Arts Fundraising and Leadership

Critically discuss the role of arts and cultural leaders in supporting fundraising in arts

organisations

Introduction

In recent research commissioned by the Clore Leadership Programme (TBR, 2013), when

asked to comment on their future training needs, aspiring cultural leaders overwhelmingly

highlighted the importance of improving their abilities in regard to fundraising and

philanthropic activity. Here, fundraising and philanthropy ranked as highly as strategic

planning, setting the vision and lobbying; typically considered more traditional leadership

responsibilities. Alongside this, the last five years has seen the development in literature

and discussion concerning trustee fundraising and the role of senior management and

governance bodies in tangibly supporting their organisations fundraising agenda (see

Hughes-Hallett, 2014; Perry, 2010).

As a result of the discussions detailed above, and the general trend of austerity cuts in the

cultural sector, it is now broadly acknowledged that the involvement of cultural leaders is

crucial to successful fundraising. This literature has moved little further than

acknowledgement however, lacking analysis of the specific role(s) of cultural leaders in

supporting fundraising (Harris, 2001). Where literature does detail the varied roles of

cultural leaders, discussion often fails to acknowledge the autonomy and needs of

employees, focusing on what leaders could do, rather than the support employees require,

and what leaders should do.

In response to these concerns, this paper will seek to evidence and codify the role cultural

leaders can and should play in supporting fundraising. To understand this I will examine the

needs and expectations of fundraising staff within arts and cultural organisations, and in

turn the role of cultural leaders in responding to these needs. This approach is central to

ensuring training targeted at cultural leaders (see the Clore Leadership Programme, Oxford

Cultural Leaders Programme, Step Change Network) can be effectively and appropriately

implemented, in line with specific fundraising needs.

To approach this, I will first seek to understand the roles currently assigned to cultural

leaders, and their relationship to fundraising. This will highlight the intangible nature of

roles assigned to cultural leaders (inspirational, vision-oriented), and the difficulties

1

fundraisers face in understanding and applying these roles practically to the everyday

running of fundraising departments. I will then examine the common needs of fundraisers,

and the roles cultural leaders should play in tackling these challenges and supporting

fundraising and philanthropic activity. Conclusions will be drawn which highlight the

practical, functional roles of leaders in supporting fundraising activity, advocating for a

departure from trait-based conceptions of cultural leadership (charismatic.

transformational), and towards evidenced, everyday examples of the role of cultural

leaders in practically supporting fundraising activity.

Scope of the paper

It is important to note that in considering the role of cultural leaders, I am paying minimal

attention to the role of leaders as askers, and of elements of charismatic leadership

whereby a leader drives fundraising and philanthropic activity through their personality and

attracting followers (Arvidsson, 2009). These are well documented (see Richards and

Palmer, 2012; Pieterse, 2011), and lack consideration of the practical, functional roles of

cultural leaders in supporting fundraising and philanthropic activities within their

organisations. Through consideration of the needs and autonomy of fundraising employees

themselves, this paper takes a humanistic approach, advocating that the central factor to

the success or failure in fundraising is people (The Resource Alliance, 2014).

It is further important to acknowledge the relevance of this question in relation to the

current climate of austerity cuts within the cultural sector. As highlighted by Scaife et al.

(2014b, p.1) arts fundraising is becoming increasingly complex, and therefore any

examination of fundraising within contemporary arts organisations may become rapidly

outdated. In examining this question, therefore, it is important to understand the arts

organisations of the future, and how the role of leaders in relation to fundraising is likely to

change.

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Arts and Cultural Leaders

For the purpose of this essay, cultural leaders are defined as those working at senior

(typically Chief Executive) roles within cultural organisations, rather than sector leaders and

government figureheads (known as cultural sector leaders). Whilst the latter group are

clearly influential, I am seeking to understand organisational leadership and how these

organisational leaders respond to calls for changing fundraising practice advocated for by

cultural sector leaders (see Jeffries, 2014 on private giving and Youngs, 2014 on

philanthropy). This stance is echoed by Holden (2011, p.180), commenting that in writing

about cultural leaders, I have in mind primarily people who are running or who are aspiring

to run both whole organisations, and the departments within them.

