Case Study –FADÓ (Ireland)
1. Organisation name
FADÓ – The Story of Waterford
2. Contact Name
22a Ballybricken, Waterford
Organisational Structure 1. How would you describe your organisation? – Social Enterprise, Not-for-profit, Voluntary, Commercial or Public Sector?
FADÓ is a social enterprise.
2. Brief background to the organisation:-
a. Age of organisation? 1 year. FADÓ officially started January 2011. However, there was a pilot phase throughout 2010 which tested the viability and quality of the product before trading.
b. Target Group/Beneficiaries?
· Unemployed and under-employed people are the key beneficiaries.
c. What does FADÓ do for the beneficiaries?
FADÓ provides training and meaningful work experience opportunities for long term unemployed people in heritage and tourism events management that can be used to advance and enhance their own career.
d. Are the people you ‘trade’ with the same as the beneficiaries?
No. FADÓ provides tourism and heritage experiences and events marketed at tourists and schools and trade with County & City Councils to provide these services as well as the end users (tourists and schools).
d. Geographical remit?
Waterford City & County.
e. Who was responsible for setting up the organisation?
FADÓ is the result of a pilot project that was initiated by a committee made comprising local arts and heritage providers. The pilot started in 2010, which tested a heritage product targeted at the local community. This product was a guided haunted historical walk around Ballybricken in Waterford City and was hugely successful. The idea for FADÓ was born from and further research which indicated potential for further events, including the Viking heritage associated to Waterford.
3. What is the organisation’s social mission?
To re-create the story of Waterford through walking tours, live performances, re-enactments, training and any artistic form, that will encourage audiences to come back for more. FADÓ aims to do this by working with ‘job seekers’ to provide meaningful and rewarding work.
4. Have you got a ‘mission statement’?
FADÓ is a social enterprise that aims to keep the story of Waterford alive by bringing it to audiences in an interactive, creative, live, interesting, unique way – to keep us at the cutting edge of the development of the oldest city in Ireland.
5. What is the ownership structure?
Waterford SPRAOI Ltd set up a separate company the SPRAOI Heritage and Arts Company to take legal ownership of FADÓ.
1. Number of paid staff (FT & PT)?
1 Full-time manager
8 Full-time people on CE Scheme
2. Number of volunteers and average weekly contribution?
There are no volunteers at present outside of the 2 Directors.
3. Are the people originally responsible for setting up the organisation still involved and in what capacity?
Yes, Joanne Galvin, one of the original founders is the manager of this project and the key driver. Five other founding members are – Stephen Elliott, Kay Browne, Jennifer Hayes, Richie Ryan and Eric McEnery; all participants on the pilot local training initiative and all still involved in the enterprise.
4. What is the organisational position on staff salaries – are there comparative issues to recruit or keep the right staff?
As the staff are paid for by a FÁS Community Employment Scheme and the project is still in its infancy, such issues have not yet been created.
5. What would be the key words when looking for your ideal member of staff?
Creativity, compassion, communicator, artistic, passionate, team player
1. What is the legal status of the organisation?
FADÓ is a social enterprise.
2. Number of directors/trustees?
3. Management/governance structure and relationship?
Spraoi Arts & Heritage Company is company set up to provide corporate governance. It is a company Limited by Guarantee and has charitable status and is responsible for FADÓ from a governance perspective. However, the manager, Joanne Galvin is responsible for ensuring the governance and management structures are adhered to. 4. Who has the main responsibility for strategic and business planning?
The manager, Joanne Galvin is responsible for all strategic and business planning. However, all staff are consulted for ideas on direction. Supports are also provided by SPRAOI Arts & Heritage Company.
Management and Direction
1. Is there a trading/sustainability plan in place or is trading activity more opportunistic or market led?
Trading activity is market led. There was a pilot phase of the project which was supported by St. Brigid’s Family & Community Centre; Waterford Spraoi and Waterford City Council were also involved at this stage. The aim was to research the potential for delivering heritage and historical products. Waterford is raising its profile as a top class tourism destination and FADÓ fits into the diversity or tourism products that are on offer. This is a niche market, but one that is in demand. Sustainability is priority as without it we would not have secured investment and supports from the stakeholders. That is not to suggest the project will not take advantage of any opportunities that may be researched or discovered.
