Buffett's Motivation

Warren Buffett: Legendary corporate and philanthropic investor

There has been an interesting discussion over at Sean Stannard-Stockton's blog, Tactical Philanthropy, on the topic of "Why Do People Really Give to Charity?" You can follow it here:
http://tacticalphilanthropy.com/2008/05/why-do-people-really-give-to-charity

The discussion is revolving around Warren Buffett's decision to pass on the bulk of his estate to the Bill & Melinda Gates Foundation while he is alive, a decision that reversed many of his previous plans.

One of the recent comments was from a guest named "young staffer, who pointed to this intriguing article in FORTUNE magazine... an interview of Buffet by one of his close friends, Carol J. Loomis (FORTUNE Magazine editor-at-large).

Among the gems:

• "The terms of Buffett's gift (require the Foundation) to annually spend the dollar amount of his contributions as well as those it is already making from its existing assets. At the moment, $1.5 billion would roughly double the foundation's yearly benefactions."
  
• Buffett on why he had not previously donated much: "Someone who was compounding money at a high rate, I thought, was the better party to be taking care of the philanthropy that was to be done 20 years out, while the people compounding at a lower rate should logically take care of the current philanthropy."
  
• Buffett has always been a good forecaster: "When we got married in 1952, I told Susie I was going to be rich."
  
• Buffett on why he is not giving all his money to his kids: "Dynastic mega-wealth would further tilt the playing field that we ought to be trying instead to level."
  
• And again: "A very rich person should leave his kids enough to do anything but not enough to do nothing."
  
• Buffett on why he gave to the Gates Foundation instead of one of his family's own: "I came to realize that there was a terrific foundation that was already scaled-up - that wouldn't have to go through the real grind of getting to a megasize like the Buffett Foundation would - and that could productively use my money now."
  
• Bugget on why now: "If I've found the right vehicle for my goal, there's no reason to wait."
  
• Buffet on his motivation besides immediate impact through his gifts: "I have some small hopes that what I'm doing might encourage other very rich people thinking about philanthropy to decide they didn't necessarily have to set up their own foundations but could look around for the best of those that were up and running and available to handle their money."

The full article is brief, well worth the read and available here:
http://money.cnn.com/magazines/fortune/fortune_archive/2006/07/10/8380864/index.htm

What can fundraisers do to address systemic poverty?

SingleStop USA was called "The Best Poverty-Fighting Bet" by Slate Magazine, which also said that they hosted "the Google IPO event of the nonprofit world" here.

Today, my CEO's blog -- Larry James' Urban Daily -- addresses an amazing fact that is rarely discussed in our community:

Over 90% of the children in the Dallas ISD live at or below poverty.

Reread that.

There are 160,000 public school students in Dallas. Fewer than 16,000 are not living in poverty.

What can we, as fundraisers, do to address this? By arguing for more funding for our little organization? By shunning collaboration in favor of competitive grant-seeking?

Or should we start to realize that our jobs should not exist?

Should we start to think globally about the fact that we are here to meet needs, but most of us just raise funds to feed those needs rather than kill them forever?

Here is a question for the day:

How much better would your clients be if you could almost guarantee the majority of them an additional $5,000 in income per year?

Think I am dreaming? Perhaps. But take a look at this organization, SingleStop USA:

The Google IPO event of the nonprofit world. - Slate Magazine

SingleStop developed a quick one-stop shop at 59 sites across New York. In 15 minutes, the organization's software tools calculate a family's eligibility for a host of benefits—public assistance ... SingleStop counselors then provide families with tailored legal and financial advice...

The average family in a SingleStop program recouped $1,800 in tax credits and $5,000 in benefits that they weren't previously receiving

For every $1 invested, the program gives clients $3 in benefits, $4 to $13 in legal counseling, $2 in financial counseling, and $11 in tax credits.

This looks like an amazing organization. My hope is that they begin thinking collaboratively about how to work with the rest of us to roll out their product across the country.

Until then, remember that we are NOT marketers: we are not in the business of selling people things. We are in the business of securing and effectively deploying resources to address the root causes of the most intractable problems facing our society.

