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BMW Foundation Annual Report 2018 BMW Foundation Herbert Quandt | Annual Report 2018 3

2018 may have looked like a bad year for proponents Editorial of democratic values, open borders and collaborative action. However, the brave and bold work of individuals and institutions pushing for sustainable development and positive change has reinforced our conviction that supporting Responsible Leadership is the way to a brighter future for humanity.

For us at the BMW Foundation Herbert Quandt, the past year was characterized by the necessary work of construction and consolidation. These efforts to lay the Every leader can make foundations for a strong future took place alongside a a crucial contribution to wide range of activities to engage Responsible Leaders positive social throughout our network and to promote their efforts to positively change society in keeping with the United change, working towards Nations 2030 Agenda.

the achievement of the We have continued to implement our new strategy with a UN 2030 Agenda. considered evolution in our three working areas. In the field of INSPIRE, we refined the methodology of our leadership programs. Meanwhile, in our endeavors to CONNECT Responsible Leaders, we developed a more systematic approach to nurture and enhance our regional Responsible Leaders networks, enabling them to catalyze our vision into communities of purpose throughout the world.

Our Board of Directors gained a new member in Frank Niederländer, who has taken responsibility for our INVEST work area. With the goal of achieving lasting societal change through a transformation of our economic and financial system, we will examine, among other aspects, the role foundations can play as influencers.

The following pages will give you an overview of our 2018 activities, including an outline of our revamped strategy alongside vivid examples of our work in action. Learn more about the fruitful connections within our global Responsible Leaders Network, find out how participants experience our leadership programs, and read stories about inspiring Responsible Leaders who work for social and political change – some of them are also featured in the Foundation’s own online magazine TwentyThirty.

We invite you to discover and be inspired by the achievements of our network and to learn more about our crucial work in promoting Responsible Leadership towards a peaceful, just and sustainable future.

Enjoy reading!

Dr. Michael Schaefer Markus Hipp Dr. Frank Niederländer BMW Foundation Herbert Quandt | Annual Report 2018 5

Contents

07 Responsible Leadership

10 How We Work

12 Inspire Leadership Programs

20 Connect Responsible Leaders Network Regional Efforts Global Connections

34 Invest Partnerships and Networks Knowledge Sharing

48 2019 Outlook The BMW Foundation Herbert Quandt promotes 50 Finances responsible leadership and inspires leaders worldwide to work towards a peaceful, just and 54 Programs and Activities sustainable future. Through our activities, 58 BMW Foundation we aim to advance the Sustainable Development Herbert Quandt Goals of the United Nations 2030 Agenda. BMW Foundation Herbert Quandt | Annual Report 2018 7

What the World Needs Now Responsible Leadership

Humanity today is facing global challenges. exponential and lasting transformation is a way to At the BMW Foundation Herbert Quandt we bring visibility to the UN 2030 Agenda and hasten believe the answer is already out there, in the many our journey towards its achievement. We encourage, upstanding individuals in positions of responsibility, engage and empower these leaders, helping either engaged in, or with the potential to effect, real develop their unique qualities for positive impact. social and political change. Our mission is to harness We provide the spaces and processes to help them that energy, creativity, vision and hard work – and grow and share ideas. And our Responsible Leaders provide these leaders with a global platform to push Network gathers them to share knowledge and themselves further, and bring about a better world. solutions, to support each other, and to see and foster common opportunities, so they can spread Our guiding principle is that every leader can make the impact of their work as far as it can go. a positive contribution to lasting beneficial change. Responsible Leadership is our way to inspire a Our trajectory implies a shift of mindset. Humanity better world. Responsible Leaders are visionaries, cannot solve its problems with the same tools trailblazers, explorers, forward thinkers and pioneers. that created them. Our predicament can only be They take responsibility, start initiatives, push surmounted through conscious, shared purpose boundaries. and innovative action from committed responsible leaders. Supporting the potential of these individuals, across countries, cultures and sectors, as a lever for BMW Foundation Herbert Quandt | Annual Report 2018 9

We’re All in This Together “Narrow the gaps. Bridge the divides. Rebuild The UN Sustainable Development Goals are the guiding framework for our actions. trust by bringing people together around common Adopted by all Member States in 2016, the UN 2030 Agenda for goals. Unity is our path. Sustainable Development provides a shared blueprint for peace and prosperity for people and the planet. Our future depends on it.”

At its heart are the 17 Sustainable Development Goals (SDGs), which António Guterres, Secretary-General constitute an urgent global call to action. They are based on the belief of the United Nations that ending poverty must go hand in hand with strategies that improve health and education, reduce inequality and spur economic growth – all while tackling climate change.

Our mission is to help achieve these goals through our leadership programs, our global network, and our investments. Guided by the key concepts of governance, innovation and cross-sector partnerships, we will focus these next few years on specific Sustainable Development Goals we consider to be most relevant for our work.

Matching the SDGs

The United Nations in 2016 launched a blueprint for humankind in the shape of its 2030 Agenda. Ratified by world leaders, it presented 17 Sustainable Development Goals that countries and institutions can use as a framework for positive action. The BMW Foundation Herbert Quandt supports the work of Responsible Leaders as a way to achieve these concrete goals and erect a historic milestone towards a sustainable future for humanity. Considering our areas of expertise and action, we are currently focused on six SDGs ( SDG 8 – Decent Work and Economic Growth, SDG 9 – Industry, Innovation and Infrastructure, SDG 10 – Reduced Inequalities, SDG 11 – Sustainable Cities and Communities, SDG 16 – Peace, Justice and Strong Institutions, SDG 17 – Partnerships for the Goals), addressing remaining ones in our regional community activities.

As an overarching vision, pursuit of all the other goals ultimately leads to Goal #16 – Peace, Justice and Strong Institutions – while our methodology itself fulfils Goal #17, the establishing of partnerships. This runs especially in line with our ethos of encouraging new forms of collaboration. Our Responsible Leaders Network itself is a tool for reaching across boundaries to find new solutions, together. BMW Foundation Herbert Quandt | Annual Report 2018 11

Responsible Leadership How is our way to shape we work a better future. We foster Responsible Leadership towards the 2030 Agenda through three areas of action

Inspire

Selected leaders are invited to our leadership programs to As we work with a defined group – Responsible reflect, consider, and change their perspectives, emphasizing Leaders – we make the atmosphere within our our responsibility to the common good. programs as inclusive as possible. If everyone feels welcome, comfortable and empowered to be a part of this broader vision, these people can be propelled to catalyze further change in their own contexts.

Connect Respect and humility are the core guiding principles We cultivate a global network of Responsible Leaders to we work by. As a leadership organization we empower each other, exchange ideas, pool resources, and recognize that the leaders possess their own collaborate towards a greater positive impact. expertise and knowledge. What we provide therefore is a platform allowing these individuals to define and achieve greater goals, along with the experience of being part of a diverse, global network of peers. Invest That is how the BMW Foundation Herbert Quandt promotes Responsible Leadership and inspires Working in the realms of impact investing and venture leaders worldwide to work towards the UN 2030 philanthropy, we raise awareness, share knowledge, and Agenda and a peaceful, just and sustainable future. financially support certain initiatives in line with our mission. BMW Foundation Herbert Quandt | Annual Report 2018 13

Our leadership programs provide a space for personal and professional reflection and inspiration. Inspire Empowering Leaders

We believe in being inclusive and open-minded about the path each leader chooses to take. The people we work with are generally in the midst of their careers and have plenty at stake both personally and professionally. Understanding their burdens and tensions, we aim to provide a platform of respite and reflection, from which they can take the next step.

Each year, we host only a few leadership programs for individually selected leaders from different sectors, backgrounds and countries. We invite them to reflect deeply on leadership and engage in conversations about their responsibilities, related to our issues as a society.

