By Annmarie
Novotney, audit and accounting senior manager, Blue & Co.
Your organization exists for a reason. You
have a mission to accomplish, and you’re driving hard every day to meet that
challenge.
Nonprofit organizations face unique
obstacles like identifying the best use of available resources, growing to
support increased services and remaining financially viable while maintaining a
strong focus on efficiency.
At Blue & Co., we understand the
challenges you face, and work – not only as your service provider but also as your
business partner – to help you navigate and overcome these challenges.
Our growing list of nonprofit clients (over
900 individual organizations) is proof of the abilities our experts demonstrate
in areas that are relevant to you as a nonprofit organization. Some of our
largest categories served include healthcare organizations, collegiate
membership organizations, higher education entities, community foundations,
social services groups, trade organizations and other membership organizations,
and private and corporate foundations.
Our titles may include accountants and
consultants, but we do much more than that. We are able to accurately identify
day-to-day management issues and operational concerns, such as internal
controls, segregation of duties, management effectiveness, and board
development. We offer practical solutions that add value and help ensure you
understand all aspects of compliance in your sector.
It is
our mission to support your mission. We want to stand with you as an invaluable
resource to advance your services in the community. We believe in our nonprofit
clients and are dedicated to helping them carry out their vision. Let us be a
partner to you as you drive your organization to succeed.
Here is a brief overview of our top
nonprofit services:
Annmarie Novotney is an audit and accounting senior manager at Blue & Co. Carmel’s office. She specializes in providing
assurance and consulting services to nonprofit organizations and is active
in the nonprofit community, recently completing a six-year term as treasurer
for the Susan G. Komen Central Indiana Affiliate. She is a member of the
Indiana CPA Society, the American Institute of Certified Public Accountants and
Executive Women in Finance.
Research repeatedly confirms that employee engagement drives organizational success. We know it’s important,but have trouble with misunderstanding of expectations and turn-over.
At last month’s HR peer group, Tony Dill, owner of HR Partnerships, discussed employee engagement with HR professionals at the HR peer group. With several decades of both HR experience and working for nonprofits, he has the perfect blend to understand nonprofit HR challenges. During Dill’s one-hour presentation, he clarified what engagement is and isn’t and how to develop your leadership team. If you missed the session, here are some highlights of his presentation.
When you hear the term ‘employee engagement’ what comes to mind?
A common misperception is thinking your staff is satisfied, happy and motivated. You’ve garnered from organization satisfaction surveys that your staff is pleased with the benefits offered and with the work environment. While those are important, they don’t measure the emotional commitment an employee has to the organization and its goals. In part that may explain why a seemingly happy team member jumps ship when a competitor’s offer comes along.
In contrast, Dill sees employee engagement defined by emotional commitment and discretionary effort.
Typically, emotional commitment is tied to people whom we are closest with — parents, spouse or our children. But according to theHarvard Business Review, workplace relationships are important to create a sense of purpose and ownership. Close work friendships boost employee satisfaction by 50 percent and companies with satisfied employees outperforming the competition by 20 percent.
It follows then if engaged employees have meaningful relationships at work, as a leader, you also need to invest in your staff and get to know them and invest in building relationships. This starts on day one. In fact, Dill recommends employee onboarding should last 6, 12, maybe even 18 months and includes socializing the employee into your culture. Some examples of what this would look like:
Ongoing, regular meetings with the new hire at least every 30 days to help with defining performance standards and meeting company expectations.
Solicit monthly feedback about the employee’s experiences, what would help him or her and how the work experience could be better.
Have socializing activities during work hours with new hires and current staff. A group lunch is an easy way to accomplish this.
The other component of engagement is discretionary effort. This is when an employee perseveres beyond what is expected and goes the extra mile. For example, those employees who are willing to complete a project under a deadline versus asking for an extension. Another way to look at discretionary effort is someone who looks for innovative ways to do things. Discretionary effort is motivated by a passion and is often linked to the mission or the well-being of team members, or both.
8 leadership traits
If your organization wants to foster engagement where does it begin? Right at the top of the organizational chart. Organizations with a culture of engagement demonstrate eight characteristics in their teams. The leadership traits are: self-aware, authentic, humble, trust, innovation, vision, passion and confidence.
During Dill’s presentation, the audience elaborated on the top
three characteristics; their ideas are worth sharing.
Self-aware leaders continue to develop
themselves professionally and personally.
Authentic leaders interact with their staff
and get to know them as a person.
Humble leaders are servants. Putting others
first.
The management team needs to take ownership of these leadership
traits and demonstrate them first. Dill reassured that your staff does not need
to exhibit all eight traits. Yet, often, they will pick them up from the
“trickle-down” effect. Driving employee engagement and developing a company
culture often happens in tandem.
It all begins
with trust
Dill explained, as leaders embody the eight leadership
characteristics, they become more trust worthy and authentic. In return, staff will feel comfortable to
share. As staff gains trust, it builds a two-way commitment between the manager
and employee. When an employee feels safe enough to open up and share, a
feedback loop is created. Open communication allows the manager more
opportunities to clarify what the employee needs to focus on and this in turn accelerates
the organization’s productivity.
Dill offered advice to embrace this change in culture. First, help each team
member, even the hired hand in the warehouse, understand how their contribution
is linked to the organization’s strategic plan, and ultimately, its mission. Additionally, but equally important, have a conversation
about how staff’s goals play into the overall plan. In the nonprofit sector,
this is where things get a bit dicey.
As a leader, you’ll probably learn your staff’s goals revolve
around learning a new skill, getting a promotion and increasing compensation —
things that while commonplace in the for-profit community, are often a luxury
for many nonprofits. If your
organization is on a shoe-string budget, the attendees offered creative ways
your organization can help its staff achieve their goals. Such as, If the employee foots the bill for a
training, he or she can be rewarded with extra PTO time. Bring in an expert in
your industry for an employee lunch and offer a free lunch-and-learn. Create an
internal training program.
Remember, engagement discussions are not one-time conversations. Most people need to hear something eight times before they own it. Be creative and communicate your organization’s message in a variety of ways.
Julie Struble is
the marketing and sponsorship director at Charitable Advisors. With the company since 2002 and with five
years as a HR generalist, one of her responsibilities is to coordinate
educational opportunities for the CA’s affinity HR peer group, and secure speakers
with expertise to discuss the challenges in the nonprofit HR department.
By Kevin Kidwell vice president national tax exempt sales, OneAmerica®
It’s well documented that
Americans aren’t saving enough to fund their retirement. So the drumbeat in the
industry has been to remind participants in employer-sponsored retirement plans
of the importance to “defer, defer, defer” and set aside a portion of their
take-home pay.