We are here to close gaps in the system.

We cannot do this by begging for dollars.

We can only do this by fighting for change.

Foundations rallying to the cry of the poor?

Thanks to Philanthropy Journal for the good news in this article:

Foundations aid struggling families

As the economy continues to falter, nearly all U.S. foundations are working in some way to help the families hardest hit, a new study says.

Almost nine in 10 foundations support grantmaking that either directly or indirectly aids struggling families, says the Council on Foundations, based on a survey of its 320 member funders.

Almost one in three foundations has increased its funding in this area this year, and about four in 10 expect another increase next year.

And one in 20 funders added this area to its grantmaking mix this year.

About 15 percent say they are funding efforts directly related to the subprime-mortgage crisis, the study says, and 8 percent expect to increase that assistance next year.

With worries about the stock market looming, more than half of foundations overall, and two-thirds of corporate and independent foundations, say future market declines will not affect their grantmaking.

However, more than half of community foundations expect to give less next year, the report says, and 46 percent anticipate maintaining current giving levels.

See full story here:
http://www.philanthropyjournal.org/news/foundations-aid-struggling-families

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Queue up your donors with EDS connections

The Denton Record-Chronicle reports that Hewlett-Packard Co. could buy the Plano-based computer services firm Electronic Data Systems Corp. for as much as $13 billion as soon as Tuesday.

Time to cross-check your donor records to see who has stock in EDS, and prepare to meet with them to figure out what to do with their newfound wealth.... especially if one of them is on this list.

FYI, EDS has committed to be the title sponsor of a little charity golf tournament here in town all the way through 2014.

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The Passing of El Sombrero Grande: Gates Foundation Names new CEO

NPR reports on the naming of the New Head of the Bill and Melinda Gates Foundation, Jeff Raikes.

Good luck, Mr. Raikes. The world's eyes are on you.

No pressure, though: you're only out to tackle global poverty, disease and homelessness.

Quoth the Chairman:

"In the rich world, problems like baldness get funded with billions, whereas the things that really kill lots of people, like malaria and TB, used to get basically nothing. Those are what we're going after in health."

That's a big hat you gotta wear, Mr. Raikes. Hope you've got some strong shoulders.
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Seth's Blog: Marketing the charity auction

Seth's Blog: Marketing the charity auction cites how "The Robin Hood Foundation raised more than 24 million dollars at their last auction, because people competed to overpay."

The story the charity must tell is: "don't pay $19 for this twenty dollar bill, don't even pay $30, we need you to pay $40!" The satisfaction of overpaying (whether you overpay anonymously or in public) is what they sell, not a bargain.

More here:http://sethgodin.typepad.com/seths_blog/2008/05/marketing-the-c.html

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The tyranny of volunteers...

Don't volunteer. Donate. We need your money a lot more than your time.

Preach on, Colonel James:
http://larryjamesurbandaily.blogspot.com/2008/05/people-always-ask.html

Gift Hub: Food Bank Visits Up

Phil Cubeta' recently blogged an article from Larry James on Gift Hub: Food Bank Visits Up. Here's a complementary piece on Red Orbit:

Food Charities Show Increase for Demand

It's going to take more than charity to end hunger.


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DMN says "Keep your dollar, help the homeless"

The Dallas Morning News ran an op-ed that said "Keep your dollar, help the homeless." It's an interesting read.

I am torn.

If you take away all my money, my home, my family -- every support system I have -- I am sure that I would really appreciate all that you could give to the Stewpot or the Bridge.

I am pretty certain I could also really use a nice drink or two, preferably in your company.

What do you think?



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The Sins of Philanthrocapitalism?

Thanks to Sean Stannard-Stockton for continuing the conversation with me over at Tactical Philanthropy. His latest article, George Overholser Responds: Sustainable Nonprofits, includes an interesting discussion of the role of earned vs. non-earned income.

I would encourage you to get involved in the conversation, particularly at the point where it drops off... (Builders vs. Buyers).

