August 22, 2002 | Read Time: 1 minute
New Philanthropy Benchmarking: Wisdom for the Passionate
by Kristina Anna Kazarian
This book offers both donors and charities advice on how to apply measures of success in nonprofit work that are similar to those used in business. Ms. Kazarian, a former Bloomberg Senior Research Fellow at Harvard Business School and a consultant to nonprofit organizations, companies, and foundations, says donors who wish to multiply the influence of their donations and nonprofit groups competing for their support should apply businesslike strategies.
She profiles philanthropists she believes get the most out of their charity dollars — Charles and Edgar Bronfman, Bill Gates, Michael Milken, Thomas Monaghan, George Soros, Steven Spielberg, and Michael Steinhardt — and examines their philanthropic strategies and successes. She also provides suggestions to help donors and nonprofit organizations apply the book’s principles in their day-to-day work.
As an example of the approach Ms. Kazarian advocates, she suggests donors adapt the for-profit concept of profit margins and develop “performance margins,” or the contribution a nonprofit organization makes using a certain amount of money. Performance margins become reliable benchmarks of success, says Ms. Kazarian, when they are compared among charities with identical missions. She says she hopes such comparisons will foster a competitive environment that spurs the less efficient charities to improve their performance or risk losing their donors.
Publisher: United University Press, 30 Kennedy Plaza, Providence, R.I. 02903; (401) 861-6160; fax (401) 521-4940; info@unitedu.com; http://www.unitedu.com; 420 pages; $89; I.S.B.N. 0-9716446-0-8.
