1. T H E
martin L E T T E R
Published by MGI / Services and Counsel in fund-raising and communications
Creating a Culture of Philanthropy
By John A. Martin, CFRE
hy do some institutions consis- organization. Every individual. Every depart- direct mail solicitation will not be as effec-
W tently meet their fundraising
targets, year in and year out,
ment. All volunteers. For a not-for-profit
organization to be truly successful and effec-
tive as it can be.
This is the culture of philanthropy. An atti-
including capital campaigns, while others tive, the organization must develop a culture
tude. An understanding. A behavior. After the
soar and dive? What is it that drives consis- of philanthropy.
culture of philanthropy is firmly established,
tent, quality performance?
This means that everyone in the organization fund development is more effective.
When MGI Fund Raising Consulting began ... from the janitor to the president of the
board ... understands that philanthropy and
Tools for success
exploring these questions several years ago,
we quickly realized that neither institutional fund development are critical to organiza- Organizations that have successfully estab-
size nor fundraising goals were relevant tional health AND that each individual (both lished a culture of philanthropy share these
markers in identifying “sustained perform- the janitor and board president) has a role characteristics:
ance” institutions. Neither was organization in the process.
type; successful educational institutions and 1. The governing Board accepts
But too often, this does not happen. Fund responsibility for and leadership of
health care organization displayed a consis-
development is isolated in one corner of the the annual and capital giving pro-
tent set of characteristics. And while maturi-
organization. Or assigned to staff and/or a grams. Many organizations hire develop-
ty of the fundraising programs played a part
committee of the board. ment staff or assign development to their
in these success stories, not all mature
fundraising programs maintained the same executive director. All organizations
First and foremost, everyone should be an
level of success. should establish a board-level develop-
ambassador for the organization’s service,
ment committee. But regardless of staff
and for philanthropy and fund development.
Our analysis led us to conclude that top-per- or committee, the board is ultimately
Being an ambassador means doing one’s
forming institutions share a “culture of phi- responsible for the financial health of the
own job well, understanding how all the var-
lanthropy.” institution. That means that the board is
ious jobs in the organization create one inte-
ultimately responsible for fund develop-
Every employee plays a part grated system, and – most especially – treat-
ment. Governing boards at philanthropi-
ing all of the organization’s customers
Some people define philanthropy as volun- cally savvy institutions understand the
(clients, donors, volunteers, community
tary action for the common good. Many talk importance of investing in their founda-
people, etc.) with care and respect.
about fund development as the engine that tion or development office staffs to realize
drives philanthropy. Without charitable giv- If board members don’t talk enough about the potential within their constituencies.
ing, most not-for-profits cannot survive. the organization with their friends and col- Such boards are populated with individu-
leagues, it doesn’t matter how hard the als equally adept at making solid business
Philanthropy and fund development -- inex- executive director tries to raise funds. If the decisions and helping raise annual and
tricably entwined -- belong to the entire receptionist isn’t sufficiently helpful, the best capital funds in partnership with CEOs

2. MGI / Services and Counsel in fund-raising and communications
and fundraising staff. They take personal private philanthropy and excellent service
responsibility for the success of annual About the author…
to customers and community. Successful
and capital programs. institutions carefully craft personal com- John Martin, has more than 30 years
experience in the not-for profit field, on
munications to their most consistent and both the organizational and consulting
2. The CEO understands his/her role in generous donors, which are often deliv- sides. Through his consulting work with
the fundraising effort and uses every clients seeking counsel for major capital
ered in person. and endowment campaigns, Mr. Martin
opportunity to communicate the has earned a reputation as one of North
importance of philanthropy to inter- 4. The foundation or development staff America's top strategists for the not-for-
profit sector. His brash mix of social con-
nal and external constituencies. Top is proactive in explaining the insti- cern and aggressive business smarts has
fundraising institutions are headed by tution’s funding priorities to helped raised hundreds of millions of dol-
lars for colleges, hospitals, human service
individuals who blend management acu- prospective donors and stewarding organizations and arts and cultural groups
men, vision, and interpersonal skills into relationships with existing donors. throughout North America. He can be
reached via email: martinmgi@cs.com
the ability to communicate to internal and Publications and events may inform and
MGI is a full service fund-raising and com-
external constituencies the value of phi- educate constituents, but gifts that make a munications consulting firm operating
lanthropy to their organizations. During difference are obtained by building and across North America. We consult through-
out the United States and Canada for a wide
capital campaigns, these CEOs may spend maintaining personal relationships with range of not-for-profit clients:
a significant amount of their time on prospective donors. Development or • Hospitals and Health Care Organizations
• Social Service Organizations
advancing the campaign — overseeing foundation officers cannot increase annu- • Private Schools, Colleges, Universities and
the strategic planning/needs assessment al giving totals nor achieve campaign suc- Post-Graduate Schools
• Cultural and Arts Organizations
processes, recruiting campaign leader- cess while working behind their desks. • Churches, Synagogues and Religious
ship, rallying staff around the institution’s The institution that develops the closest Organizations
needs, addressing civic groups, attending relationships with prospective donors, The experience and resources of the firm
have been used by a variety of clients from
campaign leadership meetings, and culti- and stewards well the gifts of existing well-established national not-for-profit
vating and requesting gifts from the top donors, will receive the majority of those organizations looking to prepare themselves
for the 21st century to first time start-up
25–30 prospective donors. Their institu- donors’ philanthropy. The desk and the capital campaigns.
tions benefit from their investments in office may hold the keys to donor strate- For more information about planned giving
private philanthropy that can produce gies, but the strategy must be implement- and planned giving consultancy, please con-
tact John at: martinmgi@cs.com or call our
fairly predictable results and a handsome ed frequently and in person. Toll Free Number: 1-800-387-9840.
return on investment.
5. Employees recognize the integral
3. The institution is open and frank in nature of philanthropy in generating T H E
describing its dependence on pri-
vate philanthropy in its Board meet-
ings, publications, constituent
revenue for the institution and,
thus, are willing to support the
activities of the foundation or devel-
martin L E T T E R
events, and personal visits with con- opment staff.
Publisher: John A. Martin, CFRE
stituents. There is a regular spot on Editor: Pamela Capriotti, CFRE
Board meeting agendas for reporting and 6. Foundation and development staffs Contributing Editors:
Elizabeth Hamrick
discussing private philanthropy initiatives. are acknowledged as important con- John Schwietz
The Board openly celebrates positive tributors to the life of their institu- Published by:
MGI Fund Raising Consulting, Inc.
results or is visibly excited by news of a tions and are accorded appropriate 600 South Highway 169, Suite 180
Minneapolis, MN 55426
major funding commitment, and Board respect.
For information on our services, call toll-free
1.800.387.9840 (U.S. or Canada)
members openly volunteer to take on 7. The institution is genuinely proud of Visit our website: www.mgifundraising.com
fundraising assignments. Regular publica- its fundraising accomplishments and Reproduction without permission is prohibited.
tions inform, educate, and celebrate phi- expects to continue a pattern of
Brief extracts may be made with due acknowledgment.
Additional copies are available free of charge by
lanthropy. Publications and websites ever-increasing fundraising success. contacting The Editor at our South East office.
openly evidence the connection between