Bringing Hope In A Hopeless World

by:

Joe Patti

Interesting piece in The Art Newspaper on why the arts should be funded in austere times. The article is basically an argument about the value of the arts. What immediately caught my eye was the story author Robert Hewison tells about the Council for the Encouragement of Music and the Arts, the UK’s predecessor of today’s Arts Council. In 1940 when some felt it was illogical to be doing so, the British government committed £2 million in today’s money to the council ““to show publicly and unmistakably that the Government cares about the cultural life of the country. This country is supposed to be fighting for civilisation.” The end of the article notes that the creator and first chairman of the council was “the economist John Maynard Keynes. He believed that in a recession, governments should stimulate the economy.” It was Keynes approach that many were encouraging the Obama Administration to follow to deal with the current economic environment.

Hewison summarizes why the economic benefit of the arts doesn’t work-

“But the Treasury doesn’t buy it. They can see through the “multiplier” calculations of the cultural boosters. They understand the meaning of “opportunity cost”. The money spent on artistic steel and glass could have been spent on an arms factory—and created more employment.”

and notes why the prescriptive argument of how the arts help solve myriad ills isn’t desirable-

“The New Labour government liked this argument, and directed that the arts council should use the arts “to combat social exclusion and support community developments”. The ACE found itself having to meet targets for health, education, employment and the reduction of crime—not truth, beauty or a sense of the sublime….

…. It is difficult to demonstrate a value-chain between art and social enhancement, and difficult to measure the social enhancement itself. Ministers for culture became embarrassed by this…”

Granted the conditions in the US aren’t the same as in the UK. For one thing, I could only dream of a funding structure that had “47% box office, 31% from the arts council, 12% from local authority sources and other public funding, and 9% from trusts, foundations, donors and business sponsorship.” Yes, that is 53% government funding.

The same weaknesses in those arguments exist on both sides of the Atlantic. Right now people are pondering how to make a case for the intrinsic value of the arts backed up by some measurable results for policy makers. While I think there is potential for making the case, it isn’t as easy to do as with previous arguments. There aren’t talking point lists being circulated for the intrinsic value the way they have been for the economic and prescriptive value arguments. It takes a person skilled in persuasive speech or writing to make a compelling argument in this area.

Some of Hewison’s arguments seem tinged with a desperation to employ the arts to preserve society through war or some other cataclysm.

“The value in use of the arts is that they help a society make sense of itself. They generate the symbols and rituals that create a common identity—that is why art and religion are so closely linked. Like religion, the arts give access to the spiritual. Art is a link to previous generations, and anchors us to history. Culture is a social language that we would be dumb without. “

and

“The precautionary principle tells us we have a duty to future generations to ensure that our cultural assets are passed on to them. We also have a selfish interest in sustaining the richness and diversity of those assets.”

and

Culture creates social capital, expressed as trust generated by a shared understanding of the symbols that the arts generate, and a commitment to the values they represent. It sustains the legitimacy of social institutions by ensuring that they are accepted, not imposed. Societies with an equitable distribution of cultural assets will be more cohesive, and more creative. Wellbeing, which is the true end of economic activity, depends on the quality of life that culture sustains.

My only qualms with that come in the context of Ben Cameron’s speech that I covered yesterday. I have this sense is that the manifestation of art and culture that Hewison wants to preserve differs from the direction the arts are going. I think Hewison links culture and religion in a manner that evokes monasteries preserving knowledge through the Dark Ages. I think the reality is closer to the religious reformations Cameron referenced. Both can seem pretty cataclysmic as the unfold. Even though a great deal of what is being created seems ephemeral at best, there are things being created with longevity which can serve to anchor us in history.

The question is, will the government want to support these new manifestations. Perhaps even more importantly, will people whose whole success is due to operating outside of the traditional structures want that support? I am sure it would make many in the different levels of government happy if they could find enough people to say so. (Just for the record, I am not ready to give it up yet!) Right now I think everyone dreams of a either a new operating method that doesn’t require so much funding or a new funding method that will sustain their operations. Perhaps one or the other will emerge to relief the situation.

Even though it seemed to me that Hewison was looking for a hedge against the collapse of society in some post-apocalyptic world (and perhaps I was just imposing my own fantasies on his words), he isn’t wrong to say that expressions of arts and culture do provide stability and that governments have an interest in sustaining them.

Rationally, the government should be putting more funding into the arts because of the social capital they generate. There is a sound economic argument that when the market fails to provide certain kinds of goods thought useful, then it is necessary to intervene—health and education are the usual examples. The economics of the arts are particularly prone to market failure, for it is not easy to make the advances in productivity that technology facilitates in manufacturing

The Artisan Reformation Has Begun

by:

Joe Patti

Nod to Andrew Taylor for providing a link via his Twitter feed to a speech Ben Cameron made at the Association of Arts Administration Educators conference. Cameron talks about many of the worrisome issues I have covered here in the past – finances, shrinking audiences who procrastinate on ticket buying, organizational succession by young arts leaders who want to reshape rather than maintain what they have inherited.

But as he moved past providing this context for his comments, he made one of the more interesting observations about the change that will be necessary in the arts by comparing it to the religious reformations of the 16th century. It seems there is ever a confluence of art and religion. He leaves some room for optimism while noting the necessity for nimbleness (my emphasis).

Both reformations have been spurred by technological breakthrough—the invention of the printing press and the subsequent widespread public access to scripture occasioned by the printing press certainly has parallel in the redistribution of knowledge with the invention of the Internet. Both reformations challenge old business structures—god forbid that the decimation of monastic orders is the metaphoric fate for today’s major institutions but only time will tell. And both reformations essentially challenged the necessity of intermediation in a spiritual relationship, challenging the notion of the gatekeeping priest or now artist.

