Building Capacity for the Future ANNUAL REPORT 2017
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CONTENTS
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KRIS GRAVES PHOTOGRAPHY
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OUR PURPOSE
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FROM OUR LEADERS
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CEO MESSAGE
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BOARD CHAIR MESSAGE
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2017 HIGHLIGHTS
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IMPACT UPDATES
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SPOTLIGHT: REIMAGINE LEARNING FUND
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NEW PROFIT ACCELERATOR PROGRAM
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NEW PROFIT INNOVATION FUND
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LEARN TO EARN FUND
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REIMAGINE SCHOOL SYSTEMS FUND
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EARLY LEARNING FUND
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PERSONALIZED LEARNING INITIATIVE
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AMERICA FORWARD
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FIELD LEADERSHIP
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PARTNERS
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BOARD OF DIRECTORS
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DONOR ROLL
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FINANCIALS
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PORTFOLIO DIRECTORY
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IN MEMORIAM
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KRIS GRAVES PHOTOGRAPHY
This year’s annual report features photographs by Kris Graves, a photographer and publisher based in New York and London. New Profit asked Graves in 2017 to create a series of images around the theme of proximity, some of which are featured here along with images from other projects as well. Graves’ recent work includes creating portraits for Lynching in America (2017)—a multi-channel collaboration with Google and the Equal Justice Initiative that confronts the ongoing injustices stemming from slavery in the United States—and A Bleak Reality (2016), a series that documents eight sites of the murder of unarmed black men at the hands of police.
Graves’ work explores issues around representation of race and place and the passage of time in both the natural and built world. His use of lighting, his subjects, and his complex visual frames suggest a volatility beneath the familiar everyday and his images have a way of holding in the mind long after seeing them. Graves was shortlisted for the Aperture Portfolio Prize in 2017 and his work is included in the permanent collections of the Brooklyn Museum in New York and the MFA in Houston, among others. We are thrilled to share his work as part of this report. Learn more about Kris Graves at krisgraves.com.
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Our Purpose
To support entrepreneurial leaders in advancing solutions that change systems and create equity of opportunity.
What We Do SELECT AND FUND
ADVISE AND SCALE
CONNECT AND CATALYZE
We select social entrepreneurs and
We become partners and advisors,
We connect social entrepreneurs and
initiatives that have game-changing
working with leaders to build capacity and
philanthropists to leaders from other
potential and provide them with
scale their impact in a sustainable way.
sectors to catalyze progress towards
unrestricted, multi-year funding.
systemic change, which no single person, organization, or sector can achieve alone.
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Where We Are Going To transform our collective ability to solve social problems, we need to build a dynamic, efficient market for social impact. This means we need to: INFUSE MORE BUILD, LESS BUY CAPITAL
COMPETE BASED ON OUTCOMES
ADVANCE SYSTEMS ENTREPRENEURS
CAPITALIZE DIVERSE LEADERS & ORGANIZATIONS
Organizations seeking to
Organizations should be able
System entrepreneurs
The social sector—including
scale their impact—whether
to access resources based on
re-arrange how a system
funders—needs to invest all
through direct growth or
demonstrated, research-based
operates by catalyzing and
forms of capital (financial,
systems-change levers—need
effectiveness and efficiency
sustaining collaborations across
intellectual, social, political) in,
appropriately staged growth,
of their programs—their
stakeholder groups to get
and support the development
or “build” capital to establish
outcomes—rather than their
results; they need advances in
of, diverse leaders and their
and grow their capabilities, not
inputs and outputs.
awareness, tools, approaches,
organizations.
just revenue to deliver their
and aligned funding to support
programs year-in, year-out.
those efforts.
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From Our Leaders
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CEO Message
A traditional “Message from the CEO” could not fully convey this moment of reflection, transformation, and tremendous opportunity for the New Profit community.
Our 20th anniversary year is fast approaching in 2018. As we look to our next 20 years, we have a chance to dream big about the future with some of the most powerful and influential problem-solvers on earth, as you’ll see in this report. Our portfolio of grantee-partners is in the midst of unprecedented transition, with a new generation of entrepreneurial leaders from diverse backgrounds driving change across the country in their communities and stepping up to lead the way forward. I asked social entrepreneurs and other leaders from the different eras of New Profit’s evolution to send us some thoughts about this community’s unique value and critical role in shaping the future. VANESSA KIRSCH Founder and CEO NEW PROFIT
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Members of the “Idea Team” that Helped Create New Profit in 1998
AARON LIEBERMAN
TULAINE MONTGOMERY
KIM SYMAN
Co-Lead
Managing Partner and Executive Team Member
Managing Partner
NEW PROFIT’S EARLY LEARNING FUND;
Founder and Former CEO
NEW PROFIT
NEW PROFIT
JUMPSTART & ACELERO LEARNING
“We had all been hearing about venture capital
“We were all inspired by one another’s work
“What was defining for me was this idea that it’s a
in the late 1990s, and the idea of doing
and driven by pioneering energy and
social justice imperative to use
something like it in philanthropy was
a belief that it was time for some
resources more effectively to get the
exciting. It felt radical to even consider
changes in traditional philanthropy.
greatest impact possible for people who
giving out million dollar, unrestricted
I was working in an organization
are trying to solve social problems. We
gifts and strategic support to nonprof-
(Citizens Schools) at the time that
were committed to trying
its, but the incredible group of people
became the recipient of one of those
to create a dynamic market in
Vanessa brought together was fearless
early $1 million unrestricted gifts.
philanthropy that tied resources
about pushing the boundaries.”
That infusion of flexible capital,
directly to value in changing lives.”
combined with world-class strategic support, made our audacious goals of expanding our organization and reaching more students feel more attainable.”
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Social Entrepreneurs Who Have Joined the New Profit Team
WENDY KOPP
JOHN RICE
J.B. SCHRAMM
New Profit Board Member; CEO and Co-Founder
New Profit Board Member; Founder and CEO
New Profit Managing Partner
TEACH FOR ALL;
MLT
Founder and former CEO
Founder and former CEO
LEARN TO EARN FUND; COLLEGE SUMMIT
TEACH FOR AMERICA
“One of the hallmarks of my time in the New Profit
“New Profit has always been a partner that I felt was more
“New Profit seeks to break through big, seemingly immovable
portfolio was the degree to which
willing than most to buck convention,
barriers. Our work over 20 years in
the New Profit team and community
which is so important because the
education and workforce development
challenged me to always think bigger
pull of philanthropy is almost always
has led us to a point where we can see
and more strategically. While the role
towards the conventional. Without
the path to a future of opportunity for
I’m playing now in supporting New
our community, who will be there to
people struggling to build sustainable
Profit’s leadership team and new social
change the game in terms of advancing
livelihoods. Having the opportunity
entrepreneurs is different, it feels like
diverse leaders and building capacity
to work alongside great social
the formula is similar. We must think
for innovation and systemic impact?
entrepreneurs, America's biggest
bigger and more strategically than ever
That’s a question we should consistent-
employers, and our whole community
because we have more strength, more
ly ask ourselves as we move forward
to pave that path is incredibly exciting.”
learning, more resources, and face
together.”
more staggering challenges than ever. Boldness is always at the root of big change.”