Understanding Cultural Leaders

In order to understand the role cultural leaders may play in supporting fundraising, we must

first examine the current roles assigned to cultural leaders. This is challenging, in part due to

the limited clarity within arts management literature of the definition of cultural managers,

and how leadership differs from this. This is particularly distinct in the cultural sector, where

the prominence of small organisations and flatter organisational structures has resulted in

unclear management/leadership responsibilities (Craig, 2014). Alongside this, leadership

roles vary significantly across the sector depending on the size of the organisation,

relationship to their audience and art form (Varbanova, 2013, p.13).

For the purpose of this paper cultural leaders will be defined as someone who by force of

example, talents or qualities of leadership plays a directing role [and] wields commanding

influence (Hagoort, 2005, p.193). This paper advocates the opinion of Sobas (2014, cited in

Craig 2014), that cultural leadership includes a kind of leadership on the ground in helping

folks work better, kinder, smarter, happier, etc. while still keeping managerial sight. In this

sense, leadership is understood as an examination of how the typically intangible roles of

leaders (inspirational, vision-oriented) are applied in practice. This differs from the role of

cultural managers, who are typically specialists in particular areas and are not expected to

exhibit the traits of leadership detailed above (inspirational, vision-oriented).

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Current Roles of Cultural Leaders

In defining cultural leadership, what emerges most clearly is the notion that cultural leaders

are expected to hold an immense variety of roles, described by Leicester (2007, p.6) as a

range of human capacities little short of the miraculous. The diversity of these roles is

illustrated below:

Figure 1: Current roles of cultural leaders

(Table created by author, 2014)

The roles detailed above primarily consider the character, personality traits and demeanour

of cultural leaders. This approach is prominent amongst cultural leadership literature, with

Leicester (2007, p.15) noting that key to understanding cultural leadership is

acknowledgement that it is not what we do, but who we are that matters most.

This emphasis on character and who we are is challenging, implying that cultural

leadership cannot be taught. Whilst this paper disagrees with this approach, focusing

instead on the learnable skills, knowledge and behaviours (Hoyle and Armstrong-Williams,

2011) of cultural leadership, it is important to note the resonance between the roles

outlined above and the central tenets of fundraising: vision and change.

Influencer

(Byrnes,

2008)

Vision-

oriented

(Kotter,

1990)

Perceptive

(Kanter,

1984)

Expert

(Byrnes,

2008)

Charismatic

(Henry,

2001)

Encourages

creativity

(Scaife et al.,

2013)

Politically-

aware

(Hudson,

2011)

Emotionally-

intelligent

(Goleman,

1998)

Motivator

(Shore,

1987)

Change-

agent

(Hudson,

2011)

Inspirational

(Scaife et al.,

2013)

Accountable

(Kay-

Williams,

2000)

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Fundraising

Despite the resonance between the commonly noted roles of cultural leaders and

fundraising outlined above, Scaife et al. (2014a, p.1) draw awareness to the sometimes

dichotomous thinking between fundraisers and organisational leaders. As such, we must

corroborate literature considering both the roles of cultural leaders, and the support

fundraisers require, to understand if this dichotomous thinking is apparent, and if so, the

scale of this disconnect and how this can be challenged.

To understand the requirements of fundraisers this paper draws from a range of literature

examining fundraising effectiveness theory (see Scott, 2014; Bell and Cornelius, 2013; Scaife

et al., 2013, 2014a, 2014b). This examines the intraorganisational and extraorganisational

factors (Scott, 2014) influencing the success of fundraisers within non-profit organisations,

focusing primarily on intraorganisational factors including leadership and management. This

literature highlights key challenges and areas of support for fundraisers, and as such can be

referenced to understand the role of cultural leaders in supporting fundraising and

philanthropic activity.

The following examination of the role of cultural leaders in supporting fundraising and

philanthropic activity will be organised under two primary subheadings:

- Organisational Structures

- Personality and Skills

Organisational Structures

Non-hierarchical structures

There is much commentary concerning organisational structures within the cultural sector,

with specific discussion examining the prominence of non-hierarchical organisational

structures, greater employee autonomy and less defined responsibilities (see Bilton, 2007;

Henry 1991; Henry 2001; Davis and Scase 2000). This is generally seen as positive, with a

recent poll examining arts leadership concluding that organizations that are thriving are

ones where the leaders empower others and distribute responsibilityand source good

ideas from all levels and parts of the organization (Frasz, 2012).

