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Philanthropy comes from the Greek meaning love of humankind. It is a multifaceted term, with many layers of meaning in both its historical and its contemporary usages (Sulek 2010). Indeed, there are many motivations for philanthropic activities, including the love of other persons, the beautiful, the good, the divine, and wisdom; personal excellence, civic virtue or morality, rational understanding, moral sentiment, and goodwill; and the pleasures of social interaction. The Indiana University Lilly Family School of Philanthropy uses Robert Payton's broad definition of philanthropy – voluntary action for the public good – as a foundation for its work. This voluntary action encompasses many forms of giving, volunteering, and association. In this conception, philanthropy is purposeful in both action and intention, seeking to improve the human condition and contribute to democracy through pluralism, community, and championing people's rights (Payton and Moody 2008).

Philanthropy is social action that addresses human and civic needs. Philanthropy improves the welfare of others and in doing so improves one's own life, providing multiple pathways for change and improvement. From this standpoint, the roles of philanthropy, as defined in Chapter 1 and illustrated in Figure 6.1, are generally considered to be: reducing human suffering; enhancing human potential; promoting equity and justice; building community; providing human fulfillment; supporting experimentation and change; and fostering pluralism (Tempel 2003). These seven roles of philanthropy can be seen as interconnected pieces, at the heart of which is community.

FIGURE 6.1. SEVEN ROLES OF PHILANTHROPY

Source: Tempel 2003.