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The Camel through the Needle's Eye, by Fr. Roch Kereszty

I have been blessed with many mentors in my life: John Roppolo (2005 Fundraiser of the Year in the local AFP chapter), Larry James (2005-6 United Way Agency Executive of the Year), Willard Spiegelman and even the blogosphere's own Phil Cubeta has shaped me in his own way.

But few have had the deep, lasting impact of my dear friend and lifelong teacher, Fr. Roch Kereszty, O. Cist.

A native of Hungary, Fr. Roch was educated at the Athenaeum Anselmianum in Rome as well as Eotvos Lorant University in Budapest. He serves nobly yet humbly in many posts, including Head of the Theology Department at Cistercian Prep School. He is also, in many ways, the father of my faith as a Catholic, something I resisted bitterly while under his direct tutelage by later embraced.

Like many great teachers, his greatest lessons were learned many years after he left the daily passage of my life.

Below is one of his more insightful articles, which I have pasted in its entirety for your review. I find it to be incredibly challenging for all of us, particularly those in the business of soliciting or providing charitable donations:

“It is easier for a camel to pass through a needle’s eye than for a rich man to enter the kingdom of God”

"This is one of those sayings of Jesus which has caused much anxiety for many people (Mt 19:24). The first to be disturbed were the apostles themselves. “Who then can be saved?” –they ask Jesus. He restores their peace: “This is impossible for men but for God all things are possible” Mt 19: 26). In other words, wealth can be an insurmountable obstacle if someone is so attached to it as the young man was to whom Jesus told to sell all he had, give the money to the poor and literally follow him. But Jesus did not give the same command to every rich person. He even accepts invitations to rich people’s homes.

"He does not demand from Simon the Pharisee to sell his property. Instead, he tells his audience in a Pharisee’s house that when they invite people, they should invite the poor, the crippled, the lame and the blind, those who cannot repay the host (Lk 14: 12‐14).

"We also learn from the Acts of the Apostles and from Paul’s letters that there were rich people among the first Christians (Acts 20:7‐12). Their homes served as meeting places for the local churches in every city where Paul established a Christian community (Rom 16:23, 1 Cor 16: 15,19, Phlm 1‐2). Paul does not despair about their salvation as long as they are sharing their wealth with the poor generously and serve the needs of the Church.

"A just social order does not mean that everyone would have an equal share of goods, ‐‐ an impossible ideal anyway—it is one in which everyone who works and those who cannot work such as children, the sick and the elderly, would have a fair share in the goods of the world. In our sinful world, however, we must strive for this goal, but we will never fully reach it. Yet we can turn this sorry state of affairs to our own advantage. Are we affluent, this indicates our vocation to use our wealth to help those who are in need and in this way learn to be generous and even humble when we realize that some of the poor would more deserve the good life than we ourselves do.

"Are we poor or indigent, we can learn gratitude toward those who are helping us. The Fathers of the Church and more recently Paul VI explained in his encyclical opulorum Progressio that what is truly superfluous to the rich man and his family does not belong to him but to those in need. This, of course, cannot mean that all superfluous wealth ought to be given away in form of charitable donations. That would ruin the economy of any society. But wealth should be used to provide job opportunities, promote better health services and better education for children who are caught in the vicious circle of poor neighborhood and poor schools, they could endow foundations which provide effective help, etc.

"There are people, however, who are extremely generous with material help but also extremely proud of their status, talents and virtues. They can belong to the poor in spirit to whom the kingdom of heaven belongs only if they discover their real situation: all that they have and all that they are is undeserved gift, a cause for gratitude rather than pride. Blessed are they if they realize this fact before death deprives them of all they cherish."
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Dallas mayor urges businesses to fight homelessness

Thank you to Phil Cubeta for not only joining me at Central Dallas Ministries' recent Urban Ministries Prayer Breakfast, but for citing the event on his blog, Gift Hub: "Of Metrics and Prayers for the Poor".

The Dallas Morning News also covered the event in their article, "Dallas mayor urges businesses to fight homelessness." This article is cited below.