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It is important to understand organisational structures in reference to fundraising, and the

influence of non-hierarchical structures, autonomy and influence upon fundraising

effectiveness. Reflecting upon the factors which motivate fundraisers, consultant Stephen

Pidgeon (2014), comments when I ask my diploma students to describe the times they

have felt super-motivated, there are only two answers when they achieve something

themselves and when that achievement is recognised by management. This implies the

importance of autonomy and empowerment in the motivation of fundraisers, with Jenkins

(2012) further noting that the true challenge in supporting fundraisers is distinguishing

between what is in their control, what is not, where the responsibility really lies.

This configuration of hierarchies, autonomy and motivation can be applied to the role of

cultural leaders, acknowledging how different styles of leadership may influence fundraising

effectiveness. Tusa (2014, p.79) comments all notions of leadership and the way it is

practiced cannot escape grappling with and resolving issues revolving around authority,

power, influence and hierarchy. In their 2010 examination of the Royal Shakespeare

Companys (RSC) organisational reconfiguration, Hewison et al. (2010, p. 18) discuss the

value of new leadership structures in reconciling the individuals needs for creative

expression, reward, and liberty, with the need to be part of a social system that is efficient,

responsive and liberating. This paper would therefore suggest the role of cultural leaders is

to understand the motivations of fundraising employees, their working style (autonomy),

and to give them a voice and a seat at the table (influence) (Hudson, 2001, p.242).

Examples of this approach to leadership are evident in the cultural sector. Graham Boxer,

currently Director at Imperial War Museums North comments for me, openness, honesty

and inclusivity are important values for team leadership and I enjoy seeing others

empowered (Caines, 2012a). Here, Boxer acknowledges the role of cultural leaders in

developing a responsive environment, where staff are liberated and feel able to contribute

to strategic and leadership practice alongside their own work. Likewise, Sue Hoyle, Director

of the Clore Leadership Programme, comments on her admiration of Tessa Ross1, described

as generous and self-effacing (Hoyle, 2013), looking to share success with others and

empower her employees. Similarly, in a recent study examining the characteristics which

1 Previously Controller of Film and Drama at Channel 4, now Chief Executive Designate at the Royal National Theatre.

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fundraisers most appreciate in a leader, Scaife et al. (2013, p.24) note giv[ing] other people

the ownership for results and invests in their success as the most popular response.

This approach may not only assist the motivation and effectiveness of fundraising staff, but

also ensure the organisation does not experience mission-drift and a diversion from their

key goals. Fundraisers frequently face the challenge of ideas and visions from leadership

which do not relate to the organisations mission. Whilst it is the role of the fundraiser to

drive the achievement of the organisations mission, often cultural leaders will promote a

specific vision, perhaps related to personal preference, which ultimately can result in

mission drift2. By providing fundraisers with autonomy, influence and a seat at the table,

cultural leaders can ensure organisational productivity, with fundraisers able to

acknowledge instances of mission drift.

Culture and Resources

Whilst the discussion above considers the role of cultural leadership in the autonomy and

motivation of individual employees, we must also understand how these employees are

positioned within the broader team and organisational structure of cultural organisations. A

common challenge faced by fundraisers within cultural organisations is their relationship to

the artistic teams and programming department. For example, in a recent poll examining

arts leadership, one respondent commented:

the artistic leadership rules from above. They interact with artists and artistic staff

daily but only with marketing and fundraising staff when something is wrong. It does

not appear that the artistic leadership knows the temperature of activity company-

wide and does not value the role that all departments must play

(Frasz, 2012)

This implies the role of cultural leaders in promoting and embedding the value of

fundraising within their organisation, influencing the organisational culture in terms of

knowledge sharing, value and resources. This is widely acknowledged within cultural

leadership literature, with Leicester (2007, p.26) concluding that the critical role of

2 This point was raised in personal correspondence with a senior fundraiser working in a cultural organisation in London

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cultural leadership [is] putting Humpty back together again. Likewise Glynn (2006, p.61, as

cited in Walmsley, 2014), describes the role of culture leaders as intermediaries, bringing

together different departments and mediating conflicts.

