Managing-marketing Assignment Id 10425158

Managing Marketing Student membership number: 10425158

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Student membership number: 10425158

Place of study: West Kent CollegeCourse title: Professional Diploma in MarketingSubject: Managing Marketing Assignment title: Option 1 - Introduction of Performance Measurement Standards – 6534 words (excluding Executive Summary)

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RECCOMMENDATION REPORT

INTRODUCTION OF PERFORMANMCE MEASUREMENT STANDARDS

Prepared by:

Fundraising and Marketing Manager

June 02, 2011

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Contents:

Executive Summary page 5

1. Current Performance Measurement Standards page 7

2. Alternative Standards page 7

2.1. Quality Models page 7

2.1.1. ISO 9001 page 7

2.1.2. European Foundation for Quality Management (EFQM) Excellence Model page 8

2.1.3. Practical Quality Assurance System for Small Organisations (PQASSO) page 9

2.2. Marketing Performance Measures page 10

2.2.1. Balanced Scorecard page 11

2.2.2. Benchmarking page 11

3. Proposed standards page 12

3.1. Marketing Performance Measures page 12

3.1.1. Benchmarking page 13

3.2. Competitive advantage page 13

4. Changes required to the Fundraising and Marketing Team page 14

4.1. Barriers page 14

4.2. Proposed changes page 15

5. The Role of the Marketing Manager page 17

6. Budgets page 19

7. Cost/Benefit Analysis page 20

Bibliography page 22

Appendix 1Tables and Graphs page 23

Appendix 2 The Heart of Kent Hospice Brief Background page 28

Appendix 3 Existing Marketing Function Structure page 31

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Executive Summary (510 words)

This recommendation report seeks to assess exiting quality framework and performance measures at the Hospice with a view of introducing alternative standards along with a wide range of marketing performance measures in response to tighter regulation and greater scrutiny from funders and commissioners, as well as increasing competition for voluntary funding.

The report identifies that existing Clinical Governance framework is not equipped to measuring performance across key areas of business. Although there are some attempts to measure marketing performance, these are rudimentary and don’t play part in strategic evaluation and planning.

It then goes further into exploring alternative approaches to quality and provides an overview of ISO 9001, EFQM and PQASSO models, outlining their benefits and limitations. The use of alternative marketing performance measures most appropriate for the Hospice are also considered along with other measurement techniques, such as Balanced Scorecard and benchmarking.

It further recommends complementing the framework with PQASSO and ISO 9001 standards by introducing them concurrently with an aim of achieving a recognisable accreditation with both stakeholders and regulators.

Marketing performance measures should include e a good balance of accounting, productivity, relationship, internal and innovation and learning measures. However, any measures and subsequent metrics introduced will need to be aligned with the Hospice’s overall mission, strategic aims and objectives.

It is suggested that the implementation of the proposed standards starts with an initial self-assessment against all key areas. This will require collaborative approach from all members of the Fundraising and Marketing Team as well as input from other functional areas of the organisation.

To overcome existing barriers, it is recommended to introduce the following changes to the team:

Clarification of the team’s purpose and priorities More resource for community fundraising Clearer definition of roles Reassessing current systems Internal marketing More integrated working Smarter working Fundraising and Marketing road shows

The existing structure of the team is augmented by adding 1FTE and 0.5 FTE to ensure successful implementation of the project.

Fundamental to the delivery of the project is also the development of the team and the professional development of all individuals. Team learning and development needs analysis has been undertaken and the results are outlined in the report.

The report further identified the role of the Marketing and Fundraising Manager as a lead responsibility for the implementation process. To achieve this, the manager will have to reconsider his management style from authoritarian to team-based decision making. Marketing Manager personal development plan is also outlined in the report.

Overall it is estimated that the delivery of the plan will cost £21,718 over the two year period. Cost /benefit analysis undertaken suggests that the project will pay for itself in the second year by increasing the level of voluntary, corporate and trusts donations by a total of 12/% on forecasted annual income totalling to £11,892, which after taking away the costs will leave a surplus of £4,992. Social benefits will also include raising the

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profile of the Hospice amongst palliative care professionals, improved staff motivation, reduced absenteeism and increased volunteer hours.

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1. Current Performance Measurement Standards

In an economic environment where funding sources are strained, the Heart of Kent Hospice is facing ever tighter regulation and greater scrutiny, with funders and commissioners and donors increasingly seeking for greater transparency and accountability. To satisfy its regulators’ requirements and to monitor the performance

effectively, the Hospice adopted a hybrid approach to its quality assurance by combining clinical performance

measures endorsed by the National Care Standards Commission with those based on cost accounting information.

As such, a recently implemented Clinical Governance framework, aimed to improve patient experience, clinical effectiveness and patient safety, is complemented by a range of accounting measures. Clinical Governance framework mainly focuses on clinical ‘productivity’ and patients’ satisfaction KPIs, such as admission statistics and complaints register, with monthly results summarised in Clinical KPIs Chart (an example of which is shown in Appendix 1, p.24).

Accounting measures are used to report on charity’s financial viability and income generated by its fundraising activities; and include surplus and deficit accounts, balance sheet, cash flow and budgetary control. Cash flow, being imperative for the financial health of the charity, is particularly useful as it provides an insight into cash inflow fluctuations in areas most difficult to project such as legacies, in-memoriam donations or trusts funding. Budgetary controls, on another hand, allow to exercise control over financial resources available through monitoring and variance analysis. Monthly management budgets show expenditure levels against plan and enable timely decision-making and planning adjustment should the variance be of some significance.

Other measures employed across the organisation are relatively unsophisticated and used in isolation from existing quality framework. Fundraising and marketing performance, in particular, is only measured against its financial metrics, focusing purely on levels of income generated by pre-determined fundraising categories, whether they are events, corporate fundraising, legacies, in-memoriam donations or community fundraising. There are some attempts to measure the effectiveness of marketing communication by using metrics such as website hits, column inches, direct marketing response levels, HTML bulletins open rates, but these are rudimentary and don’t play part in strategic evaluation and planning.

2. Alternative Standards

Increasing numbers of not-for profit organisations are demonstrating their quality to the outside world by working with comprehensive quality standards and introducing marketing performance measures initially developed for the commercial sector.

2.1. Quality Models

Three of the most well-known and well-used quality models by non-profits in the UK are ISO 9001, EFQM and PQASSO which are discussed in term below (for a detailed comparison between the models see Table 2, Appendix 1).

2.1.1. ISO 9001

ISO 9001 is part of the International Organisation of Standardisation family of standards for quality management, which has over a million certified organisations worldwide. All requirements of ISO 9001 are generic and can be applied to any organisation, regardless of its type, size and product or service provided. In the UK it is mainly used in the private sector, but is also being increasingly used within the voluntary sector.

