. Participants highlighted there is a great deal of commonality in what individuals require to develop as leaders regardless of the career stage they are in. The picture that emerges when sector staff analyse the things they need to foster their development is one that often complements what organisations need to do. It also demonstrates again that many of the needs do not require a significant financial investment from the organisation or the individual. In detail, the picture developed from the consultations includes a number of suggestions. It was highlighted that staff need to gain diverse experience, ideally crosssector but at least cross-agency and in different roles. The rapidly changing nature of cross-sector relationships (with both corporate and government) means that individuals who have direct experience in different sectors can bring a range of perspectives to their decision making and are well-equipped to bring these ‘different worlds’ together. To effectively develop as leaders, staff need to have structured time for selfassessment and self-reflection. If it is not available within their organisation, or some other professional context, it was suggested that an individual can take responsibility for their development and create their own space and time for reflection. This space to reflect provides the opportunity to set and assess progress against goals; to think about achievements, learnings and failures; and to plan future action. Examples of reflection undertaken by people in the consultations were: ! ! ! ! ! Undertaking personal leadership and other development programs Having a network of people to share ideas and challenges with Taking the time to step away and create some thinking space Using a formal space and structure (reflection leave, feedback forums and support and supervision) provided by their organisations Maintaining a work-life balance so that they consciously created time for self-reflection. Alchemy is a FAR Social Enterprise Project 25 | p a g e Some highlight that individuals also need to be self-aware, understanding the role their values play in their decision making and in how they form judgments. Ideally they will develop a sense of purpose and be intrinsically motivated by the value of the work they undertake. “ If you are going to be a positional leader you need to be a personal leader first. This is how you function as a person – your values, how you think and act and it needs integrity. You need to demonstrate your personal capacity first and have balance. Understand people’s values framework, morals and your sense of identity. Not for Profit Observer Always be true to who you really are – develop your own leadership style and trust it against all odds. Not for Profit Representative “ The ability to develop and maintain effective relationships is seen as a core attribute of effective leaders and building networks and connections provides an ongoing opportunity to be challenged and stimulated by peers. It also provides an opportunity to observe what others do and to learn from their actions. Organisations may not provide the structure for such networks and individuals in the sector talk about how they can establish these themselves: I am part of a learning circles group – a support group where you share where you are at and the challenges you are facing. Networks are important - what you need is a sustainable model where self-directed learning can take place. ” ” I create networks of people – put them in my bag – previous significant managers have been really important. Young Leaders, Intimate Dialogue Being an “accidental leader,” when having to step-up as needed, is common when organisations are stretched for resources, and many individuals note they have developed quickly as leaders by just getting in there and trying things out. In essence they are learning by doing and/or learning by failing. Ideally this will be in a supported environment with guidance, direction and a recognition that mistakes will be made. “ Some of the greatest learning is failure-based. ” Not for Profit Observer Alchemy is a FAR Social Enterprise Project 26 | p a g e Related to this is the need for staff to develop by stepping outside of the comfort zone of their usual environment, thereby potentially gaining exposure to new ideas. “ You need to step outside of your boundaries, take yourself out of your comfort zones and see what can be done differently. You can learn as a leader in a range of ways and you need different options that link together – not just university courses but experiential ones. ” Not for Profit Observer This can be in a workplace context by taking on new challenges in terms of projects or roles or organisational responsibilities. It can also be outside of the work environment through formal programs of development including leadership programs. Participants of leadership programs typically talk of the value of such programs as being able to help them to look at things differently and get other perspectives by building awareness and the ability to reflect and reframe. “ The real use of the leadership program was that you get to step outside and take the time and have the space to think. Young Leader, Large Not for Profit ” Regardless of whether it is part of a formal structured program or a professional relationship that develops in an informal manner, many individuals state they need to be able to access formal and/or informal mentoring. They note that an effective mentoring relationship provides encouragement, belief, support and challenge. It can also provide a further reflection space and an opportunity to test ideas. People talk openly of varied experiences with mentoring, including recognition that there are no guarantees of a successful mentoring relationship regardless of whether it is formally set up or develops informally. Participants who spoke most positively of mentoring use words like connection, advice, support, questioning, challenge and networking. They have been able to build trust and the relationship continues because it has mutual benefits. Finally, individuals will also ideally be benefiting from regular feedback, structured performance management, supervision and coaching. In other words they will be receiving comprehensive management support. Alchemy is a FAR Social Enterprise Project 27 | p a g e 5.1.5 Young People in the Sector and Leadership Development The Alchemy Project Literature Review6 highlighted that organisations in all sectors need to understand and respond to the motivations of younger workers. This includes a desire for cultural connection, a collaborative and results-oriented culture and ongoing learning. The review noted that traditional (strength and authority based) models of not for profit sector leadership might not be of interest to younger emerging leaders. In addition, research suggests the next generation is looking for a different set of characteristics in leadership (collaborative, participative, supported and balanced) and this is encouraging debate on the appropriateness of existing leadership frameworks. Young people were therefore a particular target group for The Alchemy Project consultation and the opportunity to specifically hear their opinions was provided in various consultation forums. What emerged from this research is young people in the sector expressed very similar views to others about the primary challenges facing the sector, and the issues and needs that have to be addressed to develop future leaders. However the impact of these challenges and issues is often felt harder by young people, in some instances because they have different (and higher) expectations and in others because the need for proper management, mentoring, training and direction-setting is greater in the early stages of one’s career. Accordingly, the absence of these has more detrimental impact. “ When a person shows they are capable of doing their job well they are given more roles or responsibilities instead of being mentored to do new things – then you have so much work that you cannot take time off to attend training. ” Staff need to be looked after as well as clients – there are all these programs for clients and none for staff. There is not enough money to attend training – they just find funds for people to enrol in leadership courses. Young People, Open Forum This issue was explored in more depth with a group of young sector leaders who articulated the real challenge in stepping up and assuming leadership responsibilities without having breadth of experience or clear direction and support from their board / management. 