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Canadian Conference of the Arts

Creative Management in the Arts and Heritage: Sustaining and Renewing Professional Management For the 21st Century

A Proposed Action Plan for Creating Winning Conditions

A project of the Canadian Conference of the Arts
In collaboration with the Cultural Human Resources Council
With the financial support of
The Samuel and Saidye Bronfman Family Foundation

Prepared for the 2003 Chalmers Conference of
The Canadian Conference of the Arts
By Jocelyn Harvey
May 21-22, 2003

Download a printer-friendly, PDF version of this document. (Adobe Acrobat reader required)

See also:

Problems and Issues

Proposed Action Plan

Annex A: Selected Bibliography  


INTRODUCTION



In spring 2002, the Samuel and Saidye Bronfman Family Foundation (SSBFF) approached the Canadian Conference of the Arts (CCA) about participating in an action-oriented research and consultation project called Creative Management. The purpose of the project was to identify the challenges facing professional management personnel in Canada’s not-for-profit arts and heritage organizations and develop practical recommendations to meet these challenges.

In view of the importance of this topic, the CCA was pleased to collaborate on the project and engaged arts consultant Jocelyn Harvey as the coordinator. The project has been financially supported by the SSBFF, with additional funding for the research component from the Department of Canadian Heritage, and carried out in close consultation with the Cultural Human Resources Council (CHRC). It has focused on both the present and the future – our experienced managers now in the workforce and their need for professional renewal and reinvigoration, and the development of conditions that will attract “successor” generations eager to work as managers in Canadian cultural organizations.

Background

The pioneer generation of Canadian cultural managers will begin reaching retirement age within the next decade, and some have already left the sector for less stressful and better compensated jobs elsewhere. Coming along behind this generation is a smaller cohort of Canadians, one which is highly educated, technologically savvy, and culturally diverse, but burdened by record-high student debt loads and likely to have its pick of jobs.

As the boomers prepare to retire, there is a growing sense of urgency across all sectors of the Canadian economy about the impending shortage of workers and intense competition for professionals in the decades ahead. The bibliography at the end of this report shows that this concern is shared by governments, corporations, and the not-for-profit sector.

In a recent analysis of 2001 Census information, Statistics Canada noted that “an aging workforce is not unique to Canada” but “what distinguishes Canada is the relatively large size of the baby boom generation and, therefore, the potential rapid exit of these aging boomers from the labour market.” [1]

In view of this important generational shift, organizations like the Conference Board of Canada, the Public Service Commission of Canada, Human Resources Development Canada, the Canadian Federation of Independent Business, the Canadian Policy Research Networks, the Association of Universities and Colleges of Canada, the Voluntary Sector Forum, and a host of Canadian corporations have undertaken studies on human resource development, leadership succession and means of attracting and retaining a new generation of workers. Many sectors are intensifying their efforts to recruit young employees by providing improved compensation and other benefits and incentives. A number of recent studies have addressed these issues as they affect the Canadian cultural sector. [2]

Linda Duxbury, Director of Research at the Centre for Research and Education on Women and Work and the co-author of a new study on work-life balance, has noted a striking change in attitude among Canadian employers:

“I would say it’s only within the last two years that a lot of organizations have become serious about this. They’ve only become serious because we’re moving into a sellers market. They now see the writing on the wall with respect to demographics. In the best-case scenario, we’re only going to have enough workers to replace half the baby boomers who are retiring. We’re facing a skilled labour shortage. All of a sudden employers are recognizing that it’s not just good enough any more to talk about being best practice, you actually have to be best practice.” [3]

These generational changes come at a time when critical weaknesses are already apparent in the cultural community:

* Over the last 5-10 years we have lost a number of our senior managers, especially in the arts. Some have accepted prominent positions in arts organizations in other countries; some have left arts organizations to work as consultants and mentors; some were hired away by larger, better-paying not-for-profit organizations such as hospitals and universities or by the private sector, and some have departed involuntarily as the result of organizational crises and disagreements with their boards.
* Over the last decade, one of the ways in which many cultural organizations dealt with reductions in government funding was by eliminating the jobs that were “stepping stones” to senior management (the “2IC” or assistant manager positions), leaving the sector without great depth of experience at this level.

While concern about future workers has seized our attention, an equally important problem is that many experienced managers are working in extremely difficult and challenging conditions, often with inadequate resources.