ISO 9001 focuses on the processes within an organisation and makes sure that they are effectively managed in order to meet customer needs. There are five main clauses in ISO 9001:

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Figure 1: EFQM Model (Source: proveandimprove.org, available at http://www.bqf.org.uk/ex_framework.htm, accessed in May 2011)


Quality management system Management responsibility Resource management Service planning and provision Measurement, analysis and improvement

Each of the clauses has a number of detailed requirements that have to be met. According to Sherratt (2009), the benefit of adopting the standard is that ‘it helps organisations define key roles and responsibilities in quality management’. In addition, once an organisation has been accredited with ISO 9001, it will be able to provide evidence to its stakeholders that its quality management processes meet recognised international standards. ISO 9001 was designed for, and is only used for external certification.

The downside of ISO 9001 when applied to a voluntary organisation is that it lacks the addressing of such areas as good governance, outcomes and charity related finance issues, which are essential for the effective governance and management of any charity. In addition, the implementation of ISO 9001 places high demand on staff time as the standard itself is of high complexity.

2.1.2. European Foundation for Quality Management (EFQM) Excellence Model

EFQM Excellence Model is a self-assessment framework which enables organisations to develop sustainable excellence across all of its activities. While its origins lie in the private sector, it is designed for any organisation in any sector, although examples of use by third sector organisations are fairly limited.

The model starts with the following premise: ‘customer results, people results and society results are achieved through leadership driving policy and strategy, people, partnerships and resources leading ultimately to excellence in key performance results’, as illustrated in Figure 1. There are nine criteria in the model that underpin this premise. These are further separated into five enablers – leadership, people, partnerships, resources and processes – which are concerned with how the organisation conducts itself, how it manages its staff and resources, how it plans its strategy and how it reviews and monitors key processes; and five results - people results, customer results, society results and key performance results – which are what the organisation achieves. Each of the nine criteria is further divided to describe in more detail the concept of ‘Excellence’ in that area and to examine how well an organisation is doing through a list of practical questions. EFQM runs the annual EFQM Excellence Award, which is designed to recognise organisations that have achieved an outstanding level of sustainable excellence (British Quality Foundation, 2011).

The benefits of the model are that it is non-prescriptive and provides a broad set of assumptions of what is required for a good organisation and its management. In addition, it seeks to encourage a culture of continuous improvement and provides a clear overview of an organisation’s activities. However, the model doesn’t offer formal mark or accreditation meaning it is less recognised by organisation’s stakeholders.

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2.1.3. Practical Quality Assurance System for Small Organisations (PQASSO)

First introduced in 1997 by Charities Evaluation Services (CES), PQASSO was specifically designed for the third sector and can be applied to any type of voluntary organisation. PQASSO is built on 12 quality areas:

Planning Governance Leadership and management User-centred service Managing people Learning and development Managing money Managing resources Communications and promotion Working with others Monitoring and evaluation Results

In each quality area, the standard itself is clearly defined and applies to all organisations. The model offers a staged approach to implementing quality through three levels of achievement, starting from self-assessment at level 1 and progressing onto an optional Quality Mark endorsed by the Charity Commission at levels 2 and 3 (CES, 2011). Designed as a work pack, it offers a flexible approach allowing the organisation to work at its own pace (CES, 2011).

Each quality area includes the standard itself, benefits of working on the standard, as well as the elements of what the standard covers. Each standard also has a list of indicators that broadly show what the organisation should be doing to meet its desired level. Opposite each indicator, PQASSO sets out suggestions for sources of evidence that the indicator is met (CES, 2011).

PQASSO’s strength is that it gives a shared meaning of quality across quite disparate activities and can complement the use of other quality systems already in place, as it takes a ‘holistic’ approach and considers all aspects of the organisation. Other benefits of using PQASSO include:

Better communication and motivation among staff across the organisation Greater involvement of all customer groups and improved opportunities for providing customer

feedback Continuous improvement over time following a ‘plan-do -review’ cycle (as illustrated in Figure 2) Greater recognition and credibility from statutory trusts and corporate funders as well as service

commissioners.

Although low in cost and complexity, PQASSO standards are not as widely recognised as ISO 9001 or EFQM.

2.2. Marketing Performance Measures

Historically, accounting and productivity were used as the earliest measures for marketing performance. However, as the discipline developed other non-financial measures, such as relationship marketing and customer related measures, internal, and innovation and learning measures, were identified. When adapted for use in non-profits, these may include the following metrics as illustrated in Table 1:

Accounting Productivity Relationship Marketing/Customer Related

Internal Measures

Innovation and Learning

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Frequency of donations

Growth in event ticket sales

Overall donor satisfaction with the charity’s activities

Number of new donors recruited per period

Staff turnover

Income per donor Number of leads generated following trade exhibition

Donors’ feelings of loyalty and/or commitment to the charity

Donor acquisition costs

Average number of days taken as sick leave

% of marketing costs as proportion of total cost

Press coverage % preferred donation method Donor lifetime value

Number of training/development days, by department

Income stream and campaign specific budget monitoring

Public awareness of the charity and its services

Donor perceptions of effectiveness Donor retention rate

Investment per number of staff

Penetration of specific segments of the donor market

Recognition of the charity as a brand

Number of Facebook fans/Twitter followers

Staff satisfaction

Share of the donor market within the charity’s sector

Number of first time donors converted into regular

Marketing spend per donor

Number of contributions to an online survey

Table 1: Marketing Performance Measures

However, resource considerations might affect the degree to which a charity applies marketing metrics.

2.2.1. Balanced Scorecard

First developed by Kaplan and Norton in 1996, the Balanced Scorecard is a ‘strategic planning and performance measuring tool which aligns business activities to the vision and strategy of the organisation, improve internal and external communications, and monitor organisation performance against strategic goals’ (Balance Scorecard Institute, 2011). It recognises the limitations of purely financial measurement of an organisation and introduces the concept of a balanced view by introducing three additional dimensions; customer, internal business and innovation and learning, as illustrated in Figure 3.

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Figure 3: The Balance Scorecard (Source: Balanced Scorecard Institute, available at: http://www.balancedscorecard.org/BSCResources/AbouttheBalancedScorecard/tabid/55/Default.aspx, accessed in May, 2011)

One or two UK hospices are already experimenting with the Balanced Scorecard technique, presenting their Boards with a simple one-page summary of a range of performance measures in four key areas of hospice activity (Help the Hospices, 2007).

2.2.2. Benchmarking

Benchmarking is another useful way of measuring organisational processes and practices against those in other organisations. Although first developed in the private sector, benchmarking is now widely used in the third sector with over 62% of UK charities regularly engaging in benchmarking initiatives (CES, 2010). The benefits of benchmarking are that it can help to determine priorities for performance improvement and to set meaningful and realistic targets. It would also help to provide reassurance for what is already working well. However, it might prove difficult to find a close match to the organisation under review. It is therefore best to take part in benchmarking at a sub-sectoral level, but even then consideration should be given to the size, vision, and strategic priorities of another organisation.

