Time to Restructure?

I have been thinking a lot about restructuring. Not surprising since it seems to be happening everywhere.

On the personal side, Brian and I, like almost everyone I know, are restructuring our finances. Things we once thought essential - are just not important anymore. We have been talking a lot with our families about consolidating. For example, my mother and sister have homes about a mile apart. My mother more or less lives with my sister, seems logical to completely consolidate resources. Perhaps we go so far as to consolidate three households into one and a half. We are searching for other ways to consolidate with both of our families. Distance makes this somewhat difficult. It is also difficult to fight the feeling that we somehow failed, did something wrong, or are being punished. I think many of us feel s certain amount of guilt or shame about the effect the current economy has had on our personal lives.

However it made me think about something that has always been nagging at the back of my mind. Why can't nonprofits "consolidate" more often especially when it comes to infrastructure?

In 2001, my friend Roy Gabay (one of the great commercial theatre general managers) and I discussed me joining his team. The idea was that I would create a new branch of business - outside general management services for nonprofits. At the time we focused only on general management and could not find a solution to what we perceived was a tremendous competition between small off-broadway companies (for donors, ticket-buyers, human resources, and scripts). We felt the competitive nature would prevent the organizations from sharing a key position such as a general manager.

I have rehashing that idea in my mind for a while now. I don't think the real issue was the competition, but that pride and ego were a large part of the equation, as were perceptions of what defined success and on the practical side - the fact that we were narrowing the services to General Management. And even though a general manager oversees budgets, marketing etc - each theatre still would need a significant number of staff members.

What if several theatres share one institutional infrastructure and only the only position that varies (if indeed it did and most likely wouldn't have to) was that of Artistic Director? Or if theatres regularly shared spaces? Or came together for more than co-productions, advocacy or the occasional marketing project - but for fundraising, true artist development and outright survival.

Let's take a few examples of how it might work before we rip it apart with reasons why it wouldn't.

Take Arizona Theatre Company. They have two spaces one in Phoenix and one in Tucson. But they have one core infrastructure. Would this consolidation work with other theater in other states? If they were about the same size and were diverse enough geographically or in mission - it could create some amazing opportunities.

First and foremost, it would allow for better staff compensation and perhaps raise the bar on staff qualifications. Rather than having two or three understaffed Marketing and Development departments - the combined resources would allow for the creation of a unified, complete workforce. And frankly would attract a more talented staff. In the last week three theatres have trended in the opposite direction - cutting leadership staff and just spreading the work around. Isn't a shared qualified staff at least worth exploring?

It would be significantly better for the environment. In general, theatre is a tremendously wasteful art form. Although we have made great strides in recent years, we still throw thousands of dollars of lumber, steel, and goodness knows what else into landfills nationwide.

It certainly could strengthen the bonds between geographic or cultural communities. And the networks and impact of the organizations involved.

And perhaps most importantly (saved the best for last), it could mean a lot more money for productions and education programs.

Sure there are a lot of thing that would have to be sorted out - but isn't is a possible solution for some that is better than closing the doors forever.

And frankly, we are already half way there with all of the "co-pros" currently on the boards.

I am not suggesting this as something everyone could make work, but I can think of a lot of combinations that might make sense and create a tremendous amount of new opportunities.