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Corporate Philanthropy: Looking Beyond the Check
While charitable giving is finally back on the rise, so too are the pressures facing nonprofits in appealing to corporate partners. Gone are the days of writing checks to the CEO's favorite "pet" charity, as companies look deeper into the business case for philanthropy. Two new studies released this week demonstrate that employee engagement and ROI from product donations are often key drivers in determining which nonprofit organization to support.

A recent study by Forbes Insights found that 72 percent of the 311 global senior executives surveyed said they primarily donate to charities that also allow their employees to volunteer. Moreover, respondents cited that in addition to social benefits, the top two goals behind philanthropy and community involvement programs are employee motivation and increased skills/leadership. In the case of MasterCard, sending employees to volunteer with Grameen Foundation in Colombia gave staff on-the-ground experience in microfinance and mobile technology, as well as a new perspective of the financial reality of people across the globe. Employees returned armed with new skills to make a difference in their own communities.
Another recent report released from Indiana University examined the business case for product philanthropy. The report found that beyond environmental and social benefits, there is actual return on investment in donating excess inventory instead of liquidating or destroying it. Nonprofits are already cropping up to fill this need, including Good360, an online product donation platform used by some of the world's biggest brands.
While companies may be writing new rules for corporate philanthropy, nonprofits can come to the table prepared. Nonprofits can look to create a diverse spectrum of employee engagement opportunities from company-wide days of service for broad participation to leadership skills-based volunteering. Organizations that work to create sought-after business case metrics for corporate philanthropy will take the lead. While these pressures may be difficult for many nonprofits to manage in the short-term, the end result is strong corporate partnerships, a new group of ambassadors and enhanced capacity for greater social impact.
Tags: philanthropy product employees corporate donations giving
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When Charity Walks Attack
Hide your kids! Run for the hills! Another charity walk is coming through your streets!
Charity walks, runs and rides are nothing new; in fact, the nation’s first walk took place more than 40 years ago. Yet, the latest trend in charity walks is disparaging them.
This month alone, op-eds in The Boston Globe and The New York Times have complained about the nuisance and ineffectiveness of charity walks and their run and ride counterparts. They argue that the funds raised are diminished by the high costs of security, permits and other event necessities. Although eight percent of proceeds do go to securing permits and security, the top 30 “thon” fundraising programs still generated over $1.62 billion in gross revenue in 2009, according to the Run Walk Ride Foundation. Cynics also argue that the time participants dedicate could be more effectively used supporting charities in other ways, say helping to build a home or clean up a beach. However, walks tap into new groups of people who wouldn’t otherwise support the cause, friends and family support their loved ones (not the cause) and many participants join both for the cause and for other, more personal or selfish reasons. Neither of these groups would be effectively reached through traditional donation or volunteerism opportunities.

Despite the growing criticism, there’s more than one reason walks have been going strong since 1969:
• They’re social – they bring together diverse participants, foster a sense of community, shared stories and a “we’re all in this together” feeling.
• They demand attention – they put charities on public display, and the minor disruption they cause is intentional; it’s hard to ignore a group of 50,000 people marching together for a cause.
• They mobilize en-masse – most organizations could never manage or maximize the volume and energy of people who turn out for walks, runs and rides through traditional volunteer opportunities alone.
• They fulfill and inspire – most people who participate in these events are seeking to help the cause, but also to achieve a personal accomplishment as well, whether completing a marathon, biking hundreds of miles or walking further than they’ve walked before.
Do you think charity runs, walks and rides still have a place in contemporary fundraising?
Tags: charity fundraising charitywalks giving
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