Business Group Seeks to Better Aid Relief Charities
May 26, 2005 | Read Time: 2 minutes
An association that represents the leaders of some of the nation’s largest companies announced this month an effort to better coordinate corporate philanthropy during natural disasters, following an outpouring of gifts in response to last December’s tsunamis in South Asia.
The Business Roundtable, an association of 160 chief executives, said it is contacting its members to catalog the equipment, supplies, services, and personnel they can provide in a crisis to more effectively aid charities.
John Castellani, president of the association, in Washington, said his group will create a database of the types of assistance companies could render, including donations of products, such as bottled water, as well as less-obvious aid, such as the worldwide communications systems that financial-services companies might offer.
The association will also contact relief organizations to establish ways businesses can coordinate with them in an emergency.
A group of the roundtable’s members have been leading the effort so far, including Pfizer, IBM, FedEx, Procter & Gamble, and Citigroup.
$200-Million Donated
The association estimates that its members gave more than $200-million to assist victims in South Asia. In total, American businesses provided an estimated $450-million to Indonesia, Sri Lanka, and the other countries affected by the deadly waves.
However, some observers criticized that philanthropy, saying it did not reach the victims quickly enough or adequately serve their needs. Though Mr. Castellani praised the partnership of businesses and nonprofit groups after the tsunamis — saying they were faster than governments in reacting to the disaster — he said, “There’s always a feeling that things could have been coordinated better.”
Thomas Tighe, president of Direct Relief International, in Santa Barbara, Calif., said the test of the effort will be how it works in a crisis. “It’s a great assessment of the need,” he said. “The question is whether the association can become the central coordinating agency.”