In 2010 the Memphis City School District merged with the neighboring Shelby County School system under the supervision of a single board of education and superintendent. It promised much more than just administrative synergies-it was an opportunity to change a culture, as well as policies and practices that had existed for decades. By 2010 Shelby County school system had about 50,000 students, approximately 55 percent white and 37 percent economically disadvantaged. The Memphis student body, which numbered around 100,000, was about 85 percent black and 87 percent economically disadvantaged. In 2010, residents from within and outside the city each contributed about 50 percent of the tax revenue for the two systems, but, based on enrollment, two-thirds of the budget was allocated to Memphis City schools. Pitt Hyde and the Hyde Family Foundation saw the merger as a once-in-a-lifetime fresh start for public education in Memphis and he was determined to do what he could to make sure the merger realized its potential. Many interests, practices and players were deeply entrenched in the Memphis schools. But Hyde and his wife had encountered like-minded reformers-educators, government officials, business people and not-for-profit leaders who were willing to put a shoulder to the wheel. Prior to the merger, the Hydes had notched some considerable successes, starting with the legislation that permitted establishment of the state's first charter schools. They had established valuable partnerships, and developed performance standards and accountability for teachers and administrators. They had helped inaugurate pay-for-performance for teachers and a teacher evaluation system based on student outcomes. Building relationships, raising the money, getting others involved were critical steps along the way. They had brought new voices into the campaign.

StriveTogether aimed to improve education outcomes by coordinating the actions of diverse community stakeholders-nonprofit service providers, school districts, government, parents, businesses and others. StriveTogether had an intense focus on collective impact-"the commitment of a group of important actors from different sectors to a common agenda for solving a specific social problem"-and the use of data to drive decision. In the case, managing director Jeff Edmondson is faced with two dilemmas: how to attract business engagement in the City Heights neighborhood of San Diego, California, and how to achieve greater results in the communities that had implemented the StriveTogether framework.

This note explores the current state of venture philanthropy in the U.S. and its future. Based on interviews with 28 practitioners in the field of philanthropy and a review of the literature since the publication of the article introducing the concept of venture philanthropy (Virtuous Capital: What Foundations Can Learn from Venture Capitalists) sixteen years ago, the note discusses the signifiant impact venture philanthropy has had on the nonprofit sector despite its small size relative to total philanthropic giving. Venture philanthropists make large, multi-year, unrestricted grants coupled with significant non-financial capacity building support and rigorous performance measurement with the goal of increasing a nonprofit's ability to serve more people more effectively. This note discusses the full set of venture philanthropy practices and their impact on grantees. It also explores what could be done to increase this type of results-driven philanthropy in the U.S. and poses questions regarding the future trajectory of the field, including venture philanthropy's role in driving societal-level scaling of impact. This note is aimed at both the philanthropic sector overall as well as venture philanthropy practitioners.

When Diane Paulus, artistic director and CEO of the American Repertory Theater (A.R.T. - also seen spelled as American Repertory Theatre) first started in 2008, she attracted media coverage around an aesthetic that aimed to give the audience more ownership over the theater experience, excited theatergoers by experimenting with new venues and received critical recognition for the breadth and range of the work she staged. Paulus also recognized the changing realities in theater, which included dropping subscription numbers and an increase in single ticket buyers. Paulus, inspired by the mission of the A.R.T. - to expand the boundaries of theater - hastened a shift in the A.R.T. business model. Her new plans included operating two unique segmented venues, creating and presenting varied content that aimed to be both challenging and popular, and driving a sales and marketing campaign focused on single ticket buyers, memberships and dynamic pricing. Early results showed some promise; the A.R.T. was closer to break-even than in previous years. However, some questioned if the A.R.T. was beginning to look like a commercial theater, focused on presenting theater that sold, rather than truly expanding boundaries. Despite the questioning, Paulus remained committed to fulfilling her vision of the A.R.T. mission in order to solidify A.R.T. as a leading and financially stable not-for-profit regional theater.

