Ethiopian Red Cross Society Resource Development & Mobilisation Strategy

1. Executive Summary. Working individually and together, we, the ERCS can maximize resource mobilization opportunities to realize the strategic aims of Strategy 2010-2015 for the ERCS. Drawn from the enabling actions of Strategy 2020, the goals of the Federation-Wide Resource Mobilization Strategy (the Strategy) are to: Maintain leadership in resource mobilization for emergencies Grow non-emergency income for international and domestic work Increase resource mobilization capacity of National Societies (NSs). Achieving our resource development strategy in line with the above mentioned goals will enable the ERCS to ensure the availability of resources to do more, do better and reach further. The Strategy will help us build on our strengths and competitive advantages in resource mobilization, while eliminating practices that undermine our national and global resource mobilization capacities and objectives. To do this it is paramount that ERCS are competitive in their markets. Only through an integrated approach, where ERCS is governed by a collective understanding of mutual roles and responsibilities, can we hope to achieve the goals outlined above. In the absence of integrated action, we will not achieve our resource mobilization potential and risk failing to meet the expanding needs of the Ethiopian most vulnerable. The Strategy is driven by five critical challenges that the ERCS must address to remain the Ethiopias leading humanitarian network. 1. Increased competition for emergency income While ERCS receives large amount of income to support emergency response efforts, a number of competing agencies - including United Nations agencies and International Non-Governmental Organizations (INGOs) - have moved into this space and are investing heavily to secure increased income.

2. Low growth in non-emergency income Excluding emergency income, ERCS has a poor income growth rate over the last years. Meanwhile some high performing international NGO competitors are growing.

3. Domestic income challenges ERCS is the largest humanitarian actor in Ethiopia with domestic government income being the primary source of income. However the growing number of nongovernmental organizations is resulting in increased competition. Failure to address this threat could undermine the primary source of income for ERCS.

4. Working in partnerships Donor needs and preferences are changing, altering the way they want to work with the ERCS. We need to proactively engage with donors to inform and shape these preferences, but also react quickly to changes we cannot shape if we are to maximize funding opportunities from the decentralization of international governments, multilateral institutions, the European Union and foundations. Further we must adapt our working models to respond effectively to corporations that wish to work in partnership with ERCS, especially in employee-giving, to realize our potential. 5. Weak capacity building ERCS are not achieving their resource mobilization potential. Other international agencies are investing heavily in developing markets. Other agencies have more sophisticated systems for developing the resource mobilization capacities and competencies of their local affiliates from knowledge management to investment funds to training programmes. These investments are paying dividends in income growth and expanding market share.

2. Vision, Mission & Strategic Goals of ERCS. Vision: To be a self-reliant and efficient humanitarian organization in Ethiopia in reaching the most vulnerable.

Mission: Through action in Ethiopia and active participation as a member of the International Red Cross and Red Crescent Movement, prevent and alleviate human suffering, contribute to the well-being of mankind and the prevalence of peace in conformity with the Geneva Conventions and the Fundamental Principles of the Movement.

Values: A credible and relevant National Society; Adherence to integrity, accountability and transparency; Partnership and solidarity;

Result-focused; Self-reliant; Empowering the community; and, A strong commitment to best quality in service delivery.

3. Strategic Goal of ERCS.

ERCS has widened its resource base and to a greater extent become a selfreliant National Society.

4. Guiding principles of the Strategy. Considering the challenges outlined on the executive summary, the Strategy will be based on the following guiding principles: Maximize unrestricted income but not at the expense of growing overall income Take donor interests into account and provide effective stewardship Make concrete one Red Cross and Red Crescent to maximize funding potential Use evidence-based decision making: globally and nationally in resource mobilization and fundraising. Establish measurable resource mobilization performance targets. Measure expenditure related to cost of resource mobilization activity and maintain the return on investment. 5. External and Internal Drivers/ Threats and Key Objectives. This Strategy is the product of the last two years review of resource mobilization trends, competitor assessment and internal performance analysis supported by senior leadership and resource mobilization personnel of ERCS. The increasing demands for humanitarian support and the growth aspirations detailed in the Strategic Aims of ERCS requires a resource mobilization (RM) strategy that is focused on achieving net income growth. ERCS is still not enough to deliver on the humanitarian goals and is struggling to raise the resources they require to meet the expanding needs in its communities.