Despite this acknowledgement, it is unclear whether this approach is implemented in

practice. In researching intraorganisational challenges faced by fundraisers, Scaife et al.

(2013, p.17) concluded overwhelmingly that the most common challenge faced was poor

resourcing, implying that in terms of resourcing there exists a disconnect between theory

and practice. Similarly, in researching this paper, I was unable to find detailed discussion on

this topic from cultural leaders themselves, as opposed to academics studying cultural

leadership theory. This implies a role for cultural leaders in advocating for the value of

fundraising within their organisations (intraorganisational), and to the sector more broadly

(extraorganisational). A good example is set by Gavin Barlow, Chief Executive of the Albany,

who comments:

We don't see a divide between the artistic staff who do the work and the fundraising

staff who generate the money. The business staff are very creative in coming up with

ideas and the creative people really understand the flow of money in and out of the

building

(Caines, 2012b)

This paper would suggest it is crucial for cultural leaders to follow this lead, ensuring that

fundraising is a priority, and a shared responsibility, for the board, the executive director

and the staff alike (Bell and Cornelius, 2013, p.13). There is a clear opportunity here in

the same study examining intraorganisational challenges faced by fundraisers, amongst the

most infrequently faced challenges was fundraisers time. In this sense, with adequate

value associated with the role of fundraising, and in turn improved resources, fundraisers

can drive resilience and sustainability within cultural organisations, having the time available

to complete these tasks. Whilst it may be that perhaps this work simply is not publicised,

and there is not a disconnect between resourcing theory and resourcing practice, it is

nevertheless important for the sector to continue to advocate for the value of fundraising

within cultural organisations, with the importance of the role of fundraising to the sector

likely to continue to increase.

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Personality and Skills

Knowledge

On his appointment as Chief Executive of the Royal Opera House in 2013, Alex Beard,

previously Deputy Director of Tate, was described as an unexpected appointment, a bolt

from the blue (Christiansen, 2013b). Going against predictions of well-connected arts

advisors (Ruth Mackenzie) and well-informed politicians (Chris Smith see Christiansen,

2013a), Mr Beard was described as an administrator and a money mansomeone who

understands the complexity of the fundraising climate (Christiansen, 2013b). In discussing

the challenges faced by fundraisers, Scaife et al. (2014a) note the challenge of limited

fundraising knowledge amongst organisational leaders, termed a critical and often lacking

element (2014a, p.1).

Similarly, Byrnes (2008, p.227), discusses the role of leaders in holding expert power,

based on a particular specialism and area of expertise. Where expert power may be

exhibited in terms of artistic direction and strategy (see Hoyles 2013 classification of Sir

Nicholas Serota at Tate, and Taylors 2013 account of Sir Nicholas Hytners tenure at the

National Theatre), there exists limited evidence of cultural leaders holding specific

knowledge concerning fundraising. This trend is noted by cultural leaders themselves, with

Jessica Hepburn, Executive Director of Lyric Hammersmith commenting I wish we would

see more people moving from these specialisms [fundraising] into executive roles, but sadly

it still seems to be relatively rare (Caines, 2013).

Limited knowledge of fundraising is certainly of concern to cultural leaders, with aspiring

leaders taking part in the Clore Leadership Programme highlighting their interest in

fundraising and philanthropy skills development (TBR, 2013). These concerns support the

central consideration of this paper, implying that the role of cultural leaders should not be

based on personality traits and characteristics (who we are), but instead on the practical

and everyday support leaders can offer through knowledge and expertise. In terms of

interventions and support, this point suggests the need for a learning dialogue between

fundraisers and cultural leaders, and for the representation of fundraising departments in

executive and leadership teams (Scott, 2014). Increased knowledge would certainly assist

fundraisers in tackling a similar challenge that fundraising is often seen as a necessary

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evil by cultural leaders3. Further, as the challenge of arts fundraising continues to grow, and

the practice of fundraising becomes increasingly complex (Scaife et al. 2014b, p.1), the

relevance of fundraising knowledge amongst cultural leaders will become even clearer in

importance, and should be prioritised.

