Nonprofit Sector

Mohammad Anas Wahaj | 13 aug 2019

Social enterprises tackle societal and environmental issues utilizing business concepts for the larger interest of the society and reinvest profits back to sustain themselves. They support in building inclusive economy. According to the most recent statistics, there are around 5600 social enterprises in Scotland with an economic contribution of around £2 billion, ranging from community co-operatives to housing associations, enterprising charities and more. Duncan Thorp, policy and communications manager at Social Enterprise Scotland, explains how social enterprises are contributing to Scotland's economy and advocates collaborations between them and private sector for greater economic and social benefits. He explains why engaging social enterprises with private sector is win-win - 'Firstly, social failure is bad for business. Unemployment, homelessness, drug addiction and other issues negatively impact on businesses. People without work and opportunity don't have money to spend on goods and services. Social enterprises work at the frontline to solve these social problems. Private sector businesses should also engage with social enterprises because they bring real benefit in terms of opening up new markets and new business opportunities. Joint bids for public contracts and similar partnership working are options too. Businesses can contract social enterprises into their supply chains. This could be a catering contract, graphic design, meeting space hire or something else. It's also about private sector employees volunteering in social enterprises, in a skills exchange, for learning and personal development.' He advocates three key areas of partnership work - consumer demand, supply chains and contracting and procurement. He suggests that building mutually beneficial relationships between social enterprises and private sector businesses paves the way for knowledge exchange, positively influencing business culture and build an economy that benefits all. Read on...

The Scotsman: Social enterprise is good for business - Duncan Thorp
Author: Duncan Thorp

Mohammad Anas Wahaj | 17 jul 2019

Experts' views are divided on how non-profit hospitals benefit communities. In US, non-profit hospitals received tax-benefits valued at over US$ 24 billion annually in 2011. In exchange for tax exemptions these hospitals provide 'community benefits' like free and subsidized care, investments in public health, community-based health initiatives intended to address the social determinants of health, such as food or housing insecurity. But, many observers argue that hospitals avoid making sustained community investments in favor of counting millions of dollars of 'discounts' to low-income patients as community benefits while aggressively pursuing unpaid bills. Krisda Chaiyachati and Rachel Werner, Senior Fellows at LDI University of Pennsylvania, have recently written two research to add information to this debate. They provide detailed estimates of how much hospitals spend on different types of community benefits, whether community benefits are matched to local need, and what effects community benefits have on health outcomes. Mr. Chaiyachati and Ms. Werner analyzed IRS tax data from over 1600 non-profit hospitals. By law, hospitals report total spending on community benefits, broken out by health care-related spending (e.g. free care), community-directed spending (e.g. anti-smoking initiatives or funds for local community organizations), and research and educational activities. To standardize comparisons, the authors measured all spending as shares of total hospital expenditures. Researchers find out that hospitals still rely on discounted charity care to meet community benefits requirements. In 2014, non-profit hospitals reported that they spent an average of 8.1% (US$ 17 million) of their total expenditures on community benefits, more than 80% of which was health care-related. On average, 6.7% (US$ 11 million) of expenditures were on health care services, compared to 0.7% (US$ 1.2 million) for community-directed contributions. The remainder of community benefits were on educational and research initiatives. The results are disappointing in light of a second study from Ms. Werner and Mr. Chaiyachati, which suggests that community-directed spending could improve health outcomes, specifically, 30-day readmission rates. Readmissions rates are a useful measure of health care quality-capturing in-hospital care, discharge planning, and follow-up. Since the Affordable Care Act, hospitals have been financially penalized for high readmission rates. The evidence from research suggests that increased investment in the social determinants of health, rather than simply writing off free care, has a significant impact on measurable health outcomes. Read on...

Penn LDI Blog: How Do Non-profit Hospitals Give Back?
Author: Aaron Glickman

Mohammad Anas Wahaj | 27 jun 2019

Technology is enabling charitable and philanthropic organizations to perform better in many ways - (1) Donations have just become a click away with expanded reach through online financial payment systems. Moreover, online transactions provide anonymity to donors who prefer it. (2) Crowdfunding has become a great tool to gather funds from all kind of donors, big or small, for the causes that one suppports. Crowdfunding websites are convenient to use and make it easy to reach out to prospective donors. (3) Technology has brought transparency and accountability. Donors are now more aware about how their contributions are utilized. Moreover, financial management tools provide charity organizations ways to efficiently and effectively track their funds. (4) Social media has proven to be effective to spread a charitable cause and seek support. Read on...