Research conducted by IFRC on the growth and income patterns of a sample dataset of NSs and comparative International Non-Governmental Organizations (INGOs) suggests that, despite the global recession, the RM market worldwide is growing and will continue to grow in most key income streams. However, this research identified key changes in the RM market that demand RCRC action to ensure its relevance to donors and re-position itself to benefit from evolving trends.

Accordingly these changes in line with ERCS are synthesized into internal and external drivers. External drivers are those which demand that the ERCS reviews how it engages with external stakeholders as a result of changes in the environment:

Internal Drivers Financial constraints Poor external business perspectives Lack of operating business policies and guidelines Limited donors and partners. Donor driven resource mobilization (dependency syndrome) Inflation Increasing demand for humanitarian services Global economic crisis and donors fatigue Lack of skilled RM staff. ERCS needs to establish revised partnership principles in RM to respond to donor concerns. Needs to establish a culture of joint accountability to achieve its full resource mobilization potential. Need to invest its RM expertise to grow long-term income.

External drivers. ERCS needs to respond to donors and their changing interests by investing in innovative approaches in communication, engagement and stewardship. ERCS leadership volunteer and staff- need to engage in and support the RM process at every level to ensure opportunities are seized domestically and globally. ERCS must invest in developing markets, emerging issues, and new technologies to maximize opportunities and maintain its leadership in emergency income and significantly grow non-emergency income

Key Objectives. The resource mobilization strategy considers how UNRWA will be able to deliver the expected funding and other requirements by strengthening capabilities toward external partners, delivered through improved internal capacity. It is based on three high-level strategic objectives. In the accompanying annexes to this strategy, a series of log frames has been defined that detail the steps for how the Agency plans to address these objectives. For the purposes of this strategy, high-level activities are described that are expected to increase in scope and quality over the next four-year period. The ERCS Resource Development Strategy prioritizes 7 key objectives resulting from the drivers above. 1. 2. 3. 4. Deliver best in class donor stewardship underpinned by quality programmes. Partner and diversify increased income opportunities exist. Understand own market potential and maximize funding opportunities. Recruit, develop and retain resource mobilization talent of ERCS leadership, staff & volunteers. 5. Share resource mobilization expertise, knowledge and innovations. 6. Invest in key markets, initiatives, donor research and technologies. 7. Measure and benchmark resource mobilization performance and create culture of accountability
6. External and Internal Analysis.

Established on the eve of Ethio-Italian war, on July, 8, 1935, the Ethiopian Red Cross Society (ERCS) signed the Geneva Convention on July 25 of the same year and became 48th member of League of Red Cross/Red Crescent Societies on 25, September 1935. ERCS first charter was enacted in the Negarit Gazette in October 1947 and since then ratified 4 times .The current charter was issued in 1999. The structural arrangement brings ERCS closer to the grass roots population and enabling it design and implement focused and responsive projects to the needs of the population. Proximity to the grass roots population also enables the Society run its prioritized community based Development Programs through making good use of its decentralized structure for social mobilization.
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Currently, Ethiopian Red Cross Society is in a change process. This plan is purposed primarily to make ERCS efficient, effective and responsive

humanitarian organization through up to date and integrated systems in place and congruent leadership and staff rightly filled, upgraded and shared the mission of ERCS whereby internal and external relationships are adequately built so that beneficiaries and stakeholders are highly satisfied by the end of July 2014. Specifically Resource Optimization along with its interrelated plan of activities is also set as one of the specific objective to be set in the coming two years.
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8.1. External Environment Political Ethiopia is a politically stable country at peace with her neighbours except with Eritrea. Internal political situation is also stable. Existing legislation favours Ethiopian Red Cross Society. The National Society is not governed by the requirements demanded from by the legal framework for NGOs establishment. Wide acceptance among the National and Regional governments, authorities and the general public is another favourable condition. Every citizen looks at ERCS with positive impression. The Charter also allows the National Society to generate and mobilise resource from diversified sources. Economic Due to multiple disasters occurring at different times in different parts of the world, accessing international funding sources is increasingly challenging. The recent years global economic crisis is also still posing additional challenges. Governments, multinational corporations and other donors assistance is shrinking. I t is also increasingly costly to respond to natural and manmade disaster victims in a geographically vast country like Ethiopia. Nevertheless, Ethiopian economy is one of the fast growing and transforming economies in the world. Per capita income is growing fast. Above all a big middle income population is under formation. Big and small private companies are flourishing here and there. These changes from within provides favourable condition to mobilise resources and raise fund.

