Berkana Institute 2006 annual report

01 Message from the Co-Presidents 02 Message from Meg Wheatley 03 About The Berkana Institute 04 Our Beliefs About Change 05 How We Work 06 Our Stories 06 Acting Locally 08 Connecting Regionally 09 Learning “Trans-Locally” 11 Our Programs 11 Berkana Exchange 14 Learning Journeys 15 Art of Hosting 16 Learning Services 17 Berkana Marketplace 18 Contact Us 19 Financial Performance Board of Directors Deborah Frieze, Co-President Boston, Massachusetts Manish Jain Udaipur, India Gary Jewkes, Treasurer Atlanta, Georgia Carlos Mota Mexico City, Mexico Teresa Posakony, Chair Seattle, Washington Robert L. Stilger, Co-President Spokane, Washington Lana Wertz, Secretary Louisville, Kentucky Margaret J. Wheatley, Co-Founder and President Emerita Sundance, Utah Berkana Staff Boston Office Deborah Frieze Lauren Parks Spokane Office Bob Stilger Lizzie Riesenberg Krista Benson Nomad Aerin Dunford 01 Message from the Co-Presidents Dear Friends, Three things seem to be going on simultaneously these days. Our systems are falling apart—the post-World War II physical infrastructure in many countries, over—burdened health care systems, misdirected schools. New possibilities are arising—people stepping forward to create meaningful local change, the widespread emergence of asset-based approaches to building community, the rethinking of the world’s approach to development. Finally, massive global dynamics are overwhelming us—climate change, rising oil prices, the relentless pace of life which sometimes make us feel like frogs in water rapidly coming to a boil. These three—the great unraveling, the great turning, and the great numbing—are the landscape of our current lives. At Berkana, we’re placing our bets on the great turning. We work with the people who know that it is up to us to find the place where we can make a difference—the people who know that global systems do change when a large number of people make local changes. Since the early part of this decade, Berkana has been focused outward into parts of the world which are often regarded as “catching up” with the global North. We’ve gone to places like Brazil and India and Zimbabwe because people there have begun to understand that they can and must step forward to make a difference. They look for ways to involve their whole community in producing their food sustainably; in developing local marketplaces for the exchange of essential goods outside fragile and decaying monetized economies; in developing new ways to return community development to members of the community. The Berkana Institute has been working to find these new experiments, to connect them with each other, to nourish them with some resources from beyond their borders, and to illuminate their stories to the world. We call these places leadership learning centers, and we believe they are a fertile field for creating the new forms and enterprises the world needs today. In 2006, we began to bring our learning from that work home, to the United States. It was a year of enormous growth and change at Berkana. We added four more learning centers—two from North America —bringing our community to 12. We hosted dialogues and events throughout North America, including Art of Hosting trainings, which offer the conversational backbone for this work. We completed Learning Journeys to India, South Africa and Zimbabwe. We began to more actively offer our services as speakers and consultants, sharing the learning from this field. Our staff has grown, as have our partnerships with others. We’ve had to completely rebuild key internal infrastructure—financial management, websites, databases, offices—in order to better meet the opportunities that have come our way. All in all, 2006 was an incredible and busy year. We offer you these stories as an invitation to share our experience. Deborah Frieze and Bob Stilger, Co-Presidents 02 Message from Meg Wheatley Dear Friends, Berkana’s growth and maturation is a wonder to behold, but it’s not a complete surprise. It has involved uncounted hours of dedication, perseverance and companionship. We’ve learned a bit about what it means to work with chaos, uncertainty and disturbance, how to harness the energy of selforganization, and to realize in the core of our being that “we’re all in this together.” It hasn’t been easy (what is these days?), but in all that we do, we’ve been guided by an inquiry and evolving understanding of how change happens on this planet. Our activities are conscious experiments to further that understanding. We choose what we do, we know why we’ve chosen those activities over others, and we try hard to learn from what we’re doing. In other words, Berkana has a coherent theory of change. This is why I don’t regard our growth as a surprise. Yet still a complete delight. In my own experience, most change initiatives are seldom based on any clear theory of change. Even consulting firms and foundations that are dedicated to creating change have a hard time specifying or agreeing on what their theory of change is. Yet in the absence of such a theory, how does anybody decide what to do or where to allocate resources? How do we determine our actions or explain them? When people aren’t clear about their theory of change, they tend to choose their activities based on something that worked once, somewhere. They keep applying the same strategy, approach or tool, only to be disappointed when it doesn’t yield the same good results. Theory provides clarity, grounding and confidence. With it, we can choose among many tempting opportunities. With it, we make our choices with more confidence. And each initiative or project is an experiment that teaches us more about our assumptions and tactics, hopefully yielding insights that refine our theory. If initiatives and programs are experiments, then of course we want to notice what happened and what can be learned. This is why learning has become such a core component to Berkana’s work and that of our partners. What I’ve just described is the ideal of using a theory as a decision lens, and then putting it into practice. But the cold reality is that most often, we’re overwhelmed by the demands of our work, and struggle to take the time to learn from our accumulating experiences. And sometimes we’re not nearly as rational as I’ve made it seem. But we do know how important it is to be developing our theory. We know we have to keep learning how to learn. We know we have to keep discovering how to be disciplined experimenters. We know we need to keep learning how to stay together as co-discoverers of the future. In the pages that follow, you will see how we’re applying our theory, and what we’re learning on this journey. For me, these learnings are critical not just for Berkana, but for the success of all of us engaged in social change. We must learn how to give birth to our images of a positive future. If we fail to develop our theory and practice, we will keep stumbling in an ever-darkening world. We need to be conscious and awake, clear about what we’re doing and why. We need to learn as we go, supporting one another in our experiments. And each of us needs to feel, in the very core of our being, that we’re all in this together. Margaret Wheatley, Co-Founder and President Emerita 03 About The Berkana Institute The Berkana Institute connects and supports pioneering, life-affirming leaders around the world who strengthen their communities by working with the wisdom and wealth already present in its people, traditions and environment. We define a leader as anyone who wants to help, who is willing to step forward to create change in their world. And we know that the leaders we need are already here. The Berkana Institute serves people globally who are giving birth to the new forms, processes and leadership that will restore hope to the future. Since 1992, Berkana has gradually expanded its work to reach pioneering leaders and communities in all types of organizations and in dozens of nations. The need for new leaders is urgent. We need people who can work together to resolve the pressing issues of health, poverty, hunger, illiteracy, justice, environment, democracy. We need leaders who know how to nourish and rely on the innate creativity, freedom, generosity, and caring of people. We need leaders who are life-affirming rather than lifedestroying. Unless we quickly figure out how to nurture and support this new leadership, we can’t hope for peaceful change. We will, instead, be confronted by increasing anarchy and social and ecological meltdowns. At Berkana, we know that the leaders we need are emerging everywhere, among thousands of people who are stepping forward to create a future of possibility and hope. We do everything we can to support their pioneering efforts. We are a 501c3 public foundation co-founded by Margaret Wheatley, author of Leadership and the New Science, A Simpler Way, Turning to One Another, and Finding Our Way. Meg now serves on the board as President Emerita. Year The Berkana Institute was founded : 1992 Cities where Berkana has an office : Spokane, Washington and Cambridge, Massachusetts Percentage growth in 2006 : 105 Approximate number of people enrolled directly in Berkana’s North American programs : 800 Additional number of people reached by Berkana through conferences and events : 15,000 Number of countries in which Berkana partner organizations operate : 10 Approximate number of lives touched by Berkana Exchange learning centers : 30,000 URLs : www.berkana.org, www.berkanaexchange.net Berkana Index Our Beliefs • We believe many people in all places are being called to help, to be leaders. • We trust that people want to learn how to live together in ways that sustain humans and all life. • We believe that humans are at a critical choice point—our very survival depends on how we choose to live together now on this planet. • We believe that life (living systems) is the best teacher for how to organize, change, and create. Our work is based on an in-depth understanding of living systems. • We believe that people thrive in relationships. We experience connecting with the global family as joyful. Our Values • We rely on human goodness. • We depend on diversity. • We trust in life’s capacity to self-organize in sustainable, interdependent systems. 