HOW IS THIS PLAYING OUT IN THE ARTS AND CULTURAL SECTOR?

ostrich

In Wednesday’s New York Times. columnist Nicholas Kristof wrote about The Daily Me – the tendency for people to seek out and read news (in particular) and information that confirms their existing opinions and prejudices.

This piece seemed like a useful “heads-up” for the cultural sector. In the recent study THE ECONOMIC RECESSION’S IMPACT ON CULTURAL ORGANIZATIONS IN THE PUGET SOUND, Holly Sidford and her team found the respondent organizations fell into three broad categories.

THREE KINDS OF RESPONSE
Based on the interviews, Helicon observes organizations falling into three rough categories:

  • Proactive (about 25% of interview sample): These organizations are aggressive in dealing with the recession, both short and long term. They have projected budget and program scenarios across multiple years; they have examined every budget line item and made surgical and strategic cuts; they are keeping their boards, staff and key stakeholders well informed about the challenges and the choices they are making. The leaders of these groups are creative, energetic, and nimble. Some report actually being energized by the current situation, stimulated by the pressure to think in new ways.
  • Informed (roughly 60% of interview sample): These organizations are actively addressing near-term challenges. They have reviewed and adjusted current year budgets. They are tracking expenses and income more closely than in previous years. They are not yet thinking about long¬term impacts, waiting until Spring to see what happens to ticket sales, contributions, touring engagements, and other revenue. These groups appear to have less experience with scenario planning than the first group, and less data on which to build those scenarios.
  • In denial (roughly 15% of interview sample): These organizations are living in the present and operating “business as usual.” Some reported that they have not felt the economic downturn yet and expect this year’s budget to resemble last year’s. Some appear so distracted by day-to-day pressures that they have not considered the larger environment and longer-term view.

In combing the media for material for this site, GIA staff note that some media seem to focus on the negative, featuring endless stories of non-profits cutting staff, programs, or closing their doors, while others write about organizations finding solutions, taking action, or changing their habits and assumptions.

Thank you, Mr. Kristof, for putting a name to this.