Cause and effect: Measure how your corporate giving is making a difference

Chances are, you started up a corporate giving program because you care about one or more causes and want to make a difference – whether your goal is to help eradicate a disease, provide a warm meal or shelter for those in need, or clean up the environment. Just participating may seem to be reward enough, but measuring and promoting your program’s effectiveness is a wise business strategy.

There are a number of stakeholders who will benefit by learning the program’s results:

• The partnering nonprofit organization
• The individuals who are the end recipients of donations and volunteer efforts
• Your employees
• Your board of directors
• Your customers who contribute to your cause program
• Community members

Promoting the results gives a positive boost to all those involved and encourages ongoing effort.  It also enables you to make adjustments during the process to better reach your goals, and to help you assess at year’s end whether to continue the cause relationship.

First, decide what you want your corporate giving program to accomplish, and then which metrics are important to track. Consider the following areas:

Donations and donors

Generate enthusiasm by setting a financial goal and a timeline. In many cases, the nonprofit organization can help you determine your first year’s goal based on your company size. For subsequent years, develop a stretch goal that exceeds the previous year.  Track online donations through a dedicated landing page on your Web site, or through sites such as GiveMn.org. Keep counts of noncash donations, such as number of toys donated to Toys For Tots or pounds of nonperishable items for food shelves.

Corporate growth and brand perception

Determine how much your company revenue and brand reputation is benefiting from your cause promotion by gathering a variety of metrics and other information, such as:

• Leads generated from cause marketing efforts tracked through unique toll-free numbers, URLs or “how heard” questions
• Sales trend (over  five years, if possible)
• Share value trend (over five years)
• Customer testimonials
• Focus groups and customer surveys on brand perception

Employee satisfaction, loyalty and recruitment

According to the 2009 Corporate Citizenship Study, 56% of survey respondents believe that working for a socially responsible employer makes a difference. Determine the effects of your corporate social responsibility program by measuring the following:

• Employee satisfaction through surveys conducted before the program’s initiation and annually thereafter
• Annual contribution of employee volunteer time, five-year trend
• Employee growth, five-year trend
• Employee retention, five-year trend

Include the above results in your annual report or as a separate corporate social responsibility report. Round out hard data with testimonials from a representative of your nonprofit partner organization, customers, employees and community members.

– LuAnne Speeter

Related post: Enrich the lives of your employees with socially responsible efforts

Why are you keeping your cause a secret?

Maybe it’s shyness, humility or simply Minnesota Nice. But many small business owners around the state are keeping the good they do for charity to themselves. Whether they’ve contributed a check, a percentage of annual sales or employee volunteer hours, some companies never get the word out to the public.

That’s a shame.

By being quiet, you could be depriving your cause. Your donation is only a portion of the potential benefits your chosen charity will derive from your partnership. If you really want to maximize your effectiveness, take on the role as ambassador. That means you could:

• Show photos of your volunteers in action on your Web site, on your company’s Facebook page or in your newsletter.
• Include the cause’s logo on your home page and add your commitment, such as “2% of every dollar you spend with us is donated to help [cause name] achieve its goals.”
• Display your cause’s logo with photos at point-of-sale locations.
• Talk about your cause – world of mouth is the most powerful influencer.
• Submit press releases about your cause partnership to local newspapers. Increase the odds of it being picked up by including a human interest story, too.

Minnesota businesses are generous. According to a 2002 survey of 595 companies conducted through Building Business Investment in Community,* the vast majority of businesses make cash contributions to their favorite charities:

Business size by # of employees	% of businesses making cash contributions
<20	72%
20-99	76%
100-499	93%
500+	96%

In addition, many companies donate products, sponsor scholarships and events, contribute employee hours to school and community projects, and serve on nonprofit or agency boards. Add more impact to your generosity and dedication. Tell the community about your partnership, give information about the cause and provide others with a way to contribute, too.

*A project of the Minnesota Council on Foundations, the Minnesota Chamber of Commerce and 12 Minnesota business and philanthropic organizations.

– LuAnne Speeter

What motivates employees to volunteer? Hint: The answer isn’t personal recognition

If your company’s social responsibility program includes volunteerism, it can have tremendous impact not only on the community, but also on your company and employees.

How the community benefits

• Increased access to resources
• Improved health and welfare
• Enhanced economic development
• Community needs are addressed

How your company benefits

• Enhanced reputation
• Increased product/service awareness
• Raised productivity
• Improved staff satisfaction and retention

How your employees benefit

• Increased community awareness/involvement
• Heightened employee satisfaction
• Acceleration of professional development
• Opportunities for leadership
• Improved attitude and outlook 

Source: Corporate Volunteerism Council – Twin Cities

But what motivates employees to offer their time and skills to a charitable cause? The answer may surprise you.

In past years, personal recognition was the primary motivation for corporate volunteering, according to LBG Associates, the firm that launched the study involving more than 8,000 employees in 36 companies. However, the latest study, conducted from late 2008 to early 2009, showed the following:

When it comes to recognition, employees rank “a donation made to my charity when I volunteer” highest among all other forms of recognition.