As demonstrated above, many different approaches to quality management are available to the non-profit sector today, it is important however to ensure that the model chosen most closely meets the needs of the Hospice and does not require too heavy an investment of already scarce resources.

3. Proposed standards

Although quite comprehensive in its own right and fit for the purpose of reporting on clinical performance, the Clinical Governance framework currently in place is not equipped for embracing marketing related or indeed other areas’ performance measures under its remit. However, with no adequate measurement of marketing performance in place, the effectiveness of marketing activities is significantly diminished and is likely to affect future voluntary funding levels and ultimately the quality of service provided.

To address this, we recommend complementing the framework with PQASSO and ISO 9001standards which will be introduced concurrently to ensure all areas of the charity’s activities are covered with an aim of achieving a recognisable accreditation with both stakeholders and regulators and, in the longer term , improving the quality of the Hospice’s services. Both standards have been used extensively within the third sector and will complement each other in that ISO 9001 is extremely rigorous in its approach to quality and offers a widely recognised accreditation, whereas PQASSO is sector specific and covers areas such as good governance, outcomes and charity related finance issues, which are essential for the effective governance and management of the Hospice. At the same time evidence collected and generated in meeting clinical governance standards will form a sound basis for rolling out both models. Both models are of relatively low cost, but will require high level of support from the senior management team and a fair amount of staff time.

3.1. Marketing Performance Measures

By introducing ISO 9001 and PQASSO, the Hospice will ensure to have a robust process for measuring performance in all areas of the charity; that is not excluding marketing. Most quality areas within the proposed standards will require measures related to marketing performance. These should include a good balance of accounting, productivity, relationship, internal and innovation and learning measures. However, any measures and subsequent metrics introduced will need to be aligned with the Hospice’s overall mission, strategic aims and objectives and corresponding marketing objectives (these are detailed in Appendix 1, p. 24). We would recommend to introduce the following quantitative and qualitative metric under each category as summaries in Table 2 below:

Type of Suggested metrics: Metrics Selection Rationale/Benefit

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Measure

Accounting

£market share the donor market within the hospice’s sector

% of marketing costs as proportion of total cost

% penetration of specific segments of the donor market

£marketing spend per donor Income stream and campaign specific

budget monitoring % preferred donation method

Provides clear indication of position in comparison to other competitors and sector averages, opportunity to adjust target

Comparison with sector averages , opportunity to adjust target

Growth or saturation – future strategy decisions

Expenditure planning Fundraising area/campaign/event effectiveness– future

strategy decisions Future strategy decision – online donations, Direct Debit

Productivity £ value of event sales Number of leads generated at Kent

County Show and 20/20 Volume of coverage in the media % public awareness of the charity brand

and its services

Future planning – ‘Star’ vs ‘problem child’ High costs and demand on staff time – can it be justified

Comparison with other Hospice’s 250,000 footprint, yet not known how many are aware of the

Hospice – justifying the need to awareness and visibilityRelationship Marketing and Customer Related

% overall donor satisfaction with the charity’s activities

Number of Facebook fans/Twitter followers

Number of first time donors converted into regular

Website hits and number of responses to an online survey –

Donor perceptions of effectiveness

Opportunity to improve, regular feedback

Comparison with that of other Hospices – how can increase

Strategy adjustment what work and what doesn’t

Future website improvements

Feedback mechanism – feeling better involvedInternal Number of new donors recruited per

period Donor acquisition costs Donor retention rate

Trends, seasonality – better recruitment activities’ planning

Retention vs recruitment Justifies expenditure on relationship marketing activities

Innovation and Learning

Staff turnover Average number of days taken as sick

leave Staff satisfaction survey against target Number of training/development days, by

department

Currently internal marketing virtually non -existent, poor communication – will justify the need for internal marketing and enhanced communication

Opportunity to improve Medical teams vs administrative – should be seen as equally

important to generate greater returns

Table 2: Suggested Marketing Performance Measures

Use of the above measures will bring many advantages. As such, the suggested accounting measures will provide a clearer overview of where the charity’s revenue comes from, indicating value of individual income streams. Ongoing and effective accounting measurement would allow to better control of resources, providing opportunity to adjust planning and future strategic decisions (Sherratt, 2009).

Productivity measures, on another hand, would identify the most and least productive fundraising areas and public’s perceptual or behavioural responses to the Hospice brand within its catchment area allowing for future decision making.

Relationship and customer related measures are an absolute key in ensuring donors satisfaction with the charity’s activities and levels of accountability. This is something the Hospice has largely overlooked before. However, satisfied donors are more likely to act as ambassadors in promoting the Hospice in the local community, potentially leading to increasing donation levels, volunteer hours or corporate sponsorship. Donor profiling will help enormously in avoiding mass marketing activities in the future and better targeting for specific events/campaigns.

Internal measures will report on the effectiveness of donor acquisition activities and evaluate donor retention levels providing sound basis for choosing between retention or recruitment strategies.

Finally, innovation and learning measures will address the issue of internal marketing and establish if there is need for improved internal communication.

3.1.1. Benchmarking

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Figure: 4McKinsey Seven ‘S’ FrameworkSource: easyfreeware available at http://www.easyfreeware.com/mckinsey_7s_model_software-31759-image.html, accessed in May 2011


Benchmarking with other hospices of similar size should also be integrated into the ongoing process of measuring marketing performance. This will not only provide an extra dimension to performance results, but would also expand networking opportunities and help to identify partners for any future collaborative work. The Hospice should therefore adopt a more proactive approach to participating in benchmarking initiatives across the sector. These are often initiated by Help the Hospices or other fellow hospices across the country.

3.2. Competitive advantage

By having a robust quality management system in place with sound performance measures across all key areas and a well recognised accreditation, the Hospice will be able to provide sound evidence of its accountability to funders, regulators, donors and users alike. Above all, by regularly evaluating its marketing performance and subsequently applying better segmentation techniques, the Hospice will also be able to adopt a more differentiated approach to targeting, ultimately leading to greater responsiveness, and further strengthening the Hospice’s competitive advantage of being the only adult Hospice in the area.

4. Changes required to the Fundraising and Marketing Team

We suggest that the implementation of the proposed standards starts with an initial self-assessment against all key areas, which will provide the senior management team with an overview of the improvements needed in each area. This will require not only collaborative approach from all members of the Fundraising and Marketing Team, but also continuous support from the Senior Management Team, as well as input from other functional areas of the organisation.

To achieve this, a number of changes to the way that the Fundraising and Marketing Team works and how they integrate with other functions will need to be instituted. These will address all the interrelated elements embodied McKinsey’s 7-S model illustrated in Figure 4.

