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Can charity fundraiser be fastest brain in the world? | Jersey Evening Post, 16 sep 2021
Redefining 'Racial Equity' May Increase Donations to Those Working on the Issue | The Chronicle of Philanthropy, 15 sep 2021
Data Reveal Stark Divergences in COVID-19’s Impact among Nonprofits | Nonprofit Quarterly, 15 sep 2021
Charity in China: Can it be coerced? | The Christian Science Monitor, 09 sep 2021
Want To Be Smarter With Your Charitable Giving? Pick The Right Asset | Forbes, 09 sep 2021
4 Lessons for Philanthropy from Past Community Development Initiatives | Nonprofit Quarterly, 08 sep 2021
What the Law of Gravity Can Teach Us About Capitalism and Social Enterprise | Entrepreneur, 06 sep 2021
The top-down pattern of social innovation and social entrepreneurship. Bricolage and agility in response to COVID-19: Cases from China | Wiley Online Library, 05 sep 2021
How Virtual Volunteering Keeps Businesses Engaged With Nonprofits During the Pandemic | Yahoo Finance, 02 sep 2021
The 6 Ps of empowering youth social entrepreneurs | World Economic Forum, 20 aug 2021
Finance & Fundraising
Mohammad Anas Wahaj | 27 apr 2021
According to the 2018 report 'Indian Giving Benchmarking Report', building strategy and attracting new donors are the two key fundraising challenges Indian nonprofits face. The research report was a collaborative effort of India Development Review (IDR), Samhita and the Collective Good Foundation to understand what nonprofits are doing when it comes to fundraising, and what is working in the individual donor fundraising space in India. The report is based on a 40-question survey filled by 682 nonprofits out of 2800 organizations in Samhita GoodCSR's network in 2018. HIGHLIGHTS OF THE REPORT - Nonprofits raised an average of INR 49 lakh (approximately USD 68000) from 191 individual givers; The median amount raised from individuals was INR 3.5 lakh (USD 4860) from 30 donors; Nonprofits had a diverse mix of revenue sources, with individual donors representing the largest share of total income at 35%, followed by government (18%), and CSR departments (13%); For small organizations, individual givers account for 60% of annual revenue. For large nonprofits, the figure is 16%, while for very large organizations, it's 10%; When it comes to CSR, very large nonprofits received 35% of their income from companies, compared to 7% for small organizations. KEY INSIGHTS - (1) Fundraising Strategies And Approaches: 72% find new donors through their founder's network and commonly leverage social media and board members to acquire new donors; Only 38% stated that their board members give money or are involved with fundraising; 68% find asking money face-to-face as the most effective way to solicit donations. (2) Donor Engagement: Annual reports (64%) and, beneficiary updates, letters, and interactions (62%) top the list of activities to build relationships with donors; Other engagement strategies include texting donors (31%), impact reports (33%), social media (39%), and face-to-face meetings (32%); 54% of nonprofits had a volunteer program to engage their potential and current donors. (3) Challenges When Fundraising From Individuals: 46% don't know how to attract new donors, and a third dont have a clear fundraising strategy; Some of the other challenges include lack of staff (26%), Crowdfunding platforms are not working/bringing in new donors/money (22%); Don't have clear and compelling message (22%); Don't have experience asking for money (18%); Don't know wealthy people (18%). Frontline fundraisers need to work hard and effectively to overcome challenges and to make serious and sincere efforts to identify donors and, to build and nurture relationships with them. Particularly in the time of pandemic, with many nonrprofits struggling to stay alive, nonprofits need innovative strategies so they can continue serving the communities. Read on...
