Contribution Model Committee -- Membership / Sponsorship for OHT
Committee Report
May 25, 2011
Committee Members
Ron Byers Tim Elwell -- Chair Roger Maduro Skip McGaughey -- Advisor John Piescik Ken Rubin
Objective
To come up with a contribution model recommendation comprising of membership and/or sponsorship
Process
Weekly teleconferences– 7 in total with Minutes posted to the OHT BB
3 Interviews Mike Milinkovich
– The Eclipse Foundation Brian Behlendorf
– The Apache Foundation– The Mozilla Foundation– Benetech
Chris Mackie– The Mellon Foundation
Survey– Solicitation– Review– Posting
Recommendations
Considerations for Recommendations
Needed to work within a 501(c)6 (“Trade Organization”) Structure
Target receipts: $360,000/year– Membership– Sponsorship– Other
Model needs to be flexible– So non-cash contributions are also acceptable
Track Governance-related issues– Recommendations outside the scope of this workgroup
Interview Themes
Create clear membership categories– Permit members to self select
Projects and/or Control/Influence is NOT for sale– Decisions on projects based on merit not monetary
contribution
Make it simple Remain flexible Offer alternatives for companies that can’t pay
– IP, Resources, Payments for services
Additional Revenue Sources
Publishing journals Running Trade Events Job Banks Annual Meeting registration Advertisements Bid on RFPs OHT Consulting OHT Training OHT Certification
Other Budgetary Alternatives
Supplement paid positions with more volunteer positions
Survey Summary
Survey Monkey Tool Statistics:
Size of Organizations
Organization Type
Response Response
Percent Count
1-50 61.90% 26
51-500 21.40% 9
501-2,500 2.40% 1
2,501-10,000
4.80% 2
>10,000 9.50% 4
Government 4.80% 2
Not-for-profit 23.80% 10
For-profit 69.00% 29
None of the above
2.40% 1
Total Distribution Size 73Bounced 3Total Organizations Represented 61Total Sent 70Total Responses 42Response Rate 60%
Perceived Value (Strongly Agree/Agree)
Identify partners for collaboration and/or co-development. 35.0% (14) 45.0% (18)
Shared development infrastructure and tools so that members can contribute on higher order value.
37.5% (15) 30.0% (12)
Ability to network. 47.5% (19) 30.0% (12)
Ability to obtain new ideas. 30.0% (12) 42.5% (17)
Access to low cost technology. 2.5% (1) 40.0% (16)
Improved access to open source projects and technology. 15.4% (6) 56.4% (22)
Ability to share ideas and improve solutions. 40.0% (16) 40.0% (16)
Access to smart people who really understand open source. 42.5% (17) 32.5% (13)
Improved ability to track health care market industry trends. 18.4% (7) 39.5% (15)
Strongly Agree
Agree
What is Expected for Payment?
Ability to be on the OHT Board of Stewards.
37.5% (15) 22.5% (9) 27.5% (11)
Voting priviledges on project reviews, membership participation, and Bylaws.
40.0% (16) 30.0% (12) 17.5% (7)
Ability to participate in OHT projects, workgroups, and Councils.
52.5% (21) 35.0% (14) 10.0% (4)
Access to CollabNet. 22.5% (9) 27.5% (11) 30.0% (12)
Logo placement on the OHT website.
20.0% (8) 32.5% (13) 32.5% (13)
Access to discounted advertisement space.
5.1% (2) 17.9% (7) 33.3% (13)
Ability to use the OHT Logo and name in press releases (with OHT permission.)
17.9% (7) 28.2% (11) 28.2% (11)
Discounts for OHT-related conferences.
2.5% (1) 37.5% (15) 37.5% (15)
Direct access to the OHT Leadership.
30.0% (12) 37.5% (15) 17.5% (7)
Ability to sponsor OHT events with attribution.