To grow physically and spiritually, Dallas Mayor Tom Leppert said Thursday the city must embrace the needs of its most vulnerable residents – particularly the homeless – and not leave them behind while those stronger thrive.

“To progress together, we need to understand the needs of others,” Mr. Leppert said during a keynote address before about 1,000 people at the Urban Ministries Prayer Breakfast at Dallas’ Hilton Anatole hotel.

Economic constraints, such as limited housing options and high gasoline prices, remain barriers to the homeless engaging in mainstream society, Mr. Leppert said.

But Dallas is poised to significantly improve homeless residents’ lives through the opening this spring of a new downtown homeless assistance center, the mayor explained. Mr. Leppert also said he envisions the creation of a $20 million housing trust fund that could be included in the city’s next public works bond package. Top city staffers project placing such a package before voters within three or four years.

The public sector, however, can only provide so much funding, Mr. Leppert said.

“The private sector must step up,” Mr. Leppert said. “Government can’t do everything and shouldn’t do everything. It should set a foundation, it should set priorities.”

To that point, the mayor called on area businesses to support, through word and checkbook, efforts combating homelessness and its root causes. General investments in Dallas will also create a stronger economic climate benefiting the entire community.

“Investments are, at their heart, a belief that we can create opportunities,” said Mr. Leppert, a career businessman and self-made millionaire who often crafts his political messages in economic terms.

But this morning, he stood before the crowd as part preacher and part politician.

Quoting Mother Teresa, Mr. Leppert said that the good one does today may be forgotten tomorrow. Do good anyway, he implored.

“In the end, it is between you and God,” he said.

Supporters hail Mr. Leppert’s ideas for reducing homelessness as at once compassionate and realistic.

But some homeless advocates have derided as callous one particular program Mr. Leppert strongly advocates: the Lend a Hand campaign, which calls on Dallasites to resist giving panhandlers money.

Instead, the campaign recommends, drop pocket change in any of several dozen lock boxes provided throughout the downtown area. Backers call it a vehicle for better supporting organizations dedicated to helping the homeless.

Larry James, chief executive officer of the Central Dallas Ministries, rejects such criticism of Mr. Leppert. He says the mayor’s efforts will only help the plight of Dallas’ homeless residents.

“This mayor is the real deal,” Mr. James said. “Tom Leppert cares about every street, every corner and every person in this city … He’s refreshing in every respect.”

Thank you also to the sponsors of the event:

Providing Hope
The John and Dorothy Castle Advised Fund of The Dallas Foundation

Providing Housing
Baron and Blue Foundation
Clay Cooley Automotive Group
Jon and Linda Halbert Family Foundation
Morning Star Family Foundation
Mr. and Mrs. J. McDonald Williams

Providing Health
Anonymous
Champion Partners, LTD
Church of the Incarnation
Texas Instruments
Thompson & Knight Foundation

Providing Hunger Relief
Abilene Christian University
Anonymous
Argent Property Company
Bank of America
Baylor Health Care System
Beaird Commercial Realty
The Beck Group
Don J. Clevenger
Scott Collier/The Staubach Company
Cornerstone Christian Church
Wesley and Teresa Crawford
East Dallas Christian Church
Embrey Interests LTD
Holmes Murphy & Associates
Dan and Sue Hopkins
Willie and Gigi Hornberger
Sam and Patricia Ligon
Sarah Losinger
Schuyler and Lila Marshall
Leadership Network
North Texas Food Bank
Glenn and Gabriella Owen
The Rees-Jones Foundation
Riverside Church of Christ
Dave and Cathy Shipley
Blake and Erynn Shipley
Kay and Kevin Thomason
Jim and Rhonda Walton
Walton’s Garden Center

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Calling all Hunger Justice Leaders, ages 18-35!

Join me in applying to become one of Bread for the World's Hunger Justice Leaders. The award is an all-expense paid leadership training from June 14-17 in Washington, DC. The application is very brief, and mostly involves a 500-750 word personal statement. Mine is pasted below.

