Kjerstin's Blog
Kjerstin's Blog
This is the blog of Kjerstin Erickson, founder and Executive Director of FORGE. See below for a short profile of Kjerstin and that of FORGE's Operations Director, Nicholas Talarico.
Kjerstin Erickson
Kjerstin's Bio
Kjerstin's Bio
At just 25 years old, Kjerstin Erickson has headed an international non-profit for over three years. In 2003, as a twenty year-old junior at Stanford University, Kjerstin created FORGE to serve a dire need that no other non-profit was tackling: transforming the lives of refugees through education, empowerment, and economic self-sufficiency.
After traveling in more than forty countries across the globe and making eleven trips to Africa, Kjerstin is convinced of the urgent need for FORGE to expand its supremely effective community development programs and operational efficiency to every country requiring post-conflict solutions.
Nicholas Talarico
Nicholas' Bio
Nicholas' Bio
Nicholas Talarico, FORGE's Operations Director, oversees logistical, accounting, fundraising & PR, and provides strategic insight to the Executive Director. After getting to know FORGE in 2005 during a Boston-area fundraiser, Nick traveled to Zambia to aid FORGE project management in Meheba Refugee Settlement. While there, Nick was so impressed by the results of FORGE's operational model that not long after his return, he sold his home, left his job, and joined the non-profit full time to further increase its efficiency, awareness, and donor base.
Forging Ahead
Kjerstin Erickson was 20 when she launched FORGE. She didn't have a business plan. She didn't have a revenue model. She didn't have connections. And she didn't have a penny. But she now works in three refugee camps in Zambia, helping 60,000 refugees build better lives. This is her story.
Updated: 01 Dec 22:31
Kiva is a menace
01 Dec 19:37
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This entry is from Curtis Chang, CEO of Consulting Within Reach (CWR). CWR has recently agreed to provide pro bono services to FORGE. As part of this experiment in radical transparency, Social Edge and Kjerstin have invited Curtis to regularly share about the experience in this context.
The love affair with Kiva
Like just about everyone else, I love Kiva.
I first started following their story and Matthew Flannerys blog here on the Social Edge at the end of December 2006.
Their approach of raising funds by connecting individual lenders to micro entrepreneurs seemed like a revelation to me at the time.
As Ive described elsewhere, going to the Kiva site has even become a small family tradition. On Christmas, we peruse the site and my two young daughters get to choose entrepreneurs and the loans our family will make.
It was no surprise to me that theyve become the toast of the town, so much that Time recently named it one of the 50 best sites in the world. Its become one of the definitional social enterprises of our new online era.
Thats why Kiva has become so dangerous for so many young social enterprises like FORGE.
One program officer at a leading foundation for social entrepreneurs related to me how often she hears individuals enthuse about how adopting the KIVA model will radically improve their prospects. I also hear this constantly from clients and potential clients wanting to do the same and hop aboard the online fundraising train.
But copying success can be dangerous.
A brief cinematic digression on copying success
In 1977, I sat as a 9 year in the darkened movie theater of the Golf Mill shopping center rin Niles, Illinois, watching the final flickering scenes of the triumphant victory celebration in the rebel hideout and hanging on to the final echoes of Chewbacas celebratory roar.
I thought the world had changed forever.
Coming from a Chinese immigrant family, I hadnt seen very many movies at that point; Id only been recently allowed to go to the theater without my parents. So after Star Wars, there was this tickling anticipation in me of the wonders to come. What fantastic stories of space adventures would be next?
Heres what came next:
- Flash Gordon (1980)
- Battle Beyond the Stars (1980)
- Krull (1983)
- The Last Starfighter (1984)
- 2010 (1984)
Bombs. Not just bad movies, but budgetary disasters. Studios invested huge sums in cutting edge special effects technology, directors built exotic sets replicating all manner of space vehicles and extraterrestrial locales, and there was a run on midget actors who could fit into robotic outfits.