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New Leaders in Our Portfolio and Community
LAURA WEIDMAN POWERS
ZORAN POPOVIC
PHYLLIS LOCKETT
Co-Founder and CEO
Chief Scientist and Founder
CEO
CODE2040
ENLEARN
LEAP INNOVATIONS
“There are a small handful of foundations
“Being part of the New Profit community has been
"Having access to New Profit’s leadership and being embraced by
and investors that I have worked with
a catalytic experience for Enlearn.
their community of change agents
that really see their role holistically as an
We are a young organization and the
has been critical as we take LEAP
investment in our success, rather than
advisory support we received from
Innovations to the next level. We have
just writing a check. New Profit’s menu
New Profit and Deloitte on our growth
a big vision – to completely transform
of support is comprehensive and it really
strategy helped sharpen our focus and
education and provide each student
helps to have both a place to go where
change our direction. Now, New Profit
with a personalized learning experience
people are so willing to engage on a
is offering valuable support for our exe-
that transcends the classroom. By
wide range of leadership issues, as well
cution of the strategy by connecting us
asking the hard questions and providing
as a cohort of other entrepreneurs who
with peer-to-peer and partner support
invaluable strategic insights, New Profit
are facing the same challenges.”
across their amazing network.”
is helping us see how to build our organization into one that will change the world."
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Board Chair Message
Buddhist philosopher Matthieu Ricard once said, “we are the fruits of our past and we are the architects of our future.”
to scale impact, has given us valuable knowledge about the intersection of direct impact and systems change. And the simple act of creating space for community building among social entrepreneurs at New Profit’s annual Gathering of Leaders has been catalytic, leading to new ideas, new philanthropic partnerships, and new partnerships. New Profit continues to be a vibrant hub of collaboration for social innovation. As we architect the future, we must contemplate a hard
Ricard’s words have special, inspirational meaning for New Profit right now. With our 20th Anniversary approaching in 2018, we owe ourselves a moment to reflect on the fruits of our long-term work together: from being early backers of breakthrough social entrepreneurs and organizations like Teach For America, KIPP, First Place for Youth, and Health Leads, to evolving as a systems change organization as we created and drove innovative, cross-sector initiatives like America Forward in policy advocacy and the Pathways
truth: the real momentum we’ve been a key part of creating is not yet self-sustaining, particularly in the challenging political and policy environment. As individuals, and as a community, we have to ask ourselves, “What more can we do?” One framework for answering that question is systems entrepreneurship, which I have written about often over the last two years. The term refers to a way of thinking and
Fund in the college access field.
acting that invites all people involved in social impact
Our commitment to providing capacity building grants to
professionals, to consider how they can come together more
organizations, while also working hand in hand with leaders
work, from donors to social entrepreneurs and nonprofit effectively to drive impact. As New Profit’s Founder and CEO
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Vanessa Kirsch said in an article I published in the Chronicle
founded College Summit and is leading our Learn to Earn
of Philanthropy, systems entrepreneurship is about going
Fund, which is working with social sector organizations and
beyond “single-point solutions” and pulling other levers,
America’s largest employers to connect millions of young
including policy, communications, and partnerships
people to skills and career opportunities. And we have new
simultaneously to change “the whole system.”
institutional collaborations focused on systems change with the Bill & Melinda Gates Foundation, the Chan Zuckerberg
We have many examples at New Profit of this type of
Initiative, the Lumina Foundation, the George Lucas Family
leadership. Two visionary social entrepreneurs on our board,
Foundation, Walmart Foundation, the Peter and Elizabeth C.
Wendy Kopp of Teach For All and John Rice of MLT, are
Tower Foundation, and others.
helping shape our long-term vision and our work on diversity, equity, and inclusion (while still running
Perhaps most importantly, we have a new wave of diverse,
transformative organizations). Our board colleagues Steve
dynamic social entrepreneurs and other leaders joining our
Jennings and Mike Canning, both senior leaders at Deloitte,
community as a next generation of path-breakers, much like
are helping us think bigger about how our collaboration with
Wendy and John were earlier in New Profit’s evolution (and
one of the world’s leading companies could drive systemic
still are today).
impact. I’m continually amazed by how these leaders intuitively We also have generous donor-partners including Roch
move as systems entrepreneurs and I’m incredibly optimistic
Hillenbrand and Art Reimers who, after successful careers
about our future as a community, and a country, as a result.
at Goldman Sachs, are now deeply engaged in New Profit’s work as advisors to our leadership team, our portfolio
Without the backing of our network of visionary donors and
organizations, and our focus funds. Among staff, we
partners, none of this progress would have been possible.
have former social entrepreneurs like J.B. Schramm, who
I look forward to deepening our partnership with you.
Thank you.
Jeff Walker, Board Chair
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2017 Highlights
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2017 Highlights
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Catalyzing the Nascent Personalized Learning Field
NEW SOCIAL ENTREPRENEURS AND ORGANIZATIONS
New Profit launched a new Personalized Learning Initiative
joined our grantee portfolio
with a first-time collaborative grant from the Bill & Melinda Gates Foundation and the Chan Zuckerberg Initiative. The initiative is supporting seven emerging organizations
20 INTIMATE CONVENINGS HELD TO BRING TOGETHER
our community of social entrepreneurs, philanthropists, policy-influencers, and other changemakers
284 LEADERS FROM ACROSS SECTORS ATTENDED
the 2017 Gathering of Leaders (112 were first-time participants)
that have created promising new approaches to giving students more agency in their own learning journey and teachers more tools to tailor classroom instruction to the unique needs of each student.
Advancing and Capitalizing Diverse Leaders New Profit launched two new programs - the Proximity Accelerator and Unlocked Futures - to support visionary social entrepreneurs and other leaders from underrepresented communities. The Proximity Accelerator will help to advance the work of eight social entrepreneurs of color working to transform education. Unlocked Futures, which we launched in collaboration with John Legend’s FREEAMERICA and Bank of America, will provide capacity building support and funding
4 STARS AWARDED
to us by Charity Navigator
to formerly incarcerated individuals operating mission-driven organizations.
Deepening Our Own Leadership Bench Tulaine Montgomery, a longtime member of the New Profit community who previously lead the Pathways Fund
4.4 MILLION LIVES TOUCHED
by organizations in our portfolio (2016)
(2011-2016), joined our Executive Team. Marco Davis, the former Deputy Director of the White House Initiative on Educational Excellence for Hispanics who joined New Profit in 2016, took on an expanded role coordinating the organization’s efforts to advance diversity, equity, and inclusion internally and externally in our community.
Read on to see more 2017 highlights and impact updates from across New Profit.
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Impact Updates
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Impact Updates
New Profit’s Focus Funds, Accelerators, and initiatives are vehicles for ambitious experimentation and risktaking with emerging organizations and collaboratives.
• Spotlight: Reimagine Learning Fund Creating learning environments that support the diverse needs of all learners (See page 20 for more information)
• Accelerators Supporting problem-solvers from underrepresented communities (See page 26 for more information)
• New Profit Innovation Fund A learning lab for identifying and catalyzing social impact organizations in America (See page 28 for more information)
We bring together a diverse set of social entrepreneurs, philanthropists and institutional donors, researchers, policy experts, and other cross-sector partners for intensive collaboration aimed at catalyzing new approaches and nascent fields.