Social Major Humanitarian activities that ERCS is undertaking looks unpopular hence the amount of support looks going down. ERCS has also been victim of the global economic crisis and donor fatigue, while the societys demand for humanitarian service is increasing from time to time. Even though the number of our target donors have showed some decline in the past years, with the coming into effect of the new management and the National Societys change plan, the number of PNS and donors willing to work with ERCS has already started showing progress.

Technological The growth of Information Communication Technology is alarming and offering ERCS new ways to approach donors, members and other supporters. The broadband internet services and the web allows ERCS to easily recruit members, supporters, solicit online donations, SMS services and to easily communicate with them and access the Ethiopian diaspora. This enables the National Society to reduce costs of fundraising and also to get access to expertise from the Federation and other National Societies.

8.2. Internal Environment Some of the problems needing special attention stated in Strategy 2020 include ERCS of being still very dependent upon traditional sources of income to cover core costs while funding base for emergency relief and community based programs to the larger extent is still very narrow and movement- focused. Accepting projects beyond existing implementation capacity to get the 10% administration cost occasionally leads to the overall poor performances level of projects and consequently to loss of credibility and to deterioration of relationships between ERCS and its partners. ERCS branches used to generate much of their income from small scale income generating activities like flour mill, oil mill, rental of ceremonial items ( Tents, chairs, tables, utensils) hollow blocks production, stationary shop, farming, tree plantation, etc. These are not the areas in which the National Society has comparative advantage over other organizations. Due to the very stiff competition from small but very effective private business, the activities are withering with the income generated decreasing over time. Today more than 50% of the zonal branches have their income Generation projects in the form of Multipurpose Purpose Building (MPB) for

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Rental purpose. Whereas those branches that have their own MPB have become financially in better position, who havent as yet built their MPB, are in precarious financial situations. Quite a number of branches find it difficult to cover costs of core activities with meagre income they generate.

Some zonal branches are given plots of prime area urban lands, for the construction of income generating projects. However, for lack of the necessary capital the branches are keeping the plots idle and may run the risk of expropriation by the municipal officials who will put them up for sale through lease. However, there is an initiative to establish at least one sustainable income generating project in each of the branches to make them financially self-reliant so that in addition to covering their core cots, branches will have the capacity to respond to small scale local emergencies and to undertake small scale community based projects. In the 1960s and 1970s the Society used to mobilize the international community residing in Addis Ababa once a year for a special and grand fund raising event in connection with the celebration of Red Cross Day, May 8. Such events were attended by Emperor Haile Selassie, members of the Royal Family, ministers, member of parliaments and high ranking officials and dignitaries. On such

occasions, bazaars, raffle draws, exhibitions and food and beverage were displayed with the proceeds from the sale of items be income to ERCS. In recent years, organized fund raisings are often limited to occasional walk for the Red Cross and Gala Dinner parties. The number of resource mobilization professional staff and volunteers and the overall fundraising capacity and skill in ERCS is weak. The use of modern fundraising techniques and capabilities such as digital fundraising and the traditional tools are weak. Staff and volunteers are not familiar with basic fundraising techniques. There is no appropriate database which help us to maintain contact with members , donors and other supporters. Relationship with partners is not

strong. There seems to be no clear guide on how to engage with partners such as inter-governmental organizations, development banks, multilateral organizations and private sector. ERCS hasnt developed a partnership/fundraising strategy based on its assessment of the market potential and mapping of partnership opportunities yet. Domestic fundraising must be a priority focus of such strategy.

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The auxiliary status of ERCS to the Government of Ethiopia , has the potential to put them in a privileged position to partner with their Governments, inter-governmental and multilateral donors. This opportunity so far hasnt be utlised to the maximum. ERCS is facing increased competition from local charities and as a result it is trying to get financial support from more sources. Failure to address this threat could undermine the primary source of income our national society. So, the National Society needs to develop systems for developing the resource mobilisation capacities and competencies of staff and volunteers and the institution at all levels. Membership fee by far remains the dominant source of income for ERCS branches and has accounted for over 40% of the branches total income.

