Council on FoundationsCouncil on FoundationsCOF_54045456-5c19-49e8-b297-59592bfa58d6A vibrant, growing and responsible philanthropic sector that advances the common good._5f0f280e-cf66-4ad9-919d-b5fa4f53d84aThe Council on Foundations provides the opportunity, leadership and tools needed by philanthropic organizations toexpand, enhance and sustain their ability to advance the common good._7e0fb3cf-5829-448d-8937-370ab6b53f41PhilanthropyOrganized philanthropy is a powerful tool for creating and sustaining societal benefit.PartnershipNonprofit provider organizations are key partners with our members, and without them foundations could not do their work. However, the Council’s focus is on issues and organizations that affect organized philanthropy, rather than on the entire third sector.Collective ActionThe common good is enhanced when philanthropists come together for collective action to increase their impact and effectiveness.Stewardship and AccountabilityTo be effective, organized philanthropy must operate with the highest degree of stewardship and accountability.DiversityOrganized philanthropy can enhance its ability to contribute to the common good in a changing society by including in its work a range of perspectives, opinions and experiences from people representing diversity of ethnicity, race, gender, economic circumstance, sexual orientation, disability and philosophy.Participatory DemocracyIt is the responsibility of governments of nations that value participatory democracy to encourage broadbasedand robust philanthropy through policies that create a supportive environment.MEMBERSHIP VALUEAllocate resources in ways that best support essential services to customers_d9187301-7a7c-4d5f-bb61-62d5e8e927e61The Council on Foundations offers its members and the fieldof organized philanthropy the opportunity to learn, practiceeffectively and take pride in philanthropy’s contribution to abetter life for people and communities across our countryand beyond. The Council’s role is based on the strength ofits members’ collective voices and actions. Through itsmembership, the Council stands for principles of stewardship,accountability and effectiveness. Collectively, we must continuallyearn the public trust and maintain the supportivepolicy environment in which we can do our best work.This framework defines the Council’s primary customersas its members and potential members. The criteria formembership will change as additional forms of organizedphilanthropy are developed. The Council will continue toensure that its primary customers receive a range of highqualityand pertinent services, so there are clear advantagesof membership to both current and future members. TheCouncil will supply more meaningful knowledge, skills andtools for determining and meeting higher levels of effectivephilanthropy and for demonstrating accountability, bothdirectly and through partnerships with other infrastructureorganizations. As a philanthropic leader, the Council alsowill promote and preserve the ability of its members andpotential members to work in a policy environment thatallows them to provide and demonstrate societal value—aservice that provides the roots from which effective philanthropyflows.The Council will allocate resources in ways that best supportessential services to customers. This may entail developingnew kinds of partnerships with other infrastructure organizationsto have a more coherent and rational system ofsupports for organized philanthropy, and to judiciously avoidduplication of costs or roles.NATIONAL ASSOCIATION WITH A GLOBAL PERSPECTIVEAs an association of members primarily fromacross the United States that is networked withcolleague organizations, the Council benefitsfrom a broad perspective from which to takeactions that benefit organized philanthropy as awhole.We do so with a voice and efficiency thatdraws on our members’ combined resources.The Council’s efforts on the policy climate andon standards and accountability are specificallyapplicable within the United States, as similarefforts in other countries are tailored to theirown policy and societal environments.The Council concentrates primarily on servingU.S.-based organized philanthropy, includingproviding support for those United States organizationsthat give internationally. However, werecognize the importance of being a participantin the global arena, and we will continue towelcome members from outside the UnitedStates, be a resource for building philanthropiccapacity in other countries and provide guidancefor requests related to international grantmaking.We also will continue to learn from philanthropicefforts internationally and will coordinatewith philanthropic support organizations inother countries and share their ideas with ourmembers. Such work will keep us grounded inthe global perspectives that shape how decisionsare made in the face of increasing globalization.LEADERSHIP FOCUSSince 1949, the Council on Foundations haspromoted responsible and effective philanthropyand served as a common voice for the sharedneeds of its members and the organized philanthropicfield. During the past decade, we haveencouraged our own organization, our membersand our field to embrace inclusivity and diversityin their many forms as fundamental aspectsof the responsibility and effectiveness of organizedphilanthropy. These core roles remaincentral to the Council’s future. However, inorder to address today’s challenges and convertthem to opportunities, the Council must alterthe way it determines and carries out its leadershiproles.As the legislative and regulatory interest inaccountability continues, and as new challengesto the vitality of the field appear, the Councilneeds to alert its members to threats and opportunities,help