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A Funder Conundrum afunderconundrum choices that funders face in bringing about positive social change An independent research report based on the experiences of The Diana, Princess of Wales Memorial Fund, and based on consultation with grantees, partners, funders and philanthropists DP Evaluation September 2012 Published by DP Evaluation on behalf of The Diana, Princess of Wales Memorial Fund © Association of Charitable Foundations (ACF) 2012 This publication may be reproduced in full or in part for the purposes of representation, education, training and campaigning provided that no charge is made for the use thereof and the ACF source is acknowledged. The Diana, Princess of Wales Memorial Fund was a spend-out grant-making organisation and closed in December 2012. Prior to closing, the Fund assigned the copyright for this publication in full to the ACF to allow for future use beyond the Fund’s lifetime. Typeset in 10/14pt Frutiger Light 2 Table of Contents Contents Executive summary ...............................................8 3.2.2 Agent of change .........................................78 3.3 Conclusions about Funder Plus ....................79 1 Introduction ..............................................12 4 Does working in collaboration 1.1 A funder conundrum ..................................12 with each other make funders 1.2 About this report ........................................13 more effective? ........................................80 1.3 Terms of reference, scope and purpose of report ...................................................14 4.1 Description of the Fund’s collaborations ......80 1.4 Evaluation questions and the 4.1.1 The Funders’ Collaborative for challenge of definition ................................17 Children (FCFC) ...........................................81 1.5 Methodology ..............................................18 4.1.2 The Corston Independent Funders’ 1.6 Descriptive frameworks ...............................20 Coalition .....................................................82 1.7 A brief history of the Fund ..........................24 4.1.3 Other collaborations involving the Fund ......83 4.2 Analysis and discussion of funder 2 How can funders bring about positive collaboration ...............................................85 social change? ..........................................26 4.2.1 To collaborate or not to collaborate? ...........85 4.2.2 Types of collaboration .................................87 2.1 Description of the Fund’s approach to 4.2.3 Light-touch collaboration ............................88 funding and social change ..........................28 4.2.4 Deeper collaboration ...................................91 2.1.1 Funding by Change Objectives ....................29 4.2.5 Key issues concerning collaboration ............94 2.1.2 Distinctive elements of the Fund’s approach 31 4.3 Conclusions about funder collaboration ......99 2.2 Analysis and discussion of approaches to funding and social change ......................50 5 Conclusion ..............................................104 2.2.1 Mindset ......................................................50 2.2.2 Ways of working .........................................62 5.1 The evaluation questions revisited .............105 2.2.3 General factors ...........................................67 5.2 The Fund’s assumptions .............................106 2.3 Conclusions about how funders 5.3 Additional findings ....................................110 can bring about positive social change ........70 5.4 Recommendations to funders and philanthropists ...................................112 3 Does Funder Plus add value or is it more trouble than it is worth? ................72 6 Appendix ................................................114 3.1 Description of the Fund’s version of 6.1 Additional Resource Materials ...................114 Funder Plus .................................................73 6.2 Interviewees ..............................................115 3.1.1 The Fund as a supporter ..............................73 6.3 Research and Evaluation Advisory 3.1.2 The Fund as an agent of change .................74 Group (REAG) ...........................................119 3.2 Analysis and discussion of Funder Plus .........75 3.2.1 Supporting grantees ....................................77 3 Table of Contents 4 Table of Contents Foreword ‘A Funder Conundrum’ has provided The Diana, The study does not attempt to measure everything Princess of Wales Memorial Fund with a unique that the Fund has done. Rather, it provides a flavour opportunity to reflect on our work and draw out of how the Fund went about trying to achieve learning to share with others. The Fund decided to social change. The name of the report, A Funder commission this research study shortly after publishing Conundrum, highlights some of the choices and our 2007 Strategic Plan, in which the Board members dilemmas faced by funders and philanthropists. We affirmed their intention to ‘spend-out’ and close after hope it is useful for others who are seeking to achieve five years. Being a spend-out organisation has been a social change, and that our experiences enable learning experience for both the Board members and readers to reflect on what they are aiming for, as well the Fund’s staff, although many of the issues we have as considering the range of strategies that they might faced are also relevant for those existing in perpetuity. adopt to tackle persistent social problems. Through adopting a small number of social change objectives, the Board sent a clear message to staff that the focus in this period should be on what we wanted to achieve, with a level of tolerance towards risk and a commitment to being flexible and agile Dr. Astrid Bonfield as the policy context evolved. This enabled the Fund Chief Executive to aim for ambitious social change, whilst adopting The Diana, Princess of Wales Memorial Fund a proportionate approach to governance, which delegated most of the grant-making decisions to senior staff. This report provides an independent, external view of how the Fund has worked since its inception in 1997, with an in-depth focus on the past five years. We wanted to find a way to explore the choices that we have made, provide examples of our successes and Sir Roger Singleton failures, and compare our approach with that of other Chair of Board of Directors funders and philanthropists. The Diana, Princess of Wales Memorial Fund 5 Table of Contents 6 Table of Contents DP Evaluation Acknowledgements This report has been written and designed by DP We would like to thank all the people we interviewed Evaluation. We were commissioned by The Diana, in the course of our year’s research. We are grateful Princess of Wales Memorial Fund to carry out the for their time and their candour. A full list of research, write the report and develop related interviewees appears in the Appendix. We were communications materials and events to disseminate supported extremely well by staff at The Diana, the learning. We have been given wide-ranging Princess of Wales Memorial Fund, in particular access to the Fund’s staff, trustees and grantees as by Dr. Andrew Cooper, Research Manager, well as to large amounts of relevant documentation. Dr. Astrid Bonfield, Chief Executive and Effie Blythe, We have also consulted widely with other funders, Communications Manager as well as by the philanthropists and commentators. This report has Research and Evaluation Advisory Group, comprising been checked for accuracy and signed off by the Dr. Diana Leat, Tess Woodcraft, Sarah Mistry, Fund but the findings and conclusions represent our Professor Jeffrey Weeks and Nancy Kelley. We have independent analysis and judgement. also received helpful advice and support from the Association of Charitable Foundations and the DP Evaluation is the name used by Dörte philanthropy team at Coutts. Pommerening and Alasdhair Collins when we are working together on evaluation and other projects. We have more than thirty years experience in the voluntary sector, having worked in management and consultancy roles for a wide range of employers and clients, including many household names. We draw on an extensive network of professional associates for specialist advice and support, and for this project we were joined by Martin Clark (evaluation and NGO campaign management consultant), Rob Bowker (graphic designer) and Helen Marshall (media and PR consultant). We work with organisations across the voluntary sector in the UK and Europe, from small community groups to large, well-known charities and funders. We deliver consultancy, training and implementation in the areas of monitoring and evaluation, grant management, advocacy and campaign development, strategic planning, organisational development and marketing. http://www.dpevaluation.co.uk 7 Table of Contents Executive summary Chapter 1: Introduction Chapter 2: How can The Diana, Princess of Wales Memorial Fund (the funders bring about Fund) took the decision, following a period of positive social change? consultation and review, to spend its remaining capital on an ambitious, time-limited programme of work The first step in addressing this question is to aimed at improving the lives of disadvantaged people understand and describe how the Fund has attempted in the UK and around the world and to close at the to bring about positive social change, particularly over end of 2012. As part of its legacy, the Fund wished the course of its final Strategic Plan, 2007 – 2012. to
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