ERCS NHQ has also been investing in selected businesses. It has had more than 98% share in the former Hiwot Transport and Technical Service but which due to bankruptcy is being liquidated. It has also share worth Birr 11.3 million in NIB

international bank. By renting the ground floor and first floor of the main building and another house located in the Piazza area ERCS gets close to Birr 2.1 million per year. It has started building a 16 story Filwoha Complex at estimated cost of Birr 200 million as a means of generating sustainable income. The new Filwoha Complex is being built in the prime land area of Addis Ababa, on 5000 square meters of land given to the Society free of lease by the Addis Ababa City Administration ERCSs Training Centre which sells conference and catering services is generating an annual profit of over Birr 3,000,000 is one of the major income generating activities of the society. Over the past years a number of high class(4 stars and above) hotels are built while some are under construction providing a range of catering and conference services and putting up very stiff competition to the Training Centre. To remain competitive in the business, TC is undertaking aggressive modernization, modification and renovation program in terms of the quality of services it offers and in making the facilities and the general physical plant attractive to customers, since 2010. There is a plan to renovate the existing facilities of the TC to be able to provide trainings as well as the catering and lodging services and to reap the benefits arising from operating on large scale.

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Not all people used to have full knowledge of the mandate and activities of the Society while much fewer know about the Red Cross Principles in general. Most people used to know the Society only through its ambulance services and the former blood bank services. This was because of the hard fact that no serious dissemination and marketing had been undertaken to build the image of the society and to popularize its mandates and activities. In recognition of these realities, the Society has charted out the way forward to be aggressively engaged to create awareness about the overall activities of ERCS and to promote Humanitarian values and Fundamental Principles of RC/RC movement through frequent usage of the Mass Media. Such undertakings will surely result in improved image of the Society and in the mobilization of more resources for its different humanitarian services and grass roots development initiatives. Strengthening the Communication and information will naturally be the top priority of ERCS for image building and resource mobilization. It is evident from the fund structure that ERCS has still to work focusing particularly on membership development, organizing special fund raising events and generating revenue from services in the times ahead to enhance its capacity where it considerably lags behind in resource mobilization. The benefit of working in these areas is twofold since it promotes advocacy as well. The National Society is committed to becoming a relatively financially self-reliant society that can cover most of its core costs, undertake small scale community based development projects as well respond to minor local emergencies with the revenue it generates from domestic sources. PEST Analysis of ERCS. POLITICAL - Political Stability - Acceptance of the Society by the government - Legal frame work for NGO establishment.

ECONOMIC - Relatively fast growing economy - Existence of free market economy - Inflationary situation

SOCIAL TECHNOLOGICAL - Acceptance of the Society by the - Existence of modern ICT that simplifies government and Community communication. Increasing demand for humanitarian service Global Economic Crisis and donor fatigue.

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SWOT Analysis of ERCS in terms of Fundraising STRENGTH - Good network of Branches in most parts of the country with 11 regional offices that can enable the national society to raise funds regionally Existence of Resource Mobilization (RM) structure - Has committed volunteers at grassroots level to assist in resource mobilisation activities. - Enjoys community support - Has grassroots representation OPPORTUNITIES - The national society was created by a government decree and has auxiliary status to the government - Has the support of IFRC - Political stability - Acceptance of the Society by all Existence of fast growing business sector Existence of youth volunteers. - The Red Cross movement enjoys support and respect globally as trusted and transparent humanitarian organisation.

WEAKNESS THREATS - The national society largely depends - Emergence of high level competitors on donor funding - Emergence of global economic crisis - Lack of well skilled RM staff/Lack of and donor fatigue capacity building activities for staff and volunteers involved in resource mobilisation activities - Lack of well-functioning resource mobilisation task force/committee - Lack of well planned annual fundraising events - Lack of funding for resource mobilisation activities - Lack of relevant operating system - Weak IEC Capacity Focusing on traditional way of RM/ - Poor experience - Attitude towards resource mobilization - Absence of business plan - Lack of viable business activities that can generate funds for the national society - Absence of fund raising strategy and policy

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9. Key Objectives Activities & Expected Outcomes.