6 FAR Social Enterprise, The Alchemy Project Literature Review, (June 2008) pp 4 and 11 Alchemy is a FAR Social Enterprise Project 28 | p a g e “ When I started working with formal organisations I was given a lot of responsibility very quickly and that worked in two ways…it gave me confidence and then constant learning curves. Young Leader, Intimate Dialogue ” While the young sector leaders were highly motivated, pleased to be identified as someone with real potential and willing to step up, they also acknowledge that ‘sink or swim’ was not a sustainable approach and simply led to burn-out. “ I was suddenly put in the position of managing a big team…little support was provided in management and how to manage the people as they transitioned…I was not always supported in the basics and there were different expectations. I really struggled – trial and error went on for a bit too long. ” You are given responsibility and show that you can step up and take it on. Then it becomes expected, give it to her, she’ll do it. Show capacity and you become the one they rely on for one thing or lots of things…you burn out. Young Leaders, Intimate Dialogue Young people also discussed how dictatorial or strongly hierarchical approaches to leadership demotivated and disempowered them and they did struggle to “get their voices heard” in the structures of some workplaces. “ People have ageist views…within senior management I am very young. It’s an interesting place to sit…senior people with 20-30 years of experience and trying to transfer their way of leadership that isn’t so respected. The younger people are not wanting the dictator leadership…they want to develop their own style. ” Emerging leaders don’t care about hierarchy and don’t need the title, it’s hindering and limiting to be caught in the structures. I feel my own leadership within myself is better than leadership in some organisations… organisations don’t have capacity to support staff and are stuck in the past. It’s very hard to question the people above you – there is no space in the organisation to bring up issues. Young Leaders, Intimate Dialogue Alchemy is a FAR Social Enterprise Project 29 | p a g e Some noted their organisations and/or managers were not able to give them the guidance they needed and so they simply sought this elsewhere. For example by: ! establishing their own informal networks of support with peers from other organisations ! obtaining an informal mentor or coach ! observing and learning from leaders in other spaces (e.g. volunteer work) giving themselves a space to reflect outside of work. “ There is not enough space in our organisation to reflect so I do it in personal time. I feel like I need space for reflection both in a work space and outside. You pick leadership skills from what you have seen other people do in the past. ” Coaching early on in my not for profit career- I paid for it out of my own wallet to get the professional supervision to deal with the ethics of what you deal with. I had strong mentors both consciously and unconsciously…professionally set up relationships…someone you get to know and you bounce ideas off each other. Young Leaders, Intimate Dialogue Alchemy is a FAR Social Enterprise Project 30 | p a g e 5.2 Leadership Development - Opportunities Consultation participants repeatedly made reference to the opportunity the not for profit sector has to foster leadership development through greater collaboration, through formal and informal mentoring and through the process of reflection. 5.2.1 Collaboration Partnerships and collaboration are widely seen to be important and beneficial and the desire for collaboration is widespread in the not for profit sector. The challenge (and opportunity) is working out what can be put in place to facilitate collaboration within the sector and in relationships with government and corporate sectors/agencies. “ The evidence from the consultations, which is also supported by research7 undertaken whilst completing the Literature Review (June 2008) highlights there is currently a strong sense of competition, not collaboration, within the not for profit sector. It is reported that this is driven by competition for funding, fighting for survival and a lack of clarity on what collaboration might look like. The nature of funding is to compete to deliver the same services - what we need is a collaborative model. The not for profit sector is engaged with “helping” but it is not driven from collaborative partnerships. Open Forum Participants There appears to be this big versus small battle with small/medium size organisations losing funding as bigger organisations get favoured. Not for Profit Sector Observer However, there were some examples discussed of partnerships or networks forming, such as on a regional basis and of consolidation through larger not for profits taking over smaller agencies. There is also a desire for further opportunities for connections and partnerships to be explored, which is potentially being hindered by a lack of successful case studies and the fear of losing organisational identity. Similarly, there is a desire to work more collaboratively with the corporate sector and to learn from this sector. Less clearly articulated is how this could, or should happen. 7 SEEEN and Perpetual Foundation, Contrary and Congruent Views of Leadership and Management in the Australian Social Economy (2007) Alchemy is a FAR Social Enterprise Project ” 31 | p a g e “ Corporate management is seen as what we should be aiming for. Effective, efficient and ethical community management is often about the same skills (as corporate) – which is people skills. Young Leader, Intimate Dialogue ” While corporate partnerships are widely discussed, there are mixed views in regards to the benefits of partnering/collaborating with this sector. Some highlight key learning opportunities from the corporate sector, such as: ! “ the value of investment in capacity building, including training and development The not for profit sector has plenty of dreams but not discipline. Corporate measures its success…and impact. If the not for profit sector can learn anything from corporate it is discipline and delivering. Open Forum Participant ! the value of structure and clear focus in roles and accountabilities ! the value of consolidation, a focus on improvement and reducing duplication “ ! “ ” Corporate has a focus on reflection both internally and externally – needed to survive and focus organisational direction – not for profits lack this. CEO, Large Not for Profit ” the diversity of available career paths that value management and leadership skills as well as subject matter expertise. Other people within the consultations, however, expressed real concern about the broad application of corporate sector practices to the not for profit sector. They note the danger in direct sector comparisons and describe imposing models from one sector to another as simplistic and patronising. The solutions (we need) are long term but the expectation is that you can get short term fixes from the corporate sector. Open Forum Participant Corporates want completely different things than not for profits. You should not compare yourself with corporates using the same measures. Young Leader, Intimate Dialogue ” Alchemy is a FAR Social Enterprise Project 32 | p a g e The nature of the relationship with the government sector is also changing with some discussing the need for more collaboration with government and others advocating strong lobbying and influencing of government. “ The sector needs to push and government needs to accept that training needs to be allocated and included in budgets. Open Forum Participant ” Funding is often the key issue that arises when discussing the relationship to the government sector. There are many concerns expressed over government funding processes (e.g. short-term funding cycles, onerous reporting requirements, that funding for training and development will not be supported and that they encourage competition and a silo approach rather than collaboration). These concerns dominate discussions about the relationship to the government sector and limit the extent to which many can consider what collaboration might look like with the government sector. A related issue to collaboration, and one that may provide some insights into how it might be facilitated, is the wide-held recognition of the value of staff gaining cross-sector experience, and that greater movement of staff across all sectors would be beneficial. “ Crossing over between sectors should be encouraged, embraced and offered…so all worlds are coming together. Open Forum Participant ” Such a movement of staff between sectors was seen as something that would build understanding, break down barriers and help demonstrate potential new career paths. “ We need to partner better with government – for example via a cross-sector development scheme whereby staff start in the not for profit sector and rotate to the government sector – to encourage movement into and out of the sectors. ” HR Manager, Large Not for Profit Gaining cross-sector experience is seen as an important aspect of effective leadership development and the relationships that form as a result can also help break down the perceived barriers between sectors. For