Report: Key Trends in Foundations With Lean Operations
Exponent Philanthropy, a philanthropic network dedicated to foundations with lean operations, has released its 2025 Foundation Operations & Management Report (FOMR). Based on responses from more than 300 foundations, this annual benchmarking study provides insights into how these funders are adapting their leadership, governance, grantmaking, and investment strategies to maximize impact.
Key Findings
- Catalytic Leadership in Philanthropy (CLIP) Gains Momentum: 68% of foundations reported maintaining authentic relationships with communities, and 65% collaborated with other funders to amplify their impact.
- Equity and Inclusion Remain a Focus: While racial equity remains a priority, disability inclusion efforts lag, with only 7% of funders implementing related strategies.
- Grantmaking Becomes More Flexible, but Multiyear Funding Lags: 75% of foundations provided general operating support grants, yet only 28% offered multiyear general support, limiting nonprofits' long-term stability.
- Board Diversity Improves: 27% of foundations now have two or more people of color on their board, and the percentage of all-white boards dropped to 58% in 2023, continuing a five-year trend of increasing diversity.
- Gender Pay Gap Widens: Despite women making up 71% of foundation CEOs, they earned just 73 cents for every dollar earned by their male counterparts.
“Foundations with lean operations play a crucial role in building strong communities, and this report offers a roadmap for how they can lead with impact,” said Paul D. Daugherty, CEO of Exponent Philanthropy. “By embracing Catalytic Leadership in Philanthropy, funders can move beyond grants and drive lasting change.”
To download the full report, visit Exponent Philanthropy's website.
The preceding post was provided by an individual unaffiliated with NonProfit PRO. The views expressed within do not directly reflect the thoughts or opinions of NonProfit PRO.