The Foundation acts as a facilitator, trusting, empowering and enabling the leaders to better follow their own paths. Providing the preconditions for our leaders to recognize the power and strength they have within, and the innovation, creativity and energy that can be generated by these encounters. BMW Foundation Herbert Quandt | Annual Report 2018 15

These participants are well chosen to compose a the world at venues whose very uniqueness allows diverse group, ensuring proper interchange from participants to gain perspective and strength to different perspectives. The one thing shared is the empower themselves and each other. The goal is to influence and power they have as leaders in their transcend transactional relationships. own walk of life, be it business, public sector, social Besides our own formats, we work with partners innovation, arts, academia, civil society, etc.. to co-create formats to influence leaders all over As people are plucked out of their context, so they the world, providing content and giving light to findthemselves outside of their comfort zone; emerging themes. To collaborate and innovate for they can start to see themselves and each other Responsible Leadership, we organized, for example, as people rather than referents of a preconceived in cooperation with the Committee on Eastern category. European Economic Relations, the German-Russian These encounters are designed using our own Dialogue Baden-Baden. The format was designed methodology; combining expertise and knowledge to enable an interactive exchange between leading from different fields and counting on experienced German and Russian entrepreneurs and prominent facilitators to contribute with the structure, rhythm, representatives of the two countries’ political, cultural etc.. The aim is to provide a setting for introspection and social sectors. Using design thinking, scenario as much as for sharing and co-creation, allowing forecasts and networking-in-nature programs, reflection and dialogue to inspire responsible the goal is to create robust and sustainable ties The Zukunftsbrücke: leadership along the lines of the 2030 Agenda. among the participants. In 2019 we are starting Participants are encouraged to interact as much as other partnerships such as with the League of Chinese-German Young possible – creating an intimate, safe space of trust Intrapreneurs. Professional Campus for honest exchange. Events take place all around China has become an indispensable partner for and the world. But it is also a partner full of contradictions. The one-week Zukunftsbrücke program creates the space and time for young leaders from Germany and China to unlearn common preconceptions and clichés, debate ideas and build trustful relationships.

The program is held alternately in both countries and seeks to create a growing network of leaders who are committed to contributing to a forward-looking and sustainable German-Chinese partnership. The Zukunftsbrücke is supported by the governments of Germany and China.

The 2018 Campus focused on the topic of Artificial Intelligence (AI) and took place in Hangzhou and Shanghai, home to China’s leading AI firms. The program included a field trip to the Alibaba Headquarters as well as discussions about responsible and ethical AI, China’s brain gain in AI researchers, and Europe’s AI strategy. This year’s program will address the Sustainable Development Goals and their impact on global partnerships.

The Zukunftsbrücke: Chinese-German Young Professional Campus is a project of Stiftung Mercator and the BMW Foundation Herbert Quandt in cooperation with the All-China Youth Federation (ACYF). The program includes the Campus and the annual Alumni Days. BMW Foundation Herbert Quandt | Annual Report 2018 17

Who gets invited to our Forums?

Responsible Leaders Forum Our Leadership Programs The BMW Foundation Herbert Quandt During our three-day immersive leadership Global Table invites people with responsibility and a programs, participants are invited to reflect, track record in their field. A person who: An open, multi-sectoral dialogue is on the menu share expertise, and learn from each other in at the Global Table. The program is always part of a safe space. Activities are aimed at meeting • is responsible for staff and/or other a cycle, in which a particular topic is addressed current societal pressures head-on and stakeholders (e.g. founders, CEOs, from different perspectives and participants are with understanding, guided always by the executives) encouraged to develop approaches and imagine UN Sustainable Development Goals. At the • makes or influences decisions solutions applicable to both the host nation and the Responsible Leaders Forums, the personality, impacting on the public (e.g. wider context. Our most recent series of Global Table expertise and creativity of every individual are politicians, civil servants) events shared the common thread of New Coalitions crucial for mutual inspiration. It is not only a for Resilient Societies. Fostering equal opportunities gathering of remarkable practitioners, it’s an • serves as a public influencer (e.g. for all, for example, was the theme in South Africa. immersive gathering of leaders that offers an journalists) In June, our Global Table Lillehammer, in Norway, singular opportunity for reflection. delved into Creating Resilient Societies through • offers a visionary and creative “[Being there] I felt a After these programs, selected participants then Dialogue. Our last one in 2018, in India, took female perspective on society (e.g. artists, necessity to pause, to receive an invitation to become part of the leadership as its focus. architects, filmmakers) think about some of the BMW Foundation Herbert Quandt Responsible The biennial Berlin Global Forum, a CONNECT Leaders Network, where the work continues. • enriches the general public through format, is the point of closure for a Global Table biases that come along in new knowledge and skills (e.g. series; an opportunity to consolidate learnings, our stories. I recognized scientists, academics) share results and propose recommendations. that we must talk about it. • is a visionary, driver, trendsetter, Here, our ideas for solving local and global issues We need these spaces.” thought leader, or innovator are put to the test in front of an audience brimming in their field. with decision makers from fields including business, civil society, media, the arts, and the wider public. Azadeh Pourzand joined Participants of the various Global Tables can also Global Table Lillehammer, take advantage of this time to connect across our Creating Resilient Societies wider network. In 2019 the Berlin Global Forum through Dialogue will take place in October.

European Table At a time when the European Union is confronting major challenges, this program was developed to offer an opportunity for leaders and experts from commitment of BMW Foundation Herbert Quandt to varied contexts to tackle relevant and pressing EU a strong and united continent. topics – from security and migration to identity – in The results from the European Table event series are the hunt for creative, concrete solutions. One such presented at the Munich European Forum, in which solution that has come to fruition is Alliance4Europe we invite and CONNECT a larger, well-qualified – an initiative working to strategically unite pro- audience to contribute actively to discussions and EU movements around the elections in May. The help deliver concrete solutions to bring the EU closer European Table event series, and its culmination in to its citizens. the Munich European Forum, are rooted in the BMW Foundation Herbert Quandt | Annual Report 2018 19

“I Feel Ready to Make a Bigger Impact”

In the stunning surroundings of Wasan Island in the Muskoka Lakes of Ontario, Canada, freelance journalist Christian Fahrenbach experienced a calm I’ve learned that great space for inspiration. leadership almost always comes with personal The whole atmosphere struggle and that you What resonated with you most at the felt surprisingly How would you describe your journey can lead, be an awesome leadership program? “non-performing” and as a Responsible Leader? inspiration and achieve The meeting in August 2018, part of the it was a fearless I feel like I have now taken the next step in becoming great things, even if your Transatlantic Core Group initiatives, was an group. A group that a Responsible Leader, as I continue to reflect on the backstory is troubled – extremely profound and personal experience for me. group’s and my own potential. I feel encouraged to I’m deeply grateful for those days, the friendships somehow really stepped step up to my opportunities. maybe even more so. forged and the opportunity to reflect about what up to the occasion I feel ready to make a bigger impact, because I saw leadership skills I have and how I might apply them. and built a deeply people like me who are doing it already, people Now, a couple of months later, I still think about relevant and healing doubting themselves on a reasonable level and who the encounter, and I’m sure that, some years in the Transatlantic Core Group take energy from their successes – but not only future, I will still have this feeling in my heart. exchange for many. from there. Even if I never meet these people again Germany and the United States share an The dynamic of the participants was the first thing (though I’ve already had a couple of one-on-one unbreakable bond of friendship – this post-war that caught my attention. It was an interesting interactions in NYC and Hamburg), they touched and certainty is increasingly being put to the test. taught me a lot in those four days. constellation in that everyone knew someone, but The BMW Foundation Herbert Quandt started no one knew everyone. We also benefited from the the initiative in 2015 together with the Robert What have you taken back to your open schedule and high-quality prompts allowing Bosch Foundation, the Chicago Council on Global personal and professional life? us to get to know not only one another but also Affairs and the Atlantic Council. Every two years, ourselves. The philosophy of “leading from behind” I definitely started to read more about the topic and the membership of the Transatlantic Core Group was a real inspiration for my daily work as well. discuss it more with friends. I work more towards changes – the old team becomes part of the wider The design of the workshop and the location on deeper connections, trying to foster openness and a BMW Foundation Responsible Leaders Network Wasan Island inspired us and helped us make strong sense of vulnerability, and creating a safe and brave and continues to pursue the projects they initiated. connections. We felt totally comfortable talking about space for conversations with old and new friends. I They focus on innovative solutions to social and sensitive topics like our vulnerability, our strengths realized that meetings and gatherings do not simply political challenges on both sides of the Atlantic: the and weaknesses and our inspirations. I honestly have to be ticked off in a “that’s how we always goal is to gain a better understanding of common think these topics are still an underrated part of true did it” manner. They can be an opportunity for a challenges, identify sustainable solutions and growth as a leader. profound exchange of ideas and perspectives. revitalize the transatlantic partnership. BMW Foundation Herbert Quandt | Annual Report 2018 21