Commitment and Engagement

As noted above, whilst austerity cuts within the cultural sector are not a new phenomenon,

there exists limited knowledge of fundraising amongst cultural leaders. This has led some

commenters to question the degree of investment they [chief executives] are willing to

make (Scott, 2014, p.iv) in supporting fundraising. Discussions of the investment,

commitment and engagement of cultural leaders in fundraising is closely related to

questions of risk. Risk taking is a central tenet of leadership, with Tusa (2014, p.85)

commenting that the ability to choose between risk and failure is one of the most

important aptitudes that a leader can possess. An aversion to invest in fundraising

expertise, staff and technologies largely represents a trend of limited risk-taking amongst

cultural leaders.

In seeking to understand this trend, we can firstly examine high levels of turnover amongst

cultural leaders, related to what Hewison (2004) terms a crisis in cultural leadership. In a

review of the Californian arts sector, the typical tenure of an organisational director was

concluded to be as short as three years (AEA Consulting, 2006). From this perspective,

limited investment in fundraising expertise and development is understandable, with

cultural leaders facing an environment of change within their organisation. Similarly, a

culture of risk-aversion is prominent across many areas of cultural leadership, rather than

specifically concerning fundraising. Austerity cuts have encouraged safe choices (Boswell,

2014), with cultural leaders facing change within their organisation and within the arts and

cultural sector more broadly.

Whilst conclusions can be drawn around the role of cultural leaders in demonstrating an

authentic engagement with and commitment to fundraising, there is also a responsibility of

fundraising staff inherent here. Fundraisers must articulate their needs and concerns to

3 This point was raised in personal correspondence with a senior fundraiser working in a cultural organisation in London

10

cultural leaders, and work with cultural leaders to develop fundraising initiatives with either

limited, or managed risk. An interesting example of this is Cardboard Citizens, a London-

based theatre company changing the lives of homeless and displaced people through the

performing arts. Through the support of engaged leadership, a development committee and

the development team, Cardboard Citizens have developed a strong, successful fundraising

message and campaign. For example, in its award-winning Annual Reports (see Third Sector,

2012), the organisation draws extremely clear connections between its organisational

mission and fundraising outcomes. This is an extremely inexpensive, low-risk initiative, but

has proven important in building the organisations profile (awarded for the quality of its

annual report), and a clearer case for support for funders to engage with. In this manner,

although a role exists for cultural leaders to engage more effectively with fundraising

practice, it is important to note that leadership exists at many levels within organisations

(Holden, 2011), and it is the responsibility of fundraisers to engage with, support and

understand the needs of cultural leaders, such as the need to develop low-risk initiatives.

Figureheads

Within many cultural organisations, and in the non-profit sector more broadly, the Chief

Executive (in this case, the cultural leader) is seen as the chief asker Scaife et al. (2013,

p.22). This is largely donor driven, with donors wishing to communicate with the authority

figure, and at times the personality and the artist. Reflecting upon the role of cultural

leaders as organisational figureheads, Wieke Eringa, Artistic Director of Yorkshire Dance

comments:

funders want access to the Artistic Director as often it's their vision they are

supporting. I had a call only last week from The Jerwood Foundation, they would not

have asked to speak to the Fundraising Director

(Smithers, 2014, p.3)

Whilst this is prevalent amongst the broader non-profit sector, the role of leaders as askers

and figureheads is particularly nuanced in the cultural sector. As noted above, donors are

interested in communicating with artistic directors; they are buying into an art form and a

vision. This is not exhibited elsewhere in the charity sector, where the individual

responsible for the organisations vision is often the Chief Executive, or business director.

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In the health sector for example, donors wish to meet members of the executive team,

rather than health professionals responsible for service delivery (akin to artistic directors).

Although nuanced and unique, the interest of donors in meeting and communicating with

artistic directors and artistic professionals represents an opportunity for cultural leadership.

