Strategic philanthropy may sound like a contradiction in terms, but it's not. It's a way of declaring a company’s values and aligning its actions with those values. The philosophy of strategic philanthropy can guide you in deciding to whom you donate, as well as where. You may choose to donate to organizations that align with your corporate mission and geography. Doing this would reinvest your company's charitable funds in your local community(s).
I'll use Selective as an example again. Describing our perspective on local giving, Lanza says, "Selective was founded in Branchville. We are its biggest employer, and our ties to the local community run deep and strong. It’s important that we support the local government and infrastructure, like Branchville Hose Company No. 1. But it’s even more important that we continue to invest locally, which we have done with our new solar field and the renovation underway of our original headquarters Downtown."
INVOLVE EMPLOYEES IN THE GIVING
Regardless of your philanthropic criteria, it’s important to engage your employees in giving back to the community. Two ways to do this are by offering:
- Matching Grants, where you match donations made by your employees to the charities they support.
- Time-Off Policies, where you give employees a paid day off of work to encourage them to volunteer at a local charity of their choice.
To reward employees for their volunteerism and support the causes near and dear to employees, you can make a donation to the charity where the employee volunteered. This strategy is akin to a “dollars for doers” approach.
LET THE WHY LEAD THE WAY
In 2018, American companies donated more than $20 billion to countless charities. While they all had the intent to do good and be socially responsible, their why, or specific reason for donating, differed. What is your company’s why? Having this in mind will help you determine the strategies and vehicles that will maximize your company’s philanthropic impact.
No matter your approach to corporate giving, the bottom line is this: Just do it. Companies have the power to improve communities. Giving is good.
About the Author
Charles (Chuck) Musilli is Selective’s former Executive Vice President and Chief Human Resources Officer. He stepped down from the CHRO role in 2020 after 35 years at the company working in a variety of regional and corporate strategic and leadership positions. Chuck has broad experience and expertise in commercial lines underwriting, field operations and excess and surplus lines and continues to be utilized as he serves as a trusted advisor for the company as an Executive Project Manager. Embodying a life-long commitment to Selective’s Value to “Be the Best,” Mr. Musilli has played a significant role in the recruitment, development, and mentoring of many talented employees across the organization.