This document discusses different models of grantmaking strategies that foundations can employ, including responsive, strategic, proactive, collaborative, and initiative strategies. It provides examples of each model and explains that foundations can overlap or combine multiple strategies. The document also emphasizes that foundation strategy is a framework for decision-making focused on the external context and intended outcomes, rather than being a rigid plan. It is not linear, does not imply total control, and should leverage the foundation's own expertise and resources rather than trying to control all factors.

1. Purposeful?
Intentional?
Strategic Grantmaking
Indiana Philanthropy Alliance Deep Dive
Tony Macklin, April 2015
tony@tonymacklin.com or @tonymacklin1
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Philanthropy Strategy Overload
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Foundation Strategy Is…
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A framework for decision-making that is
1) focused on the external context in which
the foundation works, and
2) includes a hypothesized causal
connection between use of foundation
resources and goal achievement

2. Foundation Strategy Is NOT
Big
Plans
Big
Money
My Pet
Idea
Linear
Rocket
Science
Control
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5 Grantmaking Models
Responsive Strategic Proactive
Initiative Collaborative
8“Comparing Grantmaking Strategies” – Council on Foundations, July 2008
You can overlap and combine them in your portfolio
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Responsive
Meet emergency needs
Build community goodwill
R&D and trend-spotting for other models
Responsive guidelines can be “strategic”
What do you say yes or no to?
What organizational or proposal qualities
do you favor?
What are you trying to learn?

3. 10
Strategic
“Defined Impact in Mind”
Examples
ID gaps or opportunities to fill (small or large)
Big splash grant or award
Cluster and learn from similar programs
Use limited $ to leverage outside resources
Assessments, evaluations, plans that increase
quality or leverage new $
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Proactive
“Invite and Go Deep”
Examples
Targeted RFP with specific goals
Capacity-building cohort
Multi-year operating (cashflow) or
capitalization (balance sheet) grants
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Collaborative
“Mutual Ends and/or Means”
Examples
Giving circle model
Unified set of success measures
Unified proposal, separate decisions and checks
Unified proposal, collaborative decisions
Pooled fund

4. 13
Initiative
“More Than Money to Solve a Problem”
Community leadership initiatives
Usually multi-year
Usually more staff-intensive
Dependent on trusting relationships and
collective will as much as on $
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Impact
Building community
capacity for change
Grants
Scholarships and
Fellowships
Innovation Awards
Impact Investing
Technical Assistance and
Capacity Building
Volunteerism
Influence
Building community
will for change
Fostering Connections and
Trust
Creating and Sharing Ideas
and Research
Strategic Communications
Convening and Coalition-
Building
Shaping Government
Practices and Laws
Civic Engagement and
Community Leadership
Leverage
Attracting and aligning
resources for change
Attracting Gov't and
National Funder $
Expanding Donor Base and
Engagement
Grantmaker Collabs and
Collective Impact
Business Investing and
Purchasing Practices
Expanding Best Practices
Funder Toolbox – Tony Macklin, 2015
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THIS STRATEGY
HAS NO BRAIN
USE YOUR OWN
CAUTION

5. Clarity About Motivations
Personal
• Faith/values/legacy
• Perception of peers
• Seat at decision table
• Fear of failure, discomfort
• Skills or knowledge useful
Organizational
• Visibility
• Insights for donors
• Case statement for asset
development
• Grow expertise of staff or
volunteers
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Clarity About Ends
People or Place
• Issue
• Population
• Geographic area
System
• Capacity
• Quality
• Leadership
• Policy & Practice
• Innovation
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Clarity About Roles & Relationships
Roles
• Get out of the way
• Follow
• Facilitate
• Partner
• Lead
Relationships
• Trust-building
• Personality politics
• Formal vs. informal
authority
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6. Clarity About Risk
Types of Risk
• Idea
• Organization Strength
• Implementation and
Performance
• Reputation/Brand
• Evidence
What’s in your ideal portfolio?
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Potential Impact
PotentialRisk
Low High
LowHigh
Smarter
about ROI
Evaluation
simplified
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How much
did we do?
How well
did we do it?
Is anyone better off?
Quantity Quality
EffectEffort
Outcome
#s
Impact
%s