FACT now – institutional parameters

FACT is constituted as a charity with a ‘trading arm’ (FACT Services) with the majority of its funding coming from Arts Council of England (ACE) and Liverpool City Council alongside grants from other public and private sector agencies.35 _{In 2012, FACT became an Arts Council National Portfolio Organ-} isation (NPO),one of (currently) 696 cultural organisations across England whose core funding comes from the Arts Council of England.36 _{National Portfolio funding was introduced in 2012, in response} to funding’s cuts to ACE after the government’s spending review in 2010. National Portfolio funding involves tighter assessment criteria and requires funded art organisations to reapply for their funding on a regular basis.37 _{FACT’s current funding is in the region of 1 million pounds per year. Compared} to some other art organisations, which either lost a significant part, or all of their funding in the cuts implemented in 2011, FACT has been relatively lucky as it (only) lost 11% of its ACE funding.38 As an NPO, FACT is required to submit a funding application to ACE every three years, outlining its missions and purpose and how they fit within ACE’s goals and priorities, as well as its plan of ac- tivities, a detailed budget and management accounts.39 _{As part of the funding application and the} funding agreement process FACT and ACE agree on Key Performance Indicators by means of which the performance of the organisation is monitored.40

A key document defining FACT’s current institutional parameters is the Business Plan, which pro- vides an overview of organisational agendas, strategies and the main programming directions. The Business Plan (2012-2015) restates FACT’s mission thus:

34 Connecting Cities is European network of media facades and city screens programing art content. See Connecting Cities, 2013. ‘About Connecting Cities.’ Online. Available at: http://www.connectingcities.net/ about-connecting-cities. Accessed: April 14, 2013.

35 FACT, 2012.’ Business Plan 2012-2015.’ Available on FACT hard drive. p. 2.

36 See Arts Council, 2013. ‘National Portfolio Funding Programme 2012-2015’. Online. Available at: http:// www.artscouncil.org.uk/funding/apply-funding/funding-programmes/national-portfolio-funding-pro- gramme/. Accessed: June 26, 2013.

37 See Arts Council, 2012. ‘The Relationship Between Arts Council and Funded Organisations.’ [PDF]. Online. Available at: http://www.artscouncil.org.uk/media/uploads/pdf/FINALrelationship_framework_1904.pdf. Accessed: June 26, 2013.

38 In 2011, 206 arts organisations in the UK lost 100% of their funding. See Rogers, S. 2011. ‘Arts Council Founding: Get the Full Decisions List’. Guardian. March 30. Online. Available at: http://www.theguardian. com/news/datablog/2011/mar/30/arts-council-funding-decisions-list?guni=Graphic:in%20body%20link. Accessed: June 20, 2013.

39 See Arts Council, 2013. ‘National Portfolio Funding Programme. Guidance for Applicants.’ Online. Avail- able at: http://www.artscouncil.org.uk/funding/our-investment/funding-programmes/national-portfolio- funding-programme/how-we-made-our-decision/how-apply/. Accessed: June 20, 2013.

40 For explenation of KPI See Arts Council, 2011. ‘Next Steps and FAQ for National Portfolio Organisation’ [PDF]. Online. Available at: http://www.artscouncil.org.uk/media/uploads/pdf/NPO_funding_agree- ment_next_steps.pdf. Accessed: June 20, 2013. pp. 3-4.

‘To be the national centre for media art and new media where people, art, creativity and technology meet. Expansive and Emergent – a place where many communities meet and recognise that Art is Innovation, attracting artists and designers demonstrating significant benefits for all of society.’41

There are six strategic aims within the current Business Plan:

‘(1). to originate and deliver excellent, innovative art; (2). to support artists and artists’ prac- tice and strengthen the sector; (3). to engage audiences through creative technology, (4). to grow organisational effectiveness, (5). to operate a strong business model, (6). to grow and develop capital infrastructure.’42

As such, it becomes possible to see that FACT’s core values and mission have remained largely un- changed; FACT has been committed to connecting art, society and technology since its inception. While the first three strategic aims identified in the Business Plan are self-explanatory, the latter three point towards organisational effectiveness as an important focus for FACT. These need to be consid- ered in the context of ACE’s increased pressure on arts organisations to develop strong business mod- els while lessening their dependency on public funding.43 _{The Business Plan identifies organisational} changes, which see FACT moving from a heavy reliance on public funding to ‘a wider basket of income’ through ‘increased turnover on services, corporate giving, productisation, business incubation and a revised fundraising plan’.44 _{The ‘strengthening of the FACT brand’ and the ‘re-imagining of the FACT} experience’ involving changes to the building described above and improvements to marketing and programming strategies are seen as key to organisational effectiveness.45 _{More focus will be given to} the organisation’s presence on-line: through more digital commissions and better exploitation of the digital space, which will complement FACT’s exhibition offer. ‘This approach – curating across spaces – will enable further experimentation and layering of digital, the urban realm and gallery spaces’.46 Also identified in the Business Plan are new strategies for achieving greater organisational efficiency. One of them is Producer Model which will include ‘cost centred on projects and use of freelance asso- ciates to build capacity’.47 _{The Business Plan does not provide a lot of information about the Producer} Model and what it would encompass, however, a consultancy report helps to identify the model:

‘[...] smaller working groups of staff, freelancers and commercial partners would develop a mixed slate of projects to include digital film, curated shows, education work, online proj- ects, smart phone apps, artist projects, labs with artists and publications (print and elec- tronic). It is tacitly understood that such programme would connect with ACE’s key perfor- mance indicators, refresh the project strands, inculcate a more entrepreneurial culture, and limit risk (in terms of finance).’48

41 FACT, ‘Business Plan 2012-2015.’ p. 7. 42 Ibid., pp. 7-13.

43 See Royce, S.J. 2011 ‘Business Models in the Visual Art: an Investigation of Organisational Business Models for the Turning Point Network and Arts Council England’. {PDF]. Online. Available at: http://www. artscouncil.org.uk/media/uploads/pdf/Final_business_models.pdf. Accessed August 20 2013. p. 20 . 44 FACT, ‘Business Plan.’ p. 6.

45 Ibid., p. 4. 46 Ibid., p. 4. 47 Ibid., p. 6.

48 Poulter, S. and Associates. 2011. ‘FACT: Digital Innovation: Draft.’ Consultancy Report. Available on FACT hard drive. p. 6.

Outlining FACT’s institutional parameters and organisational aims, the Business Plan indicates the direction FACT is moving towards. The important focus for the institution, apart from delivering its artistic mission, is building greater organisational effectiveness, operating strong business model, strengthening of FACT’s brand and more effective income generation which can be considered as part of a wider move towards more entrepreneurial culture, as suggested in the consultancy report quoted above.