Harvard Case - The Hong Kong Blind Union: A Small Self-help NGO With Board Of Directors Actively Involved In Operation
"The Hong Kong Blind Union: A Small Self-help NGO With Board Of Directors Actively Involved In Operation" Harvard business case study is written by Sammy Fung. It deals with the challenges in the field of General Management. The case study is 20 page(s) long and it was first published on : Jan 8, 2014
At Fern Fort University, we recommend a multi-pronged strategic approach for the Hong Kong Blind Union (HKBU) to enhance its impact, sustainability, and growth. This approach involves a combination of organizational restructuring, innovation in service delivery, strategic partnerships, and fundraising strategies. By implementing these recommendations, HKBU can effectively address its current challenges, expand its reach, and solidify its position as a leading advocate for the blind community in Hong Kong.
2. Background
The Hong Kong Blind Union (HKBU) is a small, self-help non-governmental organization (NGO) dedicated to improving the lives of blind and visually impaired individuals in Hong Kong. Founded in 1951, HKBU provides a range of services, including rehabilitation, education, employment support, and advocacy. The organization faces several challenges, including limited resources, a changing social landscape, and increasing competition from other NGOs. The case study highlights the active involvement of the Board of Directors in operations, which presents both opportunities and challenges for the organization.
3. Analysis of the Case Study
SWOT Analysis:
Strengths:
- Strong community presence and reputation: HKBU enjoys a strong reputation within the blind community and has built trust over decades of service.
- Dedicated staff and volunteers: The organization benefits from a committed team passionate about its mission.
- Active Board of Directors: The Board's involvement provides valuable expertise and oversight.
Weaknesses:
- Limited resources: HKBU faces financial constraints, limiting its ability to expand services and reach more individuals.
- Outdated infrastructure and technology: The organization's infrastructure and technology need modernization to improve efficiency and accessibility.
- Lack of strategic planning and formal evaluation: The organization lacks a comprehensive strategic plan and formal performance evaluation mechanisms.
Opportunities:
- Growing awareness of disability rights: Increasing awareness of disability rights in Hong Kong presents opportunities for advocacy and service expansion.
- Technological advancements: Emerging technologies like AI and machine learning can enhance accessibility and service delivery.
- Strategic partnerships: Collaborating with other organizations, businesses, and government agencies can broaden HKBU's reach and resource base.
Threats:
- Competition from other NGOs: HKBU faces increasing competition from other NGOs offering similar services.
- Economic downturn: Economic fluctuations can impact donations and funding opportunities.
- Changing demographics: Hong Kong's aging population and changing demographics may require adjustments to service delivery models.
Porter's Five Forces Analysis:
- Threat of new entrants: High, as new NGOs can enter the market relatively easily.
- Bargaining power of buyers: Low, as beneficiaries are often dependent on HKBU's services.
- Threat of substitute products or services: High, as alternative services and support systems exist.
- Bargaining power of suppliers: Low, as suppliers of services and goods are readily available.
- Competitive rivalry: High, as HKBU competes with other NGOs for funding, resources, and beneficiaries.
Key Issues:
- Financial Sustainability: HKBU needs to develop a sustainable funding model to ensure its long-term viability.
- Service Innovation: The organization needs to adapt its services to meet the evolving needs of the blind community and leverage technology for greater impact.
- Organizational Structure and Governance: HKBU needs to optimize its organizational structure and governance to enhance efficiency and decision-making.
- Strategic Partnerships: Building strategic partnerships with relevant stakeholders can expand HKBU's reach and resource base.
- Marketing and Communication: The organization needs to develop a robust marketing and communication strategy to raise awareness, attract volunteers, and secure funding.
4. Recommendations
1. Enhance Financial Sustainability:
- Diversify funding sources: Explore new funding avenues beyond traditional donations, including corporate social responsibility initiatives, government grants, and social impact investments.
- Develop a robust fundraising strategy: Implement a comprehensive fundraising strategy that leverages digital platforms, events, and community engagement.
- Improve financial management: Enhance financial planning, budgeting, and reporting to ensure transparency and accountability.
2. Innovate Service Delivery:
- Leverage technology: Integrate technology into service delivery, including assistive technology, online learning platforms, and mobile applications.
- Develop personalized services: Tailor services to meet the unique needs of individuals, considering age, disability type, and socioeconomic background.
- Expand outreach: Utilize digital platforms and community engagement initiatives to reach a wider audience and promote accessibility.
3. Optimize Organizational Structure and Governance:
- Implement a strategic planning framework: Develop a comprehensive strategic plan with clear goals, objectives, and performance indicators.
- Establish formal evaluation mechanisms: Implement a robust performance evaluation system to track progress, identify areas for improvement, and ensure accountability.
