We live in an era of unprecedented change and transformation. Technological, demographic, environmental and social uncertainty is causing leaders around the world to worry about the future of society, the economy and our planet as a whole. In an attempt to address the manifold challenges, a range of stakeholders groups including policymakers, NGOs, businesses, foundations and entrepreneurs are seeking to contribute in a meaningful way.
In this mix of stakeholders, enterprising families have long played a central role in tackling societal and environmental challenges. While charitable giving has been around for a long time, philanthropy (“love of humanity” in the form we know it today is a comparatively new phenomenon. Two of the founding fathers of modern philanthropy, John D. Rockefeller and Andrew Carnegie, had large ambitions to improve the US public health and education systems. But also others, like Julius Rosenwald, Olivia Sage or Robert Brookings left their marks on society… and the list could go on.
Philanthropy plays an essential role in enterprising families. When it comes to the family, it allows family members who don’t enter the family business to make a contribution to the family enterprise system, educates family members about family legacy, wealth & professional skills, and helps families transfer social capital between generations. On a business and societal level, it demonstrates a commitment to long-term goals, develops social & reputational capital and enhances commitment of family- and nonfamily employees towards the firm.
However, the space of philanthropy, that has traditionally been reserved for established wealthy individuals and families is being disrupted. The world of philanthropy is re-organizing itself and this 3rd philanthropic revolution is fully underway, driven by forward-thinking entrepreneurs and facilitated by technology.
Here are some of the most eminent trends in modern philanthropy…. Click here to read the whole article.