• Learn to Earn Fund Supporting the development of 10 million more career-ready Americans by 2025 (See page 30 for more information)
• Reimagine School Systems Fund Increasing the number of high-quality schools serving low-income students (See page 32 for more information)
• Early Learning Fund Increasing the number of children entering kindergarten ready to learn (See page 34 for more information)
• Personalized Learning Initiative Supporting new and emerging models in the personalized learning field (See page 36 for more information)
• America Forward Uniting social entrepreneurs with policymakers to advance public policy solutions (See page 38 for more information)
• Field Leadership Finding innovative approaches to power up the social sector (See page 40 for more information)
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“It’s increasingly clear that the large, complex problems of the 21st century demand systemic, collaborative approaches.” - JEFF WALKER
New Profit Board Chair
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Spotlight: Reimagine Learning Fund
Reimagine Learning emerged from the realization by New Profit’s CEO, Vanessa Kirsch, that her daughter, Mirabelle—like herself, dyslexic—was having the same challenges in school that Vanessa had experienced decades prior.
dedicated to evolving school systems to support the success of students with learning differences and those groups of students who have been systematically underserved by schools to date. Across the nation, there is a rising tide of momentum to reimagine how we approach teaching and learning inside and outside of the classroom. New Profit’s Reimagine Learning Fund has been at the center of this movement to ensure that this wave of education reform supports the success of students who have been most underserved by our current education system because of how they learn, their socio-economic status, their English language skills,
Despite significant strides in education reform, students with
and more.
learning differences (LD) continued to be marginalized in the reform discussions and their experience of school had largely
Reimagine Learning represents a robust manifestation of
not improved.
New Profit’s strategy to build on our traditional model of investing in great social entrepreneurs by creating powerful,
In Fall 2012, Reimagine Learning was launched as a five-year
cross-sector change networks that, together, drive toward
initiative, fueled by a collaborative comprised of funders
systems change.
SHARED VISION FOR TRANSFORMING LEARNING
Reimagine Learning’s work is oriented around a high-level vision and three core beliefs that were defined by our community of funders and practitioners as essential elements of a system that is fundamentally redesigned to support the diverse needs of all learners:
One day, all students - including those with more complex needs and challenges who lack the family resources and extra supports to address them - will be in learning environments with the capacity to adapt to meet their diverse needs and capitalize on their diverse strengths. •
LEARNER DIVERSITY
Learning environments should be personalized to meet the different talents and needs of every learner. •
HOLISTIC DEVELOPMENT
Teaching and learning environments should equally support the development of cognitive, social, and emotional skills. •
STUDENT AGENCY & VOICE
Students should be engaged with and in control of their own learning, harnessing and strengthening their own voice.
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Spotlight: Reimagine Learning Fund
The Reimagine Learning Network One of the core innovations of Reimagine Learning was building a cross-sector network that could bridge the divide between formerly siloed sectors of the education reform movement to ensure that the needs of the most vulnerable students are presented in practice and policy debates and that effective approaches to meeting the diverse needs of subgroups of students are scaled to benefit all students.
SOCIAL ENTREPRENEURS
We invested in 20 social entrepreneur-led organizations offering solutions with the potential to redesign school to meet the diverse needs of all learners.
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Spotlight: Reimagine Learning Fund
NEW PROFIT LEADERSHIP
JODY CORNISH Managing Partner
SHRUTI SEHRA Managing Partner
VISIONARY FUNDERS
Reimagine Learning brought together a set of committed funding partners who pooled their knowledge and aggregated $35M in capital to support the work of the fund. lead funder
key funders
VISIONARY PARTNERS
We have collaborated with a diverse set of organizations and advisors who have informed and supported our work.
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Spotlight: Reimagine Learning Fund
Our Work And Impact Over our first five years, Reimagine Learning focused our work in four core areas.
GRANTMAKING & CAPACITY BUILDING
We provided funding and capacity building support to high-potential nonprofits to enable them to better serve students with more complex needs and challenges, scale their innovations, and enhance organizational sustainability. KEY OUTCOMES:
• Invested $14.8M in nine portfolio grantee organizations and 11 incubation grantee organizations. • Leveraged $9M in pro bono support for grantee organizations from Deloitte and Vantage Partners, along with advisory support from more than 60 members of the Reimagine Learning network. • Our grantee organizations now serve more than four million students nationwide and all have made tangible programmatic changes to better meet the needs of diverse learners from low-income families.
POLICY ADVOCACY
Through New Profit’s nonpartisan policy arm, America Forward, we led federal and state policy advocacy initiatives focused on supporting the success of our target student population. KEY OUTCOMES:
• Engaged a 35-organization Reimagine Learning Policy Working Group and 50-organization Education Task Force to articulate a powerful K-12 education policy platform, which they leveraged to shape key language in the Every Student Succeeds Act (ESSA). • Partnered with the Council of Chief State School Officers’ Innovation Lab Network to launch a working group of seven state school officers focused on articulating what is needed to effectively implement personalized learning with equity in their states and to identify lessons for the field. • Brought together our grantee partners in Washington, D.C. for two days in September 2017 to build their policy advocacy skills and their capacity to engage in implementation of ESSA at the state and local level, to tell their impact stories to policy-making audiences, and to defend federal funding priorities relevant to Reimagine Learning’s policy platform.
“More now than ever I’m grateful to be part of a community working together to support children who will be inheriting our country and its future, in addition to helping them make sense of the world today. Reimagine Learning has pushed us all to ask ourselves if we’re doing enough to support ALL kids. With equity at the forefront of our minds, Reimagine Learning has been an ideal space to challenge our organizations to be leaders as we pave the way forward.” - ELLEN MOIR
Founder and Chief Executive Officer, NEW TEACHER CENTER
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Spotlight: Reimagine Learning Fund
NETWORK ENGAGEMENT
Reimagine Learning has grown from a founding group of 30 nonprofit leaders and education funders into a diverse, cross-sector network of more than 600 individuals representing over 150 organizations. KEY OUTCOMES:
• Gathered members of the network at 14 cross-sector convenings to build relationships and connections, share knowledge and best practices, and explore opportunities for collaboration. • Over 300 formal partnerships are underway between Reimagine Learning network organizations, with over 30% of member organizations surveyed having reported the emergence of powerful collaborations with other organizations in the network. • In February 2017, we launched a youth initiative—Awakening the Mind—that engaged 17 young people from YouthBuild USA’s Young Leaders Council who had sought alternative education pathways. We supported this group in a learning journey that empowered them to articulate a shared vision for a future of school that would meet their needs and aspirations. The group captured their vision in a video that has been shared to influence the national conversation about school reform and redesign.
REGIONAL INITIATIVES
Change ultimately must happen on the ground in the more than 14,000 school districts across the U.S., which is why Reimagine Learning set out to understand how to create the conditions for in-district leaders and multiple nonprofit innovators to support and accelerate school change efforts. We were privileged to have the opportunity to partner with the leadership of two school districts in Massachusetts to support their ambitious change agendas. KEY OUTCOMES:
• Salem Public Schools: In 2017, Reimagine Learning concluded a year-long planning process in partnership with Superintendent Margarita Ruiz to create a community developed and owned vision for the future of education in Salem, Massachusetts. The plan is oriented around the community’s vision and aspiration to make Salem a district that has the capacity to meet the diverse needs of all learners. The District Leadership Team identified six areas of focus and produced detailed plans of action that will be executed in the coming years to bring that vision to life. • Lawrence Public Schools: Reimagine Learning partnered with Lawrence Public Schools Superintendent Jeff Riley to codify the Acceleration Academies, a powerful learning intervention that has driven dramatic gains for students in the district. In 2017, we launched a multi-media website—The Golden Ticket—that shares the lessons learned from the Academies for policymakers, district and school leaders, and practitioners and seeks to support replication of this intervention.
