The times for philanthropic action: how can we balance immediate needs with the long term?
Our times are marked by major upheavals and multiple crises that require both immediate emergency responses and the development of long-term, structural solutions. How can philanthropic practices take these different timeframes into account? This question lies at the heart of the new study by the Fondation de France’s Philanthropy & Society Observatory, which highlights the diversity of approaches adopted by foundations.
“Philanthropy today faces conflicting demands: responding to urgent crises and acute difficulties that cannot wait, whilst at the same time building truly transformative solutions for the long term.” How to find the right balance? How to avoid sacrificing one issue for the sake of another? “These questions are essential for developing strategies that are commensurate with the complexity and urgency of the issues that drive us,” explains Axelle Davezac, Managing Director of Fondation de France, which commissioned this study entitled “The times for philanthropic action”.
Conducted in collaboration with sociologists Anne Bory and Evangeline Masson-Diez, this study explores the different timeframes that govern philanthropic activity. It highlights three types of timeframe: short-term, one-off support designed to address emergency situations; multi-year, medium-term funding, generally spanning two to three years, which enables projects to develop; and longer-term support (over five years or more), which is not earmarked for a specific project and constitutes a valuable resource for organisations. These remain relatively rare for a variety of historical and cultural reasons and also raise the issue of the relationship of dependency between foundations and associations, which requires an appropriate response.
In recent years, multi-year funding has become significantly more common in philanthropic practice. As sociologist Evangeline Masson-Diez explains, “it has become a benchmark of quality.” It reflects the idea that a “good philanthropist” does not give impulsively but makes a long-term commitment. "Support spanning two or three years also helps organisations avoid the burnout associated with constantly having to seek funding."
Faced with growing social needs and declining public funding, foundations are increasingly being approached by charities, which has led some to adapt their practices. “We now have two separate selection committees: one for multi-year projects and the other for one-off grants. We have also set aside a fund amounting to approximately 10% of the foundation’s budget for emergency projects and ‘favourite’ projects. It is important for us to be able to act quickly when a situation calls for it,” explains Cybèle de Brem, co-director of theLemarchand Foundation.
However, taking urgent action is not incompatible with a long-term commitment and can sometimes even serve as the starting point for more sustainable support. A point highlighted by Christophe Salmon, Executive Director of the Crédit Mutuel Alliance Fédérale Foundation : "Most of our commitments are for three years and are renewable. But that doesn’t stop us from taking urgent action. These two aspects go hand in hand: a sense of urgency prompts us to take action, and then to pull everything together to consider how to sustain this commitment over time.”
Gradually, the traditional dichotomy in philanthropic practice between the short term and the long term is indeed beginning to fade, giving way to the coexistence of these different timeframes. “This interconnection is particularly acute in the current climate of shrinking public funding and political instability, which tends to assign the philanthropic sector a stabilising role,” explains sociologist Anne Bory.
How can we ensure that philanthropic activity is sustained over the long term?
As the study highlights, the quality of the relationship between foundations and the associations they support is key to establishing long-term support. “Having multi-year commitments is not enough to ensure a long-term approach. Taking a long-term approach is, above all, a process: staying in touch with the association, understanding how its needs and the cause it champions evolve, and moving forward with it in this process,” explains Christophe Salmon.
The study thus highlights a shift in practice: some foundations are now choosing to focus their support on a smaller number of initiatives in order to develop stronger and more sustainable partnerships. These relationships therefore go far beyond mere financial support. The stakeholders often speak of a genuine sense of “partnership” with the community organisations they support. Regular exchanges, site visits, joint brainstorming sessions… all these provide opportunities to build a “non-financial relationship” that is essential for ensuring that philanthropic work is part of a long-term approach and for gaining a better understanding of the realities on the ground. These activities take up a significant amount of time and resources for foundations and associations, yet they are still too rarely taken into account in philanthropic planning.
With this in mind, some foundations are seeking to tailor the duration of their support to the needs of the associations they support. “We tailor our support to the associations’ action plans.” For example, if the contract is for three years, our commitment will also be for three years. At the end of the cycle, we ask the associations to carry out a self-assessment, to take some time to reflect on their impact and evaluate the progress made within the framework of our partnership,” explains Philippe Mayol, Managing Director of the Terre Solidaire Foundation.
Lastly, thinking about philanthropy in the long term means anticipating when support will come to an end. This is not merely a budgetary decision; it raises issues of accountability and dependency for the associations receiving support. Several foundations therefore pay particular attention to this transition phase in order to avoid any sudden disruption. “Ideally, the end of support should be considered from the outset. It’s important to have this conversation with the associations we support, and to consider how far we should go in supporting them, and what other partners they need,” emphasises Karin Jestin, a philanthropy adviser.
The aim is to prepare the associations to continue their development without the foundation’s support, by strengthening their organisational, financial and strategic autonomy and, where necessary, by helping them to establish links with other partners.
The study The times for philanthropic action was presented on 17 February at the Fondation de France, attended by the researchers and representatives from various foundations who had come to share their experiences. The philosopher Dominique Bourg was also present to offer offer his insights on environmental issues and time management.