There is an intriguing article in the latest issue (Fall 2009) of the Stanford Social Innovation Review with the title “Catalytic Philanthropy.”
"Catalytic philanthropy" is defined as an individual philanthropist igniting social change around a specific issue.
The author relates a fascinating story of how Tom Siebel, founder of the software company Siebel Systems, has had a significant impact in reducing the abuse of methamphetamines in Montana and in reducing the crime that typically stems from meth abuse.
Siebel personally dug into the root causes of meth abuse in Montana and developed a strategy, which he called The Meth Project. He brought together experts in the field as well as an advertising agency to develop a compelling ad campaign that would reach a significant majority of young people in Montana. The ads, which were tested in focus groups, are described by this author as being “world-class” and “gut-wrenching.”
As a result, between 2005 and 2007:
- Meth use in Montana dropped 45% among teens and 72% among adults.
- Meth-related crimes dropped 62%.
- The percentage of teenagers who were aware of meth’s dangers increased from 25% to 93%.
In the article the author, Mark R. Kramer, who is a cofounder and managing director of FSG Social Impact Advisors, and who was also a cofounder of the Center for Effective Philanthropy, identifies and describes “Four Practices of Catalytic Philanthropy:”
- Take Responsibility for Achieving Results.
- Mobilize a Campaign for Change.
- Use All Available Tools.
- Create Actionable Knowledge.
He also provides several other examples of catalytic philanthropy, including some work done by the F.B. Heron Foundation with the Minneapolis-based Community Reinvestment Fund.
Kramer notes that conventional philanthropy, “Serves an essential function in supporting major nonprofit institutions, enriching many lives, and providing assistance to countless individuals in need.” He also notes that venture philanthropy and social entrepreneurship have important roles to play.
He identifies catalytic philanthropy as an alternative to these approaches. Though catalytic philanthropy typically requires far greater engagement on the part of the donor, it is also more likely to have a major impact on a challenging social concern about which the donor cares deeply.
Join the Conversation: Can you think of other examples of catalytic philanthropy? Does catalytic philanthropy seem like a viable strategy for accomplishing your philanthropic goals? Does it seem too risky or time-consuming?
- Cindy Moeller, MCF director of professional development and member services