Meanwhile, companies that
administer 401(k) and 403(b) plans have endeavored to provide clients with relatable
uncomplicated guidance, make enrolling and plan access simple, and provide
resources to keep everything on track. For example, some plans are designed for
automatic investment in a target date fund so that some employee participants
don’t have to lift a finger.
Broadly speaking, this
evolution to making things easy has
been borne out by studies in behavioral finance that have shown that these plan
designs work.
While we all agree that
saving for retirement is a good
thing, there’s a financial commitment from the employer that should be acknowledged
and also applauded. The retirement plan industry is focused on helping the
participant put aside enough money; but just as important, is a focus on
assisting the employers in creating the best structure for the organization’s
financial goals.
No employer wants to
experience hardship when it’s trying to do right by its employees in funding
retirement contributions. But some
cookie-cutter approaches, which may seem easy in design and implementation, may
not take into account the diverse needs of differently paid staff or worse yet,
create cash flow issues that endanger the organizational mission.
The value in saving for retirement
The National Institute on
Retirement Security[1] (NIRS) warned recently
that American workers fortunate enough to have a retirement account offered
through their employer still face a deep retirement savings shortfall.
Ultimately, the inability of
older Americans to be self-sufficient after a lifetime of work will have
negative impacts on the U.S. economy, government budgets and families, according
to NIRS.
How retirement plans work
Contributions made by an
employer to an employee’s retirement plan ─ whether the plan provides for
elective deferrals or not – is regulated by the Internal Revenue Service (IRS),[2] and
it’s those complex IRS rules that outline the guardrails for a tax-exempt
retirement plan. (If you work for a nonprofit, that’s a common savings approach
at your organization.)
The IRS allows an employee
to defer his or her pay and allows the employer to also then make a tax-deferred
contribution. The plans have strict rules in order to maintain their
tax-deferred status. (The Employee
Retirement Income Security Act requires several tests each year to prove a plan
does not discriminate in favor of employees with higher incomes.[3]
These rules don’t apply to government plans.)
While it’s not given, over
time these contributions accumulate through the act of continuous employee/employer
contributions and compounding.
A match, where the employer
contributes an identical amount to what the participant invests, is not
mandatory, but is the most common type of contribution.
I would argue that there are
also other ways for employers to make contributions for the benefit of the entire
company.
Here’s what could make a
difference and is worth consideration:
Look at the usefulness of creating three separate
retirement plan pools — one that matches automatically for everyone who opts
into in the retirement plan, one that is reserved for specific groups of
employees with high-demand jobs, and a third that’s targeted to profit-sharing
based on performance.[4]
Consider a formula that factors in the Social Security
Replacement Ratio. Not many people realize Social Security’s payout structure
provides benefits progressively, so that people who earned the lowest wages at
a company upon retirement receive a higher replacement rate than did the higher
earners. As a result of this Social Security policy, the law allows employers
to make contributions to offset the Social Security deficit for middle and
higher income workers – compensating them for what Social Security is not going
to pay out when they are eligible to draw it, in other words.
Consider unique retirement plans at companies or
organizations with specialty occupations, such as the medical field,
acknowledging that the retirement-saving needs of “late entrants” into the
workforce (attorneys, physicians, accountants and other professionals of
occupations that require years of schooling) are different than other members
of staff. Adults who left their careers to raise their children missed out, so
they could be eligible for unique retirement plan designs that helps them catch
up.
Employers may also look at
the possibility of contributing more to the retirement account during a great
year for the organization’s bottom line, but also possibly contribute less in a
down business year.
Ultimately, the retirement
plan of any tax-exempt organization needs to mirror their mission. The plan
should be of optimal plan design and be one where the employer isn’t painted
into a corner by funding obligations.
We’ve found through our
experience that there are all kind of things we can do that makes sense. But
ultimately, if the system in place is not good for the employer, it won’t be
good in the long term for their employees.
In Kevin
Kidwell’s role as vice president of national tax-exempt sales, he
works to provide ideas, knowledge, information – both technical and practical –
in an effort to facilitate improved plan and participant outcomes. Since
joining OneAmerica in 1988, Kevin has held various positions within the
Retirement Services division. Beginning in 2000, his exclusive focus has been on
healthcare and tax exempt organizations.
Indianapolis-based
OneAmerica®, an organization that can trace its roots back to 1877,
has been helping organizations with their tax-exempt retirement plans since
1964. We believe a retirement plan should do more than help someone retire – it
can help organizations recruit, retain and reward employees.
OneAmerica® is
the marketing name for the companies of OneAmerica. Products issued and
underwritten by American United Life Insurance Company® (AUL), a OneAmerica
company. Administrative and recordkeeping services provided by McCready and
Keene, Inc. or OneAmerica Retirement Services LLC, companies of OneAmerica
which are not broker/dealers or investment advisors.
The
views and opinions expressed in this material are solely those of the author
and do not necessarily reflect the views and opinions of any of the companies
of OneAmerica. Provided content is for overview and informational purposes only
and is not intended and should not be relied upon as individualized tax, legal,
fiduciary, or investment advice. Investing involves risk including potential
loss of principal.
Editor’s note: Since this story was published, 900 Girl Scouts selected the Shoe that Grows as their reward, donating a total of 523 pairs to this Kenyan school and far surpassing the chapter’s 120 pair goal.
Samoas and
shoes. What do they have in common? Very little, actually, but a group of
ambitious and forward-thinking Girl Scouts in Central Indiana are out to change
that.
Since early
January, as they do every year, the Girl Scouts have been selling cookies. Lots
of them. In Central Indiana, about 29,000 Scouts in 45 counties have been peddling
their snacks and fulfilling our guilty pleasures. On average last year, each girl sold 184 boxes.
As the cookie
season winds down, however, a first-of-its-kind project by the local council,
the Girl Scouts of Central Indiana, is about to ramp up.
Traditionally, the girls and their troops earn group and individual
rewards for being top cookie-sellers. By the end of this month, girls can select prizes, such as stuffed animals, sleeping
bags, theme park tickets or trips with other scouts.
This year, however, the girls can earn shoes. Not pairs
of splashy tennies or the latest Doc Martens. These shoes they earn aren’t for
them, but for kids in Kenya.
Local Scouts will have the opportunity to forgo personal
prizes and do something altruistic. Each Scout who sells at least 125 boxes may
donate her “prize” to the cause. The reward for 125 boxes is equivalent to a
half shoe to a Kenyan elementary student. As the number
of boxes increases, so does the number of donated shoes.
