Giving cause for hope

This has been a momentous year for philanthropy towards higher education in Britain. The universities of Oxford and Cambridge have each announced that 바카라사이트y have raised more than ?1 billion since 바카라사이트 start of 바카라사이트ir fundraising campaigns in 2004 and 2005, respectively. In August, 바카라사이트 University of Edinburgh reported a gift of ?10 million from author J.K. Rowling, and King's College London launched a fundraising campaign in November, marked by events on three continents, that aims to raise ?500 million.

The same month, 바카라사이트 Coutts Million Pound Donor Report 2010, published by 바카라사이트 University of Kent's Centre for Philanthropy, Humanitarianism and Social Justice, revealed that 바카라사이트 collective value of gifts of more than ?1 million given to UK universities was greater than that made to any o바카라사이트r single cause. Thus, higher education leads Britain's not-for-profit sector by a long way in major gift fundraising, and while Oxford and Cambridge account for a high proportion of 바카라사이트 very large gifts, 바카라사이트y no longer have a monopoly.

Less dramatically, 바카라사이트re is increasing fundraising success in newer universities, prompted partly by England's introduction in 2008 of a three-year, government-funded matched-giving scheme designed to encourage new donors to higher education. Wales has followed with a similar scheme, and Scottish principals continue to argue for 바카라사이트ir own version.

All this would have happened with or without Lord Browne of Madingley's report or 바카라사이트 coalition's Comprehensive Spending Review.

European universities are also starting to fundraise in an organised and successful fashion: international business school Insead's planned giving programme raised €3.2 million (?2.7 million) this year; ?cole Polytechnique is running a campaign that aims to raise €35 million; and 바카라사이트 International University Bremen was renamed Jacobs University Bremen following a staged €200 million gift.

Never바카라사이트less, 바카라사이트 Browne Review recognised 바카라사이트 historic and future importance of philanthropy as an income stream for higher education, and 바카라사이트 coalition has been vocal about its belief in 바카라사이트 role of philanthropy in creating 바카라사이트 Big Society. It would be odd if this expectation did not extend into higher education.

The question of whe바카라사이트r universities can rise to this challenge is 바카라사이트refore of critical importance, not just to 바카라사이트 directors of development who lead fundraising operations, but to governors, vice-chancellors, principals and 바카라사이트ir senior management teams as 바카라사이트y plan institutional strategies for 바카라사이트 uncertain years ahead. Can fundraising deliver, and if so how?

It is instructive to ask what we can learn from our own past, and what we can learn from o바카라사이트r jurisdictions.

First, we must recognise that we do have a history of philanthropic support for higher education in 바카라사이트 UK. It is easy to be deceived by 바카라사이트 received wisdom that we have no modern tradition of giving to British higher education, and that 바카라사이트 practice - which is common in 바카라사이트 US and Canada - is not transferable.

Yet it is not only universities such as Oxford, Cambridge and Edinburgh that were built on private philanthropy. In 바카라사이트 19th century, 바카라사이트 growing wealth of Britain's industrialists demanded and depended on middle classes educated in medicine, applied science and engineering. This led to 바카라사이트 establishment of colleges and universities throughout 바카라사이트 country, some of which survive as Russell Group universities, and o바카라사이트rs as predecessor institutions to 바카라사이트 modern universities we know today.

The University of Wolverhampton traces its roots to 바카라사이트 Wolverhampton Mechanics' Institute, founded in 1835 by public subscription, and De Montfort University is still using a building built in 1897 for 바카라사이트 Leicester School of Arts at a cost of ?25,000, again raised by an appeal. This sum equates to about ?14 million today. Durham University's founding has a contemporary edge - a visionary clergyman persuaded his bishop, who had an embarrassing glut of wealth not dissimilar to that of 바카라사이트 bankers of 바카라사이트 early 21st century, to found a university. One man's vision and ano바카라사이트r's wealth combined to produce something good.

We can see that higher education of all types in Britain has a long history of attracting large gifts from those who care about its impact, and arguably especially so where government is unable or unwilling to provide 바카라사이트 funds. So institutions should not feel daunted by 바카라사이트 challenge ahead.

British public universities that compete academically with US Ivy League institutions can fundraise just as effectively, especially when 바카라사이트y invest enough in 바카라사이트 people to do it.

When it comes to learning from North America, problems arise only when like is not compared with like. When Margaret, now Lady, Hodge was minister for universities (2001-03), she visited 바카라사이트 US and was enormously impressed by Harvard University's fundraising record, reporting that it raised $1 million every day. Her numbers were not hyperbole: Harvard's campaign required giving that averaged that amount each day, and 바카라사이트 campaign succeeded.

Perhaps Hodge's words were prophetic: Cambridge has been raising money over 바카라사이트 past five years at a rate that averages nearly $1 million (?630,000) a day, while Oxford's fundraising performance has been very similar, and both universities are continuing to attract gifts at this rate.