example, individuals who have transitioned from the corporate sector to the not for profit sector highlight the similarities in the leadership and other skills required to operate successfully in each sector. These sector leaders also note that a real barrier Alchemy is a FAR Social Enterprise Project 33 | p a g e to cross-sector collaboration and staff movements is the focus on perceived differences between the sectors and that one of the key learnings from their transition is that the sectors are not as different as many people think. “ We need to increase the level of exchange between corporate and not for profit to build individual learning and break down perceived barriers. It should be seen as a positive to want to go between corporate and not for profit. The skills gained from being a leader in the not for profit sector should be acknowledged in corporates. CEO, Small Not for Profit At times I felt a real lack of respect of my capabilities from corporate partners who would pass judgment on my capability because I was in the not for profit sector. In fact I often had more corporate experience than them. CEO, Small Not for Profit The widespread recognition that collaboration within and across sectors is needed presents an opportunity that is best tackled from a variety of perspectives. The existence of programs that facilitate the movement of staff across not for profit organisations as well as into and out of other sectors would send a very strong message that collaboration can happen. It would also contribute in a practical way to providing an opportunity for staff to gain quality diverse experience – a key identified need in developing leadership capabilities. 5.2.2 Mentoring Mentoring is widely discussed as an important component in developing as a leader and there is a range of perspectives on what a mentoring relationship could, or should look like. “ Mentoring is what everyone says they want but this needs to be examined further – what is it that people actually want – and is having a mentor the best way of getting that? Not for Profit Representative ” When discussing the value of mentoring, people tend to highlight the opportunity it provides to stop, reflect, share ideas and obtain feedback. For example, young people in the sector discuss mentoring in the following context: Alchemy is a FAR Social Enterprise Project ” 34 | p a g e “ Mentors that not only teach but challenge. Being able to talk to someone about the challenges and have support. An objective mentor or coach – if your mentor is internal it can potentially be harder to be open – external to the sector could provide new perspectives. ” Not just having a boss but a mentor. Mentoring that links up and coming leaders with existing leaders. The mentor and the individual need clear roles, responsibilities and structure and mentoring outcomes need to be measurable. Young People, Open Forum Mentoring is seen as potentially beneficial at various levels and from various sources, e.g. organisation to organisation (within and cross-sector), sector leader to sector leader, within projects and within organisations (formal leader to new employee, experienced person to person at beginning of career). Participants reflected that their experience of mentoring takes place both formally and informally. For example, some people talked about formal mentoring opportunities, such as those that are arranged by their organisation and typically include a structure for the relationship and some form of organisational support, such as training and the allocation of time for meetings. On the other hand, many people discussed their experience of informal mentoring. Young leaders in the not for profit sector reflected that informal mentoring can take place outside of organisational structures and is typically maintained by the strength of the relationship. “ Speaking to a friend that is a CEO provided me with support. What helped most were mentors – key supporters that offered belief. ” I had some disastrous experiences with conscious mentors… I’ve created networks of people who fall into the mentor relationship…not structured but they are part of the journey. Some might be surprised to know they are mentors. Impartial coaching from another person – when their intervention has been about personal and individual development as opposed to just organisational. Young Leaders, Intimate Dialogue Alchemy is a FAR Social Enterprise Project 35 | p a g e When discussing what leadership development might look like for the next generation of leaders in the not for profit sector, various consultation participants highlight the potentially valuable role that mentoring can play as part of a structured program of development. For example, Open Forum participants discussed a leadership development program that would incorporate formalised mentoring at various career phases. At the beginning of one’s career the focus of the mentoring could be projectbased, supporting a structured learning program that provided exposure to different areas within a large not for profit organisation. It might then also incorporate formally ‘shadowing’ a leader within a smaller not for profit to compare and contrast the two organisations and approaches. As one’s career progressed, the formal mentoring would continue as a way of extending networks and facilitating ongoing reflection. Then once someone had extensive experience in being mentored, they could take on responsibility for mentoring someone themselves, thereby helping to sustainably build a mentoring culture within the sector. Two sector CEO’s also identified the opportunity for a program that brings together a group of experienced individuals, providing them with cross-sector executive experience over two years within a formal structure incorporating inductions, mentoring and six monthly performance reviews. The mentoring component would be drawn from a partnership with the corporate sector ‘taking the best of their thinking’ and applying this back in the not for profit sector. Such a program would expose emerging sector leaders to areas and experiences that their current organisations cannot provide. “ This program is a means of identifying, examining and critically testing leaders in the sector. When individuals show the passion to want to develop as a leader this can show them the pathway – it would allow individuals to gain an understanding of the pathways for growth. CEO, Small Not for Profit ” 5.2.3 Reflection The importance of having the time, space and capacity for reflection was repeatedly highlighted in the consultations. The term reflection was articulated in different ways and meant slightly different things to different people. Primarily, people talk about wanting a space away from busy work environments to think about their experiences in a structured way, focusing on goals, achievements, failures and learnings. Alchemy is a FAR Social Enterprise Project 36 | p a g e “ You need the time and space to reflect – failures are overlooked and buried – need to learn more from individual and organisational failures. CEO’s cannot reflect to their Boards…they need space to think out loud – to meet once a month and talk through issues. Not for Profit Sector Observer What helped my development was a reflection process when I was in a space which allowed me to try things out. I realised my abilities and what I can do. I was hindered by the lack of space to reflect – on the role of the organisation, what to work towards and internal and external factors. Young Leaders, Intimate Dialogue ” In general, reflection was described as a process that may also include (or be linked to): ! gaining self awareness (of what you don’t know and your strengths and weaknesses) ! networking (including peer discussions such as learning circles) ! receiving support and feedback (including regular support and supervision) ! mentoring and coaching. Reflection was primarily discussed as something that could be undertaken by an individual. However consultation participants also noted the individual process would ideally be supported by an organisation encouraging a reflection culture and providing: ! a clear intention or purpose for the reflection ! structured time for self reflection to occur ! a framework for goal setting and feedback. “ Organisations need to take people out of the busy-ness and give them experiences to develop their emotional and spiritual intelligence - and opportunities to reflect. ” Having reflection time off site can help people see the connections between initiatives. Not for Profit Sector Observer As was the case with mentoring, when discussing what leadership development could look like for the next generation of sector leaders, various consultation participants highlight the important role that reflection can play as part of a development program. Alchemy is a FAR Social Enterprise Project 37 | p a g e Young sector leaders identified the potential value of bringing together people