India Development Review:
The fundraising challenges plaguing Indian nonprofits
Author: Morry Rao Hermón
Mohammad Anas Wahaj | 18 feb 2021
Charities often work under limited resources and specific set of pressures. Moreover, COVID-19 pandemic has further exacerbated their operational challenges. Use of performance metrics and marketization, lack of resources, increased visibility due to social media etc further add to the pressure. It is reported that at present one-in-ten charities remain at immediate risk of closure in UK. Considering the state of financial management in charity sector, studies of impact reporting have found that a concerning number of nonprofits are producing insufficient reporting. A Charity Finance Directors' Group study found that whilst more than half of charities reported on output and outcome, broader impact reporting was a far less common practice. A recent report published as part of the Organizational Financial Literacy Project - a collaboration between Charity Digital and Sage Foundation, in consultation with Solid Base Non-Profit Support, examines the current state of organisational financial literacy and impact reporting in the UK charity sector. The report delves into the root causes and proposes solutions. During the pandemic public trust in charities have increased and to maintain this trust nonprofits need to work responsibly and transparently, and with more accountability. Organizations that have better financial management and impact reporting will attract more funds. In charities, particularly smaller ones, the financial reporting tasks are handled on a part-time basis and often deprioritized. There is huge reliance on the use of Excel and paper-based accounting methods, resulting in infrequent and insufficient records. Impact in nonprofit sector is measured in terms of engagement with service users and meeting targets set by trustees and this information is needed by stakeholders to assess whether operations are succeeding or not. This information is critical for governance and to secure funding. The main reason for charities not able to have better financial management and reporting is due to limited resources available to accomplish such tasks. Moreover, well trained finance professional are generally not hired and the tasks are undertaken by non-finance professionals that find accounting and finance software tools complex and difficult to operate. The report identifies a four-part framework for overcoming or mitigating these obstacles - (1) Practical: Software and Processes (2) Educational: Training and Resources (3) Supportive: Extended Support Service (4) Social: Networking and Best Practices. Automation is at the core of this digitization strategy. Read on...
The state of finance management in the charity sector
Author: Aidan Paterson
Mohammad Anas Wahaj | 26 oct 2020
Pandemic, combined with politics in many countries, is creating uncertainty for both for-profits and nonprofits. In US, racial protests and electioneering, is adding to the instability. Philanthropic activity is at the crossroads and future seems uncertain. Understanding the change by analyzing past trends and anticipating the future by listening to the wisdom of experts can help nonprofits prepare better for their fundraising needs. PAST TRENDS: According to the 2019 survey of philanthropy 'Giving USA: The Annual Report on Philanthropy' - Individual giving remains the largest source of contributions (69%); Looking at growth in sources, corporate giving increased by 13.4% (includes gifts-in-kind), and giving by individuals increased by 4.7%; Recipient sectors who benefited most were ones where high-net-worth individuals tend to concentrate their giving, with public-society benefit increasing 13.1%, arts, culture, & humanities increasing 12.6%, and education increasing 12.1%; Philanthropy often thrives on economic results, and 2019 was a strong year with the S&P 500 increasing by roughly 29%, personal income growing by 4.4%, and GDP growing by 4.1%. But now 2020 is altogether a different year, with pandemic impact and struggling economy, the future holds uncertain challenges. FUTURE TRENDS: By utilizing Delphic Panel Approach, in which you ask to a team of experts to consider future questions and offer their opinions on likely outcomes based on their experience and insight, a select group of 20 fundraising experts share their predictions on philanthropy and fundraising in coming years. HIGHLIGHTS OF THE SURVEY: 61% were reasonably confident that philanthropy overall would grow during the next 3 years. A decline in giving is not likely to be long-lasting and there is hope for growth; 67% suggested that their organizations or clients would be investing more in fundraising during the next three years. Respondents were fairly evenly split regarding retaining fundraising staff and hiring more fundraisers. So, despite the short-term news of layoffs, there should be opportunities in development; Individual donors will continue to remain essential in future fundraising while no change or reduction is expected in other streams of fundraising revenue. Community/event fundraising will expect a reduction; Digital will be a main fundraising acquisition channel in which organizations are expected to spend. Other growth areas identified by the survey include DM (direct mail), DRTV (direct response television), and a resurgence in telemarketing. Print advertising channel is expected to retreat. Read on...
Mohammad Anas Wahaj | 11 jul 2020
According to the survey conducted to find out impact of COVID-19 pandemic on 567 small businesses and nonprofit organizations in US by the research team of Prof. Samantha Paustian-Underdahl of Florida State University, 15.2% of its participants closed permanently, and 14.5% of participants closed temporarily. Another 31% of participants are operating below 40% capacity, while close to 40% of participants are operating at 40% or higher during COVID-19. The survey also found that 46.7% laid off their employees during COVID-19, while 51% reported that they did not. The average number of employees laid off was 10.5. Prof. Paustian-Underdahl says, 'Small businesses and nonprofits have taken a huge hit during this time, with nearly 30 percent of our sample needing to close temporarily or permanently as of early May. The good news is that most organizations are getting some help.' The survey revealed that 92% received some type of financial assistance from the government's Paycheck Protection Program (PPP) and/or Economic Injury Disaster Loan (EIDL). 75.5% applied for one or both types of government aid. Of participants who applied, 28.9% received PPP funding only, 26.8% received EIDL only, 11.3% received both PPP and EIDL, and 8.3% did not receive anything. Moreover, researchers also found that business owners and nonprofit leaders are experiencing different effects of COVID-19 on their overall well-being and performance, depending on their gender. Prof. Paustian-Underdahl says, 'Consistent with recent research by Gallup , we found that women who own small businesses are experiencing higher levels of stress and burnout during COVID-19 compared to men. While some may assume this could be due to higher work-family-conflict, we found the men surveyed are reporting higher work-family-conflict than women.' Some of the strategies and solutions that respondents have implemented to meet the challenges faced during COVID-19 include - increased communication with employees; an increased focus on implementing technology and creating online content; creating unique ways to contact and keep existing clients instead of seeking new one; increased focus on healthy living, exercise and mental health for their employees and customers. Read on...
