Making the World a Better Place

Invest in high-performing nonprofits

Sep 29, 2009
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Submitted by: Paula Schwed

 Want to make the world a better place? Invest in organizations not programs! That was David Hunter's rallying cry today in remarks to some influential community leaders gathered in Charleston, S.C., to join the ongoing national conversation about how philanthropy can have more impact by increasing investments in high-performing, results-oriented organizations.

Hunter is a co-founder of the Alliance for Effective Social Investing who formerly worked at the Edna McConnell Clark Foundation, where he was involved in the investment of more than $100 million.

Declaring that many nonprofits offer "stunningly little evidence" that their work helps the people they serve, Hunter takes to task funders who engage in what he calls "sentimental giving" that may warm the heart of the donor but has scant impact. He also criticized those who mistake accountability for micro-managing, insisting that wise investors identify leaders whose organizations have the proven capacity to deliver results instead of picking and choosing desirable program initiatives.

"I don't think the world can afford crappy nonprofits and sentimental funders" anymore," Hunter said bluntly.

Asked whether it may be too costly for small nonprofits and community charities to track their outcomes, a key concern in an era of budget cuts, Hunter said: "That's not the question! The question is, should you exist at all if you don't track outcomes? You're not socially responsible otherwise."

 

 

 

 

Always worth it!

On October 8th, 2009 Bridget Laird says:

I absolutely love spending time talking with David Hunter. This past visit was no exception. He helps us stay on track and keep our focus on what matters-achieving our outcomes. Too often it is easy to become distracted as we are pulled in so many different directions. David reminds me why I come to work everyday--to help kids soar. It is my responsibility to make sure we are doing just that. And with David's help, perspective and guidance I feel confident we are doing everything we can through performance management to ensure we reach our outcomes.

Bridget Laird

More donor responsibility means stronger nonprofits

On October 5th, 2009 Adam Pomerantz says:
Dr. Hunter makes a strong point about investing in effective and high performing social organizations. At a time when giving is being cut and nonprofits are struggling to keep their doors open, it is important for the nonprofits that succeed at their missions to stay afloat. This takes extra effort by donors since they need to learn about the organizations they support, but the time is well worth it to ensure quality programs receive funds.