Harvard Case - Clean the World: Product Innovation during a Crisis
"Clean the World: Product Innovation during a Crisis" Harvard business case study is written by Mary Conway Dato-on, Michelle Stecker. It deals with the challenges in the field of Entrepreneurship. The case study is 6 page(s) long and it was first published on : Jul 13, 2023
At Fern Fort University, we recommend Clean the World implement a multi-pronged strategy to navigate the COVID-19 crisis, leveraging its existing strengths and adapting to the changing environment. This strategy focuses on:
- Product Diversification: Expanding beyond hygiene kits to include a broader range of sanitation and infection control products.
- Strategic Partnerships: Cultivating partnerships with hospitals, NGOs, and government agencies to increase product distribution and reach.
- Digital Transformation: Embracing technology to enhance supply chain management, fundraising, and customer engagement.
- Financial Sustainability: Exploring new funding avenues and optimizing existing operations to ensure long-term financial stability.
2. Background
Clean the World is a non-profit organization dedicated to improving global hygiene and sanitation standards. Founded in 2008, they collect discarded hotel amenities and repurpose them into hygiene kits distributed to developing countries. The COVID-19 pandemic presented a significant challenge to Clean the World?s operations, disrupting supply chains and increasing demand for hygiene products.
The case study focuses on the organization?s response to the crisis, highlighting the need for product innovation, strategic partnerships, and financial sustainability to ensure its continued impact.
3. Analysis of the Case Study
This case study can be analyzed through the lens of strategic management, focusing on the organization?s ability to adapt to a rapidly changing environment. We can apply the SWOT analysis framework to identify Clean the World?s strengths, weaknesses, opportunities, and threats:
Strengths:
- Strong Mission and Values: Clean the World has a clear and compelling mission, fostering a strong brand image and attracting dedicated volunteers and supporters.
- Established Supply Chain: The organization has a well-established network for collecting and repurposing hotel amenities, providing a cost-effective and sustainable source of materials.
- Global Reach: Clean the World has a global presence, distributing hygiene kits to over 120 countries.
Weaknesses:
- Limited Product Range: Clean the World?s product portfolio is primarily focused on hygiene kits, limiting its ability to address the diverse needs of its target audience.
- Dependence on Hotel Industry: The organization?s reliance on hotel amenities makes it vulnerable to fluctuations in the hospitality sector.
- Financial Sustainability: Clean the World heavily relies on donations and grants, making it susceptible to economic downturns.
Opportunities:
- Increased Demand for Hygiene Products: The COVID-19 pandemic has significantly increased demand for sanitation and infection control products, presenting a market opportunity for Clean the World.
- Partnerships with Healthcare Organizations: Collaborating with hospitals, clinics, and NGOs can expand Clean the World?s reach and impact.
- Digital Transformation: Leveraging technology can streamline operations, enhance fundraising efforts, and improve communication with stakeholders.
Threats:
- Economic Uncertainty: The global economic downturn caused by the pandemic could impact donations and funding sources.
- Competition: The hygiene product market is becoming increasingly competitive, with established players vying for market share.
- Supply Chain Disruptions: Ongoing disruptions in the global supply chain could affect Clean the World?s access to raw materials.
4. Recommendations
Product Diversification:
- Expand Product Range: Develop and introduce new products beyond hygiene kits, such as hand sanitizers, disinfectant wipes, and reusable face masks.
- Focus on Sustainability: Ensure new products are environmentally friendly and align with Clean the World?s mission of sustainability.
- Conduct Market Research: Identify the most pressing hygiene needs in target markets and tailor product offerings accordingly.
Strategic Partnerships:
- Collaborate with Healthcare Organizations: Partner with hospitals, clinics, and NGOs to distribute hygiene products and provide sanitation training.
- Engage with Government Agencies: Seek funding and support from local and international government agencies to scale up operations.
- Develop Partnerships with Corporations: Collaborate with corporations to leverage their resources and expertise, including marketing, logistics, and product development.