members determine how they willtake their own positions, be prepared to takeprincipled stands and vigorous action if needed,and embrace rather than avoid controversialissues.Supporting a favorable regulatory environment(“protecting the franchise”) is the Council’s toppriority. Accordingly, the Council needs tobecome a stronger advocacy organization that isvigilant and proactive. It is well positioned to beextremely effective with legislators and regulatorsand to be a stronger advocate for the field. Inthe future, the Council could initiate as well assupport legislation.This significant change in role means that theCouncil will not always have the luxury of vettingissues to the point of complete consensus.As a leader, the Council will need to communicatewith and consult its members, and knowthe “pulse” of the field. However, in the end, theCouncil will need to make decisions and selectcompromises that maximize the value ofphilanthropy and the “greater good.” It may beadvantageous for the Council to partner onlegislative and regulatory matters with otherentities in the nonprofit sector, beyond thosethat have been its partners in the past.The Council on Foundations will focus itsresources and leadership on matters essential tothe vitality of organized philanthropy withinthree primary functions.Legislative and Regulatory AdvocacyAdvocate for legislative and regulatory support for organized philanthropy. _3560ead3-0a47-4239-ab45-b670d95cbadc1.1TheCouncil will advocate to maintain andenhance a public policy environmentsupportive of organized philanthropy.Wewill represent organized philanthropy inlegislative and regulatory settings tostrengthen and enhance the climate forphilanthropy, and will be prepared to acton situations that threaten the independenceor vitality of the field.Contributions to the Common GoodMaximize opportunities for organized philanthropy to best contribute to the common good. _a2aba1fa-1ddd-45a9-8140-a114782df7a51.2The Council will be at theforefront of emerging issues relevant to thefield of organized philanthropy so that itcan inform the development of new strategies.Along with other organizations, theCouncil will constantly seek, welcome anddisseminate ideas to propel organizedphilanthropy to make the most of itsresources.We will emphasize the skillsnecessary to yield innovation, creativity,wisdom, vision, boldness, integrity andinfluence.We will make decisions withsensitivity and responsiveness to members’current and anticipated needs in the contextof the Council’s capacity and strategicposition.Stewardship, Effectiveness and Accountability with DiversityEnsure development and achievement of higher levels of stewardship, effectiveness andaccountability, with inclusivity of diverse experiences and perspectives. _74825030-1359-4d68-b5f5-f5d0a73f11b81.3The Council isplaying a major leadership role in supportingthe development of standards andprinciples for organized philanthropy.Wealso will support effective and reasonableenforcement to bring into line organizationsthat do not voluntarily comply withlegal requirements. The Council will intensifyeducational offerings, training andtechnical assistance efforts that create aspirit of reflective practice in grantmaking,including higher levels of stewardship,effectiveness and accountability.CUSTOMERS AND AUDIENCESProvide tools and information to support foundation officials and advocacy in the field of organized philanthropy._fa0008a3-53f5-4ef6-bb72-2d2c30215ecb2Customers. The Council’s primary customers(those who most benefit from its services) arepeople in key positions within member organizationsand potential member organizations.The Council’s priorities are to provide top-notchtools and information to foundation presidentsand chief executive officers, board members ortrustees, and other staff of foundations orphilanthropic vehicles. These individuals havethe most influence over whether their organizationsare ethical, accountable and effective.Audiences. The Council’s priority audiences(those the Council most wants to influence) ongrantmaking issues are the field of organizedphilanthropy, legislators, regulators, the mediaand potential partners. These are the groups towhom our advocacy efforts and communicationswill be addressed.Tools and InformationProvide top-notch tools and information to foundation presidents and chief executive officers, board members or trustees, and other staff of foundations or philanthropic vehicles_52b2539e-ba0b-48dd-a52c-d69a7d1102af2.1Advocacy Influence the field of organized philanthropy, legislators, regulators, the media and potential partners_326f7368-fd02-46c1-8d69-f9e60db95e282.2STRATEGIC RELATIONSHIPS WITH OTHER INFRASTRUCTURE ORGANIZATIONSSTRATEGIC RELATIONSHIPS WITH OTHER INFRASTRUCTURE ORGANIZATIONS_f4bced93-ae7d-42e9-9e8f-271401990a233In our own work and in discussion with othersupport groups, we will carefully consider whichactivities are best performed by the Council. Insome instances, the most prudent course ofaction for the field will be to defer to otherorganizations to carry out certain activities anddevelop referral or co-sponsorship relationshipsas needed on behalf of Council members.The Council will:- Form new working relationships withother philanthropic support organizations,where each contributes its core strengths incomplementary ways.- Test ways to better facilitate regional andlocal service delivery, networking andidentification of emerging trends or issues.