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Spotlight: Reimagine Learning Fund
Looking Ahead to 2018 and Beyond In 2018, we will build on our momentum to transform learning to meet the needs of underserved students with a targeted set of initiatives specifically focused on innovations and entrepreneurs that support students with learning differences. With generous, ongoing support from the Peter and Elizabeth C. Tower Foundation, we will build on our work in Salem and Lawrence school districts to deepen our engagement in Essex County and will provide a set of targeted incubation grants and strategic supports to social innovators pushing the envelope to better support students with learning differences. In 2018 and beyond, New Profit will deepen our commitment to ensuring the education system has the capacity to meet the needs of all students, including the most vulnerable. Toward that end, we are in active dialogue with partners around a number of key areas of work, including: INVESTMENT IN BREAKTHROUGH INNOVATION COHORTS
Bring innovators together around key “problems of practice� (e.g., social and emotional learning, educator professional development, optimizing personalized learning) to create learning communities that will accelerate individual organization growth and build field-wide understanding of best practices. DRIVING A TARGETED SET OF WORK SPECIFICALLY FOCUSED ON STUDENTS WITH LEARNING DIFFERENCES
Going beyond the planned 2018 work, provide larger multi-year investments in organizations with practices proven to support the success of students with LD to help them scale and continue to support a cross-sector learning community specifically focused on transforming schools to support these students. INVESTING IN EDUCATORS AS SOCIAL INNOVATORS
Provide targeted change capital to district leaders and systems who have a powerful vision for evolving their districts and have the potential to be powerful change leaders shaping the national dialogue about the future of learning. SUPPORTING YOUTH LEADERSHIP AND MOBILIZATION
Invest in a set of powerful youth initiatives that support youth voice in the national dialogue about the future of learning, empower young people to design solutions that evolve schools in ways that will best meet their needs, and support young people to build skills as change leaders to drive improvement and change in their schools.
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New Profit Accelerator Program Supporting problem-solvers from underrepresented communities
Overview
LEADERSHIP
New Profit has been working with social entrepreneurs across multiple issue areas for two decades. Our experiences have taught us that we cannot achieve our mission without improving our ability to both recognize and leverage the expertise and assets of diverse leaders who reflect the full breadth of the American populace. New TULAINE MONTGOMERY
MARCO DAVIS
Managing Partner, Executive Team Member
Partner
Profit’s Accelerator Program was established to support problem-solvers from underrepresented communities and to identify and address the barriers entrepreneurs from diverse backgrounds face when building their solutions into sustainable institutions
GRANTEES
and networks. THE WOMEN’S ACCELERATOR For visionary female social entrepreneurs (2017 cohort below)
Participants in our three active accelerators receive
Braven
Neighborhood Trust Financial Partners
an unrestricted grant of $50,000, cohort-based
Code2040
SIRUM
learning sessions on topics such as leadership and
Found in Translation
The New American Leaders Project
organizational development, regular consultations
LaborX
The Workers Lab
with New Profit partners with expertise in nonprofit capacity building, and access to New Profit’s larger
THE PROXIMITY ACCELERATOR
learning community of social entrepreneurs and
For innovative social entrepreneurs of color (2017 cohort below)
other changemakers through events like Accelerator
Abriendo Puertas/Opening Doors Mothers for Justice and Equality
convenings and the Gathering of Leaders.
Camelback Ventures
RISE Colorado
FaithActs for Education
Surge Institute
GO Public Schools
The Black Teacher Collaborative
THE UNLOCKED FUTURES ACCELERATOR For social entrepreneurs who have been directly impacted by the
DONORS
criminal justice system. Clean Decisions
Mission: Launch, Inc.
Detroit Justice Center
Obodo
Flikshop
Prison Scholar Fund
The Ladies of Hope Ministries
Reentry Campus Program
(The LOHM)
Anonymous Bank of America Charitable Foundation Bill & Melinda Gates Foundation Chan Zuckerberg Initiative DAF, Silicon Valley Community Foundation George Lucas Family Foundation
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2017 Highlights For the first time, we brought together the social entrepreneurs from the Women’s and Proximity Accelerators to build community at the 2017 Gathering of Leaders. Social entrepreneurs valued the opportunity to forge new relationships with peers, make promising connections with funders, and learn from and speak with thought leaders in the social sector. Earlier in 2017, we announced the Unlocked Futures Accelerator at the Town and Country Philanthropy Summit. Unlocked Futures represents a strategic partnership between New Profit, Bank of America, and FREEAMERICA, a multi-year culture campaign initiated by John Legend to change the national conversation about our country’s misguided policies and transform America’s criminal justice system.
2018 Priorities In 2018, we will select a new cohort of social entrepreneurs in each of the three accelerators, engaging a total of 24 exceptional leaders. We will continue to build community across the three initiatives, as well as engage in public outreach to raise awareness of the entrepreneurs and issues they are confronting.
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New Profit Innovation Fund A learning lab for identifying and catalyzing social impact organizations in America
LEADERSHIP
Overview The New Profit Innovation Fund (NPIF) is our learning lab for identifying and catalyzing transformative social impact organizations in America. The longest running of our funds, NPIF provides growth capital and capacity building support to help social entrepreneurs scale the impact of their organizations in pursuit of systems change. NPIF also houses New Profit’s Portfolio Performance
KELLY CUTLER Partner GRANTEES Educators 4 Excellence Enlearn Family Independence Initiative First Place for Youth FoodCorps Health Leads Leading Educators LEAP Innovations Management Leadership for Tomorrow Roca Third Sector Capital Partners UnboundEd
DONORS Bill & Melinda Gates Foundation Howard P. Colhoun Family Foundation Matt Levin, Bain Capital Henry and Allison McCance M K Reichert Sternlicht Foundation Ronald Schrager and Wendy Hart Peter Swift and Diana McCargo Jean and Rick Witmer
and Support team, which leads our portfolio-wide monitoring and evaluation, investment selection, and knowledge management and dissemination efforts.
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2017 Highlights
2018 Priorities
Drove investment selection and incubation of New Profit’s
Expand the webinar program to cover additional
Personalized Learning Initiative and Accelerator Program,
organizational development topics of value to the grantee
yielding 24 new grantee partnerships in 2017.
portfolio.
Collaborated with Deloitte to provide high value strategic
Advance the online resource library to cover additional
support to organizations in the grantee portfolio, including
organizational development topics and advance the
Educators for Excellence, Enlearn, Eye to Eye, FoodCorps,
accessibility and design for improved experience and
Match Education, and Third Sector Capital Partners.
collaboration with participating organizations.
Launched a webinar program to share New Profit’s
Explore opportunities to incubate new New Profit
insights on a variety of strategic challenges facing social
initiatives, including one focused on strengthening
entrepreneurs and nonprofit organizations, including
democracy in America and another focused on scaling
board development, securing growth capital, monitoring
cutting-edge health innovations.
and evaluation, and policy change. Launch a New York Advisory board to expand New Began a large-scale review and refresh of New Profit’s organizational development diagnostic framework with a focus on integrating diversity, equity, and inclusion into all internal and external measurement efforts. Began piloting an online resource library with key theories and tools on organizational development that organizations are leveraging to advance their work. Also completed a study on CEO Succession to help organizations to build sustainable leadership practices into their organizations.
Profit’s network.
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Learn to Earn Fund Supporting the development of 10 million more career-ready Americans by 2025
Overview
LEADERSHIP
The Learn to Earn Fund aims to support and accelerate the development of 10 million more career-ready Americans by 2025. To do this, the Fund works to scale postsecondary and career solutions with proven impact for low-income and underrepresented students in order to: 1) prove that effective low-income student interventions can be scaled and sustained, 2) discredit the excuses given J.B. SCHRAMM Managing Partner GRANTEES Match Beyond
PARTNERS
KEVIN GREER Partner
for the career-readiness gap, and 3) demonstrate effective strategies for next-generation innovators. The Learn to Earn Fund: Creates new solutions that help more Americans develop Power Skills, develop a sustainable market for Power Skills innovation, and increase awareness
Data Quality Campaign
of the importance of Power Skills to the future
GreatSchools
workforce.
