Cost, value and funding cuts

Cost, value and funding cuts

In the future, when we look back on the year 2020, Covid-19 will inevitably come to mind. The weeks of lockdown, the seismic shifts in how we live our lives, driving thirty miles to check if your eyesight is good enough to drive – all will live long in the memory. Yet perhaps the biggest challenge of the year lies ahead, in what some think will be the worst economic downturn in living memory.

When the cost of the pandemic is finally calculated, many feel it is inevitable the the years of austerity that were only just coming to an end in the UK will return with even more devastating impact than we experienced over the last decade. Add to that the very real threat of a no-deal Brexit which would add to the economic woes and the future does not look bright (no need for shades!).

Post-pandemic we might well see cuts to public spending, significant challenges generating charitable income, cuts within civil society organisations and, if the past is to be repeated, reductions in funding for and investment in volunteer engagement. In such a climate it becomes more important than ever to focus on the value we get for the money we spend, rather than simply the cost.

Over the years I have sometimes heard individuals and organisations say that they can’t justify a training course, database, item of equipment etc. because of the cost. So, a cheaper option is found with little or no regard for its efficacy. Rarely, it seems, is consideration given to the value different options would return.

A training course may be free or cost less than a more expensive option, but is it a better quality learning experience? Would spending more money enable improved performance, resulting in greater efficiencies, which in turn recoup that extra cost?

An effective volunteer management system might be a more costly option than a simple Excel spreadsheet, but it’s enhanced functionality and remote accessibility could deliver savings and returns in the longer term that continuing to struggle with a spreadsheet will fail to realise.

With many organisations facing a future with less money than before, there is even more of an imperative that resources get spent on things that will return real value.

Of course, not everything that is expensive is good value or quality. I attended a wine tasting once where the most expensive wine on offer was the worst tasting. A bottle of that was neither cheap nor good value. By contrast, a bottle half the price was superb value, delivering a much nicer wine.

More than ever we need to stop just asking how much something costs but really consider what value it will deliver too. We can then factor both aspects into the decision, not just the cost. This isn’t just a consideration when we are buying training, consultancy, office equipment etc.. It’s also a key issue when we think about the importance of volunteer management in our organisations when the inevitable budget cuts come.

Sadly, it is all too often the case that when the belts get tightened one of the first things to go is the volunteer engagement function. That is a decision frequently made on the basis of cutting costs (because volunteers are free, right!) without any appreciation of the value of that function. How do we help our leaders look beyond the bottom line and consider what else they will be losing if they cut the volunteer management function?

In 2009, 2011 and 2013 The Minnesota Association for Volunteer Administration released reports exploring the status of volunteerism and volunteer programmes in a changing financial environment. The studies showed that organisations which cut the funding for their volunteer engagement work performed less well on a number of measures than those who maintained or even increased their support for volunteering.

In the absence of such research in the UK, and with more cuts coming, volunteer managers need to provide even more evidence of their value and articulate this effectively to their organisation’s leadership. Evidence that demonstrates wider value of their role, as well as the potential value to be gained from maintaining (or even increasing) investment in volunteering, especially when donated funds are harder to come by but donated hours may not be so scarce.

My question to you is, are we up for this challenge in this Covid-19 affected world?


If you are interested in reading more about how how strategic volunteer engagement can help an organisation navigate the challenges of a recession then check out this article from USA-based colleague, Tobi Johnson: “How to Survive the 2020 Nonprofit Recession”.

You can access details on the right free photograph accompanying this post here.

How Covid-19 may change our views on job substitution for ever

Four weeks ago I published a guest post (of sorts) from the late Susan J Ellis. It was a slightly edited version of her 2009 Hot Topic, “When the Axe Falls: Budget Cutting and Volunteers”.

