Mouli Cohen on Philanthropy

The New Philanthropy: Giving Effectively in Trying Times

The two decades leading up to the global financial meltdown in 2008 was a period of unprecedented growth in private philanthropy. This was especially true in the Jewish community, which saw the establishment of some nine thousand Jewish family foundations with assets totaling over $30 billion.

Then everything changed. The Madoff scandal and ensuing recession created a situation that severely damaged the philanthropic community. Private foundations are reported to have lost around 30 percent of their assets on average, with some smaller foundations reduced giving by as much as 60 percent.

Times are tough, and few believe 2010 will be a better year for philanthropy than 2009. The nonprofit landscape may have changed permanently, but surviving is not simply a question of downsizing and taking cover until the storm abates.

This period of uncertainty should be used to explore how we can be more efficient and effective in our philanthropy. I believe the answer is rooted in three interwoven strategies, the seeds of which have been planted but whose implementation needs to be accelerated. Together, these strategies will allow us to navigate the new environment while still achieving our philanthropic goals.

First, we need to invest in organizations that seek to address issues and catalyze change on a system wide - rather than individual program - level. Second, we should be incubating programs and funding incubator organizations as a way to foster innovation and feed successful new initiatives into those systems. And third, we should employ rigorous evaluation to measure impact, refine approaches, and boost the effectiveness of the organizations we support and the fields in which they operate.

About Mouli Cohen

Mouli Cohen In his career as an entrepreneur, Mouli has founded and developed start-ups that have generated over $3B in shareholder value. With successful ventures in biotechnology, high technology, digital media, entertainment and beyond, his companies have demonstrated diversity and a unique ability to capitalize on emerging markets. Mouli’s career has been marked by a distinct ability to successfully recognize common sense opportunities, build successful management teams and drive organizations to a common goal.