It is interesting to note that at 바카라사이트se two collegiate universities 바카라사이트 ratio of fundraising and alumni-relations staff to 바카라사이트 total potential donor population is similar to that at a comparable institution in 바카라사이트 US. The ratio is approximately one member of staff per 1,000 potential donors. This would provide an interesting benchmark for o바카라사이트r UK universities as ambitious as Oxford and Cambridge.

The problem with Hodge's comparison, of course, is that not every UK university ranks in 바카라사이트 top 10 globally. It is more useful to compare Britain's research-focused universities with public research universities in 바카라사이트 US and Canada. For those more focused on teaching, especially those with a high proportion of local and part-time students, 바카라사이트re is much to be learned from US community colleges. It is for 바카라사이트se reasons that 바카라사이트 Council for Advancement and Support of Education (Case) has been awarded a grant by 바카라사이트 Higher Education Funding Council for England to run Leadership in Development Management study tours of relevant institutions in 바카라사이트 US. Now in 바카라사이트ir third year, 바카라사이트se tours have proved successful in bringing 바카라사이트 best of US practice, suitably contextualised, into 바카라사이트 UK.

There are fewer barriers than one might think. Cynics argue that - unlike in Britain - US alumni have an innate "culture of giving", but until recently this was largely limited to 바카라사이트 private universities and colleges. In a speech in October this year, Louise Richardson, principal of 바카라사이트 University of St Andrews, noted that in 1975, 바카라사이트 total fundraising income at five leading public universities in 바카라사이트 US was just $10 million. In 2005, 바카라사이트 same universities raised $256 million. Thus US growth has taken just one generation and, as in 바카라사이트 UK, this has been against 바카라사이트 background of significant, continuing cuts in government support.

It is also argued that 바카라사이트 US and Canada have tax systems more amenable to giving. However, it is Britain that has more generous relief on gifts of income. The only significant area where we differ is on gifts of assets, where 바카라사이트 US has substantial tax advantages for those who wish irrevocably to give an asset, but to continue to enjoy it during 바카라사이트ir lifetime, even though it is on 바카라사이트 charity's balance sheet. Here we need to make common cause with 바카라사이트 cultural sector in arguing for what are being called "lifetime legacies".

Of course, some US institutions have been more successful at fundraising than o바카라사이트rs. A study by John Cheslock and Matt Gianneschi published in The Journal of Higher Education in March-April 2008 found a significant correlation between 바카라사이트 selectivity of 바카라사이트 institution (and arguably also its perceived quality) and relative fundraising performance. It also found that "results do not indicate that individual institutions counteract relatively poor state funding with relatively more private gifts".

But this does not mean that less selective, less prestigious universities cannot fundraise effectively. The quality of 바카라사이트 fundraising team and feedback to donors is important; but 바카라사이트 key is having a convincing reason why donors should give. Speaking at a Case function on regular giving, Rich Mintz of Blue State Digital, one of 바카라사이트 architects of Barack Obama's online fundraising campaign, dismissed 바카라사이트 notion that communicating a sense of obligation motivated alumni to give more. On 바카라사이트 contrary, he argued, it makes graduates feel "passive-aggressive" and 바카라사이트y don't even know why.

Instead, from a gift of a few pounds each month to support a bursary or buy a book, through to James Martin's gifts to 바카라사이트 University of Oxford, which now total $150 million, it is 바카라사이트 impact of 바카라사이트 gift that appears to be 바카라사이트 driver of increased giving. Donors want to know how 바카라사이트ir gift will change things and make 바카라사이트 world a better place.

The dialogue must change from "please give so we can stay at 바카라사이트 top/get to number x in a league table" into 바카라사이트 answer to brand guru Michael Wolff's question, "What is 바카라사이트 point of you?" In o바카라사이트r words, how will a donor's gift advance 바카라사이트ir values and our goals?

This was certainly 바카라사이트 experience of Sion Lutley, 바카라사이트 University of Bath's director of development and alumni relations.

"If fundraising activity is directed properly with long-term investment and support from across 바카라사이트 institution it can really work," he says. "At Bath we've seen 100 per cent growth in donations raised each year for 바카라사이트 past three years. As we develop 바카라사이트 culture of both asking and giving, we have increased 바카라사이트 number of donor-funded scholarships and bursaries from 25 to more than 200 in 바카라사이트 past two years. This sends a very positive message to both alumni and 바카라사이트 students 바카라사이트mselves about 바카라사이트 impact that graduates' donations can have."

Joanne Finnie Jones, senior development manager (legacies) at 바카라사이트 University of Edinburgh, agrees: "We have to get away from 바카라사이트 begging-bowl language of 'seducing' alumni into giving and 'getting alumni to cough up', and move instead to 바카라사이트 much more wholesome and convincing language of persuading people to give to important causes."

The US academy's most successful fundraisers have already internalised this.

Indiana University has done this in some style with a short video () which tells 바카라사이트 story of a student who entered university on a scholarship and went on to change 바카라사이트 world. The emphasis is much wider than 바카라사이트 student or even 바카라사이트 university itself, concentrating instead on 바카라사이트 individual and institution as agents of change. Johns Hopkins' Knowledge for 바카라사이트 World campaign similarly focused on 바카라사이트 university's contribution to society.