- Strengthen Board governance: Define clear roles and responsibilities for the Board, enhance its oversight function, and promote diversity and inclusivity within the Board.
4. Build Strategic Partnerships:
- Collaborate with other NGOs: Partner with other organizations serving the blind community to leverage resources, share expertise, and expand reach.
- Engage with businesses and corporations: Seek partnerships with businesses to provide employment opportunities, sponsorship, and pro bono services.
- Develop relationships with government agencies: Advocate for policy changes and access to government resources to improve the lives of the blind community.
5. Enhance Marketing and Communication:
- Develop a robust marketing strategy: Utilize digital marketing channels, social media, and public relations to raise awareness and attract supporters.
- Create compelling content: Develop engaging content that showcases HKBU's impact, highlights success stories, and promotes its services.
- Engage with the media: Build relationships with media outlets to secure positive coverage and amplify HKBU's message.
5. Basis of Recommendations
These recommendations are based on a comprehensive analysis of HKBU's strengths, weaknesses, opportunities, and threats. They are aligned with the organization's mission to improve the lives of blind and visually impaired individuals in Hong Kong. The recommendations are also designed to address the key issues identified in the case study, including financial sustainability, service innovation, organizational structure, strategic partnerships, and marketing and communication.
Key Assumptions:
- The Hong Kong government will continue to support NGOs working with the disabled community.
- Businesses and corporations will increasingly prioritize corporate social responsibility initiatives.
- Technology advancements will continue to improve accessibility for blind and visually impaired individuals.
- The blind community in Hong Kong will embrace new technologies and services.
6. Conclusion
By implementing these recommendations, HKBU can significantly enhance its impact, sustainability, and growth. The organization will be better positioned to serve the needs of the blind community, advocate for their rights, and secure a sustainable future. The recommendations are practical, achievable, and aligned with HKBU's mission and values.
7. Discussion
Alternative Options:
- Merging with another NGO: This could provide access to greater resources and expertise but may lead to cultural clashes and loss of identity.
- Focusing solely on advocacy: This could allow HKBU to focus on policy change but may limit its direct service delivery capabilities.
Risks:
- Resistance to change: Some stakeholders may resist changes to organizational structure or service delivery models.
- Financial uncertainty: Fundraising efforts may not meet expectations, leading to financial instability.
- Technological challenges: Implementing new technologies may require significant investment and expertise.
Key Assumptions:
- The recommendations are based on the assumption that HKBU has the capacity and willingness to implement the proposed changes.
- The recommendations are also based on the assumption that the external environment will remain relatively stable and supportive of HKBU's mission.
8. Next Steps
Timeline:
- Year 1: Develop a comprehensive strategic plan, implement a new fundraising strategy, and begin exploring strategic partnerships.
- Year 2: Implement key organizational changes, including restructuring and improving governance.
- Year 3: Begin integrating technology into service delivery, expand outreach, and evaluate the impact of implemented changes.
Key Milestones:
- Develop a strategic plan: Within 6 months.
- Secure new funding sources: Within 1 year.
- Establish strategic partnerships: Within 1 year.
- Implement key organizational changes: Within 2 years.
- Integrate technology into service delivery: Within 3 years.
By following these recommendations and implementing the proposed timeline, HKBU can transform itself into a more effective, sustainable, and impactful organization, ensuring a brighter future for the blind community in Hong Kong.
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Case Description
This practice stands in stark contrast to the kind of NGO corporate governance that is prescribed by the Hong Kong government ("HKG"). Since the HKG launched its subvention approach to NGOs in Hong Kong in 2002, it has attempted to establish a code of practices for corporate governance in NGOs that are under its subvention. The code of practices advocates that NGO boards of directors should focus on areas that would ensure NGOs' legal and regulatory compliance, sound financial management, performance monitoring, and transparency. In addition, the best practice of having a diverse set of independent board members with different backgrounds and professionalism is encouraged. As one of the HKG's subvented NGOs, HKBU received 55% of its expenditure from the HKG subvention and grants in 2011-2012. As an organization that receives government funding and grants, that is, a subvented organization, HKBU is subject to the governance and audit system and framework imposed by the government. To a great extent, this governance and audit approach and framework is derived from the business sector's corporate governance practices. However, as a self-help organization for people with visual impairment, HKBU presents a compelling case for why these control and monitoring roles and practices of NGO boards should not necessarily be universally applicable to all subvented organizations in Hong Kong. Despite the HKG's guidance on the compliance and monitoring function of NGO corporate governance, HKBU sees its board, that is, the executive committee, and the Union's operation staff work closely as a unified team to achieve the NGO's missions and to facilitate fundraising. Against the backdrop of the HKG's governance advocacy, what roles and duties do HKBU's EC and its members fulfill? What are the results? And most importantly, why did HKBU adopt such practices?
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