5.4% (2) 27.0% (10) 32.4% (12)
Very Important
ImportantSomewhat Important
Survey Self Recommended Payment Levels
Response Response
Percent Count
$0 21.40% 9
$1,000 42.90% 18
$5,000 23.80% 10
$10,000 4.80% 2
$15,000 4.80% 2
$20,000 2.40% 1
Concerns
42
0
Response Response
Percent Count
Yes 33.30% 14
No 14.30% 6
Unsure 52.40% 22
8. If required to make a monetary contribution as a requirement for membership, would your organization remain a member of OHT?
answered question
skipped question
42
0
Response Response
Percent Count
Yes 35.70% 15
No 21.40% 9
Unsure 42.90% 18
2. Would your organization financially contribute to OHT if a membership fee were instituted?
answered question
skipped question
• Expect uncertainty until fee has been set.• Membership cancellations are quite possible and should be factored into the revenue projections.
ISSUE
Overall Average Recommended Membership Fee
– $2,800 to $3,200 Results
– $170,000 to $195,000 Average time to pay
– 4 months Hits ~50% of Target
– Assuming no attrition
SizeAverage
ContributionExtrapolated No. Members
Extapolated Contributions
Ave. Months to Pay
1-50 2,000$ 36.6 $ 73,200 451-2,500 6,000$ 12.2 $ 73,200 4
2,501->10K 5,000$ 6.1 $ 30,500 5
TOTAL $ 176,900 Goal $ 360,000
% of Goal 49%
Options
Ask membership to extend Address value gap Look at alternative funding mechanisms to fill
the gap
Option ------------> 1 1.5 2 3Small (1-50) 2,000$ 2,000$ 3,200$ 4,000$ Medium (51-2500) 6,000$ 6,000$ 7,500$ 10,000$ Large (>2500) 5,000$ 7,500$ 10,000$ 15,000$ % of Goal (1) 49% 53% 75% 100%
(1) Assumes no Attrition
Backup
Contribution Range by Company Size
Size (x-axis):– 1=1-50 employees– 2=51-500– 3=501-2500– 4=2501-10K– 5=>10K.
Variance Chart
0
5
10
15
20
25
0 1 2 3 4 5 6
Size of Company
Co
ntr
ibu
tio
n L
evel
s ($
Ks)
Contribution regardless of Company Size
Scattergram
0
5
10
15
20
25
0 10 20 30 40 50
Individual Company Inputs
$1,0
00s
Option 1 – Get’s Us to nearly 50% of Target
Annual Target360,000$
Category Number Full VotingSmall 1-50 Employees 36.6 36.6Medium 51-2500 Employees 12.2 12.2Large >2,500 Employees 6.1 6.1
Number Full VotingSmall 1-50 Employees 0 2,000$ Medium 51-2500 Employees 10 6,000$ Large >2,500 Employees 10 5,000$
Revenue
Number Full VotingSmall 1-50 Employees 36.6 73,200$ Medium 51-2500 Employees 12.2 73,200$ Large >2,500 Employees 6.1 30,500$ Total 176,900$ Percentage of Target 49%
Option 2 – Get’s us to 75% of Goal
Annual Target360,000$
Category Number Full VotingSmall 1-50 Employees 36.6 36.6Medium 51-2500 Employees 12.2 12.2Large >2,500 Employees 6.1 6.1
Number Full VotingSmall 1-50 Employees 0 3,200$ Medium 51-2500 Employees 10 7,500$ Large >2,500 Employees 10 10,000$
Revenue
Number Full VotingSmall 1-50 Employees 36.6 117,120$ Medium 51-2500 Employees 12.2 91,500$ Large >2,500 Employees 6.1 61,000$ Total 269,620$ Percentage of Target 75%
Option 3 – Get’s Us to 100% of Target
Annual Target360,000$
Category Number Full VotingSmall 1-50 Employees 36.6 36.6Medium 51-2500 Employees 12.2 12.2Large >2,500 Employees 6.1 6.1
Number Full VotingSmall 1-50 Employees 0 4,000$ Medium 51-2500 Employees 10 10,000$ Large >2,500 Employees 10 15,000$
Revenue
Number Full VotingSmall 1-50 Employees 36.6 146,400$ Medium 51-2500 Employees 12.2 122,000$ Large >2,500 Employees 6.1 91,500$ Total 359,900$ Percentage of Target 100%
Top Related