A foundation’s giving can become much more effective and rewarding if it focuses on specific areas informed by an understanding of need. Most foundations want to put their money in areas where it can make the greatest impact, but getting objective information on this can be difficult. Some of the considerations may include:
How do we know where funding creates most impact?
How do we get an objective view on the issues we want to support?
What should be the balance between addressing symptoms or root causes?
How can we work with other foundations to share learnings or co-fund?
Building a strong foundation
A foundation wanted to support charities working in the area of health. It knew its support would be most effective if it targeted a small number of issues but was not sure how to choose them. NPC identified gaps in health provision by looking at how well various needs are met by other funders and government. The foundation was then able to decide on specific focus areas to fund, which included employment for people with disabilities and mental ill-health, and end-of-life care.