4.1. Barriers

To define the changes, we first undertook analysis of potential barriers, which are likely to affect successful implementation of the proposed standards. These are:

Goal problems -Team overall goals are poorly specified and therefore difficult to measure. Most team members are unclear about their individual objectives and overall expectations of the team. Although some team members have developed individual tactical plans, there is no overall operational plan for the department.

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Lack of resources - The team is currently under resourced with Events Co-ordinator also fulfilling Community Fundraiser role. This creates conflicting priorities, with both income streams suffering as a result.

Role problems - There is some confusion in roles, with a certain amount of overlapping between jobs which causes further role conflict and duplication of work.

Constraining systems - There is a talented team, who are constrained more by systems in place then they are by ability. The current management accounting systems and reporting mechanisms are very weak and do not provide information in a required format. Those staff using Raiser’s Edge don’t have enough knowledge to utilise the system to its full capacity, resulting in inaccurate reporting.

Resistance to change - There are some staff and volunteers who are suspicious of change.

Working in silos - While efforts have been made to improve this there is still sense amongst the team that they are working in silos and not working collaboratively as a team. This is exacerbated by the office space which is series of small offices, with some staff working outside the fundraising office entirely.

Team working too hard - This may seem an odd barrier to highlight, but it is clear that all the fundraising team are working very hard, but not always as productively as they could. The lack of administrative support for fundraisers means that they are doing too much of the administrative work themselves leaving them with little time to concentrate on their prime objectives.

Lack of support from other functions – The Hospice has functional hierarchal structure which although ensures central strategic control, discourages inter-functional interaction, with little communication and integration between teams. Although some staff in other parts of the Hospice recognise the good work that the Fundraisers do, others see Marketing and Fundraising as a resource drain. As a result, the team does not receive all the support it needs form other functions.

4.2. Proposed changes

To overcome the above barriers and therefore ensure successful implementation of the proposed standards within the marketing function, it would be necessary to introduce the following changes to the team:

Clarification of the team’s purpose and priorities - All team members need to be made aware of what these are and what individual contribution they make in achieving these. Departmental operational plan in line with strategic priorities also needs developing.

More resource for community fundraising - The post needs to be advertised as soon as possible (in conjunction with HR). This will bring the team back to its original capacity and make the workload more manageable without any compromises being made between event and community fundraising areas.

Clearer definition of roles - Job descriptions in some areas need to be revisited and brought up-to-date ensuring there is no duplication. HR Manger will also need to be involved.

Reassessing current systems - Management accounting systems need to revisited in conjunction with Finance Team to ensure these provide meaningful information and in a format suitable for future decision making. Those staff using Raiser’s Edge need to have adequate training to bring them up-to speed in using the system effectively. Reporting and monitoring mechanisms need to be re-assessed to provide for accurate performance measurement in line with performance measures suggested earlier.

Internal marketing - Reasons for change need to be clearly communicated to all staff emphasising that these are essential to the future stability of the Hospice. Ongoing feedback on progress is essential along with motivation, two-way communication and getting staff involved. It is important to identify ‘supporters, neutrals, and opposers’ (Jobber, 2001, cited in Sheratt et al, 2009) and target them

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appropriately. Consider using influential supporters as ambassadors for change. Any fears/concerns should be taken seriously and addressed in a timely manner.

More integrated working - With clearer definition in roles it should be easier to encourage joint working. Open plan offices would further improve co-operation. Specific investment in team-building and joint planning could help to improve this. It is also recommended that serious consideration is given to knocking down all the internal walls in the Fundraising and Marketing building and making it open plan. This would create much more pleasant working environment and would encourage joint working.

Smarter working - The current administrative function needs to be redefined to ensure that all team members receive the administrative support that they need. It is not envisaged that this means a great increase in admin staff. Rather it means that existing resources need to be deployed more effectively. Adding an internship position to the team structure would also take some of the pressure away.

Fundraising and Marketing road shows - these will help to communicate the role Marketing and Fundraising Team play in delivering overall strategy to other staff in other functions. This will open a dialogue between teams and instigate open and honest discussion leading to better collaboration between functions.

We do not envisage a massive increase in fundraising and marketing staff to deliver the above changes. The existing structure is enlarged by adding 1FTE Community Fundraiser and 0.5 FTE Intern to ensure successful implementation of the project, as illustrated in Figure below:

Figure 4: Fundraising and Marketing Team proposed structure

Fundamental to the delivery of this project is the development of the team and its individual members. As previously discussed, the team members are lacking some of the skills necessary for fulfilling their roles successfully. This is not because they lack abilities, but rather support and training. The introduction of an overarching quality system and alternative performance measures will increase this gap even further. To address this, team learning and development needs analysis has been undertaken with results outlined in Table 3 below:

Role Critical skill/knowledge required for the role:

What are the development needs: Method/Solution:

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Fundraising and Marketing Director

(1 FTE)

Team Administrator

(1FTE)

Corporate Fundraiser (0.5 FTE)

Events Co-ordinator

(1 FTE)

Trusts and Donor Development Officer

(1 FTE)

Database Co-ordinator

(0.5 FTE)

Marketing and Communications Manager

(1FTE)

Community Fundraiser

(1 FTE)

Intern (0.5 FTE)


Corporate Fundraiser

Raiser’s Edge

Budget monitoringPlanning and reviewingIT skills - Microsoft Excel and Power PointPQASSO and ISO 9001

Tracking and managing information about constituents and gifts; using Batch for reportingVariance analysis, flexing budgets, forecastingFlowcharts; estimating resources, GANTT Charts Using charts and formulas, creating professional power point presentationsOverview – Staged approach

In-house with Database Co-ordinator In-house with FinanceIn-house - delivered by Pitman In-house - delivered by Pitman

In-house with Marketing ManagerEvents Co-ordinator

Raiser’s Edge

Budget MonitoringPlanning and prioritisingEvents management

Social Media Net working

PQASSO and ISO 9001

Tracking and managing information about constituents and gifts; using Batch for reportingVariance analysis, flexing budgets, forecastingPlanning resources and time, prioritising workloadBudgeting; forecasting expenditure; managing health and safety; event risk assessment, evaluationUsing fan pages, twit deck, hash tags, retwitsBeing more proactive and confident at industry events/ Town Centre management meeting/other networking opportunitiesOverview – Staged approach

In-house with Database Co-ordinator In-house with Finance1 day course - Pitman centre2-day course with Kent Trainers

In-house with Catch 22 On the job supported by line manager

In-house with Marketing Manager

Team Administrator

Raiser’s Edge

Budget MonitoringEvent Genius ( as part of CMS training)Managing volunteers

Assertiveness skillsPQASSO and ISO 9001

Data entry and events records in Events module

Variance analysis, flexing budgets, forecastingAdding events onto the website and online payment gateway, uploading images/files using CMSSupporting and supervising volunteers

