There are a few risks associated with corporate charitable efforts, but they are generally manageable. The biggest risk is that the company’s charitable donations may be perceived as an attempt to buy goodwill or influence public opinion. This can be avoided by collaborating with corporate philanthropic experts regarding how to manage where to donate and the most beneficial strategy for a company wide opportunity.
Another risk is that the company may not have a clear strategy for its philanthropic activities, which could lead to wasteful spending or ineffective use of resources. This is why inspiring people have created programs to provide companies with direction and results for philanthropic opportunities.
Finally, companies should be aware of the potential repetitional risks associated with their charitable activities, such as becoming associated with controversial causes or engaging in activities that could be interpreted as self-serving.
Overall, these risks are relatively minor and can be easily managed with proper planning and oversight. When done correctly, corporate philanthropy can be an extremely effective way to build goodwill, improve organizational relations, and make a positive impact on society.