Archive for the ‘Commentary’ Category

5 Myths of Business Community Involvement: MYTH 5

Saturday, August 20th, 2011

MYTH #5: It is self-serving for my company to tell the community about our business giving.

FACT: In actuality, sharing your story serves your customers, your employees, and the nonprofits you partner with, as well as your company.

“Getting the word out is not to just toot your own horn. It has the key goal [for us] of further engaging people: here’s what we are doing and what you can do to help keep it going. It’s all in that word ‘‘engaging’ as opposed to talking at people. You have to make what you do visible.”

—Tracy Ulmer, Director of Promotions and Community Relations, The Denver Post, Denver, Colorado

Research shows that customers want to support businesses that give back, and employees want to work for philanthropic companies. And of course nonprofit partners gain valuable exposure from your company’s PR.

Shameless self-promotion is of course undesirable, but getting the word out about your support of community organizations lets employees, customers, and citizens know that your company cares and is doing its part to improve the community. Many companies voluntarily develop annual CSR reports and post information on their website to be more transparent about their efforts.

Why shouldn’t your company be acknowledged for the good you do addressing and supporting the local issues or needs in your community? How will non-involvement or keeping quiet about your giving help you? It won’t. It is a huge missed opportunity to improve your image, strengthen customer loyalty, boost employee satisfaction, and even attract investment.

5 Myths of Business Community Involvement: MYTH 3

Thursday, August 18th, 2011

MYTH #3: Community involvement is a fluffy, feel good side activity that would consume my company’s valuable resources for little or no return.

FACT: When undertaken strategically and integrated into overall company strategy, community involvement can be an essential component of growing your business and boosting your bottom line. Studies show that companies that give strategically consistently outperform those that do not.

““We started worthy cause marketing as a way to sell our wine because we didn’t have money to do anything else. We couldn’t afford to put ads in the newspaper, magazines, radio, television. But [it worked] so we kept it that way as time went on and it’s still being done that way.”

——Michael Houlihan and Bonnie Harvey, Co-Founders, Barefoot Wine, Modesto, California

Community involvement activities offer an important opportunity for “doing well by doing good.” In fact, many businesses no longer use the word “philanthropy.” Instead, in recognition of the returns such activities provide, they use the term “community investment.” Community giving can have a significant impact on a company’s reputation and sales, employee satisfaction and productivity, in addition to making a valuable contribution and being part of the solution to local social issues.

5 Myths of Business Community Involvement: MYTH 1

Tuesday, August 16th, 2011

Persistent myths about community involvement can confuse and mislead even the best companies. Buying into these untruths means lost opportunity for both your company and your community.  Let’s dispel these myths once and for all so you can start developing your company’s strategy for good.  This is the first in a series of five posts.

MYTH #1: Business social responsibility is for large companies only.

FACT: Business social responsibility is for companies of all sizes. In fact, small businesses account for 99.7 percent of American employers, according to the U.S. Census Bureau. Our potential for community impact is huge.

“You don’t have to be a big company before you can do much in the community. Even as a small company, there are many ways you can support community organizations. The smaller businesses around here have made a lot of difference.”

—Chip Bair, Owner, Beau Jo’s Pizza, Idaho Springs, Colorado

Many believe that CSR is only for behemoths like Nike, Starbucks, Philip Morris, and ExxonMobil. It is true that global companies can significantly impact the communities or countries in which they operate—for better or worse—and thus need to be mindful of their business practices. However, the reality is that in the United States, small business is the backbone of the economy. (Small businesses, as defined by the U.S Small Business Administration, are companies with fewer than 500 employees.)

American small businesses employ more than half of all private-sector workers and generate 60 to 80 percent of new jobs annually. In 2009, there were 29.6 million small businesses in the nation, according to U.S Small Business Association. Of this number, 5.7 million firms had employees, and 16.5 million were owner operated, without employees.

In light of such numbers, it is clear that small business is a powerful force in the United States today. Ensuring that small businesses act according to the principles of business social responsibility in order to “profit with values” is as essential as influencing large companies with a global reach to operate in ways that are friendly to people and the planet. We are all in this together.

In 2008 over 627,200 new businesses started up, yet 595,600 closed the same year, nearly the equivalent number. Seven out of 10 new employer firms survive at least two years, and about half at five years. Only about one-third of the companies that folded reported that they were successful at closure. Factors influencing business success include ample capital, being large enough to hire employees, the owners’ educational level, and the owners’ reason for starting the business in the first place, such as freedom for family life or wanting to be one’s own boss.

Considering these failure rates, small businesses that employ CSR practices from day one give themselves an added advantage toward long-term profitability and sustainability.

