Panorama of foundations andendowment funds created bycorporate enterprises - 2016

Can we reconcile performance with public interest?

With the contribution of:

Methodology

§ An inventory of foundations and endowmentfunds in France based on a literature search

§ An online survey from May to June 2016 with apanel of 632 foundations and endowment fundscreated by companies

§ Interviews with 7 foundation managers togather their vision on the sector andperspectives about the general interest

Fondation SNCF FondationGroupe ADP

The Walt DisneyCompany

FondationKronenbourg

FondationAPICIL

FondationBouygues Telecom

FondationOrange

§ 70 foundations and endowments createdby corporate entities have responded toour survey

&

Evolution of foundations andendowments in France

Endowments

Foundations

+ 45

+ 93

Foundations & endowments created bycorporate enterprises:

Among the 510 foundations created bycorporate enterprises:

§ 360 are “Fondations d’entreprise”(Corporate foundations)

§ 116 are “Fondations sous égide”(Foundations under the aegis of anotherfoundation)

§ 34 are “Fondations Reconnues d’UtilitéPublique” (Public Benefit Foundation)

&

In France,

§ 20% of foundations have been created by corporate enterprises (among 2 506 foundations*)

§ 9% of endowments have been created by corporate enterprises (among 2 253 endowments*)

* June 2016

Strategic refocusing:An integrated vision of corporate socialresponsibility

The time of maturity

Towards the expression of anintegrated social responsibility

[ Patronage: an increasingly strategicactivity for the company

To which department of the company is thefoundation operationally connected?

[ Towards a global strategy of citizenengagement?

68 % of respondents see theiractions linked or integrated intothe company's CSR strategy

&

+ 4 pts

The time of maturity

2008/2016

+ 4 FTE

[ A dynamic associated with a strongerendowment of human ….

[ …and financial resources

Number of employees (full-time equivalent)

General manager gross salaryIn K€ (full-time equivalent)

Annual budget 2016(excluding the valuation of salaries or equipment)

Since 2014, we observe:7 % increase in average budgets9 % increase in median budgets

1

&

+ 12%Less than 40

Between 40 and 70

More than 70

Number of respondents

Average budget

Median

The time of maturity

Towards a generalizationof partnerships based onCo-construction of theproject

[ Proactivity in research and selection ofprojects…

[ … and long-term commitments towardsoperational partners

How do you select funded projects?(Several possible answers)

%Proactive project search 55 %One-off call for projects submitted to a selectioncommittee / board of directors

54 %

Call for projects in continuous flow submitted to aselection committee

33 %

Other 17 %

Base : 69 répondants

80 % of respondents supportprojects on a multi-year basisagainst 72% in 2014

&

Refocusing on a specific thematic:Enhance the social impact performance

Culture & heritage

Education

Employability

Health & research

Other

Environment

Social welfare(Poverty / Social exclusion)

Social economy(social entrepreneurs)

International solidarity

The time of maturity

+ 12 pts

+ 4 pts

THE 3 MAIN AREAS of intervention:

Social welfareEducation

Employability

EmployabilitySocial welfare

Education

[ Refocusing on human development

What is your main area of intervention ?(Several possible answers)

76% of respondents develop cross-patronage through the support of projects that coverseveral areas at the same time (e.g.: Culture & Education, Employment & Sport…)

&

The time of maturity&

[ Key players remain employees

Do you offer employees the opportunity to getinvolved in actions supported by your organization?

- 11 pts

YES NO IN PROGRESS

%Actions focused on employees'skills? (probono, skillpatronage, etc.)

30 %

More traditional solidarity actions (fundraising,solidarity events, etc.)

13 %

Both 57 %

Base : 46 répondants

87 % of the foundations thatmobilize the employees of thecompany offer them missionsfocused on their business skills

%On their working time 15 %

On their free time 28 %

Both 57 %

Base : 47 répondants

When you encourage your employees to getinvolved, is it:

Geographical refocusing:Concentrate actions on the anchoringterritories

The time of maturity&

- 4 pts

+ 8 pts

ABROAD

BOTH

FRANCE

[ French foundations are more focus ontheir direct environment

Geographical sphere of respondents

71 % of endowments andfoundations take into account thegeographical location of theirprojects (plus 20 pts since 2014)

Refocusing of communication:The necessary rise of the image

To have people talk aboutyou without talking oneself

%Internal 19 %External 3 %Both 78 %None 0 %

Base : 69 respondents

The time of maturity

81%

Towards a communicationof prescription

&

87 % of respondents consider thattheir communication has a positiveimpact on the company's image

[ A desire to be known beyond theborders of the company

[ Social networks play an increasing partin the communication strategy

Social networks

Public relations

Independentfoundation web site

Corporate web site

Brochures

At what level thecommunication takes place?

What communication tool do youuse to value your projects?

Evaluation process:Generalization and integration of practices

+ 5 pts

%Yes, project or programme evaluation 54 %Yes, a global evaluation of our organisation 10 %In progress 18 %No evaluation performed 18 %

Base : 68 respondents

Evaluation as a tool fordecision-making

64%

Towards the internalizationof the evaluation process

&

[ Evaluation is now applied to all programs

Have you implement an evaluation process?

Who performs the evaluations?

%One of your employees/departments 82 %Your beneficiary 32 %An external assesor 18 %

Base : 50 respondents

Evaluation is no longer theexclusive practice of largecompanies

Evaluation as a tool fordecision-making

+ 8 pts

&

[ Evaluate for better managing

What are the main benefits of the evaluation process?(several possible answers)

Measure the social impacts of your activities / projects

Improve your project monitoring

Report on the project performance

Contribute to measure the impacts of the company's CSR policy

Challenge the organization strategy

Make savings / Be more efficient

In other words :Towards a « performance oriented » patronage

Key learnings…

ü More strategic patronage...

ü ... key to citizeninvestments of companies

ü Maturity is observed at alllevels

ü Logic of optimization andstreamlining forces

ü Co-construction andcollective patronage

ü Towards mutualenrichment

ü Employee mobilizationand HR issues

ü Evaluation, aperformance orientedculture

&

Identifying collectively the priority needs,experimenting, creating links to multiply theeffects, innovating, perpetuating, measuring theaction and adapting it to make it accessible to asmany as possible *:Could you find a better definition of thePublic Interest ?

How to serve thePublic interest?&

* Jean-Paul BaillyPrésident – Les entreprises pour la Cité

Témoignages

Anne RamondaExecutive directorEY – Social economy / Not for profit sector

anne.ramonda@fr.ey.comMob: +33 610 255 599ey.com/fr

Thank you for yourattention