Expanding, Nurturing and Activating the Regional and Global Community of Responsible Leaders through Initiatives and Programs. Connect Network and Community Efforts

At a time when certain actors are calling for walls as solutions to humanity’s problems, it’s crucial to show how positive cooperation can instead lead to powerful results. Participating individuals inspire others, set examples and promote new ways of fostering cooperation throughout business, government and NGOs – as well as in their own lives. Our role as an organization is to facilitate these interactions and act as a medium through which such genuine connections can grow and develop. When built on shared knowledge, humility and empathy, these relationships can evolve into a powerful community working towards the 2030 Agenda.

The BMW Foundation Herbert Quandt Responsible Leaders Network connects more than 1,500 Responsible Leaders across over 100 countries, with groups organized by region. Every member commits to an active role in shaping the network. This can include connecting with others, sharing experiences or knowledge, collaborating and co- creating – all to the benefit of our shared goals. BMW Foundation Herbert Quandt | Annual Report 2018 23

Responsible Leaders Network

1,523 Responsible Leaders* from 119 countries Male 908 Female 615

We provide these leaders with access to other professional networks and movements they can get involved in or which can help them Regions generate change in their organizations or personal environment. For example, we might connect an entrepreneur seeking to elevate social Europe 858 responsibility in their company with movements like B Corporation, North America 206 Sistema B, or the League of Intrapreneurs, who will support the advancement of change with their own methods and approaches. LATAM / Brazil 56 Sometimes we actively support first steps, but mostly our goal is to LATAM / Mexico 15 strengthen leaders’ self-efficacy. MENA 60 India 36 Our Responsible Leaders Network promotes a sense of community Others based on trust, diversity and shared purpose. The activities consist of: 292

• Exchange with other leaders and organizations locally and globally Countries: 119

• Sharing of knowledge, experience and practices

• Support of other Responsible Leaders’ activities or initiatives (financial and non-financial).

• Engaging and connecting with new approaches and movements such as the impact economy, social intrapreneurship/ Sectors entrepreneurship, pro bono, political innovation, etc. Business 674 • Co-creation and collaboration Politics 183 These include both activities driven by the Foundation, with a staff and financial commitment; and network-driven activities that come Non-Profit355 out of the regional networks, based on local interests and fitting with Academia 225 our larger strategy. Media 82

* In 2018 we reconnected with our network, outlining only active members. BMW Foundation Herbert Quandt | Annual Report 2018 25

Global Connections in the Kimberly Gire BMW Foundation Herbert Quandt Global Woman Leaders Responsible Leaders Network

Marjorie Brans Chryssa Koulis School for Social School for Social Bernd Kessel Entrepreneurs Entrepreneurs Kessel & Kessel Sidekicks Julia Smith Department for Till Kaestner Sinziana Poiana Women and Gender Artisense European Commission Shayna Rector Equality Canada Düzen Tekka Communications Hawar Help Consultant

Osama Sonja Stuchtey Abdelmoghni Alliance4Europe Marty Castro Conformatique Castro Synergies OuiHop’ Birgit Jerrold Frankenberg McGrath UBS ArtsCape James Florian Baier Ksenia Ilina Kim Baier Bischofberger Lupp + Partner Cristina Gallegos BEAT Sky(lark) Strategies Global GG Society Fellowship Alejandro Alvarez Anton Blair Glencorse IVPC Goodman Accountability Lab Mehemed Bougsea Abraham Initiatives Gaurav Mehta Think.iT Dharma Life Colette Mazucelli Adi Farjon Botschaft NYU Ministry of Foreign Jasdeep Affairs Israel Randhawa Locorum Jor Elsa-Marie D'Silva Red Dot Foundation Luiza Serpa Instituto Phi

Elizabeth Maloba Avijit Bhattacharya Consultant & Business Coach Tata Capital Luana Génot Leonardo Letelier ID_Br Sitawi Finanças do Bem

Pat Pillai LifeCo Nony Taciana Abreu Content Herzfeld Izadora Farm / Grupo Soma fiiS Mattiello Sustainable Development Phomenta Verne Harris Civic Engagement Nelson Mandela Valeria Militelli Foundation Johnson & Governance Guillermo Johnson Connections Navarro Sanz Business Ministry of Economics, Infrastructure and Share knowledge, experience and practices Energy of Mendoza Social Finance Support activities or initiatives Innovation

Co-creation and collaboration Sustainable Cities

Investment Human Rights BMW Foundation Herbert Quandt | Annual Report 2018 27

Organizing the Network

2018 was an important year for the BMW Foundation Herbert Quandt as we strove to create the structures that could better support our vast global network and allow it to flourish. We invested time to listen to our network and local ecosystems, and to understand what the needs and desires were for pushing forward.

To that end we focused on setting up our network governance system and expanding our regional and global networks, while continuing to cultivate regional and global action related to Responsible Leadership and the 2030 Agenda. The governance was reformed to allow Leaders and Networks on the regional and local levels to get involved to a greater degree, also creating a better understanding of our work. Regional Efforts Network Drivers’ Retreat Under the new system, each region is governed horizontally, with one 2–6 June 2018, Rio de Janeiro or more Network Organizers who are part of the Foundation’s team and Europe, North America, India, Brazil, Latin America Sinal do Vale work to ensure our strategy is implemented. The goal of the Organizer and the MENA region are linked with our mission is to build a regional community of Responsible Leaders and partners. thanks to historical connections, political and societal To keep in step with our Network Drivers, Then, each region has two or more Network Drivers. Touching base considerations, and synergies with the presence and we hold regular online meetings and, with the Organizers, these Drivers are Responsible Leaders working to work of the BMW Group. Other countries and areas once a year, a four-day retreat to listen help understand and share the voices of the other leaders in the region. are being developed by contacting local leaders and well and get down to the business of co- They also help to develop and deliver the regional core program with movements, understanding relevant issues, and creating. Together we draw up mission- the Organizer. These leaders work on a pro bono basis or for very little planning collaboration based on specific local needs aligned plans based on each region’s remuneration, and their hard work and dedication is highly valued by the and challenges. needs and expectations. In effect, the Foundation. We seek to transform our Regional Networks into Retreat is an annual general meeting self-effective communities that engage prolifically for Network Drivers, where they come in collaboration, exchange and co-creation. During together with the Network Organizer, key 2018 we focused on consolidating, mapping and team members and strategy team to pool activating most of them, promoting local meetings experiences and lay the stepping stones on each of our five regions, and sharing and listening for moving forward. to our Responsible Leaders in order to develop our Last June, we invited this group to network further. Sinal do Vale in Rio de Janeiro, a local- This revamp of our governance structure will help global learning center for the transition us fulfil the mission of the Responsible Leaders to a sustainable future, which has been Network: to raise diverse, strong and nurturing supported by the BMW Foundation communities of Responsible Leaders – regionally Herbert Quandt since 2015. and globally – committed to advancing the The retreat was an opportunity to 2030 Agenda. welcome new Drivers to the fold. We also introduced and discussed the new governance model, trying to ensure alignment with strategy and deepen our understanding of the regional networks. BMW Foundation Herbert Quandt | Annual Report 2018 29