Delegating and managing workload Overview – Staged approach

In-house with Database Co-ordinator In-house with FinanceIn-house – delivered by Impact

In-house with Volunteer Services Development Officer and HR Manager1/2 day course - Pitman centreIn-house with Marketing Manager

Database Co-ordinator

Raiser’s Edge - Advanced

PQASSO and ISO 9001

Data entry in The Raiser’s Edge® Events module, event records, registering participants for events, and recording registration fees, producing pre-formatted reports, preparing labels and donor

acknowledgement letters Overview – Staged approach

2 day course with Blackboard 3 days at Richards House Hospice

In-house with Marketing ManagerTrusts and Donor Development Officer

Raiser’s Edge

Budget Monitoring Planning and prioritisingPQASSO and ISO 9001

Tracking and managing information about constituents and gifts; using Batch for reportingVariance analysis, flexing budgets, forecastingPlanning resources and time, prioritising workloadOverview – Staged approach

In-house with Database Co-ordinator In-house with Finance1 day course - Pitman centreIn-house with Marketing Manager

Community Coordinator*

Raiser’s Edge

PQASSO and ISO 9001

Tracking and managing information about constituents and gifts; using Batch for reportingOverview – Staged approach

* Further skills gap and development needs will be identified once the post is recruited for

In-house with Database Co-ordinator In-house with Marketing Manager

Table 3: Fundraising and Marketing Team Development Needs Overview

By taking on board the proposed changes and having appropriate training and development, the team will be able to ‘unfreeze the present level’ (Lewin, 1958 cited in Sheratt, 2009) of working and move on to a new level of working better as a team not only within the Fundraising and Marketing function boundaries, but within a broader team of colleagues from across the Hospice. Some of the training outlined will require for other functions across the organisation to share their knowledge and expertise with the Team. This should be seen as beneficial, as once again it would start the dialogue between the teams and help to establish collaborative relationship, something that has been largely overlooked to-date. However, this will have an implication on other teams’ team time and resources and will have to be carefully considered.

Once the necessary training is provided, it will be necessary to review individual plans by conducting one-to-one interviews to ensure that the development needs have been met. It might be also beneficial to obtain a 360 -degree feedback for all team members from their peers, volunteers, and colleagues in other departments they

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work most with. It does, however, needs to be anonymous and made clear that feedback will be used for identifying further personal and professional needs.

5. The Role of the Marketing Manager

To roll-out the implementation of the proposed measurement standards across the organisation, it will be necessary to set up a small working group. To ensure a full range of perspectives, the group should include staff, Board members, senior managers, volunteers, and users (if appropriate and willing). It is also important to bring in staff at different levels of the organisation, working in different functions, to generate a flow of ideas and enable a good blend of contributions. It is proposed that the Marketing Manager will take lead responsibilities for the implementation process by leading the working group and keeping the quality process on track. The responsibilities should include:

ensuring that quality working group meetings take place chairing the working group meetings managing the implementation of the overall plan ensuring that the working group’s progress is communicated to the rest of the organisation acting as a ‘progress chaser’, ensuring that action points are taken forward.

It is important that the Manager has a good understanding of how both PQASSO and ISO 9001 work. The necessary training on both systems needs to be provided at pre-implementation stage, following by an ongoing mentoring and consultancy support. It is important, however, that their role is not seen as the sole person responsible for all work relating to quality standards implementation that is carried out within the organisation, as this would become burdensome and ineffective.

Apart from leading the implementation working group, the role of the Marketing Manager will equally involve implementing the standards within the Fundraising and Marketing Team. To achieve this, the Manager needs to demonstrate leadership; however the management style adopted will affect how this is received by the team. The current management style is that of a more authoritarian nature (Tannenbaum and Schmidt, 1973, cited in Sheratt et al, 2009). It is recognised that the style needs to be amended to team-based decision making to encourage open communication and trust within the team. The acknowledgment of team and individual contributions will help to make the team feel more involved and valued and will keep them motivated. Sustaining the changes to managerial behaviour, as well as promoting involvement and team work are essential for the success of the project.

The introduction of the new standards and subsequently new processes and systems will no doubt be seen not only as big change, but also as a challenge. Purely focusing on getting the job done may be detrimental to other team members and affect how the team works. At the same time, pushing others to achieve difficult targets is well known to have a de-motivating effect on all. The Manager’s role will therefore also be to find the right balance between ‘Task’, ‘Team’ and ‘Individual’ goal, as illustrated by Action-Centred Leadership model developed by Adair (see Figure 5):

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Figure 5: Adair’s Action-Centred Leadership model (Source: Weybridge Associates, available at http://waybridge.com/tag/adair-model, accessed in May 2011)

Such balance can be achieved by carrying out appropriate planning, controlling, supporting, informing and evaluating functions throughout the implementation process. As such, it is expected that the Marketing Manager will perform the following functions in ensuring successful implementation of the standards:

The reasons for introducing the standards will need to be clearly explained to the team, ensuring that individual members accept these and understand their individual contributions to the overall task

Detailed action plans will need to be developed for the team and individuals, defining accountability, priorities, time frame, and targets. These will need to be monitored on monthly basis to ensure targets are met. Any issues identified need to be addressed promptly, with necessary training/coaching provided as necessary. Feedback from all team members to be obtained as to whether the plan is working. Necessary adjustment need to be made at this stage.

Team and individual efforts and progress achieved need to be recognised (internal marketing) and rewarded. At the same time, those individuals who cause concern need to be supported with their needs clearly identified and additional training /coaching provided, if necessary.

To keep morale levels high and ensure team are motivated, personal example must be set at all times by the Manager.

Once the actual implementation is completed it is important to review the process and learn the setback. Measuring performance does not end at the end of the implementation stage, but rather becomes an ongoing process.

To ensure that the above functions are carried out to their best, the Marketing Manager recognises the need for personal development and appropriate training prior to implementation. An outline of the personal development plan is provided below:

Actions: Resources: Timeframe:PQASSO PQASSO workshops, training, mentoring In stages – to allow to become familiar with one aspect of

the system before being trained on another Complete within 1 month

ISO 9001 ISO 9001 training, onsite consultancy, mentoring, online workshops/webinars

Complete within 3 months

Budget Monitoring

In-house Finance Team/Training Within 1 month

Change management

Training, attending topical seminars/conferences (with HR manager)

Training be completed within 3 -5 months, seminars etc ongoing

Leadership –management styles

Training, attending topical seminars/conferences (with HR manager)

Complete within 6 months

Implementing quality third sector

Join an online discussion group and Help the Hospices networking group, visiting other Hospices/charities in the area

Ongoing

Valuing, Training, attending topical seminars/conferences Within 6 months and ongoing

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Supporting and Motivating others

(with HR manager)

The proposed changes are based on the assumption that the Hospice will adopt a market or customer oriented approach as its main strategic direction for the future. Failure to adopt such approach will lead to the Hospice continuing to provide excellent care to its beneficiaries, but not paying enough attention to its donors. This has already had a negative impact on the amount of voluntary income generated and should be addressed promptly, if the Hospice is to maintain its competitive position. It is critical that the proposal receives the buy in of the senior management team and the Chief Executive Officer to ensure that it is rolled out across the organisation and with support of other departments, such as Finance, IT, Family Services Team and Patient Services Department. Without such buy in and involvement of other relevant staff the delivery of this plan will be jeopardised. It is recommended that the Marketing Manger presents the plan to the Senior Management Team at the next Heads of Departments meeting to ensure is agreeable by all and if not amend the plan accordingly.