04 Our Beliefs About Change Despite current ads and slogans, the world doesn’t change one person at a time. It changes as networks of relationships form among people who discover they share a common cause and vision of what’s possible. This is good news for those of us intent on changing the world and creating a positive future. Rather than worry about critical mass, our work is to foster critical connections. We don’t need to convince large numbers of people to change; instead, we need to connect with kindred spirits. Through these relationships, we will develop the new knowledge, practices, courage and commitment that lead to broad-based change. But networks aren’t the whole story. As networks grow and transform into active, working communities of practice and purpose, we discover how change actually does happen, which is through emergence. When separate, local efforts connect with each other as networks, then strengthen as communities of practice, suddenly and surprisingly a new system emerges at a greater level of scale. This system of influence possesses qualities and capacities that were unknown in the individuals. It isn’t that they were hidden; they simply don’t exist until the system emerges. They are properties of the system, not the individual, but once there, individuals possess them. And the system that emerges always possesses greater power and influence than is possible through planned, incremental change. Emergence is how life creates radical change and takes things to scale. Since its inception in 1992, The Berkana Institute has been experimenting with the lifecycle of emergence: how people first connect to each other as networks of interdependent relationships, then grow more intentional about working together as communities of practice, and lastly emerge into powerful systems capable of large-scale influence. By applying the lessons of living systems and working intentionally with emergence and its lifecycle, we are demonstrating how local social innovation can be taken to scale and provide solutions to many of the world’s most intractable issues—such as community health, ecological sustainability and economic self-reliance. to have fluid membership; people move in and out of them based on how much they personally benefit from participating. Stage Two: Communities of Practice Networks make it possible for people to find others engaged in similar work. The second stage of emergence is the development of communities of practice. Many such smaller, individuated communities can spring from Stage Three: Systems of Influence The third stage in emergence can never be predicted. It is the sudden appearance of a system that has real power and influence. Pioneering efforts that hovered at the periphery suddenly become the norm. The practices developed by courageous communities become the accepted standard. People no longer hesitate about adopting these approaches and methods and they learn them easily. Policy and funding debates now include the perspectives and experiences of these pioneers. They become leaders in the field and are acknowl- The Lifecycle of Emergence Stage One: Networks Communities of Practice: Developing New Practices Together a robust network. Communities of practice are also self-organized. People share common work and realize there is great benefit to being in relationship. They share what they know, support one another, and intentionally create new knowledge for their field of practice. In a community of practice, the focus extends beyond the needs of the group. There is an intentional commitment to advance the field of practice, and to share those discoveries with a wider audience. They make their resources and knowledge available to anyone, especially those doing related work. The speed with which people learn and grow in a community of practice is noteworthy. Good ideas move rapidly amongst members. New knowledge and practices are implemented quickly. The speed at which knowledge is exchanged is crucial because local regions and the world need this knowledge and wisdom now. Systems of Influence: New Practices Become the Norm edged as the wisdom keepers for their particular issue. And critics who said it could never be done suddenly become chief supporters. Emergence is the fundamental scientific explanation for how local changes can materialize as global systems of influence. As a change theory, it offers methods and practices to accomplish the systems-wide changes that are so needed at this time. As leaders and communities of concerned people, we need to intentionally work with emergence so that our efforts will result in a truly hopeful future. No matter what other change strategies we have learned or favored, emergence is the only way change really happens on this planet. Networks: Discovering Shared Meaning and Purpose We live in a time when coalitions, alliances and networks are forming as the means to create societal change. There are ever more networks and now, networks of networks. These networks are essential for people finding likeminded others, the first stage in the lifecycle of emergence. But networks are only the beginning. They are based on self-interest—people usually network together for their own benefit and to develop their own work. Networks tend 05 How We Work Berkana works intentionally with this lifecycle of emergence. We focus on finding and supporting those who are pioneering new ways, those efforts and communities who are discovering solutions to some of the most widespread problems of these times. These pioneering leaders and communities exist everywhere. We strive to strengthen and develop these leaders by working with them as a new unit of scale, that of communities of practice. It is in these communities that learning accelerates, and healthy and robust practices develop quickly. As these communities of practice develop their expertise and stay together, emergence into a system of influence becomes possible. Berkana engages in four key activities to accelerate the lifecycle of emergence. is always to connect it to more of itself. A human community becomes stronger and more competent as new connections are formed with those who formerly were excluded or on the periphery, as communication reaches more parts of the system, and as better relationships develop. Berkana helps form strong and effective human communities. We design gatherings and host networks of people interested in exchanging ideas and resources. When community members are too busy to develop the connections they need, those who have the privilege of seeing the whole need to support multiple ways for people to connect with one another. the learning and practices of these pioneers. And these leaders are already highly efficient users of resources—they’ve been stretching meager means for years. inspiring and temporary deviations from the norm. It takes time, attention, and a consistent focus for people to see them for what they are: examples of what’s possible, of what our new world could look like. By shining a light on the efforts of pioneering leaders, Berkana is working to develop a high level of public awareness, to attract attention and resources to their efforts, and to encourage others to step forward on behalf of the issues that most concern them. IV. Illuminate the Community There is a critical need to tell the stories of those who are bringing forth new ways of living and learning in community. It is difficult for any of us to see a new paradigm, even when it’s right under our noses. If people even notice pioneering efforts, they are most likely to see these as III. Nourish the Community Communities of practice need to be nourished with many different resources. They require ideas, methods, mentors, processes, information, technology, equipment, money. Each of these is important, but one great gap is that of knowledge—knowing what techniques and processes are available that work well. Berkana helps communities to fill the gaps in their knowledge, leading them to discover, adapt and use available techniques and processes that are known to work well in multiple settings. The most significant nourishment, of course, comes from the interactions and exchanges among pioneering leaders themselves. Strong, healthy communities emerge as leaders offer one another new approaches—to civic engagement, for example, or to valuing a community’s assets, or regionalizing local initiatives. To bring good resources to eager learners is such a simple and powerful means to promote I. Name the