Objective Action Ensuring that money secured from the RCRC movement and other donors is spent wisely. Broaden the constituency within ERCS network of traditional donors. Seek multi-year agreements with traditional donors. Undertake joint exploration with traditional donors with the objective of establishing new donor relationships Establish systematic communications from ERCS with diversified donor-base Piloting outsourced fundraising in other NS & replicating if successful. Enhancing online donations through improved communications design and upgraded technology. Improving definition and management of RM collaborative partnerships. Develop targeted work-plans for nontraditional donors and RCRC movement partners. Ensuring RCRC partners and donors expectations are met. Making the most of income growth opportunities through partnerships. Working with leadership to push to deliver potential. Annual discussions with branch, RCRC movements and other donors. Quarterly meetings between ERCS, branches and RCRC movements and other donors. Develop communication tools for branches and programme activities to developmental and humanitarian results. Outcomes

Deliver greater transparency and accountability. Share best practices in donor reporting principles. Systematically measure donor feedback on their programme.

1) Deliver best in class donor stewardship underpinned by quality programmes.

Traditional donor partnership strengthened. Diversify donor and resource base contributing increasingly to resource needs Implement a set of principles of cooperation that promote and guide RM collaboration Build on existing and develop new partnerships with UN agencies, EU, INGOs, corporations and others that expand RC funding. Share RM knowledge and expertise through a promotion mechanisms.

2) Partner and diversify increased income opportunities exist. 3) Understand own market potential and maximize funding opportunities.

Enabling environment established to support donor relationship management. ERCS utilize assessment tools and methodologies to define the market potential. Implement customized capacity building relating to specific RM development potentials. Participate in communities of practice and use reference centres for key income streams.

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Objective

Action

ERCS have RM staff and volunteers. 4) Recruit, develop and retain resource mobilization talent of ERCS leadership, Leadership push to deliver potentials of ERCS staff & volunteers. RM activities.

5) Share resource mobilization expertise, knowledge and innovations. Building the ERCS RM expertise. 6) Invest in key markets, initiatives, donor research and technologies. Creating the context for talent.

Ensuring investment is shared.

7) Measure and benchmark resource mobilization performance and create culture of accountability.

Guaranteeing results are concrete.

Outcomes Unlock the talent of its staff, volunteers and members to maximize RM potential. Provide development opportunities globally and locally. Professional and volunteer are more involved in RM. Governance and management at all level understand how RM works. Leadership adopt a long-term view of RM investment. Implement a world class knowledge management system to collect and share RM expertise. Learn from and adopt other relevant NS & external RM innovations. ERCS at the forefront of developing and utilizing RMrelated technologies. ERCS increases investments to grow income in high potential markets. ERCS invests in systematically analyzing and researching donors, their needs and market opportunities. ERCS measures its performance more accurately and systematically. ERCS establishes national RM targets based on benchmarking of peer organizations and better assessments of market potential. ERCS undertakes regular performance management reviews to understand its own potential for growth. Mechanisms are developed to oversee the implementation of the Strategy. ERCS hold itself accountable for maximizing the RM potential.

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10. ERCS Expected Income Streams. While identifying the key income streams for ERCS, the FWRM Strategy of IFRC is adopted and in line with it, nine key income streams are identified and thought to fit with that of ERCS. Accordingly it suggests that growth will come from the private, government and multilateral institutions and other incomes income portfolios. These key income streams of ERCS are the following: 1. Individual giving: This income stream is the largest private income stream and identified as the largest private growth opportunity for most NS. It needs to be highlighted that donations outside of emergencies are generally un-earmarked and it is often the largest source of un-earmarked donations across all income streams. ERCS needs to lever relationships cultivated during emergency donations, identifying new one-time donors who can be converted into committed regular givers. 2. Foundations: ERCS must better organize to tap into this income stream effectively. Many local & INGOs present proposals to the largest foundations. ERCS in this respect need to build its competency in foundation fundraising. 3. Corporations: Though the amount and trends of corporate giving varies widely among the different NS, this income stream has potential to grow since the corporate sector is investing in Corporate Social Responsibility programs and is seeking strong organizations and brands to partner with institution like Ethiopian Red Cross Society. ERCS must build capacity and coordinate their efforts more effectively to benefit from the potential in the corporate sector found in Ethiopia and abroad as well. 4. High Net worth Individuals. As it was in other countries, there are increasing numbers of rich financially rich people all over Ethiopia who can and want to support the ERCS .However this to do this successfully will mean scalable or transformational propositions, and a new way of working closely with these often demanding donors which will require strong involvement from leadership. 5. Events: In ERCS and other NS this stream is not a major source of income. However there is great opportunities to share knowledge and skills between NSs.. 6. Domestic government funding: Being as an auxiliary to FDRE, ERCS is uniquely positioned in Ethiopia to secure resources from the Ethiopia governments both at regional and national level. The key focus is to maintain this market lead through leadership engagement with governments and continued provision of value-added services.
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7. International government and EU funding: Other NS and IFRC receives significant support from some governments for international humanitarian work and, we, ERCS need to work to access this resource and this may create an opportunities for growth in accessing government funding as well. While developing this relationship good coordination is critical for the ERCS to grow its market potential in this income area. EU globally and in Ethiopia provides complex but considerable funding growth opportunities for to humanitarian institution such as ERCS to support international work and intracommunity programmes where significant EU funding is available. ERCS needs coordination mechanisms to ensure that RCRC is aware of EU priorities. 8. Multilateral institutions: This stream is considerable untapped potential from multilateral agencies. The source has additional resource mobilization opportunities in terms of grant financing from the Multilateral Development Banks as well and these funds are best accessed through specialist skills and thematic propositions linked in accordance with the agencies priorities. 9. Earned Income/ Other income: Income streams that are found in this sources are from earned income/ income generating activities which will vary depending on feasibility of the streams .This stream is an important income stream and is necessary to explore growth opportunities both at HQ and branch level.