The Edna McConnell Clark Foundation, focused on building the organizational capabilities of nonprofits that served the disadvantaged youth in the United States, has recently been named an intermediary in the federal government's new social innovation fund (SIF), which is intended to bring together public-private funds to help expand effective solutions across three issue areas: economic opportunity, healthy futures, and youth development. SIF intermediaries would be responsible for directing resources to innovative community-based nonprofit organizations that were seeing results. Edna McConnell Clark Foundation had long been a promoter of evidence-based accountability and grantmaking and saw the absence of an efficient capital market in the nonprofit sector as a major impediment to funding growth, increasing scale, and building the sustainability of successful nonprofit organizations. With its Growth Capital Aggregation Pilot (GCAP), Edna McConnell Clark Foundation had seen positive results in taking a "syndicate" approach to funding a select group of nonprofits. With it being named an SIF intermediary, Edna McConnell Clark was ready to build on its GCAP experience and continue to evolve a model that would provide, at increased efficiency, growth capital for successful organizations. The foundation hoped to build a capital aggregation approach that would serve as a model for philanthropy.

This is a PELP case study. The case services as a follow-up to Meeting New Challenges at the Aldine Independent School District (A) case. Superintendent Nadine Kujawa retired in May 2007 and Wanda Bamberg, the assistant superintendent of curriculum and instruction, was chosen by the school board to succeed Kujawa. In the midst of the economic crisis, Bamberg retained Aldine's vision and basic strategy. The system remained organized in five vertical feeder systems and continued to promote district veterans principal and area superintendent positions. Students performed well on the state assessment, but new challenges emerged. A more rigorous state test, the State of Texas Assessment of Academic Readiness (STAAR), was about to be implemented and the district grappled with flat-lining college readiness scores. Bamberg had a decision to make; she could keep the district doing what had worked so well in the past or strike out in an entirely new direction.

Ren Levy took over Lincoln Center for the Performing Arts when it was a group of warring constituents and has successfully brought a diverse group of arts organizations together.

Why is it that effective business start-ups frequently grow into corporate giants, but effective new nonprofits rarely reach national scale? Because, say Harvard Business School's Kaplan and Grossman, the mechanisms and institutions that channel money and information between donors and nonprofits are underdeveloped. They don't provide reliable data on performance and don't hold organizations accountable for producing results. So inefficient nonprofits swallow up dollars that effective ones could use to serve more constituents. The good news is, that's beginning to change: A new generation of charitable foundations and intermediaries is measuring the impact of donations and targeting the highest-performing nonprofits. Taking a page from mutual funds and venture capital firms in the private sector, the new intermediaries conduct extensive due diligence on nonprofits and demand hard data on outcomes achieved. A few pioneers provide ongoing support, helping grantees develop action plans, detailed frameworks to measure impact, and strategic advice. If practices like these spread, we could soon see a social capital market that delivers real returns on donors' dollars.

Hugo Moreno, CEO of Salud Digna, was considering his growth options for the next three years. Would becoming a for-profit with access to greater capital be the best strategy or would this cause the organization to lose its social mission? Salud Digna provided diagnostic medical tests to the poor, had experienced rapid growth and was financially self-sufficient. Moreno was determined that the organization be as well managed as any company in Mexico

As a key means for improving student performance, over the past three years, the central office of Baltimore City Public Schools has steadily shifted responsibility for resource management to schools. Since 2007, when Andres Alonso became CEO, principals have gone from controlling 3% of their budgets to controlling roughly 80%. This case discusses how pushing resource management to the schools fits into a broader strategy that links a principal's autonomy to improved academic results. It delves into the rationale for the change, challenges and benefits of this strategy, and the system of supports and structures that have been developed in response to the implementation challenges.

