performance management: moving beyond moves management

Performance Management: Moving Beyond Moves Management

CCAE 2009 “Hidden Treasures” June 7, 20091:30 pm – 2:45 pm

Roger Trull, Vice President, University Advancement, McMaster UniversityNicole Nakoneshny, Senior Consultant, KCI PhilanthropyJohn McKay, Director, Advancement Services, McMaster UniversityCathy Collins, Associate Director, Research, McMaster UniversityPaul Grossman, Associate Director, Gift Planning, McMaster University

Agenda

• Why performance metrics - Roger• KCI methodology – Nicole• McMaster’s experience implementing

the program - John• A managers perspective - Paul• Next steps – Cathy• Other examples - Nicole

Why Performance Metrics?

Why Performance Metrics?• $ 400 M Capital Campaign• Broadening our base of support• Addition of International Advancement Team• Communications amongst a larger team• Accountability – good business practice• Needed to accommodate wide variety of stakeholders ..

Staff themselves, supervisors, board, cabinet volunteers, internal university audiences

University Advancement

Our Vision

• First and foremost, system driven• Transparency• Ease of use – everyone should be able to run their

own reports• Accommodate need for both “the big picture” and

detailed reporting

KCI’s Methodology • Project undertaken in 2006• Research• Survey of peer institutions in Canada• Examination of McMaster’s current program• Develop program incorporating best

practices and fulfilling McMaster’s objectives

KCI’s Survey Findings• 5 peer Canadian institutions

– Universities and hospital foundations• Results demonstrated that performance targets

important management tools and use increasing• As opposed to US, practice was still in its infancy in

Canada• Number of best practices identified

– Include numerous performance metrics– Built in flexibility– Include rewards– Management, coaching and mentoring crucial to

success

McMaster’s Starting Point• Many strengths

– Comfort level with performance targets– Strong visit culture– Teamwork highly valued– Strong support from Research Department

• A number of challenges– Quality of personal visits– Definition of roles and expectations– Quality of prospects– Urgency around closing gifts– Single performance metric

Guiding Principles

1.Ultimate goal is to Maximize dollars raised2.Activities lead to results3.What gets measured, gets done4.The program must be comprehensive, but not

cumbersome

Recommendations

• Roles and definitions• Management, coaching and mentoring• Responsibility, accountability and

rewards• Fundraising support• Work environment

Metrics and goals.

Reports.Staff Member July 01, 2006 to June 30, 2007

37 74.6%

19

$19,730,003 $901,600

Number %1 1%

60 50%34 28%19 16%

7 6%121 100%

0

Cultivation 12024

VisitsIdentification

FINANCIAL ACHIEVEMENT

Gifts Received Requests Outstanding

(Counted above)

80StageNo Active Proposal

GIFT REALIZATION

Confirmed Planned Gifts

Total

Extra Stages

Solicitation

This report is the intellectual property of McMaster University. It may not be used, reproduced or modified in any way without credit being given to McMaster.

Other Stages

$901,600

ACTIVITY ANALYSIS

$547,500 $130,000

51Solicitations to Date

PORTFOLIO ANALYSIS

April 17, 2008

121Portfolio Size

Realization Rate:

Actual

Annual Solicitation Target

Declines and Drops:

18

Target

# of Gifts# of Gifts

Visits Setup For Someone Else 0 6

Suspect Identification9766

Activity

$-

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

Jul-06 Aug-06 Sep-06 Oct-06 Nov-06 Dec-06 Jan-07 Feb-07 Mar-07 Apr-07 May-07 Jun-07

Results (Cumulative) Goal

$-

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

Amount Requested Amount Received

$-

$100,000

$200,000

$300,000

$400,000

$500,000

$600,000

Amount Requested

PERFORMANCE REPORT

$-

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

Amount

The basisPerformance Management Report

Our objectives• System driven (not Advance specific)

• Easy

• Accommodate need for both “the big picture” and detailed reporting

Inputs

1. Web contact report2. Proposal3. Integrity report

1. Web contact report

2. Proposal - where it all comes from

3. Integrity Report

3. Integrity Report

Outputs

1. Universal report2. Goals report

1. Universal Report

Universal report

2. Goals Report

Staff Member July 01, 2006 to June 30, 2007

37 74.6%

19

$19,730,003 $901,600

Number %1 1%

60 50%34 28%19 16%7 6%

121 100%

0

Cultivation 12024

VisitsIdentification

FINANCIAL ACHIEVEMENT

Gifts Received Requests Outstanding

(Counted above)

80StageNo Active Proposal

GIFT REALIZATION

Confirmed Planned Gifts

Total

Extra Stages

Solicitation

This report is the intellectual property of McMaster University. It may not be used, reproduced or modified in any way without credit being given to McMaster.