We strongly believe that the implementation and achievement of PQASSO, ISO 9011 and above proposed performance measures will enable the Hospice not only meet the requirements of the Charity Commission, its funders and commissioners; but also to operate effectively and efficiently ensuring its future sustainability.

6. Budgets

Detailed budget for the introduction of the performance measurement standards within the marketing function for the period of the Year 1, and Year 2 is outlined below. This includes pre-implementation, implementation and post-implementation stages. Overall it is estimated that the delivery of the plan will cost £21,718 over the two year period. Further costs may incur at post implementation stage. These will need to be reviewed at the end of Year 1.

Staff cost are not included into the budget, but will of course need to be considered along with any variance to the expenditure throughout the implementation process.

PERFORMANCE MEASURES IMPLEMENTATION BUDGET - 2 YEAR VIEW Year 1 Year 2

Pre-Implementation Costs Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4PQASSO PQASSO work pack and CD-ROM

£98 £98

Staff training £1,359 £453 £453 £453 Consultancy fees £1,350 £450 £450 £450 Internal seminars £150 £50 £50 £50 ISO 9001 User guides £85 £85 Staff Training £2,679 £893 £893 £893

Consultancy fees £3,000 £1,000 £1,000£1,00

0

Internal seminars £150 £50 £50 £50 Meetings £300 £100 £100 £100 Development needs: Staff training £1,350 £450 £450 £450 Team away day £500 £500

Pre-Implementation totals: £11,021 £4,129 £3,446£3,44

6 £0 £0 £0 £0 £0Implementation Costs Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4PQASSO

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Staff training £1,359 £453 £453 £453 Consultancy contract with CES £2,400 £800 £800 £800 Internal seminars £150 £50 £50 £50 ISO 9001 Staff Training £1,338 £446 £446 £446

Consultancy fees £3,500

£1,000 £1,000£1,50

0

Internal seminars £150 £50 £50 £50 Meetings £300 £100 £100 £100 Development needs: Staff training £900 £300 £300 £300

Implementation totals: £10,097 £0£0 £0 £3,199 £3,199

£3,699

£0 £0

Post-Implementation Costs Q1 Q2 Q3 Q4 Q1 Q2 Q3 Q4Post implementation review £600 £600

Post implementation totals: £600 £600

TOTAL for the project: £21,718

7. Cost/Benefit Analysis

To assess the merit of implementing the new quality standards, cost/benefit analysis has been conducted, as per below:

Year by Year figures over 2 years

Costs Year1 Year 2Pre-implementation stage

User guides £183Staff training £5,388Consultancy fees £4,350Internal seminars/meetings £600Team away day £500

Implementation stageStaff training £1,199 £2,398Consultancy fees £1,800 £4,100Internal seminars/meetings £200 £400

Totals per yr £14,220 £6,898Benefits

5% increase on trust funding on expected annual income £3,8371% increase legacies on expected annual income £4,2005% increase on corporate sponsorship on expected annual income

£1,075

Reductions in mailout costs as a result of improved targeted marketing

£2,480 £2,480

1% Increase in regular donations £300

Totals per yr £2,480 £11,892

Balance -£11,740 £4,994

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It is clear that in financial terms only the project will pay for itself in the second year by increasing the level of voluntary, corporate and trusts donations by a total of 12/% on forecasted annual income totalling to £11,892, which after taking away the costs will leave a surplus of £4,992., with payback time being 2years.

In addition, intangible benefits have to be taken into account as well. These will include widening palliative care training provision for other health care providers in the local community, which although cannot be measure in financial terms, will raise the profile of the Hospice amongst palliative care professionals leading to increased commissioning opportunities. Other benefits will include improved staff motivation levels, reduced absenteeism and increased volunteer hours.

Ongoing costs in post implementation will need to taken into consideration, these are however envisaged to be minimal, as once all the internal processes are in place these should naturally become part of the restructured team’s workload.

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Bibliography

1. Balanced Scorecard Institute, http://www.balancedscorecard.org/BSCResources/AbouttheBalancedScorecard/tabid/55/Default.aspx

2. British Quality Foundation, (2011) http://www.bqf.org.uk/performance-improvement/about-efqm-excellence-model

3. Charity Evaluation Services (2011) PQASSO and ISO 900. www.ces-vol.org.uk/pqasso.

4. Charity Evaluation Services (2011) PQASSO Strengthening third sector organisations for a better society. www.ces-vol.org.uk/pqasso.

5. Charity Evaluation Services (2011) PQASSO First steps in quality. www.ces-vol.org.uk/pqasso.

6. Gamble, A. (2008) Benchmarking in the third sector. Charity Evaluation Services, www.ces-vol.org.uk/pqasso.

7. Help the Hospices, (2007) Ensuring an effective board, http://www.helpthehospices.org.uk/our-services/publications

8. Proveandimprove.org, http://www.bqf.org.uk/ex_framework.htm

9. Sherratt, A. et al (2009) Managing Marketing. Oxford, Butterworth-Heinemann.

10. Weybridge Associates, http://waybridge.com/tag/adair-model

11. http://www.easyfreeware.com/mckinsey_7s_model_software-31759-image.html

12. http://www.bqf.org.uk/ex_framework.htm

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APPENDIX 1

Tables and Graphs

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The Heart of Kent Hospice

KEY PERFORMANCE INDICATOR CHART

Month: April 2011

Comments No of positive

comments

1 No of negative

comments

0 % addressed Target 100%

AdmissionsBed occupancy 244 = 81% (246 = 79%

March)Bed availability (based

on 10 beds)300 (310 March)

No of referrals received in month

50 (50 March) No of bereavement contacts

Not available

No of discharges from service

16 (9 March) No of Drop-in clinic admissions

40 total (33 March)

No of day therapy places

210 (180 March) No of day therapy attendances

94 (44.7%)(44.4% March)

Annual ReportsPatient Satisfaction Survey Staff Annual Performance Review% of patients satisfied most, or all of the time

Currently being undertaken.

