CORPORATE GIVING WITH IMPACT. Making the most of your corporate responsibility and community investment programmes

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1 CORPORATE GIVING WITH IMPACT Making the most of your corporate responsibility and community investment programmes

2 Our 80-year track record of helping donors give effectively has earned us the trust of charities and corporates alike we work with 70% of the FTSE 100 and 45,000 charities.

3 WE CAN HELP YOU ACHIEVE GREATER IMPACT Businesses are continuing to demonstrate that they can make valuable contributions to the communities in which they work despite persistent economic uncertainty. It is in this spirit that we champion the important role that companies can play in communities, and help our clients to forge impactful business-charity partnerships that transform society. Our 80-year track record of helping donors give effectively has earned us the trust of charities and corporates alike we work with 70% of the FTSE 100 and 45,000 charities. Whether you re looking for effective solutions for your charitable giving, advice on developing sustainable partnerships with charities, or guidance on maximising your impact through the development of a long term strategy, we help you to make more of an impact and derive significant benefit for your company. Our international reach means we can do this on whatever scale fits your needs, with offices spanning six continents. Developing a global corporate responsibility programme requires specialist knowledge to determine how your company can best make an impact in your key markets. Our network of international offices harnesses local knowledge and expertise to design solutions specifically for the benefit of your business and the communities in which you operate. From designing and developing long-term strategic approaches to corporate responsibility, to money- and time-saving tools such as CAF Give As You Earn or the CAF Company Account, you can benefit from our knowledge in all areas of charitable giving according to your needs. 3

4 AMPLIFY YOUR GIVING We help you to manage all your corporate giving more effectively, from objective-setting to benchmarking and reporting. We make it easy for you to keep track of and manage your charitable giving and to encourage employees to make regular donations. Not only does this relieve you of time consuming administration, but also ensures that your giving is tax efficient. Company giving The CAF Company Account provides the ideal funding base for all your community investment activities, making it easy to manage your giving budget in a safe, transparent and effective way, all from a single account which effectively acts as a trust or foundation. You can offset donations against profits, thereby reducing your corporation tax, and donate to any charitable organisation or project worldwide in local currency if desired. Our independent validation of the charities you designate adds the reassurance you require that your money is going to bona-fide charitable causes. The scale of our programme requires a dedicated system to hold and manage distributions. The CAF Company Account is ideal for our needs as it means deposits are automatically made tax efficient, funds are stored transparently in one location and payments to charities are independently validated a particular concern, given the international nature of our programme Dominic Kemps Director of ViiV Healthcare s Positive Action programme 4

5 Case study: ViiV Healthcare The challenge: ViiV Healthcare is a global company established in 2009 by GlaxoSmithKline and Pfizer to deliver advances in treatment and care for people living with HIV. ViiV focuses on taking existing medicines to market, researching and developing new antiretroviral drugs and improving access to treatments. They also combat HIV through their Positive Action project a major investment programme supporting sustainable community projects at grassroots level in 46 countries. Transparency and strong ethics are paramount to ViiV s programme and in 2010 they approached us to see how we could help. They required: a single system to hold funds in one location and help plan and manage their charitable budget clear reporting mechanisms to ensure the transparency of all transactions validation and due diligence checks on all UK and international charities funded by the programme Our approach: The most effective solution for ViiV was our CAF Company Account, a tool already used by hundreds of companies as a platform for community investment. The CAF Company Account holds a company s charitable budget in a ring-fenced account, enabling it to be offset against profits and provides a range of mechanisms to release funds to validated charities. The outcome: We put the facility in place within a few days, allowing ViiV to start transferring across their grantmaking budget at the end of They issued 75 grants to more than 16 countries across the remainder of 2011 with a longer term aim of distributing approximately 5m of charitable funds through the account each year for the next ten years. 5

