Strategic Foundations to help build & sustain income Presented by Lali Wiratunga 30 July 2016

2 Better Boards | July 2016 It starts with purpose and people committed to it

3 Better Boards | July 2016 What we’ll cover today

4 Better Boards | July 2016 We haven’t got the money, so we have to think” Mission Stability & Growth Community Programs Balance income/expenses Recognition of Staff/Volunteers Ease of Giving Impact of Programs Improve Operations Communications Community Building Stakeholder Perspective Operational Processes Learning & Growth Develop Staff /Volunteers Build Competencies Personal Growth Opportunities Product/Service Quality Innovation Financial perspective Recognition Programs

5 Better Boards | July 2016 Start with reliability and autonomy rather than diversity of income streams HIGH Rental income, advertising, small- medium sized individual contributions, endowments, memberships. Reliability MEDIUM Ongoing contracts, 3rd party reimbursements, major contributions, fees for services, corporate charitable contributions LOW Government project grants, foundation grants, corporate sponsorships HIGH Small-medium sized individual contributions, endowment, memberships, fees for services, foundation operating grants.. Autonomy MEDIUM Major individual contributions, corporate charitable contributions, LOW 3rd Party reimbursements, government project grants, ongoing government contracts, foundation project grants

6 Better Boards | July 2016 Exercise in Pairs: Income & Resources (10 mins) Pure Investment Pure Giving Not for ProfitProfit Government Grants Trading/Fee-based Goods and Services Corporate Philanthropy Gifts & Donations Social Impact Bonds Adapted from: Raymond, S (Wiley, 2010) 1. What income streams do you have today? 1. What resources or assets are required for these income sources? 1. What opportunities do you envisage to establish new & grow existing revenue streams? Grant Funding Major Gifts Contracts

7 Better Boards | July 2016 Group Discussion: Income & Resources (10 mins) Pure Investment Pure Giving Not for ProfitProfit Government Grants Trading/Fee-based Goods and Services Corporate Philanthropy Gifts & Donations Social Impact Bonds Adapted from: Raymond, S (Wiley, 2010) Grant Funding Major Gifts Contracts 1. What income streams do you have today? 1. What resources or assets are required for these income sources? 1. What opportunities do you envisage to establish new & grow existing revenue streams?

8 Better Boards | July 2016 Case Study: Healthy Waterways – Opportunity

9 Better Boards | July 2016 Case Study: Healthy Waterways – Water on Tap

10 Better Boards | July 2016 Case Study: Water on Tap: Customer-centric Advertisers Consumers Digital display providing advertising and community service announcement opportunities 76% of people surveyed who used Go2Zones could recall at least one of the on-screen advertisers Uniquely designed, affordable reusable bottles BYO reusable bottle option Refill with FREE chilled water

11 Better Boards | July 2016 Exercise: Business Model Canvas (15 mins) Adpated from Business Model Canvas available at: Strategyzer.com 1. Who is our customer? 1. What value proposition should be offered to reach this customer? 1. What key activities must I do that help my customers experience this value proposition? 2. How can my organisation make money from doing this?

12 Better Boards | July 2016 So how can we capture innovation?

13 Better Boards | July 2016 Innovation distinguishes between a leader and a follower Innovation Focus Internal Collaboration Rewards & Recognition Stakeholder Centricity External Collaboration Openness of culture & vision Organisational Velocity

14 Better Boards | July 2016 The Innovation Ambition Matrix & the “Golden Ratio” Source: Managing your Innovation Portfolio (Harvard Business Review) 70% 20% 10%

15 Better Boards | July 2016 The innovation funnel Idea Generation Idea Development Diffusion In-house Cross- pollination External Selection Development Dissemination across the organisation

16 Better Boards | July 2016 Think like a start-up to help you move ideas through the innovation funnel

17 Better Boards | July 2016 Let’s stay connected

18 Better Boards | July 2016 Let’s stay connected