The Organization Of Development

Department Chair Leadership Program

November 19, 2009

The Organization of Development

university development

Mission

To engage the resources of the private sector to build and

sustain excellence at the University of Minnesota.

why we were formed

The University of Minnesota Foundation was formed to accept and manage gifts on behalf of the University and its colleges, campuses and programs.

Specifically, it:• Exists to support the University’s interests. • Secures, manages and invests private support for

the benefit of the University.• Provides private support for a portion of the

operations or programs of the University.• Uses sound fiscal and auditing procedures. • Obtains and maintains status as a tax exempt

organization.

fundraising at the U of M

UMF relationship with the University includes development oversight and services―Strategic U-wide development leadership:• Focused principal gift development.• Delivery of comprehensive development

services for U-wide Development (i.e. technology, legal, donor relations, gift administration, annual giving, communications).

• Financial subsidies to collegiate development programs.

• Endowment investment management.• Assessments across colleges/programs for

continued program support or new investment.

HISTORICALCOMPARISON

College of Biological Sciences$531,914 Carlson School of Management

$9,788,639

College of Continuing Education$131,848

TOTAL: $267 million

School of Dentistry$1,610,411

College of Food, Agricultural, and

Natural Resource Sciences$10,305,232College of Design$921,554

College of Education and Human Development

$2,618,332 Humphrey Institute of Public Affairs

$583,255

Law School$8,007,077

College of Liberal Arts$7,315,464

Medical School$71,299,503

School of Nursing$4,369,773 College of Pharmacy

$1,052,327School of Public Health

$781,206 Institute of Technology$15,018,521

College of Veterinary Medicine $5,688,709

U of M Crookston$531,594

U of M Duluth$10,256,947

U of M Morris$1,853,707

U of M Rochester$61,017

4-H$363,043

Bell Museum of Natural History

$664,305

Masonic Cancer Center$1,983,671

Center for Spirituality and Healing$250,512

Weisman Art Museum$797,517

Intercollegiate Athletics$24,327,576

Minnesota Landscape Arboretum$3,833,393

U of M Libraries$904,856

U of M Amplatz Children’s Hospital$50,000,000

48,052 alumni30,184 other individuals

4,920 organizations

Cash giftsBequestsFuture commitments

PURPOSE OF GIFTS$267 million total

ACADEMIC PROGRAMS $72 MILLION

27%


STUDENTS $35 MILLION 13%


FACILITIES $70 MILLION 26%


RESEARCH $60 MILLION 22%


FACULTY $20 MILLION 8%


STRATEGIC INITIATIVES $10 MILLION

4%

$154 $162$194

$228 $233 $239 $246$265 $267

$314 $308

$0

$50

$100

$150

$200

$250

$300

$350

1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 2008

$ M

illion

s

measures of successGrowth in Voluntary Support

National ranking among:Public & private universities 18 18 21 16 14 15 14 14 14 1617 Public universities only 6 6 9 6 4 7 5 5 4 5 6

(Source: Giving USA 2009)

(In Millions)

measures of successVoluntary Support of Education 2008: Private and Public

1. Stanford

$7852. Harvard

6513. Columbia

4954. Yale

4875. Pennsylvania

4766. UCLA

4577. Johns Hopkins

4498. Wisconsin

4109. Cornell

40910.Southern California

409

11.Indiana

$40912.New York

38813.Duke

38614.UC – San Francisco

36615.Michigan

33316.MIT

31217.Minnesota

30818.Washington

30319.UNC – Chapel Hill

29220.UC – Berkeley

285

(In Millions)

(Source: Voluntary Support of Education (VSE) Survey aka CAE, CFAE, 6/30/2009)

$785 $887 $989 $1,155$1,385 $1,359

$553$654

$772$876

$1,172 $1,155

$177$187

$204

$224

$262 $249

$0

$500

$1,000

$1,500

$2,000

$2,500

$3,000

2003 2004 2005 2006 2007 2008

Minnesota MedicalFoundation

University ofMinnesota

University ofMinnesota Foundation

Combined University Endowments (in millions)As of June 30

National ranking among:Public & private universities 25 25 25 25 24 17Public universities only 6 6 6 6 6 6

$2,819

$1,728$1,965

$2,255

$1,515

$2,763

measures of success

(Source: Voluntary Support of Education (VSE) Survey aka CAE, CFAE, 6/30/2009)

transformational giving

Largest recent gifts from individuals

• 31 of 60 largest gifts were for higher education, totaling $3.7 billion.

