SickKids - Social Responsibility Report

Coporate Social Responsibilty Report

SickKids Foundation Audit Houston Keil-Vine Melody Gamble Scott Danelesko Adam Badzynski

Corporate Social Responsibilty Report

Table of Contents Sustainability + Frameworks 4 What is CSR? Social Sustainability

Framework of Social Sustainability SickKids Foundation 8 The Difference Between Hospital and Foundation Transparency and Growth Defining our Scope and Focus Trends + Impact 16 Identifying Changing Circumstances

Impact Map and Analysis

Identify and Catalogue Issues

The Issues We Acted Upon and Omitted Interventions 26

New Developments

Crowdfunding

Micro Transactions

Personalized Media

Current and Future Impact Maps

Updated Framework for Social Sustainability

Role of the Designer

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Corporate Social Responsibilty Report

“We inspire our communities to invest in health and scientific advances to improve the lives of children and their families in Canada and around the world.�

SickKids Foundation Mission Statement 3

Corporate Social Responsibilty Report

Sustainability + Frameworks

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Corporate Social Responsibilty Report

What is CSR? Corporate Social Responsibility (CSR) is a method for corporations to self-assess whether they are upholding their ethical values to society. This is often seen within a company’s mission statement and is echoed within the type of work they do, or in some cases, the type of work they refuse to do. A company’s CSR must be defined so that it is clear to whom and what they are responsible for,

and how these responsibilities are influencing the company’s work and ethos. Most importantly, this CSR must yield a net benefit to society.

Most importantly, this CSR must yield a net benefit to society.

Social Sustainability Providing a product or service to society brings up a number of questions and issues. How does it benefit us? What are its consequences? How is this able to be maintained? How long will this last? Social Sustainability addresses these questions by integrating social equity, human rights, and community involvement to develop a structure in which current social criteria are being

met while still considering room for growth. Understanding current and future consequences is critical when determining if a company is socially sustainable.

Social criteria must be met while still considering room for growth.

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Corporate Social Responsibilty Report

Framework for Social Sustainability surplus

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Support is our metric for SickKids’ impact upon the communities which it represents.This is the building block upon which all others rest, that which is able to communicate to the public that the lives of sick children are still, quantifiably being made better.

On an individual level, this must be illustrated by success rates in operations, and quality of life of both in and out patients; on an institutional level, to increase facility development as efficiently as possible.

Support can be achieved and documented through the lens of these four metrics: Research, Children, Education, and Self.

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We have divided what we consider to be the most important category of Innovation into the quadrants Transparency, Goals, Results, and Public Support. Actively improving in these four areas will propel innovation within research.

Public approval will help positively shape the image SickKids has created while providing relevant updates of current Goals, with published Results that will improve Transparency.

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As long as there is continued growth and support of research models to propagate scientific advances, SickKids Foundation (SKF) will improve the lives of children and their families.

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The Culture of SickKids Foundation can be understood through these new metrics: Internal, External, Charity, and Education.

Internally, the Foundation must create an environment which employees, volunteers, and management are proud to work in and have the desire to both continue and prosper. Externally, this metric should be used to quantify the social capital gained by both individuals and corporate bodies when they contribute time or capital.

Furthermore, the Foundation must consider their place within the landscape of other smaller communities.

Continued education in the culture of giving should also be pursued.

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Corporate Social Responsibilty Report

SickKids Foundation Sponsored Education $19m

SickKids Hospital $61m

Consultants $13m

Employees $16.5m

Advertising $7.5m Cost to Raise $5m 8

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2015 Revenue $136m

Endowment Fund $1000m 9

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The Difference between the Hospital and Foundation

When we think of SickKids, we think of the Hospital in downtown Toronto that cares for hundreds of children everyday.

We are discussing the SickKids Foundation, an extension of the Hospital that has been tasked with supporting the families and caregivers at the Hospital. The Foundation is the largest public healthcare-related foundation in Canada and yields great influence in the healthcare sector1.