These are, however, not ordinary shoes. These are Shoes that Grow, the brainchild of the nonprofit organization Because International. The shoes are adjustable and can accommodate five size changes. The shoes will be given to students at the Hope School, which is outside several small villages in northern Kenya. For kids in this African country, having shoes that fit — or even shoes at all — is not a given.
Ellen Winking, the vice president of membership and
“cookie manager” at Girl Scouts of Central Indiana, heard about the program on
a national news program and spent last summer conversing with local girls about
this as a rewards option.
To help Girl Scouts understand how this unique footwear
works, Winking used both an actual pair and a video to demonstrate. Both were
supplied by Idaho-based Because International, which distributes
simple, innovative products to help make daily life easier for people living in
poverty.
The video shared the story of a 12-year-old girl in Haiti
who could not attend school simply because she had no shoes. For local girls, it was an opportunity to
learn that schooling could be denied for not having shoes.
Buoyed by the girls’ interest, Winking contacted Kenton
Lee, founder of Because International, to discuss the possibility of offering
the shoes as a reward, and the nonprofit staff agreed to give it a try.
“I was excited
when they approached us with this idea, and we kind of brainstormed to see if
it could fit. The partnership with the council is really unique, and I’m really
looking forward to see what transpires. If it works, it definitely is something
that I would encourage other similar groups to think about doing,” said Lee
from his office in Nampa, Idaho.
This Central Indiana Girl Scout council’s goal for this
year’s annual cookie program is to provide 120 pairs of shoes for students at a
particular elementary school in Kenya. A part of the Girl Scouts’ training
model is for each girl to self-identify a personal and troop goal for cookie
sales.
“Adding the
shoe is a slightly different twist because girls are forgoing a prize to do
this good for others,” said Danielle Shockey, Central Indiana Girl Scouts’ CEO.
According to Lee, 400 kids attend the school in Kenya, but
those are just the kids who have the ability to go to school.
“There are even poorer kids, who live out in the rural
areas surrounding the school. I would also like to give to local leaders extra
pairs of shoes so as they identify more kids that don’t go to the school that
they’d be able to help them by providing shoes if that’s a need that they
have,” he said.
The Girl Scouts’ national office said while other troops
have provided funds for causes like saving sea turtles, Central Indiana’s council
is the first to offer this type of philanthropic reward option.
“I’m really
excited about this opportunity with them,” said Lee. “This is a first. We’ve had other kids do more
classic fundraising — lemonade stands, yard sales, mowing lawns or using their
birthday — as fundraisers.”
Proper footwear, according to Lee, is a critical way of reducing
the risk of injury, parasitic diseases and foot infections in Third World
countries. For many, it is a necessary part of a school uniform. But, he knows,
it doesn’t solve every problem.
“It is a very simple thing. But even a small thing, even
something that doesn’t solve the entire situation, still makes a big difference,”
he said. Lee estimates there are over 300
million children who do not have shoes, and countless more with shoes that do
not fit. Sometimes they receive shoe donations, but children’s feet grow and
they quickly outgrow donated shoes.
After attending Northwest Nazarene University, Lee thought he was destined to be a
missionary. But since his religion requires a three-year commitment in the
field, he traveled for a year, ultimately working in an orphanage in Kenya for
six months in 2007 as a way to test his future path.
During a walk with children at the orphanage, he noticed
one girl whose shoes didn’t fit, which sparked an idea that he jotted in his journal.
Homesick, he returned to Idaho, but his idea percolated.
“It
really was just kind of a random idea that popped into my head just based on
the situation, based on the context,” Lee said. “You know the orphanage
couldn’t afford to buy the kids any new shoes, and yet their feet were always
growing. And then from that point, I had an idea for a growing shoe, but I had
no idea how to make it happen. That’s what took the six years.”
First he tried
and failed at designing a prototype. He tried to give the idea away, but after
multiple rejections from shoe companies, he found a small shoe-design company
in Portland, Oregon.
“They loved what we were trying to do and took us through
about a yearlong design process. Then we made about 100 prototype pairs that my
wife and I took back to Kenya and put in four different schools,” Lee said. “We
had kids try them out for about a year, got some really good feedback, and then
we made our first official batch of the Shoe that Grows. It was essentially
just a hobby at that point. I had a few thousand pairs in my guest bedroom, and
I tried to get them out to people I knew working with kids. It was just kind of
a small part of my life at that point.”
Now, the shoe
is in 100 countries, mainly near the equator including parts of Central
America, through sub-Saharan Africa, East Africa, and a bit of Asia. Overall,
the nonprofit has distributed almost 250,000 pairs in the last four years and
has worked with over 1,500 partner groups or distribution partners to deliver
those shoes.
To simplify distribution, the Because International has begun
to identify factories
closer to the need. Right now a Kenyan factory is working to produce a sample.
If all goes according to plan in 2019, the shoes for the Kenyan school will be
made at that factory in Mombasa and shipped to Nairobi. Haiti and Ethiopia also
have manufacturing plants.
Lee said his organization
doesn’t attach any strings to the shoes for either the recipients or the
donors. Recipients are not required to send thank yous or Skype with the
donors.
“Above all else what we want
is for the local people — the leaders and the kids receiving the shoes — is
for the shoes to be a benefit to them and be a valuable resource. But if the
Girl Scouts want to make contact with the school and vice versa, we’re happy to
make the connection.”
Besides sending shoes to Kenya, girls who select the shoe
reward will receive a patch, which includes the Shoe that Grows logo, a heart
designed from a footprint. For Girl Scouts earning patches and badges for
successfully completing requirements is something of honor.
For the Girl Scouts, philanthropy certainly is not new.
CEO Danielle Shockey, herself a Girl Scout alumna, said it’s embedded in everything
the organization does.
“Philanthropy is really just part of our DNA, and the
whole idea of making the world better place is our mission statement. I’ve
never met a troop who doesn’t think about some kind of community service
project,” and the cookie program provides troops with annual funds to be able
to do this. At the younger levels, girls think about how to give back to the
local community, and as they get older, they begin to think about the world
around them.
According
to a study at Arizona State University, altruistic children do grow up to be
altruistic adults.
Since 2009,
the Girl Scouts in Central Indiana have been involved in Operation:
Cookie Drop. Customers are asked if they would like to purchase
additional boxes to be distributed to soldiers stationed at military bases
across Central Indiana, to military veterans and for the first time this year, to
local first responders. Last year, the scouts delivered 96,000 boxes to Stout
Field to military families.