Florida State University News:
Survey reveals COVID-19's impact on small business, nonprofits
Author: Calvin Burrows
Mohammad Anas Wahaj | 26 may 2020
CSR (Corporate Social Responsibility) spend is mandatory for certain profitable corporations in India. Most businesses are strategically utilizing their CSR funds. Moreover, Covid-19 pandemic and subsequent directive by government for corporates to participate in Covid-19 relief as part of their CSR activity, has prompted companies to innovate their CSR spends. Gaurav Patra, founder of Value360 Communication, explains how marketers are utilizing the challenge posed by Covid-19 as opportunity to strengthen their brands by strategically focusing on CSR to support society and connect with communities. He says, 'In this hour of global crisis, various marketers are stepping up and aligning their strategy in line with the announcements made by the government. Brands should take this as an opportunity to look inward and be as resourceful as possbile towards the cause. Many companies and businesses are donating certain amounts to the 'PM Cares Fund' formed by the Government of India, while others focus on facilitating vital necessities like masks, sanitizers, gloves, medicines, food to the underprivileged, health institutions, hospitals, etc. Marketers and brands are also committing a certain portion of their CSR funds towards Covid Fund. They are also placing health check-up camps in tier-2 cities in order to help migrants get tested first hand. Few brands have also come forward to manufacture ventilators, sanitizers, thermal testers, drones lending assistance to the government in combating this pandemic situation.' Companies are utilizing various media channels like print, television, social media etc to create awarenesss and educate the masses through creatively designing campaigns with Covid-19 theme. Mr. Patra suggests, 'Given the scale and urgency of the situation, brands should co-create their solutions as an effective response to Covid-19 outbreak. Together, through the right channel, one voice, we can safeguard our nation and help fight this global pandemic.' Read on...
How marketers are now focusing on CSR in current COVID-19 situation
Author: Gaurav Patra
Mohammad Anas Wahaj | 26 apr 2020
It is important to be selective and careful while choosing which nonprofits to support and promote. Even more so during times of crisis or economic recession as every dollar of contribution or effort needs to be most effective. In such situations, like the present COVID-19 pandemic, nonprofits are expected to serve more while facing resource challenges. Prof. Amanda J. Stewart of NC State University, whose research focuses on nonprofit organizations and foundations, suggests what to consider while supporting nonprofits during disasters like COVID-19 - (1) Nonprofits that provide essential services: Sustained support is needed for nonprofits that respond directly to human suffering in crisis and also essential human services and local community needs. (2) Nonprofits that need cash: Financial donations are critical as they support nonprofits to pay their bills etc and gives them freedom to provide services where most needed in whatever form. (3) Generosity can be specific to these times: Creativity in generosity becomes valuable. Like for example face masks being sewn, remote volunteering options, socially safe distant blood drives etc during current pandemic. Consider what generosity looks like in your neighborhood or what is within your capabilities during crisis time. (4) Give responsibly: While doing so be aware that some 'responsible giving' criteria are biased. Before donating use your best judgment and look for signs of legitimacy and accountability. Smaller niche nonprofits with more grassroots efforts can be effective and responsive in crisis times. (5) Nonprofits are often local businesses: After the crisis has passed many nonprofits just like local businesses would need support to get back to start working. Consider the nonprofit causes you want to see sustained and support the nonprofits to resume functioning after the crisis. Read on...
NC State University News:
How Can I Tell Which Charity to Support During This Crisis?