In a letter about the Creative Management project, a leading Canadian philanthropist with long experience as a volunteer in both large and small arts organizations, wrote to say:

“There is no question that we expect an extraordinary amount from our Executive Directors. Thirty years ago their job was to manage an organization. Now they have to be fundraisers extraordinaire, out every night schmoozing with potential sponsors and donors, government lobbyists, meeting and stroking civic, provincial and federal government funders, labour specialists, negotiating extraordinarily difficult contracts with well-organized unions, capital campaign experts, operations and facilities mavens, not to mention full-time meeting attenders for the dozens of committees of the Board. And, they have to do this for half or a quarter of the sum that would be paid to someone in the private sector world, with half or a quarter of the staff! It’s all quite depressing when you think about it and really amazing that anyone survives.”

Thus, as one former manager now working as a consultant to arts organizations told us, a vital concern is “keeping the current senior managers in the arts and allowing them to continuously upgrade their skills. Unless the retention crisis is dealt with, we will not be much farther ahead by training new recruits.”

Brief History of the Project

The Creative Management project began with a roundtable meeting which brought together 25 Canadians involved in arts and museum management to define the issues to be explored in the ensuing research and consultations. The roundtable was followed by a literature search on cultural management issues and a review of current research on the Canadian labour force, the impact of generational change, and the expectations of new entrants to the workforce.

Extensive individual and group consultations were then undertaken with managers (experienced and emerging), artists, board members, service organizations, cultural management educators, arts administration students, cultural sector councils, funding bodies and others involved in the cultural sector. Over this period of the project, more than 200 Canadians were consulted in groups and focused one-on-one interviews.

Based on these investigations, a discussion paper outlining the challenges and needs was prepared for the 2002 Chalmers Conference, an annual meeting of arts service organizations convened by the CCA. The conference, entitled Creative Management, Creative Solutions, provided a national forum for exploration of the issues. In addition to service organizations, the participants included the boards and staff of the CHRC and the CCA, cultural managers, cultural management educators, provincial sectoral councils/networks, and representatives of government departments and arts councils.

The Chalmers conference strongly endorsed the timeliness and relevance of the project. Participants stressed the importance of improving conditions for cultural management personnel through an integrated approach and called for action by all key stakeholders.

In late summer 2002, a report outlining the major findings and potential solutions was widely circulated (the Final Report on Phase 1) and posted on the website of the CCA, and comments and responses were invited. [4]

This current report – the proposed action plan to address the challenges and needs for both existing and future managers - builds on the large number of thoughtful and informed responses the CCA received about the Phase 1 report, as well as last year’s Chalmers conference and consultations throughout the project.

Based on comments from respondents to the Phase 1 report, two additional issues are addressed in this action plan.

* The importance of positive and effective relationships between cultural managers and their boards - and, in the current environment, the problematic and difficult nature of too many of these relationships.
* The recognition that, while this project is focused on not-for-profit organizations, leadership succession is of great concern among book publishers.


The International Dimensions

Throughout the industrialized world, cultural communities are facing problems similar to Canada’s: an imminent leadership crisis brought on by demographics, increasingly difficult on-the-job challenges for cultural managers, new competency demands, and shifting work and life expectations among the smaller generation of young people who will be entering the workforce.

In many countries, cultural sector organizations, government funding bodies, and foundations have launched new initiatives to address these changes. Specific initiatives will be described in the relevant sections of the action plan below, but three quotations will indicate the range and depth of concern apparent on the international scene.

In a major study called Succession: Arts Leadership for the 21st Century, the Illinois Arts Alliance Foundation remarked:

“The nonprofit arts have thrived in the past three decades largely because a generation of arts workers accepted low wages for the nonpecuniary rewards of working in the arts. This discounted labor has been cited as a crucial source of capital for the nonprofit arts sector. It may be that this crucial source of support is now being threatened by recent economic and cultural changes affecting all non-profit arts workers. Often facing a high urban cost of living and heavy student loan debt, potential nonprofit arts workers entered a booming new economy in which for-profit corporations offered high salaries and encouraged creativity and nonconformity in ways that used to be more unique to the arts world.

Compounding these problems is the growing complexity of work in nonprofit arts organizations today. These organizations have to please a wider set of constituencies, scramble for more competitive grants and donations, answer to more funders’ expanding sense of accountability, keep up with technological change, and compete with commercial culture for audiences. It seems reasonable that the more demanding and professionalized nonprofit work environments become, the less potential employees have to accept lower nonprofit salaries….

Besides a possibly dwindling labor pool of committed and qualified new workers, these sorts of stresses fuel concerns about midcareer attrition. Inside observers claim that high stress and low salaries are leading to significant attrition, and the midcareer burnout problem will only get bigger as the labor squeeze progresses. Low salaries lead to an economic squeeze, as 30- or 40-something arts professionals who want to start a family or purchase their own home decide to seek better-paying jobs in the private sector.