“They are really glad to meet the girls and physically
move the boxes together. We are purposefully making sure that they’re seeing
the effort and the result. I think we do some very deliberate things, as much
as it is a part of the things that they earn and their badges and the gold
awards, we also want it to be intrinsic too,” said Shockey, who became CEO in
January 2018.
Both Lee’s nonprofit, Because International, and Girl
Scouts working to earn a Gold Award have a goal of solving societal problems.
In the case of Because International, they have expanded
efforts and now have a mosquito net called Net Buddy for distribution in
countries where malaria is a health concern. Lee, the founder, is also working
with a colleague on a new program, the Pursuit Incubator, to help other
entrepreneurs pursue ideas for products. The group’s efforts revolve around
using small innovative products to fight poverty.
And as Girl
Scouts stay with the organization and reach their teens, they have the option
to earn a Gold Award, the
organization’s highest award. Last year, locally about 30 girls achieved the Gold
Award.
“To earn the
Gold Award, a girl must find a community challenge where she thinks she can
make a difference. So when we say it’s part of our DNA, girls are constantly
thinking about the world around and how they can make it a better place and it
manifests itself differently. Troops think about it, girls think about it and
also if they want to have our highest award, they have to think about it in a
very big way.”
Shockey shared
the example of a Zionsville sophomore’s project. She saw the documentary about Holocaust
survivor Eva Kor; and her message of forgiveness touched this 15-year-old teen.
“Soon after
there was the school shooting in Noblesville and she thought my community
really needs this message of forgiveness,” said Shockey. “And they needed to
hear it directly from Kor.”
So working with
her school superintendent, she planned two programs. At one, Kor would speak to
middle- and high-school students, and offer a similar program in the evening at
a local church. The proceeds from the 500 tickets sold were donated to
Zionsville’s Lunch Angel Fund, a program that pays off student lunch deficits
and provides needy students with extras they cannot afford.
The teen didn’t
stop there, Shockey said, because she wanted a sustainable program.
“So she worked
with WFYI to build education kits about the Holocaust. Now every history
teacher in Zionsville has a Holocaust kit to use with future students,” said
Shockey.
The leaders really walk the talk of girls leading the way,
and so they will wait to see how successful and how popular it is before making
additional plans and connections.
“Did girls make it part of their goals? I think at the
end of this year, it will be pretty telling. Take Operation Cookie Drop that started
over 10 years ago. It’s now 96,000 packages,” said Deana Potterf, the chief
communications officer. Who could have imagined.
Nonprofit leaders often
worry about organizational sustainability, demonstrating impact and planning
for their next chapter.
At Hedges, we get it. We’ve
been there too! That’s why our team of experienced consultants is passionate
about empowering nonprofit leaders to confidently
and effectively address the challenges that come their way. By investing in our
services, nonprofit leaders can stay focused on solving the most important
issues facing our community.
Since 2002, Hedges has been
a trusted partner to more than 100 leading nonprofits, foundations and public
entities in Central Indiana. We have worked
with them to maximize their impact, produce
measurable results and attract larger community investments. From helping a single nonprofit to
strategically plan and secure funding to helping a foundation to measure and
communicate its impact of a community-wide initiative, Hedges has provided an
array of services to support the success of our nonprofit community.
Drawing on our team’s deep
understanding of the local nonprofit landscape, topical expertise, and
extensive knowledge of nonprofit best practices, we specialize in helping
leaders address complex challenges. Through strategic planning, grant services,
program development and evaluation, and board development, we assist in building
a nonprofit’s capacity allowing them to further their mission in a sustainable
way.
If you’re a nonprofit leader
who is ready to make transformational change, our team is ready to help.
Contact me at erin@hellohedges.com or learn more about our
measured approach to social change at www.hellohedges.com.
Erin Hedges is the president of Hedges and has worked in the nonprofit sector for over 20 years.
By Tyrone Freeman,
assistant professor of philanthropic
studies, Lilly Family School of Philanthropy
Save the dates
Interested in learning more about diversity and philanthropy? The Mays Family Institute on Diverse Philanthropy Speaker Series will feature Dr. Noah Drezner of Colombia University speaking on LGBTQ philanthropy on March 27 and Sandra Vargas, the former head of the Minneapolis Foundation discussing Latinx philanthropy on April 24.
In the nonprofit community, donors of color are being referred to
as ‘new and emerging,’ by fundraisers and organizations looking to engage them.
However, this phrase belies the fact that people of color have
given for hundreds of years and continue to give via mechanisms such as individual
giving, giving circles, donor networks, donor advised funds, family foundations
and other forms.
Let’s start with history. Donors of color like Thomy
LaFon, Colonel
John McKee, Madam C.J. Walker, Annie
Malone, Sheila
Johnson, LeBron James, and Oprah
Winfrey reflect the reality that people of color have been significant
donors for generations. These individuals and their generous philanthropy have
supported causes ranging from schools to churches to social services to arts
and arts education to scholarships throughout the past 200+ years.
This generosity, however, is not the sole domain of the black elite
or wealthy. Donors of color across various economic levels have utilized
diverse giving tools and approaches to participate in philanthropy. In recent
decades, giving circles, the latest version of the generations-old habit of
pooling and sharing resources to meet personal and social needs, have become a
particular area of focus. Groups like Black Benefactors in Washington, D.C.,
Sisterhood of Philanthropists Impacting Needs in Denver, the Community
Investment Network in North Carolina, and the more recently created African
American Legacy Fund of Indianapolis are organized by black donors
at all income levels and ages who support their communities.
What’s more, organizations like United Negro College Fund and the
Thurgood Marshall Fund have long existed to develop black and other donors who
support black advancement, and black religious, educational and social service organizations
attract donors of color to support an even wider range of causes.
The Young, Black and Giving Back Institute in Washington, D.C., is
engaging young, highly educated professionals of color, a group it says has
been ignored as the nonprofit world focuses on how best to cater to millennials.
Regional Blacks in Philanthropy groups, along with others such as the Association of
Black Foundation Executives and the African American
Development Officers Network, have long brought together grant-making and
fundraising leaders of color to advocate for social justice, equity in funding
and diversity in the grant-making and fundraising professions.
These groups and individual donors of color have given and
continue to give at all levels and in different ways. Indeed, African-American
families have contributed the largest proportion of their wealth–including
savings, cars, land, and investment accounts – to charity since 2010, according
to the Urban Institute.
