A Cost-Cutting Proposal

[scheherazadesghost]

Just now, keystone3ply said:

This might be a better thread to ask this question.

Q: Do the corps' CEOs or EDs have any kind of business background? Or do they just operate with their 'heart' with their drum corps background?  I just don't understand... 

Bro, it seems like too many of VMAPA's leadership came from a wide variety of backgrounds having little to do with NP or business management (no, np board  and volunteer experience doesn't count 'cause they're not the same as np admin at all.) Mostly they were alum who stayed in drum corps or marching band somehow. Not good. Board is made up of HR, lawyers, and accountants. 😬 Those skillsets do not a healthy board make.

[cfirwin3]

I think it's obvious that organizations are operating on an assumption of competitive standing.  If they don't have the financial backing to pay for the attributes that they feel will lead to competitive standing, then they conclude that they cannot operate.

I don't mean to be absurdly reductive... but there are few reasons why a drumcorps cannot operate on a more traditional design approach (less material overhead and transport requirements), later start date, fewer performances (less travel) and still be a stellar performing group (even with 'second tier' staffing).  THE reason not to pursue this route is simply because groups choose not to re: the presumption of competitive standing.

The obsession over the "subgenre" of the product (CONTEMPORARY drumcorps) can be self-limiting.

I'd rather see any drumcorps start the first week of July, with cheap uniforms, and no accessories beyond a good music and drill book than not see that same drumcorps at all.

If you can't pay for all of it... then just buy some of it, and buy it a little cheaper.  Budgeting 101.

Edited October 14, 2023 by cfirwin3

[DAL-27]

44 minutes ago, keystone3ply said:

This might be a better thread to ask this question.

Q: Do the corps' CEOs or EDs have any kind of business background? Or do they just operate with their 'heart' with their drum corps background?  I just don't understand... 

Maybe, but regardless their BOD should have members that do along with a multitude of diverse backgrounds in business, finance, HR, grants, medical, legal, leadership etc.  I could go on (feel free to add anything I missed).  The BOD should be there to advise the CEO/ED (whatever the title is) and be there for organizational oversight.  All responsibility shouldn't be on the back of one person.

[keystone3ply]

11 minutes ago, DAL-27 said:

Maybe, but regardless their BOD should have members that do along with a multitude of diverse backgrounds in business, finance, HR, grants, medical, legal, leadership etc.  I could go on (feel free to add anything I missed).  The BOD should be there to advise the CEO/ED (whatever the title is) and be there for organizational oversight.  All responsibility shouldn't be on the back of one person.

True, except in the case of SCV?  Sadly, the BOD or CFO didn't seem to work for them. 🤔 

Edited October 14, 2023 by keystone3ply
cx

[Tim K]

Cutting costs and sticking to a budget are both important, but a significant culprit is not having revenue to cover the costs in the first place. In the case of Cadets, the official statement mentioned fund raising as a problem. Whether you call it fundraising, development, advancement, corps need to find long term sustaining ways to fund corps. Hitting up alumni or going hat in hand to businesses is a very limited source of revenue and at a time when non profits are hurting, if you’re a business being hit up for funds, is a flashy and expensive drum corps going to be as worthy a candidate as let’s say the day camp for underserved children? Which looks better? Which can use the funds more effectively? Which serves local people in a local community?

[IllianaLancerContra]

1 hour ago, MGCpimpOtimp said:

This is already what the vast majority of corps do for camps, 3 or 4 satellite audition camps (students only need to attend 1), 1 callback camp, April camp, then move ins

The main point that I was trying to make is shorten Spring Training.  Idk if it contributed to their demise, but Cadets last season had a 6-week ST.   

Edited October 14, 2023 by IllianaLancerContra
Clarity

[mcjordansc]

1 hour ago, IllianaLancerContra said:

I’ll add one more idea - In-person camps limited to 3 (inc audition).  Virtual camps are unlimited.  Spring training starts no earlier than 1 June. This limits food & housing costs.  
 

Participants in Marching Music’s Major League should be able to learn show in 3-4 weeks.  

Corps make money from camps. 

[Mr_Moto]

We’re looking at the activity as a whole, and I think there are some ways that everyone is affected equally. Ultimately though we’re talking about a small group of non-profits that all operate on a slightly different business model. There are 3 big levers that are what we need to look at in how to fix the problem. 1.) Operating Expenses 2.) Revenue 3.) Fundraising. It’s not going to be a one size fits all solution, it’s going to be a bunch of small little tweaks and investments that are going to help right the ship, and each corps will have to figure out what is going to work best for them.  

This is going to require corps to really workshop and try to look at their operation holistically and through a different lens. This requires creative problem solving, and is going to take several iterations to figure out what will work, create the metrics, and make it happen. This process has to be collaborative and operated from a flat hierarchy in order for it to not be steamrolled by one individual or small subset that might already be controlling power. 

What are the things that need to remain constant vs what can change? The member experience, which include competing, is the main draw for the competitors. So how do we keep that same, even if we’re looking at less shows or possibly fewer miles traveled, while figuring out other areas in the organization that can reduce operating expenses. 