6 Payroll giving Over 3,000 companies in the UK use CAF Give As You Earn, the UK s number one payroll giving scheme. Your employees can make pre-tax donations straight from their pay packets. Each pound given only costs 80p for basic rate taxpayers even less for higher rate taxpayers. Employees can give to any UK charity, or to the charitable cause of their choice, locally, nationally or internationally. Setting up a scheme is simple. We can help your payroll department to get the scheme up and running, and advise you on the best ways to promote it. Case study: FTSE International The challenge: FTSE International, best known for its FTSE 100 and FTSE AllShare indices, manages a portfolio of over 150,000 indices and serves clients in 77 countries. In 2010, the organisation s charity committee put forward a proposal to introduce payroll giving to its staff. After careful consideration, internal discussion and a positive recommendation from an existing CAF Give As You Earn customer, FTSE International approached CAF. Our approach: With our experience of processing nearly 80m of donations per year, we were able to advise FTSE International s HR and payroll teams on the various options open to them, and put the back end processes in place, so that FTSE International could focus on the all important task of launching to UK staff. Time was a key consideration from the outset and with the support of senior management we felt it was important to make the scheme available to UK staff as soon as possible explains Mel Homes, Senior HR Officer in charge of the launch. Thankfully, CAF were able to turn everything around super-quick, going from meeting in March 2011, to launching the scheme in April 2011 and running our first payroll in May The scheme launched on 6 April 2011 via promotions on the organisation s intranet and an all-day drop-in session, enabling staff to pick up information on the scheme and put their questions to an expert. Since this date, the scheme has featured in the monthly staff e-newsletter and also forms part of the induction process for new staff, ensuring that all new recruits are aware of this benefit from day one. The outcome: The structured planning and communications campaign meant FTSE International achieved rapid and positive response from staff, with more than 5% of employees signing up to the scheme by the end of the first day. In the company s first CAF Give As You Earn payroll run in May 2011, staff donations went to a total of 18 different charities, with all payments taken automatically and tax efficiently from pre-tax pay. 6

7 We are quite simply overwhelmed with the response. The next step will be applying for the Payroll Giving Quality Mark to get external recognition of our staff s contribution to good causes, and we are already talking to CAF about how we can extend the scheme to our remaining staff across the globe. Joanne Roberts FTSE Group, Human Resources Director 7

8 EFFECTIVE EMPLOYEE ENGAGEMENT Key to any corporate responsibility programme is listening to what your employees want, whilst balancing this with your strategic objectives. We help you achieve your aims by developing programmes that account for your employees views, identify the right charitable partners, introduce best practice and generate fresh, new ideas. We work locally and globally to deliver culturally sensitive solutions. Inspiring your employees with matched giving, skilled volunteering and fundraising strategies that link to your business ethos can be a valuable boost to your business through positive effects on morale, staff retention and productivity. Giving to charity as part of a company initiative instils a great sense of common purpose and pride amongst your employees and you can reinforce that sense of partnership by boosting the value of their donations through matching. Matched giving A great way to boost morale and staff retention is by matching your employees charitable activity, from fundraising efforts to volunteering. We can create a tailormade plan that works with your business and community investment aims, increases the value of your employees giving, and gives you flexibility over how you match while also giving your employees a say in how your charitable budget is allocated. It s also tax efficient as you don t pay corporation tax on the money you use to match donations and, when used with CAF Give As You Earn, it s tax efficient for your employees too. Skill-sharing and volunteering While donating money to a good cause is rewarding, enabling employees to donate their time and skills can be equally valuable. Involving them with meaningful work in the community not only creates an effective resource for charities, it also gives your employees the chance to hone their skills in new and challenging situations. We ll help you identify opportunities in the voluntary sector where you can add most value, and conduct an audit to identify your employees skills and interests, so we can design a bespoke volunteering programme exactly suited to your company s size, skillsets, and desired impact. Once the programme is in place we can assess its impact and work with you to adapt it to changing circumstances. Whether you want to support education, employability, homelessness or health programmes, to build the capacity of local community groups and charities, or to work abroad, we will help you and your employees get involved. Company fundraising We can formulate a fundraising strategy that links with your business ethos and set up a dynamic fundraising campaign that engages your employees and customers, for the benefit of the community. This demonstrates your commitment to social responsibility and of course raises much needed funds for your chosen charity. Skilled volunteering is incredibly important and is a natural fit for any highly-skilled organisation Rachel Engel Manager, Macquarie Group Foundation 8