Author: Matt Shipman
Mohammad Anas Wahaj | 09 mar 2020
Empowering women and girls in rural India is a necessity that can't be ignored. Initiative taken by Gurdev Kaur Deol of Ludhiana (Punjab, India) is trying to achieve it by a self-help group (SHG). She is marketing their produce through Farmer Producer Organisations (FPOs) and making them self-reliant with sizeable income. There are other nonprofits that are transforming lives of women and their families by engaging in various ways. Ms. Kaur says, 'Initially, I formed SHGs involving 15 rural women...Later, I made 'Global Self-Help Group FPO' which is now engaged in production, manufacturing, processing and marketing of food processing items such as pickles, squash, honey besides staples. Currently, we have 300 farmers with 50% of them being women.' Deepika Sindhwani, president of NGO Mahila Kalyan Samiti, says, 'These rural women are talented and need guidance. We have formed 350 SHGs...We have imparted them training in phulkari, jute bags and food processing.' National Bank for Agriculture and Rural Development (NABARD) is also assisting through SHG Bank Linkage Programme by providing credit, skills and micro entrepreneurship development training. J. P. S. Bindra of NABARD says, 'During the past one decade, we have also started forming Farmer Producer Organisations (FPOs) to increase farmers' income. A few of our FPOs have successful women farmers.' Read on...
Mohammad Anas Wahaj | 28 dec 2019
According to nseinfobase.com, CSR spends of Indian corporates have increased 17.2% to Rs. 11867.2 crore in FY19 from Rs. 10128.3 in FY18. This is the highest spend since FY15 (Rs. 6552.5 crore), when the CSR spend was made mandatory through Companies Act 2013. It is observed that corporates are increasingly using their CSR spends on charitable contributions. The highest amount of Rs. 4406 crore were for schedule VII (II) that focuses on education. The next big spend was Rs. 3206.5 crore under VII (I) for eradicating hunger, poverty, malnutrition and promoting health and hygiene. Rural development got Rs. 1319 crore and remaining went for projects that include environment protection, benefits to the armed forces, disaster management etc. From geographical point of view Maharashtra and Gujarat were at the top to get contributions while Bihar and North-East states got the least CSR funds. Experts say that large spends have also seemed to have prompted closer attention to how the money is spent. Amit Tandon, founder and MD of Institutional Investor Advisory Services India (IiAS), says, 'There are more and more companies who are doing impact assessment...people recognise the need to do it.' Pranav Haldea, MD at Prime Database, says, 'Low CSR budget could act as a constraint for some companies to adopt monitoring mechanisms. It may only make sense for firms with very large budgets. Smaller companies may find it too expensive to employ an agency for external audits on a regular basis.' Read on...
Companies spent Rs 11,867 cr on CSR activities in FY19; highest so far
Author: Sachin P. Mampatta
Mohammad Anas Wahaj | 25 dec 2019
Social enterprises can become an important pillar of Indian economy just like corporations and businesses. India has more than two million social enterprises that include nonprofits, for-profits and hybrid models. According to a McKinsey study, 'impact investors' in India poured a total of US$ 5.2 billion between 2010 and 2016, with substantial focus on sectors like financial inclusion and clean energy. A survey conducted by Brookings India found that 57% of the social enterprises identify access to debt and equity as a barrier to growth and sustainability. In the budget Indian government proposed a social stock exchange (SSE) to list social enterprises and voluntary organisations. Suresh K. Krishna, MD and CEO, and Geet Kalra, portfolio associate, at Yunus Social Business Fund, explain what benefits this social stock exchange will bring to the social enterprise ecosystem and suggest that careful planning is needed in designing it. They explain, 'SEBI (Securities and Exchange Board of India) set up its working committee on SSEs on September 19, however, many experts have already proposed distilling learnings from those of other countries. Some of these exchanges are either information sites, like in the case of the London Stock Exchange, or list nonprofit projects only. Canada's Social Venture Connexion (SVC) and Singapore's Impact Investment exchange are more advanced in terms of accreditation, valuation and monitoring, whereas the Brazilian model didn't use such valuations at all. While formulating a similar product for India, we need to have an extensive as well as 'cautious' approach. There is no consensus in the wider social impact community about what is and isn't a social enterprise, therefore the definition itself first needs more objectivity...Once we have a shared frame of reference in place, we can design impact valuation parameters for social enterprises based on social and environmental mission, target beneficiaries, service delivery, stakeholder involvement, and impact measurement.' SSE listing will provide visibility to social enterprises and assist in attracting funds in the form of private equity and debt. Listing debt products on the SSE would encourage banks, NBFCs (Non-Banking Financial Company) and other investors to participate in the growth of social enterprises and enhancing their impact. Moreover, SSE impact valuation will encourage development of more innovative financial products. SME exchanges operated by BSE and NSE can also provide valuable learning in effectively designing SSE. Mr. Krishna and Mr. Kalra suggest, 'For a social stock exchange to meet its intended objectives, we need to take measures such as: educating market participants about the valuation metrics weighing both on social and financial returns; amplifying the efforts of creating and supporting social businesses; bringing policy and regulatory reforms to support investors, and facilitating research and development for small social enterprises.' Read on...