Reading Susan’s eleven year old article got me thinking about a piece on job substitution that I wrote for Third Sector magazine in February 2017. In this article I want to revisit those thoughts with a particular eye to our pandemic affected world, not least because the idea of volunteers doing what was once paid work seems to be the main thrust of calls for furloughed charity workers to volunteer for their employing organisations.


Job substitution is a thorny, complex and emotive issue that provokes strong views. The term ‘job substitution’ itself makes things worse, implying that one volunteer can substitute for one employee, something that, in reality, is both impractical and unrealistic.

Far better terms to use are job displacement and job replacement. The distinctions between displacement and replacement may seem subtle but they are important:

  • Displacement is when paid roles are purposefully removed with the intention that volunteers can be brought in to do the work instead.
  • Replacement is when work previously done by paid roles is reallocated to volunteers. For example, an organisation is forced to cut paid roles due to funding changes, so deploys volunteers to deliver the service in a different way for the continued benefit of it’s clients (remember that in most cases charities exist for the benefit of their clients, not their employee and volunteers).

If paid roles are being purposefully displaced so volunteers can do the work instead, then concerns should be raised. As well as the issue of removing people’s livelihood, two serious errors of judgement about volunteering are probably being made:

  1. Volunteers are a free or cost saving option
  2. It is easy to recruit people who will take on those paid roles and do it for no pay

“Volunteer motives vary, but depriving paid workers of an income is not one of them.” – Noble, Rogers and Fryar.

Sometimes, though, volunteers can be a preferable way to doing things than paid staff. That’s why I hate the phrase, “Volunteers should complement and supplement the work of paid staff”. It fails to recognise the distinctive value that volunteering can bring. It dismisses anything unique and precious about volunteering and subordinates it to a low status activity next to paid work

I’ve worked in organisations where volunteers had a credibility in the eyes of clients that paid staff could never have. That credibility came from the client seeing the volunteer as someone who wants to spend time with them, not someone who they believe is there just because they are paid. In that scenario, volunteers didn’t supplement or complement or displace or replace paid staff, they brought something that paid staff could not.

I accept that these issues of who does what for the mission aren’t easy to discuss and resolve – if they were we would have stopped debating them years ago. Yet engaging intelligently and thoughtfully with these issues is essential as we emerge from the early phases of Covid-19, because the way we always did things before the virus simply won’t cut it anymore.

Not everyone who volunteered for us in the past will do so again.

Paid staff are, sadly, going to be be laid off.

Money may be in short supply as unemployment and financial hardship reduces charitable donations.

Mission driven organisations will have to rethink how they fulfil their goals with a different mix of human talent and skill than they did before.

As Albert Einstein said:

“The significant problems we face cannot be solved at the same level of thinking we were at when we created them”.

Are we as leaders of volunteer engagement ready to lead this debate in our organisations? Are we ready to challenge old orthodoxies that may not fit the new world we live in?

I hope so, because our leadership is needed now more than ever.

Three reasons why organisations will need volunteer engagement professionals after lockdown

Since 23 March we’ve adjusted to the new normal of lockdown life, but that doesn’t diminish the impact of the change we’ve seen. English charities will lose an estimated £4.3 billion of income by the end of June, putting jobs in jeopardy when the Coronavirus Job Retention Scheme ends and even risking the loss of some well known charities. Volunteer Managers are amongst many sector staff who have been furloughed whilst volunteers have been stood down in significant numbers, sometimes by organisations whose websites still proclaim they they couldn’t do their work without those now inactive volunteers!

More change will come as lockdown life slowly, cautiously, comes to an end. We face an unprecedented economic downturn following the government bailouts, employment protection schemes and the ongoing costs of protecting people from Covid-19. For some, life may well get harder before it gets better. Some commentators even think the loss of GDP in the UK could result in more deaths than those caused by the virus.