When asked to rank the reasons they volunteer, employees listed the following on a 1-5 scale, with 5 as “very important”:

• The cause is important to me personally (4.35)
• Community organizations are experiencing financial hardship (3.61)
• My volunteering results in a donation for the organization from my company (3.53)
• The cause is important to my company (3.35)
• The charity came to the company to talk about what they do for the community (3.08)

When you’re selecting a charitable organization and you want maximum participation from your employees:

1. Start by looking at several options that are relevant to the majority of your employees’ interests and skill sets.
2. Choose venues that are local and easily accessible.
3. Ask employees to vote among the charities and go with the most popular choice(s).

– LuAnne Speeter

3 ways your business can be generous without giving cash

As the year heads into the fourth quarter, your business is likely receiving an onslaught of requests for charitable donations. But if you own a start-up business or your cash flow is suffering due to the ongoing recession, it may not be possible to write out big checks this year. Before you change the nameplate on your door to Ebenezer, consider these alternative ways of contributing to those in need.

In-kind product donations. Establish a partnership with a nonprofit whose needs fit the scope of your business. For example, a restaurant could donate nonperishables to neighborhood food shelves. Or, if you own a retail store, provide clothing or household items to shelters for the homeless or domestic violence victims.  Build companywide support by inviting employees to join you in delivering the products. Be sure to develop a strategy just as you would with cash donations, determining in advance how much you want to donate for the season or year. Contact your tax advisor so you’ll know what portion of the donation can be written off.

Employee volunteer programs. Many businesses are now incorporating more flexibility into the work week to encourage volunteerism. Some companies allow a number of hours annually of paid release per employee for donating time and skills to preapproved organizations. Nonprofits often seek out services donated by computer technicians, attorneys, marketers and graphic designers, in particular. If you embark on such a program, business owners and C-level executives should lead the way by volunteering time as well, either by rolling up your sleeves with a project or event, or by serving on the board of a nonprofit organization.

Purchasing cards and gifts from non-profits. Consider organizations such as the Courage Center when purchasing your holiday greeting cards. By doing so, you’ll help support programs for adults and children with disabilities. Need gifts for clients or coworkers? Shop at Twice the Gift, a store operated by Partnership Resources, Inc., opening Oct. 15 in the IDS Crystal Court in Minneapolis. The store offers unique gifts and Share Cards, with proceeds benefiting 60 area nonprofits.

No matter which avenue you take in your charitable donation program, generate greater exposure for your causes by encouraging stakeholders – employees, customers, vendors, etc. – to offer their support, as well. Check with organizations about using their logos on your Web site and include a link or “Donate Now” button so customers can participate in the charitable partnership.

– LuAnne Speeter

Quick survey: How do your company’s charitable practices compare?

If you own or work for a small business, you play a pivotal role in your community – and your community would suffer without you.

Not only does your small business provide valuable products and services to your surrounding neighborhoods, but in most cases you also:

• Live in the community and become involved in local interests.
• Hire employees who reside in the community.
• Plow much of your profits back into other businesses in the community.
• Pay local taxes, which stay in the community.

But when it comes to charitable donations and social responsibility, are you more likely to stock the neighborhood food shelf or contribute to large nonlocal foundations and nonprofits? And are you too strapped for cash – and time – to even do the research and donate to worthy causes?

Please take this quick 10-question anonymous survey about your small business and social responsibility. I’ll share the combine results in a future post so you’ll know how your company stacks up against the rest.

Please take the survey now. Thank you!

– LuAnne Speeter

Be a storyteller

You’ve chosen a cause for your business to promote. Now you need to explain the cause, and ask for support from your audience.  How do you draw them in?

Before asking for a financial handout or volunteer commitment, engage your audience with the cause story. Whether the cause will benefit people, animals or the environment, present a narrative that turns your appeal into a three-dimensional reality. For example, your message could feature:

• A recipient whose life has changed for the better through support for the cause
• A donor telling why she contributed and how it made her feel
• An employee offering a first-hand account from the volunteer site
• A spokesperson giving a clear picture of the need for action

The appropriate medium for your story will depend on a number of factors, such as cost, in-house expertise and audience. But you can maintain a poignant, personal style even on a tight budget. Consider:

Video. Script and shoot a video that captures significant moments throughout your campaign. Embed it into an email and/or display on your Web site’s home page. View Twin Cities Habitat for Humanity video gallery.

Photography. Done well, photos of recipients can be poignant – especially in black and white. Weave the photos throughout all your media, including a direct mail brochure and your corporate social responsibility report, for an integrated message with greater impact.

Social networks. Set up a dedicated Facebook page and encourage volunteers or contributors to upload their own videos and comments about their experiences throughout the campaign.

Press releases. Tell one or two personal accounts of beneficiaries within the release. If the newswire service allows, italicize the paragraphs to visually set the stories apart from the rest of the copy.