by BMW Foundation Herbert Quandt Responsible a teacher, nurse, doctor, and a firefighter duo, police “Naming and Faming” Leader Pat Pillay. They introduced Blair to local captain Vinnie Pillay took the top prize through a organizations to kick off the campaign – among public vote. them the Democracy Works Foundation. as a Tool for To ensure that efforts to build change do not peter The BMW Foundation Herbert Quandt also out when the spotlight is off, Charissa Hector, Political Change recommended Blair for the ReadyGo Program of head of HR for BMW South Africa, affirmed that BMW Group. Based on the philosophy that business the company would keep supporting the local Responsible Leader Blair managers can benefit from NGOs’ commitment to movement in the future. The Nelson Mandela Glencorse is inspiring integrity change society for the better, while civil society can Foundation and LifeCo will stay engaged supporting often learn from the rigor of corporate practices, the larger Accountability Movement with its visibility, around the world. ReadyGo paired Blair with Manfred Pernitsch, networks and knowledge. then responsible for real-estate management and But Blair won’t rest on his laurels. With the help of security at BMW Rosslyn, South Africa. In addition to the BMW Foundation Herbert Quandt Responsible Blair Glencorse was watching the Nepali version of Manfred, the BMW team included Caroline Phillipp, Leaders Network and BMW Mexico, he is currently Pop Idol a few years back when he had a brainwave: Thomas Michel and Pia Negro to support the launch. working to bring Integrity Idol to Mexico. A seed Could this kind of show, instead of showcasing During the Global Table Cape Town in May, fund from the BMW Foundation enabled him to performing talent, fight corruption and promote participants were taken to the Integrity Idol finals visit Mexico and build some initial relationships. The honesty? where they had some time to discuss issues of project is currently in the planning stage as regards Blair’s lightbulb moment while watching the TV accountability and integrity with the five selected logistics, timelines and funding. show gave birth to Integrity Idol – a campaign not to “idols” – before attending the award show itself. “name and shame” corrupt officials, but to “name Out of 600 nominations for the title of Integrity Idol and fame” honest bureaucrats at the local level. Leading a global movement to of South Africa and competing in the finals against Volunteers in Nepal went out the very next day to build trust, accountability and collect nationwide nominations for government responsibility through his NGO, the officials who showed exemplary integrity. The Accountability Lab, Blair Glencorse nominees were whittled down to five, and a series is also responsible for national was filmed and broadcast on TV and radio. The campaigns like Integrity Idol. public voted for the winner and a new kind of global “franchise” had arrived. Raised in the UK, educated in the US, and having lived across Africa and South Integrity Idol has since expanded into an annual Asia, Blair Glencorse is the Founder and campaign in eight countries, promoting national Executive Director of the Accountability discussions on the topic and working to change Lab. Blair has been a BMW Foundation narratives around public service. Instead of judging Herbert Quandt Responsible Leader singing voices and dance routines, millions of people for several years, winning the BMW engage in debating accountability. Foundation Responsible Leaders With our 11th Global Table in South Africa – Award in 2014 and attending a variety coinciding with the centenary of Nelson Mandela’s of our events, which have helped him to birth – the decision was made to bring Integrity develop his vision and build his network. Idol to South Africa. The Foundation brokered a The Foundation has also helped the partnership with the Nelson Mandela Foundation, Accountability Lab with strategic advice, a household name whose participation ensured networks, seed funding and connections greater credibility to the project. Another core partner with useful partners. was LifeCo, an impact investing organization run BMW Foundation Herbert Quandt | Annual Report 2018 31

Paradigm Shift

For more than ten years, the BMW Foundation Partnerships Herbert Quandt has been identifying and supporting Peace, Justice and for the Goals innovative approaches and movements such as Strong Institutions social intrapreneurship and entrepreneurship, Strengthen the means of pro bono, social finance, impact business/new Promote peaceful and inclusive implementation and revitalize the economy and political innovation while getting to societies for sustainable global partnership for sustainable know relevant regional and global actors connected development, provide access to development. to them. These concepts were identified as justice for all and build effective, global trends we wished to support, making them accountable and inclusive accessible to our network and using them as a institutions at all levels. Goal #17 seeks to strengthen global touchpoint to trigger the engagement of Responsible partnerships to support and achieve the Leaders. Their potential on a regional and global ambitious targets of the 2030 Agenda, In many parts of the world people suffer level is to catalyze transformation. bringing together national governments, from armed conflicts or other forms of the international community, civil society, Through our work and network, we identify and violence that occur within societies and the private sector and other actors. These support organizations working amid these emerging at the domestic level. So far, advances multi-stakeholder partnerships need to topics that contribute to our mission, offering in promoting the rule of law and access mobilize and share knowledge, expertise, Responsible Leaders opportunities to connect to justice are uneven. A main target is to technology and financial resources. and engage on a personal or professional level. In ensure equal access to justice for all and It is important to encourage effective supporting these paradigms, we measure resonance significantly reduce all forms of violence public, public-private and civil society in our network as well as impact on a broader level, and related death rates everywhere. partnerships, building on the experience allowing us to decide on potential investments. Accountable institutions are needed and resourcing strategies of partnerships. For 2019 we are developing a more structured as well as inclusive, participatory and program and impact analysis to refine our work representative decision-making at all with such organizations and movements, in order levels. to make our process of selection and support more transparent. BMW Foundation Herbert Quandt | Annual Report 2018 33

The four defining characteristics of Alliance4Europe are, first, that it is analytical – with all key decisions European Table: based on data. Second, it is inclusive – it doesn’t Refocusing Europe come from any particular church, foundation or union and therefore can provide a means of connection As a foundation with German roots for all such organizations; nor is it political – as long and a global orientation, we are firmly as partners are pro-European, they can hail from all convinced of the values of the European political positions. Finally, it aims to be empowering – community, namely freedom, democracy, rather than take center stage, it works to facilitate and the rule of law, tolerance and respect for enhance existing initiatives. human dignity.

The strategy is to orchestrate various elements of In 2017, we established a new core society, from politics and civil society, to corporations, leadership format: the European Table. universities and think tanks to media – developing Extending over an 18-month period, the narratives and creating joint campaign strategy to first cycle of this dialogue process was share best practices and resources across Europe. called Refocusing Europe. It explored three themes that, according to the Branded as the “missing link in a fragmented European Commission’s Eurobarometer Europe needs Responsible Leadership landscape of pro-European organizations,” surveys, reflect EU citizens’ greatest fears Alliance4Europe aims to function as an umbrella – digitalization and the world of work, Alliance4Europe is uniting leaders and groups, and mobilizing bringing pro-European projects together for greater migration and security, and European concerted impact. The intention is to use this for the most crucial elections in EU history. Supported by the identity. momentum to spread the message and encourage BMW Foundation Herbert Quandt, the initiative emerged from our pro-European partners, donors, leaders and citizens European Table. to halt the anti-European groundswell and choose Europe for the years to come.