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11. ERCS Income potential analysis.

Income potential Current potential Opportunities/Threats potential Action

Individual giving Individual pledge. Foundations: Corporations. High Net worth Individuals. Events Bazar, sport events, dinner events, music events Domestic government funding Governmental UN organization, DFID, British embassy, US AID, SIDA International government and EU funding: Multilateral institutions. Earned income Multipurpose building, Joint venture, Hotel, Garage and Lodging House rental Hiwot Transport compound Training Center services Drug shops to pharmacies

Low Low Low Low Low Low Low

High

Positive

High High

positive positive positive

Low

High

positive

Low Low low

High income High income High income Opportunity: High Threat: strong competition

positive positive positive Positive

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12. Resources
Priority income stream Individual Giving. Resource area Human resource; Training; ICT equipment. Expertise. Finance. Expertise. Training; Finance. Expertise. Finance. Expertise. Finance. Expertise. Finance. Expertise. Finance. Needed to achieve results Resource mobilized. Impact and importance potential givers increased; Members reached.. Improved knowledge of fund raising.

Foundations: Corporations.

Resource mobilized. Lessons learnt. Resource mobilized. Lessons learnt. Resource mobilized. Lessons learnt. Resource mobilized. Lessons learnt. Resource mobilized. Strengthened partnership Resource mobilized.

potential givers increased; Members reached.. potential givers increased; Members reached..

High Net worth Individuals.

Events Domestic government

Forward the case to the concerned body.

International government and EU funding: Multilateral institutions. Earned income:

Strengthened partnership

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13. Implementing the Resource Development & Mobilisation Strategy. Resource mobilization is not the unique responsibility of any one group within ERCS. The ERCS HQ, Regional, Zonal, Woreda branches governance, staff, volunteers and other relevant stakeholders have responsibility of mobilizing resource. Regional, Zonal, Woreda and Kebele branch structures have a distinct roles and provide support for resource mobilisation. The strength of ERCS is its proximity to partners and flexibility in responding to their needs. By simultaneously decentralising resource mobilisation close to the Regional Zonal and Woreda level and investing in central resources through the HQ and functional teams, ERCS is equally able to present detailed project proposals to some partners, while advocating at a high level toward others. The log-frame described in Section 8 will be broken down into annual work-plans, reflecting milestones in the progress toward delivering the overall strategy. Each of the work plans includes targets and specifies roles and responsibilities across the various functional groups and departments. Each activity will also be broken down into more specific actions to be carried out depending on donor/target audience. Within ERCS, the log-frames are used as the basis to establish annual objectives for each of the responsible bodies. The effective implementation of this plan will require the attention of all responsible bodies inside and outside ERCS, and in particular: - The Board, SG, DSG Branch and Resource: support of the RM strategy including outreach to donor capitals and explicit agreement on the terms of reference for the RM task force. - Branch offices: support in building a broader constituency in ERCS donor network and joint exploration of new donor relationships. - Programme departments: collaboration with ERCS in developing convincing investment products illustrating social returns. - Branches: commitment to implementing and adequately supporting project management and control processes. - Finance department: improved clarity toward donors of actual and expected cost changes and project expenditure. 14. Resourcing the Strategy. A draft budget for the implementation of this strategy is given in Annex 2, specifying annual budget needs. The estimates made are only approximate, and will need to be refined when the annual work plans are fully developed. Estimates for later years are even more subject to uncertainty. A summary of additional requirements per strategic objective is given in the table below.