Operating Expenses:

1. Most corps are already minimizing camp attendance, some cutting to just brass for Feb and March already.
   1. One of the biggest expenses is flying in instructors and paying them. Can we use more local staff who aren’t necessarily on tour to help fill out the roster and who also might be willing to work for the same or less pay. 
2. Size of the convoy is a thing that adds up quickly. Vehicle rental + labor to drive + gas + insurance = This is 20-25% of the budget for most corps
   1. Souvies could be cut down. Mandarins is a great example of this. They weren’t making enough at most shows to cover the cost. How can we reduce operating expense while trying to maintain the same revenue?
      1. You could take the Souvie vehicle out of the fleet. Cut the foot print of soupiest for most shows to a small tent, samples of most/all items, and one person with a POS system. The foot print of this could fit in the back of one of the support vans that most corps have. All orders are then shipped from corps hall or 3rd party the next day. Yes, fans lose the instant gratification of getting the item that moment, but if you educate them on why they are doing this, most would understand. They could still do full size souvie setups at regionals and finals and this would exponentially cut down cost. 
         1. With a smaller setup size for most shows you could have this run by one of the admin assistants as the size would only require 1-2 people to setup. 
3. DCI in recent years has created the relationship with Sysco to negotiate for a better deal for all corps for food. How can we leverage DCI to negotiate better rates on other things that all corps are doing. Could DCI negotiate with a bussing company or tractor/trailer rental company to do a larger rental contract for the season that corps opt in to. 

Revenue:

1. Corps need new revenue streams. Many have realized this, but drum corps is not the money maker. These non-profits need to realign in serving their community to create opportunities to generate revenue, and qualify for more grant opportunities. This would take a lot of leg work in building relationships and initial infrastructure investment to get things up and running. 
   1. Music lessons programs - Some corps have done this locally or virtually. Incorporating staff or local educators to improve local music education is a viable option. This could include student and adult performance groups as well. 
      1. This could be a great opportunity for older members or recent age outs that are local to cut their teeth on teaching and to continue to have a relationship with the corps in the off-season. 
   2. Music Store - with many local music shops closing down this could be an opportunity to create a hybrid opportunity, and have an instrument repair tech on staff that could be useful for the corps to keep repair costs down, and could be an opportunity to build great relationships in the community with local band directors by offering repair services and bid on local school contracts.
      1. This could be starting their own or investing into a percentage of a local company to help support them and make sure the community has music instrument inventory and repair resources.
   3. Create a service that the corps has been outsourcing. Phantom has done great with this by creating a march printing business that is available to other corps or the local community.
      1. Cross pollination - Corps could use this to co-op to use their buying power together to support each other and make sure that they’re getting the best possible price.
   4. Entertainment Companies - We’ve already seen this with corps in certain locations especially where pro sports are. Advertising these services and having local members. 

Fundraising: 

Fundraising is such an integral piece to making drum corps happen. We’re at a place in time where everyone is being stretched thin financially with the current rate of inflation. If we consider the recession of 2008-2010, how did that affect fundraising for drum corps? Are we looking at something similar now where we could potentially see a downturn in dollars raised for corps? Or is that a risk to be considered?

 

Exposure of the Activity:
If we’re ultimately looking for more corporate sponsorships to help offset costs, then the activity needs more exposure and that is going to take an investment. This is where the PBS broadcast used to be super helpful in getting this niche activity in front of a larger audience. DCI should be investing in larger media advertising campaign to help promote the activity as a whole. Hopefully this is something the new DCI CEO will be looking to focus on. 

Edited October 14, 2023 by Mr_Moto

[cixelsyd]

3 hours ago, cfirwin3 said:

I think it's obvious that organizations are operating on an assumption of competitive standing.  If they don't have the financial backing to pay for the attributes that they feel will lead to competitive standing, then they conclude that they cannot operate.

I don't mean to be absurdly reductive... but there are few reasons why a drumcorps cannot operate on a more traditional design approach (less material overhead and transport requirements), later start date, fewer performances (less travel) and still be a stellar performing group (even with 'second tier' staffing).  THE reason not to pursue this route is simply because groups choose not to re: the presumption of competitive standing.

The obsession over the "subgenre" of the product (CONTEMPORARY drumcorps) can be self-limiting.

I'd rather see any drumcorps start the first week of July, with cheap uniforms, and no accessories beyond a good music and drill book than not see that same drumcorps at all.

If you can't pay for all of it... then just buy some of it, and buy it a little cheaper.  Budgeting 101.

I suspect the reason pretty much no one does this is because most of the members will quit.  We have to realize that kids are not just joining corps X... they are joining a DCI competitor, with certain expectations that go along with that.

To change that model, the whole league has to change.

[cfirwin3]

1 minute ago, cixelsyd said:

I suspect the reason pretty much no one does this is because most of the members will quit.  We have to realize that kids are not just joining corps X... they are joining a DCI competitor, with certain expectations that go along with that.

To change that model, the whole league has to change.

That's part of the cutting loss.  They will have membership, but they will absolutely lose some top talent.

But, they will "be".  They might even make a point in doing so.  I suspect that a number of folks that may be shut out elsewhere would love a chance to be in 'Vanguard' or to be a 'Cadet' regardless of the circumstance.

What good is a fear of status that ultimately causes one's total demise?

I suspect that the hope will be to survive to recruit top talent another day... but I also suspect that day will be hard to attain once everyone is comfortably placed elsewhere.  Who will want to take the risk?