As a result, the true “new and emerging” phenomenon is not donors
of color, but rather the sudden interest being shown in them by nonprofit
organizations, which will not ultimately benefit the community unless tough questions
are asked, resources are committed and honest relationships are built.
Here are several suggestions for engaging with, cultivating,
soliciting, and stewarding donors of color.
Diversify your board, staff and programming.
Generally, donors of color, and prospective donors of color,
will want to see evidence of commitment to diversity and inclusion represented
across your organization or cause. Be prepared to educate them about what you
have done and are doing.
Learn about the rich traditions and histories of
giving in communities of color.
Understanding your donors of color as individuals within a
broader historical and cultural context of giving is critical to building
relationships and successfully engaging them. It’s vital to understand donors of
color on their own terms.
Analyze your donor database and your social
network.
Who have you reached out to, and who have you not? Why? You
must understand the current situation in order to determine a way forward, and
you may have to expand beyond your organization’s traditional networks.
Engage with racial, ethnic, gender,
sociocultural, and other identities as appropriate for cultivation and
solicitation activities.
Ask questions as part of your cultivation strategy to
connect with donors of color as individuals on their own terms. How would they
like to be engaged? What are they currently drawn to within your organization?
What gaps in services or programs do they see and want to help address. Use the
answers to inform your strategy on how you want to engage with that donor.
Be intentional.
Be deliberate in investing the time, resources, and
attention necessary to successfully engage diverse donors. If they have not
been responsive to existing efforts and approaches, find out why and then
figure out how to adapt. Don’t place the onus on them for not being responsive.
Figure out why your efforts have not resonated with them and fix it.
A related
article by Freeman appeared in the Chronicle of Philanthropy.
Tyrone Freeman, Ph.D., assistant professor of philanthropic
studies and director of undergraduate programs at the Lilly Family School of
Philanthropy, researches and analyzes donors of color throughout history, and
previously worked as a professional fundraiser and directed educational
programs at The Fund Raising School.
For over two
years, Candice Perry has worked to develop nonprofit leaders. In her position
as the Welborn Baptist Foundation Nonprofit Excellence Officer, her key
responsibilities have been to strengthen nonprofits executives and develop a
talent pipeline. The foundation is based in Evansville and serves the Tri-state
area.
Perry has carved out several approaches for this work. Some
times for invitation-only programs, and at other times she or another program
officers may identify an organization that needs a consultant to strengthen its
efforts.
“The organization may be telling us in their application
that they need funding and programming, but we also know that they aren’t going
to be successful, if they don’t also put some effort into creating a
fundraising plan. So we invite them to share a little bit of information with
us, so that we can then connect them and finance the opportunity for a
consultant to work with them,” she said.
The foundation has also partnered with Indiana University’s School
of Public & Environmental Affairs (SPEA) to create the Next Generation
Leadership Academy. The program’s six modules cover governance, finance,
fundraising, evaluation, marketing, communication and strategic planning.
“We reached out to organizations that we are familiar with
and asked their leadership if they have a next-generation participant or
someone in the wings whose skills they would like to build and strengthen.” New
executive directors who don’t fall into that category, but need to gain
strength, might also be invited.
The academy is being offered a second time, and isn’t just
limited nonprofits that are grantees. Indiana University instructors come to
Evansville and spend two concentrated days covering a subject. Over the course
of nine months, the cohort covers all the topics and participants receive a
certificate upon completion. With the group size limited to 15, the program lends
itself to interaction.
“We want to offer it not every year, but perhaps every other
year or according to the need. There are a lot of organizations in our
footprint that are not aware that we’re doing this or that it is an option. It
gives us an opportunity to continue to know organizations that we really
haven’t had the pleasure of knowing or understanding,” said Perry.
Perry also realizes the importance of developing board
members. As a cohort-learning series, it offers Sustain-abilities. An executive
director and a board chair are learning partners and spend three full-day sessions
at the foundation. Between the in-person sessions, there are webinars with a
consultant who is the series facilitator.
The two primary focus areas are fundraising and building an
organizational culture. An organization is invited back, if progress is shown
and there is an interest to continue.
“What we have learned is that executive director and that
board chair have taken back their learning and shared it with the rest of the
board. There’s this embedding of information that starts to occur,” said Perry.
This particular series was an experiment that the foundation
had started prior to adding Perry’s position.
“It was one of the pilot offerings that helped inform them
that we need a Nonprofit Excellence impact area. There was a space that we need
to fill,” she said.
At the time, Perry was an executive director and attended the
pilot with her board chair.
“I can tell you first hand that I saw those aha moments that
my board chair was having throughout that series,” said Perry. “I saw the
change that occurred in that board chair and how it translated to how he ran
our board meetings, our development of our board members, the way that board
chair interacted with the other board members, staff and myself. There was a
definite shift that occurred for the organization that was strong enough and
still is there today, even though that board chair and I am not there. It has continued
for that organization.”
The foundation is now working to create a Board Leadership Academy.
The concept is to equip board members to better engage with a nonprofit by explaining
what is needed of them and what questions to ask when considering joining a
board. Perry started investigating this option by going to other entities that
were offering board trainings and then look at what fits the Evansville
community.
“And where we landed was going to some specific businesses
that are well-known in our community for supplying people to serve on boards,
and we worked with their HR departments,” she said.
Each corporation supplied three participants for a
consultant-led, one-day training. Each potential board member was assigned to a
local nonprofit for three months to receive an introduction to services and learn
about the organization’s financials.
“They’ll be treated as if they were onboarding that
organization. But there’s no expectation that they join that board.
In three months, together with the corporation’s HR person,
they will discuss how has this changed perspectives about community engagement.
The Welborn Foundation sees itself as a critical contributor
to Evansville’s nonprofit leadership development.
“Everything the foundation does has an evaluation plan
around it, so hopefully we can watch the needle move and the community will see
the change,” Perry said.
When
Rev. Donovan Coley joined the board at the Fort Wayne Rescue Mission in 2006,
he felt the organization had lost its way. The agency, established in 1903, was doing
good work, he said, but its impact on the community was limited, and it didn’t
have executive leadership.
“By the time I got into my second year on
the board, I could see that we were spinning our wheels. There was no
strategic direction. We were not addressing at a deep level the root causes of
homelessness. We needed an executable plan of action to serve the clients in a
way that’s truly transformational,” he said.
Coley
wasn’t alone. The entire board realized it needed to do some serious work to
competently lead the organization. Without a CEO, the board had taken on some day-to-day
responsibilities, and it had gotten to point where it was often toxic.