Looking back to the global financial crisis a little over ten years ago, the Minnesota Association for Volunteer Administration (MAVA) looked at the impacts on nonprofits and volunteer managers and there are some useful lessons for us to learn:

  • Cuts in volunteer engagement budgets were disproportionate compared to other departments in nonprofit organisations
  • Top management did not recognise the importance of volunteer engagement, creating instability in service delivery and fundraising activities that were delivered by volunteers
  • Organisations benefited from setting aside outdated models of volunteer involvement and moving to involve volunteers throughout the organisation and in positions of significant responsibility
  • There are serious consequences to cutting volunteer engagement resources

As the slow transition back to normality take place it’s important that we learn lessons from the past. For example, perhaps cutting resource and support for volunteer engagement isn’t the quick and easy money saving solution some may think? Perhaps the knock on effects of laying off Volunteer Managers will do unforeseen harm to service delivery and income generation? Perhaps a modest increase in investment might yield better returns as new ways of working and innovative approaches are supported?

What follows are three thoughts from me about why volunteer engagement needs to be prioritised as we come out of lockdown.

1 – Interest in volunteering isn’t the same as actually doing something

It is wonderful to see reports of a million people coming forward to volunteer during the pandemic but we must not equate an interest in volunteering with actual volunteering.

On 22 March I applied to a local organisation who had an urgent need for volunteers due to Covid-19. After five weeks (!) I finally heard back from the local organisation who said they “currently had no roles” available.

Two days later I signed up online to be an NHS Volunteer responder. As this article goes live (seven weeks after I applied) I still haven’t been given anything to do as an NHS Volunteer responder.

In both cases, my interest in volunteering has not resulted in me actually volunteering. Instead, it is has caused frustration and annoyance. I’m not alone either. Recently a UK tabloid newspaper called the NHS Volunteer Responder scheme a shambles,not exactly the kind of press that encourages people to volunteer.

As Jayne Cravens once said:

”With online tools, it’s never been easier to disappoint large numbers of potential volunteers and, with online tools, those disappointed people can let a lot of people know just how frustrated they are with your organisation.”

Rather than having hundreds of thousands of people who are keen to volunteer, we may well find we have hundreds of thousands of people who have been put off volunteering because of such press coverage and a negative experience of trying give time and help in their community. Consequently, it may actually be harder to get people to volunteer in future. We will need to rise to that challenge. That needs a skilled volunteer engagement professional.

2 – What people expect when volunteering has changed

To be fair, people’s expectations of volunteering were changing before Covid-19, but the last few weeks has really accelerated that.

Some people who have signed up to volunteer for the Covid-19 fight have gone through speedy online application processes that see them approved and ready to go in a matter of hours. Others have organised themselves, connecting with others and making a tangible difference in their communities, thanks in part to modern technology. This experience is at odds with our sector’s more traditional, formal, bureaucratic, offline and risk-averse approach to volunteer engagement. No more will our lengthy paper-based processes cut the mustard.

We thought we had time to change to new ways of working – we don’t any longer!

If I can be approved in 24 hours to deliver prescriptions to vulnerable people based on providing a photo of my driving licence, why do I need to jump through all your bureaucratic hoops to do some admin or fundraising?

Organisations need to re-think the practicalities of volunteer engagement for life after Covid-19. Change is needed now and fast! That needs a skilled volunteer engagement professional.

3- We’ve lost key volunteers and not all of them will come back

For the last nine years I’ve been sharing how many organisations are reliant on a small, ageing core of volunteers and how that poses a risk. Like others, I have spent years highlighting the changes organisations need to make if they want to engage volunteers from outside this so-called civic core. The time to make those changes has now run out.

As both the Third Sector Research Centre and the Charities Aid foundation have discovered, some 8% of the population are responsible for 50% of the donated time. I used to ask organisations how they’d cope if half their volunteer hours disappeared in a few years time. Not any more – many organisations have lost that donated time overnight with a large proportion of that 8% stopping volunteering because they have had to self-isolate due to their age.