DONORS
Elevates alternative college pathways that include three components: intensive support, streamlined
Bloomberg Philanthropies
online postsecondary program, and renewable public
Michael & Susan Dell Foundation
funding covering costs.
ECMC Foundation Paul and Sandy Edgerley, Bain Capital Bill & Melinda Gates Foundation
Builds a productive and engaged cross-sector
Lumina Foundation
network, surfaces and execute high-potential
Henry and Allison McCance
collaborations to address field barriers and shares
PayPal Credit
insights that advance the field.
Jeffrey Shames Siegel Family Endowment Spencer Foundation Stupski Foundation The Boston Foundation The Hassenfeld Foundation The Hirsch Family Foundation The Joyce Foundation The Kresge Foundation Travelers Foundation Walmart Walmart Foundation Ted and Lisa Williams
ANNUAL REPORT 2017
2017 Highlights
2018 Priorities
Learning Lab Workshops
Launch the Power Skills XPRIZE.
I
NEW PROFIT
In partnership with Great!Schools and Data Quality Campaign, designed and launched the College Success
Convene a community of leaders in the College Access &
Award, an investment meant to celebrate high schools
Success field to identify, design, develop, and launch one
doing a great job of launching students from low-
to two transformative initiatives aimed at systems change
income communities to postsecondary success, while
in the field.
simultaneously building demand in local communities for greater availability and accessibility of college enrollment data. Financial Security With the support of the Bill & Melinda Gates Foundation, engaged 100+ field leaders in a listening tour and landscape analysis to identify opportunities for disrupting the dropout cycle in higher education and opportunities for strengthening postsecondary student financial security. Power Skills XPRIZE With support from The Joyce Foundation, Walmart Foundation, Lumina Foundation, and ECMC Foundation, engaged 100+ field leaders in the design of a global prize contest to create technologies that develop Power Skills in entry-level employees. Cultural Competency in Higher Education With support from the Bill & Melinda Gates Foundation, Learn to Earn completed a field analysis of the postsecondary financial security market and incubated the Student POV (“Point of View�) Challenge, a promising initiative that aims to help higher education faculty and administrators build cultural competency around the experiences of their students from under-resourced backgrounds.
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Reimagine School Systems Fund Increasing the number of high-quality schools serving low-income students
Overview
LEADERSHIP
The goal of the Reimagine School Systems (RSS) Fund is to significantly and rapidly increase the number of high-quality schools (charter and district schools) serving low-income students by funding, advising, and building powerful individual organizations and practitioner networks on both the demand and supply side of systems change. ALEX CORTEZ Managing Partner
MARCO DAVIS Partner
There is ‘latent demand’ for great schools in all communities. All communities care equally about the education of their children. But caring is not the same as power. The RSS Fund aims to build the capacity of organizations to inform and organize parents so they can exercise their power across a range of strategies (see graphic on facing page) to drive change, turning ‘latent demand’ into ‘actionable demand.’ Where ‘actionable demand’ creates the political
YORDANOS EYOEL Associate Partner
and policy conditions for change, the RSS Fund will complement this by supporting the growth of the ‘supply’ of hiqh-quality schools. RSS accomplishes
GRANTEES
this through supporting whole school models, schools developing models for sharing their best
Innovate Public Schools
Education Cities
Match Education
New Politics Leadership Academy
practices as open education resources, and schools
Educators for Excellence
Polis
looking to build their capacity to partner with
GO Public Schools
parents to enable ‘supply’ and ‘actionable demand’ to work hand in hand.
DONORS Anonymous (2)
Edward and Barbara Shapiro
Rick and Nonnie Burnes
Brian and Stephanie Spector
Carnegie Corporation of New York
The Reeder Foundation
Charles and Rebecca Ledley
The Show Me Campaign
Henry and Allison McCance
Walton Family Foundation
Kristin and Stephen Mugford
Ted and Lisa Williams
Arthur and Toni Rembe Rock
Jean and Rick Witmer
ANNUAL REPORT 2017
On school/student performance
INFORM Strategies to equip parents with accurate, accessible information
As individuals supporting children
ORGANIZE Strategies enable parents to develop and exercise power and decision-making
As an organized community
NEW PROFIT
EMPOWERED TO ACT
1
Empowered as parent educators (in or out of school)
2
Voting with their choice (between and within schools)
3
Voting with their voice
4
Voting with their vote
On education policies and politics On practices to support learning
I
Strategies by empowered parents to improve education for their children, their schools, and/or their school system (employed separately or in tandem)
As leaders of their community
Data systems and operations infrastructure that enables effective parent organizing and action * We recognize this work is not necessarily linear
2017 Highlights
2018 Priorities
Publishing a Call to Action on Parent Empowerment
Provide multi-year growth capital and deep advisory
In May, Alex Cortez and Yordanos Eyoel published the
support to our selected social entrepreneurs and their
essay: “If You Want Great Schools, First Work With
organizations to significantly scale their impact – both
Parents to Create ‘Actionable Demand” in The 74
through direct growth and indirect capacity-building of
(www.74million.org), a high-profile nonprofit, non-
others in the sector.
partisan news site covering education in America. Execute on the RSS practitioner networks of learning and Creating a Pipeline to Public Office for Local Parent
action on parent empowerment.
Leaders In May, RSS funded a collaboration between New Politics
Raise field-building fund to support locally rooted schools
Leadership Academy and RISE Colorado to conduct a
and community nonprofits to receive training by national
leadership seminar for 20 parent and student leaders from
leaders in parent organizing to expand promising models
educationally underserved communities in Aurora, CO to
of practice across the country.
explore pursuing public office – elected and appointed. Practitioner Network of Learning and Action on Parent Empowerment Funded by the Carnegie Corporation of New York and the Walton Family Foundation, RSS launched a collaboration with 18 practitioners working across a broad range of parent empowerment strategies to create a common language and set of tools for how to measure and manage from inputs, to outputs and outcomes in the parent empowerment space.
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Early Learning Fund Increasing the number of children entering kindergarten ready to learn
of a strong start, have created a dynamic opportunity
LEADERSHIP
for transformative change in the early learning field. The EL Fund is focused on the significant gap between the extraordinary surge of research-informed innovation in the field of early learning and the dearth of models, leaders, and platforms needed to translate those innovative solutions into widespread practice. To bridge that gap, the EL Fund seeks to both increase the number of children entering kindergarten ready to learn and create a healthy, vibrant, functioning early learning ecosystem that fosters innovation AARON LIEBERMAN Co-Lead
SHRUTI SEHRA Managing Partner
and scaling of effective practices. EL Fund has done this by:
GRANTEES Acelero Learning
• Investing in a set of breakthrough organizations that span the fund’s core focus areas: parent and family
LIFT
engagement, high quality pre-K, and technology.
Jumpstart
These investments include a mix of organizations
New Teacher Center
that are established as well as a set of emerging
Institute for Early Education Leadership and Innovation at UMass Boston (incubation) Early Learning Lab (incubation) Learning Landscapes (incubation)
DONORS Heising-Simons Foundation The Max M. and Marjorie S. Fisher Foundation
organizations. • Launching a collective advocacy and policy capacity building strategy in partnership with America Forward, in response to significant demand from the fund’s community following the November election and in light of key congressional opportunities for early learning in the 115th Congress.