Every day, I go to work above the largest food pantry in North Texas. The path to my office is often packed shoulder-to-shoulder with hard working men whose wages are too low to cover both the rent and the grocery bill; young mothers whose only wish is to keep their babies healthy and well; seniors who go hungry rather than forego their life-sustaining medication.

These are not people whose bad choices landed them on the other side of the bread line. These are my neighbors. These are my brothers and sisters: fellow children of God who, like me, yearn for nothing more than a chance to use their talents to care for themselves and their families.

I grew up in the church. I went to religious schools my entire life, from kindergarten through college. I have studied the holy books of all the world’s religions, and seen my own brother stand before the altar to pledge his commitment to Christ as a priest of the Cistercian Order. God’s hand has guided much of my life.

Yet I have never seen His face more clearly than when I pass through the halls of my organization’s food pantry.

His voice speaks through the silence of those who come to us in need, whom we invite in not as “clients” but as partners in a shared effort to build community in this city that we love. The Holy Spirit’s presence is palpable when I wrap my arms around my neighbor whose bed is a box behind our building.

I am the Director of Development for Central Dallas Ministries. In some ways, my job is to raise funds for my organization’s efforts to end hunger in our community. In that role, I’ve had the privilege of seeing my organization’s revenues nearly double over the past three years.

Yet this is no achievement.

This is a testament to our failure as a community. Why should the area’s largest food pantry continue to grow each year for more than two decades? Why should neighbor after neighbor need to stand in line to receive food from our resource center? Why, above all, are there more churches in my community than homeless people – and yet so many of my friends continue to have no home? Night after night, they fight for sleep as a brief respite from the reminder that their situation could be solved if only each church in our town would take one of them into their care as did the Samaritan who did not even know of the glory that is our Jesus.

I will confess, I have occasionally left my office in tears because of our “success.” Every gift I secure for my organization helps us to feed more families, but these gifts alone will never solve the problems faced by my neighbors who rely on Central Dallas Ministries for support.

Our success can only be measured in our ability to put ourselves out of business.

We are yet many years away from that ambitious goal. With your help, I will use the 2008 Hunger Justice Leaders training to drive my organization closer to the day when no one qualifies for its services. I will take the knowledge gained from this event and apply it not only to my work as a fundraiser, but to my calling as a community organizer and to my daily life as a neighbor to those who suffer from chronic hunger.

I will use this opportunity to strengthen the network of committed Christians whose lives are similarly dedicated to capitalizing on this unique moment in the history of the world . . . when we finally have the knowledge and capacity to change the policies that perpetuate chronic hunger and generational poverty.

With your support, I will more firmly plant my feet in the ground and my shoulder more squarely against the wheel of change.

Together, as neighbors and friends, we can end hunger. Thank you for considering my application.



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The Homeless Need Homes (or, "Duhhhhhh")

Thanks to the Chronicle of Philanthropy for highlighting this major announcement, which has even made it to the pages of The Wall Street Journal.

Major Study Supports 'Housing First' Approach to Homelessness

A four-year study whose results will be announced today indicates that putting up homeless people in subsidized housing, even without focusing on other medical or behavioral problems first, saves the public money and reduces chronic homelessness, reports The Wall Street Journal.

The study, conducted by a number of hospitals and nonprofit groups, concluded that providing people with a home and a case manager at a cost of $12,000 per year saved taxpayer money because the once-homeless person spent less time in hospitals and emergency rooms.

Some homelessness experts, however, remain skeptical of the approach, especially for drug abusers and alcoholics. And the program appears to work only in conjunction with intensive follow-up by social workers. Still, the study seems likely to shift homelessness policy in the United States.

Read The Chronicle of Philanthropy's article here, including a link to The Chronicle's article on the housing-first movement and efforts to end homelessness by 2014. There was also an article about "Housing First" in last June's The Boston Globe.

At Central Dallas Ministries, we are working to provide permanent supportive housing to the chronically homeless in our community. Here is a video that we put together around this time last year... some interviews with our friends who are living on the street.

