Giving Compass' Take:
- Frances Messano discusses how philanthropy can move from listening to effectively responding to the challenging circumstances nonprofits are navigating.
- What steps can foundations take to turn listening into action, providing nonprofits with support to continue operating and building capacity?
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Every day, I’m struck by the courage it takes to lead one of the organizations we fund in K-12 education. Funding is getting harder to come by, and the political landscape certainly isn’t making things any easier for mission-driven work.
As CEO of NewSchools Venture Fund, I sit on both sides of the philanthropic table: raising money from donors and investing it in education innovators. That gives me a unique vantage point on this moment. I understand what it takes to make the case for resources and what it takes to decide where those resources can have the greatest impact. And right now, I see a growing disconnect between what nonprofits are navigating and how philanthropy is responding.
Funders know they need to adapt — 93% say they’ve changed their approach in response to today’s environment. But only 12% of foundations think their own response has been very effective, and nonprofits say the support they receive often doesn’t match what they need. Philanthropy is changing, but not in ways that make life better for the organizations we fund.
I’ve come to understand that my role isn’t to tell our ventures what to do. These leaders know their organizations and communities far better than I ever could. My job is to listen closely, and then be a megaphone — for their voices, needs, and visions. As funders, we must create environments where nonprofit leaders can tell us what’s working and what isn’t without fearing their candor will cost them funding. Our grantees show us an extraordinary amount of bravery when they tell us the truth, especially when it’s uncomfortable. We owe them the courage to act on what we hear — with urgency, flexibility, and a willingness to change alongside them.
Listen for what leaders need, not what we’re accustomed to providing.
It’s easy to fall into patterns as a funder. We know how to make a grant, fund a strategic plan, or connect a leader to an expert. So, when a new challenge or opportunity arises, our instinct is to reach for a familiar tool.
“Capacity-building” is a good example. Foundations often assume that every nonprofit needs greater capacity, but nearly half of nonprofit CEOs, 46%, say they don’t have the bandwidth to absorb new capacity-building support. Funders may see a new cohort or planning process as support, but to nonprofits, it can be just another thing to fit in when they’re already underwater.
Read the full article about philanthropy moving from listening to response by Frances Messano at The Center for Effective Philanthropy.