Comments on: Fixing the Power Imbalance in Philanthropy http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy Mon, 15 Mar 2010 13:33:42 +0000 http://wordpress.org/?v=2.9 hourly 1 By: Sean Stannard-Stockton http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy/comment-page-1#comment-8104 Sean Stannard-Stockton Tue, 27 Oct 2009 17:44:37 +0000 http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy#comment-8104 Laura, I agree! Laura, I agree!

]]> By: John Mullaney http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy/comment-page-1#comment-8103 John Mullaney Tue, 27 Oct 2009 17:18:34 +0000 http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy#comment-8103 In my experience, foundation's clearly do effect the ability of an organization to carry out its mission and/or program area. No question there is a power differential. My point is that that power differential is too often cast as negative reinforcing a sense of "them" against "us." Philanthropy must keep that tension in perspective when collaborating with nonprofits. (It is my experience that most do!) The point I am trying to make is that for many nonprofits, the inefficient management of Federal/State dollars to nonprofits is one that foundations together with nonprofits should focus discussion. Focusing on power differentials distracts us from having that critical conversation. Check out Jeff Sachs article in October 2009 Scientific American on the subject http://tinyurl.com/yjp7j3e In my experience, foundation’s clearly do effect the ability of an organization to carry out its mission and/or program area. No question there is a power differential. My point is that that power differential is too often cast as negative reinforcing a sense of “them” against “us.” Philanthropy must keep that tension in perspective when collaborating with nonprofits. (It is my experience that most do!) The point I am trying to make is that for many nonprofits, the inefficient management of Federal/State dollars to nonprofits is one that foundations together with nonprofits should focus discussion. Focusing on power differentials distracts us from having that critical conversation. Check out Jeff Sachs article in October 2009 Scientific American on the subject http://tinyurl.com/yjp7j3e

]]> By: Laura Deaton http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy/comment-page-1#comment-8102 Laura Deaton Tue, 27 Oct 2009 16:52:07 +0000 http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy#comment-8102 Does one really hold a carrot over one's head? That's a mighty big carrot, and gosh, might actually seem more like a stick when dollar bills are wrapped around it and withdrawing funds is the consequence. Does one really hold a carrot over one’s head? That’s a mighty big carrot, and gosh, might actually seem more like a stick when dollar bills are wrapped around it and withdrawing funds is the consequence.

]]> By: Sean Stannard-Stockton http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy/comment-page-1#comment-8101 Sean Stannard-Stockton Tue, 27 Oct 2009 15:39:08 +0000 http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy#comment-8101 John, you make a very good point about foundation dollars making up a very small amount of total funding. But they still hold a major carrot over the heads of nonprofits. I don't tend to focus on power issues, but given the recent critique of social investing as potentially increasing the imbalance, I thought it was important to point out that I thought the opposite is true. John, you make a very good point about foundation dollars making up a very small amount of total funding. But they still hold a major carrot over the heads of nonprofits. I don’t tend to focus on power issues, but given the recent critique of social investing as potentially increasing the imbalance, I thought it was important to point out that I thought the opposite is true.

]]> By: John Mullaney http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy/comment-page-1#comment-8100 John Mullaney Tue, 27 Oct 2009 11:47:28 +0000 http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy#comment-8100 I respect the conversation, but in my opinion, the focus on power imbalance between funders and nonprofits rehashes a tired paradigm of the "haves" vs. the "have-nots" and points to class divisions. This is a dangerous area to focus. In reality, foundation dollars are a very small percentage of the nonprofit budget. In the health and social services area for example, government dollars are the primary source of funding. Foundation dollars are often used to leverage these larger dollars. When I see the gross inefficiencies in government systems, it seems the focus on power differentials are misplaced and preventing a much more important conversation. I respect the conversation, but in my opinion, the focus on power imbalance between funders and nonprofits rehashes a tired paradigm of the “haves” vs. the “have-nots” and points to class divisions. This is a dangerous area to focus. In reality, foundation dollars are a very small percentage of the nonprofit budget. In the health and social services area for example, government dollars are the primary source of funding. Foundation dollars are often used to leverage these larger dollars. When I see the gross inefficiencies in government systems, it seems the focus on power differentials are misplaced and preventing a much more important conversation.

]]> By: Jeff Mowatt http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy/comment-page-1#comment-8098 Jeff Mowatt Mon, 26 Oct 2009 21:00:37 +0000 http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy#comment-8098 Until today, it was difficult to understand why this conversation has revolved around investors and nonprofits. Then I examined the details of our NHS Social Enterprise Investment Fund to discover that it's exclusively for the benefit of nonprofit orgs. On the other hand we have social enterprise advocates, in politicians such as Tony Blair, Gordon Brown and David Cameron who've all become recent advocates of 'Values-based", "Moral" and "Kinder" capitalism respectively. It seems that they all equate this with the nonprofit form of social enterprise None of them seem to have grasped the point about reforming capitalism and business with a primary social purpose which some call "hybrid" nonprofits. I'm talking a different language, I now realise. Until today, it was difficult to understand why this conversation has revolved around investors and nonprofits. Then I examined the details of our NHS Social Enterprise Investment Fund to discover that it’s exclusively for the benefit of nonprofit orgs.

On the other hand we have social enterprise advocates, in politicians such as Tony Blair, Gordon Brown and David Cameron who’ve all become recent advocates of ‘Values-based”, “Moral” and “Kinder” capitalism respectively. It seems that they all equate this with the nonprofit form of social enterprise

None of them seem to have grasped the point about reforming capitalism and business with a primary social purpose which some call “hybrid” nonprofits.

I’m talking a different language, I now realise.

]]> By: Jeff Mason http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy/comment-page-1#comment-8097 Jeff Mason Mon, 26 Oct 2009 18:29:47 +0000 http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy#comment-8097 Sean, great point about social investor interest in future performance as opposed to past success. This is precisely why identifying high-performing characteristics to inform a potential social investment is so important. If an org doesn’t have clear goals, established indicators for measuring progress, collect data to understand what works or doesn’t, and then make appropriate adjustments to continuously improve then the likelihood of future success is slim at best. Sean, great point about social investor interest in future performance as opposed to past success. This is precisely why identifying high-performing characteristics to inform a potential social investment is so important. If an org doesn’t have clear goals, established indicators for measuring progress, collect data to understand what works or doesn’t, and then make appropriate adjustments to continuously improve then the likelihood of future success is slim at best.

]]> By: Ingvild Bjornvold http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy/comment-page-1#comment-8096 Ingvild Bjornvold Mon, 26 Oct 2009 17:26:16 +0000 http://tacticalphilanthropy.com/2009/10/fixing-the-power-imbalance-in-philanthropy#comment-8096 Emily said it very well; social investing has the potential to decrease the power imbalance. That said, it's probably not ever possible to get rid of the power imbalance entirely - as long as organizations need to raise funds, they will try to please potential donors. That's exactly why social investing is necessary to improve the effectiveness of the sector. If potential investors want it, nonprofits will try to do it. Let's just make sure that organizations receive the necessary help to be successful. Emily said it very well; social investing has the potential to decrease the power imbalance. That said, it’s probably not ever possible to get rid of the power imbalance entirely – as long as organizations need to raise funds, they will try to please potential donors. That’s exactly why social investing is necessary to improve the effectiveness of the sector. If potential investors want it, nonprofits will try to do it. Let’s just make sure that organizations receive the necessary help to be successful.

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