2. What is the approach to risk/investing in new income streams?
If a trading opportunity presents itself as viable then it will do whatever it can to invest. This will however depend upon the availability of accessing either funding or leveraging private financial supports.
3. What percentage of income do you:-
· Currently generate through trading activity?
FADÓ started January 2011. The date of this case sturdy is June 2011 and so the project has now reached its first six month phase. The percentage of trading activity at this point is 10%
· Aim to generate through trading activity in future?
The goal is to raise this to 15% by the end of year 1 (December 2011)
Raise it to 30% by the end of year 2 (December 2012)
Raise it to 50% by the end of year 3 (December 2013)
4. What style of management would you say works best for your organisation? e.g. autocratic, democratic etc, (‘what works best’, not ‘what do you aim for?’)
A democratic works best for FADÓ. It is important that all staff and workers are treated equally and that each is respected and honoured for the skills and input they provide to the project. Each person is nurtured to achieve their own unique potential.
5. Is there a management succession plan in place?
The plan is for one of the CE workers will be trained to a level where than can progress to replace the current manager. The CE workers will be in place for a 3 year period. One of the workers has already demonstrated an ability to lead the project. All workers receive the support they require to expand their knowledge base and develop their skills.
1. What are your current sources of income and what percentage of your turnover do these represent?
The first 6 months (at time of writing in month 6) of start-up phase 10% of total income was generated through trading activities with 90% coming from public funding, with some local private sector support.
2. What was the organisation’s initial source of revenue/funding?
All 8 staff of FADÓ are financed by FÁS through its Community Employment Scheme. Funding for start-up equipment such as computers and costumes was provided by FAS and Waterford Area Partnership through its enterprise supports programme. The overheads are financed by the trading activities.
3. What is the capital structure of the organisation?
FADÓ has its own bank account and is responsible for managing its own finances with support of the 2 Directors who comprise the SPRAOI Arts & Heritage Company.
4. What is your current financial position – positive, negative or break-even?
At present FADÓ is breaking even, but only through the securing of funding. However, this is the case for the majority of enterprises during the start-up phase.
5. What is your policy in terms of distribution or reinvestment of any profits or surplus?
The policy of FADÓ in relation to distribution of profits is that all surplus profits will be re-invested back into FADÓ to improve and expand its range of products to further increase and improve its trading services.
Context and Impact
1. Who are your beneficiaries?
The key beneficiaries are the target groups, i.e. under-employed and unemployed people. However, it is also the people who experience our service / product that should be included as their imaginations are captured by the bringing to life of history. It could be argued they are also the beneficiaries in this respect.
2. Who are your stakeholders?
The key stakeholders of FADÓ are the beneficiaries (staff) as they are the people driving the enterprise forward and without them the project wouldn’t have achieved the success it has.
The wider stakeholders are those involved in the project from a governance and artistic support perspective – SPRAOI Heritage & Arts Company members.
The wider stakeholders group include Waterford City Council who purchase the services/products of FADÓ for festivals and cultural / tourism events.
The final group of stakeholders are the end users of the product which include:
3. Who are your main trading or delivery partners – private consumers, other not-for-profit organisations, public sector or private sector businesses?
The public sector is our key trading partners as they are the primary purchasers of the product. However, as our brand and products have begun to gain a reputation, we have secured traded income from parents of primary school children, as we take them on walking tours. As we grow, FADÓ will look to trading directly with tourists and possibly the private sector, if there proves to be viable markets in these areas.
4. Operational scope – are you looking to move into other trading or delivery areas?
FADÓ is constantly seeking further trading opportunities within the arts, history and heritage fields. As this is a new enterprise, we will continue to refine our current products but we will stray from our area of expertise.
5. Opportunity – Is the current economic climate an opportunity or a threat to your organisation?
The current economic climate will create pressures for FADÓ in respect that local authorities and schools have significantly reduced budgets. However, tourism, history and heritage are high on the agenda of both at present. In addition, the tourism sector is one of the few growth sectors in Ireland at present and as such there is significant potential to tap into and take advantage of this market.