is your family's philanthropy ready for the future?
TRANSCRIPT
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Is Your Family’s Philanthropy Ready for the Future?Tony Macklin, CAP®
Pikes Peak Community Foundation 2016 Symposium on Philanthropy
AgendaI. 6 Macro TrendsII. Implications for Philanthropic Families
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Family Philanthropy’s Dual Purpose
Connection to family members, family legacyPhilanthropic giving and/or social impact
I. Trends
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1. Definition of “Community”
Identity ≠ GeographyCommunity ≠ Geography
2. Divided NationPolitical polarizationIncome and asset gapsRacial and ethnic segregationOpting out
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3. Declining TrustInformed Americans who don’t trust nonprofits to “do what is right”Lower for general publicTrust declining since 2008
3. Declining Trust
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4. Volunteerism & Engagement
All Generations
More flexible, short-term, task-based work Skills-based (pro bono)Meaning, personal fulfillment Good use of time (in own terms)
4. Volunteerism & Engagement
Older Generation
“Encore Stage” careers and volunteering/mentoringLegacy and meaning• Half Time – Bob Buford• Connected for Good – John Stanley
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4. Volunteerism & Engagement
GenerationX & Y
Crowdfunding, online decision & petition toolsQuicker access to leadership and effective collaborationSelf-driven, easily disengaged and detached
5. New PowerHyperagency – the inclination and ability “to be producers rather than simply supporters of philanthropic projects.” – Paul Schervish
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4. Volunteerism & Engagement
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6. Definition of Philanthropy
Voluntary action for the public good
6. Definition of PhilanthropySocial economy = all the ways we use private resources to create public benefits or public good
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6. Definition of Philanthropy6. Definition of Philanthropy
II. Implications
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Your assumptions are your window on the world.Scrub them off every once in a while or the light won’t come in.- Isaac Asimov
Collision of 2 SystemsEmotion-basedLoyalty & belongingContinuity & harmony
Task-basedCompetence & commitment
Growth & change
Family/Personal
Philan-thropic
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1. Mutual Value PropositionSkills
KnowledgeRelationships
IdentityReputation
Gifts/Grants
Self Foundation(or DAF etc…)
2. GovernancePrinciples
Policies
PracticesPatricia M. Angus, Esq.
Vision, mission, values
Governance, participation, grantmaking
Operations, meetings, training
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Principles
Policies
Practices
Founder/legacy statementsOral/video historiesPurposeful trusts, ethical willsValues exercisesFamily mission trips
Principles
Policies
Practices
Conflict of interestBoard terms & eligibilityParticipation rules (obligation vs. invitation?)Decision-making processes
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Principles
Policies
Practices
Philanthropy Policies• Hometown/founder $• Discretionary $• Mission/strategic $• Investments
Principles
Policies
Practices
Meetings• Make time for storytelling and learning• Can family truly self-facilitate?
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3. Form Follows FunctionPrinciples
Policies
Practices
3. Form Dictates Function: ConsequencesOnly tool for togetherness Fighting the last war Killing fun
Connection to founding Passive participation Unprepared advisors
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3. Form Follows FunctionPrivate Foundation + DAFs
Family Foundation + 501(c)(4)B Corp Investment Fund + Foundation
Checkbook + PAC + Community Dev BankLLC + DAF
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How will you ensure your family’s philanthropy will
be resilient and thrivein the midst of unavoidable change?
Tony Macklin, CAP®