CIO Applications: Technology Revamping Philanthropy
Author: NA

Mohammad Anas Wahaj | 17 apr 2019

Gen Z is one of the most connected and socially aware generations to enter the workforce. But for the progress of businesses and society in the right direction, experienced leaders need to encourage young people to pursue social entrepreneurship. Seven members of Forbes Nonprofit Council provide following suggestions - (1) Rupert Scofield, FINCA International: Educate Youth About Market-Based Solutions. (2) Geetha Murali, Room to Read: Celebrate Social Impact Companies. (3) Tom Van Winkle, Hinsdale Humane Society: Befriend Socially Responsible Organizations. (4) Kimberly Lewis, Goodwill Industries of East Texas, Inc: Show Impact In Real Ways. (5) Gloria Horsley, Open to Hope: Describe The Value On Their Terms. (6) Steven Moore, M.J. Murdock Charitable Trust: Invest In Communities That Bring Entrepreneurs Together. (7) Kila Englebrook, Social Enterprise Alliance: Leverage Media And Entertainment. Read on...

Forbes: Seven Ways To Encourage Gen Z Professionals To Pursue Social Entrepreneurship
Author: NA

Mohammad Anas Wahaj | 23 mar 2019

Bureaucratic environment of large public agencies often becomes a deterrent for nonprofits to develop collaborative alliances. But according to the new research, 'Collaborative Value in Public and Nonprofit Strategic Alliances: Evidence from Transition Coaching (Authors: Jason Coupet of North Carolina State University; Sue Farruggia of University of Illinois at Chicago; Kate Albrecht & Teshanee Williams, Ph.D. students at North Carolina State University), finds that some nonprofits may be able to better serve their constituents by partnering with public institutions in order to navigate the bureaucracy and access services more efficiently. The researchers interviewed 17 nonprofit personnel and 16 university personnel about the degree to which they sought partnerships and why. Prof. Coupet says, 'These nonprofits were focused on helping high school students transition successfully to college...We found that a driving factor for these public-nonprofit partnerships was the nature of institutional bureaucracies - the very thing we thought would keep nonprofits away.' The researchers found that a public-nonprofit partnership gave nonprofits access to contacts that could help them more efficiently navigate bureaucratic channels in order to access services that were already available. Prof. Coupet adds, 'Making the process more efficient is good for the institutions, the nonprofits, and the students that they both serve - because fewer people can spend less time in order to get the desired result. Less time wasted means lower costs for everyone concerned...And while this study focused on the education sector, the finding is likely relevant for any sector in which public agencies provide services, from public health to housing to veterans affairs.' Read on...

NC State University News: Study Finds Nonprofit Partnerships Can Help Solve Bureaucratic Tangles
Authors: Jason Coupet, Matt Shipman