Yet I couldnt understand why these movies all failed to capture for me (and for everyone else) the allure and magic that was Star Wars.
Everything about Star Wars seemed to be there. And wasnt.
Channeling my inner Roger Ebert now in my middle age, Ive now come to see that what those Star Wars wannabees had copied was the technological shell of Star Wars. But what couldnt be captured was the soul of that landmark film.
Star Wars wasnt just a special effects driven space adventure. As creator George Lucas has explained, the soul of the story lay in his deliberate borrowing of some ancient archetypes of the Western storytelling tradition, especially as depicted in writings of the theorist Joseph Campbell.
Moreover, in its cinematic nature, Star Wars brilliantly fused the soul of several classic genres. It mixed in motifs like the American Western (and Japanese samurai) theme of disparate individuals coming together for a mission and threw in elements of the classic romantic triangle. It played out Neil Simons Odd Couple relationship between the neurotic and the practical: the fact that Felix Unger shuffled about in gold colored metal and Oscar Madison only beeped and whistled was secondary. Most of all, in the cynical and shrunken spirit of the post-Watergate era, it reignited our sense of the grand epic of good versus evil.
The technological shell of Star Wars was important and even necessary for its blockbuster status. But it wasnt sufficient. The high tech shell wasnt a recipe for success, as those subsequent movies proved.
The Soul of Kiva
My point in this digression is that when you look at Kiva, you have to look at the soul behind the technological shell.
The soul of Kiva, in my view, lies in the fusing of four elements:
- the fact that it is asking for loans that get repaid (and potentially re-loaned), not for donations
- its model of regularly humanizing the need to the tale of a sympathetic (i.e. hardworking, enterprising) individual
- facilitating a one to one giver to recipient relationship
- a website that enables the giver to choose the recipient
Of those four elements, I would argue that the fourth technological factor was the least important. It wasnt unimportant, but it served mainly as the shell for the first three truly revelatory elements.
FORGE very self consciously modeled its new funding model on KIVA. KIVA, along with other sites like Donors Choose and Global Giving, were their inspiration. And Kjerstin told me that the team carefully studied the best practices of these forerunners.
This year, it invested $30,000 dollars into building its current site that enables donors to choose a specific project to fund. Their hopes for the year was to recoup that investment, but to build on it as a cornerstone of their fundraising in the future. FORGE only launched the site mid year (it has so far raised a third of the targeted amount), so it is too early to pass short term judgment on the site as a success, failure, or somewhere in between.
My concern here, however, is what FORGE can expect from the site going forward in its long term sustainability plans. For the long term, while FORGE didn't expect to be as equally successful from its online strategy as KIVA, it obviouslly did want to emulate some portion of the success. What is the likely size of that portion?
You can detect how much KIVA was on FORGE's mind by looking at their respective home pages as both were launched [sidenote: FORGE recently has been planning to change this shared graphic identity]:
Yet that borrowed graphic highlights precisely the aspects of KIVAs soul that FORGE didnt and couldnt copy. KIVAs arrows convey the loan aspect as it graphically depicts the return of those funds. It also conveys this sense that there is an individual on the other end. And it conveys the idea that there will be dynamism to this one to one relationship.
FORGE cant replicate any of these aspects. A donation is different than a loan. A relationship to a project is different than to a person. And the dynamism of a project is different than the dynamism of an individual. FORGE was aware of these differences - it's not like they went into this endeavor as a mindless copycat - but as it plans for its future, it must appreciate just how fundamental these differences are.
The Soul of Funding Models
When Ive described FORGEs fundraising story, some critics have replied that the real lesson of FORGE is that you cant just build a great site, but you also have to have a marketing strategy to drive people to the site. And thats been the lesson that Kjerstin herself has voiced.