In the past year (2015), they provided $61 million to SickKids Hospital to fund research, care, and education2. Research is the most funded of these categories because they believe that continually improving scientific advancements is the principal way to improve the health of sick children. The Foundation’s financing power and influence

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in healthcare translates into continually growing sources of revenue for the organization.

Since public involvement is a cornerstone to the Foundation’s financial success, it is increasingly important for them to consider how socially sustainable they are as a charity. The ability to improve the health of sick children is a tremendous accomplishment, and if the Foundation wants continued success in paediatric health and research, they must harmonize with the society that supports them.

[1] http://sectorsource.ca/ sites/default/files/resources/ files/trends-canadas-grantmaking-foundations-sept2014. pdf

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Transparency and Growth

$70m

$136m

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Fundraising Revenue in 2006

Fundraising Revenue in 2015

SickKids Foundation has been praised for its financial transparency and fairness in the past year. Succinctly producing their financial position gains public credibility and keeps them accountable for their work3.

In the past 9 years (2006­—2015) the Foundation has increased their fundraising revenue from $70 million to $136 million4. This trend predicts continued growth in their capabilities to fund innovative research, medical care and education. SickKids Foundation has the financial prowess to make a real change in the lives of many children and their families, so our team has created a framework which identifies and outlines three key categories of social sustainability:

• Innovation • Support • Culture Our findings have led us to believe that SickKids needs an adaptive, flexible, and scalable framework so that they can apply it in as many cases as they can, and maximize their potential to grow responsibly.

[3]http://www.sickkidsfoundation.com/annualreport/assets/ pdf/financials/foundation-auditors-financials.pdf [2,4] http://www.sickkidsfoundation.com/annualreport/ financials.html

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Corporate Social Responsibilty Report

Defining our Scope and Focus

The goal of this audit is to identify the aspects of the SickKids Foundation that are not socially sustainable. SickKids has defined their mission statement to be that of pursuing innovation through the furthering of research platforms, while supporting the lives of sick children and their families.

Through extensive study we have determined that current SKF practices fail to develop a sustainable internal culture, are furthering lopsided support in research, education and patient care, and less than desireable innovative growth in goal setting and public relevance.

Currently SickKids Foundation hires external contractors who are financially motivated to continually sign new donors. This has created a culture where manipulation of social pressures are used to

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stimulate new donor acquisitions.

These practices rely on limiting a contributor’s ability to make informed financial decisions. The result is that donors feel a societal obligation to donate but are less comfortable with the position that the charity has put them in.

The end result is that donor ends up contributing less to SickKids Foundation and are less likely to continue to support in the future.

We defined Social Responsibility as supporting practices that create funding opportunities that are sustainable.

Therefore the first step of our audit was to discover which of SKF practices encourage obligation and to understand the different interactions the Foundation creates when looking for new donors. An evaluation of external interactions

Corporate Social Responsibilty Report

using our Social Sustainability framework identified exchanges that cause long term negative effects on the SKF image.

In order to enhance their public perception in the long term, we have made recommendations of which funding programs they should refine, refocus and renounce. From there, we have evaluated new opportunities that encourage interactions that reflect a community’s idealized development. Once corrected, we suggest new funding opportunities that result in intrinsically motivated donors.

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Corporate Social Responsibilty Report

Trends + Impact + Interventions

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Corporate Social Responsibilty Report

Identifying Changing Circumstances

When evaluating trends for SickKids Foundation, specific focus was paid to opportunities that have developed in both independent entrepreneurial forums and mainstream media success stories.

These trends maintain the spirit of innovation that is consistent with the SKF mission statement and offer them unique opportunities for future fundraising strategies.

Brandstanding: brands taking moral stands to change our relationships from transactional to meaningful.

Made to Measure: tailoring products to individual’s specific desires.

Human Curation: creating more value in media outlets by catering to the audience.

Targeted Rewards: mobile and individualized consumer loyalty program.

Slow Living: people making space in their lives for deeper more meaningful connections.

Motivated Connections: the digital connection of individuals for the specific task of supporting a shared goal.

Crowdfunding: the practice of supporting the pursuit of research initiatives by raising monetary contributions from many participants.