Mohammad Anas Wahaj | 25 feb 2019

According to the most recent 'State of the Nonprofit Cloud Report' by NTEN and Microsoft, cloud technology has become routine enough that many organizations have adopted new services during the past year or are considering adding new services. Three of four respondents indicated current use of cloud services for at least three purposes. The average number of services used is about six. Nonprofits are using cloud not just to store data, but in many other ways. Emily Dalton, VP of product management at Omatic Software, says, 'The thing that people are abuzz about is AI (artificial intelligence), machine learning and how can we take all the data being generated and harness that into intelligence. It's applying more of the science of fundraising...There are patterns and insights that could be found in the data, pointing to a segment that's ripe for a major giving ask. Having your database and CRM system in the cloud, allows fundraisers to do some pretty incredible stuff. They have access to all their donor data in real time when going to a meeting or on a road trip. Instead of setting up a meeting with a donor, running a report and printing out a donor profile to bring along, fundraiser instead walks into a meeting with the most relevant data possible. They access it quicker and it's not duplicated because the cloud is faster.' Nathan Chappell, CFRE, SVP philanthropy at City of Hope, says, 'We send fundraisers to lunch with people we know have wealth...The data can help determine how best to deploy the workforce in the best way possible...We're very diligent about testing models...The starting point for any nonprofit, even a small one, is ensuring they're capturing all the data possible. The model will be only as good as the quality and consistency of data.' Rodney M. Grabowski, CFRE, VP for university advancement at the University of Buffalo, says, 'In reality, I've been using forms of AI throughout my entire career. Twenty years ago we were calling it data analytics, then machine learning, now it's AI.' Steve MacLaughlin, VP of data and analytics at Blackbaud, says, 'The technology is largely invisible. If your organization is taking online donations, then you're using the cloud. There's no way to take donations without using some cloud. For fundraising and donor management, a larger percentage of nonprofits are using the cloud than not...We're well past the tipping point. Now, it's going to be about what happens next, how does the cloud enable more effectiveness.' Eric Okimoto, COO at boodleAI, says, 'AI and cloud computing are buzz words. But at the end of the day, cloud computing is just the ability to rent capabilities rather than spend heavily on capital, people and security.' Amy Sample Ward, CEO of NTEN, says, 'Fundraisers can benefit from the same elements of efficiency and access as program or communications staff...Let the robots do the work to tell you that someone just made a donation...instead of running a report to check. Nonprofits still must use the cloud in whatever way makes strategic sense for them...What's likely to become more of an issue this year and beyond is data access, security and privacy. It's going to happen anyhow but things like GDPR (General Data Protection Regulation) and data breaches accelerate it...What nonprofits value about cloud tools is that staff can access data and systems to do their jobs from wherever, but security is important when they evaluate such tools. When we talk to nonprofits about security, it's usually an amorphous, shadowy fear. It's not a specific security concern...Often, it's probably safer to work with a cloud vendor or partner on security than for a nonprofit to try to maintain that security on its own.' Read on...

The NonProfit Times: Cloud Is Raining Data, Flooding Fundraising With Information
Author: Mark Hrywna

Mohammad Anas Wahaj | 15 jan 2019

According to the recent report published by the British Council and the United Nations Economic and Social Commission for Asia and the Pacific (UNESCAP), 'Developing an Inclusive and Creative Economy: The state of social enterprise in Indonesia', millenials are leading a surge in the creation of business that are working to create positive social and environmental impact. More than 70% of a surveyed sample group mentions that the social enterprises started in the last two years and about 50% of the social entrepreneurs are aged between 25 and 34 years. The reports estimates that there are more than 342000 social enterprises in the region. In Indonesia more than 1/5th of social enterprises work in the creative industries, contrary to other countries in Aisa-Pacific region, such as the Philippines, Sri Lanka and India, where agriculture, education and health dominate. Ari Susanti, a senior program manager for the British Council in Indonesia, says, 'Many young people want to work in an area where they can make change, not just earn a salary.' According to the World Bank, Indonesia is an emerging middle-income country that, over the last 20 years, has seen growth in GDP at the same time as poverty has been cut in half. These conditions are enabling the growth of social enterprises. Armida Salsiah Alisjahbana, executive secretary of UNESCAP, says, 'UN body would support the development of social enterprise as a key means of building an inclusive and creative economy. Social enterprise is an opportunity for Indonesia...This report provides a solid evidence base to inform future policies and strategies.' These social enterprises mainly support and benefit local communities, women and young people. Moreover, they have also become a substantial source of employment - the number of full-time workers employed by social enterprises increased by 42% from 2016 to 2017. The rise in social enterprises is also proving good for gender equality - the social enterprise workforce is estimated to be made up of 69% women and is responsible for a 99% increase of full-time female employees in 2016-17. Government, corporations and universities have all come together to offer their support to social enterprises. Bambang P. S. Brodjonegoro, economist and the Minister of National Development Planning of Indonesia, wrote in the introduction of the report, 'The government aims to be an active partner of social entrepreneurs and is committed to continue building and nurturing the social entrepreneurship ecosystem.' Read on...