Human Capital to Complement Cash Donations

Tuesday, October 12th, 2010

Service Jam has 12 hours left so there is still time for you to get involved in this international dialogue.  One of the Service Jam postings that caught my eye today was written by Nate Low, from IBM in Asia-Pacific.

He wrote the following:

“Human capital to complement cash and partnerships

I would say that both cash and partnership are vital to philanthropy, and they both work very well together when a balance is struck between the two. I’d just like to add on that human capital would be a key element in a collaboration – companies must also tap into their best talents and skills who are relevant to the societal problem or business issues that they’re trying to solve.

(more…)

Obesity AND Hunger?

Monday, September 20th, 2010

Friday as I was waiting for my flight back to Denver from Dulles, I was reading USA Today looking (as always) for cause marketing ads or articles that highlight ways businesses give back or are engaged in corporate social responsibility (CSR). What I saw that struck me was the juxtaposition of ads highlighting obesity and hunger just pages apart.

From my “earlier life,” I have two degrees in nutrition; my Master’s Degree being in international public health nutrition from Virginia Tech.  Also, having just facilitated 10 community dialogues throughout the county for the Corporation for National and Community Service (CNCS) as part of their next 5 year strategic plan development process, I heard a lot of nonprofit folks in local communities talking about obesity and access to healthy foods.

So, perhaps you know September is National Childhood Obesity month. I was struck looking through the USA Today by the fact that on one page was a huge ad for Anytime Fitness that said:

Coalition of Angry Kids“There is no childhood obesity epidemic.

We heard that September is National Childhood Obesity Awareness Month, and people are saying that 1 in 3 of us are overweight or obese. Well, Mom and Dad, can you help us out here? We need more than reminders and threats. We need good examples. If you want us to play an hour a day, then come out and play with us. Set an example by taking the COAK pledge.”

Clearly, an innovative and smart way to motivate parents/adults to sign up for their fitness services.  And childhood obesity IS a big issue these days.  The CDC states, “Obesity is the result of caloric imbalance (too few calories expended for the amount of calories consumed)…Childhood obesity has more than tripled in the past 30 years. The prevalence of obesity among children aged 6 to 11 years increased from 6.5% in 1980 to 19.6% in 2008. The prevalence of obesity among adolescents aged 12 to 19 years increased from 5.0% to 18.1%.”  These stats look more like 1 in 5 being obese but that is somewhat moot for my real point.  (For more information on childhood obesity, click here.)

Feeding AmericaHowever, a couple pages later, there was another huge ad for Feeding America. September is also “Hunger Action Month.” Throughout the month, the Feeding America network of more than 200 food banks is asking you to take action through the “30 Ways in 30 Days” campaign. Whether it’s by advocating and raising awareness, making a donation or giving your time, find the way that’s right for you to make a difference in your community.”

Feeding America is the nation’s leading domestic hunger-relief charity.  Their mission is to feed America’s hungry through a nationwide network of member food banks and engage our country in the fight to end hunger. Each year, the Feeding America network provides food to more than 37 million low-income people facing hunger in the United States, including 14 million children and nearly 3 million seniors.

So these two ads hit home with me – what does this say about us as a country?   One out of every four U.S. children struggles to find their next meal AND another one out of five U.S. children is obese from eating more calories than they expend.  Hard to make sense of it all!

What do you think?

Biggest Mistakes Nonprofits Working with Businesses – Video 1 of 5

Tuesday, March 16th, 2010

You Never Know…

Friday, January 15th, 2010

Peru June 2009 262I got a call out of the blue this week from “NK”, a now 24 year old man, who was my “Junior Partner” through Denver Partners, a local mentoring nonprofit, for 3 years starting when he was seven.  I had not heard from him in 12 years and was thrilled he made the effort to reconnect with me.  I can’t even begin to tell you the dysfunction of his life and family at that time but we spent 3-10 hours a week doing a whole range of things that I knew at the time we both benefitted from – just hanging out and cooking dinner together to taking him for his first meal in a restaurant where you tip the waitress, to fishing for carp in my apartment complex pond.  It was just after my divorce and we had a lot of fun together – filled a hole for both of us.  I have so many happy memories and tough moments interwoven from my time with him.

During our call, I was moved to tears hearing him talk with such joy and nostalgia about some of the little things we did together – many of which I had totally forgotten or really had felt had been no big deal to me at the time – and how it has influenced his path.  For one example, I used to let him play with my computer and he told me that had truly tweaked his interest and he started studying on his own and he now does graphic design and websites as a hobby business.

He shared about his life now and I was so proud of him. He was a bit afraid to tell me he was a truck driver and hadn’t gone to college and it was great to ask whether he was happy and let him know that is what matters most – not the piece of paper.