Similar pressures may also be forcing the top leadership out, as executive directors – driven by burnout and/or the need for preretirement financial security – leave nonprofit arts organizations to seek out better paying jobs. Organizations without stable leadership suffer dramatic reductions in effectiveness, compounding the troubles of the staff. The overall view is of a sector struggling to attract qualified new workers, ill-equipped to retain middle managers or executive directors, and unable to replace outgoing executive directors.” [5]

Introducing its new corporate plan, the Arts Council of Ireland described the Irish arts community in these words:

“As a direct result of increased State support over the past decade, the arts in Ireland have been transformed…. The critical issue now is how best to build on this progress…. The seedlings of growth nourished over the last decade need to be planted on in more fertile ground.

Looking at the arts in Ireland today, we see low living standards, with many artists and companies too often battling against the odds. There is little or no investment in audience development. Organisationally, we see skills shortages and under-resourced managers and artistic directors. The transition from emergent young company to stable maturity defeats too many. The contributions of remarkable individuals are too often dissipated where no provision has been made for succession planning at management or board levels.” [6]
In the United Kingdom, a major inquiry has been conducted by the Clore Duffield Foundation in partnership with the Arts Council of England and Resource, the major organization serving museums. [7] Entitled the Cultural Leadership Initiative, the study has addressed three questions:

* “How can the foundation help the cultural sector to develop a larger pool of potential leaders – a cadre from which the leaders of tomorrow will emerge?
* How can present and future leaders best develop their potential?
* How can the chances of success of existing leaders be improved?”

Among the major findings of this inquiry were the following:

*

a widespread concern in the arts and museum fields about management development, both current and future;
*

barriers to developing and attracting managers, including lack of time and money for development and training, poor pay and benefits, and the ad hoc nature of career progression;
* the need for long-term investment (“many previous forays into arts leadership development seem to have done good work, but then disappeared because of funding problems”);
* The need for broad-based coordinated action (“leadership appears to be a preoccupation for many different organisations across the cultural sector. What has emerged is a picture of general concern, with some practical initatives being implemented in certain places, but nothing happening across the sector as a whole”; “the problem of leadership…needs tackling at every level in the system, from entry onwards”); and
* The need for a flexible suite of programs or program components offering leadership development, mentoring, secondments, grants to attend development and training courses, and support for the beneficiary’s organization so that she or he can spend a period of time away in professional development.

Organization of This Report

This plan has been prepared for discussion at the 2003 Chalmers Conference, to be held May 21-22 in Ottawa. For readers unfamiliar with the previous Phase 1 report, it begins with a summary of the challenges and needs established in the course of the consultations and research. It then proposes a detailed action plan to improve conditions for management personnel, with specific recommendations made to various stakeholders.

This report also draws on an excellent document prepared for the Cultural Human Resources Council by Mercadex International Inc., which CHRC has been using as the basis for regional roundtable discussions across Canada in recent months. Entitled Face of the Future: A Study of Human Resource Issues in Canada’s Cultural Sector: Findings and Recommendations, the Mercadex report has a broader focus than the Creative Management project, dealing with conditions that affect all creators, performers and cultural workers in the sector, but it comes to many of the same conclusions. [8]

One of its seven major recommendations is to “Support the continued recruitment, development, retention and succession of cultural management”:

“This objective addresses the growing crisis within management of cultural organizations and enterprises, particularly non-profit, arising from the devaluation of cultural managers, stressful working conditions, low pay, inadequate professional development and professional renewal opportunities, challenges with governance, and the lack of succession planning.”[9]

Annex A, a selected bibliography of materials consulted during the Creative Management project, concludes the report.

Premises of This Report

A recent issue of The Arts Advocate contains a round-up of “Human Resource Initiatives in the Cultural Sector” which lists many initiatives, studies, and surveys now under way. The article points out that “Human resources issues and management in the cultural sector are garnering attention like never before” and “the initiatives represent a revolution of sorts, the industry coming together as a whole, to build Canada’s arts infrastructure of the future.” [10]

A similar point is made in Face of the Future:

“The defining feature of the current era is multiplicity. In the cultural sector, in human resource terms, multiplicity manifests itself as collaboration, participation, interdependence and synthesis. If the cultural sector incorporates a multiplicity of interrelated interests and activities, it follows that no one initiative or stakeholder, by itself, will be able to adequately address the complex of human resource challenges currently facing the sector.” [11]

This action plan is premised on the belief that all stakeholders share the responsibility for improving conditions and that only by working together in a coordinated manner will we achieve our goals. What is needed is not a “single-stakeholder-led” plan but the coordination of multi-stakeholder endeavours consistently and energetically pursued through “collaboration, participation, interdependence and synthesis.”