Corporate blog. Have a volunteer contribute a guest post to your corporate blog with an up-close-and-personal perspective. Be sure to include photos.

While telling the story will help engage your audience and draw greater attention to your cause, be careful not to overdramatize or appear too sentimental. Such efforts can be perceived as manipulative. Before releasing your promotion, pass it by a focus group and make any necessary tweaks.

– LuAnne Speeter

Charity at work balances charity at home

TCCVM provides voice mail services for homeless and low-income families.

As the recession drags on, charitable outreach is changing to reflect today’s dire economic situation locally and nationally.

A recent report from the National Conference on Citizenship (NCOC) shows that 72% of Americans are cutting back on community volunteerism and charitable giving – often because they are focusing on needs in the home. Baby boomers in particular are caught between caring for their elderly parents and taking adult children back into their homes. According to the NCOC’s “America’s Civic Health Index 2009: Civic Health in Hard Times,” there is an increase in the portion of young people living with their parents. In 2009, 52.5% of 18- to 24-year-olds reported living with their parents, up from 50% in 2007.  So it’s not that people aren’t as charitable, but rather the focus has turned toward immediate family needs.

U.S. businesses can play a significant role in helping overcome the shortfall by offering charitable opportunities at work. In fact, the NCOC report showed that employed baby boomers were by far more likely to volunteer (45%) than those who were not working due to retirement, disability or layoffs (23%). By partnering with a charitable organization, a business can help provide a major boost through donations, matching gifts, volunteering or cause marketing.

A charity that provides a particularly critical service during this economy is the Twin Cities Community Voice Mail.* TCCVM offers free voice mail to homeless and low-income people who don’t own their own phones. Through TCCVM, recipients can maintain communications for such vital needs as employment, housing, health care, safety from domestic abuse and child care, enabling greater self-sufficiency. In fact, you and/or your company can join the TCCVM Walk in Minnehaha Park on Saturday, Sept. 27.

Your company’s support of TCCVM, Families Moving Forward or other organizations empowering self-sufficiency delivers important help during times of transition for individuals and families – more crucial than ever in this economic environment.

*TCCVM is part of a national organization, Community Voice Mail.

– LuAnne Speeter

Related posts:

• Cause marketing needed to ease the pain of deep cuts
• Enrich the lives of your employees with socially responsible efforts

How ethical are you really? Take this quiz

Most of us assume that our personal code of ethics was formed during our childhood and locked in for life. Our upbringing – home life and parental rules, relationships with teachers and other authority figures, religious beliefs and practices – formed a protective armor of character that kept us in line. It helped us stay out of trouble after school (or to feel really bad if we got caught), kept us from swiping stuff from the convenience store and prompted us to keep a sworn secret.

Then, as we made our way into the world, we brought along that armor of character. There would be ethical dilemmas at work as we’d strive to get noticed by the boss or devise ways to beat out the competition. Tax season would roll around and, well, money’s really tight this year so who would notice a slight exaggeration of deductible expenses? And little white lies come in handy when we’re trying to keep peace at home. Still, the character’s intact. A few dings in the armor, but looking good overall.

But are we really as ethical as we think we are? Here’s an eye opener: a personal integrity survey.  This quick 10-minute quiz reveals that even the most ethical of us have a few blind spots and squishy areas. While we may rate ourselves high when we consider the broad definitions of ethical character and integrity, those “rare instances” of unprincipled behavior are actually more common than we care to admit.

The survey is courtesy of the Josephson Institute, an organization focused on increasing ethical behavior in all aspects of society.

Take the personal integrity survey now – it might be the first step to fixing those character flaws we thought we could get away with.

– LuAnne Speeter

Enrich the lives of your employees with socially responsible efforts

If your business is participating in socially responsible programs but your employees aren’t in the loop, you’re overlooking your biggest supporters.

According to a couple of recent surveys, many employers are missing the boat when it comes to ensuring the effectiveness of their social efforts simply by not communicating with employees. A recent Capstrat-Public Policy Polling Survey revealed that, while 24% of employees said their company has made sustainability a top priority in business decisions, only 17% said their employees often communicated their efforts to employees. And 46% said their employers rarely talked about sustainability at all.

Another recent survey, the 2009 Corporate Citizenship Study, found that more than half of employees responding believe that working for a socially responsible company makes a difference. In fact, even in today’s economy, 40% are willing to take a pay cut to work for a socially responsible company. Still, over 70% are not aware of any socially responsible practices their own employer is taking.

Start involving employees in your corporate responsibility programs for these reasons:

• Employees are proud that their company is socially responsible and find added value in their workday beyond their regular duties. That translates to greater job satisfaction and employee retention.
• It encourages employees from different departments to work together toward a common goal and often allows new leaders to step forward.
• They’re likely to tell others about your company’s efforts, taking on the role of corporate brand ambassadors.
• It’s a great recruitment tool. By listing corporate efforts on the career page of your Web site, you’ll draw more interest and have a larger pool of applicants from which to choose.

– LuAnne Speeter