3 Ways Philanthropy Can Add to Your Company Culture

Make an impact on your community and your employees at the same time.

learn more about Chirag Kulkarni

By Chirag Kulkarni

Hero Images | Getty Images

Opinions expressed by Entrepreneur contributors are their own.

When most entrepreneurs set off to start a new venture, they are driven by the notion that their unique idea or product can add real value to people's lives. But, before business leaders can improve the well-being of customers, they first have to find ways to add value to the lives of their employees.

In an effort to attract and appease employees, entrepreneurs often pad company cultures with perks: cool office spaces, new technologies and fully stocked fridges. While these additives are enticing, the novelty often wears off quickly.

Los Angeles-based entrepreneur and investor Blake B. Johnson has seen success over the course of his 16-year career because he doesn't build his company cultures around shiny objects; instead, he cultivates a foundation of serving others. "When my employees participate in community-building programs outside of the office it creates an unparalleled buzz inside the office. After team volunteering events, people are generally happier and more productive. The chance to work together to build something solely for the benefit of serving others is more motivating than any office perk or team-building exercise," Johnson says.

When individuals are encouraged to come together as a team to help others, it often spurs deeper employee engagement.

Related: 15 Ways to Lead With Effective Communication

1. Giving back fuels happiness.

It has been scientifically proven that giving back is one of the pillars of health and happiness. In fact, participating in altruistic activities actually stimulates the brain and sparks the release of dopamine and endorphins. Every employer knows that a company is most at danger when its employees are unhappy at work. Not only does unhappiness lead to a lack of productivity, but it also brings on high turnover rates. Building a corporate culture around volunteering is one of the smartest moves an entrepreneur can make to serve the good of the company -- and community -- simultaneously.

2. Community building drives team bonding.

No charitable organization can exist without the financial contributions of others, and in 2016 corporate giving accounted for $18.55 billion in charitable donations. Funding programs will always be paramount to the success of community-building initiatives. However, writing checks and encouraging employees to donate to annual drives and fundraisers doesn't have quite the same internal effect.

Philanthropy in any shape and form is always positive, but social initiatives that encourage team members to work together have a stronger ripple effect on company culture than those that just ask for monetary contributions. Yes, it's nice to know that your employer's contributions may have helped fund new classroom materials or holiday toy drives, but it's hard for employees to feel truly connected to those causes because they have no direct involvement.

Related: 22 Qualities That Make a Great Leader

But, when employees are encouraged to participate in ongoing volunteer programs like Big Brothers Big Sisters of America, they witness firsthand how donating their time can actually change the course of other people's lives. Showing up and working with people who are less fortunate not only creates a sense of accountability, but it also offers real-time gratification that motivates individuals to continue participating and finding ways to give back.

3. Charitable initiatives lead to job fulfillment.

Regardless of industry or job title, most individuals want to feel as though they are contributing to something bigger than themselves and making a positive and lasting impact on the world around them. People want to take pride in their work, even if their current job is not necessarily their dream career. Working for organizations that encourage individuals to focus on more than just meeting sales goals or garnering client wins sparks a greater sense of fulfillment.

Gen Z employees are especially focused on finding ways to make an impact, and working for companies that highlight volunteer work as core cultural component helps young professionals feel more satisfied and, subsequently, more productive, in their roles.

Related: Inspirational Quotes From 100 Famous Business Leaders (Infographic)

Azazie, an ecommerce company specializing in bridesmaid dresses and bridal gowns, has built a company culture steeped in giving back. From donating dresses to organizations, including The Princess Project and Brides For a Cause, to holding essay contests for student scholarships, Azazie sees its employees thrive when given the chance to work together to help others who are less fortunate.

We live in an era where every facet of businesses is on full display for the public. This transparency has encouraged organizations across all verticals to build more robust social responsibility programs. It's rare to browse a company website and not see coverage of their philanthropic contributions. But, the companies that take their philanthropic efforts to the next level -- and give for the sake of giving, rather than to attract positive press -- show employees that they actually care about their general happiness and development.

Chirag Kulkarni

CMO of Medly

Chirag Kulkarni is the CMO of Medly, a digital pharmacy in New York City.

Related Topics

Editor's Pick

Everyone Wants to Get Close to Their Favorite Artist. Here's the Technology Making It a Reality — But Better.
The Highest-Paid, Highest-Profile People in Every Field Know This Communication Strategy
After Early Rejection From Publishers, This Author Self-Published Her Book and Sold More Than 500,000 Copies. Here's How She Did It.
Having Trouble Speaking Up in Meetings? Try This Strategy.
He Names Brands for Amazon, Meta and Forever 21, and Says This Is the Big Blank Space in the Naming Game
Thought Leaders

The Collapse of Credit Suisse: A Cautionary Tale of Resistance to Hybrid Work

This cautionary tale serves as a reminder for business leaders to adapt to the changing world of work and prioritize their workforce's needs and preferences.

Green Entrepreneur

A Massive Hole In the Sun May Cause Dazzling Light Show Here On Earth

NASA says the coronal hole could blast the Earth with solar winds as early as Friday. What does this mean?

Business News

These Are the Most and Least Affordable Places to Retire in The U.S.

The Northeast and West Coast are the least affordable, while areas in the Mountain State region tend to be ideal for retirees on a budget.

Business News

The 'Airbnbust' Proves the Wild West Days of Online Vacation Rentals Are Over

Airbnb recently reported that 2022 was its first profitable year ever. But the deluge of new listings foreshadowed an inevitable correction.

Leadership

'Bare Minimum Mondays' Could Mean Productivity 'Hell' for the Rest of the Week, Expert Warns — Here's How to Prevent It

Executive coach and Merging Path CEO Brooks E. Scott reveals what employers should do to stop burnout before it starts.