from across sectors to share experiences with a shared purpose in a formal, ongoing reflection space. The group would receive training to help build a coaching culture as well as support from their own organisations to report back on how they dealt with particular situations. However, importantly, the participating individuals would drive the group learning, not necessarily the organisations. “ It would be about gaining personal insight through asking powerful questions as opposed to structured mentoring. A sustainable model where self-directed learning could take place. ” Empowering the group to find their own needs. Underpinned by a philosophy that it is okay to fail – celebrate and learn. Young Leaders, Intimate Dialogue Alchemy is a FAR Social Enterprise Project 38 | p a g e 6. PRIORITY AREAS AND RECOMMENDATIONS In this section the five priority areas for action for boards, management and staff are identified and potential strategies explored for each priority area. Once again, strategies are drawn directly from the insights provided by the Literature Review, and during the consultations; including individuals opinions and ideas on the question, “What does leadership development look like for the next generation of leaders?” In developing these strategies, priority has been given to actions that will have high impact for relatively low cost. In order to build on initiatives already in place, case studies that demonstrate how these leadership development priority areas are being addressed by not for profit organisations are also included. 8 Where appropriate, the strategies are a ‘call to action’ to boards, management and individuals to adapt or change their actions to further foster leadership development in the sector. It is acknowledged that the strategies may not apply to all organisations and individuals and that they can be adapted to suit organisational/individual need. The recommendations for each priority area are also a potential ‘call to action’ for the not for profit sector per se, including its partners, to undertake further collaborative work to help address the sector’s leadership development needs. FAR Social Enterprise is committed to supporting the findings of The Alchemy Project. Specific areas that FAR Social Enterprise could potentially support are listed in the recommendations section. FAR envisage working collaboratively with interested parties to devise one strength based project / intervention for leadership development in the not for profit sector. A note on the recommendations about management practices and competencies It was evident throughout the consultations and whilst undertaking research (including the Literature Review) that there is a strong cross over between management and leadership. Although this study and therefore the priority areas and strategies are focusing on leadership, it is recognised that positional leadership also requires essential management skills and competencies. It is also acknowledged and recognised that leaders who are going to be managers require a range of practical skills and a good knowledge of areas such as organisational theory, governance and the legislative context. 8 The Alchemy Project Team appreciates the organisations and individuals providing these case studies who have agreed to be identified in this report. Further information including contact details for the organisations/individuals can be obtained by contacting FAR Social Enterprise. Alchemy is a FAR Social Enterprise Project 39 | p a g e 6.1 PRIORITY AREA ONE: Leadership Role and Capability at Board and Management Level Although the Alchemy Project did not focus specifically on boards in the consultations, the participants identified that the support and actions of boards are an important part of supporting leadership development. 6.1.1 Board Strategy – boards providing strong leadership direction and support around leadership development through practical understanding, skills and experience It was highlighted that the commitment of not for profit boards to leadership development can be demonstrated in a number of ways. One example is by the board having appropriate skills and capabilities, including an underlying understanding of human resource management. Another support mechanism boards may offer is by having access to expertise in leadership development, either via specific board members or pro-bono support. Board members may also review their membership specifically looking at skills and experience in relationship to leadership development. By doing so, board members may acknowledge areas they need to develop, and can also hold each other accountable in setting the tone in maintaining and obtaining relevant skills and expertise. This may be particularly powerful when developed in line with individual and organisational leadership development opportunities and needs for an organisation. 6.1.2 Management Strategy – a strategic plan for the organisation with an internal as well as external focus and a corresponding budget line Management of not for profit organisations can develop a strategic plan, endorsed by the board, which includes an internal focus, with specific human resource strategies, including leadership development and skill based competencies. It acknowledged that many organisations have strategic plans in place, either already covering such issues, or in some cases may benefit from a specific refocus in this area. For example, by having a budget and resource allocation associated with the specific leadership development strategies, an organisation optimises on being able to deliver, plan and grow their commitment to leadership activities for boards, management, staff and if relevant, volunteers. 6.1.3 Recommendations: Leadership role and capability at board level As the Alchemy Project did not explore board leadership capability in detail, the following recommendation is based on the potential need for further exploration of more detailed and specific recommendations. Alchemy is a FAR Social Enterprise Project 40 | p a g e The existing research highlighting the role and capability of boards and their governance structures in supporting leadership development could be collated, analysed and discussed in order for the sector to determine whether further research into the extent of board leadership capability is required. 6.2 PRIORITY AREA TWO: Human Resource Development It is recognised that core to the effective development of an organisation’s leadership capabilities is the existence of a comprehensive approach to human resource development. This is not just about day-to-day human resource practice, it also includes an approach to competency development and leadership development that is informed by the strategic direction of the organisation and supported and enabled by the board. 6.2.1 Management Strategy - Ensuring comprehensive human resource development strategies and structures are in place Not for profit management is responsible for the development and implementation of strategies and structures for human resource development as specified and endorsed by the board in the strategic plan. Such systems, policies and procedures are there to provide clarity in roles and accountabilities. They ideally include processes for structured management support and supervision to be delivered at all levels of the organisation. Within the model, the board is responsible for providing this support to senior management and the management is responsible for other staff. The strategies and structures can be further reinforced through appropriate training and staff inductions. CASE STUDY9 Oxfam: The transformation of their human resource management practices The primary goal for staff learning and development at Oxfam Australia is to support the achievements of the agencies strategic change goals through enabling individuals and teams to better carry out their present and likely future responsibilities. To do this the Learning and Development program works with and through people to build strong supportive relationships based on mutual trust and respect, facilitate strong performance management and mutual accountability and learn from our monitoring and evaluation of our programs and initiatives. cont. next page 9 Case studies are written by the participating organisations and individuals. Alchemy is a FAR Social Enterprise Project 41 | p a g e One of Oxfam Australia key priorities is to build management and leadership capabilities across the organisation. To do so we have been working with managers to adopt sound Human Resources practices through providing them with comprehensive learning pathways including, a new managers induction program, five day training program for supervisors, coaching, mentoring, learning forums and resource development. Managers are provided with clear expectations of their roles and are performance managed and developed against these. As noted by an Oxfam Australia employee: “I