Community Pioneering leaders often act in isolation, unaware that they are part of a broader community of kindred practitioners. Berkana’s gift to these leaders is noticing who they are and naming the broader community that they could connect to. Through our initiatives, we help form communities of diverse leaders who share similar values and visions. United by purpose and intention, these leaders gain confidence, courage and commitment. They find new energy to stay in the challenges and struggles of pioneering the new. They become an inspiration to others, and a powerful source of new knowledge about what works. II. Connect the Community In nature, if a system lacks health, the solution 06 Our Stories Despite current ads and slogans, the world doesn’t change one person at a time. It changes as networks of relationships form among people who discover they share a common cause and vision of what’s possible. At Berkana, we believe that change begins as local actions spring up simultaneously in many different areas. If these changes remain disconnected, nothing happens beyond each locale. However, when they become connected, local actions can emerge as a powerful system with influence at a more global or comprehensive level. That means our commitment is to find and support leaders who are acting locally in their own communities to create meaningful change on the ground. They know their work will have greater impact when they connect regionally with others who share their culture and context. And in service of their vision of widespread change, they are called to learn “trans-locally” with other community leaders across the globe. While staying deeply rooted in local action and local change, they know that deeper transformation is possible when good ideas and effective practices move openly and fluidly around the world. The stories we offer here illuminate how these leaders find courage, develop their skills and engage others to create the world we wish for. Acting Locally For Berkana, all change begins at home. 07 The leaders we support are people who step forward inside their communities to make a difference. This kind of leadership results in local action in many forms: An elder becomes less dependent on others for sustenance because he learns how to grow food on his balcony. People get access to reliable information about what’s happening in their community in a time of crisis. The kinds of principles and values described elsewhere in this review are the foundations for this local action. Everything we truly need is already available to us. Our leaders are already present in our communities. We treat one another with respect and offer deep listening. We begin with an invitation. Growing Food Sustainably in Downtown Montreal Santropol Roulant is a learning center in Montreal, Canada, which uses food to break social and economic isolation between the generations and to strengthen and nourish local community. Their core work is an innovative meals-on-wheels program delivering 100 meals per day to elders with a loss of autonomy. In 2006, they began to offer their clients the opportunity to produce their own food, right at home. The “Ready-to-Grow” kits are made with upcycled (made from waste) materials, including a plastic tub with a false bottom, filling tube, water reservoir and soil mixture. The project allowed seniors to produce ecologically sustainable balcony gardens and provided the Roulant’s volunteers with the chance to co-create something with their clients. Below are excerpts from what one volunteer and one client said about their experience. plant and a mint plant in my flower box and he added a lavender plant to the tub. My balcony looks like a rooftop garden! In the first days of July, I invited some residents in the building to come and admire my garden. I was sure to invite Mrs. Baril and Mrs. Isabelle so that they would consider the possibility of putting these kits on their balconies, situated above the dining hall… Exactly one month after the first flowering, I harvested the first tomato—a little deceptive, for it appeared to be yellow, but it was red! Let’s hope that the other plant gives us giant yellow tomatoes! Bravo to the four of us!“ Henri Bouchard, Client Member Staying Connected During a Crisis During the summer of 2006 a remarkable social movement emerged in the Mexican state of Oaxaca.Universidad de la Tierra (Unitierra), a learning center based in Oaxaca, played a significant role in the grassroots-based media movement which supported the citizens’ six-month occupation of the city. The state-wide protests began after the local government ordered a brutal repression of a peaceful teacher’s strike in June. During this attack, a local radio station was destroyed, leaving protesters, organizers and citizens in the dark about the current situation. Unitierra stepped in to create a news-based website with regular bulletins, warnings, analysis, photos and video footage. One of Unitierra’s founders, Gustavo Esteva, shared these thoughts about the learning center’s work to keep people informed, aware and connected as a community during this time of crisis. “I have had the privilege this season to help Mr. Bouchard set up his own balcony garden. Little did we know how much we’d be learning from him!” He has been gardening since he was seven years old, making it 80 years of gardening experience. This is the first year, though, that he hasn’t been able to make the long trek to the garden behind his apartment building and work the earth as he’s been doing for so many years. Having a Ready-to-Grow kit on his own balcony has given him a way to continue gardening, but not have to worry about falling on his way there or deal with the difficulties of bending over, which gardening in the soil requires… “I have so much to learn from him, and hope that this relationship that is just blooming will continue to blossom even after the season is over.” Rotem Ayalon, Volunteer “The first casualty in this upheaval has been the flow of information. Oaxacans are living in the midst of all types of rumors, and there is no reliable source of news or understanding of what is going on... We have now created a daily electronic bulletin, with brief notes at 7 pm every evening. We report the plain facts with no interpretation or qualification. We have access to the pertinent sources and will have a full team collecting and reporting the news. We have initiated a series of interviews with ordinary men and women. We want to allow all voices to be heard. We already have hundreds of hours of tapes covering the stories of those who have been involved in the struggles of the recent months. We print a weekly news bulletin (an electronic version) with three sections: a synthesis of the events of the week, based on the daily bulletins; the story of the movement, the voices of the actors—ordinary men and women, not necessarily ‘leaders’ from our interviews; short articles with different perspectives on the process. We have collaborated in the production of video documentaries based on the current collection of footage that we have and additional interviews taped in the past few months.” Gustavo Esteva, Unitierra “On the first of June, upon an invitation from Marc at Santropol Roulant, I assisted in a demonstration of the ‘ecological garden.’ The following day, I accepted the invitation to take up this new challenge and on the 10th of June, the trio of experimenters—Rotem, Erin and Mark—proceeded to assemble the kit and install it on my balcony and to plant two tomato plants and one basil plant. On the 15th of June, the first tomato flowers appeared. On the 24th, I received a wonderful visit from Miss Rotem and Mr. Marc, who seemed very satisfied with the results of their work and my care of the plants. On the 30th of June, Mr. Marc planted a nasturtium, a basil 08 This work cannot be done alone. It also requires difference—diverse points of view and experience make it possible for us to see the world more whole. These leaders know their work will have greater impact if they connect to those with whom they share culture and context. When local actions get connected regionally, they become more powerful. These stories show how people are reaching out within their regions to find others who share their passions and with whom they can exchange practices. Incubating Youth Leadership in India Many younger leaders (18-40 years old) have resisted the lure of mainstream careers and are struggling to journey on a road of their own making. These leaders have taken bold steps to “walk out” of their current livelihoods and to “walk on” to create something new. In 2006, Berkana piloted a Youth Leadership program in partnership with Abhivyakti and Shikshantar, two learning centers in India. The eight Berkana Fellows, as they have come to be known, formed a learning community that would help one another strengthen their initiatives, sharpen their vision and enhance their capacity for action. They met frequently to reflect and learn together and to support one another in creating films, e-zines and photo essays to share their experiences. What follows are reflections by Berkana Fellow Naveen Vasudeva after a gathering he attended in Ladakh. close-knit community ties that they derive a lot of strength and nourishment from. It’s true that they lack many modern ‘benefits,’ but does it really matter since they all seemed content and happy? Isn’t that what’s important at the end? This understanding has deepened now for me. I now think localization can also be a spiritual process and not just an anthropocentric discourse on environmental sustainability. Just as being psychologically rooted in the ‘hereand-now’ is important for an individual to be in harmony with one’s deeper self, being grounded in the local has the potential to wake a community up to its sacred connections with the Earth. This awareness could also help in shedding man’s ego-centrism and false superiority and find his right place in the web of life. I also find myself thinking a lot about ‘social change.’ A lot of people I get to meet or hear about in the media, from the president of the country, to corporate bosses, to NGO do-good ers, to the young school children in our classes… everybody wants to change the world, ‘develop’ the country. What is my understanding of social change? Why change at all? How is it interrelated with the individual? What is ‘right action’ in a society where living by one’s values is becoming increasingly difficult? How do I find the required courage and strength as life’s challenges mount further?” Naveen Vasudevan, Berkana Fellow Connecting Regionally Pioneering leadership requires close companions. “On the bus ride back, I was wondering about the absurd notions of ‘development’ prevalent today. These people [in the Ladakhi villages] havebeenlivingthiscontented,self-reliantway of life for thousands of years despite the difficult geographic and climatic conditions. All their needs are met locally, and they also have Practicing the Art of Hosting in Eastern Canada During the summer of 2006, the Shire, a learning center in Nova Scotia, held a four-day Art of Hosting workshop for 36 people. Organizers called together a diverse group of government, 09 social and religious leaders from the local community, alongside non-profit leaders and social entrepreneurs from all over Eastern Canada. The Art of Hosting is a training built on the idea that seeking positive change calls for involvement, collective intelligence and co-creation. This session led to the initiation of several regional initiatives, including a youth center in Yarmouth County that would be supported by a regional network of practitioners working with youth in Halifax, Prince Edward Island and Montreal. Here’s what some participants had to say about their experience. Why “trans-local”? We’ve said that large-scale systems change emerges when local actions get connected globally—while preserving their deeply local culture, flavor and form. There is no universal solution for the challenges of poverty, community health or ecological sustainability. But there is the possibility of widespread impact when people working at the local level are able to learn from one another, practice together and share their learning with communities everywhere. A Learning Exchange between India and South Africa At Shikshantar learning center in Udaipur, India, a young man named Vishal has a passion for something called kabaad se jugaad, or making useful things out of waste—what we call “upcycling.” For example, he takes old suitcases and broken mirrors and car windshields and turns them into solar cookers. He turns waste paper into furniture and art. In April 2006, he traveled for three months to Johannesburg, South Africa, to share these skills with Dorah and the team at the GreenHouse Project in exchange for learning about their unique practice of urban agriculture (growing crops vertically in constrained spaces) and learning how to live a zero-waste life. “There’s a ripple expanding through Yarmouth… Talk about this youth center has been going on for quite some time now, and nothing has been done. Reason being: lack of communication. Different organizations have been talking amongst themselves but not with each other… The Shire held a training called the Art of Hosting which helped facilitate this communication. During this workshop, we invited different organizations from the Yarmouth community that were talking about the same thing and got them talking with each other. Now many members of the community have plans and there is a lot of excitement for this upcoming project.. Curtis Wood, Re-Evolution Youth Program Participant Learning “Trans-Locally” What follows are excerpts from Vishal’s report on his experience. What happens when local action gets connected. 10 “This was the first time that I stayed away from home for so long, and that too in a foreign country. The journey by plane gave me the jitters and also made me very excited. It is difficult to describe what I was actually going through. The GreenHouse Project was not like any other greenhouse full of plants. Instead, it housed many experiments around organic farming and ecofriendly construction. It has been built with a lot of wood and glass so that plenty of light could come in. Even the floors are made of dirt dug from around the area and small pieces of bricks and tiles. I loved the mountain and my early morning walks, the yoga, and I feel I am getting new and better energy from all the physical and spiritual connection one was experiencing with all the friends. The singing and dancing, the food has transformed me and now we in IDSP are also using the same food for our breakfast and lunches and snacks. We (all of us) now do everything by our own hands… Once again many thanks for all the love and care Quratulain Bakhteari, IDSP …I enjoyed sitting after office hours and talking with Zini, Dumi and France until late at night. In one of our conversations, it came out that I had a habit of forcing my opinion on to others. For example, when I was talking to people about upcycling waste, I also shared how I felt that the problem of waste could not be solved unless we also boycotted the use of certain things, such as plastic bags, altogether. This is something I firmly believe I and want to see happen. But some people felt from my tone and way of speaking that I was forcing this opinion onto everyone else, that I wanted everyone to do the same. They also felt a certain aggression in me and said that was harmful for all of us. Sometimes, I feel I force my readymade ideas and solutions onto others, without giving them a chance to think for themselves. I find this problematic about myself and have been struggling to change it. I want to make my questioning more powerful, so I can trigger questions in people’s minds and they can relate to them.Only then can they find solutions for problems in their own contexts, with their own resources.” Vishal Dhaybhai, Shikshantar Learning New Ways on a Journey to Africa In October 2006, three friends from Vancouver, British Columbia, traveled to southern Africa to join Berkana on a Learning Journey. A Learning Journey is an opportunity to discover the new forms of leadership emerging beyond our own communities. Immersing ourselves in an entirely different learning context frees us to think differently. It stirs the imagination. And it reconnects us to the aspirations that once called us to step forward as leaders. This journey focused on what participants might learn from Kufunda Learning Village in Zimbabwe and the GreenHouse Project in Johannesburg, two learning centers in the Berkana Exchange. Practicing the Art of Learning Centering in Mexico In May 2006, the Berkana Exchange hosted our annual gathering of learning centers in Oaxaca, Mexico. The Art of Learning Centering is the practice of hosting local spaces where people gather to explore and invent ways for communities to become healthy and resilient. The gathering included 35 participants from nine countries. Quratulain Bakhteari is the founding director of the Institute for Development Studies Pakistan (IDSP), a new learning center in the Exchange. The following is an excerpt from a letter Quratulain wrote to Berkana upon her return to Pakistan. “We’ve had many journeys before, but none prepared us for what we found there. We encountered a mosaic of something quite familiar, and others quite foreign. We worked alongside city folk to collect recyclables from the streets in downtown Johannesburg and built vertical garden barrels in Joubert Park. We worked with rural folk to cut back prickly pear bushes and to build compost toilets at Kufunda Learning Village outside Harare, Zimbabwe. But what touched us most on our journey was something less tangible than vertical gardens or compost toilets, and something we think is even more important. In Johannesburg and at Kufunda, we visited and played with children in preschool projects and were touched deeply by the passion and care that the preschool teachers demonstrated for the children. The ways they use rhythm, song and physical activity far surpasses anything we’ve seen in Canada. “First of all, I am very thankful for everyone who made it possible for me to be with you all and with all the friends from the world. I never before met so many people who believe and practice to make a difference in the current development thoughts and domination. I was very much taken by the love and care everyone extended to me in Mexico, while being part of the first five days, I learned that first of all one has to choose the path for oneself and for one’s organization… If we believe that being a caring and sharing person with all around you—with the environment, with nature, and with people on equal