A social stock exchange will help in raising capital
Authors: Suresh K. Krishna, Geet Kalra
Mohammad Anas Wahaj | 27 nov 2019
Philanthropy is a huge industry and technology is enabling it's transformation. It's contribution to the U.S. economy is significant. According to The 2019 Nonprofit Employment Report (2019), authored by Lester M. Salamon and Chelsea L. Newhouse of the Center for Civil Society Studies at Johns Hopkins University, nonprofits account for roughly one in 10 jobs in the U.S. private workforce, with total employees numbering 12.3 million in 2016. Over the decade since 2007, nonprofit jobs grew almost four times faster than the for-profit ones. Madeline Duva, CEO of Fluxx, provides insights into technological transformation of philanthropy and the positive impact it has on overall growth of nonprofit sector. She says, ' The philanthropic space has begun to adopt new technologies in earnest in order to increase capacity, improve employee job satisfaction and accelerate long-lasting impact. This transformation is further helped by the tech industry entering the space both as a funder of nonprofits and provider of improved tool sets. The innovations that made Amazon a world leader in supply chain optimization are now being repurposed to help nonprofit organizations work more efficiently and collaboratively with their own data, ultimately driving more dollars and hours toward solving long-entrenched societal and systemic issues in the U.S. and beyond.' Philanthropy is on rise and tech industry and their employees are major contributors. According to 'Giving USA 2019: The Annual Report on Philanthropy for the Year 2018', researched and written by the Indiana University Lilly Family School of Philanthropy at IUPUI, in 2018 Americans gave nearly US$ 428 billion to charity, with US$ 76 billion of that coming from foundations and another US$ 20 billion coming from corporations. Tech industry's interest in philanthropy and nonprofit sector is seeing increase in specifically designed tech solutions. Ms. Duva explains, 'I've seen a steady increase (but slower industry adoption) in solutions that help foundations leverage data and efficiency and manage teams, all while scaling their work. Grantmakers (both public and private) and grantseekers (nonprofits and charities) have begun to streamline their operations through SaaS solutions, using data and workflow best practices to create more efficient processes and free up time and resources.' For tech companies seeking to work and design solutions for the philanthropic sector, she suggests - Prioritize flexibility and usability in your solutions; Understand that most nonprofits operate on extremely thin financial margins; Recognize the huge variance in the philanthropic space. One-size-fits-all approach doesn't work this space that covers and touches so many industries. Read on...
Mohammad Anas Wahaj | 27 oct 2019
For CPAs (Certified Public Accountant) to successfully transition from the for-profit sector to the nonprofit sector requires a specific mindset and skill sets. Even though their for-profit experience will highly benefit and enhance the value of nonprofit finance department, but they would need add-on soft skills - (1) Adaptability: Understand and adapt to the new organizational culture. (2) Flexibility: Ability to multitask. With resource challenges nonprofits lack support staff and CPAs would need to handle administrative tasks. (3) Leadership and the ability to drive change: Emphasize the value of accurate financial reporting and use of latest processes and technologies for effective and efficient finance department. Explain that doing so will enhance chances of funding. Implement change through collaborative approach. Nonprofit organizations can benefit from for-profit CPA's in many ways - (1) Technology implementation: Many nonprofits are not fully equipped with latest financial and accounting technolgoies. For-profit CPAs bring the experience to do so. Implementation of online technology maximizes productivity, increases transparency, facilitates document flow and approvals, and improves accuracy and timeliness. (2) Documented policies and procedures: The implementation and maintenance of a documented accounting policies and procedures manual ensures continuing operational efficiency and governance, accuracy, and reliability of financial statements, as well as well-defined roles and responsibilities. (3) Effective and efficient internal controls: The system of internal controls is necessary to mitigate risk, increase transparency, and safeguard the organization's assets. For-profit CPAs are familiar with identifying and evaluating internal controls and aware that the process requires understanding and documenting the step-by-step processes that staff members follow to perform their jobs. (4) Audit management and oversight: CPAs with auditing background are familiar with the types of schedules and documents the auditors will request. The books and records of the finance department should be maintained throughout the year so that when the books are closed, only year-end adjustments are needed. Although CPAs spend most of their time with numbers, processing transactions, generating financial reports, and racing to meet numerous internal and external deadlines, but in nonprofits it is more than that - a mission to improve the lives of those in need and to make the world a better place. The transition to nonprofit career can be highly rewarding both professionally and personally. Read on...
