“Cookie-cutter” business-charity partnerships that rely on short-termism and misaligned goals are wasting money and limiting effectiveness, new research has warned.

A report from the think tank Pro Bono Economics, released today, has urged charity-business partnerships to adopt a longer-term focus and be driven by shared purpose in order to achieve lasting societal change and prevent money being wasted.

The study, A prosperous partnership: supporting better collaboration between charities and business, warned charities and businesses against forming “cookie-cutter partnerships” and “off-the-shelf programmes” that organisations build without tailoring them to their needs and values.

It said: “Short-term Charity of the Year efforts which are highly competitive and burdensome to apply for are an example of these, where charities are picked up and dropped, and serious money is wasted when charities are pitted against each other.

“Similarly, some charities are still inventing work for corporate volunteers to do, in order to secure the donations which accompany the activity.”

The report highlighted a number of barriers to success when it comes to short-term partnerships, including a lack of defined purpose and values.

“Without clearly defined goals, both sides can find they are not on the same page and the partnership often ends up imbalanced and unfair, with partners pulling in different directions,” the report says.

It adds that misaligned ambitions can also cause problems, with some respondents to the think tank’s consultation saying that despite charities’ growing need for additional volunteering support, individuals within businesses did not always share the ambition to meet these needs.

Other barriers to success highlighted by the report include shifting environmental, social and governance priorities, with some respondents saying that businesses’ transition from traditional ESG frameworks has “heightened the transactional nature of business-charity partnerships”. 

Uneven buy-in from corporate partners and resource constraints were also flagged as potential challenges to productive partnerships.

The report says that if businesses and charities wish to move beyond “cookie-cutter” partnerships, they must develop and maintain a shared sense of purpose; prioritise clear communication; establish structure and strategy; and adopt a long-term focus.

It added that gold-standard business-charity partnerships are “built on real, meaningful joint purpose”. 

Matt Whittaker, chief executive of Pro Bono Economics, said: “Business-charity partnerships can – and do – change lives when done right. But too often they fall short of their potential. 

“Short-term charity of the year efforts pit organisations against each other in beauty parades that are only skin deep, while some charities continue to invent work for corporate volunteers to secure the donations that accompany the activity. 

“Ultimately effort is wasted, relationships break down and opportunities to make a difference are missed. 

Whittaker added: “By committing to long-term, meaningful collaboration that is underpinned by open communication and clear strategic alignment, businesses and charities can create value not just for themselves but for society as a whole.”

Chris Pitt, group impact director at the Benefact Group, a charity-owned group of specialist financial services businesses that gives all of its available profits to charity and causes, said: “As this report shows, the best business-charity partnerships are defined by a shared purpose, clear goals and a long-term commitment on both sides.

“The business benefits of these kinds of partnerships are manifold – increased awareness of societal issues, learning opportunities from charities that are specialists in their fields, and more engaged colleagues, thanks to meaningful volunteering opportunities.”