The LEGO Foundation The David & Lucile Packard Foundation
Going forward, the EL Fund will do this by: • Establishing the Early Childhood Support Organization (ECSO) Initiative, a public-private partnership that
Overview
provides resources and aligns financial incentives to support better outcomes for children from low-income communities who are enrolled in center-based Head
New Profit’s Early Learning (EL) Fund seeks a world where all
Start and subsidized childcare programs. ECSOs will
children have a start in their earliest years of life that sets them on
serve as intermediary organizations that partner with
a course to fulfill their potential. Nearly two million children from
local center-based early childhood providers to help
low-income families arrive in kindergarten every year already
them implement the ECSO’s articulated program
significantly behind their more affluent peers—in their health
model, covering all the new areas we know are
status, education, and social skills.
essential for long-term impact.
Extraordinary advances in neurobiology and behavioral science, together with increasing public recognition of the importance
ANNUAL REPORT 2017
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2017 Highlights
2018 Priorities
The EL Fund made investments in a set of organizations
The EL Fund team will work closely with current
that span our three strategic focus areas: high quality
investment organizations to support their growth.
pre-K, parent and family engagement, and technology. The EL Fund’s portfolio includes signature investments in
We aim to launch the ECSO Initiative, supporting a cohort
organizations that have already achieved significant scale,
of high-quality early learning providers who will work
such as New Teacher Center, Jumpstart, LIFT, and Acelero
with local preschool programs to implement evidence-
Learning, as well as incubation investments in younger
based curricula and supports.
organizations that are developing new approaches to accelerate impact, such as the Institute for Early Education
Driven by critical priorities identified by the Early Learning
Leadership and Innovation at UMass Boston, Early
Policy Work Group, we will engage key Congressional
Learning Lab, and Learning Landscapes.
staffers and members on budget and legislative priorities and launch a targeted field engagement strategy in
Aaron Lieberman, the co-founder and former CEO of New Profit portfolio organizations Jumpstart (past) and Acelero Learning (current), has joined the EL Fund team to lead the exploration of a new effort, the Early Childhood Support Organization (ECSO) Initiative. Despite the tremendous potential impact of high quality early education, nearly one million children languish in low-performing programs. Many early childhood education (ECE) programs are limited by the fact that there is no clear model to drive impact; most ECE administrators design their own programmatic approach and the market for commercial products is limited. The ECSO Initiative is designed to align incentives and provide the resources and supports needed to increase the quality of early learning programs and improve child outcomes. In partnership with the EL Fund, America Forward, New Profit’s nonpartisan policy advocacy arm, is leading a collective advocacy strategy to advance early learning policy. This summer, America Forward launched an Early Learning Policy Work Group to draft and champion a key set of policy priorities.
support of this work.
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Personalized Learning Initiative Supporting new and emerging models in the personalized learning field
LEADERSHIP
Overview New Profit’s Personalized Learning Initiative, which launched in 2017, is an effort to invest in promising new approaches and technologies that can give students more agency in their own learning journey and provide teachers with tools to tailor classroom instruction to the unique needs of each student. The initiative will support a variety of new and
TREVOR BROWN Partner GRANTEES Highlander Institute
emerging models rising in the nascent personalized learning field, including on-the-ground school models implementing a personalized learning curriculum in classrooms; tools and platforms for teachers, parents, and students to adopt for more
imBlaze (Big Picture Learning)
individualized supports; technical assistance that
iNACOL
provides deep implementation support for schools
PowerMyLearning
and districts; policy and advocacy efforts for best
The Learning Accelerator
practices in personalized learning; and knowledge
Transcend Valor Collegiate Academies
DONORS Bill & Melinda Gates Foundation Chan Zuckerberg Initiative DAF, Silicon Valley Community Foundation
dissemination and network connections.
ANNUAL REPORT 2017
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2017 Highlights
2018 Priorities
To support investment selection and fund strategy
The seven organizations will be kickstarting a Learning
efforts, we identified, invited, and convened an Advisory
Community to share insights across different models
Committee: Steve Arnold, Founding Partner Emeritus,
and practices and partner to accelerate the overall
Polaris Partners; Colin Gillespie, former President, LEGO
development of the field. Current New Profit grantee-
Education, North America; Steve Mugford, Executive
partners in personalized learning, such as LEAP
Vice President, Head of Strategy, Capital One; Yutaka
Innovations (led by Phyllis Lockett), New Classrooms
Tamura, Founder and Senior Advisor, Excel Academy; and
(led by Joel Rose), and Enlearn (led by Zoran Popovic),
Rick Witmer, Partner, Investment Management, Brown
will join the Learning Community to provide insight and
Brothers Harriman.
engage with the leaders of the new grantee-partner organizations.
The initiative was launched and garnered coverage in influential media outlets including the Chronicle of Philanthropy, Education Week, EdSurge, BizWomen, and others. Helayne Jones, a visionary leader in the personalized learning field who formerly led related initiatives at the Bill & Melinda Gates Foundation, joined New Profit as a Senior Advisor with particular focus on supporting the Personalized Learning Initiative. iNACOL became the first organization in the cohort to enter a strategic planning collaboration with New Profit and Deloitte. The first convening of the full cohort occurred in Nashville, TN in November 2017.
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America Forward LEADERSHIP
"In our opinion, America Forward has moved further, faster than any U.S. organization in identifying and promoting look-forward agendas in critical social areas that demand immediate national attention. The high quality of the members you have drawn to your organization is clearly illustrative of the power of your proposed agenda." - SANDY MARTIN CONNECTICUT CENTER FOR SOCIAL INNOVATION
DEBORAH S. SMOLOVER Managing Partner, NEW PROFIT Executive Director, AMERICA FORWARD
America Forward is the Washington, DC-based nonpartisan policy initiative of New Profit whose mission is to unite social entrepreneurs with policymakers to advance a public policy agenda that champions innovative and effective solutions to our country’s most pressing social problems. The America Forward Coalition is a network of more than 70 innovative, impact-oriented organizations that foster innovation, identify more efficient and effective solutions, reward results, and catalyze cross-sector partnerships in education, early childhood, workforce development, youth development, and poverty alleviation. Together, the America Forward Coalition members have leveraged $1.5 billion for social innovation and have driven millions of federal resources toward programs that are achieving measurable results for those who need them most. Our Coalition members are achieving measurable outcomes in more than 14,500 communities across the country every day, touching the lives of nearly 8 million Americans each year. We believe that innovative policy approaches can transform these local results into national change and propel all of America forward.
ANNUAL REPORT 2017
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America Forward 2017 HIGHLIGHTS
Collective Advocacy Work: Responsive to Congress and the new Administration, the America Forward Coalition redoubled its collective advocacy efforts by ratifying bold policy platforms and engaging in high-impact advocacy in: early learning, elementary and secondary education, career and technical education, higher education, workforce development, and Pay for Success and evidence-based policy. In 2017, the Coalition grew to 75 organizations and includes a network of aligned partners committed to advancing policies that foster innovation, reward results, and catalyze cross-sector partnerships. Field Leadership Partnership Activities: America Forward engaged in a robust partnership with the Council of Chief State School Officers’ (CCSSO) Innovation Lab Network on the implementation of the Every Student Succeeds Act (ESSA) and collaborated on a leading Equity & Personalized Learning briefing publication. America Forward also authored articles and hosted national webinars and external events highlighting Pay for Success strategies to achieve positive outcomes for youth and increase focus on outcomes in the workforce development system, in collaboration with Third Sector Capital Partner’s Social Innovation Fund grant efforts. Piloting the America Forward Advocacy Institute: In 2017, America Forward piloted its newest initiative, the America Forward Advocacy Institute, designed to provide social entrepreneurs and social innovation organizations with specialized advocacy training and capacity-building to enable the social sector to make advocacy a core part of its systems change strategy. Pilot offerings included trainings on public policy and strategic communications and a hands-on Hill day with the Reimagine Learning Practitioners’ Working Group in Washington, D.C.