I dont think thats quite it, though. Sure, marketing to drive web traffic helps. But its not like Kiva conscioiusly executed a saavy marketing campaign to drive their first burst of traffic. They got free marketing in the form of first, a Frontline news piece, and then later on in appearances like on Oprah.
Why was media attracted to them in the first place? I think it was because the media could tell a story that had winsome characters, relationships, and plot.
The archetypical story of KIVA has extrovert Jessica and introvert Matthew visiting micro-enterprises; Jessica especially wondering how they could connect their friends to these wonderful entrepreneurs; and then Matthew coming back to his job as a web developer. You can fill in the rest of the plot and how everything connected.
In almost every free marketing news exposure, that story got retold. And in many ways, their funding model served as a natural invitation to the audience to participate in the soul of that story. That convergence, I believe, is what made the funding model so brilliantly successful.
A nonprofits funding model is not just a purely tactical decision to maximize revenue. Its strengths or flaws cant be just the product of marketing. And the coolest website can be soulless.
A fundraising model works best when it is a natural extension of the essential qualities of an organization: its founding characters, narrative, relationship to its audience all that makes a great movie and story.
Recapturing FORGEs fundraising soul
This doesnt mean that it was a bad idea for FORGE to build its new site. It has the potential to be a useful tool. But all tools are only useful within their limitations. And a tool is not a soul.
Interestingly, FORGEs original funding model did have a very distinctive soul. Its archetypical story is of Kjerstin Erickson as a 20 year old junior dropping out of Stanford to go work in refugee camps. She rallies other college students to the cause. Soon, FORGE is filled with other young, idealistic college students doing the same and raising some key operational funds to keep FORGE growing.
And when those students were fundraising in their home communities or in their dorms, what kind of story are they telling? I bet that many of them at least mention Kjerstins story. I also bet that there are parents making donations to their kids (while worrying desperately about their safety), just like Kjerstins parents financed the organization for a number of years. And when these students returned from their overseas stint, they also repeat Kjerstins narrative as they told their college friends and recruited more to the cause.
And when you read the original free marketing news coverage of FORGE, the media repeated that narrative link from Kjerstin to FORGEs current crop of students.
Now, as Ive written already, I think from a social impact vantage point, FORGE made the right decision to stop using college students as primary staff in the camps and replace them with the refugees themselves. But I wish I could, with the benefit of hindsight and Obi Wan Kenobi like powers, go back to the point where Kjerstin is staring down the barrel of her funding decision and whisper, Kjerstin, use the soul, use the soul.
What would that have meant? Well, for starters, it would have meant moving more slowly and gradually. Organizational souls dont change very quickly. An organization built on a culture of rallying and recruiting college students isnt going to develop overnight the skills and instincts needed in the increasingly complex world of web marketing. FORGE certainly needs to expand its donor base beyond college students. But it has to be realistic about how fast it can move and how much it has to learn. A mixed funding model might have been a good way to experiment.
Even as organizations evolve and mature, the soul of an original funding model, like The Force, can still live on in other incarnations. It would have been wise to think if their student network could still have been given a meaningful role to play in fundraising. Ive been advising Kjerstin to tap aggressively into that network these past few weeks. Well see if they can still come to the rescue. Ill also examine some possible options in the final report.
For now, however, let me be clear: Im not claiming that if I had been in Kjerstins shoes, in the rush and tumult that is the life of a social entrepreneur, I would certainly have had that wisdom. FORGE isn't alone in this: the rush to emulate KIVA is palpable in the nonprofit world these days. It may be that one of FORGE's biggest contributions to the sector in all this is its willingness to serve as a live case study exploring the limitations of that trend.
And who knows, maybe FORGE's site will turn out to be wildly successful beyond my expectations. To borrow from another favorite science fiction series, "Dammit Jim, I'm a consultant not a prophet!" I hope no reader will too glibly point fingers, especially if you havent done it yourself.
Even if you have done it successfully, theres no guarantee that youll continue to do so. Even the blockbuster franchise who is raking in all the dough today could find one day that it has lost its soul.