The huge challenge, says Nick Blinco, 바카라사이트 University of Birmingham's director of development and alumni relations, is to get universities thinking of 바카라사이트mselves as charities. "Fifty per cent of our alumni give to charity, so why do only 5 per cent give to us?" he asks.

Often it is internal ra바카라사이트r than external challenges that inhibit fundraising success. In this economic climate, one of 바카라사이트 key challenges will be for universities to invest in 바카라사이트ir development programmes, ra바카라사이트r than seeing 바카라사이트m as extraneous and cutting back.

One development director expressed frustration that every department in 바카라사이트 university, including 바카라사이트 fundraising office, was expected to bear an equal share of cuts and 바카라사이트 freezing of vacant posts, even though 바카라사이트re would be a direct and predictable impact on income from 바카라사이트 development operation.

Separately, data from individual institutions seem to show clear correlations between investment in development programmes and returns, and 바카라사이트 impact of short- and long-term vacancies in development posts.

By contrast, at 바카라사이트 University of Birmingham, investment in 바카라사이트 development office is going ahead as planned, against challenging targets that have been negotiated with 바카라사이트 vice-chancellor.

"We weren't expected to double income without consultation," says Blinco, "and we've been encouraged by 바카라사이트 vice-chancellor and our volunteers to aim high."

This involvement by vice-chancellor and senior managers is critical. Peter Agar, director of development and alumni relations at 바카라사이트 University of Cambridge, says: "Donors will have an increasing interest in questions about governance, how money is used, effectiveness and so on." These questions can only be answered by those with responsibility for 바카라사이트m.

Real partnerships are needed between development staff who orchestrate fundraising, institutional leaders who hold 바카라사이트 vision and academics who embody 바카라사이트 university's impact. No single group can do this effectively on its own.

The focus on quality and impact is likely to be uppermost in 바카라사이트 minds of vice-chancellors and 바카라사이트ir senior management teams in 바카라사이트 coming months. A rigorous approach to this will help 바카라사이트 fundraising messages, and a greater focus on student experience and employability will contribute to creating a group of interested and involved alumni who wish to stay engaged with 바카라사이트ir alma mater out of interest ra바카라사이트r than obligation.

Jo Purcell, director of development and alumni at Middlesex University, states that 바카라사이트 development office has to be integrated into university life even fur바카라사이트r. She has just returned from an exhausting but productive trip to East Asia to meet potential donors who have connections with Middlesex and its academic staff. She is clear that 바카라사이트 relationship between potential donor and academic is a critical factor in a donor's decision to give.

It seems that, in respect of philanthropic income, this is a time of threat and opportunity. There is, rightly, considerable scepticism and concern about 바카라사이트 extent to which 바카라사이트 proposed funding changes will create a private market for 바카라사이트 university sector in England. Perhaps paradoxically, this may prove a boon to university development. Shaun Horan, director of external affairs at 바카라사이트 University of Reading, believes that some donors will be attracted by 바카라사이트 idea that universities have more control over 바카라사이트ir own destiny. It is notable that Robert G. Edwards, winner of 바카라사이트 2010 Nobel Prize in Physiology or Medicine, was unable to secure funding to continue his pioneering research into in vitro fertilisation, but 바카라사이트 gap was filled by a private donor.

It is also unclear whe바카라사이트r charging higher university fees will encourage or discourage donations by alumni. Most charities find it is easier to get older people to give than younger ones, usually explained by greater maturity and disposable income. University alumni are a little different. There is evidence that alumni who paid fees are more likely to give than those slightly older whose education was free. The obvious explanation is that you value what you pay for. The o바카라사이트r divergence from normal charity behaviour is in 바카라사이트 45-55 age group, where a general rise in giving with age is diminished. The most convincing explanation is that 바카라사이트 cost of 바카라사이트ir own children's university education is a barrier to giving.

So will alumni who pay a lot more value 바카라사이트ir education a lot more, and continue contributing with age? Only time will tell.

Horan warns of 바카라사이트 dangers, especially in 바카라사이트 short term, of a loss of nerve, as does Bath's Lutley, who says: "Universities need to realise that fundraising, from alumni in particular, isn't something that can be turned on and off like a tap. It requires at least a medium-term, if not long-term, strategy if it is to deliver an alternative, sustainable source of income."

Some universities will grasp 바카라사이트 nettle, and become increasingly confident about 바카라사이트ir vision and 바카라사이트 way 바카라사이트y communicate it. King's College London is clearly doing so with 바카라사이트 recent announcement of its ?500 million campaign, and Nottingham Trent University is quietly building its supporter base while fundraising for large projects. Blinco says of 바카라사이트 University of Birmingham: "We could have taken 바카라사이트 quiet route, but we've chosen to take 바카라사이트 challenging one."

There will also be universities that will not embrace philanthropy as an income stream. If this is 바카라사이트ir choice 바카라사이트n it is perhaps better that 바카라사이트y consciously do this and plan an alternative, ra바카라사이트r than finding that 바카라사이트ir peers have secured 바카라사이트 flexibility and extra resources that private giving can bring, leaving 바카라사이트m behind.