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The Alchemy of High-Performing Arts Organizations, Part II
Document
  • Author(s)
  • Zannie Voss and Glenn Voss
  • Publisher(s)
  • SMU DataArts
Page Count 47 pages

Research Approach

Researchers at SMU DataArts consulted several datasets to find high-performing arts organizations that primarily serve communities of color. They started by finding organizations who said in surveys that they "primarily serve a particular racial/ethnic group." Researchers then mined data from sources such as the Census Bureau, the National Endowment for the Arts, tax filings, and SMU DataArts' own databases. They found organizations that produce better financial outputs than one could expect from those organizations' inputs. They independently verified that those organizations do, in fact, serve communities of color. They then interviewed leaders of those organizations about the strategies behind their success. 

The researchers used eight measures as the outputs that define financial success:

  1. Ratio of capital to debt
  2. Occupancy expenses such as rents and mortgage payments
  3. Contributions from individuals
  4. Community engagement
  5. Surplus or deficit
  6. Revenue from subscriptions and memberships
  7. Unrestricted funding from governments, corporations, foundations, or other institutional donors
  8. Diversity of revenue sources

They used many indicators as inputs, including the organization's budget, its age, the art forms it presents, the wealth of surrounding communities, and the number of other arts organizations in the area. 

Such inputs vary widely from organization to organization. To compare organizations, the researchers used econometric techniques that estimate the outputs the average organization would produce if all organizations started with the same inputs. If an organization fared much better on at least three of the eight outputs, the researchers considered it a high-performing arts organization. 

The researchers identified 11 performing-arts organizations and 10 community-based organizations that fit their criteria. Performing arts organizations include organizations focusing on music, dance, theater, and multidisciplinary performing arts. Community-based organizations include organizations promoting arts education, folk art, and cultural awareness.

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