The PM Podcast: The Painful Things – A Conversation with Eileen Heisman
Release Date: March 22, 2025
Introduction
Host: Jay Frost
Guest: Eileen Heisman, Founding President and CEO of National Philanthropic Trust (NPT)
Eileen Heisman stands as a titan in the philanthropy sector, having grown NPT into a global powerhouse facilitating over $63 billion in charitable giving. A ten-time honoree on the Nonprofit Times Power and Influence Top 50, Heisman has advised world leaders, taught at the University of Pennsylvania, and significantly shaped the future of Donor Advised Funds (DAFs). This episode delves into her journey from a small-town upbringing to leading one of the nation's foremost philanthropic organizations, exploring the intersections of personal challenges and professional achievements.
Early Life and Influences
Eileen’s childhood in Horsham, Pennsylvania, was marked by a blend of intellectual curiosity and deep community engagement, instilled by her parents. Her father, a Bronx native, nurtured her interest in inventions and innovations, often discussing topics from pygmies to thermodynamics through magazines like National Geographic (00:00). Her mother, a nurse with a passion for politics and community service, led by example through activities like door-to-door canvassing and organizing Thanksgiving meals for the needy.
Notable Quote:
“We need to invent new and different approaches to address social problems. But it takes inventiveness and resources to let that incubate and happen.”
— Eileen Heisman [00:00]
Educational and Early Career Path
Despite her rural upbringing, Eileen pursued higher education, reflecting her parents' emphasis on finding her own path rather than following theirs. She studied social work with a focus on social program evaluation at the University of Michigan, where she was part of the first cohort dedicated to this emerging field (17:07). However, her passion for direct interaction led her away from data-centric roles towards legislative work.
Notable Quote:
“I want to find what I really want to do, what my heart led me to do, and not what they wanted me to do.”
— Eileen Heisman [01:45]
Transition to Fundraising and Politics
Eileen’s foray into politics began as a legislative aide for Councilwoman Joan Specter, eventually advancing to become the finance director for Senator Arlen Specter’s 1986 reelection campaign (19:20). This role honed her fundraising skills, despite the challenges of working in a high-pressure, demanding environment.
Notable Quote:
“You have a way of saying no to people and they still like you afterwards.”
— Eileen Heisman [29:02]
Founding the National Philanthropic Trust (NPT)
In the mid-1990s, Eileen identified the burgeoning potential of Donor Advised Funds (DAFs) and founded NPT. Leveraging her extensive experience in fundraising and her innovative approach, she navigated the complexities of establishing NPT as a leader in the philanthropic sector. Her strategic partnerships, such as with Giving Capital, and her adept handling of major gifts, including a pivotal $200 million donation, were instrumental in NPT’s exponential growth (37:21; 42:46).
Notable Quote:
“I know about donor advised funds. I know a lot about planned giving and gifts of illiquid assets.”
— Eileen Heisman [33:23]
Challenges and Personal Struggles
Balancing her demanding career with personal life posed significant challenges for Eileen. As a single mother dealing with her son's severe behavioral issues, she often felt the weight of her responsibilities both at work and home. These personal battles highlighted the duality of her life—achieving professional success while grappling with profound personal pain.
Notable Quote:
“Being a parent to him didn’t bring that satisfaction. It was frustrating and sad. I cried about it a lot.”
— Eileen Heisman [83:38]
Reflections on the Nonprofit Sector
Eileen offers a critical perspective on the nonprofit sector, emphasizing the need for better access to capital and a shift away from the stigmatization of overhead costs. She argues that without adequate funding for research and development, charities are constrained in their ability to innovate and address complex social issues effectively.
Notable Quote:
“There's no R&D access to capital... it's really like, watch how charities have to fix problems in smart, efficient ways with no R&D access to capital.”
— Eileen Heisman [88:53]
Transition from CEO and Current Endeavors
After 28 years leading NPT to a $63 billion charitable footprint, Eileen decided to step down, seeking a balance and exploring new avenues such as teaching, writing, and consulting. Her departure was marked by her desire to find personal fulfillment beyond the relentless demands of her role at NPT.
Notable Quote:
“I just decided I have to take the high road... I had to do my best job ever, service the donors and be a good citizen of the sector.”
— Eileen Heisman [84:14]
Insights and Conclusions
Eileen Heisman’s story is a testament to resilience, innovation, and the delicate balance between professional ambition and personal well-being. Her contributions to philanthropy, particularly in advancing donor advised funds, have left an indelible mark on the sector. Yet, her candid reflections on personal struggles and the systemic issues within nonprofit organizations provide invaluable lessons for current and future leaders in social good.
Closing Quote:
“We need to invent new and different approaches to address social problems... there's nothing wrong with an idea not working.”
— Eileen Heisman
Final Thoughts
Eileen Heisman’s journey underscores the importance of perseverance, adaptability, and the continuous pursuit of meaningful impact. Her leadership at NPT not only transformed philanthropic practices but also highlighted the personal sacrifices and challenges that often accompany such monumental achievements. As she transitions to new roles, her legacy will continue to inspire and shape the future of charitable giving and social innovation.
End of Summary