A second premise in this action plan is a preference for integration over segregation. Where possible, the plan encourages the integration of human resource and management development issues in ongoing operating grant programs, rather than proposing another short-term project fund which will eventually disappear. The point is to stimulate cultural organizations to internalize responsibility for reasonable compensation, professional development, leadership succession, and sound governance, making consideration of human capital part of their every day ongoing operations.

In proposing to incorporate rather than separate human resource matters from consideration of the rest of an organization’s life, this action plan shares the same underlying philosophy about the importance of an integrated and holistic approach to arts organizations that has been expressed in a number of recent works. [12]

This approach is aptly described in one of those studies (Building Blocks: New Tools and Strategies for Funding Bricks and Mortar in the Cultural Arena: A Policy Makers’ Forum):

“In order to maintain and develop successful cultural facilities, we need to change the way we think about arts organizations and their facilities. We can no longer compartmentalize programs, operations and capital, ignore capital needs, and expect a thriving cultural sector to be the outcome. A holistic approach is the key. Vibrant, welcoming and safe cultural facilities, which meet the needs of arts organizations and their audiences, are only possible in an environment where all the elements that comprise a healthy arts organization are understood and addressed. Working together, the arts community and its government and private sector funders need to evaluate and support the necessary balance between artistic mission and program, organizational capacity and operations, and capital structure.” [13]

To describe the approach taken in this action plan, we might adopt a phrase which the President of the Caledon Institute of Social Policy used to explain how his organization garnered support for action to reform the child benefits system in Canada – “relentless incrementalism”.

“Relentless incrementalism consists of strings of reforms, often seemingly small and discrete when made, that accumulate to become more than the sum of their parts. Relentless incrementalism is purposeful and patterned, not haphazard and unintended. The drip drip drip of individual changes over time carves substantial and planned shifts in the structure and objectives of public policy.” [14]

As a result, this action plan draws together a series of many reforms, existing and proposed, local, provincial and national, which are both purposeful and patterned. Some of the recommendations call for strengthening existing initiatives and programs, maximizing collaboration and partnerships among sector organizations and between sector organizations and government departments and agencies, and fortifying the ability of the sector to develop and deliver the tools needed. Other recommendations require striking out in new directions, with new initiatives and new resources. Some are easily “do-able”, others more difficult and long-term.

In an essay entitled “Some Thoughts About Succession”, Theodore S. Berger, the Executive Director of the New York Foundation for the Arts, remarked:

“I have always been proud to have grown up with this generation of [veteran] arts administrators and to have been part of the enormous accomplishments and extraordinary leadership that have strengthened the arts in this country for over thirty years. I now realize that by postponing the needs of tomorrow, we have collectively delayed the appropriate and necessary continuity our individual organizations and our field as a whole require. We have not taken enough of the steps necessary for the roots of our achievements to grow and mature…

Our ability to attract, maintain, and sustain professionals over the long term is an overall industry need that requires new ideas, collaborations, and certainly additional resources. It also requires the commitment of all of us in our field –veterans, midlevel and entering administrators, boards, funders – to think about succession not only for ourselves as individuals or organizations but for our field as a whole.” [15]

It is the CCA’s hope that the plan below will be supported by all those stakeholders who are vital to its implementation since each needs to make an essential contribution.

These stakeholders include arts and cultural service organizations (municipal, provincial and national) which provide professional development and peer networking opportunities for cultural managers; federal, provincial and municipal arts councils and culture departments; federal and provincial ministries responsible for labour force and human resource development; the sectoral councils in culture; cultural management educators; and individual cultural organizations – their managers, boards, and artists.

Footnotes

[1] Statistics Canada, “The changing profile of Canada’s labour force,” 2001 Census (www.statcan.ca), p. 4.

