Session slides from Trustees' Conference 2018

1. SETTING COURSE FOR THE
FUTURE: THE ROAD AHEAD
FOR CHARITIES AND
VOLUNTEERING?
SPEAKERS
KARL WILDING
DIRECTOR OF PUBLIC POLICY AND
VOLUNTEERING, NCVO
MATT HARDWICK
RISK CONSULTANT, ZURICH INSURANCE
VÉRONIQUE JOCHUM
HEAD OF RESEARCH, NCVO
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2. KARL WILDING
NCVO

4. SETTING THE SCENE

5. THE UK VOLUNTARY SECTOR IS AT THE
HEART OF CIVIL SOCIETY
166,000voluntary organisations
65%are small and local
880,665employe
es
11.9mvolunteer
s (at least once
a month)

6. 0%
20%
40%
60%
80%
100%
Small &
Medium
Large
Major & Super-
major
HALF THE SECTOR’S INCOME IS GENERATED BY THE
LARGEST ORGANISATIONS…
£24.8b
n
£13.8b
n
£9.2b
n
£11.9b
n
£8.8bn
£10.9b
n

7. 0
10
20
30
40
50
60
2000/01 2003/04 2006/07 2009/10 2012/13 2015/16
Income
Expenditure
£47.8bn
£46.5bn
INCREASES IN INCOME AND SPENDING HAVE CONTINUED

8. THE LARGEST PROPORTION OF THE SECTOR’S INCOME
COMES FROM INDIVIDUALS…
47%
32%
1%
9%
4%
7%
Government
£15.3bn
National
Lottery
£0.7bn
Voluntary sector
£4.1bn
Private
sector
£2.0bn
Investment
£3.4bn
Individuals
£22.3bn

9. 0
5
10
15
20
25
2000/01 2003/04 2006/07 2009/10 2012/13 2015/16
Individual Government
INCOME FROM INDIVIDUALS HAS BEEN DRIVING THE
INCOME INCREASE FOR THE LAST FEW YEARS

10. 0% 25% 50% 75% 100%
Micro & Small
Medium
Large
Major
Super-major
Individual
s
Governmen
t
Other
SMALLER ORGANISATIONS RELY MORE ON INCOME
FROM THE PUBLIC

11. 0%
20%
40%
60%
80%
100%
Contracts
Grants
MOST INCOME FROM GOVERNMENT IS GIVEN IN FORMS
OF CONTRACTS
£3.8bn
£11.5b
n

12. MATTHEW HARDWICK
ZURICH

13. The Dramatically shifting risk landscape
Matthew Hardwick
Strategic Risk Consultant

14. 14

15. 15

16. Any task, process or thing you can think of can
change
What is the 4th Industrial Revolution?
16

17. Facing up to risks in 4IR
Connecting machines, work pieces and systems, businesses are creating intelligent
networks along the entire value chain that can control each other autonomously

18. ‘4IR in a nutshell’

19. ‘4IR in a nutshell’
The technology revolution

20. ‘4IR in a nutshell’
The technology revolution

21. ‘4IR in a nutshell’
The technology revolution

22. §
‘4IR in a nutshell’
The technology revolution

23. ‘4IR in a nutshell’
The technology revolution

24. ‘4IR in a nutshell’
The technology revolution

25. The technology revolution
‘4IR in a nutshell’

26. Physical world risks
remain
Skills & Capacity
Who’s responsible
for failures?
Do decision
makers understand
the technology?
Impact on
employment levels
Impact on
employee
wellbeing & rights
Government
Regulation
Future of social
protection
Paradox of
Automation
‘Black Box’ 3rd
party technology
Ethical use of
algorithms & data
Impact on
inequality
Humans ability to
supervise
technology
Cyber risks, data
loss & fraud
Commercial risks
Over reliance on
‘Big Tech’
Business
interruption
Resilience when
failures happen
Democratic
oversight
Interdependencies
Possible Risk Implications
26

27. Key things for Trustees to consider in response to
the 4th Industrial Revolution
Future Governance Models /1
27
• How should Boards / Trustees bring in the right skills, expertise and
experience and be informed about the new technology agendas…
- Be informed – take personal interest; reading, seminars etc.
- Consider seeking input from professional advisors; independence is
important
- Consider the Board make-up; recruiting different skills and a different
Trustee mix
- Engagement with Senior Leaders – understanding what they are really
looking to achieve
- Learning from peers and other sectors – where and how is this done
well
- Invest the time!

28. Key things for Trustees to consider in response to
the 4th Industrial Revolution
Future Governance Models /2
28
• It’s easy to be distracted…
- When considering what “can be” done – ensure you are clear on how
this enables you to better deliver on your purpose and whether it
creates greater impact.
- If it doesn’t, and you can’t, then should you be doing it?

29. Key things for Trustees to consider in response to
the 4th Industrial Revolution
Future Governance Models /3
29
• Have a 360degree view on the impacts of your decisions…
- When considering what “can be” done – ensure you explore other
potential implications or consequences may be…
- If you are provide a technology and data enabled care service
(telecare) monitoring a dementia sufferer in their home, what do you
do if you learn they cross the threshold of the property and
03:00…nothing? Is that a dereliction of purpose, is that a neglect in
the service you’re meant to be providing, are you liable for anything?
- If you are using AI to inform decision making; how are you / who is
overseeing the decisions the Algorithm is making?
• Where appropriate build into your ERM process; if relevant for your
Charity you should have an explicit focus on this for your organisation and
also seeking to understand the approach others in your supply chains.

30. Key things for Trustees to consider in response to
the 4th Industrial Revolution
Future Governance Models /4
30
• Where appropriate build into your ERM process; if relevant for your
Charity you should have an explicit focus on this for your organisation
and also seeking to understand the approach others in your supply
chains.

31. Finally…how about paying with your face?

32. Not quite finally…

33. Just when you think we are all up the creek
33

34. VERONIQUE JOCHUM
NCVO

35. DRIVERS AND TRENDS SHAPING
THE FUTURE

36. HUGE
UNCERTAINTY

37. END OF AUSTERITY?

38. ONGOING DEMOGRAPHIC PRESSURES

39. INTERGENERATIONAL CONTRACT UNDER
STRAIN?

40. CHANGING COMMUNITIES

41. LONELINESS AND SOCIAL ISOLATION

42. CHANGING THE WORLD TOGETHER

43. GREATER SCRUTINY, GREATER TRANSPARENCY

44. THE POWER OF DIGITAL

46. 46
Thank you!