And KIVA, if you dont believe me and you're reading this, I have three words for you:
Jar Jar Binks
Hopes and fears from the field
24 Nov 17:54
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I just got back from a month in Zambia, where I visited all three of the camps where FORGE works. As I visited our projects and spoke with our staff, it became abundantly clear whats at stake here. The irony, as Kjerstin mentioned, is that our programming is stronger than ever. FORGEs ability to make concrete, lasting change in the lives of these refugees is palpable, and Ive never been so impressed by the expertise and passion of our refugee staff. Yet, Ive never been so scared that FORGE might not make it through all of this. Its bittersweet to be knocked off your feet with progress that you know is in real danger of being seriously stunted, or stopped altogether. More than ever (and thats saying a lot) Im convinced that FORGEs presence in these camps is making a critical difference in refugees lives and that shutting down our projects would be a crippling blow to these communities both immediately and in the long run.
In Meheba Settlement I met with Anthony, the refugee leader of one of FORGEs first projects planned by the refugees themselves. For the past six months, Anthony has been working with his community to develop the FORGE Health Service, a project that will provide basic health treatment and health education to a community that has been without a clinic for almost six years. Typically a quiet man, Anthonys excitement when he spoke of the project was contagious, and his pride of all that he and his community had accomplished was inspiring. He spoke eagerly about the valuable leadership and business skills hes acquired throughout this process and the respect and trust hes gained in his community. But, most strikingly, he felt totally prepared and confident in his ability to spearhead future community development initiatives next time without FORGEs help. Anthony is determined that he can and will use the skills he learned to solve problems in the future, rather than relying on outside help or guidance.
The impact extends beyond even that. Anthony proudly related to me the importance of his role in the community. He said that by listening to the community and turning their input into action, he had empowered the people of Meheba to speak their mind. He is now approached consistently by his peers who want to discuss their ideas, opinions, and concerns. Because of Anthonys work through FORGE, the community is suddenly vibrant and proactive, and people are thinking about possibilities rather than problems. He says they finally feel like they have a voice and theyre using it.
The trip was not all inspiration and progress, though. Part of my mission on the ground was to work with our Project Managers to cut project budgets in half for the next four months. After a few agonizing days, we came up with a plan that will allow the projects to survive on the limited funding FORGE has available in the short term. We had to lay off many valuable employees (more than half in one camp), and supply budgets are shockingly low most projects in Meheba settlement have less than $20 a month to spend on materials like notebooks, pencils and chalkthe modest resources that keep projects running. The community was hit hard by the news, partly because of the cutbacks, but mostly out of a fear that FORGE is preparing to leave. Refugees are no strangers to abandonment and broken promises. They have seen too many nonprofit organizations come and go. When we told them that the budget cuts were meant to keep FORGE in the camp and not as the beginning of the end, they were, as whole, relieved. We understand budget problems and lack of resources, Wakilongo, the Kala Community Driven Repatriation Center Project Coordinator told me, We just fear FORGE leaving. We can make it work as long as we can work together.
My thoughts exactly.
- Abby Speight
FORGE Programming Director
Progress!
21 Nov 20:25
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Since announcing our budget shortfall, we've received over $18,000 in new gifts (toward the $100,000 deficit). We've also received several pledges and committments that we are waiting to see formally materialize. Its been a good start.
In an exciting turn of events, a family foundation has come forward to offer $10,000 once we have raised $20,000 from our past donor base. So far, we've raised over $10,000 of the required $20,000, and we are confident that we will raise the rest. Once this happens, we will be at least 40% of the way to closing the immediate gap that will allow FORGE to continue our work in 2009. It's my belief that the first 40% is the hardest, as it is the early donors who must take the largest risk that we won't make it.
There is still a long way to go. But we've got our nose to the grindstone, and we'll keep plugging away...
-Kjerstin Erickson
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