2013 – 2016 Strategic Plan Conclusions

Report
Cantare Con Vivo
Strategic Plan Summary
2013-2016
For complete strategic plan, please contact the Cantare Con Vivo office at
(510) 836-0789 or [email protected]
1
2013 – 2016 Strategic Plan Conclusions
Cantare will focus on three strategic paths –
2013 – 2014
• For the balance of the fiscal year, focus on income
development and cost reduction in baseline operations
and reinvest in critical organizational infrastructure
changes
2014 – 2016
• Continue to invest in business development via a focus
on new market opportunities
• Invest in additional organizational infrastructure
changes
2
Four Priority Strategies
•
•
•
•
Financial Management
– Increase CCV annual income, earned income, and financial metrics. Also to rebalance
income across donor contributions, grants, corporate sponsorship, tuition, and
introduce planned giving and other earned income opportunities
Program Development
– Increase CCV’s exposure and presence through new and unique collaborations with
other performing arts organizations along with the introduction of new performing art
opportunities for underserved groups in the arts, i.e. seniors, multi-language and
cultural citizens
Succession Planning
– Sustain the Cantare vision and community efforts through expanded presence, internal
development of leadership resources, and a continuum for the organization’s leadership
into the future
E&O Program
– Further develop and support Cantare’s presence in the youth/education community
through enriched instruction, expansion of the existing programs and the introduction of
new value added education and performing opportunities, i.e. school assemblies, a
Young Men’s Choir
3
Methodology
•
•
•
Each team conducted numerous meetings, focus groups, and idea exchanges among
themselves and then back through the central committee where their ideas and suggestions
have been synthesized and reprioritized for recommendation to the board for adoption.
All in all, some 12-16 potential strategies have been thoroughly vetted (4-5 per group). The
Top 2-3 will be selected by the ad hoc leadership team to determine how and when these
strategies should be implemented.
The final selection of strategies recommended for approval to the board of directors is
limited to those with the most promising potential to impact the following Cantare metrics:
– Reasonably expand over 3-5 years providing for measureable and sustainable
growth
– Meet the requirements of best business practices.
– Continue to espouse the spirit and intent of the Cantare Con Vivo mission
and vision.
– Be economically feasible as well as reasonable.
4
Business Planning Strategic Assumptions
2012 – 2013
2013 – 2016 Projections and Assumptions
Operating Revenues
512K
Costs
447K
Reserves (estimated at
12.23% Annual)
22K
R:C Ratio
1:.87
Debt Ratio (based on report
no current debt)
0
Burn Rate
37.2 /
mo.
Income Partitions
•
Adult Org
•
Children’s Org
•
GA (Staff)
Not Avail
Expense Partitions
•
Adult Org.
•
Children’s Org
•
GA (Staff)
Not Avail
Marketing Driven Revenues
Not Avail
Development Driven
Revenues
Not Avail
Baseline Driven Revenue
90 to 95%
Operating Revenue
535K
(2012-13)
600K (201314)
642K (201415)
687K (201516)
Cost
544K
581k
585K
626K
Reserves (estimated
at 12.23% Annual
Project surplus
66K
73K
81K
84K
0
10K
73K
87K
R:C Ratio
.98:1
1:.97
1: .91
1:.91
Debt Ratio
None
None
None
None
Burn Rate
45.3K / Mo
48..4K/Mo.
48.8K/Mo
52K/Mo
Revenue
Adult Choir
Youth Program
Staff & G/A
Total
204K
304K
28K
535K
228K
336K
36K
600K
243K
360K
39K
642K
261K
385K
41K
687K
Expense
Adult Choir
Youth Program
Staff / GA
Total
189K
207K
158K
544K
197K
221K
163K
581K
197K
221K
167K
585K
207K
237K
192K
626K
Assumptions (1) Marketing and development resources will be funded. (2) a 7% year over year growth rate is
applied to rev. Expense are held flat through 2016 reserves are funded at a rate 12.23% of annual income.