We mustn’t assume these older civic core volunteers will come back either. Sadly, we may lose some to Covid-19. Others may not want to risk exposure to the virus by returning to volunteering in the short-to-medium term. Some may have enjoyed no longer having the responsibilities of their volunteering and use this opportunity to retire on their own terms.


Similarly, not every sector employee will have a job to come back to. Sadly, we will lose skills we once paid for, skills will still need in order to serve our beneficiaries. Filling these skills gaps through volunteer engagement may be a necessity for some organisations. That could mean a growth in skills-based employee volunteering or more targeted recruitment of volunteers with particular experiences and competencies. However it’s done, it must be handled carefully and intelligently to ensure impact and manage issues associated with job substitution (more on this in my next article in two weeks time). That needs a skilled volunteer engagement professional.

In this article I have highlighted just three reasons why organisations must not make the old mistakes of cutting their volunteer engagement functions as they face the financial challenges of the coming months. There are, of course, many more reasons and I’d love to hear what you’d add to my list, as well as any refections you have on the points I’ve made. Please leave a comment below or via the social media post you found this article on and let’s keep the conversation going so volunteer engagement doesn’t suffer as lockdown ends.

When the Axe Falls: Budget Cutting and Volunteers

What follows is a slightly edited article that was originally written by Susan J. Ellis and published on the Energize Inc website as the Hot Topic for December 2009. The original version is also available as an audio file.

The context for Susan’s hot topic was the global financial crisis which was impacting nonprofits and communities around the world. In today’s Covid-19 affected society, her thoughts and advice are as relevant as ever. Times are tough and many predict that an unprecedented economic shock is just around the corner. Let Susan’s words from eleven years ago inform and inspire you to act on her timeless wisdom and insight so that volunteer engagement might come out of the current situation stronger, not weaker.


Can an organization turn to volunteers to fill gaps when budgets are cut and employees laid off?

This ancient question has been resurfacing quite a bit recently, for obvious economic reasons. For many paid staff, it is fearfully voiced as, “Will my organization do this?” Even in the best of times, employees are often wary of new volunteer projects because of questions of job security, so it’s hard to deny the threat when budgets are in real danger.

I suspect that most readers here, being immersed in the dogma of our volunteer management profession, have a visceral negative reaction to even a hint of the “replacement” question. My stomach tightens, too. But we have to let our brains keep working and find a way to respond with care and concern when our organizations are struggling for their lives. Economic crisis is a teachable moment and has the potential to educate everyone about smart, motivating engagement of volunteers.

I see three levels of action: prevention/preparation; responding to hard times; and emergency mode.

Prevention / Preparation

Here is what I always give as my best advice: Plan for volunteers when times are good if you want their help in times of crisis. Crisis is the worst time for an organization to begin to involve volunteers. This reinforces the notion that volunteers are a temporary band-aid and is sure to be met with staff resistance to volunteer help just when they themselves are coping with an increased workload. Further, it is hard to sound sincere to the public about welcoming their help when recruiting in desperation.

If an organization already has an established volunteer corps and a solid volunteer management process, it is legitimate to assess how this group of loyal supporters can best be deployed to respond to an economic emergency. Top management ought to know already that volunteers are cost-effective but are never a “free” resource.

Unfortunately, it is not unusual to see organizations lay off their director of volunteer involvement in the first round of staff cuts. The theory is that there are already volunteers in place and there will be few immediate consequences from this vacancy. Then, often without seeing the irony, the same organizations also announce that they are seeking more volunteers!

Clearly it is my position that the more critical volunteers are to an organization, the more important the position of the person who leads the volunteer program. Not only will such a manager work to expand the volunteer corps, but current volunteers can feel unsupported and taken for granted if they lose their staff liaison.

Responding to Hard Times

In general, it is next to impossible to fill a gap left by a full-time employee with a single, qualified and available volunteer. Instead it would require an intricate schedule of several volunteers, each giving a certain number of hours per week and each bringing the organization a different set of qualifications. Take all the concerns of “job sharing” and multiply them several fold!