Digital Transformation:
- Implement Online Fundraising Platform: Develop a user-friendly online platform for donations, enabling greater transparency and efficiency.
- Improve Supply Chain Management: Utilize technology to optimize inventory management, track product distribution, and streamline logistics.
- Enhance Communication and Engagement: Utilize social media and digital marketing to raise awareness, engage with stakeholders, and share impact stories.
Financial Sustainability:
- Diversify Funding Sources: Explore new funding avenues, such as corporate sponsorships, social impact bonds, and impact investing.
- Optimize Operations: Implement cost-saving measures and improve operational efficiency to maximize resource utilization.
- Develop a Sustainable Business Model: Explore opportunities for generating revenue through product sales or service offerings, while maintaining the organization?s non-profit status.
5. Basis of Recommendations
These recommendations are based on a thorough analysis of Clean the World?s strengths, weaknesses, opportunities, and threats. They are aligned with the organization?s core competencies and mission to improve global hygiene and sanitation.
Core Competencies and Mission Consistency: The recommendations focus on leveraging Clean the World?s existing expertise in hygiene product development, supply chain management, and global distribution, while expanding its product portfolio and reach.
External Customers and Internal Clients: The recommendations address the needs of both external customers, such as healthcare organizations and vulnerable communities, and internal clients, such as volunteers and donors.
Competitors: The recommendations acknowledge the increasing competition in the hygiene product market and aim to differentiate Clean the World through its sustainable practices, social impact focus, and innovative product offerings.
Attractiveness: The recommendations are expected to enhance Clean the World?s financial sustainability and impact, increasing its attractiveness to potential donors, partners, and investors.
Assumptions:
- The demand for hygiene products will continue to grow in the coming years.
- Clean the World can successfully develop and market new products that meet the needs of its target audience.
- The organization can secure funding and partnerships to support its growth and expansion.
6. Conclusion
Clean the World has a unique opportunity to leverage the COVID-19 crisis as a catalyst for growth and innovation. By diversifying its product offerings, forging strategic partnerships, embracing digital transformation, and ensuring financial sustainability, the organization can continue to make a significant impact on global hygiene and sanitation.
7. Discussion
Alternatives:
- Focusing solely on existing product lines: This approach would limit Clean the World?s ability to meet the evolving needs of its target audience and could lead to decreased market share.
- Relying solely on donations and grants: This strategy would make Clean the World vulnerable to economic fluctuations and could hinder its ability to scale up operations.
Risks:
- Product development costs: Developing new products could require significant investment, potentially impacting the organization?s financial stability.
- Partnering with unreliable organizations: Collaborating with organizations that do not share Clean the World?s values or commitment to quality could damage its reputation.
- Technological challenges: Implementing digital transformation initiatives could require significant technical expertise and resources.
Key Assumptions:
- The demand for hygiene products will continue to grow.
- Clean the World can successfully develop and market new products.
- The organization can secure funding and partnerships to support its growth.
8. Next Steps
- Develop a detailed product development plan: Identify potential new products, assess market demand, and determine feasibility.
- Establish a partnership strategy: Identify potential partners in the healthcare, government, and corporate sectors and develop a plan for engagement.
- Implement a digital transformation roadmap: Define specific technology initiatives, allocate resources, and set timelines for implementation.
- Secure funding and resources: Explore new funding avenues, develop a fundraising strategy, and secure necessary resources for implementation.
By taking these steps, Clean the World can navigate the challenges of the COVID-19 crisis and emerge as a stronger and more impactful organization, making a lasting contribution to global hygiene and sanitation.
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Case Description
Sandie Beauchamp, was the chief experience officer at the social enterprise and Certified B Corporation hybrid organization Clean the World (CTW), located in Orlando, Florida. Beauchamp finds herself in survival mode as she struggles to keep the organization from closings its doors while simultaneously keeping herself, employees, and volunteers safe during the COVID-19 global pandemic. Through a focus on CTW's mission as well as trial and error, Beauchamp and her team innovate a product and process to meet the hygiene needs of CTW beneficiaries while generating income.
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