- Adjust existing working relationships toensure that organized philanthropy receivesservices effectively and economically.The Council will cooperate with and be a “goodcitizen” in the overall third sector infrastructureand will encourage its members to form effectiverelationships with nonprofit service providersrelated to their work. The Council’s primaryconnection with the third sector will be withother infrastructure organizations, as theCouncil must focus its energies on organizedphilanthropy.As the Council on Foundations looks to sharpenits focus and concentrate on areas where it canadd the most value to its customers and havesignificant influence on its audiences, it is logicalto look externally to other organizations withinthe philanthropic infrastructure network to helpensure access to the services required for theCouncil and its members to achieve excellence.In addition, those organizations are a source forother philanthropic services and resources thatthe Council does not, and perhaps should not,offer.The Council will seek partners to jointly testsome mutually beneficial initiatives that willprovide members with advantages beyond whateither organization could offer on its own. TheRegional Associations of Grantmakers, theCouncil’s Affinity Group Network and establishedphilanthropic support organizationsexternal to the Council are logical potentialallies. Other colleague organizations may beidentified during the life of this framework.Regional Associations ofGrantmakers. The regional associations ofgrantmakers are logical allies because of theircomplementary activities and scope of customers.In reality, many organizations are members ofboth the Council and of one or more regionalassociations. Potentially changing the nature ofthe Council’s relationship with regional associationsrepresents an opportunity for the futureto both streamline and expand services tomembers, nationally and locally. Absent somerationalization of the “system” of services tomember foundations, there will continue to beconfusion and some consternation aboutduplication of efforts.A logical starting point is entering into discussionswith regional associations to examine thepossibilities for a substantial overhaul of this keyrelationship. Areas for potential explorationinclude forming joint membership structures,combining membership structures, helping tocreate regional associations where none currentlyexist, helping to build the capacity of existingregional associations where such help is needed,partnering or contracting with regional associationsto deliver programs and services, sharinglegislative agendas and responsibilities, andconsolidating administrative functions.We recognize that each regional association hasdifferent strengths, capabilities and levels ofinterest in working with the Council, and we willtarget pilot efforts to strong and motivated associationsthat are willing to experiment with us.Affinity groups. The Council values affinitygroups, at present a varied collection of selforganizednetworks composed primarily ofgrantmaking staff, whose work represents substantive(programmatic) content. Some affinitygroups are formed around the identity of thepopulation they serve (e.g., ethnic groups) orthe identity of the grantmaking staff (e.g., grantmanagers). In many respects, these groups workon issues that the Council would need to take onif affinity groups did not exist. Importantly, theaffinity groups attract members that the Council(and even regional associations) does not. Theircollective membership represents a broader“voice.”Explicit strengthening of the relationshipbetween the Council and affinity groups is away to include diverse voices with greater depthand regularity. The Council’s longtime commitmentto diversity in the field has been one ofthe most difficult issues with which we havegrappled. The identity-based affinity groups ofthe Council are uniquely positioned to join usas partners in achieving our internal diversitygoals and fulfilling our overall commitment todiversity in the field. The Council, in partnershipwith affinity groups, will explore developinglong-term diversity strategies that will solidifythe Council’s position as a leader in philanthropyon diversity issues.In some cases, the Council may want to partnerwith one or more affinity groups in order topursue the agenda set forth in the strategicframework. In other cases, the Council maymaintain its current relationship, characterizedas neutral on the question of creation andgrowth yet helpful in providing resources andsupport. However, the Council may want toconsider more explicitly working with andthrough affinity groups to plan and deliver theprogrammatic content of conferences. In stillother cases, the Council may want to scale backits support and relationship, particularly if thegroup’s work falls outside the Council’s role,agenda and priorities.Other colleague organizations.The Council on Foundations will look for additionalopportunities to work with colleagues inareas such as setting a research agenda, conductingresearch and development, and delivery ofcurricula.New Working RelationshipsForm new working relationships with other philanthropic support organizations, where each contributes its core strengths in complementary ways._6649ebe9-85e0-457b-8d5b-8cbecc68c3463.1Regional and Local Service DeliveryTest ways to better facilitate regional and local service delivery, networking and identification of emerging trends or issues._ebe7a02a-be96-4aa0-89bb-85f0335452ae3.2Economy and EffectivenessAdjust existing working relationships to ensure that organized philanthropy receives services effectively and economically._5442b856-8b30-4175-b70a-ad3ecc6dd01e3.3CRITERIA FOR LEADERSHIP AND SERVICE ROLESCenter activities and strategies on achieving the results outlined in the specified framework._2458c2e0-0c4b-4423-867a-ae43dd11d9714Council activities and strategies will be centeredon achieving the results outlined in this framework.The Council will use the following criteriato assess when it will provide leadership andservices. The criteria are consistent with otherguidelines provided in this framework and arean integral part of bringing clarity and focus tothe use of Council resources.Situations in Which We Will Lead- Fits within our new focus areas forleadership.