2018 PRIORITIES
Launching the America Forward Advocacy Institute: In 2018, America Forward will fully launch the America Forward Advocacy Institute, offering tiered levels of policy, advocacy, and communications training and support to social innovation organizations and their constituents. America Forward plans to provide a range of training offerings including Advocacy Institute Briefings and Webinars, Advocacy Institute Boot Camps, and an Advocacy Institute Fellowship Program. Celebrating America Forward’s 10th Anniversary: In 2008, New Profit launched America Forward and over the past ten years, the America Forward Coalition has played a critical role in some of the most innovative federal policy achievements in education, workforce development, social innovation, and evidence-based practice. In 2018, we will highlight our collective accomplishments and set the stage for future growth at a 10th Anniversary celebration.
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Field Leadership LEADERSHIP
"If we, as a New Profit community, are going to rise to the occasion and truly solve the challenges we're trying to solve in this country, we need to find the intersectionality that ties us all together and unites the work we're doing." - CURT ELLIS Co-founder and Chief Executive Officer FOODCORPS
KIM SYMAN Managing Partner
The Field Leadership team seeks to find innovative solutions to the toughest challenges in the social sector by leveraging strategic partnerships, building network capacity, developing cutting edge content, and identifying and enlisting new, diverse leaders in our community. Through our communications and convenings capabilities, we advance and support New Profit’s existing strategies and serve as a frontline player and trusted advisor in philanthropy, policy, and social entrepreneurship. The Field Leadership team oversees New Profit’s annual Gathering of Leaders, one of the nation’s most influential convenings of top social innovators and their counterparts in business, government, media, philanthropy, and academia. This invitation-only event brings together nearly 300 participants for a two-day convening to accelerate solutions to our nation’s toughest problems in early childhood development, community health, poverty, and related areas. Participants challenge each other’s beliefs and assumptions, forge new connections, spark ideas, align strategies, and shape initiatives that unlock the potential of social innovation to expand social mobility in communities across the nation.
LIST OF DONORS
BROMLEY CHARITABLE TRUST
JB LYON
HOWARD P. COLHOUN FAMILY FOUNDATION
HENRY AND ALLISON MCCANCE
DELOITTE CONSULTING LLP
EDNA MCCONNELL CLARK FOUNDATION
BILL & MELINDA GATES FOUNDATION
PEERY FOUNDATION
GRACE INSTITUTE FOUNDATION
POSES FAMILY FOUNDATION
KAPOR CENTER FOR SOCIAL IMPACT
WALMART
RENUKA KHER
WELLS FARGO ADVISORS
ANNUAL REPORT 2017
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Field Leadership 2017 HIGHLIGHTS
The 2017 Gathering of Leaders, held in Atlanta, GA, brought together a larger and more diverse group of participants than ever, supporting our explicit commitment to foster new networks and understanding across a wide-array of communities and sectors. 40% of participants attended for the first time 32% of participants identified as people of color 53% of participants were women Key speakers included former U.S. Ambassador Andrew Young, Van Jones (Dream Corps), Michaela Angela Davis (MAD FREE and CNN), and James Fallows (The Atlantic and the American Futures Project). New Profit received coverage in a range of influential media outlets, including the New York Times, the Chronicle of Philanthropy, Inside Philanthropy, Nonprofit Quarterly, Education Week, EdSurge, The 74, and others.
2018 PRIORITIES
Celebrate New Profit’s 20th Anniversary Year: We have transformative accomplishments to celebrate, catalytic lessons-learned to share, and a dynamic, diverse new generation of social entrepreneurs and leaders entering our portfolio. At the same time, we have major challenges to face relating to public policy, funding, and partisanship. Our goals for the year will be to set an ambitious vision for the future that we can use to galvanize our community, empower and support a new generation of diverse leaders, and mobilize unprecedented resources to strengthen and expand our work and move decisively towards greater systemic impact. 2018 Gathering of Leaders: The 2018 Gathering of Leaders, which will take place in Boston, will build upon those same 20th Anniversary themes.
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Partners
ANNUAL REPORT 2017
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Partners
New Profit’s groundbreaking collaboration with Deloitte Consulting LLP, a leading professional services firm, has helped social entrepreneurs and other social impact leaders access Fortune 500-caliber strategic support since 2013. Over that time, 23 New Profit portfolio organizations have received pro bono support from Deloitte totaling $8.8 million, delivered by dozens of professionals from across the organization. Two Deloitte leaders - Stephen Jennings and Mike Canning - oversee the relationship as members of New Profit’s Board of Directors.
In 2017, Deloitte and New Profit completed high impact growth strategy and other strategic support projects with:
We are currently underway with a new round of projects to support with the following portfolio organizations: City Connects, City Year, iNACOL, LIFT, Leap Innovations, the Learning Accelerator,Big Picture Learning, and the Highlander Institute.
Deloitte was also a generous supporter of the 2017 Gathering of Leaders and we are collaborating on new opportunities.
ANNUAL REPORT 2017
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Partners
Since our inception, leaders and employees from Bain Capital have generously supported our work in a variety of ways. In 2017, one story stood out. Through facilitation by New Profit, David Spiller, a senior vice president at Bain Capital Private Equity, joined the board of New Teacher Center (NTC). One of New Profit’s most transformative portfolio organizations, NTC trains nearly 10% of all new teachers in America and has shown some outstanding results in raising student achievement in underserved schools.
Shruti Sehra, a New Profit Managing Partner who serves alongside David on NTC’s board, recently interviewed David about his experience thus far.
SS: What led you to decide to get more involved in
SS: How are you applying the skills you have honed at Bain
education reform and how did you get connected to the
Capital to the complex work of social problem solving and
opportunity to serve on NTC’s board?
education reform?
DS: I have long had an interest in the educational system
DS: Because the NTC board has a mix of people with
because I have a number of teachers in my family.
experience in education, philanthropy, and the private sector,
My daughter also reached school age recently and that led
I try to really focus my energy in areas where I have specific
me to think a lot about it. Many of us are really privileged to
relevant experience. For example, I have volunteered to help
be able to send our kids to great schools and I had an urge
lead an important executive search process for the
to get involved to make that opportunity available to less
organization, which is something I have done at a number
fortunate kids as well.
of my portfolio companies. Similarly, I have gotten involved in the board technology committee, helping develop the
SS: What is the biggest lesson you’ve learned about
strategy for a more technology-driven NTC business model.
education during your time on the NTC board?
We have capability building expertise that is not always available to nonprofits, so it feels good to be able to apply
DS: I don’t think I fully appreciated how many stakeholders are involved in decision-making at all levels of the educational system. It goes to show how leaders in social change need to think beyond just programming to engaging policymakers, community leaders, teachers, and students themselves if they want to change the overall system.
it in a valuable way.