had no idea how BIG supervision is, before it was an add on, now I realise how integral it is to the performance of my team and most importantly the health and well-being of myself and those I work with.” 6.2.2 Management Strategy - Implementing formal performance development and evaluation systems If not already in place, management can also implement formal performance development and evaluation systems. As is recognised, these systems provide an organisation with a culture that encourages feedback, reflection and ongoing learning. Performance development and evaluation systems ideally also include goal setting, personal development and core skill development plans for all management and staff. This is usually undertaken through a process of regular progress reviews. Core skills may include developing an understanding of accounting, finance-budgeting, fundraising, planning, understanding legalities/ compliance issues, communication and inter-personal skills. Additionally, staff are encouraged to take responsibility for their own learning. CASE STUDY The Shalom Institute and Social Ventures Australia: Providing skill development and leadership development for not for profit organisations The Shalom Institute is a Jewish Adult Education service who is working in partnership with Social Ventures Australia (SVA) to deliver a Professional Development Series aimed at young Jewish adults, working or volunteering in Jewish not profit organisations. The concept and framework of the Professional Development Series, came about from staff at the Shalom Institute recognising that there were many small not for profit organisations in their network, which were finding it challenging to provide staff with professional development opportunities and opportunities for organisational growth and development due to the size of the organisation. cont. next page Alchemy is a FAR Social Enterprise Project 42 | p a g e The Professional Development series is a new initiative, which consists of 5 one-day interactive workshops (over a 5 month period) and aims to improve young Jewish adults’ professional skills and learn how to grow or optimise their organisation. It is also seen as an opportunity to give something back to staff. The five workshop topics are: 1. Leadership & Personal Mastery 2. Strategy and Planning 3. Organisation Building & Growth 4. Financial Management 5. Skilled volunteers and board development The workshops are primarily focused on developing “organisational” skills, with the inclusion of a personal development workshop, as it was acknowledged that having self-awareness (including knowing your strengths) also benefits an organisation indirectly. The content of the series was devised in partnership with SVA, informal conversations with young adults and CEO’s affiliated with the not for profit sector and a 1 page market research questionnaire being distributed to individuals in the Shalom Institute Network. The Professional Development Series aims to: • Give something back to staff • Create opportunities for individuals to gain professional development and • Foster growth of not for profits through skill, knowledge and development acquisition CASE STUDY Oxfam: Providing leadership development within an organisation As part of their commitment to personal leadership development Oxfam Australia provides a twenty week coaching program focusing on personal and interpersonal leadership for staff within the first twelve months of employment. Feedback directly from staff includes: “I think the program has given many people the tools with which to stop, think and make a difference in their circumstances, which is far better than the past system of get frustrated, complain and not move forward.” “I think this course came at a great time for me. It has helped me to face the challenges in my professional role with greater tact and confidence, and to recognize the value of deliberate choices I have made in my personal life as well.” Alchemy is a FAR Social Enterprise Project 43 | p a g e 6.2.3 Recommendations: Human Resource Development It is recommended that: 1. Further investigations be undertaken to scope the financial cost of establishing a comprehensive human resource development framework in not for profit organisations, which encompasses a variety of leadership development competencies. 2. To inform this work in the sector, a comprehensive case study illustrating the process and learnings and costs could be developed on the work Oxfam Australia has undertaken to transform their approach to human resource management and leadership development over the past three years. 3. A cross sector leadership development program with a focus on skill building for emerging leaders could be investigated based on the Shalom Institute and SVA partnership for wider participation from the sector. 6.3 PRIORITY AREA THREE: Self-Awareness An ongoing commitment to building self-awareness is an essential part of developing leadership capabilities for individuals at all levels of an organisation. Developing self-awareness is about undertaking activities – such as reflection, mentoring, active listening and stepping out of one’s comfort zone – that help an individual to develop an understanding of their values; their decision-making processes; and their sense own of purpose. Further, it is also often about developing a sense of purpose in their work: an underlying driver that will help to sustain them and ‘anchor’ their own leadership work. 6.3.1 Board and Management Strategy – Promoting a culture of learning Not for profit boards and management can promote a ‘culture of learning’ in their organisation. By doing so, such organisations not only demonstrate their commitment to learning, but also often recognise the powerful message it sends when all levels of staff are seen to be developing in a learning environment. One example of a learning culture is one that encourages regular staff reflection and supports this with clear purpose and processes. This will typically be linked to human resource practices including performance evaluation. The processes for reflection are likely to be most effective if they include reflection on both achievements and failures, and if the reflection practice occurs as both part of the day to day work environment as well as encouraging reflection outside of the work environment. Alchemy is a FAR Social Enterprise Project 44 | p a g e CASE STUDY Inspire Foundation: Reflection Leave Staff have the opportunity to take up to 5 days leave annually in order to personally and/or professionally reflect. This formalised leave is in addition to staff annual leave entitlements. Reflection leave is part of Inspire’s values around investment in people on an ongoing basis. The organisation believes that reflection leave encourages “openhearted” leadership throughout the staff team, regardless of position. Such an approach enables Inspire to work more effectively together. It also provides each person an opportunity to reflect on where they are at and to stretch themselves at a steady pace in order to encourage gradual personal and/or professional change. Fundamental to this principle is the notion that a focus on personal reflection invariably leads to professional development. In terms of organisational investment, Inspire measures this as: • Time of appropriate staff member in a leadership position to meet and debrief with members of staff • Up to 5 days pay for each staff member • Organisation time for staff feedback session A comment by staff member regarding reflection leave includes: “Inspire is the number one leader in the field in investing in staff and culture. I believe the output and quality of social projects run by all charities in Australia could be improved by the adoption of a staff development program similar to Inspire. Specifically, a culture that encourages staff to reflect on their own mental and physical health and put this first.” CASE STUDY NEAMI: Leadership and Development Pilot Program (2008) Neami has recently completed a Leadership and Development Pilot Program (2008) to promote self awareness, reflection, and learning in senior organisational staff. This project has utilised Emotional Intelligence as the foundational base for the program, encouraging staff to consider their capacity to effective manage themselves as a means to better managing others. We also incorporated some technical skills into the latter part of the program to assist managers in key areas of identified deficit cont. next page Alchemy is a FAR Social Enterprise Project 45 | p a g e This program has been developed via a close collaboration with the Northern Melbourne Institute of Tafe (NMIT) and is accredited against the Advanced Diploma of Frontline Management. A range of creative learning platforms were used in the program, including traditional workshops, online tutorials, the development of ‘communities of practice’ in local geographic areas and self paced modules. Key modules in the program include: Emotional Intelligence; Creative Problem solving, Creating A Learning Environment, Control and Influence, Managing Change and Development, and Managing Conflict. Technical areas included: Finance Management, Project Management, Human Resource Management, and Legal and Ethical Issues. The program also involved participants engaging a voluntarily chosen mentor to assist them in their discovery journey and build links between the Leadership Development Program (LDP) and their daily practice. Participants also kept a LDP Journal for the duration of the program to encourage reflection and revision of current approaches and methods. Participant evaluations of the project suggest it has provided opportunities for staff to effectively reflect on their practice, embed Neami culture and values, develop relationships across the organisation and learn practical new skills and knowledge which will directly assist them in their management roles. Roles for which many staff have had no previous training or expertise. 