Other Stages

$901,600

ACTIVITY ANALYSIS

$547,500 $130,000

51Solicitations to Date

PORTFOLIO ANALYSIS

April 17, 2008

121Portfolio Size

Realization Rate:

Actual

Annual Solicitation Target

Declines and Drops:

18

Target

# of Gifts# of Gifts

Visits Setup For Someone Else 0 6

Suspect Identification9766

Activity

$-

$1,000,000

$2,000,000

$3,000,000

$4,000,000

$5,000,000

$6,000,000

Jul-06 Aug-06 Sep-06 Oct-06 Nov-06 Dec-06 Jan-07 Feb-07 Mar-07 Apr-07 May-07 Jun-07

Results (Cumulative) Goal

$-

$5,000,000

$10,000,000

$15,000,000

$20,000,000

$25,000,000

Amount Requested Amount Received

$-

$100,000

$200,000

$300,000

$400,000

$500,000

$600,000

Amount Requested

PERFORMANCE REPORT

$-

$20,000

$40,000

$60,000

$80,000

$100,000

$120,000

$140,000

Amount

Goals Report

Other detail reports resulted from this;

Financial Achievement detailDecisions Pending detail etc

For a managers perspective (over to Paul)

Reports as Management ToolsUniversal Report and Goals Report

• Informed by annual goals

• Frequency of use with team members – weekly– Encourages regular updating of prospect information as well as

comfort with reports themselves

• Speaks to both current and future giving

• Reports evolve over the course of the year as prospects are brought through different stages of donor cycle

1. Universal Report

• Prioritization of prospects – Top 30 prospects

• Prospect strategies

• Timing

2. Goals Report

• Financial achievement to date against goal• Assessing activities

– Visits– Solicitations

• Portfolio analysis– Overall size

• Balance of prospect in different stages of donor cycle

Performance Management Report

Visits and Dec Pending

Need to be able to see the whole development team- for an individual, would use Performance Management Report, but wanted to see the bigger picture of what the entire team had upcoming

Wanted to see a little more detail - 3 month plan going forward, as opposed to PMR which looked backward

Visits and Dec Pending

Goalper

month

Dec Pending before October 31, 2008

Sol in Prog before October 31, 2008

Staff 1 1 $5,000,000Staff A 3Staff B 10 9 1Staff C 18 4 $100,000 $3,085,007Staff D AD 10 4 1 $130,000 $426,000Staff E PGO 15 5 2 2 $325,000Staff F PGO 15 1 $255,000 $4,500Staff G PGO 15 10 1 $1,000,000 $525,000Staff H PGO 15 10 $790,000 $2,625,000Staff I PGO 0 1 $250,000Staff J PGO 15 5 1 $300,000Staff K PGO 20 6 $101,000Staff L PTL 15 8 1Staff M SDO 15 3 1 $2,250,000Staff N SDO 10 3 $15,000 $4,500Staff O SDO 15 4 $75,002 $25,001Staff P SDO 0 1Staff Q DO 8 6 $25,000Staff R DO 15 $95,000 $150,002Staff S DO 15 5Staff T DO 15 7Staff U Ath 0Staff V FAO 0 2 $1,550,000 $22,000Staff W FAO 0 1 $125,000

Total 91 6 0 $6,911,002 $12,342,010Goal * 241 241 241 241 $30,000,000 $60,000,000

% of Goal 37.76% 2.49% 0.00% 23.04% 20.57%

Oct-08 Nov-08Sep-08

Chart of Standards

# Cumulative Percentageof Gifts Amount Total Total of Goal

1 $25,000,000 $25,000,000 $25,000,000 13%

1 $15,000,000 $15,000,000 $40,000,000

3 $10,000,000 $30,000,000 $70,000,000

3 $7,000,000 $21,000,000 $91,000,000

4 $5,000,000 $20,000,000 $111,000,000 59%

12 $2,000,000 $24,000,000 $135,000,000

21 $1,000,000 $21,000,000 $156,000,000

20 $500,000 $10,000,000 $166,000,000

42 $250,000 $10,500,000 $176,500,000

50 $100,000 $5,000,000 $181,500,000

70 $50,000 $3,500,000 $185,000,000 98%

75 $25,000 $1,875,000 $186,875,000

125 $10,000 $1,250,000 $188,125,000

TOTALS $189,000,000 100%

Dynamic Chart of Standards

Dynamic Chart of Standards Objective: $189,000,000

# Cumulative Percentage Pledges/Dollars Addt. Gifts Addt. Pros Prospects Addt. prospectsof Gifts Amount Total Total of Goal recvd required required identified to find