Microtransactions: small scale financial transactions that are completed without significant impact to a user’s financial health.

Digital Token: situation specific payment currencies.

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Impact Map and Analysis

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Tax Reciepts + Deductions

F Event Gift Bags

Alc Celebration Industry

Participation Paraphenalia

Venue Facilities

Our goal with the Impact Map is to better understand how the SickKids Foundation exists within the fabric of society as a Charity.

Based on their annual financial report, we have determined four key sources of revenue: Corporate Events, Corporate Partners, Direct Marketing, and Individual Giving.

Venue Placement Bumper Stickers

We plan to eliminate these pain points from the system and replace

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Students + Professors

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Corporate Events

Police Involvement

In each orbit, we seek to illustrate who is affected, what is their input, and what behaviours emerge.

Once identifying the transformation opportunities as pain points, we have understood that civic disruption and individual pressure to donate are used as stressful points of confrontation by which SickKids Foundation garners revenue.

Glitter

Other Company CSR First-Aid Involvement

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it with a design intervention that is supported by currently emerging trends. This intervention will be inter-compared with our proposed framework so that it remains socially sustainable.

Tax Reciepts + Deductions

Socie Good W

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Traffic Jams

Reroute

City Infrastructure

Tax Reicepts + Deductions Organic Growth

Events Management

Coffee Catering

Relevant Updates

Facebook + Instagram

Food Catering

cohol Scrubs in the City $0.5m

Twitter Walk for SickKids $2.2m

One Month Ad Campaign $6m

YouTube

Advertising Event Planning $16m

r in Macau $425,000

Re Tweets

Direct Marketing $28m

Text-to-Donate

Dell

Targerted Advertising

Telephone Infrastructure

Discussion of Charity

SickKids Rogers

University of Toronto Bell Media

1% Back

TV Programs

Foundation Corporate Partners $24m

Small Business

Individual Giving $61m

Canada Post

Telemarketing

Rushed Interactions

Canvassing

LCBO TD Bank Children’s Miracle Network Walmart

charityfocus. com

FedEx

Social Frontlining

Mailers Social Media

Door to Door

Graphic Design

Donation Space on the Street

Advertising Shoppers + Employees

Cash Donations

Contractors

Individuals

etal Will

Tax Deductions

Physical Artifacts in the Home Mind Sharing

Time-Senstive Pressure Tactics

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Corporate Social Responsibilty Report

Identify and Catalogue Issues

SickKids Foundation accounts almost half of its income in the year from Individual Giving revenue streams. As such, it is–and should be–important for them to have the most socially responsible practices so that they are perceived as socially just in as many access points as possible.

We have identified that there are specific friction points which are currently tarnishing SKF’s public image. As opposed to participatory, hopeful, or knowledge-based motivators, SKF is utilizing guilt tactics to leverage the individual for fundraising. It is pertinent for SickKids to uphold a higher standard of public profile where guilt tactics should not be present.

Canvassing: Canvassing is an unsustainable method of fundraising as it requires

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employees organized by a third party management service to solicit in public spaces. Although it provides access for those that have time, canvassing is inefficient since for every one subscription the canvasser sells they allow many to walk on by.

Door-to-door: Invasive solicitation effective best and only when the homeowner is present and willing to answer the door.

Social Frontlining: Every solicitor on the street must put on a directed attitude so that they come across as someone that believes in the work that the foundation is doing. This is difficult as SFK has such a broad research base and each ambassador can only provide limited answers to the public.

Corporate Social Responsibilty Report

Time Sensitive Pressure Tactics: This form of solicitation leverages the individual’s limited time available for a one-on-one interaction, compelling them to donate without measured intention.

Donation Space on the Street: These new forms of canvassing have developed another donation space where it is uncomfortable to commit a proper donation.

Telemarketing: Invasive and impersonal third party programs attempting to establish financial commitment without interpersonal communication.

Advertising: Impersonal blanket attempts to sell product based off corporate intention as opposed to personal relevance.

