Future Age – March/April 2010 - 6

New Ways to Thrive
Providers respond to changing environments by rethinking their business models and expanding services.
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A long and painful recession, the prospect of changing reimbursement models, and changing consumer desires are putting pressure on aging-services providers. Despite these pressures—and despite the fact that some providers have faced serious trouble—the needs of elders will only continue to grow. The good news is that mission-driven providers are rethinking their models and looking for ways to diversify services and revenue streams, with the goal of thriving in years to come.

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In	2007,	The	Admiral	tore	down	its	 building	and	relocated	residents	to	nine	 host	communities	throughout	the	Chicago	 area.	The	plan	was	to	have	residents	in	the	 new	building	in	2010,	but	The	Admiral	 encountered	unexpected	obstacles. Early	in	the	process,	The	Admiral	 faced	zoning	opposition	from	one	of	the	 neighborhood	organizations.	It	eventually	 gained	the	group’s	support,	but	not	without	incurring	delays	and	additional	design	 The	New	Admiral	at	the	Lake/ costs. Then,	like	many	organizations,	The	 Kendal Chicago,	Ill. Admiral	fell	victim	to	the	housing	collapse	 and	recession.	Though	initial	deposits	 The Challenge: were	strong,	the	project	became	paralyzed	 Save	a	continuing	care	retirement	comwhen	the	bond	market	froze.	By	the	end	of	 munity	(CCRC)	that	saw	its	repositioning	 2008,	the	organization	was	forced	to	lay	off	 frozen	by	the	recession	and	credit	crunch. its	marketing	staff	and	make	some	tough	 decisions. The Strategy: “We	realized	that	we	needed	greater	 A	collaboration	between	The	Admiral	at	 strength	and	stability	to	survive	another	 the	Lake	and	The	Kendal	Corporation. 150	years,”	Brichacek	says.	“Our	long-term	 survival	was	going	to	necessitate	being	 The Keys: part	of	a	larger	system.” 1.		Compatible	missions,	cultures	and	 After	looking	locally,	The	Admiral	 values broadened	its	search,	which	eventually	 2.	Hands-on	leadership led	to	The	Kendal	Corporation.	What	set	 3.	Marketing,	branding	and	financing	 Kendal	apart	was	its	“federalist”	approach,	 support explains	Brichacek.	“Our	biggest	fear	was	 being	subsumed,”	he	says.	“Kendal	offered	 The Result: us	the	autonomy	of	an	independent	orgaA	150-year-old	not-for-profit	retains	its	 nization,	but	the	benefits	of	being	part	of	a	 identity,	while	Kendal	welcomes	its	first	 larger	system.” urban	CCRC. Under	the	formal	working	agreement,	 The	Admiral	retained	its	name	as	well	as	 The Story: its	management	and	board,	and	it	gained	 As	the	oldest	not-for-profit	serving	 the	opportunity	to	tap	into	Kendal’s	experseniors	in	Chicago,	The	Admiral	at	the	 tise	and	economies	of	scale. Lake	was	no	stranger	to	reinvention.	When	 Brichacek	credits	Kendal	with	providits	board	decided	in	2004	to	completely	 ing	vital	branding	and	marketing	support.	 reposition	the	retirement	community,	 For	example,	Kendal	distributed	mailers	to	 CEO	Glenn	Brichacek	looked	forward	to	 its	more	than	17,000	constituents	inviting	 the	organization’s	next	chapter. them	to	make	referrals.	That	type	of	reach,	

ew	organizations	have	managed	 to	escape	the	housing	crisis	and	 recession	unscathed.	Yet	the	rise	 in	obstacles	has	spurred	equal	 growth	in	leadership,	creativity	and	vision.	 What	follows	are	the	profiles	of	several	 not-for-profit	providers	finding	ways	to	 overcome	challenges.	Their	stories	are	 a	testament	to	the	not-for-profit	difference—and	the	values	that	underlie	it.

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futureAge	| March/April 2010
Future Age – March/April 2010

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