levels, and that we cannot waste earth’s resources—we cannot ask someone else to do our dirty work. We cannot have differences with people on the basis of ‘developed’ and ‘not developed’; on education and status; on how to have control over one’s resources and not to waste them; on recycling and becoming an organic user… I also learned that it is possible to practice simple and more humble ways to live rather then consuming more and more for you own self. Even before the end of the trip, we knew we would invite Mathibedi from LaPeng Family and Child Center in Johannesburg and Patricia from Kufunda to Vancouver for a mutual learning exchange. By bringing these two fine young women together with our many `colleagues in the Vancouver area, we know we will create an inspiring exchange of learning. We’ve asked Mathibedi and Patricia to spend time visiting our childcare and preschool programs, talking with parents and teachers, and helping us dream about what else might be possible. We know that they’ll return to Africa knowing they have made a difference here and they will return understanding their own work better from their time spent sharing with us.” Doreen George, Janey Talbot and Violet Zaytsoff 11 Our Programs Our work at Berkana falls into four domains. The Berkana Exchange is a laboratory for learning what it takes to invite people to step forward on behalf of their own communities. We are doing this as a community of practice among leadership learning centers throughout the globe. Learning Journeys are an opportunity to gather groups of people and travel with them to learn with our partners in the Exchange. They represent a major investment of time and resources to provide a transformative connection to this work. The Art of Hosting cultivates people’s capacity to host conversations about what matters. We believe that one of the most critical needs of our time is for people to once again learn how to engage in deep and meaningful conversations that nurture collective intelligence and lead to wise action. Learning Services allow us to bring what we’re learning to organizations and communities throughout the United States and beyond through consulting, speaking engagements, dialogues, events and publications. Finally, the Berkana Marketplace imports innovative crafts from the learning centers. Berkana Exchange The Berkana Exchange connects pioneering leaders throughout the globe around their shared commitment to making a difference in and beyond their communities. These leaders are developing the capacity to solve their most pressing problems—such as community health, ecological sustainability and economic self-reliance—by acting locally, connecting regionally and learning globally. We work with leadership learning centers, places where people gather to develop their capacity as leaders in their organizations and communities. We believe substantive change happens locally through the collective actions of ordinary people. And we believe transformation happens globally when local efforts are connected and people learn together. These local initiatives are committed to strengthening a community’s leadership capacity and self-reliance by working with the wisdom and wealth already present in its people, traditions and environment. We have found these learning centers in on every continent. We know they are everywhere. By connecting them to one another—and to people worldwide who want to support and learn from their experiments—enormous power for change emerges. 12 Berkana Exchange There are currently 12 learning centers in the Berkana Exchange • • • • • • • • • • • Abhivyakti Media for Development, Nashik, India Axladitsa-Avatakia, South Pelion, Greece Elos Institute, Santos, Brazil The GreenHouse Project, Johannesburg, South Africa Institute for Development Studies and Practices, Quetta, Pakistan Kufunda Learning Village, Ruwa, Zimbabwe Llano Grande, Edcouch, Texas, USA Santropol Roulant, Montreal, Canada Shikshantar, Udaipur, India Synapse Center, Dakar, Senegal The Shire, Yarmouth, Canada to another. As a community, we have agreed to a rigorous set of principles for how these exchanges are conducted. Both participant and host commit to introducing new skills to each other, which they will continue to practice after the exchange has ended. They also commit to documenting what they have learned in a form (such as a manual, video or photo essay) that can be used at learning centers elsewhere. This model of “crosspollinating” learning spreads tangible, accessible knowledge throughout the network. The Art of Learning Centering Each year in the spring, we gather as a complete community of learning center leaders to explore our shared practice in supporting healthy and resilient communities. The Art of Learning Centering, as this gathering is known, is the highlight of our work as a community. It generates new vision, harnesses shared learning and revives our spirits. It is an opportunity to share our skills with one another as we work side-by-side at someone’s learning center. It is also an opportunity to explore the questions that challenge us most—such as how to engage the local community, improve relationships with government or approach succession planning. Most important, it is an opportunity for us to simply be together, to know that we are not alone in this difficult endeavor. In 2006, we gathered in Oaxaca, Mexico, hosted by Unitierra. In 2007, we will gather once again, this time at Axladitsa-Avatakia in Greece, the newest learning center in our community. Apprentice Program Until recently, the Exchange has chosen to work predominantly with existing learning centers that have already demonstrated some success and continuity in working with their local community. But as the learning center movement continues to strengthen and attract others, we see an exciting opportunity to support emerging centers by relying on the wisdom and experience of “veteran” learning centers. The apprentice program matches start-up learning centers with existing centers, and together, we design a 12-month program of engagement. Strategic and Technical Support The Berkana Exchange offers the following types of strategic and technical support to learning centers: • Strategic Guidance. Our relationships with each learning center become quite intimate, allowing us to serve as both strategic advisor and family member. We may sit on boards, host annual reflection sessions, manage and establish budgets and help set priorities. • Making Knowledge Visible and Accessible. The success of this community depends upon finding out what works and making best practices available to others. We do this by harvesting our learning, making it available online in NewWorkSpaces and disseminating it to friends, supporters and thought partners • Technical Services. We are available to support learning centers in selecting acquiring and learning how to use hardware and software. When possible, we also share online software licenses, such as database and e-marketing purposes. How We Work What can we do better when we do it together? Where is the learning done in one place really valuable in another? There is a deep satisfaction in knowing others around the world are engaged in similar work, but that satisfaction is insufficient to create sustainable change. In the Berkana Exchange, we have developed practices through which our relationships with one another can have a direct and tangible impact on our work and our communities. These practices include: Co-Created Agreements A Co-Created Agreement is a contract between the Berkana Exchange and each learning center in the community. Each year, we engage in a process of naming our commitments to each other, and we hold these commitments to guide us through what will undoubtedly be a year full of surprise and learning. Each center receives at least $10,000 USD to apply to learning opportunities, such as participating in learning exchanges, attending the Art of Learning Centering, and “harvesting” their ideas—that is, producing materials that make their work visible to others in the community. Learning Exchanges We have said that the work of the Berkana Exchange is about discovering what happens when the learning of a community does not get lost, when it moves openly and fluidly around the globe. The purpose of learning exchanges—or, visits between learning centers—is to share our knowledge, ideas and experiments so that our collective power for change shows up in every community we touch. An exchange is a structured visit from one learning center 13 • Fundraising Support. We maintain an online catalogue of fundraising opportunities with foundations, make recommendations to learning centers and provide support through the grantwriting process. We also support learning centers in direct solicitation of donors. Financial Support In addition to the financial support we provide through the Co-Created Agreements, the Berkana Exchange supports the growth and development of learning centers with specific types of financial assistance. The Bridge Loan Program offers short-term loans to learning centers that are facing immediate cash shortfalls. As Fiscal Agents, Berkana serves as a U.S.based 501c3 that can receive donations on behalf of all learning centers. The Lifeline Fund makes available up to $3,000 USD that the Exchange community can offer learning centers in need of additional funding. Rather