Riverview Arts Council - Case Study
Julie VW
Foundations of Arts Administration AA 605
September 25, 2002
Saint Mary's University of Minnesota, Twin Cities
As the chairperson of the Riverview Arts Council, I'd oppose the recommendation and work with a broader segment of the membership to keep the council alive. The council slipped directly from the start up into the decline stage of life. In her book, Nonprofit Life Cycles, Susan Kenny Stevens writes, "When start ups decline it is almost always because of a capacity issue." (Stevens, 2001, p. 40) Stevens defines capacity as "organization capability and competence" then argues that organizations must develop capacity to maintain successful programs.
Critical issues, including the lack of funding, face the organization, but the council is poised for a turnaround and can build the capacity to become a dynamic force in the city of Riverview. "Most turnarounds occur when nonprofits are faced with a crisis from which they can not escape," Stevens writes, "a crisis so big that the denial methods used in the past will no longer support the survival threatening circumstance which now enshroud the agency" (Stevens, 2001 p. 43).
The lack of a clearly defined mission statement acted as one factor contributing to the council's current crisis. The original mission, implied by the mayor, might have read, "We exist so Riverview will receive the financial benefits associated with ‘Certified City' status." This unwritten, broad statement proved useless in defining the work of the council, and prevented them from using their resources to fund significant and important programs. Without an obvious mission, the council lacked a standard to measure the value of potential activities, and veto proposals they were not prepared to support (such as the gallery).
As chair, I'd recommend the board begin the turn around process by writing a concise mission statement. Clearly defined mission statements rank as the number one component of successful non-profit organizations and will set the council on a course for success as well as preventing a repeat of past mistakes.
Failure to plan for the future also contributed to the council's predicament. In their seven year history, the council never created an overall funding plan, did no long term planing, and failed to establish a committee in charge of executive and business decisions. Despite the time and money invested in the creation of a strategic plan, the end result proved useless. The "New and Improved Riverview Arts Council" needs a new and improved method for dealing with the future. The next plan must detail specific fundraising commitments, governance responsibilities, and financial management strategies. The board should look to the commissioned needs assessment and provide programs the city needs that align with the mission of the council, not special projects or programs solely of interest to board members. The new council may have fewer programs than the old council, but the programs will be solid and relevant to the community.
Finally, a lack of communication contributed to the council's trouble. The park district, gallery board, and council had no idea what others thought, planed, spent, or paid. Too many assumptions regarding funding, and the future of that funding, created problems. Severing ties with the park district, and closing the gallery will solve external communication issues, but internal lines of communication need to stay open. Members must come to meetings, and the organization must realize they control their own destiny as a council.
The gallery reminds me of the stereotypical step child found in fairy tales; no one really wants it, and everyone blames it. I suspect the gallery did not cause the council's problems, but highlighted existing organizational problems. Closing the gallery makes sense (for now). The park district does not want to fund the gallery, and the council appears to prefer spending it's energy on other programs. I assume the park district still owns the gallery building, and the Riverview Arts Council will not need to deal with any maintenance issues involved with preserving a historic building.
In conclusion, I believe the council is currently at a crossroads, they can become terminal and die, or attempt to remain in the community. Lots of mistakes have been made, and although the council possesses all the elements of a declining organization, they also hold three of the five assets needed for a turnaround. Marylin acts as a champion for the council, they have a symbolic breaking point in the park districts funding cut, and new board members with nonprofit experience provide administrative competence. The council needs to internalize the situation by facing the problems of the past, and commit to a behavior change through action. If the board can successful navigate a turnaround, the Riverview Arts Council will have to opportunity to create a truly productive organization.
Reference
Stevens, S.K. (2001). Nonprofit lifecycles: Stage-based wisdom for nonprofit capacity. Long Lake, MN: Stagewise Enterprises, Inc.
I LOVE THIS BOOK!
FYI Susan Kenny Stevens is on the Board at SMU - very cool!