[2] Important cultural studies include Alberta Cultural Human Resources Steering Committee, Culture Steps Forward, Banff, 2001; Mercadex International Inc., Face of the Future, A Study of Human Resource Issues in Canada’s Cultural Sector: Findings and Recommendations, presented to CHRC, December 2002; Arts Leadership Network: Pilot Phase Evaluation and Next Steps, for Opera.ca, Orchestras Canada, and the Professional Association of Canadian Theatres, Sept. 2002; Association of Cultural Executives, “Human Resource Development in the Cultural Sector,” ed. Graeme Page, Management Matters, Fall 2002; Janis A. Barlow, Rebecca Cann, and Catherine Smalley, Professional Development for Performing Arts Managers in Canada: A Needs Assessment, for the Professional Association of Canadian Theatres and Theatre Ontario, August 2000; CAPACOA, Building Capacity for Performing Arts Distribution in Canada: New Service Initiatives for the Presenting Field, Sept. 2001; Conseil québécois des ressources humaines en culture, Compétences de Management, 2001; Diriger une association dans le secteur culturel: une affair de compétence et d’engagement, Jan. 2000; L’Exercice de la profession Dirigeante ou Dirigeant d’Association, Dec. 1999 (www.cqrhc.com); Cultural Careers Council Ontario, Report on Consultations about Human Resources Needs in the Cultural Sector, 2002 and Strategic Skills Shortages in Ontario’s Cultural Sector, 1998 (www.workinculture.org); Joy Davis, Bridging Gaps between Intention and Reality: Challenges Associated with Educational Participation, ICOM Study Series 2002, Aug. 2001; Genesis Consulting, Human Resource Issues in Nova Scotia’s Performing Arts, Aug. 2001; Tom Lewis, Greg Baeker and Jane Marsland, Leadership Development and Renewal: A Learning Strategy for Senior Performing Arts Managers, for PACT, Orchestras Canada, and Opera.ca, Sept. 2000; PACT, Human Resources in the Canadian Theatre, 1997 (new issue forthcoming); SaskCulture Inc., Handbook for Member Organizations: A resource providing human resources information and skill development, Dec. 2001; WME Consulting, A WME Consulting Associates Report to the Cultural Human Resources Council, The Human Resources Management Function in the Cultural Sector, Jan. 2001; Canadian Museums Association, National Compensation Study, 2000-1..

[3] Linda Duxbury, in an interview on work-life balance in Canadian workplaces, on the website of Human Resources Development Canada (http://labour.hrdc-drhc.gc.ca).



[4] Canadian Conference of the Arts, Creative Management in the Arts and Heritage: Sustaining and Renewing Professional Management for the 21st Century: the Final Report of Phase 1, July 2002 (www.ccarts.ca).



[5] Illinois Arts Alliance Foundation, Succession: Arts Leadership for the 21st Century: Research and recommendations on leadership succession in nonprofit arts organizations, with the support of The Chicago Community Trust, 2003, p. A10 (our emphasis) (www.artsalliance.org).



[6] Arts Council of Ireland, Arts Plan for 2002-2006 (www.artscouncil.ie).



[7] Clore Duffield Foundation, Cultural Leadership: The Clore Leadership Porgramme Task Force Final Report, December 2002 (www.cloreduffield.org).

[8] Face of the Future, p. 2.The report also deals with issues related to employment status, recruitment and retention, access to training, and demand for new competencies, within the environmental context of new technologies, globalization, government policies and demographics.

[9] Face of the Future, p. 35.

[10] The Arts Advocate, Vol. IX, Issue 3, Feb. 19, 2003, pp. 5-6.

[11] Face of the Future, p. 21 (our emphasis).

[12] Besides Building Blocks (see the next footnote), some examples include Managing Our Performance Spaces, under the direction of Louise Poulin for the Canada Council in collaboration with the Department of Canadian Heritage, 2003; the Arts4Change project and the Creative Trust project in Ontario; Peter Brown, Arts Working Capital Study, 2001; the Arts in Transition project of the Canadian Conference of the Arts, The Samuel and Saidye Bronfman Family Foundation, and the Department of Canadian Heritage, 1996-7; the Ontario Arts Council’s Forum for Arts Specialists and Mentors, Feb. 2003; and John Talbot & Associates, Not-for-Profit Sustainability Project, 2002, undertaken for a consortium of British Columbia funders.

[13] Building Blocks: New Tools and Strategies for Funding Bricks and Mortar in the Cultural Arena: A Policy Makers’ Forum, report prepared by Janis A. Barlow & Associates, for the Association of Artist-Run Centres & Collectives of Ontario; Dance Umbrella of Ontario; Orchestras Canada; Professional Association of Canadian Theatres; Theatre Ontario; Toronto Artscape Inc., and Toronto Theatre Alliance, 2001, p. 4.

[14] Ken Battle, “The Role of a Think-Tank in Public Policy Development: Caledon and the National Child Benefit,” Horizons, Vol. 6, No. 1, p.12, published by the Policy Research Initiative.

[15] Theodore S. Berger in Illinois Arts Alliance Foundation, Succession, p. C80 (our emphasis).


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