Evolution Of Philanthropy – Progressive Or Regressive
The not-for-profit sector has evolved exponentially over the last three
decades. New challenges have accompanied the changing attitudes,
priorities and models within the sector as a whole. New initiatives
with a modern approach have proved to be a setback for some older and
more traditional initiatives. In this issue we shall debate
whether steps taken forward have proven to be steps taken backward in
some cases
decades. New challenges have accompanied the changing attitudes,
priorities and models within the sector as a whole. New initiatives
with a modern approach have proved to be a setback for some older and
more traditional initiatives. In this issue we shall debate
whether steps taken forward have proven to be steps taken backward in
some cases
In
a country with over 1.2 billion people and several thousand NGOs,
social causes are numerous and there is enough space for ideas &
projects across charitable & developmental areas. At some point,
donors need to sit back and think through the pros and cons of
supporting purely charitable versus developmental organisations,
India’s social sector evolution needs to be balanced and mature.
Within chosen core sectors, a donor should maintain a healthy mix of
both; at the H T Parekh Foundation, we strive to maintain this
balance.
a country with over 1.2 billion people and several thousand NGOs,
social causes are numerous and there is enough space for ideas &
projects across charitable & developmental areas. At some point,
donors need to sit back and think through the pros and cons of
supporting purely charitable versus developmental organisations,
India’s social sector evolution needs to be balanced and mature.
Within chosen core sectors, a donor should maintain a healthy mix of
both; at the H T Parekh Foundation, we strive to maintain this
balance.
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Ziaa Lalkaka, Head – CSR
The H T Parekh Foundation |
The
CSR law is still new to India….it will take another 5-7 years to
truly evolve, show impact and become a game changer, provided
corporates continue to invest in the social sector at the current
pace. With a massive pool of CSR funds available today, emphasis on
professionalism in the operations of the non-profit sector is
definitely required, albeit with a healthy balance between time and
cost spent on ‘professionalizing a non-profit’.
CSR law is still new to India….it will take another 5-7 years to
truly evolve, show impact and become a game changer, provided
corporates continue to invest in the social sector at the current
pace. With a massive pool of CSR funds available today, emphasis on
professionalism in the operations of the non-profit sector is
definitely required, albeit with a healthy balance between time and
cost spent on ‘professionalizing a non-profit’.
It
is also important to understand that at the end of the day it is a
grant and not a commercial investment. Whilst regulation is needed,
too much regulation can stifle both the donor and donee, taking away
from the time that could have been invested in efficient programme
execution & monitoring.
is also important to understand that at the end of the day it is a
grant and not a commercial investment. Whilst regulation is needed,
too much regulation can stifle both the donor and donee, taking away
from the time that could have been invested in efficient programme
execution & monitoring.
While
CSR compliance for eligible corporates is mandatory today, there is
still a large amount of untapped individual wealth and family offices
operating in India. We have a long way to progress to emulate
philanthropy in the West, where wealthy individuals have
‘voluntarily’ donated a significant sum of their personal wealth
to a private trust set up to undertake global developmental work.
CSR compliance for eligible corporates is mandatory today, there is
still a large amount of untapped individual wealth and family offices
operating in India. We have a long way to progress to emulate
philanthropy in the West, where wealthy individuals have
‘voluntarily’ donated a significant sum of their personal wealth
to a private trust set up to undertake global developmental work.
At
the end of the day, I personally believe what is important is the act
of GIVING itself, whether it is driven by a thinking mind or a
generous heart !
the end of the day, I personally believe what is important is the act
of GIVING itself, whether it is driven by a thinking mind or a
generous heart !
The H T Parekh Foundation is the
corporate social responsibility arm of HDFC Limited
corporate social responsibility arm of HDFC Limited
_______________________________________
During
the last few years we have seen the impact of the CSR Bill in terms
of more funds, greater emphasis on processes, governance etc. These
changes are very much required and necessary for the healthy growth
of the social sector.
the last few years we have seen the impact of the CSR Bill in terms
of more funds, greater emphasis on processes, governance etc. These
changes are very much required and necessary for the healthy growth
of the social sector.
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Vipul
Jain, President,
Catalysts for Social Action
|
However,
corporates want projects that neatly fit into buckets of “health”,
“education”, “livelihood” etc. and which impact “large”
numbers of people. Alas, if only all problems and solutions could be
so neatly sliced and packaged! And what about changing one life at a
time? Further, corporates are not going to fund anything that might
be perceived as anti-government or “activist” …so causes around
citizen empowerment, accountability and transparency in government,
will be left out from the gravy train. Ironically, these causes may
be the ones with greatest impact and the highest ROI.
corporates want projects that neatly fit into buckets of “health”,
“education”, “livelihood” etc. and which impact “large”
numbers of people. Alas, if only all problems and solutions could be
so neatly sliced and packaged! And what about changing one life at a
time? Further, corporates are not going to fund anything that might
be perceived as anti-government or “activist” …so causes around
citizen empowerment, accountability and transparency in government,
will be left out from the gravy train. Ironically, these causes may
be the ones with greatest impact and the highest ROI.
Coming
from the corporate sector myself, I know that we believe that
resources, technology and a project plan can solve any problem! Will
such an approach make a real difference …or should I say , a
sustainable difference ? Humility, openness, empathy, compassion
….without these qualities, many social enterprises will become
another self-serving and soul less machinery, just like the
government, and just as ineffective!
from the corporate sector myself, I know that we believe that
resources, technology and a project plan can solve any problem! Will
such an approach make a real difference …or should I say , a
sustainable difference ? Humility, openness, empathy, compassion
….without these qualities, many social enterprises will become
another self-serving and soul less machinery, just like the
government, and just as ineffective!