Mohammad Anas Wahaj | 26 sep 2019
Utilizing technology to connect with audience & customers is effective and efficient. But, bringing the human element with personalization & customization, and engaging with them to build long-term relationships is even better. Best organizations often try to do that. Gabe Cooper, tech entrepreneur and nonprofit consultant, have suggestions for nonprofit organizations to build personalized communication strategies and making full use of automation technologies available. He says, 'When it comes to marketing software, in particular, nonprofits have long tried to make square pegs fit in round holes, getting locked into software and marketing practices that are fundamentally designed for for-profit marketing or that are based on legacy fundraising practices. This has resulted in mass marketing efforts that make your donors feel like 'sales opportunities' rather than crucial stakeholders in your cause.' Fundraising is an important activity for nonprofits and considering that they lack resources, it becomes even more crucial to be done right. He says, 'In our modern world, impersonal fundraising is a wet blanket on generosity, and that's a problem when you consider that nearly three-quarters of people who give a single gift never give again. They simply don't feel appreciated. That's where personalization through marketing automation comes in. Personalization allows each and every donor feel as though you're talking directly to them...Great personalization provides every donor with the right message at the right time based on their individual passions, capacity and relationship to your organization. Personalization, in this way, creates extreme loyalty.' He advocates a 3 point approach to apply personalization in nonprofit fundraising efforts - Know; Automate; Amplify. (1) KNOW: Gather as much information about your donors as is possible. (2) AUTOMATE: Use marketing automation software to send tailored messages - at the right time - based on what you know about each donor. (3) AMPLIFY: Use data analytics to understand what the right 'ask' should be. He also provides other ways to personalize marketing efforts: Keep the new donor campaigns running to engage them, and make them repeat donors; Use persona segmentation and apply the personalized content to connect with them; Utilize personalization technology/marketing automation that is designed specifically fo nonprofits. Mr. Cooper concludes, 'Taking a more personalized approach to your nonprofit fundraising efforts can result in more donor engagement, higher average gifts, big increases in donor loyalty, and most importantly, you donors will feel that they're part of your cause.' Read on...
Personalization Is the Engine That Drives Today's Givers
Author: Gabe Cooper
Mohammad Anas Wahaj | 17 jul 2019
Experts' views are divided on how non-profit hospitals benefit communities. In US, non-profit hospitals received tax-benefits valued at over US$ 24 billion annually in 2011. In exchange for tax exemptions these hospitals provide 'community benefits' like free and subsidized care, investments in public health, community-based health initiatives intended to address the social determinants of health, such as food or housing insecurity. But, many observers argue that hospitals avoid making sustained community investments in favor of counting millions of dollars of 'discounts' to low-income patients as community benefits while aggressively pursuing unpaid bills. Krisda Chaiyachati and Rachel Werner, Senior Fellows at LDI University of Pennsylvania, have recently written two research to add information to this debate. They provide detailed estimates of how much hospitals spend on different types of community benefits, whether community benefits are matched to local need, and what effects community benefits have on health outcomes. Mr. Chaiyachati and Ms. Werner analyzed IRS tax data from over 1600 non-profit hospitals. By law, hospitals report total spending on community benefits, broken out by health care-related spending (e.g. free care), community-directed spending (e.g. anti-smoking initiatives or funds for local community organizations), and research and educational activities. To standardize comparisons, the authors measured all spending as shares of total hospital expenditures. Researchers find out that hospitals still rely on discounted charity care to meet community benefits requirements. In 2014, non-profit hospitals reported that they spent an average of 8.1% (US$ 17 million) of their total expenditures on community benefits, more than 80% of which was health care-related. On average, 6.7% (US$ 11 million) of expenditures were on health care services, compared to 0.7% (US$ 1.2 million) for community-directed contributions. The remainder of community benefits were on educational and research initiatives. The results are disappointing in light of a second study from Ms. Werner and Mr. Chaiyachati, which suggests that community-directed spending could improve health outcomes, specifically, 30-day readmission rates. Readmissions rates are a useful measure of health care quality-capturing in-hospital care, discharge planning, and follow-up. Since the Affordable Care Act, hospitals have been financially penalized for high readmission rates. The evidence from research suggests that increased investment in the social determinants of health, rather than simply writing off free care, has a significant impact on measurable health outcomes. Read on...