I was sad to hear his older sister ended up going down the exotic dancer, drug and alcohol route and they don’t even know where she is now or whether she is even alive.  NK was in a mental health juvenile facility for a while and I used to visit him there – so he could so easily have gone the route of his sister but he did not.  And I had some small part in helping him choose another path, I now know.

The whole conversation was such a wonderful reminder that whenever we share of ourselves, we ARE making a difference.  We never know when a small kindness that may seem miniscule to us in the moment can truly impact another person’s life in ways we may never get to know. I know I truly did make a difference with NK and I am grateful for his being in my life.  It inspires me to stay open and be as generous with my time and sharing of myself as I can be – it does not require dollars.  Sometimes the biggest gifts we can give have no dollar signs attached to them.

What can you do this year to give of yourself and make a deep, lasting difference in someone’s life?

Recession-Proof Resources Webinar for Nonprofits

Tuesday, October 6th, 2009

In November, I will be offering my comprehensive nonprofit training program, “Recession Proof Resources: How Smart Nonprofit Design Strategic Partnerships with Businesses.” The program is being offered via a 4-part webinar (computer and conference call) November 3, 10, 17, and 24 from 10-11 am MT to allow nonprofit participation from anywhere in the country.

Nonprofit organizations are increasingly worried about the sustainability of their organizations and community programs given the current economic situation in the U.S. and its effect on traditional sources of funding. I believe, “only thinking “donors and fundraising” is an “old school” mindset and shuts down possibilities for win/win ventures between nonprofits and businesses of all sizes. Because cash donations are shrinking, this is a great opportunity to think out of the box and deepen relationships between nonprofits and businesses, finding ways for each to bring their respective talents and resources to the table to join forces to address local needs.”

This program provides nonprofits tips and tools for creating partnerships with mutual benefits. Specifically attendees will learn what businesses are looking when partnering with nonprofits as well as recent trends in strategic philanthropy, CSR, and the market…and how to tap into them. Attendees will also learn how to clarify their organizational assets and needs, how to identify potential business partners and “make the ask,” as well as how to structure partnerships to insure success.

For more information and to sign up, CLICK HERE.

NOTE: A limited number of scholarships are available. Email me for details.

New CNCS CEO Nominated!

Saturday, October 3rd, 2009

cncsI was very excited a few minutes ago to read that the Obama Administration has finally announced its choice for CEO of the Corporation for National and Community Service (CNCS).  CNCS is the nation’s largest grantmaker supporting service and volunteering. Through their Senior Corps, AmeriCorps, and Learn and Serve America programs, they provide opportunities for Americans of all ages and backgrounds to express their patriotism while addressing critical community needs.  Since the Corporation’s inception:

  • More than 1 billion volunteer service hours have been generated by Senior Corps volunteers;
  • More than 400,000 individuals have served through AmeriCorps; and
  • More than 1 million high school students participate annually in service-learning initiatives funded by Learn and Serve America.

I have been an external consultant/trainer to CNCS and its programs for 14 years helping insure that participating organizations are excellent stewards of federal and local resources.  My areas of focus have included performance measurement and evaluation, board development, creating strategic partnerships with businesses, leadership, organization development, strategic planning, and using technology as a management tool.  Not only has CNCS (and the programs it funds) been one of my long-term clients (thus helping pay the bills), they have also been a source of inspiration for me as I am constantly impressed by the commitment and passion of the folks on the ground in local communities (and in DC) who truly believe in the power of service and volunteerism in addressing the social ills of our times.  Especially since I have worked so much with programs looking at their impact, I have had the opportunity to “see behind the curtain” and see the documented successes of how national service has made significant differences throughout the country.  I am a big fan of AmeriCorps, VISTA, Senior Corps, NCCC, and Learn and Serve.

corvington.blogLately, it has been of concern to me that, in a time of great new focus on service and volunteerism under the Obama Administration and with the passing of the Edward M. Kennedy Serve America Act, that a new CEO had not yet been announced.  I have felt like opportunities to ride the momentum were slipping away.  So it was with true pleasure I read first on Echoing Green’s website about the nomination of Patrick Corvington to be the next CEO of CNCS.

I have not yet had the pleasure of meeting or working with Patrick, I really like what I read about his background.  ”Patrick was tapped in 2005 to serve as a Senior Associate at the Annie E. Casey Foundation. Patrick has co- authored publications such as Ready to Lead: Next Generation Leaders Speak Out and Next Shift: Beyond the Nonprofit Leadership Crisis. He is a sought after thought leader and speaker on issues of nonprofit sector leadership and capacity and has presented keynote speeches, plenary discussions and workshops at Independent Sector, The Council on Foundations, The Corporation for National and Community Service conference, The Michigan Nonprofit Association, The Ohio Nonprofit Association, Grantmakers for Effective Organizations, The Alliance for Nonprofit Management and New Profit’s Gathering of Leaders.