Contractors: Third party companies with no ties to SKF sentiment save for contractual obligation.

Walk for SickKids: Public event which calls for a minimum investment per participant, alienating those who cannot afford–but would otherwise want to– support the cause.

City Infrastructure: Hosting civic events puts strain on the city’s roads and highways.

Public Transit Reroute: Hosting events puts strain on various public mobility services.

Mindsharing: Foundation buying more time in mindshare through use of illicit guilt tactics.

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Corporate Social Responsibilty Report

The Issues We Acted Upon and Omitted

We will not be discussing the Walk for SickKids and the issues therein as we find them to be symptomatic of a greater problem at hand.

Intervention at a civic scale is difficult to implement without proper public support and social influence. For instance, should we be able to change the image of SickKids Foundation as an organization that is truly worthy of social sustainability, the issues of civic inconvenience becomes less of an obstruction and more of a celebration, less of a blockade and more of a parade.

While the Foundation does not have agency over changes to civic infrastructure, they do maintain the ability to influence internally controlled points of introduction. Social Frontlining is responsible for creating the image of the foundation, yet its present

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circumstance finds it doing more harm than good. As this point is fundamental in the public portrayal of the organization, we plan to revamp conventional fundraising methods such as canvassing and telemarketing in order to polish SKF’s earned space in mindshare.

As we have determined canvassing to be an inefficient use of resources, we mark that as the first opportunity for change.

As opposed to previously infamy, canvassing management will be restructured so that fewer employees will be placed in the city, utilizing tactics based on emerging trends. Management will be restructured so that commission-based incentive will be replaced with socially responsible motivation. Door-todoor solicitation and telemarketing will be restricted to represent

Corporate Social Responsibilty Report

a similar outcome.

While canvassers are still in place, they won’t be soliciting guilt tactics but instead be promoting the worth of investment in a near altruistic cause. Current behavioural spaces have emerged as a consequence of conventional fundraising methods.

Specifically, time-sensitive pressure tactics and street donation spaces have made potential donors uncomfortable to commit financially because of being confronted while distracted. If SKF were to enact Peer2Peer based platforms for fundraising purposes, they would then capitalize on new behavioural space–that of having donations made willingly in accordance with the schedule of the donor.

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Interventions

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New Developments

We have identified new value in developing the relationship between researchers and new donors. By allowing researchers to leverage the SickKids brand and digital presence, it will create an online community that has greater transparent access to the goals and progress of particular projects.

We propose a specific campaign model where individual donors can contribute to targeted research projects, awarded by regular updates by causes they care about, facilitated by designers as storytellers.

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Corporate Social Responsibilty Report

Crowdfunding

Utilizing the ShareStarter method, internal employees can initiate their own fundraising mini-modules in order to garner public approval.

Unlike the process of grant application, this funding avenue will appeal directly to the public sphere, cataloging the various directions of research in need of support. The addition of an online SickKids ShareStarter platform will allow for direct access to public fundraising that otherwise is lost within the present framework of the organization.

Working in tandem with the grant committee, this platform will refilter revenue streams, this time centered on popular and cultural relevance. On this online hub, SKF will have the opportunity to target specific research avenues and support them publicly. By utilizing a DollarMatch or 50/50 fundraising strategy, the Foundation will be able to hone their public image through direct response brandstanding.

Furthermore, the implementation of this network will open up opportunities for the public to create their own ShareStarter campaigns. Successfully founded ShareStarter campaigns will be offered research lab space inside the SickKids Hospital, contributing to their culture of innovative thinking. Additionally, if a patient decides they or their families cannot wait until the next public fundraising installment, they can be connected with a designer who can help them build and organize their own crowdsourcing drive.

In fact, designers will be absolutely integral to this operation as curators of both individual campaigns and platform maintenance and development.

Working hand in hand with researchers, hospital staff and patrons, the designer’s role will grow to reflect the public image of SKF as the image of the public.

