Like so many other industries, the world of non-profit organizations is changing at an alarming speed. The question is what are we doing to keep up? How are charitable organizations responding to these changes? How will these changes impact the organizations fundraising ability?

Our society is preparing for a great shift of wealth from one generation to another, a shift that has already begun, but have we prepared a new generation of volunteer leaders? Have we changed our tactics significantly enough to meet the dramatically changing needs of this new generation of donors and volunteers?

Michael J. Rosen, CFRE, a direct response and gift-processing consultant for over 20 years, has served on the Boards of the AFP Foundation, the Jewish Federation of Greater Philadelphia and the Pennsbury School Foundation. His clients have included universities and colleges, healthcare organizations and performing arts organizations.

When asked about finding volunteer leadership in the next generation for philanthropy, Rosen responded, “The number one reason why people don’t volunteer is that they are not asked. Volunteer leadership and staff need to engage new volunteers, train them and provide good opportunities.”

Rosen believes that there has been a fundamental shift in the nature of volunteering over past decades. “One problem young people today face is that at one time we were able to have one person working, which typically left one person at home to volunteer. When you have both spouses working, by wish or financial necessity, time is at a premium. “

Lawrie Pollard, Chairman of Pollard Banknote in Winnipeg, Manitoba, has been a fundraising volunteer for over 50 years. His experience has included acting as Past Campaign Chairman of the United Way in Winnipeg, and volunteer work with the Boards of the Salvation Army, Cancer Care Foundation, the Winnipeg Foundation and his role as the Honourary Campaign Chair, Victoria Hospital.

Pollard agrees that the fact that families today often have two parents working leaves less time for volunteerism. “Children are also very involved in activities. As a result, competition for a person’s time has become more demanding.”

There has also been a fundamental shift in the age of top executives and their career cycle says Pollard. “When you get into corporations – life insurance companies, banks, oil companies, department stores - 40 years ago the leader of a corporation was 55-65, today they are 45-55. People are burnt out at 55 or 58 and leaving companies. This makes it difficult to find volunteers. The responsibilities that each individual holds keep him or her very busy and doesn’t leave much time for volunteering. Now you must find individuals who are self-employed or work for smaller companies, to approach, and show them how their contribution can benefit.”

How do we better meet the needs of the next generation of volunteer leaders? Rosen remarks, “We need to look at making experiences more rewarding. Volunteerism is still very strong in the U.S. – higher than in many other countries. We need to ask volunteers for help in very specific projects, and let them know what they will be involved in, and show them that their work will have a positive impact.”

It would appear that the type of volunteer has changed; therefore so too must our approach as fundraisers to volunteer recruitment. An example of this is the Jewish Federation of Greater Philadelphia who has developed specific strategies to get young people involved, develop leadership skills and develop future leaders. Some organizations are looking at creative ways of doing this.

Pollard says that he has a concern about finding leadership in the next generation –
companies are consolidating business in one office, becoming nationalized rather than regionalized, with fewer senior staff in regional offices. “Historically, when you are going out to fundraise – you could fill key spots by going to major corporations. Corporations are not necessarily supplying the key donors to significant campaigns. Twenty years ago there was a surplus of people – you could go and say we’d like a senior person from your company to work on the cancer campaign. Today, instead of going to corporations they look to individuals, financial advisors, life insurance people, making significantly more money than years ago.”

Pollard states, “The people you really would like are very busy people. The impact is that people can’t give as much time as they would have 5-10 years ago, putting more pressure on the agency doing the fundraising to have professional staff.”

Rosen feels that fears about a lack of volunteer leadership may be unfounded, “We know that there is a correlation between philanthropy, volunteerism and religion. Younger generations seem to be more involved religiously and this bodes well for both volunteerism and philanthropy in the future.”

Although some may feel that the younger generation are not “stepping up” to take over leadership roles in philanthropy, others feel there is an “old guard” who is reluctant to relinquish power. Rosen adds, “This is not new nor is it necessarily a bad thing. There is something to be said for the wisdom that comes from age and experience.”

The nature of philanthropic motivation is also changing. Says Rosen, “People are not as brand loyal to charities as they once were. They want to support strategic philanthropy, raising money to support specific strategic objectives with measurable outcomes. People want more immediate results from their gifts and want to know what they are accomplishing.” Strong stewardship becomes the mechanism to address what these younger donors are seeking.

For planned giving professionals, it becomes essential that your organization becomes adept at working with non-traditional (younger than average) prospects, through their planned giving programs and recognition societies.

The bottom line is, existing volunteer leadership and professional staff need to review their strategies regularly, and that takes effort. It’s about taking a donor-centric approach to development.

Pollard says he is concerned that we are a wealth-creating nation today. “We have gone 50 years or more since end of the war with good prosperity. We have today a generation that has been able to live for 50 years without a serious economic problem. The older generation has accumulated a certain degree of wealth that will be passed onto the next generation. Coupled with that is the fact the next generation are very busy people.

When Pollard was involved in a cancer fund drive, one of the individuals on the organizing committee said “I associate with a wide group of people 40ish in age, all of whom who earn significant incomes into the six figures. Since I have become involved in the cancer cause, not one of these guys has ever been asked for a significant contribution.” Although these individuals received direct mail, fundraisers tended to bypass this group because they don’t see them. These were individuals, financial advisors, contractors etc.

“We who are out canvassing for money – don’t see them. They are not asked. The older generation who have the wealth, are asking themselves, ‘What are those people doing to educate their children as to the responsibility of the wealth that will be passed on to them?’ I worry that this generation just doesn’t see the responsibility they have for the wealth they are acquiring. Getting big homes and fancy autos, cottages, etc.” Pollard has trouble getting used to that because his generation earned the money themselves, rather than inheriting it. “Younger people are better educated and are being recognized and are handling very responsible jobs now and in some major corporations being ‘ridiculously well-paid.’ They are responsible for a large amount of income at a younger age. This is why education about the responsibility people have to their community is so essential.”

Remarks Pollard, “Perhaps we need to have more hard times to help people reflect more. “