Making the Case for Diversity in Philanthropy

While many foundations have long sought to become more inclusive as a logical extension of their missions, the business case for incorporating diversity has renewed interest in understanding how diversity can also enhance the effectiveness of philanthropic organizations. Because prior movements to increase diversity in philanthropy have focused on moral, rather than operational, arguments and because the field lacks an easy way to measure outcomes, strong evaluation measures of diversity's impacts on philanthropic activity have not been developed. Numerous studies from the corporate sphere, however, suggest that greater inclusiveness may improve an organization's processes and outcomes. Many philanthropic experts and practitioners believe that these gains may apply to grantmaking institutions as well as businesses.