9 Case study: Macquarie Group The challenge: Three distinct organisations came together to develop a skilled volunteering programme that would effectively support local charities based in Islington, London and increase capacity in the not-for-profit sector. Alongside CAF, the three-way partnership was made up of: Macquarie Group a global provider of financial, advisory, investment and fund management services which have their UK headquarters in the inner London borough of Islington. The Cripplegate Foundation established in 1500, uses its local knowledge and extensive experience to develop new ways to tackle poverty in Islington. Our approach: We played a crucial role from carrying out diagnostics on the chosen charities to identify their capacity, governance and support requirements, to facilitating the matching of volunteers and providing best practice guidance through two launch events; as well as providing ongoing support to all the partners and charities during the six month duration of the programme. We also organised a midprogramme review to ensure that it was on track to deliver on its objectives. The outcome: The partnership believes the programme exemplifies how highly skilled organisations can utilise their employees expertise to support third sector organisations that are undertaking a strategic shift in the hope of ensuring their long term survival. In one particular case, the programme enabled four local charities to implement a significant strategic shift by coming together in a consortium, offering a new working model that other charities can replicate. It built confidence in the process, raising ambitions for the future, and has been recognised in the Government s White Paper on giving as part of a case study on the Islington Giving campaign. 9

10 CREATING SUSTAINABLE PARTNERSHIPS You can put our expertise to work to facilitate mutually beneficial partnerships with the charities you choose, whether your scope is local, national or global. As community investment becomes ever more embedded in company strategies, we help link the needs of the communities in which you operate with your company s need to demonstrate return on investment. Using our extensive experience with both companies and charities, we can help you build rewarding long term relationships with carefully chosen charities or projects that meet your objectives. Whilst we support traditional business-charity partnerships, we also look to work with corporates who recognise what charities have to offer in terms of delivering services, expertise and support to businesses through more progressive partnerships. We aim to help our clients build relationships that are based on a collaborative approach delivering mutual benefit and sustainability. Drawing on our worldwide network, we also have the local knowledge and teams on the ground to help you to deliver your community investment programme globally. Charity identification and review With our long experience in the charity sector, we can help you identify the charities and projects that best suit your goals, then help you to manage that relationship in order to create the most rewarding partnership for all stakeholders. Managing your partnership We are well positioned to ensure that any partnership is a good fit with joint objectives, clear accountability and realistic yet ambitious success measures. We can help you devise a pitch process for choosing your charity partners and provide best practice processes and guidelines. Grantmaking strategies Working back from the impact that you want to achieve, we will identify the type of work that your grant funding should support, the type of organisation that delivers this work and the size and length of grant required to achieve your desired impact. We will also help you monitor and evaluate the impact of your funding. To support our work in this area, CAF sponsors and runs several events across the year promoting sustainable partnerships, from Third Sector s Business Charity Awards to seminars that advocate principles of good practice and allow practitioners to network and share learning. Our guiding principles for partnerships that we explore, discuss and illustrate at our events are: moving from funding to investing improving accountability developing combined ownership re-orientating the relationship building multiple partnerships focusing on outcomes and impact 10

11 We were delighted with the support from CAF. We benefited from their extensive expertise globally, which was particularly valuable when working remotely in the UK with global colleagues new to CSR. We would certainly look to engage CAF again if required we have had nothing but very positive feedback from all our stakeholders Beth Courtier Community Investment Programme Manager, BT 11

12 Case study: BT The challenge: BT is one of CAF s long standing clients, having supported BT s payroll giving through CAF Give As You Earn and its payroll giving matching scheme since the inception of both 25 years ago. BT runs an extensive CSR programme in the UK and internationally. It is constantly seeking new ways to extend its activity to involve more employees, deliver greater innovation, promote best practice and bring about greater impact. CAF has worked with BT since 2011 to help it deliver parts of its community investment strategy and address a number of key challenges. This included specific help and support in the delivery of BT s global charity partnerships. Our approach: CAF worked closely with BT s international network to provide local in-country support and knowledge. Working through CAF UK, we worked with our partner organisations in India (CAF India) and Brazil (IDIS) to identify potential partners in these countries to meet BT s strategic objectives. We were able to provide a co-ordinated response to reflect BT s international footprint and its business requirements. CAF undertook the following: Translated BT s criteria for identifying appropriate charity partners to fit local context in Brazil and India. Identified a range of potential projects that reflected BT s focus on digital literacy, innovation, capacity building and volunteering. Undertook the necessary due diligence for potential charity partners. Helped BT select the in-country charity partners that would best suit its criteria, ethos and requirements. Undertook a collaborative process that helped to engage local BT employees with the process of selecting a charity partner and developing a project ensuring ownership in-country. Supported the application to access funding from BT s global fund that ensures the local charity partnership is appropriately resourced over a two-three year period, delivering benefits to beneficiaries and building organisational capacity and sustainability. Provided project management, advice and coordination that helped to engage all stakeholders appropriately and keep to schedule despite multiple commitments. The outcome: Charities were selected by BT from the shortlist provided by CAF. Both countries were successful in securing BT sign-off and significant funding to develop their charity partnerships Liga Solidária in Brazil and HOPE Foundation in India and build flagship projects that will help improve digital literacy within deprived communities. Our approach demonstrated how CAF was able to mirror a client s global and local requirements to develop charity partnerships that helped meet its global strategic ambitions within a local context. 12