The best way to handle the real problem of forced lay-offs is to reassess the job descriptions of the entire staff, both those who have left and those remaining. This means doing a task analysis of the way things really work in the organization, not just what was put on paper in the distant past. Scrutinize the various tasks that each employee is/was doing and identify the following sorts of things:

  • What is someone doing once a week or periodically, rather than daily or on an inflexible schedule?
  • What is someone doing that really does not require his or her specialized training? (For example, a caseworker may spend a lot of time away from clients finding referral information – telephone calls, Internet searches – or a librarian might be diverted from core work by changing the book displays and bulletin boards.)
  • What is someone doing that might be done more effectively by someone else with more specialized training in that skill?

Once you have identified such tasks, you are ready to rewrite all the staff job descriptions. First be sure these contain all the tasks that require daily attention, special training, etc., adding the similar critical responsibilities that had been assigned to the laid-off staff members. Next, remove the periodic or less technical responsibilities. You end up with the remaining employees now tasked primarily with the most vital, daily functions. The remaining activities then become the basis for legitimate volunteer position descriptions. You will be asking volunteers to handle important work that can be done on a once-a-week basis or that makes use of special talents for which the volunteers have been recruited.

Now turn to the current assignments that volunteers are filling and ask this major question: Are these the most essential things we need right now? Weigh the list of tasks you’ve just culled from the employees against what volunteers are doing and make choices. Of course include volunteers in this deliberation. You can assume that they want to be of the greatest help and will be proud to be seen as part of keeping the organization afloat.

This approach to the unfortunate need to trim the budget is therefore good management of both paid and volunteer staff. The organization is paying for the best utilization of its employees and will attract volunteers in its support. It is also more likely to avoid the mistake of recruiting volunteers mainly for clerical roles at a time when increasing numbers of people are seeking more challenging ways to serve the causes in which they believe. Not to mention giving unemployed people a way to keep their professional skills alive while doing something worthwhile for others. (Another finding in the MAVA study was that 52% of the respondents said they were interviewing new volunteers with stronger work skills and 54% said these applicants were more likely to be unemployed.)

Emergency Mode

For some organizations, the financial choices have come down to eliminating services (even closing the doors altogether) or turning to volunteer help as a stopgap measure. In that sort of crisis, your mission comes first. Volunteers as well as paid staff understand and respect that. It is legitimate to share information about the emergency situation with current and potential volunteers and to ask for their help. You are likely to get it.

Again, the first task is to reassess the job descriptions of the employees, being even more deliberate in making sure primary, daily services are assigned to paid staff. Then look at what, where, and how volunteers are doing now. Are they familiar enough with the work of a unit or area that they might take on additional responsibilities? Would they be willing to increase their volunteer time for, say, two months? Can they help you to recruit more emergency volunteers (with the skills you need most) and train them on-the-job? This is also a legitimate question to pose to board members, especially those with corporate ties.

Of course this is not a great situation! The key is honest and open communication about the plans to hold things together until new funding can be found. Solicit everyone’s ideas for how to operate in the crisis. Set a timeline for reassessing how things are going and, perhaps, for when to throw in the towel. Volunteers are a vital part of transitioning to a more effective, fully-funded organization but they cannot be expected to carry the load indefinitely.

Most important, always remember that volunteers are your most effective advocates for funding your work. Especially in a crisis, make sure you are asking volunteers to be spokespeople with legislators, donors, and other funders. Raising more money and having great volunteers are mutually compatible goals.

And, to repeat: The best way to gain expanded volunteer support in lean times is to have incorporated volunteers as a welcome resource in the first place.

  • Are you facing pressure to recruit more volunteers because funding has been cut? How are you responding?
  • How are you realigning volunteer position descriptions to be sure they are meeting the most pressing needs today?
  • What else are you experiencing about “paid vs. volunteer” thinking in your organization?