Assumes reserve baseline 2013/14 of 65K. (3)Additional resource required are funded out of a one time
2013/14 budget reduction of 8% (approx. 44K).This budget will fund baseline and all other opportunities must
fund themselves through additional income development.
5
Seven Year Cantare Expense Summary Forecast
Total Expense
650,000
600,000
550,000
500,000
450,000
400,000
350,000
300,000
2010-11
2011-12
2012-13
2013-14
2014-15
2015-16
2016-17
Seven year expense analysis indicates 24% growth in organization
costs year one to year seven.
6
Revenue Seven Year Summary / Forecast
Total Revenue
750,000
700,000
650,000
600,000
550,000
500,000
450,000
400,000
350,000
300,000
2010-11
2011-12
2012-13
2013-14
2014-15
2015-16
2016-17
Seven year revenue analysis indicates 34% growth in
organization income from year one to year seven.
7
High Level Trend Analysis of CCV Baseline Growth Potential
Strategic Business Factors
Total Assets Avail
2012-13
2013 -14
2016-17
Total Presented
* Excluding Wong Fund
512K
535 K
687K
Adult Choirs
Not Tracked
204K
261K
Children’s Program
Not Tracked
304K
385K
General Admin
Not Tracked
28K
41K
% Growth 2013/14-16= Ave
5%
Does not include reserves
and new income.
Distribution of proposed
income by general
opportunity.
Distribution from growth
opportunity should focus on
the following:
•
Reasonable baseline
•
Corporate sponsors
•
Planned Giving
•
Focus on R:C
•
Income and expense per
member
•
Concentrated Marketing
and Development effort
% Growth 2012
Distribution of income by
general opportunity
4%
85 to 90% considered
baseline growth with the
major contributors being:
•
Children’s school
program, funding – 25%
•
Adult Tuition – 8%
•
Individual Donors – 21%
•
Ticket sales – 13%
•
Foundations – 10.6%
•
Misc Fundraising – 11%
In addition to already
estimated baseline growth
Cantare should look for
revenue growth of
approximately 7-15% through
marketing and development
for the balance of the year.
8
2013 – 2016 Cantare Strategic Applications
•
Financial Assurance & Management
– Focus on new market opportunities and revenue funding sources—in particular,
corporate sponsorship for planned performance activities, philanthropic corporate
donations, planned giving, and foundation support, etc
– Monitor cost-to-revenue business ratio to establish ample reserve funds and to
establish a set of critical success factors by which to measure progress
– Develop product marketing strategies to realize better earned income from concert
and performing event ticket sales
– Implement strategies to increase current individual donor base
– Make Cantare Board of Directors more accountable for the achievement of the
organization’s strategic business goals and objectives
•
Programing
– Initiate collaboration concerts with instrumental ensembles including orchestras
and various chamber groups
– Collaborate with various arts organizations, including dance, art, museums, etc., to
grow audience base and further develop artistic engagement
– Introduce non-auditioned adult ensembles, (one annually, targeting identified
groups of people for 8 week series)
– Commission work for CCV’s 30th anniversary in 2016-17
9
2013 – 2016 Strategic Applications
Continued
•
Succession Planning
– Hire administrative staff to assume appropriate priority tasks in need of transitioning
from the responsibility of the artistic director
– Collaborate with other choirs and guest choir directors routinely designed to broaden
the value Cantare brings to the area and enhancing the experience of the Cantare
performers
– Invite guest director(s) to host entire series (including rehearsals) with either Cantare
Chorale or Chamber Ensemble
•
E&O
– Expand administrative and teaching support staff
– Expand in-school educational class offerings with partner schools
– Provide monthly school sing-alongs and guest artist performances with partner schools
– Provide additional funding for professional development opportunities for teaching
artists
– Begin a new choral ensemble targeting young men ages 13-21, in the East Bay
10

similar documents