13 DEVELOPING A LONG TERM STRATEGY Building a long term sustainable strategy is key to making the most of your corporate responsibility. We are experts in building strategies that will make a difference to your business and to the communities you wish to help. CAF recognises that the combined impact of giving, engagement and partnerships can be maximised by developing strategic approaches with ambitious, achievable objectives. We believe in providing the best advice for our clients and we do this through: our long-established independence and cause universality our in-depth understanding of the charity and business worlds, ranging across sectors our wide ranging corporate responsibility expertise our global presence that helps our clients to develop their corporate responsibility beyond the UK Our expert advisors offer a range of services to help you develop, implement and evaluate your corporate responsibility programme and ensure it continues to deliver against the objectives you set. Scoping and competitor analysis Our experts carry out desk-based and field research to help you better understand the context in which you develop your programmes. This may include: ensuring the causes you choose work for your business a needs analysis of the local community in order to focus on areas where you and your stakeholders can make the greatest difference international research to understand the giving cultures, corporate responsibility landscape and key causes across all the markets relevant to you identifying best practice in volunteering, skillsharing and community investment in areas that are critical for your business providing benchmarking against your peers or sector, through our extensive in-house knowledge of corporate practice, research and corporate stakeholder engagement 13

14 Objective setting We help you to assess your current activity through benchmarking, aligning objectives to your business requirements, and assessing the needs of the community in which you operate. Designing and delivering your strategy We can develop a framework that will enable you to run your programme effectively across multiple locations or multiple markets. We work through an iterative and staged process that ensures we draw in key internal and external stakeholders, reviewing and building on our learnings. We take into account both business and social factors to ensure that your strategy is fit for purpose and has the in-built flexibility to develop with your business and the changing social context. Most importantly, we can work with you to define your key performance indicators and show how they can be achieved throughout your business, your employees and your giving. Reviewing and revising An essential part to developing a strategy and programme is the need to ensure that it meets your objectives. We work closely with our clients to pinpoint key challenges and provide solutions through our sector expertise. We support our clients through regular reviews to develop and progress their programmes. We have an established set of measurements and models to achieve this. 14

15 Case study: Global Investment Bank The challenge: Our client is a global investment bank with over 29,000 employees in more than 100 markets. Despite significant community investment activity worldwide, this has historically been delivered on a country-by-country basis, without an overarching global strategy. They approached us in March 2010 seeking support in engaging their staff in fundraising and volunteering across 13 key markets in the EMEA region (Europe, the Middle East and Africa). We identified two criteria as being key to the project: involving employees throughout the development of the strategy to ensure the resultant programme would be as effective, tangible and emotive as possible taking account of key differences in development and culture across the 13 countries within the region. Our approach: Our first step was to look at research already completed by the client with staff across each of the 13 countries to identify the social issues that were closest to their hearts. This highlighted almost unanimous support for education causes. Secondly, we carried out research in each country, identifying key education-related issues at the local level as well as trends in giving, ranging from preferred donation methods, to government support and tax breaks and whether donors chose to give locally, nationally or internationally. Finally, this research was combined with an analysis of the client s skills base to identify the thematic areas where the client could best invest its finance, human and intellectual capital. This culminated in a refined list of three charities. We then worked with each of the three charities to develop a programme and construct a business case for the client s approval. The outcome: Based on our recommendation, the client opted to support two separate programmes across the EMEA region, maximising the impact they could have locally (ie, countries near their offices) and globally: working with a global training organisation to support young people in career planning, with employees mentoring on career and financial planning and sharing their experiences of the financial sector supporting a well-known international development NGO to raise funds to support an education project in South Africa Both projects launched in 2011, with a commitment to three years support. This strategy is expected to deliver greater impact for the charities involved, as well as engage our client s staff across the EMEA region in skilled volunteering. 15

16 Contact us For more information on how Charities Aid Foundation can help your organisation call to speak to one of our advisors or Charities Aid Foundation 25 Kings Hill Avenue West Malling Kent ME19 4TA W: A/0912 CAF and CAF Give As You Earn are all registered trademarks of Charities Aid Foundation. All rights reserved Registered charity number