A Fundraiser's Dilemma (or, Not Exactly Sonnet 18)

Shall I beseech thee on a Summer’s day
With tales of how our fund’s grown temperate?
Or send roughshod appeals that graph how May
Brought greater need than any month to date?
Sometime too haughty is this heart of mine,
And oft’ is its perception coarsely trimmed;
And every need for need sometime withdraws,
By chance or truth’s prevailing light is dimm’d:
But thy eternal Foundation won’t fade
Nor lose possession of that grant thou payest;
Nor Charity brag thou wanderest in its shade
When with eternal funds thou growest:

So long as men can breathe, or eyes can see,
So live these needs, and these gives life to thee.



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Much thanks to Ol' Bill for penning Sonnet 18, borrowed and abused above with neither permission nor remorse. Let the Bard's ghost take it up with me, if 'e will.

V3 Campaign: Important Campaign for the Sector

Did you know...

• Over $260 billion is donated to non-profits each year?
  
• As such, non-profits represent 7% of the U.S. Gross Domestic Product (GDP)?
  
• Over 80 million people volunteer for a non-profit each year?
  
• Over 7% of all Americans -- 14 million people -- work for a non-profit organization?
  
• Non-profits hold over $3 trillion in assets (which, if combined, would make the sector one of the top 10 economies in the planet)?

Thanks to Robert Egger and the V3 Campaign for reminding candidates for higher office—from small town mayoral contenders to presidential nominees—to of the importance of the non-profit sector.

Learn more about Robert's plans here:
http://www.v3campaign.org/

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Donor Power Blog: Seven steps to a relevant fundraising offer

Along the lines of cultivating relationships with donors, the Donor Power Blog offers some great advice in their article, "Seven steps to a relevant fundraising offer."

Imagine using "asks" as a form of cultivation. What would this look like?

Some additional thoughts on the article's seven points:

• Problem/Opportunity: It is critical that the donor know that they have been specifically sought for this opportunity because of their particular interest in the topic (not simply their giving capacity).
  
• Solution: Use this as an opportunity to show the donor the particular impact of their gift -- and let them know that giving works both ways, and does not end when the funds are deposited. If their funds are buying something, show it to them after purchase. If it's used for program, send them a picture of the program in operation. Let them know that their gift made a difference.
  
• Cost: Ensure the donor that their funds will be invested as requested.
  
• Urgency: There is a big difference between urgency and emergency. Organizations that are good stewards of donor relationships/investments can face urgent needs; organizations that are poor planners and bad stewards often face emergencies (i.e. catastrophes like hurricanes not included, obviously). Be sure to convey both need as well as capacity.
  
• Context: Be sure that the donor has the ability to explain what they invested in to their friends. If the financing is so complicated, or the impact is so removed that the donor cannot share the good news with their contacts, then you are not using this as an opportunity to turn your fund-donors into fund-raisers.
  
• Donor Benefits: Be clear about the reciprocity of the giving relationship. Let your donors know that you care about them, not just their money.
  
• Emotion: Don't be afraid to share your own emotion with your donors. Let them know that they really matter to you.

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If you had Google's ear.... would you whisper or scream?

Over at Tactical Philanthropy, Sean Stannard-Stockton has taken a very difficult task onto his shoulders by asking the question:

What to Measure and Why in Philanthropy?

(Continued thanks to Phil Cubeta for pointing us to interesting things like this... does the man ever blink, let alone sleep?)

Sean's question comes as he works to prepare for a "meeting with someone from Google.org next week to talk about what kind of information I think they should make available about nonprofits in Google Finance and other ways that Google.com’s mission statement to “organizing the world’s information” can be directed at the Third Sector."

Here are my thoughts...

As we approach the elections, I am reminded of a similar question: What makes a good country?

Is it simply GDP growth? % of electorate who participate in elections? Average income? Average lifespan?

I think it can be very difficult to gauge a good non-profit organization. In fact, I think that we have a problem with the way that we gauge all organizations.

The over-reliance on financial measures for evaluating a for-profit company is a problem, as well. I am in the minority with this idea, but I do not believe that the purpose of a company is to make money. I believe that it is to provide a needed service or product to the community.

This is the case for non-profit and for-profit companies. Their distinction should be limited to tax designation.