In line with discussions above noting the distributed (Holden, 2011, p.2) nature of

leadership in the cultural sector, where non-executive staff members have the ability to

lead, an opportunity exists to profile artistic staff, and assign artistic staff specific fundraising

responsibilities. In this sense, whilst it is partly the responsibility of cultural leaders to meet

with donors, and display elements of charismatic leadership, there exists a role for cultural

leaders to drive a culture of change in terms of an overall organisational approach to

fundraising. Similar to discussions of culture and resources detailed above, by promoting the

role of artistic staff as key contact points for donors, leaders can increase the value placed

upon fundraising within their organisation.

Conclusions

The above examination highlights the importance of understanding the functional, everyday

roles of cultural leaders in supporting fundraising and philanthropic activity in contemporary

arts organisations. From this it is clear that training and support is required to assist leaders

in applying concepts of vision-setting and inspiration in a way that makes sense to the

practical functions of fundraising departments. This may include influencing organisational

structures and cultures so that fundraisers are fairly represented, valued and resourced, and

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advocating for the responsibility of all staff to play a critical role in supporting fundraising.

Alongside this, this paper has highlighted the importance of a dialogue and shared learning

between fundraising professionals and cultural leaders, supporting the needs of cultural

leaders (knowledge sharing, low-risk initiatives) and fundraisers (representation on

executive committees, influence).

In this sense, this paper disagrees with crude, trait-based characterisations of leaders as

charismatic, transformational and transactional, instead highlighting the specific skills

and tangible roles of cultural leaders. To continue this discussion, this paper advocates for

increased dialogue amongst cultural leaders (as opposed to academics studying cultural

leadership) around fundraising success and failure. In researching this paper I uncovered

extremely limited reflection by cultural leaders upon the everyday operations of fundraising

departments and leadership structures. This paper would therefore suggest the production

of documents, guidance and examples, serving as both an educational and advocacy

document detailing practical experiences of arts fundraising. In this manner, cultural leaders

are defined by their success, practice and by the change they have introduced (Tusa,

2014, p.41), rather than personality and character-based traits. As highlighted by Scaife et

al. (2013, p.v) If board members and CEOs did no more after perusing this study [around

fundraising effectiveness] than ask their fundraiser/s how they might help more then a

significant impact will have been made.

This approach would likewise be sensitive to the high levels of change undergone by cultural

organisations. By avoiding specific characterisations of leadership styles, literature and

guidance documents can acknowledge the context in which a leader operates (Sargeant and

Jay, 2010, p.373), taking a nuanced approach considering both the external (cultural sector)

and internal (organisational functioning) factors involved in leadership. As noted by Hewison

et al. (2010, p.10) the sector is diverse and eclectic one size does not fit all, so the

navigation of different models and approaches to leadership is essential.

Alongside detailing these proposed interventions themselves, it is important to consider

how these interventions are applied. In their 2010 account of cultural/ leadership change

within the RSC, Hewison et al. (2011, p.19) comment that a remarkable feature of the RSCs

leadership and management style has been the regular and explicit reference to emotions.

This is discussed further by Holden (2011, p.192), calling for cultural leaders to

13

acknowledge the existence of, and the important role played by, emotions in

organisational life. This resonates with earlier discussions of the autonomy, influence and

motivations of fundraising staff, and how cultural leaders must respond to and measure

their role in light of these.

Finally, it is important to acknowledge that this paper is written from the perspective of

fundraising within the UKs cultural sector. As noted by DeVereaux:

managers in the United States are generally very familiar with fundraising. [In

comparison to] other parts of the world, however, where government subsidies have

long been the norm, fund-raising is a much newer concept

(DeVereaux, 2011, p.290)

Regardless of whether austerity cuts persist within the UK cultural sector, there is

undoubtedly a trend towards reduced government subsidy and closer relationships with

audience members, commissioning organisations and partners. As such, it is likely the role

of cultural leaders will continue to develop, and it is the responsibility of fundraisers and

cultural leaders alike to respond and adapt to this change. In turn, there is a role for cultural

leaders and fundraisers to continue this dialogue to examine not simply the role of cultural

leaders within contemporary arts and cultural organisations, but those of the future.

(Words: 4497)

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Arts Fundraising and Leadership