Proponents of a strong and united European Union Additionally, the intention of this group of leaders have seen some backlash over the last few years. was to engage business managers in contributing Not long ago, free trade, multilateral frameworks for to strengthening Europe and defending its civic and climate and defence, and geopolitical compromise economic model. The result was a proposed platform were concepts taken for granted. But things change to unite various pro-European forces and movements “We want to connect fast. Eurosceptic nationalist governments now rule towards and beyond the next EU elections. and support pro- significant member states like Poland and Italy, Supported by the Foundation, the Alliance4Europe European leaders, Brexit has been a public and painful process, and was launched at the Munich European Forum organizations and a coordinated campaign by the international Far in October, which is the summary event of the Right is threatening further to endanger the most European Tables. movements while successful peace project in continental history. Alliance4Europe recognizes a silent majority of actively shaping Taking a clear stance for the principles and goals EU citizens who are positive towards Europe but the media landscape of a united Europe, the BMW Foundation Herbert not politically engaged – and, crucially, still unsure in order to foster about voting. These findings are based on in-depth Quandt began a cycle of European Tables in 2017 a stronger, united called Refocusing Europe. In May, at the third event data analysis of the results of the European Social in Menaggio, Italy, a group of leaders recognized the Survey (ESS) in nine EU countries – Austria, Czechia, Europe.” need to raise awareness of the increasing threat to Finland, Germany, Hungary, Italy, the Netherlands, Sonja Stuchtey, Managing Director the European project and to mobilize people under a Poland and Sweden. The group is well-educated, Alliance4Europe common vision. aged between 18 and 45, and mostly urban. BMW Foundation Herbert Quandt | Annual Report 2018 35

How Responsible Leadership can drive financial system change in pursuit of the UN 2030 Agenda Invest Changing the Game

Leaders, networks and partnerships are fundamental to driving the business and financial system towards sustainability. At the Foundation we strive to encourage discussions on sustainable finance and business by sharing our knowledge, promoting impactful connections and inviting business leaders involved in this evolving process to join our Responsible Leaders Network.

Our guiding models for INVEST are venture philanthropy and impact investing, so that our investments can transform the underlying values of our business and financial systems. Social finance is a way to support positive change in a sustainable way, affecting the very ecosystems by which we live. Instilling new models and systems to last through future generations will allow us to shift capital’s relationship with society and the environment.

As, investors we take care to find opportunities that chime with our mission, engendering fruitful long- term partnerships with grantees and complementing financial aid with partnerships and multi-sectoral collaboration – all with the goal of effecting real and lasting financial system change. BMW Foundation Herbert Quandt | Annual Report 2018 37

Money Works

Our invest programs and initiatives contribute to our mission by:

• Activating our own capital, through impact investment of parts of our endowment in pursuit of the UN Sustainable Development Goals.

• Supporting organizations and networks aligned with our mission who are seeking impact. Strong partnerships are formed to promote impact investing and venture philanthropy as effective tools for positive social and environmental change.

• Spurring a discussion on social finance and impact business through the Responsible Leaders Network. Partnerships and Networks

The Eberhard von Center for Sustainable Finance and Private Wealth (CSP) Kuenheim Fund (EKF) The BMW Foundation Herbert Quandt was one of the first supporters of Reduced the Center for Sustainable Finance and Private Wealth (CSP), founded in 2017 at the University of Zurich. Through research, teaching and Our strategic roadmap for impact investment Inequalities executive education as well as advocacy, the center aims to activate commits to active contribution to the achievement Reduce inequality within and among private wealth and sustainable finance at scale as a substantial driver for of the Sustainable Development Goals. Through the countries. sustainable development. EKF we therefore invest part of our endowment (up to €20 million) in impact-oriented organizations and We support the CSP with a venture philanthropy approach, combining The main target is to empower and projects. financial and non-financial support, contributing to its advisory board promote the social, economic and political and establishing contacts with our Responsible Leaders. We also inclusion of all people, irrespective of age, We also commenced in the past year our provide visibility to CSP, for example by facilitating its attendance at the sex, disability, race, ethnicity, origin, religion, participation in the Ananda Impact Venture Fund, Sankalp Forum in Nairobi. As part of our collaboration, we consolidate or economic or other status. Achieving one of Europe’s leading impact investors. Through our knowledge exchange through a research fellowship in the field of and sustaining the income growth of the these investments we aim to address social sustainable finance and private wealth. challenges in vital areas such as education, health bottom 40 percent of the population at and the aging population. Additionally, we invested a rate higher than the national average in Partners Group Impact Investments Fund, a plays a key role in this context. Goal #10 Bundesinitiative Impact Investing is about ensuring equal opportunity and private-sector, mission-driven, professional fund Since 2013 we have been part of the German National Advisory reducing inequalities of outcome, including that tackles pressing challenges across financial Boards, specifically the Social Impact Investment Taskforce. This group by eliminating discriminatory laws, policies inclusion, affordable housing, energy access, food analyzes and publishes reports on the status quo of impact investing, and practices. and agriculture, healthcare and education, especially and develops recommendations to foster activity in G7 countries. In in emerging markets. 2014 the Taskforce was institutionalized as the Global Steering Group for Impact Investment (GSG). Recently, this was developed further in Germany, when a core group launched a cross-sector platform for impact investing: the Bundesinitiative Impact Investing. BMW Foundation Herbert Quandt | Annual Report 2018 39

Apart from seed funding, we have shared our expertise with Africa workshop formats and organizational support, including for Headquartered in Nairobi, the African Venture the founding workshop in Paretz in September 2018. This Philanthropy Alliance (AVPA) was founded in 2018 event laid a strong foundation, involving plenty of sharing as a pan-African network for social investors. It between the leaders and organizations present, and the is committed to building a vibrant, high impact recognition of a need to create a central platform for impact community and increasing the flow of financial, investing in Germany in order to make a real change to our human and intellectual capital to social investment in ecosystem. the region. It also aims to enable investors to deploy capital more effectively there. AVPA is aligned with European Venture Philanthropy Association (EVPA) EVPA and AVPN to form a dynamic global force for social impact. The Foundation offers support in the The BMW Foundation Europe form of our network, expertise and funding. We will For more than a decade, the BMW Foundation Herbert Herbert Quandt is also be facilitating a workshop for the management Quandt has provided capital, expertise and knowledge, a long-standing team in 2019. while connecting the European Venture Philanthropy supporter of all Association (EVPA) with other leaders from our network Latin America regional venture and other organizations. In 2018, we continued supporting The first steps have been taken for the formation the Cross-Sector Leadership Program, which offers philanthropy of a regional venture philanthropy network in Latin international support for cooperation between private and networks and America, and the BMW Foundation Herbert Quandt public venture philanthropy projects. At the same time, has been supporting the process by connecting associations the plan is to encourage more leaders to use venture local initiatives with stakeholders, organizations and philanthropy as an effective tool for social change. worldwide, other regions. providing financial Specific objectives include gathering leaders who have Tonic for the Soul and non-financial worked within governments to share experience on public- What can help people and our planet most? private engagements, outlining the importance of investors support in order to How can such a transformation succeed? for influencing and working with the public sector, and increase awareness Last November in Paretz, Germany, thirty inspiring new public-private initiatives for achieving scaling selected members from two strong networks of the topic. and systemic change. “Cross-Sector Collaboration for gathered to create an open experimental Better Social Outcomes,” a report on the program, can be Toniic space to dream big on these weighty found on EVPA.eu. Toniic is our regional and global strategic partner, questions and give space to whatever initiative might emerge. Impact investors, Asia especially in the fields of impact investing awareness and knowledge sharing. Founder Charly Kleissner social entrepreneurs, fund managers, We have accompanied the Asian Venture Philanthropy is a BMW Foundation Herbert Quandt Responsible publishers, intermediaries and thought Network (AVPN) since its establishment, contributing Leader and one of the USA’s leading pioneers in leaders were among the participants. with our network, expertise and funding. In 2018, we also impact investing. Although our partnership has supported the Asia Policy Forum in launching the AVPN– This was the BMW Foundation Herbert existed for several years, it was strengthened in BMW Foundation Herbert Quandt Policy Leadership Lab. Quandt and Toniic Retreat. The two 2018 through a series of meetings and gatherings in Its purpose is to encourage the next generation of social- host organizations are deeply involved in Europe, which inspired cross-sectoral exchange on economy policy leaders across Asia. Building on the AVPN questions of responsible leadership and social finance. Asia Policy Forum and the BMW Foundation Responsible positive social change, and recognize an Leaders Network, the lab offers in-depth peer-learning, urgent need to make our financial system fit networking and capacity-building opportunities, providing for humanity’s challenges. a space for participants to explore the current context and needs of Asian policymakers. BMW Foundation Herbert Quandt | Annual Report 2018 41

Knowledge Sharing

As part of our vision as a global foundation, we create spaces to develop, discuss and disseminate new ideas, bringing forward initiatives in social finance and the sustainable economy. Our role is to activate, enable and accelerate the ideas of our network and partners.