than serving as a loan, the Lifeline Fund is a one-time gift. It will be administered by the learning centers on behalf of their peers. Organizing as Communities of Practice A resilient community is one that engages all of its members—women, men, elders and youth—in holding a shared concern for the six practice areas listed below. At the Berkana Exchange, we organize as “communities of practice” that share expertise or a passion for something and interact regularly to learn how to do it better. These communities provide an opportunity to develop our skills and wisdom as leaders, and to build relationships that will allow us to better serve our communities. • Number of learning centers in 2006 : 12 Amount allocated to learning centers in 2006 : $222,181 Percent growth over 2005 : 93 Number of team members working at the learning centers : 197 Approximate number of people enrolled directly in learning center programs : 9,700 Additional number of people reached by learning center events and publications : 20,300 “The Berkana Exchange amplifies what is happening at each learning center so we can have lobal impact. To have a place where we can see ourselves, take time and connect with others—with Anita in India, Tim at the Shire, Marianne in Zimbabwe—is a great service. To stay alone would mean that the work would be so hard. It would take longer. I believe we don’t have time. Being in the Berkana Exchange nourishes me—it allows me to stay in the work. You are giving us the gift of being able to see ourselves.” Maria Scordialos, Axladitsa-Avatakia, Greece Berkana Index Feeding Ourselves Sustainably: Developing the practices our communities need to maintain a sustainable food supply— which means meeting the needs of the present generation without compromising the ability of future generations to meet their own needs. Health and Healing: Exploring the intersection of traditional wisdom and modern solutions to individual and community health. Beyond Schooling: Somewhere along the way, we began to confuse teaching with learning, good grades with intelligence and certification with competence. We need to move beyond institutional definitions of education to rediscover the essential role of learning in our cultures. Ecobuilding and Upcycling: Reconceptualizing waste as an asset. We recognize that our local ecosystem provides us with ever- thing we need for building our homes and community spaces, creating art and music, nourishing our bodies and supporting our livelihoods. Media, Art and Culture: Reclaiming our creativity by exploring media forms which encourage reflection, cultural expression and dialogue. Businesses We Believe In: Creating and sustaining businesses that honor workers, communities and the environment. Exploring questions about the relationship between producers and consumers, the role of the cash economy, use of local resources and effect on the environment. • • • • • “In the Indian language, there is this concept called setu. Setu means a small bridge, a bridge that is built by your own hands with the resources around you—it might be a piece of log or a lot of stones that were around—to reach the other side of the bank. The distance to be crossed is not much, so you can actually communicate with people who are on the other side of the bank. I think for me and my learning center, Berkana Exchange invites that kind of building a setu: connecting with the different learning centers, allowing learning and also celebrating learning exchanges—exchanges of people, exchanges of knowledge, exchanges of practices.” Anita Borkar, Abhivyakti, India 14 Learning Journeys A Learning Journey is an opportunity to discover the new forms of leadership emerging beyond our own communities. At Berkana, we believe the rest of the world has something essential and important to teach us about leadership. Margaret Wheatley and learning center leaders host groups of up to 20 people on these journeys throughout the globe. Immersing ourselves in an entirely different learning context frees us to think differently. It stirs the imagination. And it reconnects us to the aspirations that once called us to step forward as leaders. Berkana Learning Journeys are centered around leadership learning centers, which ground our experience by providing us with a sense of place, an understanding of context and an invitation to enter into deep and lasting relationships. about the collision between traditional livelihoods and modern life. We immersed ourselves in the daily life of a learning center—reflecting on alternatives to traditional education, leadership and urban development—as we experimented with such projects as rooftop organic farming, hand-spinning khadi cloth, medicinal plants, arts for social dialogue, the “Walkouts Network” and more. The journey began in Mumbai, passed through Nashik and Udaipur, and ended in Delhi with a visit to the Taj Mahal, described by the poet Tagore as a “tear on the face of eternity” and undoubtedly one of the world’s most astounding buildings. Women Journeying Together in South Africa, March 2006 Our desire to create a Learning Journey for women leaders was born out of Meg Wheatley’s experience of working in South Africa for many years. She and Berkana staff have worked with women in South Africa who fought against apartheid as soldiers or who were imprisoned, who then earned professional degrees, who now hold positions of power in government, corporations, and non-profits. Others are young women social entrepreneurs, fired by energy and imagination, working overtime to create the new South Africa both in their local communities and at the national level for such issues as education, HIV/AIDS, microenterprise, arts, and the environment. During this unique journey to South Africa, we sat together, learned together, witnessed one another’s work, and shared experiences common to us as women leaders as we traveled from Johannesburg to Cape Town and on into the winelands of the Western Cape. The Contrasts of Southern Africa, November 2006 Our journey began in Melville, a neighbor- The intentions of each learning journey are to: In 2006, we hosted three learning journeys. A few highlights from our experience. Exploring Swaraj in India, February 2006 Swaraj, or rule over oneself, is inspired by Gandhi’s call for people to lead and create their own models of development that are holistic, sustainable, collaborative and socially just. In the Berkana Exchange’s first Learning Journey to India, we explored how pioneering leaders are creating new ways for communities to care for themselves. Our hosts were the founders of Abhivyakti and Shikshantar, two learning centers that are part of the Berkana Exchange. We spent time in rural communities, learning • • • • • Show how pioneering leaders and communities are already creating the change we wish to see in the world Challenge our view of the world, invite in disruption and open up new ways of seeing Explore our roles in creating and supporting the emergence of effective leaders and stronger communities Build the foundation for lasting and meaningful relationships with one another and with pioneering leaders elsewhere in the world Renew our energy and reinvigorate our organizational life 15 hood of Johannesburg where in the springtime of November people lounge outside in sidewalk cafés under the lilac-colored blossoms of Jacaranda trees. In areas only 15 to 20 minutes away by car, it is dangerous for anyone who doesn’t live in the neighborhood to be out alone at night. In this city of contrasts, we met with pioneering leaders and community initiatives throughout Soweto and downtown Johannesburg, including the GreenHouse Project, a learning center of the Berkana Exchange. From there, we traveled to Kufunda Learning Village in Zimbabwe, where we joined the learning center in their daily practices working with permaculture, building compost toilets, planting trees and more. We also visited with a traditional community to see how the skills of self-reliance taught at Kufunda are being put into practice. Our journey ended with a trip to Victoria Falls and a few days in Hwange National Park, home to one of Africa’s densest concentrations of big game. Art of Hosting The Art of Hosting and Convening Conversations explores hosting as a leadership practice. Hosting is convening the conversations most important to our communities, families and organizations. These three-day workshops offer a variety of methods and practices for engaging large and small groups. The challenges of these times call for collective intelligence. We must co-create the solutions we seek. The Art of Hosting practice is based on our assumptions that it is common sense to bring people together in conversation when you seek new solutions for the common good. We believe that when human beings are invited to work together on what truly matters to them, they will take ownership and responsibility for moving their ideas into action. “I found it to be an unforgettable lifetime adventure. It provided me with important insight that I will carry with me for the rest of my life. To me, it felt real. It resonated with me. I was infinitely taken with India itself, and the people and the sense of community they have. There’s a strength of spirit in India that was amazing. Not something I’ve experienced before. One of the things in the U.S. is we don’t know what we don’t know. Berkana is a