Feature articles by Kelby Krabbenhoft and William C. McGinly, PhD
EDITORIAL
People who give money to charitable causes are happier than they are when they spend money on themselves, according to a new study discussed in the March 2008 issue of Science. That’s good news, because we in healthcare have lots of room to spread good cheer. With rising costs, insufficient insurance reimbursement rates, and major capital needs for construction and IT, many hospitals are under financial siege. Philanthropy has relieved the pressure for some healthcare facilities. If you are asking the question, “How did they do that?” you are not alone. This issue of Frontiers is dedicated to, as Oprah calls it, the “big give.”
What makes someone want to give money or other financial assets to a healthcare system? After all, hospitals are frequently one of the largest employers in town. Most people see all those smart people in white coats or blue scrubs, huge buildings, and awesome technology, and they imagine the hospital is a picture of organizational health and wealth. But we know that can be deceptive. Our facilities are the insurers of last resort for a growing number of the uninsured; our buildings and infrastructure are aging (how many of you still operate in buildings built in the age of Hill Burton?); and the constantly expanding frontiers of research and science compel us to invest in more and more technology. We are reaching ever deeper into our pockets to fund our mission—to provide more and better healthcare to a demanding consumer.
There is help. A few hospitals have received transformational “mega gifts,” and it’s clear that with the right commitment, priority, and strategy, other healthcare providers could tap into that spirit of generosity. Philanthropy could even help end those sleepless nights (well, maybe not, but it could make some dreams come true).
The story of how the former Sioux Valley Hospitals and Health System became Sanford Health is fascinating. This article takes us through the groundwork development and relationship building involved in a transformational gift of $400 million. Its understanding of philanthropy as a lesson in healthcare leadership is insightful. The gift didn't happen overnight and it didn't happen out of luck. It came through a compelling vision, important core values, and a commitment to action.
Some healthcare executives believe they can’t get substantial donations, and so have not made philanthropy a part of their corporate strategy. It’s been relinquished to the realms of an occasional black tie event and silent auction. Others understand that developing philanthropy is all about building relationships, about meeting the needs of individuals who have the capacity and will to provide mega-gifts. These are people in a self-actualizing stage of life—according to Maslow—whose need is to give back, to make a difference for someone else.
As William C. McGinly writes in the second feature article, funds raised through healthcare philanthropy climbed 11.5 percent in 2006 over 2005, to nearly $8 billion. That’s a significant amount of money.
Judging from the experiences you will read about in this issue, developing philanthropy is worth the effort. As the research report in Science suggests, you’ll even spread happiness. We could all use a little more of that!
