While some funders have been galvanized to action by recent changes in the political climate, there is still much work to do, both internally and externally, with respect to diversity, equity, and inclusion (DEI) in the nonprofit sector.

We should take more risks, move more quickly, and redefine our view of failure. Rapid-response grants are a good start, but we need to do more.

In response to the changing policy environment, the funders on a recent panel hosted by Catalyte.io created rapid-response funds in the past year to fund advocacy efforts and other activity, using streamlined application processes (e.g., the grant application consists of one to five questions with a low character limit; grant decisions are made on a weekly basis; grants are awarded on a rolling basis within 30 days of the application submission, etc.). There was some hesitancy around these rapid-response processes, stemming from the tendency of many foundations to conduct due diligence at a much slower pace. To address concerns, one foundation implemented "guard rails," which included establishing a set of criteria to accept/reject proposals and a small committee to quickly vet rapid-response applications. As a way to mitigate risk, this foundation also chose to fund networks of smaller grassroots organizations, rather than to fund these organizations directly. Another foundation has a set of pre-approved grantee organizations to which it can rapidly deploy funding, as the need arises.

Read the full article about how to foster diversity, equity, and inclusion among foundations by Nancy Chan at AAPIP.