voice for those new ways of being that are springing up all over the world—and a way to engender appreciation for other ways. Berkana is providing a stage on which these experiments can be seen by larger audiences.” Sherry Helmke, India Learning Journey participant Over the last ten years, Berkana has been part of an amazing global network of individuals and organizations exploring new patterns of leadership, change and self-organizing systems. The Art of Hosting was co-created in this network as together we became students of how to host inspired gatherings that unleash creativity and generate change. Some of our partners include Engage Interact!, Interchange, PeerSpirit, Pioneers of Change, The Shambhala Institute and The World Café. Together, we have formed a global community of practice to continually evolve our learning about how to lead by hosting conversations that matter. The Art of Hosting is also a core practice of leadership and learning for several learning centers in the Berkana Exchange. Every year, Kufunda Learning Village in Zimbabwe offers an Art of Hosting program and uses this retreat to deepen their own leadership practice and set their intentions for the year. At the Shire in Canada, this year’s Art of Hosting gave rise to the idea of launching a youth center and other community initiatives in Yarmouth County. Berkana sponsors public offerings of the Art of Hosting throughout North America, bringing this powerful leadership practice to many individuals, communities, families and organizations. The offering is for all those who aspire to learn how to work with groups in more interactive and engaging ways that nurture collective intelligence and lead to wise action. We also offer Art of Hosting as a consulting service, bringing these practices into specific communities and organizations. 16 Participants in the Art of Hosting Learning Services • • • • • Explore hosting as a core leadership practice for creating change Develop competence in interactive processes that produce learning, creativity and shared commitment to action, including Open Space Technology, Appreciative Inquiry, Circle, World Café and more. Learn to design and lead conversations that result in clearer thinking and intelligent action. Explore how to apply these tools to a relevant project in progress. Experience the Art of Hosting as a fundamental organizing pattern that invites profound shifts in how we might live and work together Number of AoH workshops called by Berkana in North America in 2006 : 4 Number of Participants : 130 Number of AoH workshops called around the world in 2006 : 13 Approximate number of participants : 330 Berkana Index “We sent three people from the Roulant to the Art of Hosting. I’ve never seen anything like it! Across the board, it had an amazing impact on them. The impact begins with the individual, transforms the organizational environment and feeds out into the community. I am seeing the most startling changes in the people who have been farthest away from this work in the past.” Jane Rabinowicz, Santropol Roulant “Thank you for transforming my life… How could I have known what tremendous inspiration would result? Your inspiration booted me down an intoxicating path of personal questing that further clarified and amplified the signals of human potential that I’d been trying to understand and say. The greatest gift of all is that I will be practicing the Art of Hosting in institution-building in my new role as Executive Director of the Pasadena Pops. The circumstances to practice a new way of community are all in place, and I feel tremendous energy to put servant leadership to the test.” John Hancock, Spokane, Washington Over the past several years, we have observed an increasing number of organizations and communities acknowledging that their approaches to creating change are not serving them. There has been a growing awareness of breakdowns in educational institutions, healthcare systems and other government and social services. People are searching for alternative approaches to chronic problems, and seeking new possibilities for healthier communities. 17 At the same time, Berkana has been deepening our practice in taking a living systems approach to organization and community change (see “Our Beliefs About Change”). More and more often, we find ourselves being asked to tell our stories and share our tools and processes. Learning Services emerged in response to these invitations to speak about our work, to provide consulting services and to design and host dialogues and events. In 2006, our total income generated by Learning Services quadrupled to $167,858, providing a new engine of resources to support the Institute. Speaking and Consulting In March of 2006, Berkana Co-President Bob Stilger gave a keynote address to an audience of 400 at the American College of Mental Health Administrators. He spoke about leadership in the context of cross-sector collaborations. This address led to several consulting engagements, including what has since become a long-term partnership with the Department of Community Services of Clark County in Vancouver, Washington. Struggling with a health system that has been fragmented across multiple agencies, Clark County has invited Berkana to help create a large-scale change initiative to rebuild community health. They see the learning centers of the Berkana Exchange as a source of tremendous wisdom in how to recreate a connected, interdependent community. Dialogues and Events Berkana debuted a series of new dialogues and events in 2006, starting in May with a conversation about the Now Activism. Fifty people joined us in a weeklong inquiry in Oaxaca, Mexico, about the form of activism arising in the world today. We also launched the Women’s Leadership Revival Tour, an invitation for women to gather together in deep reflection and joyous discovery of where they can most meaningfully offer their leadership. Hosted by Meg Wheatley, the Tour passed through four cities in 2006 and continues traveling throughout the U.S. and Canada well into 2007. Finally, on a rainy November night in Cambridge, Massachusetts, we held our first Rhyming for a Reason, an evening of song, celebration and powerful poetry that used the arts to illuminate and inspire new ideas of community and social change Berkana Marketplace Income generated through speaking and consulting in 2006 : $59,021 Income generated through speaking and consulting in 2005 : $6,597 Income generated through dialogues and events in 2006 : $108,837 Income generated through dialogues and events in 2005: $35,541 “It’s so rare to find the combination of sincerity, drive, and talent that you have involved in Rhyming for a Reason. The performers, the emcee, the audience, the lighting guys, the volunteers working the product tables—everyone there was not only pleasant to listen to perform and do their job, but incredible to talk to. If you ever need more volunteers or performers, let me know, and I’ll spread the word in any direction I can that y’all are a blast to work with.” Adam Stone, Poet Berkana Index In June 2005, Randal Rucker, CEO of Family Service of Greater Boston, a 170-year-old social service agency, joined Berkana on a Learning Journey to Southern Africa to explore the new forms of leadership emerging beyond our own communities. Randal’s imagination was stirred by a place called SoMoHo, the Soweto Mountain of Hope. There, a barren and dangerous open space in the neighborhood had been buried in industrial waste for years. With no funding, unemployed men, women and children began creating beautiful pieces of art out of newspaper, glass bottles, plastic bags and more. The community began to see waste as an economic asset and an opportunity to transform their relationship to poverty and pollution. 18 When he returned to Boston, the “Crafting Communities” project was born—the first initiative of the Berkana Marketplace. This five-week learning exchange brought two artists, Bongile Mkhize and Marjorie Maleka, from Soweto to Boston to teach our families and communities about “upcycling,” the practice of converting waste materials into products of greater value. Their visit culminated in Berkana hosting a booth at Family Service’s annual craft-show fundraiser, where we sold upcycled art from SoMoHo, as well as stone sculptures and batiks from Kufunda Learning Village in Zimbabwe, organic chocolate and rugs produced in collaboration with Unitierra in Mexico, and jewelry from a women’s cooperative associated with Elos Institute in Brazil. The Marketplace also features educational materials, such as books and DVDs by Meg Wheatley, Conversation Starter Kits and more. The Berkana Marketplace also appeared at the Pegasus Systems Thinking in Action conference, as well as at Rhyming for a Reason and on the Women’s Leadership Revival Tour. The purpose of this initiative is not merely to generate income through product sales on behalf of the learning centers. The Marketplace is an opportunity to bring to life the work of the learning centers in a way that people can touch and feel. There is enormous innovation going on outside the United States. Communities are re-imagining how they see waste. As Bongile told us, “Where you see a used plastic bag, I see a beautiful handbag or a pair of brightly colored shoes.” Magazines are rolled into elegant beads for long necklaces and belts. Aluminum cans are woven into