Posted on 9th December 2011
"New Philanthropy", a term coined around 10 years ago to describe a new breed of business-minded City philanthropists with a highly engaged approach to giving is the focus of a new series on Radio 4.
The series of three half-hour programmes How new is new philanthropy? first airing on Monday, December 12, sees historian Professor Hugh Cunningham present a history of philanthropic giving in Britain from the 18th to the 21st century, assessing the role that it plays or might play today.
It looks back to the 18th century penal reformer John Howard, the first person to be called a "philanthropist" but posits that philanthropy is far more complex and ever-changing than Dr Johnson's definition – love of mankind, good nature – suggests and attempts to discover just how new "New Philanthropy" is.
Cunningham speaks with historians and philanthropists including Dame Stephanie Shirley.
At the heart of this first programme, Cunningham asks fundamental questions about philanthropy - why did people give in the past, why do they give today and why don't more people give more?
Philanthropy is also the focus of the Wall Street Journal this month which looks at issues that also concern UK philanthropists – including how to assess a charity, the pro’s and cons of taking a business-like approach to philanthropy and how to encourage donors.
In a debate, Charles R. Bronfman and Jeffrey R. Solomon, chairman and president, respectively, of the Andrea and Charles Bronfman Philanthropies, argue for a business-like approach, and Michael Edwards, a distinguished senior fellow at Demos, a social issues think tank, who proposes that social values should take precedence.“Regular proof that your investment is achieving maximum impact. That's the way businesses operate, and charities should be no different”, says Bronfman, while Edwards argues: “Tackling some of society's biggest problems is unlikely to produce anything like the steady, chartable path of progress that investors require. And that's simply something donors have to live with if they want to help those most in need.”
It also warns philanthropists on the risk of poor due diligence during the economic downturn. “In times like these, philanthropists have to do even more due diligence than usual – digging into the charity's financial statements, visiting the organisation, meeting with management and talking to third-party observer,” the report says.
Among other points it raises is that donors passions in giving need to be appreciated by charities and it should not be assumed different generations of a family will continue to want to carry on giving to the same causes as their parentss. “Charities risk alienating donors if they don't realize that a donor's personal choices will be shaped by that person's own experience, which might be very different from that of a parent.”
Echoing the advice about building relationships, the article says charities should always try to keep potential donors interested in their work as they may not be able to contribute now but may do in the future.
To read more click on following links:
Should Philanthropies Operate Like Businesses? Wall Street Journal, November 28, 2011
Putting Charities to the Financial Test; is an organisation about to go bust? Before you give them money, you need to do some due diligence. Wall Street Journal, November 28, 2011
Ask Nicely, Please: Philanthropy experts offer their do's and don'ts on how charities should solicit donations. Wall Street Journal November 28, 2011