1 $25,000,000 $25,000,000 $25,000,000 13% $25,000,000 0 0 1 (1)

1 $15,000,000 $15,000,000 $40,000,000 $15,000,000 0 0 2 (2)

3 $10,000,000 $30,000,000 $70,000,000 $20,000,000 1 2 3 (1)

3 $7,000,000 $21,000,000 $91,000,000 3 9 1 8

4 $5,000,000 $20,000,000 $111,000,000 59% $6,000,200 3 9 4 5

12 $2,000,000 $24,000,000 $135,000,000 $14,000,000 5 15 15 0

21 $1,000,000 $21,000,000 $156,000,000 $12,298,936 9 44 70 (26)

20 $500,000 $10,000,000 $166,000,000 $6,310,988 7 37 41 (4)

42 $250,000 $10,500,000 $176,500,000 $5,467,244 20 101 92 9

50 $100,000 $5,000,000 $181,500,000 $6,136,886 0 0 801 (801)

70 $50,000 $3,500,000 $185,000,000 98% $3,019,746 10 29 124 (95)

75 $25,000 $1,875,000 $186,875,000 $1,883,584 0 0 370 (370)

125 $10,000 $1,250,000 $188,125,000 $1,783,578 0 0 859 (859)

TOTALS $189,000,000 100% $116,901,162Dollar value of identified prospectsTotal value of prospects needed and additional dollar of prospects needed ($114,755,542)

This chart is the intellectual property of McMaster University, and may not be reproduced or adapted in any w ay w ithout prior authorization,

and credit provided to McMaster.

last updated: September 22, 2008 cc

$359,640,000$244,884,458

Stage Aging Report

Summary Report for each fundraising staff person

Shows all prospects by stage codeEx. 0 – Assigned, not yet contactedID, Name, Stage, # of days in Stage, # of days

