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Harvard Case - Teach For Lebanon: Entrepreneurship in the Not-For-Profit Sector

"Teach For Lebanon: Entrepreneurship in the Not-For-Profit Sector" Harvard business case study is written by Mohamad Alameh, Alain Daou. It deals with the challenges in the field of General Management. The case study is 15 page(s) long and it was first published on : Jul 17, 2019

At Fern Fort University, we recommend Teach For Lebanon (TFL) adopt a hybrid growth strategy that leverages its core strengths in education and social impact while embracing entrepreneurial approaches to expand its reach and sustainability. This strategy will involve:

  • Strengthening the existing program: Refine the current fellowship program through innovation management and organizational learning to improve effectiveness and impact.
  • Expanding the reach: Develop new programs and partnerships to reach a wider audience, including digital transformation for online learning initiatives and strategic alliances with corporations for resource mobilization.
  • Building a sustainable business model: Explore revenue-generating initiatives while maintaining TFL's non-profit status, such as social enterprises and impact investing opportunities.

2. Background

Teach For Lebanon is a non-profit organization established in 2014 with the mission to improve educational opportunities for underprivileged children in Lebanon. TFL recruits and trains young professionals as 'fellows' to teach in underserved schools for two years. The case study highlights TFL's challenges in scaling its operations, securing funding, and adapting to the evolving needs of Lebanese education.

The main protagonists are:

  • Rami: TFL's founder and CEO, passionate about educational equity and seeking sustainable growth for the organization.
  • The Board: Concerned about TFL's financial stability and seeking a clear strategy for the future.
  • The Fellows: Dedicated to their mission but facing challenges in the classroom and seeking professional development opportunities.

3. Analysis of the Case Study

SWOT Analysis:

Strengths:

  • Mission-driven: TFL's commitment to educational equity resonates with stakeholders.
  • Strong network: TFL has built relationships with schools, government officials, and international organizations.
  • Talented Fellows: TFL attracts passionate and dedicated individuals committed to social impact.

Weaknesses:

  • Limited resources: TFL faces financial constraints and relies heavily on external funding.
  • Scaling challenges: Expanding the program while maintaining quality is difficult.
  • Lack of sustainable business model: TFL's reliance on grants and donations makes it vulnerable to funding fluctuations.

Opportunities:

  • Growing demand for education reform: The Lebanese education system faces significant challenges, creating an opportunity for TFL's interventions.
  • Emerging technologies: Leveraging technology and analytics can enhance teaching and learning experiences.
  • Increased corporate social responsibility: Corporations are increasingly interested in social impact initiatives, opening up opportunities for partnerships.

Threats:

  • Political instability: Lebanon's political climate can impact TFL's operations and funding.
  • Competition: Other NGOs and educational initiatives compete for resources and attention.
  • Economic challenges: Lebanon's economic crisis can lead to reduced funding and increased demand for TFL's services.

Porter's Five Forces Analysis:

  • Threat of new entrants: High, as other NGOs and educational initiatives can enter the market.
  • Bargaining power of buyers: Low, as TFL provides a valuable service to underserved communities.
  • Bargaining power of suppliers: Moderate, as TFL relies on schools and donors for resources.
  • Threat of substitute products: High, as alternative educational programs and initiatives exist.
  • Rivalry among existing competitors: High, as TFL competes with other NGOs and educational organizations.

Key Findings:

  • TFL's mission is crucial, but its current model is unsustainable in the long term.
  • Strategic planning and innovation management are essential for TFL's future success.
  • Developing a sustainable business model while maintaining its non-profit status is critical.

4. Recommendations

Phase 1: Strengthening the Core (Year 1-2)

  • Refine the Fellowship Program:
    • Implement a performance evaluation system to track fellows' impact and identify areas for improvement.
    • Provide professional development opportunities for fellows, including training in teaching methodologies, technology integration, and emotional intelligence in leadership.
    • Develop a mentorship program to support fellows and provide guidance from experienced educators.
  • Enhance Operations:
    • Implement a quality management system to ensure consistency and effectiveness across all programs.
    • Utilize data-driven decision making to track program outcomes and allocate resources efficiently.
    • Implement agile management principles for flexibility and responsiveness to changing needs.

