Editor's note.
This article is based on Mr. Wu Chong, the founder of Shanghai Adream Charity Association, the chairman of the Investment Management Committee, and the strategic advisor of CICC Global Family Office2023 Annual Meeting of the China ** Development ForumCompilation of presentations made at parallel forums. The topic of the parallel forum is:"Crossing the Divide and Finance for Good: How Will We Penetrate the New Propositions of Donation? β
Under the great changes, the public welfare will be the way to go
Under the changing situation, the charity industry has also felt the bitterness of the economic winter. True Love Dream fundraising and spending has grown every year for the past 15 years, even in the current year, but this year, for the first time, it has declined. Although we do not have a background in large corporations, we have always had the continuous support of many donors with the fundraising capabilities we have accumulated over the past decade, systematic cooperation and deep relationships with donors. Now, however, we are also faced with the problem of increasing the difficulty of fundraising, which may also be a challenge for other peers.
So I'd like to talk about itIn this century of great changes, what other feasible ways can the ** meeting take?
1. Achievement of donors on the project side: transformation from giving-based charity to value-based charity
First of all, the operation of the project should be changed from only doing its own brand to ODM (Original Design Manufacturer). In the philanthropy industry, it is a distinctive feature that ego is particularly strongFor example, in the business sector, mergers and spin-offs are commonplace, but the public welfare sector has never heard of mergers and acquisitions, right? Because each founder has his own powerful ego, the agency was born for me. And to find a sustainable path in the economic winter, I suggest that ** will learn to let go of some ego and try to see if it canThink more about how you can be a donor, not just your own brandγFor example, the transformation to the role of ODM, that is, the integration of production and design, through OEM, to build the product into a partner's brand. This may be a path that can lead to a huge amount of new resources, although it requires us to do so firstLet go of yourself and embrace change
How can philanthropy help the public recognize a "three-dimensional and differentiated" brand?
Why do donors need their own charity brands too? How are the brand's philanthropic values expressed? This is a key issue for how enterprises or individuals can reflect their own existence in public welfare behavior.
In family inheritance, the so-called brand is the perception of a family by the external society. Like the family, we need to focus on how the personal or corporate brand communicates its values through philanthropy. By partnering with businesses, philanthropy can put its expertise and knowledge to work to support donors who want to communicate strong values and build their own brands.
Case 1
Caring for sports: ANTA and True Love Dream jointly create the "Sports Dream Class".
The "Sports Dream Class" project jointly developed and implemented by Adream and ANTA is inspired by children's love for sports. Under this theme, we combine ANTA's resources in terms of products, athletes, and ** with the charity mission and service system of True Love Dream to form a professional solution.
The focus of the project is to promote the popularization of physical education in rural basic education schools by providing facilities and training physical education teachers. First, True Love Dreams raises the core problem of the general lack of systematic physical education in these schools. ANTA then decided to provide these schools with a complete set of sports equipment, and with the equipment, the two parties successfully designed and implemented a scientific and rational physical education curriculum to help children improve their physical fitness at a critical stage of growth.
With this cooperation, ANTA demonstrates its professionalism and sense of social responsibility in the field of sports, and conveys this brand image to a wider social group. It not only supports philanthropy, but also practices corporate social responsibility.
Whether it is the recipient, the first meeting or the donor enterprise, this is a co-creation and win-win charity exploration, providing a vibrant and influential example for more enterprises to establish social responsibility.
Case 2
Creation of scientific heroes: de.Shaw's philanthropic strategy
Well-known quantitative manager De.Shaw, Bezos's former boss and former professor in the Department of Biochemistry at New York University, chose to donate funds to institutions specializing in computer chip research in the field of biochemistry after the transition to quantitative ** and to recruit the nation's most prominent young scholars to receive grants. This philanthropic decision not only demonstrates his deep knowledge of the field of biochemistry, but also his personal vision. His donation monopolized research in the field for many years to come, making them "superheroes" in the field of science. This philanthropic act not only helps to tackle scientific challenges, but also has a positive impact on his business β highlighting the image of a group of super-smart people.
Case 3
Showing strengths: Robin Hood's positioning
Another impressive case is that Paul Tudor Jones is a well-known hedging** manager in the United States, known for his portfolio investment. To put it simply, it is to divide all listed companies into multiple categories, and select the best companies through a set of screening criteria, and design them into a portfolio to obtain more financial returns. The Robin Hood Club, which he founded, vowed to apply "investment principles" to public welfare. It will construct a complete set of solutions to the poverty problem in New York City, and introduce a series of variables that have an impact on the poverty problem of different types of people for multiple regression analysis. Based on the analysis, a structured classification framework was identified, and then tens of thousands of charities in New York were organized into a classification framework and a series of quantitative criteria were used for combined screening. Based on dynamic data tracking and weighted calculations, determine grant amounts and strategies for different nonprofits. This operation, similar to the ETF optimization of ** investment, perfectly reflects the values of the founders and managers of the ** club, and also attracts a large number of donors who recognize rational efficiency. Paul Tudor Jones himself, in addition to his wealth, became an outstanding philanthropist; His professional cross-border ability has also won him more trust and respect in the financial industry.