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Board of Directors
STEVE BARNES
JOSH BEKENSTEIN
MIKE CANNING
Managing Director
Managing Director
BAIN CAPITAL PRIVATE EQUITY
BAIN CAPITAL PRIVATE EQUITY
Principal, National Managing Director Strategy & Operations DELOITTE CONSULTING LLP
PAUL GROGAN
DAVID HARRIS
President & CEO
Provost & Senior Vice President
Principal, Strategy & Operations
STEPHEN M. JENNINGS
THE BOSTON FOUNDATION
TUFTS UNIVERSITY
DELOITTE CONSULTING LLP
VANESSA KIRSCH
WENDY KOPP
HENRY McCANCE
Founder & CEO
CEO & Co-Founder
Chairman Emeritus
NEW PROFIT
TEACH FOR ALL
GREYLOCK PARTNERS
ANNUAL REPORT 2017
BILL McCLEMENTS
DUNCAN McFARLAND
Business Executive & Advisor
THE BROMLEY CHARITABLE TRUST
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VALERIE MOSLEY Chairwoman VALMO VENTURES
KRISTIN MUGFORD
MARK E. NUNNELLY
JIM PALLOTTA
Senior Lecturer
Special Advisor to the Governor for Technology and Innovation, Executive Director
Chairman & Managing Director
HARVARD BUSINESS SCHOOL
RAPTOR CAPITAL MANAGEMENT
MASS IT
JOHN RICE
BRIAN SPECTOR
Founder & CEO
Partner Emeritus
Chairman
MANAGEMENT LEADERSHIP
THE BAUPOST GROUP
MILLENNIUM DEVELOPMENT
FOR TOMORROW (MLT)
JEFFREY C. WALKER [CHAIR]
GOALS HEALTH ALLIANCE
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Donor Roll INVESTORS
Kate and Bill Duhamel
Tristin and Martin Mannion
Mark and Carolyn Ain
ECMC Foundation
Henry and Allison McCance
American Express Foundation
Paul and Sandy Edgerley
Douglas and Audrey Miller
bain capital
international private equity limited
Marjorie M. Findlay and Geoffrey T. Freeman
Hinda and Joel Miller
Lance Fors
Valerie Mosley
Anonymous (6) Bank of America Charitable Foundation Deborah and Steve Barnes
social venture partners international
Kristin and Stephen Mugford
bain capital
Bill & Melinda Gates Foundation Josh and Anita Bekenstein
Joshua Musher
bain capital
Sima Ghadamian
James L. Bildner Charitable Trust
Grace Institute Foundation
Bromley Charitable Trust
Josh and Sarah Greenhill
Kevin and Julie Callaghan
Heising-Simons Foundation
Oak Foundation Christine Olsen and Rob Small James and Kim Pallotta berkshire partners
Saul Pannell and Sally Currier M. Roch Hillenbrand
Carnegie Corporation of New York
the hillenbrand family foundation
Chan Zuckerberg Initiative DAF
Florence Koplow
silicon valley community foundation
Roger and Lisa Krakoff Howard P. Colhoun Family Foundation Jonathan and Jeannie Lavine Estate of Kathryn W. Davis
bain capital
Michael & Susan Dell Foundation
Matt Levin
PayPal Credit Peery Foundation Poses Family Foundation M K Reichert Sternlicht Foundation Arthur and Toni Rembe Rock
bain capital
Barry and Evelyn Salzberg
Doran Family Charitable Trust George Lucas Family Foundation
Maurice and Luly Samuels
Nancy C. and Dale Dougherty Foundation Lumina Foundation
ANNUAL REPORT 2017
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Ronald Schrager and Wendy Hart
The Reeder Foundation
Jeffrey Homer
Jeffrey Shames
The Peter and Elizabeth C. Tower Foundation
Kapor Center for Social Impact
Edward and Barbara Shapiro
Adam and Nicole Katz The Trustee’s Philanthropy Fund
Siegel Family Endowment Alan and Susan Solomont
fidelity charitable
Tower Family Fund
Renuka Kher Jeff Livingston edsolutions
Brian and Stephanie Spector
Travelers Foundation JB Lyon
State Street Foundation
Jeffrey C. and Suzanne C. Walker Elisabeth Mason
Stupski Foundation
Walmart Edna McConnell Clark Foundation
Peter Swift and Diana McCargo
Walton Family Foundation T. Rowe Price Foundation
The Boston Foundation
Wells Fargo Advisors Samberg Family Foundation
The Bronner Charitable Foundation
Ted and Lisa Williams Gary Syman
The Annie E. Casey Foundation
Jean and Rick Witmer The Tow Foundation
The Max M. and Marjorie S. Fisher Foundation
UnboundED SUPPORTERS
The Hirsch Family Foundation
Howard and Candice Wolk Anonymous
The Joyce Foundation David Belluck The Kresge Foundation
PARTNERS Dan and Robin Catlin
The LEGO Foundation
Deloitte Ulrik Christensen
The David & Lucile Packard Foundation
Goodwin Procter LLP Francis Greenburger
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Financials
ANNUAL REPORT 2017
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Financials New Profit 2016 Financial Information REVENUE BREAKDOWN Individuals and Family Foundations
13,123,152
Corporations and Foundations
25,874,741
Deloitte In-Kind Services
2,577,159
Other In-Kind Services
201,098
Other Income
53,813
Total Revenue:
$41,829,963
0.5%
0.1%
Other In-Kind Services
Other Income
Deloitte In-Kind Services
6% 4%
45% 62%
Corporations and Foundations
2016 REVENUE
12%
Individuals and Family Foundations
31% 37%
ANNUAL REPORT 2017
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EXPENSE BREAKDOWN Grantmaking
12,250,073
Portfolio Management
7,849,551
Administration, Communications and Fundraising
3,387,555
Field Leadership
3,036,748
Deloitte In-Kind Services
2,577,159
Total Expense:
$29,101,086
Deloitte In-Kind Services Field Leadership
Administration, Communications and Fundraising
Grantmaking
10%
CHANGES IN NET ASSETS: Increase in restricted
9%
Increase in unrestricted
12% 2016 EXPENSE
Restricted
27%
11,868,990 859,887
42% TOTAL NET ASSETS:
Portfolio Management
$12,728,877
Unrestricted
$54,807,007 53,346,296 1,460,711
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ANNUAL REPORT 2017
Portfolio Directory
ANNUAL REPORT 2017
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Portfolio Directory NEW PROFIT INNOVATION FUND
EARLY LEARNING FUND
LEARN TO EARN FUND
REIMAGINE LEARNING FUND
REIMAGINE SCHOOL SYSTEMS FUND
ANNUAL REPORT 2017
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Portfolio Directory PERSONALIZED LEARNING INITIATIVE
WOMEN’S ACCELERATOR
PROXIMITY ACCELERATOR
UNLOCKED FUTURES
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Portfolio Directory UNLOCKED FUTURES
DETROIT JUSTICE CENTER
ANNUAL REPORT 2017
"You just never know who the unlikely, great partners are going to be. That is why a network is such a powerful tool." - NANCY VAN MILLIGEN
President and CEO COMMUNITY FOUNDATION OF GREATER DUBUQUE
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ANNUAL REPORT 2017
In Memoriam
Chris Herron (1976-2017)
New Profit’s 2017 Annual Report is dedicated to the life and memory of Chris Herron, our beloved friend and colleague who passed away this year after a courageous battle with cancer. Chris’s passion for social justice, his generous, collaborative spirit, and his sharp intellect and sense of humor were evident in all the work he did and the life he led. In his own quiet way, he touched so many of us and left an enduring mark on our community. We miss him deeply.
200 Clarendon Street Boston, MA 02116 info@newprofit.org www.newprofit.org