When philanthropists make big
gifts, they want them to have a big effect.
A new center at the University of Pennsylvania wants to help them
make sure they do.
The Center for High Impact Philanthropy was founded last year but
is just gearing up now, in part because Executive Director Katherina
M. Rosqueta recently returned from maternity leave.
The center is part of Penn's School of Social Policy &
Practice but doesn't offer courses or degree programs.
Instead, Rosqueta said, its purpose is to provide "information
and analysis and evidence" to help philanthropists understand where
they can have the biggest impact.
The center was founded by a gift from alumni of Penn's Wharton
School who wish to remain anonymous. Rosqueta won't disclose the
size of the gift, but she said it was large enough that the center
doesn't need to seek grants to fund its operations.
The center also won't make grants.
"We are really trying to establish the center as [a] neutral
provider of information," Rosqueta said.
The information will deal with three subjects: K-12 urban
education; disadvantaged populations in the United States; and
global public health and development. In each, the center will try
to gather information on programs and practices, see which have been
the most effective and put its findings into formats that
philanthropists can easily use.
The center is working with philanthropists, including one in the
process of making a large gift in the public-health area, to see
what those formats are, Rosqueta said.
Richard James Gelles, dean of the School of Social Policy &
Practice, expects the center will have a Web site for
philanthropists.
Some of the center's information will come from large foundations
that make big gifts themselves and so examine the effectiveness of
various kinds of programs and practices to see whether their gifts
are working and where they should put money in the future. But the
center also plans to get information from the School of Social
Policy & Practice and other schools within Penn.
"There's a lot of good information that could be useful [to
philanthropists], but it's locked up," Rosqueta said.
To help unlock it, the center has hired some top staffers,
including Rosqueta, who are capable of moving in multiple worlds.
Rosqueta came to the center from giant consulting firm McKinsey
& Co., where she spent five years helping clients with strategy
development, capability development and post-merger management. In
the 10 years prior to joining McKinsey, she worked in community
development, nonprofit management and venture philanthropy.
"This was an opportunity to bring all those experiences together
in a way that will lead to better, smarter, and maybe even more,
money going toward [nonprofit] organizations that can make the
biggest difference," Rosqueta said.
The center's formation comes at a time of record philanthropy in
the United States. Charitable gifts in the country totaled $295
billion last year, according to Giving USA 2007, the annual survey
of philanthropy published by Giving USA Foundation. Of that, 75.6
percent, or $223 billion, came from individuals.
Few of those were wealthy philanthropists, however. About 65
percent of all households with incomes below $100,000 give to
charity, according to Giving USA 2007. Those people don't need the
center's services. But Gelles said early response to the center
indicates there are plenty who do.
"The reaction is, 'I'm really glad you have that. I want to
figure out how you can use that,'" he said.
The need for something like the center became apparent to Gelles
about five years ago when he noticed that a growing number of
relatively young, successful people were becoming interested in
philanthropy and wanted to apply the same principles to it that they
had used in their businesses.
Meanwhile, the school Gelles heads was interested in expanding
its mission from simply training social workers to both equipping
people with the skills to run nonprofit organizations and using
research to shape public policy.
"We were circling, from different vectors, the issue of, 'How do
you accomplish social good?' but the one vector we didn't get our
arms around was philanthropy," Gelles said.
The traditional academic approach would have been to develop a
degree program. The school was on the verge of doing that when
Gelles met the center's lead benefactor.
"He had the same angst that I do about philanthropy, but what he
wanted to do was set up a model where donors could identify what the
questions were and then how to go about answering the questions,"
Gelles said.
That model is the center.
R. Andrew Swinney, president of the Philadelphia Foundation, a
collection of more than 750 trust funds established to make gifts to
nonprofits in southeastern Pennsylvania, shares Gelles' view that an
increasing number of philanthropists are taking a more
bottom-line-oriented approach to their giving.
"I think there is a growing desire in those who have lots of
money to look at their philanthropy as an investment, and if you're
looking at it as an investment, you want the best return on your
investment, so I think more and more you're going to see donors
seeking best practices," he said.
The key to the center's success, Swinney said, will be whether
the best practices it identifies are the ones that interest
philanthropists and, if they are, whether it can present information
about them in a form the philanthropists can use.
"The demand for it will only be there if what they do is good
stuff," Swinney said.
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