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Corporate Social Responsibilty Report

Micro Transactions

Much like the fluctuation of penny stocks in the commodities market, donors will be encouraged to make micro donations in ways that aren’t perceived as being harmful to their financial solvency. This method of fundraising is low impact to the targeted donor, and employed en masse can effectively continue to sustain revenues without tarnishing the image of the Foundation in the eyes of those who still want to, but cannot afford to contribute lump sum donations.

This strategy can be used in more indirect means as well. As with the nickel saved for every plastic bag opted out of at the grocery store, partnerships and promotions can be created in high frequency locations. Many corporations have begun creating their own monetary systems that act as rewards for customer purchases. We propose partnering with each of these brands so that consumers can have the opportunity to donate their rewards. The result is that

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corporations can pay pennies on the dollar for the value of these reward points, well giving consumers another avenue to donate to SKF. The goal of which is to weave the act of donation into everyday life, creating habitual behaviours.

Micro Transactions can be maximized in places like markets, malls, and other retail centres with high foot traffic, and without burdensome donor application process points, integration should prove a seamless exchange with a steady increase of social capital for all parties.

Corporate Social Responsibilty Report

Personalized Media

Digital interactions offer a wealth of metadata that can be better utilized in future advertising campaigns. In the future, SickKids Foundation will focus on deepening engagement with individual users. This will become more important as users begin to slow down their digital lives and become more invested in fewer companies.

SKF therefore needs to bring more of their advertising in-house so that they can be sure that all advertising efforts align with relationship which the Foundation is developing. This will create a new set of roles for designers, as they work to naturally evolve the SKF digital voice.

Evolution of personalized marketing will be most apparent in direct interactions with the user, as SKF will target microdemographics, and advertise to them in the most persuasive manner. For instance, this could appear as targeted advertisements

on a donor’s favorite podcast.

When that user then donates their will be a direct link between where the donation was made and the user that made it. This can be presented in a novel form, such as currency named after the individual that donated.

To deepen the relationship users will be able to track their currency through the hospital and see which specific service or supply they personally helped support.

When a user’s donation is spent, they can be offered, through new personalized advertisements, to contribute to the same cause/ service/ or supply as before.

Through this device, designers can begin to tell more complex stories that engage the user and compel them to participate in the day to day hospital services.

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Corporate Social Responsibilty Report

Current Impact Map 2016

Donation Space on the Street Social Frontlining Door to Door

SickKids Foundation Individual Giving Revenue

Canvassing

Advertising

Telemarketing Contractors Time Sensitive Pressure Tactics

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Corporate Social Responsibilty Report

Future Impact Map 2021 Personalized Media SickKids Foundation Individual Giving Revenue

Share Source Platform

Socially Responsible Advertising Partners

Positive Outlook + Public Appeal

Micro Transactions

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Corporate Social Responsibilty Report

Future Impact Map Analysis

Transit R

Tax Reciepts + Deductions

F Event Gift Bags

Alc Celebration Industry

Participation Paraphenalia

Venue Facilities

Glitter

Venue Placement Bumper Stickers

Students + Professors Corporate Events

Police Involvement

Our goal with the Impact Map was to better understand how the SickKids Foundation exists within the fabric of society as a Charity.

After identifying the pain points affecting the Foundation’s Individual Giving source of revenue, we substituted them with our proposed interventions.

This changes the subsequent behaviours of fundraising from guilt-driven tactics to community involved support.

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Other Company CSR First-Aid Involvement

Give B

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Socie Good W

Corporate Social Responsibilty Report

Traffic Jams

Reroute

City Infrastructure

Tax Reicepts + Deductions Organic Growth

Events Management

Coffee Catering

Relevant Updates

Facebook + Instagram

Food Catering

cohol Scrubs in the City $0.5m

Twitter Walk for SickKids $2.2m

One Month Ad Campaign $6m

YouTube

Advertising Event Planning $16m

r in Macau $425,000

Re Tweets

Direct Marketing $28m

Text-to-Donate

Dell

Targerted Advertising

Telephone Infrastructure

Discussion of Charity

SickKids Rogers

University of Toronto Bell Media

1% Back

TV Programs

Foundation Corporate Partners $24m

TD Bank Children’s Miracle Network Walmart

charityfocus. com

Small Business

Individual Giving $61m

Social Media

Canada Post

Micro Transactions

Share Source Platform Mailers

LCBO

FedEx

Personalized Media

Rushed Interactions S.R. Ad Partners

Graphic Design

Positive Outlook + Public Appeal

Advertising Shoppers + Employees

etal Will

Cash Donations

Contractors

Individuals

Tax Deductions

Physical Artifacts in the Home Mind Sharing

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Corporate Social Responsibilty Report

