Going Further Together

There’s an African proverb that says “If you want to go fast, go alone. If you want to go far, go together.” That’s true in life and true in philanthropy.

Grantmakers are dedicated to working with nonprofits and community organizations to address the toughest challenges. There’s no doubt that the past several years have required grantees to be creative and nimble to stay afloat, and effectively serve the growing need in their communities. Grantmaker behavior has a tremendous impact on an organization’s ability to respond, adapt, and thrive.

Research by Grantmakers for Effective Organizations (GEO) and other experts reveals that the practices most associated with long-term nonprofit success are:

• securing funding that allows nonprofits to remain flexible and nimble (for example, general operating, multiyear, and capacity-building support)
• using evaluation as a tool for learning and improvement, and sharing lessons with the field
• engaging stakeholders in key decisions, soliciting feedback, and assessing needs
• collaborating with other funders, government, and nonprofits to solve complex social problems

GEO recently conducted a field study of more than 750 foundation leaders to understand how they are embracing these behaviors. Findings indicate a link between funders who are committed to understanding stakeholder needs and those who embrace the grantmaking behaviors that strengthen grantees and lead to improved results. Is this surprising to you? Or is it an expected connection?

In many respects, the field study supports the notion that those closest to the problem have important insights needed to shape effective solutions, and when engaged, grantees will reveal what they need to be successful. We found that funders who always used grants to foster learning between the foundation and its grantees were three times more likely to increase multiyear grantmaking than those who never did. Those who always sought external input on foundation strategy from recipient communities were nearly three times more likely to increase general operating support than those who never did. Funders that always sought advice from grantee advisory committees or sought external input from recipient communities were about twice as likely to increase capacity-building support. We couldn’t help but notice the link between having an ear to the ground and learning together with grantees, and the kinds of investments funders chose to increase.

At “A Global Engagement: Widening Your Grantmaking Lens,” on April 28, globally engaged grantmakers will come together to learn, share, and explore opportunities to have greater impact in their work. Stakeholder engagement will be on the agenda. GEO and International Funders for Indigenous Peoples will highlight examples of those funders who are at the forefront when it comes to stakeholder engagement and provide an opportunity for others to identify ways to strengthen their efforts.

Grantmakers are uniquely positioned to catalyze creative problem-solving in the communities they serve. Are you ready to engage in ways that ensure that you realize this potential?

Read the results of GEO’s national field survey of grantmaker practice, “Is Grantmaking Getting Smarter?”

Heather Peeler is vice president of programs at Grantmakers for Effective Organizations