- Is of importance both in serving ourcustomers and interacting with ouraudiences.- Calls on our unique strengths andmembership base.- Enhances expansion and diversity oforganized philanthropy.- Restricts the autonomy or flexibility oforganized philanthropy.- Affects the vitality and integrity of the fieldof organized philanthropy.- Directly affects our primary customers.Circumstances in WhichWe Will Provide Services- Fits within our new focus areas ofleadership.- Is of importance both in serving ourcustomers and interacting with ouraudiences.- Helps members become leaders in theprimary function areas.- Responds to member needs.- Provides incentives for potential membersto join.- Prepares for upcoming needs.- Assists others in providing services.- Is of national import.FINANCIAL VIABILITYConduct financial analyses before a final decision is made on whether the Council should undertake any activity and if so, on what basis._34e19331-95f7-4343-802c-2c3c180ba8db5Once the above criteria are met, a proposedactivity or strategy will require a financial analysisbefore a final decision is made on whetherthe Council should undertake the activity andif so, on what basis. This process imposes adiscipline on screening attractive ideas and inallocating dues and other revenues in logicalcategories.In a larger sense, this framework moves theCouncil in a direction needed to ensure thelong-term health of the organization.We will beopen to the potential of shifting the Council’scurrent financial model in order to avoid beingoverly dependent on dues and special grants forincome.EFFECTIVE AND EFFICIENT GOVERNANCEProvide clear direction to the president and chief executive officer._577dfe2a-c697-46d8-9d13-d20aa0293f076In order to benefit from the flexibility of this strategic framework while maintaining a focus on its desired results, the Council board will provide clear direction to the president and chief executive officer. The board will be engaged in and stand firmly behind the tough decisions called for by this framework.Oversight and AccountabilityExercise ongoing oversight responsibility for the strategic framework and be an active agent in assessingprogress or need for adjustments along the way._1d406537-81d9-433f-a820-a953f86ee9ab7The board will have ongoing oversight responsibility for thestrategic framework and will be an active agent in assessingprogress or need for adjustments along the way.The importance and extent of the changes for the Council onFoundations contained in this strategic framework call forthe Council to develop its capacity for assessment and fordemonstrating progress toward desired results. The Councilwill develop feedback loops to spot early indications of whatis working well and what is not, and to make adjustments asneeded.We anticipate that our assessment mechanisms willinvolve a mix of qualitative and quantitative information togauge demonstrable results.THREE CRITICAL RESULT AREASBased on the Public Value Scorecard model of assessingstrategic performance for nonprofit organizations, theCouncil will monitor not only ultimate results but also thestate of the relationships and processes expected to lead tothe desired results. We will be gauging results in three areas by gathering data around the progress on thestrategic direction in this framework and more detailedaccountability indicators based on annual plans.These three areas are the ones we deem necessary to realizeour vision for the field of organized philanthropy: A vibrant,growing and responsible philanthropic sector that advances thecommon good.Operational capacityAssess the Council's operational capacity. _57973df7-e223-4d7f-80c0-41645eac5cf07.1This component is concerned with the mechanisms that convert board policy into results.Assessment will cover the following areas:- Organizational culture- Organizational learning and innovation- Relationships with potential partners- Structure (board and staff)- Alignment of processes and resources to achieve desired results- Stewardship, effectiveness and accountability- Skills/expertise- Technology- Organizational outputs- Processes for assessing end results- Alternative/new revenue streams.Legitimacy and Financial SupportAssess the Council's legitimacy and financial support._1756002e-cc32-4494-819a-e1385e8b26057.2This area focuses attention on the sources that confer legitimacy on the Council and provide itsfinancial resources. Assessment will cover the following areas:- Membership levels- Membership satisfaction- Dues revenue- Funder relations and diversification- Revenue from grants- Revenue from other sources- Relations and reputation with lawmakersand regulators- Relations and reputation with otherphilanthropic support organizations.Social ValueAssess the social value of Council activities._afcda7f4-3eee-46b4-a082-7ec9d18486ec7.3This area focuses on dissectingthe ultimate value the organization seeks toproduce into goals and objectives developed toexplicitly state what contribution to the commongood the Council’s activities and outputswill make. Assessment will cover the followingareas:- Provision of tools to philanthropic organizationsto expand, enhance and sustaintheir ability to further the common good- Strategic goals- Activities and outputs that create resultsthat contribute to the common good- Alignment among goals, activities, outputsand desired results.2005-01-012009-12-312010-02-08http://www.cof.org/files/Documents/Public_Policy/2005StrategicFramework.pdfArthurColman (www.drybridge.com)colman@drybridge.com