Many charities have embarked on an efficiency drive in the face
of rapidly falling corporate donations and increased competition
for donations from the public at large.

Whether you are part of a department in a large charity or a small/medium sized charity the thought of slashing costs can be disheartening and threatening at the same time. “Will my head be cut?” has to be asked. “This isn’t why I wanted to work for this charity – I wanted to help people, not scrape around saving money” could be another response.

Charities are not on their own in seeking out efficiency and cost savings – the whole of UK industry (and soon to be joined by the Public Sector) are pretty much all in the same boat. Some in industry have resorted to cutting corners to save cost. For example, the Health & Safety Executive has voiced an opinion that they are aware Health & Safety suffers in a recession but this is not acceptable to them and will be dealt with harshly where they come across it.

And in fact there are other reasons for avoiding the corner cutting response in terms of:

• People being injured in connection with the charity’s work or events.
• Fines and penalties from regulatory bodies who spot the corner cuts.
• The impact on reputation and donations should any corner cutting be made public - whether true or false - by the media, disgruntled ex employees or others with an axe to grind.

Seeking out real efficiency and savings can be good for the entire charity – a more efficient charity will mean more of the £1 donation will go to the charitable purposes rather than administration etc.

Oval can offer support by helping you to identify and consider the risks attaching to your range of potential cost cutting measures and quantifying where the greatest risks lie.

For more information please contact Alyson Pepperill on
07824 492665 or email alyson.pepperill@theovalgroup.com