Ethical Lessons for Philanthropy from Baseball

Twenty-five years ago, on August 23, 1989, the Commissioner of baseball decided that Cincinnati Reds baseball player Pete Rose would receive a lifetime ban as a result of gambling on the game. It was a sad day for Rose and an even sadder one for baseball. Rose, also known by his nickname Charlie Hustle, still holds the all time record amassing 4,192 hits and helped to win almost 2,000 games. His achievements, under normal circumstances, would be recognized in the Baseball Hall of Fame. After all this time, however, Rose’s career continues to be marred by scandal. To the powers in baseball and many fans, ethics and integrity mattered more than results. It is a lesson that baseball is still trying to learn as it has dealt with many other controversies since then.

As I read various news accounts of this anniversary, I thought that the Pete Rose story also provided a valuable lesson for philanthropy. A growing interest in demonstrating charity impact — what results a charity has achieved in addressing its mission — is getting increasing attention. Organizations, consultants and other analysts are working hard to develop metrics that will provide statistics that intend to show whether charities are making an identifiable difference in addressing society’s problems. I’ve heard some people say that results are the only thing that should matter when donors make a giving decision.

Rose reminds us, however, that winning results aren’t everything – far from it! If you operate under an ethical cloud, it can haunt your image for many years to come and potentially tarnish respect for the profession you represent. If philanthropy solely focuses on charity impact and neglects the importance of maintaining trust, it won’t have learned from Charlie Hustle.

We at the BBB Wise Giving Alliance recognize the significance of impact and encourage charities to regularly assess their performance, but our standards also call for strong oversight by the charity’s governing board, honest appeals, and transparent disclosures on charity websites, among other things. We hope that charities will be able to demonstrate their winning statistics but also recognize that earning trustworthiness by adhering to accepted ethical practices is important as well.

H. Art Taylor
President & CEO
BBB Wise Giving Alliance