Innovative Sustainable Economy Knowledge is inspiration – and we keep our ears to the ground for innovative sustainable business trends. Tech4Good is one example among enterprises in the field of sustainable consumption. We participate in raising awareness of such businesses and helping with their capitalization.

Denkraum 2018 Circular Economy 2030: Groundbreaking Industry, Alliances for Competition and the Environment Innovation and The BMW Foundation Herbert Quandt Denkraum Infrastructure event, held in Munich in July 2018, asked the Build resilient infrastructure, question: How can we shape our way towards a promote inclusive and circular economy? While our current economic sustainable industrialization, model works mainly along the lines of make, use and foster innovation. and dispose, a circular economy implies a systemic shift towards regenerative and restorative production To achieve inclusive and sustainable processes. industrialization, competitive A circular economy has the potential to transform economic forces need to be Germany’s current strengths into future unleashed to generate employment competitiveness to the benefit of nature and of future and income. This must go hand generations. It could make a significant contribution to in hand with the facilitation of achieving both the Paris Agreement and the international trade and the efficient UN 2030 Agenda. The event, supported by acatech – use of resources. Business has Deutsche Akademie der Technikwissenschaften – the potential to be a catalyst and SYSTEMIQ, provided a holistic view of the circular and accelerator of sustainable economy. More than 130 managers, founders, donors, development around the world. investors, social entrepreneurs, as well as creative A main target is to upgrade artists and media representatives, from Germany, infrastructure and retrofit industries Austria and Switzerland discussed the potential to make them sustainable, with positive changes – for the economy, ecology and increased resource-use efficiency society. Participants acquired a deeper understanding and greater adoption of clean and of the topic, new impetus for joint activities, and better environmentally sound technologies. connections from a rich network. BMW Foundation Herbert Quandt | Annual Report 2018 43

Retreat at the European Forum Alpbach Impact Investing is at a critical juncture: large- scale mainstream players are entering the field without clear principles to distinguish an impact investment from a conventional investment. Reflecting on opportunities, challenges and threats, the Foundation supported a two-day retreat in the context of the European Forum Alpbach, which gathered together a diverse set of 40 leaders from all parts of the impact investing ecosystem, including four BMW Foundation Responsible Leaders.

Impact Investing in the Foundation Sector In 2018, the Impact Investing Expert Circle Sustainable Cities for German Foundations widened its focus. and Communities In cooperation with the Swiss Association of Make cities and human settlements Foundations, we realized a two-day workshop in inclusive, safe, resilient and Zurich on impact investing, inviting CEOs and senior sustainable. staff members of 30 foundations from German- speaking countries. Our goal was to foster the As the world becomes increasingly exchange of best practices, learn from each other urbanized, many countries face growing and form new connections. The cooperation has numbers of slum dwellers, worsening continued in 2019 so far with a gathering in Berlin. air quality and insufficient basic urban services and infrastructure. The urban

sprawl continues, with the physical Impact Investing Roundtable expansion of cities increasing at a rate 1.5 times that of population growth, To strengthen and expand the local impact investing highlighting the need for better urban community in Munich, the BMW Foundation Herbert planning and efficient transportation Quandt is organizing Roundtables in cooperation systems. A main target is to reduce the with BonVenture, a German pioneer in the field. Each adverse per capita environmental impact event is hosted by a partner organization and starts of cities, including by paying special with a short content-related impulse. In 2018, three attention to air quality and municipal and roundtables took place at Social Impact Lab Munich, other waste management. the Siemens Foundation, and Hogan Lovells. The format is part of a network of roundtables all over Germany – in Munich, Berlin, Frankfurt, Stuttgart and Hamburg. BMW Foundation Herbert Quandt | Annual Report 2018 45

“The Foundation was a bridge for us, before we could build our own bridge. It made us open up and leave our bubble, and helped us discover commonalities.”

Philipp von der Wippel, co-founder, ProjectTogether

Support from Responsible Leaders ProjectTogether is a fine example of how we employ our network to facilitate initiatives. Spanning Generations Various luminaries from our Responsible Leaders Network who contributed time “The young generation wants to make a and expertise to the success of the project include Dr. Nadine Wachter from Credit difference and do something meaningful.” Suisse, Christoph Räthke from the German ProjectTogether provides a way to do Tech Entrepreneurship Center (GTEC) The fundamental philosophy here is to match the and Klaus Hurrelmann from the Hertie something beneficial for society. exuberance, creativity, passion and energy of School of Governance. They used their young founders with the structure and skills, experience and contacts to help other experience of tested players. “Something has to change. Society and the economy must be thought projects across networks. of together.” So says Philipp von der Wippel – and he’s certainly doing But the benefit does not just run one way – through Another way to help is by bringing people his best to bring about this shift. Supported by the BMW Foundation ProjectTogether, companies, governments and together. For example, we implemented Herbert Quandt and its Responsible Leaders Network, his social foundations find access to the valuable mindset of an Impact Accelerator Day, which led to incubator ProjectTogether has helped more than 500 youth-led projects the younger generations. The pressures, desires, the concrete conversion of 70 investors, get off the ground since its founding in 2014. tendencies and social trends of these markets add up customers and partners for ProjectTogether. to invaluable knowledge for all companies attempting Supported projects tackle all kinds of social issues, from integration and Participations in other conferences, summits to navigate a rapidly changing world. equality in education to environmental protection. And because it’s easy and networking events were arranged to start a new project with guns blazing only to falter through a lack of The BMW Foundation Herbert Quandt was involved through our partnerships, and investments experience, ProjectTogether supports such initiatives by matching up in ProjectTogether from the start, placing trust secured from such investors as Robert Bosch founders with experienced mentors. Coaches are “often people who in Philipp von der Wippel’s initiative and making Stiftung, Schöpflin Stiftung, WorldVision, have been successful in business and politics and now want to pass on available the financial resources, network and visibility and Santander Consumer Bank Germany. some of their experience,” says Philipp. These advisors typically help required at key moments. Rapid growth has taken Technological tools, legal advice and tax with topics like financial planning, time management, team conflicts and ProjectTogether from ten coaches and 30 projects in advice were also secured on a pro bono basis marketing – the kind of areas in which outside experience can be useful. 2014 to a network of around 200 coaches. from Foundation partners. BMW Foundation Herbert Quandt | Annual Report 2018 47