assigned

Stage Aging Report

Pipeline ReportLooking forward on a macro basis, is there sufficient activity in

progress to ensure campaign success

Pipeline Report

Solicitation Pipeline Report- Decision Pending Benchmark

$0

$10,000,000

$20,000,000

$30,000,000

$40,000,000

$50,000,000

$60,000,000

31-J an-07

30-Apr-07

31-J ul-07

31-Oct-07

31-J an-08

30-Apr-08

31-J ul-08

31-Oct-08

31-J an-09

30-Apr-09

31-J ul-09

31-Oct-09

31-J an-10

30-Apr-10

Dates

Decisions PendingBenchmark

Actual Decisions Pending

Solicitation Pipeline Report - Solicitations in Progress

$0

$10,000,000

$20,000,000

$30,000,000

$40,000,000

$50,000,000

$60,000,000

31-J an-07

30-Apr-07

31-J ul-07

31-Oct-07

31-J an-08

30-Apr-08

31-J ul-08

31-Oct-08

31-J an-09

30-Apr-09

31-J ul-09

31-Oct-09

31-J an-10

30-Apr-10

Dates

Solicitations in Progress Benchmark Actual SIP

Solicitation Pipeline Report - Cultivations in Progress

$0

$20,000,000

$40,000,000

$60,000,000

$80,000,000

$100,000,000

$120,000,000

$140,000,000

$160,000,000

31-J an-07

30-Apr-07

31-J ul-07

31-Oct-07

31-J an-08

30-Apr-08

31-J ul-08

31-Oct-08

31-J an-09

30-Apr-09

31-J ul-09

31-Oct-09

31-J an-10

30-Apr-10

Dates

Cultivation in Progress Benchmark Actual CIP

Solicitation Pipeline Report - Contacting

$0

$20,000,000

$40,000,000

$60,000,000

$80,000,000

$100,000,000

$120,000,000

$140,000,000

$160,000,000

31-J an-07

30-Apr-07

31-J ul-07

31-Oct-07

31-J an-08

30-Apr-08

31-J ul-08

31-Oct-08

31-J an-09

30-Apr-09

31-J ul-09

31-Oct-09

31-J an-10

30-Apr-10

Dates

Contacting Benchmark Actual Contacting

Solicitation Pipeline Report - Assigned, Not Contacted

$0

$50,000,000

$100,000,000

$150,000,000

$200,000,000

$250,000,000

31-J an-07

30-Apr-07

31-J ul-07

31-Oct-07

31-J an-08

30-Apr-08

31-J ul-08

31-Oct-08

31-J an-09

30-Apr-09

31-J ul-09

31-Oct-09

31-J an-10

30-Apr-10

Dates

Assigned, Not Solicited Benchmark ANS Actual

Solicitation Pipeline Report - Actual Dollar Benchmarks

$0

$20,000,000

$40,000,000

$60,000,000

$80,000,000

$100,000,000

$120,000,000

$140,000,000

$160,000,000

$180,000,000

$200,000,000

31-J an-07

30-Apr-07

31-J ul-07

31-Oct-07

31-J an-08

30-Apr-08

31-J ul-08

31-Oct-08

31-J an-09

30-Apr-09

31-J ul-09

31-Oct-09

31-J an-10

30-Apr-10

Date

Dollar Benchmark Actual Gifts/Pledges In

Pipeline ReportSolicitation Pipeline Report- Decision Pending

Benchmark

$0

$10,000,000

$20,000,000

$30,000,000

$40,000,000

$50,000,000

$60,000,000

31-J an-07

30-Apr-07

31-J ul-07

31-Oct-07

31-J an-08

30-Apr-08

31-J ul-08

31-Oct-08

31-J an-09

30-Apr-09

31-J ul-09

31-Oct-09

31-J an-10

30-Apr-10

Dates

Decisions PendingBenchmark

Actual Decisions Pending

Solicitation Pipeline Report - Actual Dollar Benchmarks

$0

$20,000,000

$40,000,000

$60,000,000

$80,000,000

$100,000,000

$120,000,000

$140,000,000

$160,000,000

$180,000,000

$200,000,000

31-J an-07

30-Apr-07

31-J ul-07

31-Oct-07

31-J an-08

30-Apr-08

31-J ul-08

31-Oct-08

31-J an-09

30-Apr-09

31-J ul-09

31-Oct-09

31-J an-10

30-Apr-10

Date

Dollar Benchmark Actual Gifts/Pledges In

Another example.

Status

comments on this activity entered directly here

comments on this activity entered directly here

COMMUNICATIONSSPONSORSHIPSPROGRAM SUMMARY

Description of activity entered directly here

FINANCIAL OVERVIEW

Donor Stew ardship

comments on this activity entered directly herecomments on this activity entered directly herecomments on this activity entered directly herecomments on this activity entered directly here

OVERALL SUMMARY

comments on this activity entered directly herecomments on this activity entered directly herecomments on this activity entered directly here

STRATEGIC PRIORITIESActivity Status CommentsDescription of activity entered directly hereDescription of activity entered directly hereDescription of activity entered directly hereDescription of activity entered directly hereDescription of activity entered directly hereDescription of activity entered directly here

on trackDescription of activity entered directly hereDescription of activity entered directly here

not yet commenceddelayedcomplete

on trackDescription of activity entered directly here

Area

Donor Recognition

on trackcomments on this activity entered directly here

ENDOWMENT FUND

MAJOR GIFTS (pledges) MEMBERSHIP/ANNUAL FUND

on trackon trackdelayedon track

Web Presence

Media Coverage

00.20.40.60.8

11.2

1

0

1

2

1

#REF! #REF!

00.20.40.60.8

11.2

1

$2.2$2.5

$2.0

$-

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

$3.5

$4.0

$4.5

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14

Rev

enue

(m

illion

s $)

Revenue Result Revenue Goal

$2.2 $2.5$2.0$-

$20.0

$40.0

$60.0

$80.0

$100.0

$120.0

2006-07 2007-08 2008-09 2009-10 2010-11 2011-12 2012-13 2013-14

Am

ount

(milli

ons

$)

Current Endow ment Endow ment Goal

$2.0

$- $-

$1.0

$4.0

$- $-$1.0

$-

$1.0

$2.0

$3.0

$4.0

$5.0

$6.0

$7.0

J un-09 Sep-09 Dec-09 Mar-10

Pled

ges

(milli

ons

$)

Results (Endowments)Results (Projects)Goal (Cumulative)

$1.3

$- $-

$0.5

$0.7

$- $-$0.5

$-

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

J un-09 Sep-09 Dec-09 Mar-10

Results (Memberships)Results (Annual)Goal (Cumulative)Last Year (Cumulative)

$2.0

$- $-

$0.5

$1.0

$- $-

$1.0

$-

$0.5

$1.0

$1.5

$2.0

$2.5

$3.0

$3.5

J un-09 Sep-09 Dec-09 Mar-10

Results (In-Kind)Results (Cash)Goal (Cumulative)

Questions

The Campaign for McMaster UniversityThe Campaign for McMaster University