Is it a profitable company a good company if it causes social ills? Is a company that provides social benefits a bad company if it operates at a deficit?

These are the larger questions that we must ask ourselves.

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How much does the leadership of an Executive Director or C.E.O. effect fundraising?

The blog Nonprofit Leadership, Innovation, and Change is the host of the December Giving Carnival. Written by Christopher Scott, the blog asks:

"How much does the leadership of an Executive Director or C.E.O. (a)ffect fundraising?"

This begs a deeper question... the answer to which is, itself, the key to successful fundraising.

"Why do donors give money to your non-profit?"

The answer is far different than the answer to "Why do PC users buy Microsoft products?" or "Why do travelers fly on Southwest Airlines?"

While the leadership of CEOs like Bill Gates and Herb Kelleher have greatly influenced the sales of their respective organizations, the reality is that the leadership of CEOs in the for-profit world rarely drives as significant a percentage of overall revenues as the leadership of CEOs in the non-profit sector.

The reason is fairly simple:

The customers of Microsoft are buying a product and the customers of Southwest are buying a service; the donors to your organization are not buying anything.

Why then are people giving you money?

Because they trust you.

Because they love you.

Because, when it all comes down to it, they believe that your CEO is someone more like Jan Pruit from the North Texas Food Bank and not someone like Carl Yeckel, formerly of the Carl B. and Florence E. King Foundation.

Would Boone Pickens have donated $6M to Jubilee Park without Ana Maria Narro, the Executive Director, to oversee the administration and use of his funds?

Clearly, Mr. Pickens was also heavily influenced by the organization's chair, his friend Walter Humann, as well as Dallas Mayor Tom Leppert, who promised revitalization of such areas as Jubileee Park in his run for office.

But as I listened to his remarks at the groundbreaking, I could not help but realize that he was not investing in the bricks and mortar that would occupy the corner of Parry and Bank Street where we stood. Nor was he investing in the plans to operate that center as a source of hope and support for this rebounding community.

He was investing in the leaders who would bring that plan to fruition, and whose spirits would fill that building with life.

The CEO of Central Dallas Ministries, Larry James, has frequently told me:

"Money follows people and ideas."

Mostly, money follows people who can bring those ideas into reality.

Bill Gates and Herb Kelleher are CEOs who have done this in the for-profit world. Jan Pruitt and Larry James are CEOs who have done this in the non-profit world without the benefit of revolutionary technology or favorable market conditions.

I think that every non-profiteer -- particularly those in the CEO role -- should read "Good to Great and the Social Sectors: A Monograph to Accompany Good to Great" by author Jim Collins. In the book, Mr. Collins argues that "true leadership is more prevalent" in the non-profit sector than in the business sector for these same reasons.

There are few things that can have a greater effect on fundraising than the leadership of a CEO. If your CEO doesn't get this, I'd suggest you have three options:

• Work on getting your Board to take its fiscal responsibility seriously so that they will provide the leadership that you need;
  
• Send her/him over to Phil Cubeta for some smacking around;
  
• Dust off your resume and head over to Opportunity501.org

One Post Challenge

Thanks to Sean at Tactical Philanthropy for the invitation to submit a blog to the One Post Challenge. Thanks to the encouragement of Phil Cubeta at GiftHub, I submitted my blog, "The Secret Leaders of the Philanthropic Revolution.

Please view the entry and add your nominations here:
http://tacticalphilanthropy.com/2007/11/the-secret-leaders-of-the-philanthropic-revolution

Of course, despite all that I say in this blog, there is some truth to the power of wealth, reputation and influence...

Gates Keepers :: China says it will change a policy the same week the Bill and Melinda Gates Foundation announces its programme there

I am still interested in discovering who is quietly shaping the future of our sector, but we would all be fools to ignore the actions of the Bill and Melinda Gates Foundation. The institution is easily the largest private foundation on the planet, and likely one of the most important actors on the stage of global health.

Let us all hope that they use their power wisely. The future of our world, let alone our sector, depends heavily on it.

(Extra points for those who can identify the attached picture)