{"title":"Making a difference.","authors":"K. Gutteridge","doi":"10.4324/9781315753348-9","DOIUrl":"https://doi.org/10.4324/9781315753348-9","url":null,"abstract":"Many organizations rely on donations of money, time, and effort to function. Here we consider how such organizations motivate donors who are concerned with “making a difference”. Its tension is between a donor’s desire to be marginally important against the firm’s desire to make important objectives less precarious. We show the factors that lead firms to first undertake unimportant objectives, deferring more important ones. We show how competition can exacerbate such distortions. We also show how these issues lead mission based organizations to become less focused than is technologically efficient, to potentially benefit from being inefficient, and to render services in an excessively egalitarian way. We also show how they may choose to avoid initiatives of broad interest, preferring those which appeal to fewer people. ∗University of Chicago Booth School of Business. Email: canice.prendergast@chicagobooth.edu. Perhaps the most common way to encourage donations of time, effort, or money is to ask the donor to “make a difference”. Such exhortations are ubiquitous, and seen in workplaces, schools, charitable solicitations and a myriad of other settings. Given its prevalence, how should institutions organize to encourage donors who want to be needed? The central outcome of the paper is that organizations reliant on donors often benefit by inefficiently allocating their resources. For the main body of the paper, these distortions take the form of prioritizing less valuable activities over more valuable ones. The underlying logic is simple. Donors give more if an important endeavor will not be done without their contribution. This requires important initiatives to be precarious. Yet firms do not like such activities to be precarious, because by definition they are sometimes not done. Instead, they would prefer to prioritize high value activities. Our focus is on how organizations manage such tradeoffs. Our outcomes depend on three ingredients. First, donors care about the impact of their contribution this marginal calculation is how we interpret “making a difference”. By contrast, the organizations that receive these donations care about the impact of all donations. Second, these organizations exhibit diminishing returns. Finally, there is something distortionary that these institutions can do to make donations more marginally valuable. Using this lens, we show a variety of such “somethings” that at face value seem simply inefficient, but which are aimed at attracting donors. We initially show how firms fail to prioritize important objectives over less important ones. In the benchmark model, for sufficiently generous donors the most important problems are more than likely to remain undone. Second, we show how they can exhibit a lack of focus by investing in over a broad range of activities, even thought is no technological reason to do do. Third, sufficient competition between these firms exacerbates these problems. Finally, it can lead to firms benefi","PeriodicalId":85380,"journal":{"name":"RCM midwives : the official journal of the Royal College of Midwives","volume":"34 1","pages":"173-5"},"PeriodicalIF":0.0,"publicationDate":"2018-10-24","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"90943106","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Daring to challenge.","authors":"D. Vine","doi":"10.2307/J.CTT7RW1W.18","DOIUrl":"https://doi.org/10.2307/J.CTT7RW1W.18","url":null,"abstract":"","PeriodicalId":85380,"journal":{"name":"RCM midwives : the official journal of the Royal College of Midwives","volume":"3 1","pages":"297"},"PeriodicalIF":0.0,"publicationDate":"2011-01-03","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"72937783","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Studying: ways to survive and thrive.","authors":"Lisa Common","doi":"","DOIUrl":"","url":null,"abstract":"","PeriodicalId":85380,"journal":{"name":"RCM midwives : the official journal of the Royal College of Midwives","volume":"10 10","pages":"466-7"},"PeriodicalIF":0.0,"publicationDate":"2007-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41039960","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Birth centres: financially viable?","authors":"Sean O'Sullivan, Suzanne Tyler","doi":"","DOIUrl":"","url":null,"abstract":"<p><p>The financial issues for birth centres are: Those that conduct a small number of births--certainly those conducting less than 100 births a year--are unlikely to generate income that covers their costs; In future, all community activity will come under PbR and it will then be much easier to identify how much antenatal and postnatal activity occurs from birth centres and what income should therefore be derived from that activity; Even if a birth centre is financially viable in its own terms, will it make economic sense as part of the entire maternity service? For a freestanding unit, it is clear that in terms of economies of scale, two sites will almost always be more expensive than one; For birth centres to survive, they must be able to demonstrate a sound business case that balances financial affordability with the wider policy agenda. The business case for birth centres has to be made in terms that make sense to the rest of the NHS.</p>","PeriodicalId":85380,"journal":{"name":"RCM midwives : the official journal of the Royal College of Midwives","volume":"10 10","pages":"481-3"},"PeriodicalIF":0.0,"publicationDate":"2007-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41039964","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Safer childbirth: the big picture.","authors":"Danny Ratnaike","doi":"","DOIUrl":"","url":null,"abstract":"","PeriodicalId":85380,"journal":{"name":"RCM midwives : the official journal of the Royal College of Midwives","volume":"10 10","pages":"455"},"PeriodicalIF":0.0,"publicationDate":"2007-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41039958","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Adverse clinical incidents: support for midwives.","authors":"Kathryn Kershaw","doi":"","DOIUrl":"","url":null,"abstract":"","PeriodicalId":85380,"journal":{"name":"RCM midwives : the official journal of the Royal College of Midwives","volume":"10 10","pages":"462-5"},"PeriodicalIF":0.0,"publicationDate":"2007-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41039959","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Public health: why the debate?","authors":"Debbie Garrod, Sheena Byrom","doi":"","DOIUrl":"","url":null,"abstract":"","PeriodicalId":85380,"journal":{"name":"RCM midwives : the official journal of the Royal College of Midwives","volume":"10 10","pages":"470-3"},"PeriodicalIF":0.0,"publicationDate":"2007-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41039961","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Can doulas provide a continuity of care that midwives are unable to?","authors":"","doi":"","DOIUrl":"","url":null,"abstract":"","PeriodicalId":85380,"journal":{"name":"RCM midwives : the official journal of the Royal College of Midwives","volume":"10 10","pages":"490"},"PeriodicalIF":0.0,"publicationDate":"2007-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41039965","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Campaign for normal birth. Beware of institutional defences!","authors":"Dawn Johnston, Jo Harman","doi":"","DOIUrl":"","url":null,"abstract":"","PeriodicalId":85380,"journal":{"name":"RCM midwives : the official journal of the Royal College of Midwives","volume":"10 10","pages":"476"},"PeriodicalIF":0.0,"publicationDate":"2007-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41039962","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Telephone triage in maternity care.","authors":"Susan Kennedy","doi":"","DOIUrl":"","url":null,"abstract":"","PeriodicalId":85380,"journal":{"name":"RCM midwives : the official journal of the Royal College of Midwives","volume":"10 10","pages":"478-80"},"PeriodicalIF":0.0,"publicationDate":"2007-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"41039963","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}