6.3.2 Individual Strategy - Undertaking self assessment and reflection Some organisations do not provide formal structures for reflection and individuals therefore need to create their own spaces to ‘take time out’ and think about their goals, progress and learning development. Such a process may be undertaken in formal or informal ways, and may include elements such as peer networks, structured supervision or an individual reading program. Reflection is a process that can be taught and learnt. It is a critical process of learning characterised by openness, insight, detachment and it is future looking. Reflection can help an individual really understand what is happening for them in a situation and what they can learn from this. Alchemy is a FAR Social Enterprise Project 46 | p a g e CASE STUDY CEO Forum Roger West from WestWood Spice, human service consultants, convenes two forums for CEOs of not for profit NGOs. Each group comprises 14 members and they meet for 4 hours every two months, beginning with informal discussions over a light breakfast. The groups are opportunities for structured discussion, dialogue and information exchange. The idea is not to be a lobby or pressure group, but rather to discuss, in an open and “safe” environment, common issues and challenges faced by leaders of community sector organisations, to share ideas and solutions that some may have tried (or at least thought of) and to exchange information and intelligence from the field. They operate in environment of confidentiality. One of the great strengths of the groups has been the willingness of members to be open and frank about issues and challenges, and this only happens when trust has developed over time. 6.3.3 Individual Strategy - Stepping out of the comfort zone Self-awareness is typically accelerated when individuals are prepared to seek out and take on new opportunities. This may include practising what it is like to take risks and stepping into a ‘learning zone’. Such an experience may be in a work environment, for example by taking on new roles or short-term secondments and/or projects. It can also be undertaken outside the work environment through experiential programs of learning such as leadership or personal development programs. This experience can be enhanced if complimented by mentoring. CASE STUDY An individual’s experience of an Adaptive Leadership Program My participation in the Q&A Adaptive Leadership Program provided a valuable opportunity for me to understand how I could personally effect change in my community. Q&A operated largely by forcing participants out of their comfort zones. This included acknowledging that many of our habits as community workers – focussing on understaffed administration and under funded budgets, blaming fellow committee members for non-compliance with our visions, or targeting outside forces such as political parties which conflict with our views – as avoiding the deeper, and more difficult, work of creating lasting cultural change within our organisations. On a personal level, Q&A forced me through the painful process of examining the hurt I carried within me as a victim of homophobia, and how that affected my ongoing work within the GLBTQI community. By receiving permission to model my pain instead of denying it, and speaking from the heart publicly about my experiences, I discovered the value of deep empathy from my audience in inspiring the change needed to make my community safe. Alchemy is a FAR Social Enterprise Project 47 | p a g e 6.3.4 Individual Strategy - Identifying formal or informal mentors For many individuals the role of a mentor is critical to building self-awareness. In this context, the mentoring relationship is maintained by the strength of the relationship rather than formal structure or a particular focus on skills development in an organisation. The role of the mentor is to challenge, support, pose questions and potentially act as a role model. CASE STUDY An individual’s experience of mentoring As a new executive, I tried to do everything and be everything to everybody. I quickly lost control, motivation, and direction. A colleague recognised my predicament and offered to help. This person became my coach and mentor – a person I trust implicitly. My coach helped me to re-take control, firstly by helping me to recognise what drove me at a deep, emotional level, and hence what was important and what was not. He listens, guides, challenges, questions, and keeps me focused. Being coached has taught me how to interact with others and I now ‘coach’ my staff, rather than simply ‘manage’ them, with astounding positive results. I have become a trusted and respected leader and my staff have become a focused, motivated, and independent team of professionals. I don’t believe I could have developed as a leader simply by doing a course or reading a book. I believe that to be a good leader requires you to be a good coach, and becoming a good coach comes from being well coached yourself. Philip Petrie (M.Ed.Stud., BN, RN) Executive Director, Bankstown Handicapped Children’s Centre Association (BHCCA) 6.3.5 Organisational Strategy - Focusing on communication and active listening Taking time to step back, actively listen and truly hear the perspectives of others is a process that builds self-awareness. It is also a key characteristic of effective leaders. Active listening includes hearing internal and external perspectives; being aware of the assumptions and judgments that one brings to the listening process; and leading discussions with questions not answers. 6.3.6 Recommendations: Self-Awareness It is recommended that: 1. A forum could be established to provide a space of action learning and reflection for a group(s) of emerging sector leaders. Such a forum would Alchemy is a FAR Social Enterprise Project 48 | p a g e facilitate reflection, networking and peer feedback. This initiative could be adapted from the model used by the existing CEO Forums and “Community Sector Leaders Forum” convened by WestWood Spice in NSW. 2. An experiential cross-sector program could be designed and delivered collaboratively based on the Sydney Leadership and Q&A Adaptive Leadership Program for emerging leaders. 3. The process of reflection exercise used in the Q&A Adaptive Leadership Program could be adapted, formally documented and disseminated to build reflection capabilities and resources in the not for profit sector. 6.4 PRIORITY AREA FOUR: Diverse Experience This priority area is about developing leadership capabilities by taking on new responsibilities, be it in differing roles, projects, organisations and/or sectors. It is about experiencing a variety of work environments, thereby better equipping an individual to bring a range of perspectives and experiences to strengthen their own leadership capabilities. For organisations, it may be about the development of mechanisms for staff to gain diverse, quality experience (including within and across organisations and sectors, where possible). This priority area can also potentially demonstrate collaboration in action: a way to collaborate in order to increase understanding, break down barriers and establish new career pathways. 