If you sell a product, you always get a clear indication from your prospective customers whether or not it meets their needs. Philanthropy and non-profit organizations function differently than for-profit enterprises, where the merits of a product or service stand up to market scrutiny. Still, one thing remains in common for both: the efficiency of the outcome.
Check the Area and Make a Plan
Philanthropy is not charity or donations. Nowadays, it is about identifying the roots of disadvantage, finding out the connection between global problems, and possibly helping with solutions. The strategic perspective, the willingness, and the strength to adapt are to be considered the most important characteristics in order to have an impact. Making a plan before taking any action is not boring; it is the prerequisite for efficiency and permanence.
At the very beginning, the straight answers to the following questions are inevitable: Do you have a passion for achieving positive and sustainable change in some area? Is it a passion or a need? Can your philanthropic work fill a gap? Who are the other players out there? Can you cooperate?
If decided, there are different ways to reach the goal. Let´s find the one with the greatest impact. Helping poor kids does not necessarily mean supporting them or their families directly with money. What about paying for the school, teachers, or football training instead?
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Transparency And Measurable Categories
In cases of complex problems, it is good to find an organization or foundation working in the area. What is its aim? Does it work transparently and impactfully? What structure does it have? Did the organization achieve any measurable success?
The foundations should have a structure and procedures to monitor whether the organization is achieving the goals it has set for itself with its funding. It is good if the great personal commitment of its employees is visible.
The industry faces challenges such as increasing complexity, driven by regulatory requirements as well as self-regulation, digitization as an essential piece of efficient operations, and demands for more transparency. This holds true, especially for fundraising organizations.
Every Wealthy Family Is Unique
Wealthy families have a long history of philanthropy, rooted in long-held values. Each individual and family’s approach to philanthropy is unique and, as a result, requires a customized solution. Additionally, philanthropy comes in many forms of giving—time, treasure, and talents—and actions can include volunteering and mentoring, donations, or even serving on the board of a philanthropic organization.
Some families may have a more passive approach to philanthropy, for example, by simply making regular charitable donations, while other families may be more active and run their philanthropy like a business venture. They have expertise in the area, and many times they cooperate with other like-minded families within the world in order to remain relevant in the sector and seek efficiency. Thus, their philanthropic impact is maximized.
You can see more articles about philanthropy in Altoo’s special section.