Now the Religious Reformation did not obliterate the Catholic Church. Just as 500 years later, many people around the world still find deep meaning in high mass and formal religious institutions, I for one believe that the historic institutions that we have funded to date at their best will continue to be worthy of our investment…

But the Reformation more notably reshaped and broadened the universe of how religion would operate, who would be empowered to act, giving rise to new denominations, new religious rituals, new opportunities for the common layperson to assume responsibility for her own spiritual experience. Similarly in the arts, we are witnessing an explosion of arts organizations operating in new ways and the emergence of the hybrid artist: amateurs doing work at a professional level—a group dubbed elsewhere as the Pro-Ams—….and professional artists who choose to work outside of the traditionally hermetic arts environment, not from financial necessity but because the work they feel called to do cannot be accomplished in the narrow confines of the gallery, the concert hall or the theatre.”

He suggests that the training of arts administrators should include many of the traditional subjects of audience development, fund raising, accounting and entertainment law. But he says that for the next generation of leaders internships and practical experiences “with the political campaign, the sports complex, the environmental justice center” may be just as valid as a similar experience at an arts organization. He cites the MIT five step model of cultivating new businesses, “idea generation, training, mentoring, legal counsel and finally delivery to market capital” and wonders if this along with a more interdisciplinary focus might not serve students and the evolving industry better.

Even though his basic message isn’t anything new, the models and ideas he invokes are intriguing. Both the text and audio of his speech are available so you can pick your poison. You can even download the source audio and listen to his speech on your commute to work or while hiking.

Crucial Policy Decision: Unwelcome Solicitations

by:

Joe Patti

The Chronicle of Higher Education has a series of articles about sexual harassment in fund raising today. Unfortunately, you need a subscription to read them, but if you have a subscription to the Chronicle of Philanthropy, the same articles appear there.

I really had no idea that sexual advances on development officers by donors was such a prevalent problem. But upon reading the main article, it makes sense that the potential would exist.

In many cases, those women are appealing to older, powerful men for large donations. To succeed, fund raisers must build long-term relationships with donors. And they often visit donors in their homes or meet them in social settings where alcohol and personal information are plentiful.

To be sure, unwelcome sexual advances are not a daily occurrence for most fund raisers. But the problem happens often enough that they and the organizations that employ them should have better guidance on what they can do to prevent and deal with harassment, says Polly Aris Stamatopoulos, a Washington consultant to nonprofit groups.

Ms. Stamatopoulos says she has rejected inappropriate sexual requests from donors and observed several incidents in which other donors or trustees made sexual overtures toward fund raisers she supervised. People who raise money for a living, she says, should be required to take “a class in the sexual politics of fund raising.”

It occurs to me that this may be an even bigger problem in the arts where the development office is often comprised of one person with few people to turn to for support or to shift a donor to. Given that the executive director is often the primary fundraiser in many organizations, the situation can even be worse with no one but the board to turn to for support. One of those interviewed in the articles spoke of feeling an obligation to keep the donations coming. Her sense of obligation was entirely self imposed because when she spoke to her supervisors after tolerating the advances for two years, they readily assigned the donor to another staff member. The donor never gave to the organization again. It isn’t hard for me to imagine that in some situations staff supervisors or board members would discourage the affected person from rocking the boat too much lest they endanger fund raising efforts.

Most organizations have sexual harassment policies that cover employee behavior, but I suspect few have explicit statements that employees should expect reasonable treatment from patrons and donors as well. Dealing with advances from members of the public is much more complicated than similar situations with employees. That only means that clear policies should be generated so that people can confidently and knowledgeably handle the situation.

It makes sense for organizations to train fund raisers about how to carry themselves as a representative of the company in social situations far away from the work environment. Instruction on how to handle every manner of uncomfortable situations, including unwanted advances is a logical component of such training. But I am guessing it not the sort of training many arts organizations provide.

The Chronicle of Philanthropy is hosting an online discussion on Wednesday, July 14 about coping with unwanted advances if anyone is interested in exploring the topic.

More On Mergers And Alliances

by:

Joe Patti

I have had non-profit mergers on the mind of late due to some personal experience so it is no wonder that two entries on the subject from different blogs caught my attention today.

The first was a book review by Gene Takagi at Non-Profit Law blog. He recommends Nonprofit Mergers & Alliances by Thomas A. McLaughlin. Takagi starts out referencing a quote from the book supporting the old truism that it is best to enter a negotiation in a position of strength.

“Indeed, the book had me at “hello” or, rather, its first sentence: ‘The best time to consider a merger or an alliance is before it is necessary, when coming together with another organization will mean combining strength with strength, and when the collective energies and the creativity of the two or more entities can be used proactively instead of being sapped by the demands of crisis management.’ “

This concept is actually central to the commentary made in the second blog post I saw today, Drew McManus talking about Philadelphia Orchestra and Philly Pops decision not to merge. The former would have absorbed the latter. Drew cites the troubles the Utah Symphony and Utah Opera had with their merger. The orchestra and pops adopted a gradual approach to the merger and that revealed some of the potential difficulties they might face as a single entity. Both organizations will work in close partnership, but retain separate governance structures.

As you might imagine from the title of the book he reviews, Takagi notes that there are different stages to both mergers and alliances and lists them out. According to Takagi, the book outlines the pros and cons to both approaches and provides some good advice about very complex undertakings.

The book may be a good resource for the next generation of non-profit leaders. Apparently McLaughlin feels that “nonprofit services are fragmented and how consolidation is part of a nonprofit’s life cycle.” Given all the talk about mergers of late, I believe there is more behind that statement than just an attempt to sell a book about how to accomplish such things.