After United Way CEO Brian Gallagher began shifting the organization's focus from old-school fundraising to community impact, Gallagher and local leaders like Elise Buik, CEO of the United Way of Greater Los Angeles, faced a series of challenges regarding how to best use United Way's resources to address the root causes of social problems.

The Bridgespan Group was launched in 2000 by management consulting group Bain & Company as a nonprofit focused on strategy consulting for nonprofits and philanthropists. Over the next eight years, Bridgespan expanded its services to include executive search, knowledge sharing, and a web-based job matching service. While its growth was welcome, Bridgespan's leaders and board wanted to strengthen Bridgespan's positive impact on the nonprofit sector as a whole.

Tennessee-based nonprofit Youth Villages had an impressive record of serving emotionally and behaviorally troubled youth and their families, with higher success rates and lower costs than most child services providers. Yet expanding to offer its services on a broader scale proved challenging.

This note presents the Nonprofit Coherence Framework. It helps nonprofit leaders identify the key elements that support an organizational strategy focused on attaining high performance, bring those elements into a coherent relationship with the strategy and each other, and help guide the actions of people throughout an organization in the pursuit of high levels of individual and organizational achievement. This note proposes that to attain high performance, a nonprofit organization must have all of its organizational elements-culture, structure, systems, resources, stakeholders, and the operating environment- working together to drive strategy.

Year Up, a nonprofit job-skills training program for low-income, urban youth has run four successful programs in four cities for the past seven years. Now, after an ambitious capital campaign, the organization is poised to grow into a national program in an attempt to reach the 4.3 million disconnected youth in the United States, but will the organization be able to maintain high-quality results as it goes to scale?

This note introduces students to the current state of the nonprofit sector around the world. It also provides insight into the sector's origin and purpose as well as the identifying important current trends. The note draws on numerous sources to provide a single resource for readers to gain understanding of this complex sector. The intended audience includes students, prospective professional leaders, those considering joining a board, consultants to the sector, or anyone wishing to learn more about the field.

Set in 2007, examines the role of the Area Instruction Officer (AIO) in Chicago Public Schools (CPS). Focuses on the leadership skills and behavior needed to successfully manage a portfolio of schools with varying capacities, needs, and challenges. Also describes the role of the district and what its current development and support systems include for AIOs. Several schools and principals are profiled in order to delve deeply into "a day in the life" of an AIO.

Mercury Corps, the world's 5th largest international relief and development agency, is at a turning point. The nonprofit's opportunities to grow and serve a larger number of beneficiaries are unprecedented. By looking at the unique relationship between headquarters and over 40 country offices, explores the question--is Mercury Corps well positioned to effectively and efficiently manage these new growth opportunities.

One of the biggest management challenges anywhere is how to improve student performance in urban public schools in the United States. There has been no shortage of proposed solutions: Find great principals and give them power; create competitive markets with charters, vouchers, and choice; establish small schools to ensure that students receive sufficient attention--the list goes on. Although these approaches have created positive changes in individual schools, they have failed to produce a single high-performing urban school system. In this article, the authors, who are members of Harvard University's Public Education Leadership Project (PELP), explain why. One reason, they say, is that educators, researchers, and policy makers see the district office, which oversees all the schools in a district, as part of the problem rather than a crucial part of the solution--and this is a mistake. The district office plays an important role in developing strategies, identifying and spreading best practices, developing leadership capabilities at all levels, building information systems to monitor student improvement, and holding people accountable for results. The authors propose a holistic framework that district leaders can use to develop an improvement strategy and build coherent organizations to implement it. The framework is based on three beliefs. First, school systems need their own management models; they cannot simply import them from the business world. Second, "the customer" is the student; therefore, urban districts need to focus on improving teaching and learning in every classroom at every school. Third, district leaders must design their organizations so that all the components--culture, systems and structures, resources, and mechanisms for managing stakeholders and the external environment--reinforce one another and support the implementation of the strategy across schools.