Mohammad Anas Wahaj | 27 jun 2019
Technology is enabling charitable and philanthropic organizations to perform better in many ways - (1) Donations have just become a click away with expanded reach through online financial payment systems. Moreover, online transactions provide anonymity to donors who prefer it. (2) Crowdfunding has become a great tool to gather funds from all kind of donors, big or small, for the causes that one suppports. Crowdfunding websites are convenient to use and make it easy to reach out to prospective donors. (3) Technology has brought transparency and accountability. Donors are now more aware about how their contributions are utilized. Moreover, financial management tools provide charity organizations ways to efficiently and effectively track their funds. (4) Social media has proven to be effective to spread a charitable cause and seek support. Read on...
Mohammad Anas Wahaj | 25 feb 2019
According to the most recent 'State of the Nonprofit Cloud Report' by NTEN and Microsoft, cloud technology has become routine enough that many organizations have adopted new services during the past year or are considering adding new services. Three of four respondents indicated current use of cloud services for at least three purposes. The average number of services used is about six. Nonprofits are using cloud not just to store data, but in many other ways. Emily Dalton, VP of product management at Omatic Software, says, 'The thing that people are abuzz about is AI (artificial intelligence), machine learning and how can we take all the data being generated and harness that into intelligence. It's applying more of the science of fundraising...There are patterns and insights that could be found in the data, pointing to a segment that's ripe for a major giving ask. Having your database and CRM system in the cloud, allows fundraisers to do some pretty incredible stuff. They have access to all their donor data in real time when going to a meeting or on a road trip. Instead of setting up a meeting with a donor, running a report and printing out a donor profile to bring along, fundraiser instead walks into a meeting with the most relevant data possible. They access it quicker and it's not duplicated because the cloud is faster.' Nathan Chappell, CFRE, SVP philanthropy at City of Hope, says, 'We send fundraisers to lunch with people we know have wealth...The data can help determine how best to deploy the workforce in the best way possible...We're very diligent about testing models...The starting point for any nonprofit, even a small one, is ensuring they're capturing all the data possible. The model will be only as good as the quality and consistency of data.' Rodney M. Grabowski, CFRE, VP for university advancement at the University of Buffalo, says, 'In reality, I've been using forms of AI throughout my entire career. Twenty years ago we were calling it data analytics, then machine learning, now it's AI.' Steve MacLaughlin, VP of data and analytics at Blackbaud, says, 'The technology is largely invisible. If your organization is taking online donations, then you're using the cloud. There's no way to take donations without using some cloud. For fundraising and donor management, a larger percentage of nonprofits are using the cloud than not...We're well past the tipping point. Now, it's going to be about what happens next, how does the cloud enable more effectiveness.' Eric Okimoto, COO at boodleAI, says, 'AI and cloud computing are buzz words. But at the end of the day, cloud computing is just the ability to rent capabilities rather than spend heavily on capital, people and security.' Amy Sample Ward, CEO of NTEN, says, 'Fundraisers can benefit from the same elements of efficiency and access as program or communications staff...Let the robots do the work to tell you that someone just made a donation...instead of running a report to check. Nonprofits still must use the cloud in whatever way makes strategic sense for them...What's likely to become more of an issue this year and beyond is data access, security and privacy. It's going to happen anyhow but things like GDPR (General Data Protection Regulation) and data breaches accelerate it...What nonprofits value about cloud tools is that staff can access data and systems to do their jobs from wherever, but security is important when they evaluate such tools. When we talk to nonprofits about security, it's usually an amorphous, shadowy fear. It's not a specific security concern...Often, it's probably safer to work with a cloud vendor or partner on security than for a nonprofit to try to maintain that security on its own.' Read on...
The NonProfit Times:
Cloud Is Raining Data, Flooding Fundraising With Information
Author: Mark Hrywna
Mohammad Anas Wahaj | 30 dec 2018
Prof. Dean Karlan of Northwestern University does evidence-based research to evaluate what works and what doesn't when it comes to helping lift people out of poverty. He is the founder of the nonprofit Innovations for Poverty Action and advises donors and institutions on the best use of their charitable dollars. Prof. Karlan says, '...in 2002 I started a nonprofit out of my living room, dedicated to creating high-quality randomized evaluations of global anti-poverty programs. Today, Innovations for Poverty Action has a US$ 42 million budget, most of which goes directly into research. We're now in 22 countries, but we've worked in 52 countries. We have some 500 permanent staff and have done almost 800 randomized evaluations of anti-poverty programs and initiatives. We apply rigorous economic theories and research to evaluating which global anti-poverty initiatives are working.' He suggests following tips to evaluate whether your charitable dollars are being used effectively: (1) Don't evaluate a charity based on its overhead. (2) Don't be swayed by marketing materials with moving heart-wrenching photographs. (3) Look for evidence of impact. (4) If you are wondering where your money will have the most impact, it's likely in poorer, developing countries. (5) Don't be afraid to give to large organizations. (6) Email the charity for evidence of cost effectiveness. (7) Consider giving to meta-charities. Read on...
