Can the Executive Director Get a Piece of the Funds That Are Raised?

An executive director holding money

A question was asked:
I know that charitable organizations often have phone banks or door-to-door canvassing where the workers take a percentage of the funds they raise. Likewise, supervisors on such giving programs often also get a percentage. What is the difference if the ED also gets a percentage?

In the sense that it is unethical for all three individuals to get a percentage of the funds they raise, there is no difference.

The question of ethics in percentage compensation in fundraising relates, in part, to whether the donor is first informed that the solicitor (and others) will be getting a piece of their contribution or whether the donor is allowed to believe that all of his/her gift will go to advance the mission of the organization.

The ethical question refers to the donor being able to make an informed decision and knowing that his/her gift will be used as s/he intended — to help people in need.

If the donor is first informed that a percentage of her/his gift will go to the solicitor (and others), and s/he still elects to make that gift, then there is no conflict.

Chances are, however, that donors, if so informed, will choose not to make a gift.

Any NPO whose employees and/or representatives receive a percentage of gift income, and do not inform donors “up front,” are depriving a donor of the right to know and are, therefore, being unethical — and possibly fraudulent.

Nonprofit organizations and their treatment/use of their income is different from that of for-profits because the “assumption” is made that any money given to an NPO goes to advance their “good works.”

This is also a good circumstance to which to apply the “Washington Post test” — as previously described. Would an NPO want their donors to learn from their local news media about the “misdirection” of their funds ??

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Reputation Management and the Medical Field

Medical doctor diagnosing a patient

Telling stats on the importance of reputation to professional success

No matter what field you’re in, reputation plays a major role in your organization’s success Doubly so for industries with specialty review sites that go beyond the standard options of Yelp and Google reviews. The medical field may be THE prime example, and the stats in this infographic from The Healthcare Marketer blog show just how important reputation has become to physicians in particular:

physicians reputation management

The Perfect Post

A-woman-holding-a-mobile-phone-typing-a-message

Best practices for posting to social media platforms

With the multitude of messaging platforms you’re expected to use today it can sometimes to difficult to determine the right approach, or even to keep them all straight. That’s why we knew we had to share this excellent infographic from myclever with you:

PerfectPost-V5-Infographic

T-Mobile Does Crisis Management the “Un-carrier” Way

Group-of-workers-working-together-to-hatch-out-a-plan-to-curb-crisis

Crisis communications in line with stakeholder expectations helps mitigate the early impact of data breach crisis

Oftentimes the crises you’ll encounter are a result of something totally beyond your control. This was the case for T-Mobile when a data breach at Experian, which processes credit applications for the cell provider, exposed the data of some 15 million customers.

Now, T-Mobile has been setting some serious expectations with its position as “the un-carrier”. In this case that meant not coming out with a stuffy statement full of corporate jargon, but something relatable and real. CEO John Legere stepped up to the plate for this one, and absolutely knocked it out of the park:

I’ve always said that part of being the Un-carrier means telling it like it is. Whether it’s good news or bad, I’m going to be direct, transparent and honest.

We have been notified by Experian, a vendor that processes our credit applications, that they have experienced a data breach. The investigation is ongoing, but what we know right now is that the hacker acquired the records of approximately 15 million people, including new applicants requiring a credit check for service or device financing from September 1, 2013 through September 16, 2015. These records include information such as name, address and birthdate as well as encrypted fields with Social Security number and ID number (such as driver’s license or passport number), and additional information used in T-Mobile’s own credit assessment. Experian has determined that this encryption may have been compromised. We are working with Experian to take protective steps for all of these consumers as quickly as possible.

Obviously I am incredibly angry about this data breach and we will institute a thorough review of our relationship with Experian, but right now my top concern and first focus is assisting any and all consumers affected. I take our customer and prospective customer privacy VERY seriously. This is no small issue for us. I do want to assure our customers that neither T-Mobile’s systems nor network were part of this intrusion and this did not involve any payment card numbers or bank account information.

Experian has assured us that they have taken aggressive steps to improve the protection of their system and of our data.

Anyone concerned that they may have been impacted by Experian’s data breach can sign up for two years of FREE credit monitoring and identity resolution services at www.protectmyID.com/securityincident. Additionally, Experian issued a press release that you can read here, and you can view their Q&A at Experian.com/T-MobileFacts.

T-Mobile’s team is also here and ready to help you in any way we can. We have posted our own Q&A here to keep you as informed as possible throughout this issue.

At T-Mobile, privacy and security is of utmost importance, so I will stay very close to this issue and I will do everything possible to continue to earn your trust every day.

Sincerely,
John Legere

This isn’t the right response for everyone, but it was the perfect reinforcement of the image T-Mobile has been trying to present and as a result it came across as 100% genuine. There’s bound to be some negative press in any situation of this kind, but as long as T-Mobile continues on the course it’s set we wouldn’t expect any significant impact.

Too often the entire tone of an organization changes when it comes time for crisis management. Although things do need to become a bit more serious, completely moving away from what your stakeholders have come to expect is not inspiring confidence by any means. Remember the expectations you’ve set, remember the relationships you’ve forged, and respect that in your crisis communications.

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For more resources, see the Free Management Library topic: Crisis Management
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[Jonathan Bernstein is president of Bernstein Crisis Management, Inc., an international crisis management consultancy, author of Manager’s Guide to Crisis Management and Keeping the Wolves at Bay – Media Training. Erik Bernstein is vice president for the firm, and also editor of its newsletter, Crisis Manager]

– See more at: https://staging.management.org/blogs/crisis-management/2015/09/24/infographic-the-impact-of-food-recalls/#sthash.1j9zurV8.dpuf