Corporate Philanthropy – Way Cool!
Milton Friedman once observed that the “business of business is business.” While I don’t disagree in general with the great economist’s statement, I do find it a bit restrictive. Every business has multiple stakeholders, and the needs of these stakeholders are often in conflict and must be balanced with the pure “business of business.” For example, it can be argued that every business has to consider the well-being of its employees, the cost of which often exceeds what a hard headed economist or labor negotiator might argue is rational and reasonable. Compromises are made. Similarly, the communities in which companies operate need to be considered as does the local and global environment. Yes, the business of business definitely extends beyond the mere selling or servicing of widgets and well managed companies understand and embrace that fact. Not too far down this list is corporate philanthropy.
First, a disclaimer. They say that you should write about what you know; what do I know better than my own firm WithumSmith+Brown? Besides, tomorrow is Thanksgiving and I am feeling a bit laid back and in a thankful and somewhat spiritual mood, so why not? I am proud to say that Withum “gets it” when it comes to corporate philanthropy. We don’t just sponsor charitable events to get our name out there (although we do some of that); we provide opportunities for corporate philanthropy in ways that are meaningful to our staff, partners, clients and communities (in other words, our major stakeholders). For example, for the past three years, we have renamed Thanksgiving week the “Withum Week of Caring” and provided opportunities for our staff to get out in the community and begin to pay it forward. This year, as one example, the New York office provided volunteers to work with the kids at Street Squash, a great organization (and WS+B client) that runs a comprehensive youth enrichment program combining academic tutoring, squash instruction (believe it or not), community service, college prep, leadership development, and mentoring for public school students in Harlem and Newark. Other organizations served by WS+B during the week of caring are the Manhattan Children’s Center, Habitat for Humanity, Homeless Solutions, and Ronald McDonald House. During the three days before Thanksgiving, each of our staff is given the opp 
ortunity to spend half a day at these organizations to provide hands on support. In 2012, 381 folks participated; this year we anticipate up to 400 of our people (approximately 80% of the firm) to put on the Withum blue and lend a hand. It is our hope that some of them may ultimately extend this “trial run” into a longer term personal relationship and giving opportunity.
Last week, we did something completely different. Several of our offices participated in the Withum Can Sculpture Contest, building innovative “sculptures” of canned goods which were then donated to local food pantries. With this event we hit the trifecta – we collected almost 2,500 cans of food for charity, we involved the staff in a fun, team building exercise, and we fanned the flames of interoffice competition. In particular, our Red Bank and New York offices seem to have the makings of a real rivalry, complete with trash talking e-mail wars as only accountants can do. Keep it going, guys!
On most Fridays throughout the year, WS+B sponsors $5 Jeans Fridays. This event is as simple as it sounds – for a nominal contribution of $5, staff are permitted to wear jeans to the office. Each week, a different charity receives the proceeds. The fun part is that the charities are chosen by our employees and are often associated with a fund raising athletic event like a race, walk, or bike ride in which one or more of our folks is participating. The recipient charity changes each week, with our internal sponsors raising not only cash, but awareness of the charitable cause. One sponsored event that I found particularly intriguing was partner Tony Nitti’s participation in the Leadville 100 MTB Bike Race benefiting the Chris Klug Foundation, an organization dedicated to promoting organ and tissue donation. A 100 mile mountain bike race in Colorado climbing over 14,000 vertical feet and ending at an elevation of 10,000 feet! My lungs (and other parts of the anatomy) hurt just thinking about it!
Finally, charity begins at home. Last year, Superstorm Sandy did a number on the tri-state region and Withum employees were not immune. Inspired by that storm, WS+B’s management committee established the Withum Employee Hardship Fund, a 501(c)(3) organization designed to gather funds to help Withum employees in need. I am very proud to say that 100% of my partners have contributed to the fund and our overall employee participation is around 75%. We have already assisted a couple of employees slammed by Sandy as well as an employee faced with extraordinary medical bills.
So, is the business of business purely business? The Withum Way suggests that the business of business includes paying it forward to benefit our communities, employees, and clients in ways that are neither sterile nor self-serving. In our mind, corporate philanthropy can and should and will continue to sprout from all corners of the organization when it engages the majority of staff in a process that is interesting, meaningful, and above all, fun.
Happy Thanksgiving!