Next Door Challenge

The BMW Foundation Herbert Quandt was related to the philosophy of going “beyond the able to forge a far-reaching partnership between car” – namely “connected locals,” “fair living,” and ProjectTogether and MINI – whose commonalities “creative use of space.” Subsequently the Startup are greater than might be expected. As the small Next Door Challenge was launched, involving a car brand within BMW Group, MINI can function six-week nationwide screening of more than 100 as something of an incubator itself, explains the applicants from initiatives and social startups related Managing Director of MINI Germany, Wolfgang with these topics. The 15 best were selected by a Büchel. “We are better able to test innovations jury. flexibly – similar to startups,” he says. “This is where The Foundation believes that social change can best our DNA is a little bit like that of leaders such as be pursued through collaborative action, involving Philipp.” stakeholders from politics, business and civil A nationwide competition was launched to find new society. On the business side, this means corporate initiatives and startups that could be supported by executives must accept that economic success has ProjectTogether – but with coaches this time who a future only when companies play an active role in were executives working at MINI Germany. Three shaping society. themes were developed for the application process –

Decent Work and Economic Growth Promote inclusive and sustainable economic growth, full and productive employment and decent “We are better able to work for all. test innovations flexibly More progress is needed to increase – similar to startups,” employment opportunities, especially he says. “This is where for young people, and reduce informal employment and labor market inequality, our DNA is a little bit notably the gender pay gap. A main target like that of leaders is to promote safe working environments such as Philipp.” and improve access to financial services to ensure a sustainable economy. This Wolfgang Büchel, should be accompanied by progress in Managing Director MINI Germany the efficient use of resources and an effort to decouple economic growth from environmental degradation. BMW Foundation Herbert Quandt | Annual Report 2018 49

Europe is meanwhile struggling for unity in its how to best use capital for people and the planet, values and identity. The EU Parliament elections in and how business and finance can help solve, rather May are a make-or-break moment – and initiatives than cause more, problems. The Foundation’s Outlook like Alliance4Europe are pooling the strengths of medium-term goal is to invest 20 million euros pro-European forces to challenge populists and of its endowment into impact, strengthening our nationalists. Through supporting projects like this, investment activities in strong collaboration with activating our Responsible Leaders Network, and partners. 2019 continuing our Refocusing Europe event cycle, An impact analysis will be launched this year, the BMW Foundation is championing a united, so we may better understand and enhance our democratic Europe. contributions across all our constituents. Illuminating “We are the first The task is a big one, and time is running out fast. Principles such as respect for dignity and human the dynamics and operations of our regional generation that can end Despite or perhaps because of this, it’s crucial rights, freedom, democracy, equality and the rule networks and partner organizations will allow the poverty, the last that to pause and consider the best way forward. Our of law are not exclusive to Europe. These universal Foundation to extrapolate, define and enhance our goal for the next five years is to further consolidate can end climate change.” principles lie at the heart of the United Nations 2030 strategic objectives. our potential as a cutting-edge global leadership Agenda and its 17 Sustainable Development Goals. Ahead of this decisive year, we restate our organization, advancing the UN 2030 Agenda Following these values, our activities in the work Ban Ki-moon, commitment to inspiring others, promoting through our global network. The core of our work area of Invest are founded on promoting sustainable former UN Secretary-General responsible leadership, and humbly contributing is providing Responsible Leaders with a space to economic and financial models. Seeing ourselves to a peaceful, just and sustainable future. reflect on their roles and to inspire and empower as a radar for global trends, we provide a platform each other to push their commitment to the next to share knowledge. Our focus here is always on level.

In 2019 we will provide a host of opportunities to put this into practice. Two glowing highlights of our calendar are the Berlin Global Forum in October, and the World Responsible Leaders Forum in Mérida, Mexico, in December. The Berlin Global Forum is the culmination of the current BMW Foundation Global Table series on building New Coalitions for Resilient Societies – that is, international coalitions of like- minded leaders with open minds, open hearts, and an open will.

The “new BMW Foundation Herbert Quandt” and its newly rolled out strategy will be given large-scale visibility at the World Responsible Leaders Forum in Mexico. Participants will be invited to experience first-hand our community of purpose. Building bridges between cultures, the Forum will draw on our recent momentum in Latin America. Our regional network boasts a fierce sense of community and is peopled by Responsible Leaders all boldly confronting the continent’s many challenges. What can we – Europe especially – learn from the Global South, battling for positive change? BMW Foundation Herbert Quandt | Annual Report 2018 51

Finances

In the 2018 financial year, the BMW Foundation Herbert Quandt achieved earnings amounting to a total of EUR 10,291,657 from interest rates, other income and donations from BMW AG. A total of EUR 9,297,240 was used for the Foundation’s statutory non-profit programs and projects and other expenditure. Administrative costs made up 13 % (EUR 1,196,794) of the Total total expenses. On December 31, 2018, the BMW Foundation Herbert Quandt reserve € 136,375,749.36* existed in the amount of EUR 84,743,510.

The financial management for which the Foundation is responsible included, as in the previous year, overall budget planning for the current and upcoming financial year, investment management of the interest distributions, general bookkeeping and budget planning with income and expenditure administration at project level, and controlling.

KPMG AG Wirtschaftsprüfungsgesellschaft € 11.410.886,91 Liquid Assets (auditing company) audited the 2018 annual € 5.710.510,38 Mission Related Investments financial statements of the BMW Foundation € 38.921.623,76 Real Estate Herbert Quandt in the spring of 2019, together with the bookkeeping. The audit also extended to € 32.144.532,62 Fund Investments the maintenance of the endowment capital and the € 48.188.195,69 Bonds appropriate use of its earnings and any benefits intended for consumption. The Foundation was issued with an unqualified audit certificate for the 2018 financial year.

*Amounts including hidden reserves or hidden losses. BMW Foundation Herbert Quandt | Annual Report 2018 53

Balance Sheet | December 31, 2018

Assets Liabilities in euros 2018 2017 in euros 2018 2017

Foundation capital 50,001,000.00 50,001,000.00 Financial assets 50,001,000.00 50,001,000.00

Foundation reserves 84,743,510.35 83,749,093.80 Foundation assets 50,001,000.00 50,001,000.00

Earnings/ Loss from the re-arranging of assets -267,274.51 -267,274.51

Equity 134,477,235.84 133,482,819.29 Financial assets 81,685,679.28 76,495,749.35

Provisions 33,515.75 33,213.20 Other assets 48,746.92 102,925.07

Liabilities 3,772,782.90 400,959.04 Bank balances 6,500,029.43 7,305,071.79

Prepaid expenses 48,078.86 12,245.32

Balance sheet total 138,283,534.49 133,916,991.53 Other assets 88,282,534.49 83,915,991.53

Balance sheet total 138,283,534.49 133,916,991.53 BMW Foundation Herbert Quandt | Annual Report 2018 55

June

Programs and Activities 2 - 6 June Rio de Janeiro, Brazil Responsible Leaders Network: Network Drivers’ Retreat

4 - 6 June Singapore, Malaysia AVPN-BMW Foundation Policy Leaders Lab

January 11 June Munich, Germany Impact Investing Stammtisch

24 January Berlin, Germany Workshop F20 Foundations 17 - 21 June Berlin, Germany Global Diplomacy Lab Annual Planning 20 - 23 June Lillehammer, Norway 12th Global Table Lillehammer Creating Resilient Societies through Dialogue February 28 June - 1 July Marseille, France Responsible Leaders Forum Mediterranean 2 February Berlin, Germany Meeting of Bundesinitiative Impact Investing

5 - 9 February Mumbai, India 6th Global Pro Bono Summit July

9 - 10 February Karjat, India Regional Network Meeting India 5 July Munich, Germany Denkraum: Circular Economy 2030

16 February Munich, Germany Global Dialogue at Munich Security Conference 6 - 8 July Paretz / Berlin, Germany Zukunftsbrücke: Chinese-German Young Professional Campus Transforming Fragile Societies – What Role for Economic Elites? Zukunftsbrücke Alumni Days

20 February Berlin, Germany Panel Discussion: One Year of President Trump 26 - 29 July Wasan Island, Canada Regional Network Meeting North America Challenges and Opportunities for Transatlantic Affairs

August March 1 - 5 August Wasan Island, Canada Transatlantic Core Group 1 - 4 March Neuville-Bosc, France 2nd European Table Migration, Security and European Citizens September 6 March Munich, Germany Impact Investing Stammtisch 6 - 9 September Mendoza, Argentina F20 Foundations Global Meeting 8 March Berlin, Germany German-Russian Dialogue 20 September Berlin, Germany Lehr:werkstatt Meeting 9 - 11 March Mexico City, Mexico Regional Network Latin America Meeting Mexico 27 - 28 September Paretz / Berlin, Germany Workshop Bundesinitiative Impact Investing

April 28 September Berlin, Germany Impact Session

12 April Munich, Germany Global Talk Do We Need a United States of Europe? October

25 - 29 April USA, Chicago Transatlantic Core Group 7 - 11 October Baden-Baden, Germany German-Russian Dialogue

14 - 20 October Shanghai, China Zukunftsbrücke: Chinese-German Young Professional Campus May The Future Has Arrived – How Do We Prepare for the AI Era?