Updated Framework for Social Sustainability excessive

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Innovation Pub lic

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Results Currently SickKids only publicly discusses their overwhelming success, in the future we propose that it would be more transparent for sickkids to discuss all of their results, both successes and failures, in order to impress upon donors how difficult research can be.

Transparency SickKids typically presents more blog posts and issues more press releases than the average donor can keep track of. In our new opportunities, we will discuss how SickKids can encourage different donors to subscribe and follow different types of developments and make a greater impact by being more digestible.

Goals SickKids focus on results restricts the number of projects that can be discussed, some research pursuits

will never conclude, and should be framed as progressing towards a goal. This gives all researchers the opportunity to celebrate their achievements and increases opportunities to engage new funding.

Public Support By advertising SKF as a whole, canvassers and third party representatives often times have too broad a spectrum to answer for. Unfortunately, as their research base on a whole requires so much diversity in advertising, the Foundation ends up spending 40% to make every dollar they earn.

This, as well as inconvenient public access points, tarnishes public persona5.

[5] http://www.moneysense.ca/ save/financial-planning/2016charity-100-grades/

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Children Currently SKF focuses exclusively on grants that are directed towards researches and conference fees.

In the future greater individual attention can be paid towards the patients, their personal stories can help sustain donor interest.

Education Currently SKF heavily invests in training for their staff, this practice will be beneficial as they begin to pivot their funding strategies.

Self As of 2014 a considerable amount of money is spent supporting staff and office resources, in the future one of our goals will be to lower the overhead costs and bring SKF $40 to raise $100 closer to the $20 industry standard.

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Research SKF donates 100% of their “profits� to grant purposes, this is a trend that we propose continue in the future.

Corporate Social Responsibilty Report

Culture

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Charity SickKids currently holds position of the largest public healthcarerelated foundation in Canada yielding great influence in the healthcare sector. However, with their influence in the market, little is being done in order to bolster the culture of charity from which they’d come. Essentially, they are a health sector monopoly, and in the future will work to synergistically emphasize the importance of other charities in the country and world.

donation culture will help all charities succeed.

Internal as SickKids contracts outsider innovators, board members and research partners, a sedentary culture broods within the organization as requisite staff do not feel as though they are given the opportunity to move up the corporate ladder6.

External SKF is a valuable contribution to the health sector and the fabric of responsible society.

Education The role of SKF should be educate the public on the benefits of giving and positive effect of contributing to a larger cause. In the future changing a focus from their donation culture to a universal

[6] https://www.glassdoor.ca/ Reviews/SickKids-FoundationReviews-E689804.htm

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Corporate Social Responsibilty Report

Role of the Designer

In the future the role of the designer will be threefold:

high frequency micro transaction partnerships.

• Curatorial • Operational • Futurist

This will create a new set of roles for designers, as they work to naturally evolve the SKF digital voice and craft stories that help engage donors in Foundation narrative. Operationally, empathetic design tactics will be utilized to hone as many personal relationships between donor and SickKids patrons.

Designers will be integral to the ShareStarter strategy as curators of both individual campaigns and platform maintenance and development. Working hand in hand with researchers, hospital staff and patrons, the designer’s role will grow to reflect the public image of SKF as the reflective image of the public.

When approaching new forms of transactions and smaller interactions, the role of the designer will be to forecast changes in donor patterns and behaviours. By directing which research avenues the general public holds as mindshare through ShareSource curation, the designer will act as meteorologist on the ever changing landscape of

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Corporate Social Responsibilty Report

Together We Will 41