How can customized philanthropic projects achieve social benefits without harming the commercial market?
If a company wants to donate, which ** will it be donated to? A very important criterion is the ability to customize products. Because these public welfare products should face his business customers at the same level as commercial products, who can help him complete the design and help him implement it, which is very important.
However, the traditional ** will not have such thinking, and after designing a project that it thinks is particularly good and conducive to the society, it is actually asking the enterprise to "pay", in fact, it is asking the enterprise to support its own social ideals. Now, can we change our thinking and tell the company: "Let's discuss, how to use the professional skills and cognition of the company to realize your dreams?" "If the thinking of ** will go this far, there will be a chance to break the situation now. Therefore, CICC Wealth Management and Tencent Philanthropy have cooperated to launch the "Charity 50 Program", which aims to find leading philanthropic projects with customization capabilities and potential from the entire philanthropy industry, and recommend them to the settlors of charitable trusts, so as to assist them in realizing their philanthropic dreams, helping to solve their own social problems in the long run, and creating a win-win social value cycle for all parties.
Case
Customized philanthropy: philanthropic innovation to solve business problems
In recent years, True Love Dream has made some ODM-like attempts. We are one of the few organizations with the ability to customize. What is customization? For us, it is not only a way of service, but also an innovative concept of public welfare. I will use a case study in China to illustrate the practice of this concept.
A bakery uses bread as a promotional advantage of "fresh taste and never overnight". However, there are some problems encountered in the actual operation: the franchisee is outside the province, and due to geographical factors, the enterprise cannot directly supervise whether the bread in its franchise store is overnight. To solve this problem, we proposed an innovative inventory management system to the company β similar to the food bank in the United States, where the bread inventory is automatically cleared after 10 p.m. Bread that has not been sold before 10 a.m. can be donated to community workers such as sanitation workers and ground security guards. As a result, the amount of bread received by these community workers matches the amount of bread they had in stock before the zero-clearance.
This measure not only solves the problem of commercialization and reduces the risk of inventory, but also conveys the brand image of the enterprise to the society - "our bread does not stay overnight".
Empowerment of donors on the investment side: Use charitable trusts to solve the concerns of financial professional donors about the financial management ability of the society
As a financial tool, charitable trusts can play a key role in addressing the concerns of financial professional donors about their financial management capabilities. Public welfare organizations can also work with financial institutions to establish a mechanism similar to DAF through charitable trusts, so that donors can manage their donated funds more flexibly, and even ask financial donors to use the strength of their own institutions to manage the donated public welfare assets. Combined with the flexibility of the trust structure on the expenditure side, customized charitable expenditure design can be carried out according to the values and interests of individuals and enterprises.
This not only satisfies the individual needs of donors, but also stimulates their deeper sense of participation and responsibility, thereby creating more long-term and sustainable donation opportunities for the Association. The China Association should make full use of charitable trusts to empower donors.
In general, the core of the above two recommendations is:"Let go of the ego" and truly achieve and empower donors. In the current changing situation, the core of what we really need to think about is how to better serve donors, stimulate their enthusiasm to participate, and tide over the difficulties together.
Introduction of the organizer
Shanghai True Love Dream Public Welfare Association was established on August 14, 2008, and approved by the Shanghai Civil Affairs Bureau in January 2014, it was transformed into a local public fundraising association, with the mission of "developing literacy education, promoting balanced education, and promoting social progress through education", and the vision of "helping children grow up confidently, calmly and with dignity", and helping students in the compulsory education stage to grow up in an all-round way through the "Dream Education" public welfare service system.
By funding and supporting public welfare, volunteer activities and projects in various fields such as promoting regional development, we will promote industrial development, institutional gathering, talent environment, international exchanges and cooperation, enhance and optimize the comprehensive development environment of the region, and create a world-class financial city suitable for living and working.
Registered in September 2012 with the Civil Affairs Bureau of Pudong New Area, Shanghai, it is a 4A-level social organization. Fuen Law is the first social think tank for the research of non-profit organization law initiated by social forces in China, and it is also a supportive platform for social organizations to provide professional legal capacity building. Its purpose is to promote the operation of social organizations in accordance with the law and regulations, and to promote the development of China's public welfare undertakings and non-profit undertakings.
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Thanks to volunteer Wang Zehui for sorting out the content of the speech.