The voluntary sector needs to share more of its failures to encourage innovation and build trust with the public and funders, according to a collection of essays published by New Philanthropy Capital and ActionAid today.
Insights on Innovation: Lessons for the not-for-profit sector is a 26 essays, with contributions Christian Aid, Oxfam, Scope, the Cabinet Office and the BBC.
Judith Davey, director of people, performance and accountability at ActionAid, said in her essay: “The external environment makes it tough for innovation to thrive and it could get tougher still.”
She added that strategic funding was what “enabled us to experiment” but that it “is becoming scarcer”.
Davey explained that part of the problem is that the public does not understand the need to innovate, and said that: “Many financial supporters don’t want us to take risks with the funds they’ve entrusted to us. This is understandable – as a sector we’ve not yet had a dialogue with the public to build understanding and consent.
“That is is why ActionAid commissioned this report – to start the debate about how innovation can help us deliver more effectively on our mission.”
Jessica Greenhalf, from the learning and effectiveness team at Bond, an umbrella organisation for international aid charities, said in her contribution that: “What we hear from members is a demand for a more honest conversation between NGOs and funders about what is working and what is not.”
Kate Bingley, head of programme performance and learning at Christian Aid, called for “flexible funding mechanisms” in her essay. She also called for more sharing between charities as well as “an honest dialogue with the UK public who donate to us”.
Karen Brown, chair of Oxfam, said that trustees needed to be involved in shaping innovation.
“As a sector, we need to be more honest and proud about experimentation. Enlightened donorship and an informed public are also critical,” she added.
Tinne Vandensande, adviser at the King Baudouin Foundation, said that: “Like other foundations, the KBF struggles with the dominant project-based format… Innovation demands less restrictive approaches and courage to believe in the power of small changes. It means dealing smartly with complexity and realising radical change through incremental steps.”
Sue Wixley, director of communications at NPC, said: “When money is tight, charities will struggle unless they find new ways to use the resources they have. This is where innovation becomes so important: there is work out there in other sectors, or through new technology, which can be adapted to do good.
“This collection is full of inspiring ideas and examples. This is precisely the sort of discussion that the voluntary sector needs to have, with itself and with all its allies.”
The full collection of essays is available online.