funky bracelets and coasters. Old bicycles are transformed into cacao grinders that produce the most delicious all-natural chocolate. These are the stories that matter—and the Marketplace is an opportunity for people to carry these stories home, to wear them at work, to share them with friends. Contact Us Boston Office 1280 Massachusetts Avenue, Suite 203 Cambridge, MA 02138 Tel: 617.868.0337 x.104 Fax: 617.868.0076 debbie@berkana.org Spokane Office 350 East Tenth Avenue Spokane, WA 99202 Tel: 508.835.4228 Fax: 508.835.4182 bob@berkana.org The Berkana Institute www.berkana.org Berkana Exchange in NewWorkSpaces www.berkanaexchange.net Total product sales in 2006 : $18,246 Price range of products : $3 to $300 Average product price : $30 Approximate value of products in inventory for 2007 sales : $9,000 “Bongile and Marjorie shared their beautiful hearts and souls with many of the youth, children and families in the care of Family Service of Greater Boston. Many of our clients and program participants deal with such a layering of stresses, that keeping one foot in front of the other is often a challenge. Through Marjorie’s and Bongile’s careful explanations of ‘upcycling’ and their classroom demonstrations of the same, people were able to see beyond the here and now and imagine a different, transformed and more beautiful place. For our clients who were fortunate enough to experience first-hand this global artistic and cultural connection, it meant envisioning beyond their current hurts and challenges and finding creative peace.” Randal Rucker, Family Service of Greater Boston Berkana Index 19 Financial Performance In 2006, The Berkana Institute grew by 105 percent, bringing income to nearly $1 million. Of our total expense, 86 percent was dedicated to programs, maintaining a healthy 14 percent allocated to operating expenses, despite the rapid expansion of our work. We grew our team from two full-time members to six, and added a second office in Cambridge, Massachusetts. It was a full, fast and intense year, and our intentions for 2007 are to slow the action down a bit and settle into our new form. We are projecting more modest growth of 12 percent, and will be investing in building our systems and infrastructure to sustain this higher level of activity. The Berkana Institute Income Donation Income Directed Donation Income In-Kind Donations* Foundation Grants Learning Journeys Art of Hosting Learning Services Berkana Marketplace Other Income Total Income Expenses Program Expenses Berkana Exchange Learning Journeys Art of Hosting Learning Services Berkana Marketplace Total Program Expenses Operating Expenses Fundraising Administration Total Operating Expenses Total Expenses Net Ordinary Income 2004 110,357 10,505 64,000 20,750 68,135 28,296 78,404 4,269 249 384,965 2005 186,120 23,237 64,000 20,000 116,716 26,369 42,138 2,176 5,893 486,648 2006 204,136 81,018 64,000 82,677 143,090 104,026 167,858 18,246 133,358 998,403 Budgeted 2007 255,000 24,000 73,082 171,346 235,920 100,000 257,184 11,815 3,000 1,131,347 117,697 80,668 18,052 57,412 0 273,829 16,000 63,926 79,926 353,755 31,210 263,981 77,869 33,343 37,521 0 412,714 16,000 49,143 65,143 477,856 8,792 333,085 133,575 100,058 138,794 23,625 729,137 16,452 106,249 122,701 851,838 146,572 406,152 195,581 95,000 172,966 11,613 881,312 16,000 229,565 245,565 1,126,876 4,471 * In-Kind Donations is comprised of donated staff time. See note below. 20 Budget Narrative An Explanation of Income. • Donation Income v. Directed Donation Income. Donation Income includes gifts from individuals to The Berkana Institute that can be used for programmatic or operating purposes. In 2006, individual contributions totaled $204,136, with a median gift of $10,000. Directed Donation Income includes gifts from individuals that are directed to learning centers or other learning partners (such as Pioneers of Change). This figure can be highly variable, as it includes the learning centers’ own efforts to fundraise directly from U.S. donors. • In-Kind Donations. Much of Berkana’s work is based on volunteerism—and there is far more time donated to Berkana than we could possibly account for. What we have captured in In-Kind Donations is the time donated by Deborah Frieze, Berkana’s Co-President who donates $64,000 of her $80,000 salary back to Berkana. That figure will increase in 2007, as the total compensation for both Co-Presidents will now include benefits. • Foundation Grants. In addition to an ongoing $15,000 annual grant from the Fry Foundation, Berkana secured two new grants in 2006. We received a $22,023 grant to launch the Berkana Marketplace in partnership with SoMoHo, a South African community organization. We also received $45,654 of a two-year grant totaling $100,500 from the Robert G. Hemingway Foundation to support the movement of the Brazilian School of Warriors Without Weapons program throughout the Berkana Exchange. • Learning Journeys. In 2006, we hosted three learning journeys: two were “Berkana Exchange” journeys, which covered all costs; the third journey was hosted by Meg Wheatley and covered costs as well as raised funds for the Institute. • Art of Hosting. Income shown here represents registration fees for the four Art of Hosting workshops called by Berkana. Net income was just short of $4,000. We anticipate similar performance in 2007. • Learning Services. In 2006, we launched a speaking and consulting practice within Berkana that yielded a net of $39,106 on income of $59,021. We also kicked off the Women’s Leadership Revival Tour accounting for an additional $40,000 in income in 2006, and an anticipated $126,276 in 2007. • Berkana Marketplace. We piloted this program in 2006 and broke even. Income does not reflect the grant that supported its launch (see “Foundation Grants” note, above). Income projections for 2007 reflect anticipated sales of existing inventory. • Other Income. The bulk of this figure ($130,389) in 2006 represents debt forgiveness on loans received by Berkana in 2003 from board directors and officers for an initiative that was intended to make the Institute more economically self-sufficient. The venture was not successful. As of 2007, a balance of $40,000 remains on Berkana’s books. An Explanation of Program Expenses • Berkana Exchange. Each of the 12 learning centers in the Exchange receives approximately $10,000 or more as part of their “Co-Created Agreements” to be used for participating in learning exchanges and our annual gathering, to fund critical projects and to pilot new work. The Co-Created Agreements totaled $166,614. Additional significant expenses include the Art of Learning Centering (the annual gathering of the learning centers, which occurred in Mexico in 2006) and the School of Warriors Without Weapons grant, totaling $55,567. The remaining expense of $110,904 includes a portion of staff time, travel and communications that are usedin providing services to the learning centers. These services include coaching, setting strategic priorities, working with the centers on reflective learning, networking the centers to share practices, and where needed, providing supplementary skills and capacities (such as budgeting, fundraising, writing and more). • Learning Journeys. In 2006, the Learning Journey program showed net income of $9,515, down from $38,847 in 2005. This decrease reflects an investment in staff capacity for managing the Learning Journey program. We anticipate a return to approximately $40,000 in net income in 2007. • Art of Hosting. Expenses cover all direct costs for programs, plus administrative fees. This initiative is designed to break even. • Learning Services. These expenses are made up of $56,629 for hosting dialogues and events, $19,915 for consulting, $34,850 for the Women’s Leadership Revival Tour, and $27,400 in staff time for participating in conferences and other public events. • Berkana Marketplace. With costs of goods at only $8,285, the bulk of expense included personnel and materials costs of $15,339 (of which $8,000 was provided in-kind). Note that these expenses were accounted for by a $22,023 foundation grant (see “Foundation Grants” note, above). Including the grant, the Marketplace produced $16,645 in net income in 2006. An Explanation of Operating Expenses • Fundraising. Fundraising accounts for approximately 20 percent of Deborah Frieze’s time and travel, and which is primarily an in-kind expense. We anticipate sustaining this level of commitment in 2007. • Administration. Administration costs doubled in 2006, reflecting increased staff for administrative activities. Other significant increases include in financial management (with the addition of contract support), marketing (web site, materials development and printing costs) and facilities (Spokane office expansion). We anticipate those costs doubling again in 2007, as we carry the increased staff costs over a full 12 months, plus the addition of a small office in Boston. Despite the increase in administration, however, Berkana maintained a healthy ratio of program to operating expenses in 2006, and will continue to do so in 2007. “Who we see as in alignment with what we say our foundation is about is Berkana. When we look at someone else we’re supporting, I ask, ‘How can this relationship be like the one we have with Berkana?’ It’s the benchmark—an ever-transforming benchmark.” Craig Caviezel, Robert G. Hemingway Foundation