Is Philanthropy the Missing Key to Lasting Systemic Change?

This article was written by a 2025 Mutz Philanthropic Leadership Institute class member.

In the wake of growing social and economic inequities, philanthropy has emerged as a force not just for charity, but for systemic change. I first realized this while working with an organization focused on girls and teaching them to be strong, smart, and bold. Through this work, I witnessed firsthand how targeted investments in education, mentorship, and leadership development can empower individuals and transform communities. It became clear that philanthropy, when strategically applied, has the power to address root causes, challenge injustices, and create lasting opportunities for those who have been historically marginalized.

Philanthropy has long been viewed as a way to support marginalized communities and innovative solutions. But true, lasting change requires influencing the policies that shape our society. The intersection of philanthropy and public policy is where real transformation happens. So let’s explore why advocacy is an essential component of effective philanthropy, drawing from my personal experiences and larger trends that spotlight its potential.

The Power of Advocacy: A Personal Story 

My journey into philanthropy was not a straight path. I started my career in Corporate America, climbing the ladder and embracing the fast-paced, profit-driven environment. Success was measured in quarterly earnings and individual achievements. While I was financially secure, I often questioned whether my work was truly making a difference beyond the bottom line.

One of the most transformative experiences of my journey was my work with a Hospital Foundation. Initially, I started as a volunteer, drawn by a desire to give back in a more meaningful way. As I became more involved, I saw firsthand how philanthropy played a crucial role in bridging gaps in healthcare access, funding critical medical research, and improving patient care. My efforts in fundraising grew, and before I knew it, I was leading initiatives that had real, tangible impacts on the hospital and the community it served.

I made the leap into the nonprofit sector, bringing with me a business mindset but an entirely new perspective on success. Through dedication and a deepening passion for systemic change, I eventually transitioned from a volunteer to the Director of the organization. This leadership role gave me a front-row seat to the immense power of philanthropy—not just in providing resources but in shaping the organization that can influence healthcare accessibility and outcomes. It reinforced my belief that philanthropy, when aligned with advocacy, can drive long-term solutions rather than just temporary relief.

From Charity to Systemic Change: The Impact of Advocacy 

Traditional philanthropy often focuses on providing services, but without addressing root causes, the cycle of need continues. Advocating for policy changes allows philanthropy to have a more profound and lasting impact.

A key driver of this approach is the "We over Me" mentality that many philanthropic leaders embrace. This philosophy recognizes that systemic change is not about individual success or legacy-building, but about collective progress. It is the belief that when one community thrives, we all thrive. By focusing on broad, inclusive impact rather than isolated giving, philanthropic leaders can leverage their resources to drive meaningful and equitable policy reforms.

Philanthropic organizations have unique advantages in advocacy. They can take risks that governments and businesses often avoid. They have access to data, research, and networks that can shape public opinions. And, crucially, they have the financial resources to support grassroots movements, think tanks, and lobbying efforts that drive policy change.

A Call to Action for the Philanthropic Community 

While many in philanthropy recognize the power of advocacy, not all are willing to engage in it. Some fear the political implications, while others hesitate to divert resources from direct service programs. However, philanthropy without advocacy is like trying to fill a leaking bucket—helpful, but ultimately unsustainable.

More philanthropic organizations must embrace policy influence as a core strategy. This means:

• Partnering with advocacy groups and policymakers to push for systemic reforms. 

• Funding research that supports evidence-based policy changes. 

• Using their platforms to elevate the voices of those directly impacted by social injustices. 

• Embodying the "We over Me" mindset—understanding that philanthropy is most effective when it prioritizes collective well-being over individual recognition. 

By shifting from charity to systemic change, philanthropy can move beyond treating symptoms and start tackling the root causes of societal challenges. 

Philanthropy has the potential to do more than alleviate suffering—it can reshape the very structures that create inequity in the first place. My journey in the field has shown me that while direct service is crucial, it is advocacy that can unlock lasting progress.

If philanthropy truly seeks to create a better world, it must step into the policy arena. The question is not whether philanthropy should engage in advocacy, but how boldly it will do so. What policies could change if more foundations used their influence for systemic reform? The answer could shape the future of our society.