3 - 6 May Menaggio, Italy 3rd European Table 24 - 26 October Munich, Germany Munich European Forum Europe for Citizens Rebuilding European Identity Building a Strong Europe for Citizens

6 - 9 May Paretz, Germany League of Intrapreneurs November Fellows Global Gathering 5 - 8 November Paretz, Germany BMW Foundation & Toniic Retreat 17 - 20 May Cape Town, South Africa 11th Global Table Cape Town Leading towards Equal Opportunities 18 - 21 November Chicago, USA Global Diplomacy Lab

21 - 25 May Paretz, Germany Workshop Wasan Places 22 - 25 November Udaipur, India 13th Global Table India Partner Breuninger Foundation Female Leadership for Resilient Societies

31 May - 2 June Kaliningrad, Russia German-Russian Dialogue 26 November Munich, Germany Impact Investing Stammtisch

December

6 - 8 December Paretz/Berlin, Germany Regional Network Meeting Europe BMW Foundation Herbert Quandt | Annual Report 2018 57

“Their individual stories were amazing, and collectively they are making an impact in the world... Isn’t it funny how each story alone is a single drop but, together they make a “sea” of initiatives that is a force of nature? From the man who is part of Museum of Tomorrow in Brazil to a lady helping women in Africa, and another one helping heart patients in Egypt.”

Deema Anani, talking about the Responsible Leaders Forum Mediterranean, Marseille in June BMW Foundation Herbert Quandt | Annual Report 2018 59

The BMW Foundation Herbert Quandt

Founded in 1970 in recognition of Herbert Quandt’s BMW Group entrepreneurial achievements with BMW Group, the BMW Stiftung Herbert Quandt focuses its work on offering In a world where people and cultures are support for the common good and for a sustainable society. increasingly connected and, as a result, face In 2000, the Foundation was new social challenges, it is more important created to honor the long-time Chairman of the Board of than ever that global companies recognize Management and Supervisory Board of BMW AG and to and embrace their social responsibility. promote entrepreneurial thinking and action beyond an Innovation has been a trademark of economic context. the BMW Group since the company’s network. The third interdependent component of establishment in 1916. An early champion In 2016, the BMW Stiftung Herbert Quandt and the our work is to INVEST in initiatives and organizations of electromobility and digitization, the BMW Eberhard von Kuenheim Stiftung pooled their strengths seeking to positively overcome humankind’s social, Group is an industry pioneer. Environmental and resources to increase their global impact. The BMW political and environmental challenges. and social sustainability, comprehensive Foundation Herbert Quandt incorporates the founding product responsibility and a commitment to causes, capabilities, experiences, networks and ways of The BMW Foundation is an independent corporate resource conservation are core elements of working of the Eberhard von Kuenheim Foundation. The foundation whose activities contribute to the mission its strategy. BMW Foundation aims to be an innovative leadership and and social responsibility of BMW Group. global network organization that inspires achievements By way of our Responsible Leaders Network, we The BMW Group knows the reality on which work to improve the common challenges we face as are connected with emerging global trends, and the the ground and tries to use the Group’s society. Foundation provides internal and external content global presence to contribute to greater and inspiration for the BMW Group. This includes intercultural understanding and social Through its work, the Foundation intends to encourage innovative forms of leadership. inclusion. In dialogue with stakeholders and leaders to take their social and political responsibility to the through its strategy and socially responsible next level. We believe that Responsible Leaders working The corporation and the BMW Foundation Herbert governance principles, BMW Group wants in their own contexts can propel us towards achieving the Quandt share core values – openness and respect to build trust, understand positions and UN 2030 Agenda’s Sustainable Development Goals. To for others, their background, identity and dignity. identify trends, as well as build on and that end, we INSPIRE such leaders, providing a platform for Using a variety of approaches, both organizations consolidate partnerships. personal and professional development, and CONNECT aim to advance positive social change concerning them, across nations, regions and sectors, through our sustainability, responsibility and inclusiveness. https://www.bmwgroup.com/ BMW Foundation Herbert Quandt | Annual Report 2018 61

Boards and

Team Team

Diego Antončić Nadine Kambach Program (from February) Finance

Kerstin von Aretin Janina Kliem Program Communication

Laura Bastine Juliana Koehl Board of Directors Program Data

Elisabeth Benz Dr. Thomas Leeb Dr. Michael Schaefer Program (on parental leave) Program Chairman Veit Bötsch Kathrin Legrand Markus Hipp Finance Finance & HR Director Anika Blank Stefanie Leiendecker Dr. Frank Niederländer Events (on parental leave) Program (on parental leave) Director Sarah Braig Carmen Leszynsky Events Events

Ilsabe von Campenhausen Louisa Mammeri Program Program (from June) Board of Trustees Kathi Dangel Valerie Marouche Team Assistant (July until September) Strategy (from November) Prof. Dr-Ing. Dr. Nicolas Peter Chairman Daniela Deuber Barbara Müller Prof. Dr. Renate Köcher Program Program Stefan Quandt Prof. Dr. Bolko von Oetinger Jessica von Farkas Ianessa Norris Vice Chairman Dr.-Ing. Program Executive Assistant Maximilian Schöberl

Dr.-Ing. E.h Eberhard v. Kuenheim Ulrich Wilhelm Maja Heinrich Anna Oberschmidt Honorary Member Communication Team Assistant

Ilka Hennet Sandra Ortiz Diaz Program Program BMW Foundation Herbert Quandt | Annual Report 2018 63

Antje Pfahl Christina Smith Communication (from October) Program

Armin Pialek Celia Soltek Program (until April) Program

Sabine Porn Dr. Angelika Starbatty Program Program

Teresa Reiter Claudia Strasser Events Program (until mid-January)

Benita Rosen Jessica Strike Program (on parental leave) HR & Program

Kai Russwurm Maike Thomas Events (from April) Executive Assistant (from November)

Heike Sandler Cristina Umani Executive Assistant Strategy

Katharina Schlabitz Johannes Weber Events Program

Nora Scholz Vinzenz Weidner Communication (on parental leave) Communication (until August)

Antonis Schwarz Corinna Wübbolt Program HR

Julia Sikora Finance

Photo Credits: Samuel Antonini, Marc Beckmann, Julia Salles, and Claudia Leisinger. www.twentythirty.com BMW Foundation Herbert Quandt | Annual Report 2018

BMW Foundation Herbert Quandt

Berlin Office Reinhardtstrasse 58 10117 Berlin Telephone: +49 30 3396-3500 Fax: +49 30 3396-3530 E-mail: info@-foundation.org

Munich Office Praterinsel 3 80538 Munich Telephone: +49 89 382-22501 Fax: +49 89 382-52825

Board of Directors Dr. Michael Schaefer, Chairman Markus Hipp Dr. Frank Niederländer

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