• Uses of these gifts: 10 to medical schools or health initiatives;

7 to institution-wide initiatives; 7 to business schools.

• 7 of the 31 had building components.

• Endowment gifts were most popular.

National Trends

transformational giving

Largest individual donors• 20 of 31 higher education gifts were from alumni.

• 90% of donors had been engaged as volunteers over a long time period.

• Cash gifts were rare. Most were a combination of cash and future gifts.

Trends

giving trends

Motivations for giving

• To leave a legacy.• To support things they care about.• To support a passion for a cause or vision.• To give back in gratitude for what his/her

University did for them.

critical success factors

A Compelling Case

• Aligns U’s vision, strengths, priorities with donors’ dreams, passions & goals.

critical success factors

A Top-Quality Development Operation

• Ability to attract, retain top professional talent.

• Effective coordination in decentralized culture.

• Strong central services.• Budget appropriate for the potential.

–Cost to raise $1 at the U of M has averaged only 9.4 cents annually for past decade.–ROI: $7-$15 raised for each $1

invested in development

relationship with college/unit

Collegiate Development Colleagues

• New employee orientation.• Monthly development meetings.• Training opportunities.• Donor consultation.• Central development services.• Rewards and recognition.

Chancellors/Deans/Directors

• Search process consultation (descriptions, search committee resources, networking).

• Financial subsidy.• Compensation consultation and

market analysis.• Performance management

consultation.• Development strategy consultation.

UMF Strategic Partnerships

DEVELOPMENT

FINANCIALMANAGEMENT

MARKETING/ COMMUNICATIONS

DATABASE MANAGEMENT

• TRANSFORMATIONAL GIVING

Define opportunities.

Identify and match key prospects.

Lead and implement strategies.

Develop high-quality proposals.

Facilitate collaboration.

DEVELOPMENT

FINANCIALMANAGEMENT


DATABASE MANAGEMENT


• COLLEGE/CAMPUS PROGRAMMING

Establish U-wide development strategy.

Provide sophisticated value-added services.

Facilitate successful development activities.

DEVELOPMENT

FINANCIALMANAGEMENT


DATABASE MANAGEMENT


• COLLEGE/CAMPUS PROGRAMMING

• CRITICAL SERVICES & INITIATIVES

Support assessment fundraising priorities and activities.

Coordinate Promise of Tomorrow scholarship efforts and match programs.

Develop ongoing sustained giving opportunities.

DEVELOPMENT

FINANCIALMANAGEMENT


DATABASE MANAGEMENT

• ENSURE SUPERIOR FINANCIAL MANAGEMENT & ADMINISTRATION

Ensure gifts are utilized effectively.

Manage financial reporting and gift counting.

Manage over 5,500 individual funds.

Ensure clean audits; manage internal controls; and, IRS compliance.

DEVELOPMENT

FINANCIALMANAGEMENT


DATABASE MANAGEMENT

• Provide communications support to develop stories and messages about the importance of private gifts.

• Hold events that create shared experiences for our donors as we engage them in the life of the University.

• Prioritize U-wide donor recognition and stewarding programs.

• Enhance Annual Giving strategies to broaden the base of support.

DEVELOPMENT

FINANCIALMANAGEMENT


DATABASE MANAGEMENT

• Support critical UMF applications.

• Design and build new applications.

• Fulfill ad-hoc requests for data (3,000+ annually).

• Support UMF office network.

• Perform DMS training; administer security.

DEVELOPMENT

FINANCIALMANAGEMENT


DATABASE MANAGEMENT

relationship with college/unit

How you can help by:

• Going on calls with CDOs and DOs, as appropriate.

• Identifying alumni and prospects with potential to support your area.

• Working with CDOs and DOs for appropriate prospect coordination.

Questions?

Documents

The Organization Of Development