Target: 90%

Annualised % of staff having received review

92%

Target: 90%

Infection Control Audit Target: 96%Green/Amber/Red 99% - April audit identified no infection control

issues.

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Complaints Register – Non-Clinical0 Green v1-2 Amber2 RedTargets – no reds


Quality models comparison

PQASSO ISO 9001 EFQMExperience of use in the sector High Medium/high Low

Suitability for size and type of organisation

All voluntary and community organisations

All All

Areas covered All areas All, but focuses on quality management

system

All

Demand on staff time Medium High Medium

Cost to buy a copy of standards

£98 £85 £150

Complexity Low High Medium

Support/training available Workbook and CD-ROM for doing it yourself

Local network of mentors Bespoke mentoring

TrainingConsultancy support

throughout implementation

PublicationsTraining

Consultancy

How to use the Excellence Model - £15

The model in practice - £28Consultancy support

ReportsEndorsed Adviser Network

Cost of face-to-face support/training

Free half-day workshop prior to implementation

Two-day implementation course - £453 per person

1 day introductory cost – £310 to £670

2-5 day onsite course

Free first consultation Comprehensive one-day workshops for members £125 + VAT and non-members £250 + VAT

Availability of external accreditation

Yes Yes No

Table 2: Choosing between different approaches to quality

The Heart of Kent Hospice Mission Statement

The Hospice has the following mission statement:

“The Heart of Kent Hospice is a specialist team offering skilled care, comfort, compassion and hope to people facing the challenge of life-threatening illness.

The Hospice will do this by:

1. Providing high quality specialist palliative care that is innovative and responsive to the needs of our patients, their families and their careers, irrespective of diagnosis.

2. Disseminating the principles and practice of palliative care to the wider community.3. Engaging with the local community so that they understand what we offer and actively support us.”

Corporate Objectives:

Objective Strategies adopted to deliver objectives1. To satisfy 100% of customers by continuing to develop its services, keeping pace with changing needs

1. By widening access to services with - increase in non cancer patients- increase support for patients in care homes

2. By enhancing community service to support patient and family choice at the end of life

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Complaints Register - Clinical0 Green1-2 Amber v2 RedTarget – no reds


3. By broadening the depth and range of outpatient services to meet patient and family support needs.

2. To increase income by 40% by the end of the three year period to continue to develop the services

1. By maximising business opportunities that are available to the hospice in order to secure finances

2. By developing business plan for Fundraising and Marketing embracing all income streams with a significant focus on Regular Donor and Major Donor campaigns

3. By developing legacy campaign1. To excel at key processes to ensure the way

they do things enable them to deliver their mission

1. By implementing the marketing plan and capitalising on the opportunities that digital media such as the website can bring.

2. By maximising the efficiencies that can be gained by appropriate use of information, communication and technology

3. By developing general awareness of End of Life Care to enable patients and carers to plan ahead appropriately and support the hospice in the work that is does

1. To have appropriate culture and skills to ensure these exist to achieve objectives 1 to 3.

1. By developing innovative ways to encourage volunteer recruitment and retention so that the organisation is furnished with the right number and quality of volunteers, and continues to build on the strong volunteering culture that exists within Hospice care.

2. By ensuring that the Hospice has an organisational culture that embraces change, respects others and manages risk appropriately.

3. By ensuring that the organisation’s educational strategy meets the needs of staff, volunteers and trustees.

Marketing Objectives:

Marketing Marketing Strategies1. To increase voluntary income by 30% by the end of the three year period

By a combination of market penetration, product development and market development strategies, specifically by expanding the fundraising product range by introducing at least two high profile events per year and developing new products for existing donors’ markets

By increasing the number of regular supporters to 500 by the end of the three year period generating £70k

By developing legacy income through a planned and coordinated legacy campaign

2. To increase number of younger volunteers hours donated to the Hospice by 20% a year

By targeting local secondary schools and colleges for practical volunteering opportunities

By engaging with younger audiences through social media means promoting Hospice's work and volunteering opportunities

3. To raise awareness about the Hospice within targeted stakeholder groups (beneficiaries, the general public, donors, trustees, staff, suppliers, volunteers, funders) to ensure it becomes “the

By targeting local community groups and businesses to adopt the Heart of Kent Hospice as charity of the year in 2011

By increasing press coverage by 20% on 2010/11 By developing and implementing a robust internal

communications strategy

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charity” they choose to support By increasing website traffic by 25% in the three year period By better communicating what the Hospice stands for and

what it does, ensuring all communications (including corporate publications, the website, signage, correspondence and promotional material) are consistent and reflect the spirit of the Hospice.

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APPENDIX 2


Brief Background


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Overview

The Heart of Kent Hospice opened in May 1991 as a result of the commitment and dedication of a group of volunteers, who set up the 'Wishing Well Appeal' in order to raise funds and build a hospice for local people. It is situated in the grounds of Preston Hall near Aylesford and covers Maidstone and the surrounding areas. The Hospice is a registered charity which provides specialist palliative care services to people facing the challenge of terminal illness. All services are provided free of charge. The Hospice is regulated by the Healthcare Commission and is also registered as an independent hospital specialising in palliative care. The Hospice employs around 80 full and part-time staff and relies on the support of over 500 active volunteers, who work both in the Hospice and in the community.

The Hospice aims to support and complement the care provided by other statutory and non statutory organisations to patients and their families living in the Maidstone area. At any one time the Hospice supports up to 350 patients, plus their families and carers, by providing community service, inpatient beds for up to 12 patients and up to 45 day therapy places each week. The Hospice also has two wholly owned subsidiary companies, Heart of Kent Hospice Trading Limited ("Trading") and Heart of Kent Hospice Promotions Limited ("Promotions")."Trading" operates 12 shops selling donated goods, cards and other merchandise. "Promotions" runs a lottery scheme. Both companies gift aid their taxable profits to the Hospice. In addition, the Hospice has a programme of education offering a range of courses, designed to provide and promote knowledge, skills and confidence to professionals in clinical, non-clinical and voluntary roles within healthcare and other key service areas in order to spread best practice across the community. Besides its existing clinical courses it now offers high-quality training in a number of statutory and mandatory subjects, generating additional income for the Hospice.

Annual running costs are over £3.6m. Of this around 29% comes from statutory sources, with further 71% being raised through a number of fundraising activities in the local community. The Hospice’s footprint is some 250,000 people, and while fundraising underperformed in the past, the arrival of a new Chief Executive and Director of Fundraising has seen significant income growth with the Hospice achieving a small surplus in the last two consecutive years, that is compared to a deficit of £300,000 in 2006/2007. To the end of March 2010, Hospice’s trading subsidiary and legacies and trusts achieved good results with an increase of 19% and 30% compared to previous year, respectively. Lottery saw a healthy increase of 9%. Fundraising and donations income, however, fell by 2% and 8% respectively. At the same times costs rose by 5.7% over previous year.