Patrick has worked with grassroots faith-based and community-based organizations, system reformers in fields such as education, child welfare, and justice, and national networks like Independent Sector, The United Way, and The Alliance for Children and Families. Prior to joining the Foundation, Patrick was Executive Director of Innovation Network, a non-profit agency whose mission is to build the evaluation and results capacity of the non-profit sector. He serves on the Board of Directors of the Washington Regional Association of Grantmakers and The Nonprofit Workforce Coalition in addition to Echoing Green.”

Clearly Patrick is a guy with a lot of great experience and vision and will bring many new ideas and connections to the table.  I wish him the very best and stand ready to be of support to the agency and the programs it supports as we enter this next, very exciting chapter.  There are many new ideas brewing about how to better engage the business sector, so you will definitely be hearing more about this from me!

Go here for the Echoing Green article and for the CNCS press release.

Denver Business Journal’s 1st Annual “Partners in Philanthropy” Event

Thursday, May 14th, 2009

I just got home from attending the Denver Business Journal’s 1st annual Partners in Philanthropy event held in the Pinnacle Club at the Grand Hyatt in downtown Denver.  They had a great crowd in attendance which says a lot about the heightened awareness of business and nonprofit connections given our current economic times. 

The first breakout session I attended was “It Pays to Give” with Andy Boian - Dovetail Solutions (moderator), and panelists Rob Cohen - IMA Financial Group, Scott King – ReadyTalk, and Monique Lovato – Xcel Energy Foundation.  It was interesting to hear the differences in focus between the three based on publically versus privately held companies and the oversight involved with regard to their community involvement activities, as well as the differences that are more related to business size.

ReadyTalk was the smallest company represented.  Scott King mentioned they currently have 92 employees and $20 million in revenues - clearly WAY bigger than my company!!  They still view themselves as a young company and have included community involvement from start-up on – wanting to foster a culture of giving and community connection for the business.  ReadyTalk, based on the vision and values of the King brothers, Scott and Dave, is strongly committed to getting their employees directly involved in the community and in fact consider their philanthropic efforts an employee-based program.  Employees present proposals for nonprofit support to an internal committee of their peers that then selects which nonprofits the company will support with cash and services.  Scott mentioned they do not calculate an ROI as giving back is “just the right thing to do” though he has noticed  a strong connection between employee satisfaction and pride in their company and customer satisfaction.  I went to the ReadyTalk website a few minutes ago to learn more…but there is no section on their website that I could find that shares this information externally.  Anyway…they have captured my attention and I am considering changing my web training service to ReadyTalk as my small way of supporting their philanthropic and community involvement efforts.

IMA Financial Group was the medium size business in the group at 511 employees with $1 billion in sales.  Rob Cohen, Chairman and CEO, explained that to the consternation of some business advisors early on, he included a focus on giving back and community invovlement from day one of the company.  To this end, early employee contracts mandated giving back and he created a foundation “on Day One” as well feeling that it was important to build the discipline to give a percentage from the beginning instead of waiting until later when it could be harder due to the larger numbers involved.  IMA has just hired the first Executive Director for the Foundation to continue focusing its efforts to insure the greatest impact.  IMA also selects projects for employee involvement via a Community Action Committee comprised of employees.  Rob emphasized the need to get involved “for the right reasons” otherwise everyone will see through that; it is important to be passionate and really care about the cause(s) the business supports.  While business value is not a motivator in and of itself for IMA, Rob feels their authenticity in giving and being involved has resulted in business coming their way.  IMA did have a community page on their website which gives a paragraph of their philosophy but no details of who they support.

Xcel Energy Foundation respresented the largest and only publically held company on the panel.  Monique Lovato mentioned Xcel has 12,000 employees and 8,000 retirees in 8 states and their Foundation is the largest corporate giver in Colorado.  Xcel Energy focuses mosty of its philanthropy in four areas: education, the environment, economic self-sufficiency, and equal access to the Arts.  Monique explained that Xcel prefers building relationships “with tentacles” or multiple points of engagement as opposed to just writing a check. Xcel makes use of their extensive intranet system to inform employees of opportunities for volunteering.  Xcel matches employee time with dollars and if 6 or more employees volunteer in a group, the nonprofit gets an additional $500 from Xcel.  Xcel also does matching gifts up to $750/year and their employees participate in the United Way campaign, as well. Xcel has several pages on their website about their community involvement.

Great panel and great work!!  Well done all three companies!