So what did the board
do about it? One of its first moves was to name Coley chief executive officer
of the Rescue Mission and president of the Rescue Mission foundation. Another
step was to look for financial assistance to help strengthen the organization
from within. The nonprofit wanted to take a good, hard look at itself.
Enter
the Fort Wayne-based Foellinger Foundation with a capacity-building grant. It
was the first of five capacity grants the Fort Wayne Rescue Mission received
from Foellinger.
“I think it was one of the best things
that the Foellinger Foundation ever did was to come alongside the very heart and
soul of an organization. It was their smallest grant, but yet, I believe it had
the greatest impact because they focused on organizational health,” said Coley
who became executive director in 2008. “The grant gave us that expanded
capacity to really serve at a higher level.”
Four years ago, GrantCraft, a service of the New York-based Foundation Center, released the report “Supporting Grantee Capacity: Strengthening Effectiveness Together.” In the report, capacity building was defined as “fundamentally about improving effectiveness, often at the organizational level. The term is sometimes used interchangeably with other terms like organizational development, institution building and funding plus.”
Rev. Donovan Coley on
capacity building.
It is simply increasing an organization’s ability to maintain relevance, expand
impact, enhance growth and affirm sustainability. So I would say, capacity
building is when an organization takes seriously their mission and their vision
and they are committed to doing what they do for the long term, and by having
the right kind of leaders, right kind of strategic direction, the right kind of
structure, the right kind of metrics and just having the right kind of tools to
really guarantee that they’re people will be served at the optimum levels.
While not all foundations award capacity grants, both the Foellinger Foundation in the Fort Wayne area and
Welborn Baptist Foundation in Evansville do.
Cheryl
Taylor, the Foellinger Foundation’s executive director since 2001, said that
since 1992, the foundation has supported capacity building efforts in Allen
County, but has not always used that term.
“Our theory of change is that the stronger
and more effective the organization is, the better they’re going to be able to
serve their clients, customers or consumers and that the stronger, more
effective, more adaptive leaders are, the better they’re able to serve the
people they’re targeting,” she said. “For us, capacity building is the focus on
the internal development of the organization and how the organization itself
get better.”
Last year, the foundation, which was 60years old, reviewed its capacity-building grants. In the last decade, it
has awarded area nonprofits over $3.5 million as a part of a larger initiative.
Part of what it wanted to learn was the impact these grants were having, and to
assess how to improve the process.
“Evaluation is part of the foundation’s culture.
Dollars are limited, and the question for ourselves was, ‘Why should we fund
that?’” Taylor said.
Taylor also believes if a grant category
is important, the foundation has an equal responsibility to explain why.
The Welborn Baptist Foundation has a similar
focus on improvement. Both Welborn and Foellinger belong to a
national organization, Grantmakers for Effective Organizations,
which offers conferences and includes sessions about capacity building.
Two and a half years
ago, Candice Perry was named Welborn’s nonprofit excellence officer. Perry’s
position was added after Welborn staff members and board members had spent time
evaluating the foundation’s three funding areas and long-term goals.
“We don’t call it capacity building
because there are a lot of different entities using capacity building, and it
means something different. What Welborn wants to see is more effective leaders
creating lasting impact in their organizations within their service sector, the
larger nonprofit sector and ultimately the community. We want to see a nonprofit
achieve sustainability, impact and mission fulfillment by strengthening their
leadership,” said Perry.
But it’s difficult.
Foellinger’s Taylor believes that in order for a nonprofit to ask a
program officer for help, there needs to be a level of trust.
“There is an element
of fear in this,” Taylor said. She said
nonprofit leaders may worry that it reflects poorly on them if they come to a
foundation and say “I need help looking at staff training or I need help on
financial sustainability.”
But that’s not how
Foellinger views it.
“Foellinger has been
vocal for years that that is not going to affect your request in
its regular cycle. In many respects, it helps you, because it indicates that
you care,” said Taylor.
Taylor
knows that not all capacity grants will be successful. She cited several
organizations that investigated mergers, and after a fair amount of time,
determined it wasn’t right.
“I’m fine with that, you looked at it and
made the decisions for your organization,” she said. “In my opinion, one of the
distinct opportunities that private foundations have is to essentially serve as
the research and development function for the nonprofit sector. They often can
be a little bit more flexible.”
Foellinger’s yearlong review resulted in
refinements of its capacity-building grant
framework. The foundation recognizes that it needs to provide ongoing
education to potential grantees and consultants about the value and importance
of strengthening an organization’s foundation (For more information, see Capacity building
grants: a new process).
No longer will the foundation simply ask
grant applicants if their organizations have done any infrastructure work, but
now will ask how the efforts have impacted regular operations, and essentially
how what was learned was applied.
Moreover, the actual application process
was formalized. Unlike most of the foundation’s grants, application questions
for capacity building are not posted on Foellinger’s website.
“If
we’re going to have the investment, rather than us just saying, ‘Here, answer
these three questions,’ we formalized the process to make it more personal and
specific,” said Taylor.
Now,
a single program officer fields all requests, and then after a conversation
with the
nonprofit, tailors application questions specific to the nonprofit’s desired
use of the funds.
Foellinger believes
that it’s important for a grantee to have some skin in the game, and nonprofits
that agree to commit some of their own money to a certain project can make a
stronger case for support, although there is flexibility on the amount and type
of commitment. Its capacity-building grants are turned around within 60 days.
Coley, of the Fort
Wayne Rescue Mission, said the initial grant was critical and
helped focus the mission’s work. It has changed its model in the emergency
shelter and removed the revolving door practice. It has expanded its mental
health services and developed multiple programs, including a long-term program
that currently serves 70 people and invests in individuals, that Coley says
transforms their paths instead of just warehousing them.
“As the organization
became healthier, the foundation provided an opportunity for us to nominate a
board member and to talk about the impact of the capacity-building grant on the
organization, and one board member, Imogene Nusbaum-Snyder, won a prestigious
award and the organization won a Better Business Torch Award.
“So I would say we just
continued to become healthier and then that positioned us for other foundations
and other funders to say, ‘There’s something going on over there,’ and now
we’re in the midst of a $23.1 million capital campaign, and of all the major
foundations have actually stepped in to say, ‘We would like to invest in the
Fort Wayne Rescue Mission.’
“I cannot imagine where Fort Wayne Rescue Mission
would be without the capacity building grants. I would encourage any
organization to focus on that which is most important – capacity building.”
In
the Evansville area, Perry has seen organizations moving to deeper
conversations between board and staff to create a culture of learning.