6.4.1 Board and Management Strategy – Provision of opportunities for staff to gain diverse experience Those boards and management which actively develop creative approaches to providing staff with diverse experience often feel the benefit of such action. This approach not only helps to develop an individual staff member’s skills and competencies, but also has a flow on effect to the organisation. Such an approach could include opportunities for staff to work on different roles and projects within an organisation. It could also incorporate internships, staff rotation, or secondment programs that provide cross-agency or even crosssector placements. This type of program is potentially very relevant for smaller not for profit organisations who may be less able to provide staff with experience in varied roles and projects. Alchemy is a FAR Social Enterprise Project 49 | p a g e 6.4.2 Strategy - Building an understanding of different organisations and sectors Individuals working in the sector may obtain cross-sector and/or cross-agency experience to build their understanding of how these different environments operate. This is seen as particularly important in the early stages of an individual’s career. Gaining this experience also requires a personal commitment to a flexible career path, which can often lead to meaningful career planning. CASE STUDY The Benevolent Society’s Community Care Eastern Sydney (CCES) and JewishCare: Professional Development Exchanges The Benevolent Society’s Community Care Eastern Sydney (CCES) and JewishCare services work together with a number of clients from time to time and it is important that we coordinate our joint work to achieve the best outcome. It is important that workers from both agencies have a clear understanding of: • The roles and responsibilities of each agency • The opportunities each agency offers to promote client independence, access to services and service provision • Interagency collaboration and its necessity for effective outcomes for all clients • The skill set, expertise and experience of each agency • The approach used by each agency in providing best practise. Professional development exchanges between the agencies enable workers to participate and observe the work of colleagues in the hosting agency. It enables the development of collaborative relationships and helps to build rapport between those who are working towards the goal of excellent service provision for clients. 6.4.3 Recommendations: Diverse Experience It is recommended that partners be identified to collaboratively develop options for not for profit sector employee rotation programs. Examples include rotation programs for emerging sector leaders and/or programs targeting specific groups such as recent graduates. As a starting point, project partners could utilise the work of FAR Social Enterprise in developing the framework for a potential graduate employment program for the sector incorporating: • • A cross sector two-year program of three placements of eight months duration with each placement in a different organisation and/or sector A program of formal leadership and management training, support for post-graduate study in community management and formal mentoring from a sector leader Alchemy is a FAR Social Enterprise Project 50 | p a g e • 6.5 A range of participating organisations to be drawn from the not for profit and corporate sectors, with the aim of including diverse not for profit organisations, trusts/foundations and corporate organisations who have a demonstrated a tangible commitment to sector partnerships and a philanthropic/corporate social responsibility focus. PRIORITY AREA FIVE: Building Relationships Being able to develop and maintain effective relationships is a core leadership capability. Building diverse networks and connections provides individuals with the opportunity to form different types of relationships across agencies and sectors. This experience is about sharing ideas, building knowledge and obtaining feedback and advice. Networks exist formally and informally and may be facilitated by the creation of structured networking forums and/or mentoring relationships. 6.5.1 Organisation Strategy - Building connections through sector networking The size and diversity of the not for profit sector necessitates formal and informal networks and forums. This is specifically to build collaboration, share resources, strengthen impacts, explore partnership opportunities and help reduce sector duplication. Such structures work most efficiently with a clear purpose and can often form around varied shared interests including issues, workplace specialisation, roles (e.g. Directors and CEO’s) and regions. CASE STUDY Macarthur Regional Peak: Jane McIvor, Director Macarthur Community Forum is a regional peak body which aims to work collaboratively cross sector to raise the profile of the not for profit sector and work in partnership to develop mechanisms to strengthen the service systems through formal and informal networking opportunities at local, regional, state and federal level. The Forum’s position as a focal point enables connections to be made that enables growth and development within organisations and across the various sectors. Interagencies and networks form an important base to enable this collaborative approach to be effective. Macarthur Community Forum runs both geographically based interagencies that incorporate diverse sectors and sector based networks. The diverse networks provide important cross sector development but face limitations in the outcomes that can be achieved. Sector based networks that focus on common issues provide vital avenues to build collaboration, cont. next page Alchemy is a FAR Social Enterprise Project 51 | p a g e share resources, provide strong mechanisms for local input into planning and development at all levels and encourages collaboration and a partnership approach to service delivery. They also provide a strong collaborative voice to support advocacy and lobbying. The Managers Network is a current example of this approach. This network addresses strategic issues across the Macarthur / Wingecarribee region through collaboration, peer mentoring and support and a strong united voice. MacUnity is another important network which is exploring how mainstream opportunities can be harnessed to support and resource Aboriginal service delivery across the region. One of the challenges facing this model is ensuring there are adequate resources allocated to services to enable them to effectively engage in the networks. Too often individual and organisational participation and development is compromised because of under resourcing. Funding sources need to recognise the importance of this collaborative approach in strengthening service systems and in turn strengthening individuals and organisations and allocate funding accordingly. 6.5.2 Board and Management Strategy - Creating opportunities for structured mentoring Boards and management can facilitate the development of organisational and individual relationships by creating structured mentoring opportunities for their organisations. This may be undertaken from a variety of perspectives. In this context mentoring has a formal skills-sharing component, typically around a project or the provision of advice to a targeted group or individual. This transfer of knowledge from the mentor aims to build the capability of the ‘mentee’, as well as promote shared understanding and collaboration. It can take place within and across not for profit organisations and with other sectors. It is typically accompanied by formal guidelines and structure and exists for a designated time period. CASE STUDY Australia Business Arts Foundation (AbaF): adviceBank Montsalvat and Michael Rowe of Run Property AbaF KPMG adviceBank Award National Winner Recent MBA graduate Michael Rowe wanted to get involved in community work to keep him sharp and connected to the real world, but what he found took him back in time to the artistic legacy of Justus Jorgensen, who in 1934 had founded an artists’ community at Montsalvat on a hilltop in Eltham, now on the outskirts of Melbourne. cont. next page Alchemy is a FAR Social Enterprise Project 52 | p a g e In 2007, following a year of turmoil during which Montsalvat faced off a takeover, Montsalvat CEO Robyn Quigley was looking for a way to salvage and secure the organisation’s reputation and future. “Montsalvat had never really had a business plan before,” Ms Quigley said. “Or rather it had a few, but they had never exerted influence on the direction the organisation had taken. This time things had to be different. There had been financial difficulties the previous year that had all but resulted in a hostile takeover by a consortium of outside interests. Without a solid plan, and government support, the future was hazy,” Rowe quickly grasped the essential fact about Montsalvat – that it had to become more businesslike without losing its artistic soul. The aim was to create a living, thriving artistic community, accessible to the public and aiming to educate and promote cultural practice. Together Rowe and Quigley developed a comprehensive business plan, restructured the board, and most impressively secured a $150,000 Arts Victoria grant that has enabled Montsalvat to hire key staff including a marketing manager and cultural programs manager. “This unique opportunity to develop a complete end-to-end plan in association with the CEO of Montsalvat gave me exposure to a much wider range of considerations than I would ever have encountered in a strictly business context,” Rowe says. Rowe continues to be involved with Montsalvat as