Giving back to society
Giving back to societyCHAPTER 14:INTROductionBrief history of
Corporate PhilanthropyHow Corporate Philanthropy become Strategic
and ProfessionalForms of Corporate PhilanthropyExamination of
Employee VolunteeringControversies of Corporate
PhilanthropyCorporate Programs and Criticism
In this chapter we will discuss how private sector used its
resources to give back to societyWhat is Philanthropy?means "love
of humanity" in the sense of caring, nourishing, developing and
enhancing "what it is to be human" on both the benefactors and
beneficiaries part.The most conventional modern definition is
"private initiatives, for public good, focusing on quality of
life". INTROductionIn this chapter we will discuss how private
sector used its resources to give back to societyOverview of
corporate Philanthropy -Coming of Industrial Revolution-Many
businessman were known for their charitable giving and become
important philanthropist-Charities and Church were the main
provider of welfare-person with no family and strong religious
belief donate large sum of money.
19th CenturyIt is believed that there is a relationship between
the interest of:
Which is highlighted by the statement of:Overview of corporate
PhilanthropyBusinessSocietyWhat is good for United States is good
for General Motors- Charles Wilson, President of General
Motors-Government took responsibility for the social welfare
function.-charities become pioneers in developing solutions to
problems such as poverty, homelessness and addiction.
Overview of corporate Philanthropy20th CenturyRecently
Government start the privatization of many welfare
services.Overview of corporate Philanthropy
Emerging because of 2nd World War corporation and restricted in
involving in social affairs.to cut workplace abusesto prioritize
corporation actors before societies actors.This situation changed
in 1953. Which encouraged the formation of many private foundation,
to which donation are channeled to wide variety of causesDonations
were often disconnected from business activities.Start of Strategic
PhilanthropyWhat is strategic Philanthropy?Strategic philanthropy
is a unique and powerful way to combine your company marketing
goals with your desire to increase the well-being of
mankind.Strategic philanthropy is a positioning that connects your
company with a not-for-profit organization or cause. In this way,
while you are being helpful and working for the common good in your
community, your business is receiving parallel benefits.Cause of
Strategic Philanthropy The pressure on government to cut public
sector spending has resulted in demands for companies to assume a
greater role in societyAt the same time, shareholders are expecting
higher returns in their investment even though competition has
increased.The oxymoron of Strategic
Philanthropy:STATEGICPHILATHROPYEgoistic pursuit of self
interestRefer to the behavior motivated by concern of others and
the society at large.
Does it matter that business in not truly philanthropic?2 types
of behavior in strategic philanthropy:1st is charitable giving that
is expected to serve dual role of advancing both societal and
business goal.
2nd is general mobilization of corporate resources in support of
charitable causes.Patterns of giving behaviorNewness in
Philanthropic ActivitiesLevel of Managers DiscretionExposure to
public scrutinyIndustryProfit-motivated expensesAvailability of
ResourcesPhilanthropy as businessThe rise of strategic philanthropy
has taken place in parallel to a more business like and
professional approach.
-more engaged form of philanthropy-based on the principle of
venture capital investment that offer organizations managerial and
technical support in addition to capital funding and loan.
Philanthropy may have developed into financial services offered
by large company and asset management company.Venture
PhilanthropyCash and in-kind donationCASHPRODUCTS AND OTHER
GOODSSETTING UP OF FOUNDATIONEmployee VolunteeringEmployee
Volunteering has become an increasingly popular way for business to
engage with their surrounding community.In general it is a way to
contribute in the community but it also benefit the
company:Building contact to local communityEnhancing
reputationProviding understanding of the external
environmentIncrease in employee moraleTeam buildingReputation in
the communityIncrease in networkFeeling of giving something
back
Employee VolunteeringReasons for volunteering includes both
altruistic and egoistic desire.FEW FACTS:Women tends to volunteer
than menPeople 50 and above are more likely to
volunteerVolunteering is an opportunity to share core valuesDirect
contact on the community motivate in volunteering.Larger firms
likelier to promote employee volunteering and also organization in
the field of finance and public administration rather than
construction.