“They
are learning to put focus on mission and vision and aligning their resources to
that vision. They are starting to ask questions that they didn’t ask before
concerning how to prepare, how to plan, how to develop themselves. I’m hearing
more executive directors say ‘You know, I understand that we’re not being
strategic about how we’re using evaluation. Their thought process is going
deeper than just service provision,” said Perry, who was the executive director
of the domestic abuse service agency for nearly eight years before her current
role.
She’s
also seen more synergy between executive directors and boards.
“Everything we do has an evaluation plan
around it, so hopefully we can watch that needle move. What we also want to
foster is collaboration among sectors. We want nonprofits to be invited to the
table, where they can influence community change by sharing what the needs
are,” she said.
Every two years, we do a quick analysis of the nonprofit leadership transitions Charitable Advisors has supported. Our takeaway two years ago was that an increasing number of new ED/CEOs were coming from outwardly facing roles like fundraising and advocacy in contrast to the longstanding “program expert” being the primary leaders being considered.
For
this assessment, we analyzed the 26 organizations that we worked with through
the entire transition process in 2017-2018. Internally, we found this exercise
helpful to not only celebrate success, but also to set goals for the future.
Here’s
a brief summary of what we’re seeing from the frontlines.
Number of leadership transitions – In total, we supported 12
organizations in 2017 and 17 in 2018. Of that number, we were engaged in only the
search-preparation work with several clients. For purposes of this analysis
that brings the two-year total to 26.
The
increase in transitions from 2017 to 2018 means this trend of retirements and
turnover is continuing to impact our sector. We are already working with three
organizations planning leadership retirements in late 2019 or early 2020.
First-time executive directors
and CEOs –
For 69 percent of the 2017/2018 hires, this was their first ED/CEO position. Of
that number, 19 percent were internal promotions. In general, board members
seem to have a preference for capable internal candidates, but many have
limited knowledge of the staff leaders reporting to the ED/CEO.
Recruiting sectors: In total, 73 percent of the new
leaders came from the nonprofit sector and 19 percent previously held business
roles. We expect nonprofit backgrounds to continue to dominate but board
members are sometimes open to business leaders who bring specific expertise or
broad networks.
Age/generation: We debated whether to divide hires by generation or age group. We don’t track birthdays, so we estimated age and generation. It is a good sign that early and mid-career professionals are stepping up into the ED/CEO roles. On the downside, it may be getting harder for older leaders to find their next roles and that likely means we are underutilizing experienced people from our sector.
Gender: The past two years have
been a tale of two streaks. In 2017, our clients overwhelmingly hired female
ED/CEOs. In 2018, there was an extended stretch that was heavily male. For the
two years, overall, the mix was 65 percent female and 35 percent male. This
overall mix is close to the national statistic but shows how small samples can
skew perceptions.
Race/Ethnicity: I am pleased to be able to
say that board leaders are becoming much more vocal about their desires to
recruit diverse candidates who are often underrepresented on their leadership
teams. We are also focused on improving this metric and can report that 19
percent (5) of our ED/CEO hires over this two-year period were leaders of
color, including three of our last 10. With each search, we are working to
expand our reach and visibility with the pool of capable diverse leaders. Our
goal is to present a diverse slate of qualified candidates to every search
committee.
To
help support our effort, we encourage candidates to provide their information
to our Executive Candidate pool even if current open searches are not of
interest. Please submit at: https://charitableadvisors.hirecentric.com/jobs/133773.html
Looking ahead: As we look to 2019 and
beyond, we anticipate a continuing flow of boomer retirements and natural leadership
turnover that will provide opportunities for next generation leaders. It is our
goal to continue to improve our processes and networks to make a positive contribution
to the changes in nonprofit leadership.
We are excited about our reputation for being an affordable and effective alternative to board members taking on the search themselves in this tight labor market. Please contact Bryan Orander at Bryan@CharitableAdvisors.com or Don Gulbrandsen at Don@CharitableAdvisors.com with questions or comments about affordable, effective executive search or succession planning support.
We live in an era where technology seemingly
changes by the minute. What’s new today is old tomorrow. The trend is not lost
on nonprofits, which continually seek how to best incorporate technology into their
fundraising efforts.
With figures showing recent declines in
charitable giving, the quest remains: Is there a digital platform that could
reframe how nonprofits connect with donors and really transform philanthropy?
Chris
Herndon, chief marketing and engagement officer at United Way of Central
Indiana, believes that its partnership with Salesforce.org, the foundation arm
of the national cloud-based software company, has the opportunity to do just that.
“It’s kind of a big deal,” said Herndon about
the product that is now available to Indiana companies from United Way.
It is certainly a platform for nonprofits to
keep tabs on.
Three years ago, United Way chapters in major
markets pooled their resources to invest in digital strategies. At the time,
Salesforce was one of their selected companies and the 10 United Way chapters began
using the company’s marketing cloud software, receiving Salesforce’s expertise
and guidance in the process.
The relationship transformed about a year
ago, when the United Way chapters became colleagues with Salesforce to create an
app called the Philanthropy Cloud, Herndon said. Launched in late 2018, the
platform was designed by Salesforce’s foundation in partnership with United
Way.
Initially, the goal was to better engage current
donors and
potential donors. Nationally, the trend was fewer people giving after the
recession, particularly middle-class Americans who had less discretionary
income.
That
trend is support by the Indiana University’s Lilly Family School of
Philanthropy, which reported that the share of households contributing to
charity has dropped from 67 percent in 2004 to 55.5 percent in 2014, the latest
year for which figures are available.
But according to Herndon, the United
Way-Salesforce working group also knew that the next generation of employees
wants to work for an employer that will enable them to engage with their communities.
And they knew that incorporating technology was key to delivering a personal,
customizable way that could be scaled.
The
concept for the platform first introduced at Salesforce’s 2017 Dreamforce, and then
rolled out at last fall’s Dreamforce conference.
Herndon said the term philanthropy implies a
more strategic approach, and that there’s been a shift to think increasingly
about corporate social responsibility and the goals each company wants to
achieve.
Herndon
likens the Philanthropy Cloud to a financial account where you can log in, see
your investments, your volunteer activity and get a tax statement.
“This gives them a better tool to roll up all
that employee giving, volunteering, and achieved community impact outcomes. It
allows them to manage their matches, communicate their company’s philosophy and
specific goals,” said Herndon.
On
a local level, United Way began its marketing the product to its current
business partners, which included an invitation-only event a couple of weeks
ago. The plan is to do more of those. Currently
there are about 50 United Way
chapters nationally that are involved.
Ashley
Furois, United Way of Central Indiana’s senior director of fundraising, said
there is an annual standard per-employee fee based on the employee size per
company.
