Financial leadership strategies to keep the arts alive: Adapting to turbulent times and developing resilience

• In Event: Non-profit finances 1

Abstract

The arts play a vital role in society, enriching our lives, fostering creativity, and preserving cultural heritage. However, the arts sector often faces financial challenges, especially during turbulent times such as economic recessions, political uncertainties, and global pandemics. This research proposal aims to explore financial leadership strategies that can sustain and nurture the arts, ensuring their survival even in the face of adversity. By investigating successful financial management approaches, this study seeks to provide valuable insights for arts organizations and leaders, enabling them to adapt to changing circumstances and build resilience for a sustainable future.Arts have historically been created in concert with and in response to community needs, so they are constantly reaching within and also beyond themselves and across boundaries and so may be even more susceptible than most types of firms or industries to external shocks to that community which they serve (Pope & Tamburri, 2016). Navigating times of turbulence is a primary leadership function (Behn, 1980). Strategic leadership stresses leadership within a changing environment and can help leaders make ethical and impactful decisions in the midst of change (Ostrower & Calabrese, 2021; Young,2021).The primary objectives of this paper are (1)To identify effective financial leadership strategies employed by arts organizations to navigate turbulent times, (2) To analyze the impact of these strategies on the financial stability and resilience of arts institutions and (3) To develop recommendations and best practices for financial leaders in the arts sector to ensure the longevity and vitality of their organizations. This research will employ a mixed-methods approach, combining qualitative and quantitative methods to gather comprehensive data. Qualitative methods, such as interviews and case studies, will be used to collect in-depth insights from financial leaders and decision-makers in arts organizations. Quantitative methods, including financial data analysis and surveys, will be employed to quantify the impact of specific financial strategies on the stability and resilience of arts institutions. By triangulating these methods, the research aims to provide a well-rounded and nuanced understanding of the subject. Based on the findings, the research will develop practical recommendations and best practices for financial leaders in the arts sector, offering actionable insights for adapting to challenges and building resilience.This research holds significant implications for the arts community, policymakers, funding organizations, and researchers. By understanding and disseminating effective financial leadership strategies, arts organizations can not only survive but thrive amidst uncertainties. Policymakers can make informed decisions to support the arts sector, and funding organizations can target their resources more effectively. Furthermore, this study will contribute to the academic discourse on financial management in the arts, paving the way for further research and exploration in this vital field.

References

Behn, Robert D. "Leadership for cut-back management: The use of corporate strategy." Public Administration Review 40, no. 6 (1980): 613-620.

Ostrower, F., & Calabrese, T. 8. Audience Building and Financial Health in the Nonprofit Performing Arts: Current Literature and Unanswered Questions (Executive Summary). Classical Music: Contemporary Perspectives and Challenges, 2021, 8.

Pompe, Jeffrey, and Lawrence Tamburri. "Fiddling in a vortex: Have American orchestras squandered their supremacy on the American cultural scene?." The Journal of Arts Management, Law, and Society 46, no. 2 (2016): 63-72.

Young, D. (2021). Managing for Resilience in a Crisis. National Center on Nonprofit Enterprise member recordings. https://nationalcne.org/managing-for-resilience-in-a-crisis-12-part-video-series/

Authors

• Cleopatra Charles, Rutgers University

• Margaret F. Sloan, James Madison University School of Strategic Leadership Studies