Pioneers Post: Millennials lead social enterprise surge in Indonesia
Author: Lee Mannion

Mohammad Anas Wahaj | 30 dec 2018

Prof. Dean Karlan of Northwestern University does evidence-based research to evaluate what works and what doesn't when it comes to helping lift people out of poverty. He is the founder of the nonprofit Innovations for Poverty Action and advises donors and institutions on the best use of their charitable dollars. Prof. Karlan says, '...in 2002 I started a nonprofit out of my living room, dedicated to creating high-quality randomized evaluations of global anti-poverty programs. Today, Innovations for Poverty Action has a US$ 42 million budget, most of which goes directly into research. We're now in 22 countries, but we've worked in 52 countries. We have some 500 permanent staff and have done almost 800 randomized evaluations of anti-poverty programs and initiatives. We apply rigorous economic theories and research to evaluating which global anti-poverty initiatives are working.' He suggests following tips to evaluate whether your charitable dollars are being used effectively: (1) Don't evaluate a charity based on its overhead. (2) Don't be swayed by marketing materials with moving heart-wrenching photographs. (3) Look for evidence of impact. (4) If you are wondering where your money will have the most impact, it's likely in poorer, developing countries. (5) Don't be afraid to give to large organizations. (6) Email the charity for evidence of cost effectiveness. (7) Consider giving to meta-charities. Read on...

WTTW News: It's the Season of Giving. How to Choose Charities Wisely
Author: Andrea Guthmann

Mohammad Anas Wahaj | 23 oct 2018

Recent passing away of Microsoft's co-founder Paul Allen (b.21 jan 1953 - d.15 oct 2018) brings to the forefront his contributions, not only to technology and entrepreneurship, but also to education, arts, culture etc as part of his philanthropy. After leaving Microsoft's management in 1983, his philanthropic activities focused on the city of Seattle (US), his hometown. He endowed a separate school for computer science and engineering at the University of Washington. His investments in Seattle's South Lake Union locality has recast the city as an increasingly popular destination for young technologists. Some of his cherished contributions to the city's scene and skyline include artistic and athletic monuments to which he devoted a substantial portion of his wealth. He commissioned Frank Gehry to design a pop-culture museum. He also developed a children's center at the Seattle Public Library, funded an off-campus studio for the beloved public-radio station KEXP, and established a military-history museum outside the city. He was an ardent advocate of environmental protection, computational bioscience, and space exploration, donating millions of dollars to regional nonprofits. He invested in sports and acquired Seattle Seahawks at the time the team was planning to leave the city. In his memoir, 'Idea Man' (2011), responding to criticism that his philanthropy lacked focus, he wrote, 'At times, I cast my net too widely. But my choice of ventures wasn't arbitrary.' In 2000, the chairman of the architecture department at the University of Washington likened him to a modern Medici (an influential banking and political family of Florence, Italy). His contributions to entrepreneurship and technology are public knowledge. He recounted in his memoir regarding the initial mission of his venture with Bill Gates was, 'A computer on every desk and in every home.' Mr. Gates recently wrote, 'Paul foresaw that computers would change the world.' He influenced the technological innovations like point-and-click computing, word processing, and multi-button mouse. Mr. Allen attributed his entrepreneurial ambition and imagination to a wide-ranging autodidacticism and a natural passion for art and literature. Even though a technologist and part of a cut-throat and highly competitive industry, he understood that the products he designed were complements to preexisting lives, all of them rich and varied. He wrote in his memoir, 'That's a core element of my management philosophy. Find the best people and give them room to operate, as long as they can accept my periodic high-intensity kibitzing.' Read on...

The New Yorker: The Rare Humanism Behind Paul Allen's Technological Vision
Author: Eren Orbey

Mohammad Anas Wahaj | 30 sep 2018

People with business education and experience are now getting inclined towards social enterpreneurship and enterprises. They are realizing that business skills and expertise can be utilized to provide solutions to society's challenges. Prof. Patrick Adriel H. Aure of De La Salle University (Philippines) explains the importance of encouraging social entrepreneurship among business students and shares research and programs that he conducts at the university. The program, Lasallian Social Enterprise for Economic Development (LSEED), involves incubating student-led social enterprises that partner with marginalized local communities, while Social Enterprise Research Network (SERN) undertakes research and advocacy activities. Regarding one of the research conducted in relation to business students and social enterprises, Prof. Aure says, 'Our statistical analysis suggested there are two factors that consistently influence business students' intention to engage in social entrepreneurial activities - (1) Their perceived support from friends, family, and other organizations. (2) Their prior experience in socially-oriented activities such as volunteering.' Research findings suggest - Design social enterprise advocacy campaigns to target group participation and not encourage students individually; Schools may want to consider creating a pipeline of activities that enrich students' socially-oriented experiences. Read on...

The Manila Times: Encouraging social entrepreneurship among business students
Author: Patrick Adriel H. Aure

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