“Standard
would be $2 per user per month. A user is an employee, so anybody who has
access to the site, if they use it or not,” she said. First Financial Bank
based in Cincinnati with 170 employees in Indianapolis is the first area user.
“I
think, it complements how we were already changing how we work with our current
corporate partners. We’ve been changing our fundraising focus to be from that
annual campaign perspective to really a year-round supportive perspective. And
this is just another tool that allows us to help do that,” she said.
Nonprofits
that populate employees’ profile pages pull from two different databases –
Guidestar and United Way. In the short term,
United Way is banking on companies and nonprofits that have relationships with
companies to help populate the volunteer opportunities.
“Long term, we hope to have a portal
or a way for a database to be set up so that some of these opportunities are
easily accessible to the companies even if there isn’t already a relationship
established,” said Furois.
For area nonprofits, it is important
to make sure that their Guidestar profiles are up to date, said Herndon. When
an employee accesses a nonprofit’s information, not only can they learn about
the mission, but its federal tax ID and nonprofit rating appears. The platform
provides the ability to make a donation or easily volunteer.
Serve
Indiana’s Executive Director Marc McAleavey sees lots of possibilities. On a
state level, he and his team are developing ways to engage employers to
strengthen or develop volunteer programming for Indiana companies. He is excited
by the opportunities for a user to create his or her philanthropic profile.
“When I saw the demonstration, I saw so many
possibilities. It will help not only the company see the impact their employees
are making, but also each employee can understand their circle of influence and
how they’re making an impact in their communities. It’s a win-win.” McAleavey pointed out that the
Independent Sector publishes
a volunteer wage value and updates it regularly. Last year, the volunteer
hour was $24.60, up 2.2 percent from the previous year.
McAleavey sees future applications, too.
“Right now, it is about engaging employers.
But I think that the power of the Philanthropy Cloud is you can tell an
individual’s philanthropic story for a long period of time. I would love to
help think through how they can open it up a little bit bigger, so that young
adults or even kids start accessing the Philanthropy Cloud so it follows the
person no matter where they work,” he said.
Another example, he sees for future use is vetting potential
nonprofit board members. An executive committee could request it to use as a
resume to learn more about an individual’s philanthropic history.
The
new platform has generated interest from companies that don’t have existing
relationships with United Way of Central Indiana.
“It’s been interesting that some
assumptions that some companies may have with United Way and just seeing us in
a different light in terms of being progressive and innovation,” said Herndon.
According to Furois, nationally
there are 40 companies who have purchased the product.
It also helps keep employees engaged by
providing customized content based on the individual’s interests with content
changing in real time.
“(An
individual) can go in and set his or her interests, but also using Artificial
Intelligence, it will see what articles you’re clicking on and looking at, and
it starts to serve content that is most relevant to you. So hopefully, you get
that personal experience, that customized experience, and you are going to get
more deeply involved.”
Herndon said there is a multiyear
plan to continue to develop the platform. The ability to volunteer for
nonprofits will roll out this spring. Additionally employees that want to make
an impact on a cause but do not know local nonprofits working in that specific
arena can learn about organizations doing the type of work they want to
support.
“If I were to oversimplify, it
solves how we better connect people who want to help with people who are in
need. And then as I think as we learn more about the people who want to help,
we can be a bridge between what people care about and what the community needs.
“It is also creating a better
experience for people. When you think about how technology has transformed
every other area of our life and made it more convenient and allowed us to
better engage with things we care about, it should happen in this space as
well. So it’s been pretty cool at bringing this to life,” said Herndon.
Furois who has worked for United Way of Central
Indiana for 10 years, is excited for many reasons.
“For me, I think the fact that we’re
taking an organization that is over 100 years old and introducing something
that’s new, unique and different it is exciting to me. It has possibilities for
our donors and volunteers, but also for us as an organization,” she said.
An
employee may create an individual profile, after which the platform will hone
content and include what is most relevant to an employee based on interactions
with the site. At anytime, an employee can edit his or her causes. For example,
an employee is at lunch and hears that a
colleague just had a great volunteer opportunity at an organization that deals
with food and hunger. An employee can change his or her causes and save that
information.
An
individual’s profile page gives his or her giving history, if it’s recurring or
a one-time gift. Similar to Amazon, the
individual can easily donate again and make the same donation. He or she can
also get a tax receipt. It provides a snapshot of how the individual is giving.
Based on an individual’s giving, it populates pages with articles about the
causes he or she supports.
Locally, United Way staff will
create content to add to the site.
On
the volunteer portal, which will launch in the spring, employees have the
chance to share their talents. Employees can locate and sign up to volunteer
for local nonprofits and employee can also post volunteer opportunities for
others in the company. Through a peer-to-peer connection, it can increase the
visibility of lesser-known organizations.
Employees can see specific details
about volunteer opportunities – their location, when they start and how to sign
up. After signing up, an automatic confirmation and thank-you email is sent
directly to the employee.
Businesses can see how their
employees are giving, either by cause or in a geographic region.
If a company has a corporate social
responsibility cause, it can highlight opportunities. Companies are asking
employees what philanthropic causes they want their employers to invest in. The
platform can help employers see if the causes they’ve chosen are actually where
employees are investing their time and talent.
Future iterations will have portable
profiles, so if an employee leaves a company, his or her profile can too.
United Way’s
beginnings are rooted in problem solving.
In 1887, Denver had a burgeoning
population that put a strain on human services. A large migration to Colorado
was caused by the outbreak of tuberculosis. In order to reduce their risk of
illness, individuals sought higher elevation and cleaner air.
In Denver, faith leaders partnered and created
a united campaign that benefitted health and welfare agencies. They founded the
Charity Organization Society to collect the funds for local charities, to
coordinate relief services, to counsel and refer clients to cooperating
agencies, and to make emergency assistance grants for cases that could not be
referred.
Indianapolis entered the picture in 1918 during
the war and was more like a war chest.
Herndon said, “There’s some iconic photos
literal war chest of cash on Monument Circle and
again it was the leaders of the community wanting to rally everybody together.”
The name Community
Chest was widely used for United Way
organizations until the 1950s.
Since 1946, the American Federation of
Labor and the Congress of Industrial Organizations (AFL-CIO)
and United Way Worldwide have enjoyed a cooperative relationship. Workplace giving was
introduced about 40 or 50 years ago, and that was through the labor unions
working with United Way to co-create the concept of workplace giving and
payroll deduction.
It sees the Philanthropy Cloud and its
technology as its next innovation.