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Draft Implementation Budget Summary. Strategic Objective Deliver best in class donor stewardship underpinned by quality programmes. Partner and diversify increased income opportunities exist. Understand own market potential and maximize funding opportunities. Recruit, develop and retain resource mobilization talent of ERCS leadership, staff & volunteers. Share resource mobilization expertise, knowledge and innovations. Invest in key markets, initiatives, donor research and technologies. Measure and benchmark resource mobilization performance and create culture of accountability Total by year. 2014 136,000 250,000 320,000 2015 145,000 275,000 380,000 Budget In Birr 2016 2017 146,000 287,000 365,000 159,000 320,000 385,000 2018 176,000 420,000 385,000 Total by Objectives 762,000 1,552,000 1,835,000

315,000 243,000 1,500,000 121,000 2,885,000

345,000 266,000 2,200,340 122,000 3,733,340

326,000 342,000 3,400,000 145,000 5,011,000

376,000 312,000 3,654,000 137,000 5,343,000

390,000 322,000 4,345,000 165,000 6,203,000

1,752,000 1,485,000 15,099,340 690,000 23,175,340

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15. Draft Target Incomes and Time Frame. 2014-2018. Income streams Target Incomes Individual Giving Individual pledge 1,040,808 Gala Dinners 3,642,828 Street collections 624,485 Others 5,204,040 Events 3,642,828 Foundations. 15,612,120 Corporate Collection of social responsibility funds 7,806,060 Recruiting and retaining individual and corporate members. 3,642,828 Domestic Government funding. Budgetary support from government. 52,040,402 Earned Income: Small business profits 520,404 Rentals 3,903,030 Training centre earnings 10,408,080 Marketing Commercial FA of ERCS 1,561,212 Other feasible IGA 468,364 Yearly Total. 110,117,490

2014

2015

2016

2017

2018

200,000 700,000 120,000 1,000,000 700,000 3,000,000 1,500,000 700,000 10,000,000 100,000 750,000 2,000,000 300,000 200,000 21,160,000

204,000 714,000 122,400 1,020,000 714,000 3,060,000 1,530,000 714,000 10,200,000 102,000 765,000 2,040,000 306,000 204,000 21,583,200

208,080 728,280 124,848 1,040,400 728,280 3,121,200 1,560,600 728,280 10,404,000 104,040 780,300 2,080,800 312,120 208,080 22,014,864

212,242 742,846 127,345 1,061,208 742,846 3,183,624 1,591,812 742,846 10,612,080 106,121 795,906 2,122,416 318,362 212,242 22,455,161

216,486 757,703 129,892 1,082,432 757,703 3,247,296 1,623,648 757,703 10,824,322 108,243 811,824 2,164,864 324,730 216,486 22,904,265

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16. Monitoring the strategys results Periodic monitoring of results against planned achievements will be made according to a logical framework that sets baselines for 2014 and targets for 2018. Several key SMART indicators will be used to track progress. Additional structures to support the monitoring of this strategy may include: - An annual ERCS Resource Mobilisation Report will summarise results against targets for an internal and external audience. - Quarterly meetings with field and programme directors to monitor and manage implementation of the strategy. - The results-based monitoring system tool will be used to provide systematic tracking of results and reports for the resource mobilisation strategy. In addition to periodic monitoring supporting management, there will be an external, thirdparty evaluation of the resource mobilisation strategy at the mid-term and at the end of the four year period. An evaluation of the strategy will facilitate an objective assessment of the overall results against the planned achievement, including the design of the logical framework and its implementation and execution. The terms of reference for the mid-term evaluation should review the progress of the implementation of the strategy using the framework.

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Annex. a) Detail implementation with logframe Plan. 2014-2018 b) Detail Implementation Budget. 2014-2018 c) Monitoring and Evaluation Framework.

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