Eighteen nuggets of wisdom for leaders of volunteer engagement

One of the people I follow online is Josh Spector. He has a great newsletter that I have subscribed to for a few years now. In January he published an article entitled, “My Advice For Creators In 30 Sentences (Give or Take)”. That got me thinking.

I love quotations. I collect them (sad I know). So why not share some of my favourites, themed around leadership and volunteer engagement?

My hope is that the eighteen quotations I’ve chosen will inspire and challenge you in your work. They may be of help with leadership, influencing, ethical issues and a whole lot more. Use them, share them and let them help you do whatever is a priority to give people a better volunteering experience.

1

“We always overestimate the change that will occur in the next two years and underestimate the change that will occur in the next ten. Don’t let yourself be lulled into inaction.” – Bill Gates

2

“If you dislike change, you’re going to dislike irrelevance even more.” – Gen. Eric Shinseki, US Army

3

“Part of leadership (a big part of it actually) is the ability to stick with the dream for a long time. Long enough that the critics realise that you’re going to get there one way or another…so they follow.” – Seth Godin

4

”To get a feel for the true essence of leadership, assume that everyone who works with you is a volunteer. Assume that your employees are there because they want to be, not because they have to be. In fact, they really are volunteers – especially those you depend upon the most. The best people are always in demand and they can choose where they lend their talents and gifts. They remain because they volunteer to stay. What conditions would need to exist for your staff to want to enlist in your ‘volunteer’ organisation? Under volunteer conditions, what would you need to do if you wanted people to perform at high levels? What would you need to do if you wanted them to remain loyal to your organisation?” – James Kouzes and Barry Posner in their book, “The Leadership Challenge”

5

“It is not the manager’s job to prevent risks. It is the manager’s job to make it safe to take them.” – Ed Catmull, President of Pixar

6

“Nobody made a greater mistake than he who did nothing because he could do only little.” – Edmund Burke

7

” He that is of the opinion money will do everything may well be suspected of doing everything for money.” – Benjamin Franklin

8

“Volunteering is a sign of a healthy nonprofit organisation, not the solution for a failing one.” – Greg Baldwin, President, VolunteerMatch

9

”I strenuously resist the idea that money is more important than people. I believe the not-for-profit sector has a unique opportunity to recruit volunteers to fill critical talent gaps in organisations, and pay them in non-financial ways: with meaning, with opportunities to learn, and with a feeling of connection to community.” – Coleen Kelly

10

“The number one resource for a great social sector organisation is having enough of the right people willing to commit themselves to the mission. The right people can often attract money, but money by itself can never attract the right people. Money is a commodity; talent is not. Time and talent can often compensate for lack of money, but money cannot ever compensate for lack of the right people.” – Jim Collins in his monograph, “Good to Great and the Social Sectors”

11

“Satisfied volunteers are not the purpose of our work, mission is.” – Susan Ellis

12

” I will never tire of saying this: Volunteer management is about respecting our volunteers sufficiently that we properly invest in them to maximise their engagement and participation, and ensure the very best outcomes for our beneficiaries.” – John Ramsey

13

“I want to volunteer where my presence is an asset but my absence is not a liability.” – Sharon Eidsness, Sharon’s Axiom

14

”Volunteering permits everyone to rise to the level of their abilities, not their resumes.” – Susan Ellis

15

“They are not your volunteers, you are their organisation.” – Karl Wilding, NCVO

16

“Volunteering is doing more than you have to, because you want to, for a cause you consider to be good” – Ivan Scheier

17

“No one will buy you professional status. You either have it or you don’t. But it is different from competence on the job. It means affiliation with a field and a willingness to work together to build that field.” – Susan Ellis

18

“When you don’t know what the right answer is supposed to be you can get darned creative making up your own answer.” – Steve McCurley

What are some of your favourite quotations that could be applied to the work of leaders of volunteer engagement? Leave a comment below or post them on social media using the hashtag #LOVolQuotes