Catalysts
for Social Action (CSA) works for A Brighter Future for Orphaned
Children. They run programs to increase adoptions and enhance care
and outcomes for children in orphanages across the country.
for Social Action (CSA) works for A Brighter Future for Orphaned
Children. They run programs to increase adoptions and enhance care
and outcomes for children in orphanages across the country.
_______________________________________
I
celebrate the increased professionalism in the development sector,
which is helping mainstream social
issues – through a common language and increased visibility – and
also enabling the participation of greater financial and human
capital than ever before!
celebrate the increased professionalism in the development sector,
which is helping mainstream social
issues – through a common language and increased visibility – and
also enabling the participation of greater financial and human
capital than ever before!
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|
Dipti Goyal Bhadra, Associate Director,
Talent Management, Dasra
|
However, while the
direction is absolutely right, it becomes critical to safeguard from
‘form overtaking substance’ and ‘head engulfing heart’.
Striking the right balance requires that we stay vigilant, and
simultaneously build our capacities (both individual and collective)
to impart critical insights gained, from having been in the sector,
to new entrants (donors and others).
Two examples of
potential pitfalls could be: (a) too narrow a definition of a donor’s
focus areas, without realizing the inter-relatedness of social issues
eg: sanitation and education; (b) prioritizing ‘scale’ and ‘ROI’
without cultivating an ‘impact-first’ mentality.
A good example of a
positive innovation could be the ‘Dasra Giving Circle’ (DGC),
which enables longer term, unrestricted (vs programmatic) funding for
NGOs, while providing a unique, collaborative giving experience to
donors.
In conclusion,
here’s a memorable quote from Robin Sharma, on the topic of
evolution / change! – ‘Change is hard at first, messy in the
middle and gorgeous at the end.’
Dasra, meaning ‘enlightened giving’
in Sanskrit, is a pioneering strategic philanthropic organization
that aims to transform India where a billion thrive with dignity and
equity.
in Sanskrit, is a pioneering strategic philanthropic organization
that aims to transform India where a billion thrive with dignity and
equity.
_______________________________________
Our
goal is to save lives. This is achieved by setting no prior limit
upto which funds are disbursed per patient (a usual practice of many
NGO’s).Every disbursement is followed up with rigorous post care
support to ensure a changed human being. Character Education is
another stated goal of Karo, yet to be realised.
goal is to save lives. This is achieved by setting no prior limit
upto which funds are disbursed per patient (a usual practice of many
NGO’s).Every disbursement is followed up with rigorous post care
support to ensure a changed human being. Character Education is
another stated goal of Karo, yet to be realised.
In
my opinion, the motivation of entering the field of philanthropy must
stem from a genuine intrinsic desire to change the quality of
existence of human beings. The most important measure of success
of an effort is the existential change brought about in a human
being. This demands clear goals, an organizational capacity to fulfil
those goals- with an emphasised focus on delivering ‘quality’-
change in the condition of a human being. For a long term impact, it
must be sustainable.
my opinion, the motivation of entering the field of philanthropy must
stem from a genuine intrinsic desire to change the quality of
existence of human beings. The most important measure of success
of an effort is the existential change brought about in a human
being. This demands clear goals, an organizational capacity to fulfil
those goals- with an emphasised focus on delivering ‘quality’-
change in the condition of a human being. For a long term impact, it
must be sustainable.
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|
Kabir
Malhotra,
Trustee, KARO Trust
|
Certain
new laws & policies have become obstacles to realize the above:-
The New CSR Act stipulates that not more than 5% of a company’s CSR
budget can be spent on administrative expenses- This negatively
impacts the sustainability of CSR programs(as it negatively impacts
organisational capacity).
new laws & policies have become obstacles to realize the above:-
The New CSR Act stipulates that not more than 5% of a company’s CSR
budget can be spent on administrative expenses- This negatively
impacts the sustainability of CSR programs(as it negatively impacts
organisational capacity).
Though
in all practical terms – CSR is not mandatory, there is an implied
obligation for companies to participate in
CSR. Philanthropic activities must be backed by true
sentiments, and not imposed by an outside authority. These companies
are forced to form partnerships with other NGOs, even though their
goals/values do not fully match with the NGO’s.
in all practical terms – CSR is not mandatory, there is an implied
obligation for companies to participate in
CSR. Philanthropic activities must be backed by true
sentiments, and not imposed by an outside authority. These companies
are forced to form partnerships with other NGOs, even though their
goals/values do not fully match with the NGO’s.
Having
formed these partnerships, the focus is then on quantity (which
usually compromises quality), in the pursuit of gaining maximum
goodwill (as quantity is an oft but wrongly used metric for
success). The focus has to shift from quantity to changed human
experiences. Too
many controls, audits, and new laws can dampen the true spirit of
philanthropy and deter many potential philanthropists from
acting out their inner noble intentions.”
formed these partnerships, the focus is then on quantity (which
usually compromises quality), in the pursuit of gaining maximum
goodwill (as quantity is an oft but wrongly used metric for
success). The focus has to shift from quantity to changed human
experiences. Too
many controls, audits, and new laws can dampen the true spirit of
philanthropy and deter many potential philanthropists from
acting out their inner noble intentions.”
KARO
is a public charitable trust set up to provide holistic healthcare
support (beyond financial aid) to people in need across Mumbai.
is a public charitable trust set up to provide holistic healthcare
support (beyond financial aid) to people in need across Mumbai.
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