Current Services Range

1. Palliative Care ServicesPatients accepted for care have flexible access to the following services according to need and subject to availability: Inpatient Care - Inpatient Unit consists of eight single en-suite bedrooms and one four bedded bay and

can provide in-patient care for up to 12 people at any one time with a team of doctors and nurses to provide symptom control, support, respite and terminal care. There is no set length of time for an admission with length of stay being dependent upon meeting the assessed needs on an individual basis.

Community Care - Community Team provides high quality specialist palliative care for patients with a progressive terminal illness who are being cared for at home, and offer support to their family, carers and friends.

Day Therapy - has up to 15 places each day meeting a variety of needs with access to physiotherapy, occupational therapies as well as counselling and spiritual support. It also provides patients with an opportunity to meet others facing life-threatening illness.

Pre and Post Bereavement Support is offered to the patients and/or their carers. Complementary Therapies - are used alongside medical treatments for patients, and are offered to

families and carers to aid relaxation and promote a sense of well-being. Therapies offered include: aromatherapy, body massage, reflexology, hand and foot massage and Bowen technique.

Counselling, Social work and Chaplaincy support - are provided by the Family Services Team. These include psychological, social and spiritual care to patients and their families and can help people talk

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through their problems in a safe and confidential way.

Customer Base

The Hospice’s customer base consists of two broad groups, specifically beneficiaries and supporters. In summary, the Hospice concentrates its efforts on meeting the needs of its beneficiaries with programme of care, being tailored to their individual needs, but doesn’t recognise supporters as an equally significant group of customers.

1. Beneficiaries group includes: patients of 16 years of age and over with any advancing, progressive, life limiting illness in need of specialist care; patients’ family members and /or carers of any age, and bereaved of any age. All beneficiary groups have access to care regardless of their race, religion, sex, or nationality. To benefit from the range of services provided beneficiaries need to reside within the Hospice’s catchment area. Each patient undergoes an initial pre-assessment, where programme of care, tailored to their individual needs is agreed.

2. Supporters group includes: individual and corporate donors, voluntary workers, and purchasers. The Hospice has over 9,500 individual and corporate donors registered, who have given a donation to the Hospice in the last three years, but only 238 of these are regular donors. Although no demographic profiling or buying behaviour available for the majority of supporters, it is, however, known that corporate donors and bereaved families form the strongest supporter groups; generating 20.4% and 18.3% of the total voluntary income respectively. It is also estimated that over 50% of all donors would be involved in at least five or more fundraising activities. Average donation accounts to £50 per donor. The Hospice had three major donors donating to the Hospice in the last four years. There over 500 active volunteers, 70% of which are aged 60 and over. No purchasers’ data was made available to the researcher as the trading subsidiary has a separate strategic plan to that of the Hospice.

Position in the Market in Relation to Competitors

Although there are currently three other independent adult hospices in Kent, the Hospice is in no direct competition for patients with any other of them, or indeed any other care providers, due to demand far exceeding supply. The charity does however compete for statutory and voluntary income, volunteers’ time, as well as charitable grants with not only other hospices in the area, but also with over 30 other local charities, as well as many national and international voluntary organisations.

In relation to its main voluntary income competitors in the local area, namely Kent Air Ambulance Trust and Demelza House Childrens Hospice, the Hospice appears to be the most successful in its fundraising activities. To put this into perspective, in 2009 the Hospice raised £1.15m from its catchment area, estimated at 250,000 people. In the same year, Demelza raised over £4,99m of voluntary income from a combined population of Kent, East Sussex, Surrey and South London estimated at some 3 million – twelve times the footprint of the Hospice. Kent Air Ambulance similarly raised just over £3m from the whole of Kent, East and West Sussex and Surrey, estimated at 3.6 million people – fourteen times the footprint of the Hospice. It is however recognised that both of the above have recently become more aggressive with their fundraising in the Maidstone area posing a threat to the Hospice.

Further pressure comes from an alleged growth of “compassion fatigue” (Balabanis, et al, 1997) with public having too many charitable demands on their budgets. A series of world-wide disasters, e.g. Haiti earthquake, Pakistan and India floods, West Africa food crisis, also siphons away some of the revenue. Finally, it can be argued that the Hospice also competes for funds with high street retailers where donors are most likely to spend their disposable income on non-essentials for themselves, as opposed to donating to the charity.

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APPENDIX 3

Existing Marketing Function Structure

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Marketing Function Overview

The Hospice has no dedicated marketing department at present and its marketing function is combined with that of fundraising. The Fundraising and Marketing Department employs three full time and two part time staff, who report to Fundraising and Marketing Manager.

As shown on Diagram 1 below, the team consists of Corporate Fundraiser, Events Co-ordinator, Trusts and Donor Development Officer, Database Co-ordinator, Marketing and Communications Manager and Team Administrator.

The scope of the service

The marketing function is devolved across the Team with the Fundraising and Marketing Manager, who also manages the team, providing marketing and communications advice and support to other departments and the Hospice’s two subsidiaries. The post is responsible for developing annual marketing operational plan, setting budgets, managing all marketing and communications activities, including PR, advertising, publications, direct marketing and social media campaigns, as well as website development and maintenance. PR and design are outsourced to an external agency.

Some activities are devolved to other team members, including booking advertising, copywriting, budget monitoring, and direct mail campaigns. In addition, the post is reliant on a pool of freelancers, who provide a variety of services including copywriting, HTML design and web development.

The post also relies on a few regular volunteers as well as adhoc interns to help with press cuttings, industry/competitor research, and facebook/twitter updates. The Team Administrator also provides support with coordinating large mailings, proofreading, website updates and budget monitoring. Specific projects are often assigned to marketing interns; these would normally include specific market research projects or events analysis. Diagram 1 provides the Fundraising and Marketing Department structure.

In addition to the Fundraising and Marketing Team, some marketing activities are devolved to other departments within the organization, although fall under the general banner of marketing. As such, Volunteer Services Development Officer, who is generally responsible for volunteer recruitment and retention, produces quarterly newsletter targeted at existing 500 Hospice volunteers. On another hand, trading produce their own signage, design posters and organise events in Hospice shops.

Diagram 1: Fundraising and Marketing Department Structure

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Fundraising and Marketing Director (1 FTE) - Vacant

Team Administrator (1FTE)

Corporate Fundraiser (0.5 FTE)

Events Co-ordinator (1 FTE)

Trusts and Donor Development Officer (1 FTE)

Database Co-ordinator (0.5 FTE)

Marketing and Communications Manager (1FTE)

Managing-marketing Assignment Id 10425158

Documents

Transcript of Managing-marketing Assignment Id 10425158