Phase 2: Expanding the Reach (Year 2-3)

  • Developing New Programs:
    • Create online learning initiatives to reach a wider audience and provide flexible learning options.
    • Develop after-school programs to provide additional support and enrichment opportunities for students.
    • Explore vocational training programs to equip students with skills for future employment.
  • Building Partnerships:
    • Establish strategic alliances with corporations for funding, resource mobilization, and employee engagement.
    • Partner with international organizations to leverage expertise and expand TFL's reach.
    • Collaborate with other NGOs to share resources and expertise.

Phase 3: Building a Sustainable Business Model (Year 3-4)

  • Social Enterprises:
    • Develop social enterprises that generate revenue while supporting TFL's mission, such as educational publishing, tutoring services, or training programs for educators.
  • Impact Investing:
    • Explore impact investing opportunities to attract capital from socially responsible investors.
  • Fundraising:
    • Diversify fundraising efforts by engaging individual donors, corporate sponsors, and foundations.
    • Develop a strong brand management strategy to attract and retain supporters.

5. Basis of Recommendations

These recommendations are based on the following considerations:

  1. Core Competencies and Mission Consistency: TFL's core competency lies in its ability to recruit and train talented individuals to improve education. The recommendations focus on building upon this strength while exploring new avenues for impact.
  2. External Customers and Internal Clients: The recommendations address the needs of both students and fellows, providing them with better educational opportunities and professional development.
  3. Competitors: The recommendations aim to differentiate TFL from its competitors by focusing on innovation, sustainability, and partnerships.
  4. Attractiveness: The recommendations are expected to increase TFL's impact and financial sustainability, making it more attractive to donors, partners, and stakeholders.

6. Conclusion

Teach For Lebanon has the potential to become a leading force in educational reform in Lebanon. By embracing a hybrid growth strategy that combines program refinement, expansion, and sustainable business development, TFL can overcome its challenges and achieve its mission of providing quality education for all children.

7. Discussion

Alternatives:

  • Continuing with the current model: This would be unsustainable and would likely lead to TFL's decline.
  • Focusing solely on fundraising: This would be difficult in the current economic climate and would not address TFL's operational challenges.
  • Merging with another organization: This could lead to a loss of TFL's identity and autonomy.

Risks:

  • Political instability: Political unrest could disrupt TFL's operations and funding.
  • Economic challenges: Lebanon's economic crisis could lead to reduced funding and increased demand for TFL's services.
  • Competition: Other NGOs and educational initiatives could outcompete TFL for resources and attention.

Key Assumptions:

  • TFL's mission remains relevant and resonates with stakeholders.
  • TFL's leadership is committed to implementing the recommendations.
  • TFL can secure the necessary resources to implement the proposed changes.

8. Next Steps

Timeline:

  • Year 1: Implement program refinement and operational improvements.
  • Year 2: Develop new programs and build partnerships.
  • Year 3: Launch social enterprises and explore impact investing opportunities.
  • Year 4: Evaluate progress and adjust strategy as needed.

Key Milestones:

  • Develop a strategic plan: Define clear goals, objectives, and strategies for the next 5 years.
  • Secure funding: Develop a comprehensive fundraising plan to support the proposed initiatives.
  • Build a strong team: Recruit and retain talented staff with expertise in education, business development, and social impact.
  • Monitor progress: Track key performance indicators (KPIs) to measure the effectiveness of the implemented changes.

By taking these steps, Teach For Lebanon can transform itself into a sustainable and impactful organization that makes a lasting difference in the lives of Lebanese children.

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Case Description

Teach For Lebanon (TFL) was a non-profit organization (NFP) founded in response to the national problem of low quality public education. The case examines the sustainability challenges that TFL faced in a developing country, covering the financial, legal, and social dilemmas that NFPs struggled with. The case tracks TFL's innovative solutions to enhance the organization's financial sustainability and considers scaling-up and initiating a new business to generate additional income. Using benchmarking, students can invent and list their own suggestions for enhancing NFPs' financial sustainability.

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