ISSP Board of Directors Retreat

Wednesday November 12, 2014, Denver

13.00 - 17.00: Board Strategic Planning Session

Attending : Dorothy, Sarah B, Paul, Julian, Marilyn, Stephan, Sarah L, K.J., Tad, Graham, Bill, Marsha, Jeff, Maureen, Christy, Ray

Objective: Board consensus on next 3-12 months strategic direction/focus draft resolutions for evening Board meeting.

Draft Problem Statements: What is the value proposition for ISSP? What are the strategic options? What is the path forward?

Recommended Pre-reading (Note all these documents have been previously circulated)

ISSP Strategic Plan (Draft of 7 August as discussed at 13 August Board meeting)

ISSP Situation Summary (Draft of 26 October as discussed at 29 October Board meeting)

October Dashboard Report dated 4 Nov)

Support: ISSP Committees Summary (Draft of 7 August as discussed at 13 August Board meeting)

Facilitation led by: Julian, Marilyn

Indicative Summary Process:

Start/End

(min)

Activity

Outcomes

13.00

14.00

60

Julian and Maureen

Introduction to process/purpose

Planned Outcomes

ISSP Context

Circle Questions : 2 questions (2-3 min each):

1 What is the greatest value that ISSP can offer in advancing the profession of Sustainability practitioners? (within the scope of our limited resources)

2 What should ISSP stop doing and why?

Meet & Greet - Julian opened the meeting with general comments and explanation of the agenda and process

Maureen: Reported on membership (Situation summary below; Dashboard filed separately) and revenues. Recent up tick in joining rate likely due to conference. Also data hints at our ability to recruit new members but have trouble holding them. The education program has not had a great margin in the last year, however an increase in enrollment or increase in price could make it more of a revenue engine.

Quote from Paul: you cant shrink into profitability.

Ray: Being international is an asset (even though a little thin); certification is important intellectual property we should capitalize on; networking. Less of selling to people already in our tent. More getting out of our little world to recruit. We have underutilized asset (e.g. sponsorship sales; partnerships

Christy: We serve the spectrum with emphasis on the middle; changing from early adopters to more experienced people. We should create networking opportunities that help people launch and advance. Less of absorbing pay pal costs.

Maureen: More of: provide services for experienced professionals. Less of having staff do admin stuff that cheaper person can do.

Each board member provided their answers to the two questions posed by Marilyn Johnson (See rest of board comments below)

14.00

14.45

45

Review draft SWOT (next page) in smaller groups

Large Group puts together a revised SWOT

Vote on top priorities relative to the value proposition

After a thorough conversation about the strengths, weaknesses, threat and opportunities, (summarized below), the board agreed that the BHAG going forward is professional certification.

Jeff moved that we as a board move forward and focus our attention on certification with the goal of launching certification within one year and have a Beta version ready within 4-6 months.

Marilyn seconded the motion.

The motion was unanimously carried by the board

15

Break

15:00

16:00

60

Review Strategic Plan and Options for path forward

What we are going to keep doing

What we are going to stop doing

Time for paid staff to reflect their perspectives and aspirations back to Board

As mentioned above, the agreed upon focus for the year is professional certification

16:00

16.45

45

Action Planning

Key outcomes desired

Intersection with Committees how each committee can support the Key Outcomes identified

Professional certifcation

16.45

17.00

15

Board Resolutions

Confirmed and agreed

Consensus on motions to be put to the Board

17.00 18.00Recess

18:00 -19.30Informal Meet & Greet @ Katie Mullens (adjacent to hotel)

(Board encouraged to attend)

19:30 21.00 Board of Directors Annual Meeting dinner (Room TBA)

Plan of Action moving forwards discussion

Discussion of Motions and voting thereon

Any other business

SWOT Proforma Draft (Reproduced from Situation Summary discussed at 29 October Board meeting)

STRENGTHS (Things we have that customers want)

History - pedigree and reputation since 2006

Members past and present

Social media - Linked In 100,000+, Netletter etc

Educational offerings

Executive Staff and Board

Hall of Fame

Past conferences (Portland 2011, Chicago 2013)

We are non-denominational

Body of Knowledge

WEAKNESSES (absence of necessary capability to serve customer needs)

Financial position very precarious

Membership v slow growth

Membership value unattractive

No corporate program or tiered membership

No offerings for seasoned professional

Geography not serving members outside of US

Website - old fashioned and unattractive and hard to navigate and find things.

OPPORTUNITIES

Strong North American market position/brand with global reach.

Bringing value to organizations/associations looking for credible sustainability body of knowledge (I.e. graduating students and aspiring professionals.

Global aggregation - Parley positioning through merger

Committee Structure to leverage/engage members

Leverage board member capabilities and resources (e.g. committee structure, working groups)

Growing number of middle and senior managers who see themselves as sustainability professionals.

Lack of organized advocacy for sustainability professionals at national and global levels (being at the table)

Certification program in development, sell to tertiaries/universities

Local Chapters - can expand internationally

SCORE can develop/promote

Leverage social media positioning (e.g. Linked In group)

Intellectual property offered through different channels (i.e. webinars, publications, etc); reselling content

Personal self-achievement brand you

College partnerships to recruit students

Masters program to leverage the HofF (Masters Retreat)

Develop corporate program for bringing their staff into ISSP corporate membership rate

Sell certification benefits to the C suite

Refresh the BoK to stay in front of the leadership need of the sustainability profession

THREATS

Competition IEMA, ACCO etc

Conference shortfall may make insolvent

Key staff dependent (Maureen, Christy, Ray)

Rapid fragmentation of the sustainability market into sector-specific vertical organizations

Limited budgets for membership in professional associations

Situation Summary From Maureen

Purpose

This paper has been prepared by Julian Crawford and Marilyn Johnson and drafts reviewed by the Leadership Team. Its purpose to provide background context for the Board members to facilitate efficient consideration of a number of very important governance and operational issues at the upcoming board meetings, teleconf in October and face-to-face in November.

Key Issues

ISSP was established 2006, pioneering - but is the present business model sustainable?

Membership grew quickly in the early years but has only been growing slowly in the past 2-3 years. This is because although fresh new member joining rates are reasonable at 300-400 pa, only around 50% renewal rates (300-350 pa) have meant our short term target of 1,000 members remains elusive.

Many new members appear to be individuals new to the sustainability field, including both students and mid-career changes rather than experienced sustainability professionals

ISSP offering, market positioning and strategic direction remain unclear

Ongoing trading position is precarious. Little likelihood of short term (3-6m) or even medium term (6-12m) turn-around.

Currently have about 2-3 months operating costs in cash reserves (c $35K) (Appendix 1)

Conference hotel contract is extremely onerous if registration criteria are not met.

Probable outcome (160-170 paid rego) = $20-25,000+ owing negligible cash reserves by 31 Dec 2014. Cash reserves will probably just cover debt to hotel.

Break-even (200+ rego)

Outcome will be known at time of next Board meeting scheduled for 12 November 2014.

Key Decisions for Board to consider now to address key issues:

1. Hotel Contract Contingency Planning: Authorise sub-group of the Board (Treasurer (Graham), VP (Marilyn), Maureen (ED) to negotiate contingency arrangements with conference hotel (Sheraton Denver) as insurance against worst case scenario of unaffordable/insolvency creating deficit. (Appendix 2)

2. Insolvent trading implications: Authorise a sub-group of the Board (Secretary (Marsha), Treasurer (Graham), Dorothy (Past Pres) to investigate legalities and implications re insolvency

3. Paid Staff status: Should Board give paid staff one months notice wef end November as a precaution against insolvent shortfall at the time of the conference this ca