It's the Season of Giving. How to Choose Charities Wisely
Author: Andrea Guthmann
Mohammad Anas Wahaj | 23 oct 2018
Recent passing away of Microsoft's co-founder Paul Allen (b.21 jan 1953 - d.15 oct 2018) brings to the forefront his contributions, not only to technology and entrepreneurship, but also to education, arts, culture etc as part of his philanthropy. After leaving Microsoft's management in 1983, his philanthropic activities focused on the city of Seattle (US), his hometown. He endowed a separate school for computer science and engineering at the University of Washington. His investments in Seattle's South Lake Union locality has recast the city as an increasingly popular destination for young technologists. Some of his cherished contributions to the city's scene and skyline include artistic and athletic monuments to which he devoted a substantial portion of his wealth. He commissioned Frank Gehry to design a pop-culture museum. He also developed a children's center at the Seattle Public Library, funded an off-campus studio for the beloved public-radio station KEXP, and established a military-history museum outside the city. He was an ardent advocate of environmental protection, computational bioscience, and space exploration, donating millions of dollars to regional nonprofits. He invested in sports and acquired Seattle Seahawks at the time the team was planning to leave the city. In his memoir, 'Idea Man' (2011), responding to criticism that his philanthropy lacked focus, he wrote, 'At times, I cast my net too widely. But my choice of ventures wasn't arbitrary.' In 2000, the chairman of the architecture department at the University of Washington likened him to a modern Medici (an influential banking and political family of Florence, Italy). His contributions to entrepreneurship and technology are public knowledge. He recounted in his memoir regarding the initial mission of his venture with Bill Gates was, 'A computer on every desk and in every home.' Mr. Gates recently wrote, 'Paul foresaw that computers would change the world.' He influenced the technological innovations like point-and-click computing, word processing, and multi-button mouse. Mr. Allen attributed his entrepreneurial ambition and imagination to a wide-ranging autodidacticism and a natural passion for art and literature. Even though a technologist and part of a cut-throat and highly competitive industry, he understood that the products he designed were complements to preexisting lives, all of them rich and varied. He wrote in his memoir, 'That's a core element of my management philosophy. Find the best people and give them room to operate, as long as they can accept my periodic high-intensity kibitzing.' Read on...
The New Yorker:
The Rare Humanism Behind Paul Allen's Technological Vision
Author: Eren Orbey
Mohammad Anas Wahaj | 13 oct 2018
Indian corporates that fulfil the conditions of Section 135 of the Companies Act 2013 relating to mandatory spending of 2% of last 3 years average profit on CSR are making a difference in vulnerable communities in India. According to the latest India CSR Outlook Report published by NGOBOX, Reliance Industries, HDFC Bank, Wipro, Tata Steel, NTPC, Indian Oil Corporation & ONGC spent more than their prescribed CSR budgets in FY 2017-18. The report analyzed CSR spends of 359 companies. The prescribed CSR budget of these 359 companies was Rs 9543.51 crore whereas the actual CSR spend was Rs 8875.93 crore (3/4th of total CSR spend in India). There is an increase in the prescribed CSR from 6% to 8% in the actual CSR spend from FY 16-17 and the number of projects have also increased by 25% from the previous year. REPORT HIGHLIGHTS: Maharashtra, Karnataka and Gujarat together received over 1/4th of India's total CSR fund. North-eastern states of Nagaland, Meghalaya, Mizoram and Tripura have received least funds; Public sector contribution is over 1/4th of the total; Oil, refinery and petrochemicals account for alsmost 1/4th of the total while healthcare and pharma contributes the least with just Rs 294 crore; CSR funding on education and skill increased by 50% from last year and is 1/3rd of the total CSR spend; Over 1/4th is spend on WASH (Water, Sanitation and Hygiene) and healthcare projects. Read on...
Corporates spend 50% CSR funds in education, skill development: Report
Author: Sonal Khetarpal
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