chairman, and has secured a senior position with RUN property, a public company – which he credits partly to his experiences as a volunteer. “There is no doubt at all in my mind that the depth of my experience at Montsalvat has added value to my career and was a discussion point during interviews that led me to attaining my current position.” Benefits for Michael Rowe • Chance to apply MBA training and business skills • Developed ‘complete end-to-end’ business plan • Arts experience a recruitment point-of-difference • Sustained CEO and board contact • Government relations and arts experience Benefits for Montsalvat • New strategic business plan • $150,000 Arts Victoria grant secured • Board restructure • Financial difficulties resolved • Simplified organisational structure • Growth plan for each area of Montsalvat operation • New cultural programs manager and marketing manager Alchemy is a FAR Social Enterprise Project 53 | p a g e 6.5.3 Individual Strategy - Creating opportunities for informal mentoring Individuals may also wish to create their own opportunities to build varied relationships through informal mentoring. Such relationships build self-awareness and networks, and are often most effective with a clear purpose. They can operate either within or across organisations but are often most useful when providing an external perspective across organisational boundaries. They are also often sustained by the mutual benefits in the relationship. 6.5.4 Recommendations: Building Relationships It is recommended that: 1. The opportunities that are currently available for senior staff networking, for example, CEO Forums and Director’s lunches be used to inform the development of new opportunities for networking for individuals at various stages of their career (and adapted to meet the needs of individuals at the stage they are at). Organisations can support this participation by allocating time and resources and incorporating it into staff development plans. 2. Disseminate the findings of The Alchemy Project and the findings from AbaF adviceBank to help to provide robust learning opportunities for all levels of the sector. Alchemy is a FAR Social Enterprise Project 54 | p a g e 6.6 Recommendations: Conclusion It is clear from the Alchemy Project consultations and through the brief case studies outlined in this report, that leadership development programs aimed at emerging leaders can, and are, run collaboratively cross-sector and within the not for profit sector. Further, many of the recommendations outlined above may be implemented by organisations, by individuals or in combination. Within this study, when consultation participants were asked to devise a leadership development program, there was a great deal of consistency in the program components identified. In addition, when particularly looking at emerging sector leaders, participants outlined that ideally the program would be available in the early stages of a person’s career and would also incorporate the five Alchemy Project priority areas outlined above. Participants suggested such a program might include: ! Individuals from across agencies or sectors coming together with a shared purpose ! A space for critical reflection through action learning ! Self-directed learning ! A focus on personal development (not necessarily organisation specific) ! Professional supervision or coaching. The Alchemy Project team and FAR Social Enterprise are keen to explore the opportunity to work with interested parties. Organisations and individuals are now invited to voice their interest to discuss potential design solutions and/or initiatives to commence in 2009. Please contact FAR Social Enterprise Project Officer, Jenni Iloski, at jenni@ farsocialenterprise.com if you know of any work already happening, that fits with the findings of Alchemy or you are interested in collaborating and/or designing an initiative/solution. Alchemy is a FAR Social Enterprise Project 55 | p a g e APPENDICES Appendix One - Methodology Logistics and Limitations The Alchemy Project team acknowledge the limitations of the consultation process. The project team discussed and actioned risk assessment strategies to limit the impact of potential consultation risks. The following section outlines the logistics and related limitations of the agreed consultation methodology. ! Dissemination of Forum Invitations The Open Forums were advertised and invites were distributed through the networks of the following groups in order to access a representative crosssection of the consultation target groups: o The Alchemy Project Steering Committee o FAR Social Enterprise o The Alchemy Project funding body grantees o Sydney Mechanics’ School of Arts (SMSA) o The Benevolent Society Sydney Leadership Alumni ! Time constraints In order to deliver on The Alchemy Project timelines, one month was allocated to this first stage of consultation. This contributed to the gaps in representation from corporate and government sectors. The Alchemy Project aimed to consult with individuals in the corporate and government sectors to ensure a representative perspective. However it became evident during the consultation period that one month was insufficient to confirm interviews (especially in the government sector). It was agreed that any major gaps identified from the first phase of consultations would be noted, and if possible, addressed in the next phase of the project. ! Consultation logistics All consultations were Sydney based, except for one Intimate Dialogue, which was held in Melbourne. All consultations were held in business hours and on weekdays. Two Open Forums were held – one less than originally planned. This was the only Open Forum scheduled for outside of business hours and this may have impacted on participants’ availability to attend. During the planning of the consultations, it was decided that the Open Forum participants would be broken into smaller working groups. This was determined by the category they most identified with, i.e. young person, individual who had transitioned into the not for profit sector in the last five years, or individual engaged in the not for profit sector with a general interest in leadership. The numbers and the type of participants that attended the first Open Forum enabled the groups to be split into these groups for parts of the Forum. However the second Open Forum had slightly less people (and no young people), so the group was therefore randomly split into two general groups. Alchemy is a FAR Social Enterprise Project 56 | p a g e ! Information for participants prior to consultations All participants received the Alchemy Project Literature Review prior to the consultation. Initially, individuals who had agreed to participate in one on one interviews did not receive the questions prior to the meeting. However, after conducting approximately four interviews, it became evident that providing the participants with the questions prior to the interview would facilitate more prepared and informed responses and this then occurred for the remaining interviews. ! Qualitative data The consultations were primarily discussion based and therefore the data obtained is qualitative. The documented findings accurately reflect the range of views expressed by consultation participants. The findings are not weighted based on the number of people who expressed the views though there was significant consistency in the themes that emerged across the consultations. Some of the language and terms used by the participants had slightly different meanings for each individual. Although the Alchemy Project team checked for meaning where possible, when collating the data it was evident that some words (e.g. mentoring and coaching) were used interchangeably and had various, albeit similar, meanings to different people. ! Method of recording, obtaining and analysing data The Alchemy Project team designed the questions for the consultations. A discussion guide was developed with the aim of drawing out individual perceptions and experience of leadership issues, needs, challenges and opportunities within the not for profit sector. The Alchemy Project and FAR Social Enterprise team members facilitated the consultations and recorded the data. The method of recording data varied according to the type of consultation i.e. Interview, Open Forum or Intimate Dialogue. Some of the interviews were conducted by one person (both interviewer and note taker), whereas other interviews had one person conducting the interview and another person writing notes. In the larger forums, when individuals were in smaller working groups, the facilitators of the groups took notes from the discussions. When analysing the data, all data was allocated codes depending on the consultation method and then data was put into themes. Themes were measured against the consultation framework in addition to themes and topics mentioned consistently. Alchemy is a FAR Social Enterprise Project