Harvard Case - SEWA (A): Ela Bhatt
"SEWA (A): Ela Bhatt" Harvard business case study is written by Sonia Mehrotra, Oana Branzei. It deals with the challenges in the field of Organizational Behavior. The case study is 16 page(s) long and it was first published on : Sep 3, 2014
At Fern Fort University, we recommend SEWA implement a strategic plan focused on enhancing organizational capacity, fostering leadership development, and expanding its reach while maintaining its core values of social justice and empowerment. This plan should prioritize:
- Strengthening organizational structure and leadership: Developing a robust organizational structure, identifying and nurturing future leaders, and establishing clear lines of authority and responsibility.
- Promoting innovation and diversification: Exploring new revenue streams, leveraging technology, and adapting to changing economic landscapes.
- Expanding reach and impact: Targeting new markets, building strategic partnerships, and advocating for policy changes that benefit marginalized communities.
2. Background
This case study focuses on SEWA, a self-employed women's organization founded by Ela Bhatt in India. SEWA's mission is to empower women through economic and social development. The case highlights the organization's success in improving the lives of marginalized women through microfinance, training, and collective bargaining. However, SEWA faces challenges related to organizational growth, leadership succession, and maintaining its core values while navigating a complex and evolving environment.
The main protagonists are:
- Ela Bhatt: The founder and driving force behind SEWA, known for her visionary leadership and commitment to social justice.
- SEWA's leadership team: A group of dedicated individuals who share Ela Bhatt's vision but face the challenge of managing a growing organization.
- SEWA's members: The self-employed women who benefit from SEWA's services and contribute to its success.
3. Analysis of the Case Study
This case study can be analyzed through the lens of organizational behavior, leadership, and change management.
Organizational Behavior:
- Leadership Styles: Ela Bhatt's leadership style is characterized by transformational leadership, inspiring and empowering her members. However, her strong personality and personal involvement in every aspect of the organization create a potential challenge for succession planning.
- Organizational Culture: SEWA has a strong organizational culture built on values of empowerment, solidarity, and social justice. This culture is a key strength but also presents challenges in adapting to changing circumstances and attracting new talent.
- Team Dynamics: SEWA's success is built on strong team dynamics within its leadership team and among its members. However, managing a diverse group of women with different backgrounds and experiences requires careful attention to group behavior and communication patterns.
Leadership:
- Leadership Development: SEWA needs to focus on leadership development to ensure a smooth transition as Ela Bhatt steps back from her active role. This requires identifying and nurturing potential leaders, providing them with training and mentorship, and fostering a culture of shared leadership.
- Power and Influence: Understanding the dynamics of power and influence within the organization is crucial for effective leadership. Identifying key stakeholders, understanding their motivations, and building consensus are essential for navigating complex decision-making processes.
Change Management:
- Organizational Change: SEWA is facing significant organizational change as it grows and adapts to a changing environment. This requires a strategic approach to change management, including clear communication, employee engagement, and addressing resistance to change.
- Decision-Making Processes: SEWA's decision-making processes need to be adapted to accommodate the organization's growth. This involves developing clear frameworks for decision-making, ensuring transparency, and incorporating diverse perspectives.
4. Recommendations
1. Strengthen Organizational Structure and Leadership:
- Develop a clear organizational structure: Define roles, responsibilities, and lines of authority to ensure effective management and communication.
- Implement a leadership development program: Identify potential leaders, provide them with training and mentorship, and create opportunities for them to develop their skills.
- Establish a succession plan: Develop a clear process for leadership transitions to ensure continuity and stability.
2. Promote Innovation and Diversification:
- Explore new revenue streams: Identify opportunities for expanding SEWA's services and generating new sources of income.
- Leverage technology: Utilize technology to improve efficiency, reach new customers, and enhance service delivery.
- Develop new products and services: Adapt to changing market demands and explore opportunities in areas like renewable energy, e-commerce, and sustainable agriculture.
3. Expand Reach and Impact:
- Target new markets: Identify underserved communities and expand SEWA's services to reach more women.
- Build strategic partnerships: Collaborate with other organizations, NGOs, and government agencies to leverage resources and expand reach.
- Advocate for policy changes: Engage in policy advocacy to create a more enabling environment for women's economic empowerment.
5. Basis of Recommendations
These recommendations are based on the following considerations:
- Core competencies and consistency with mission: The recommendations align with SEWA's core mission of empowering women and promoting social justice.
- External customers and internal clients: The recommendations focus on meeting the needs of SEWA's members and expanding its reach to benefit more women.
- Competitors: The recommendations consider the competitive landscape and identify opportunities for SEWA to differentiate itself.
- Attractiveness ' quantitative measures if applicable: The recommendations prioritize strategies that are likely to be financially sustainable and have a positive impact on SEWA's bottom line.
6. Conclusion
SEWA has a strong foundation and a proven track record of success. By implementing these recommendations, SEWA can continue to grow and thrive while maintaining its core values and expanding its impact on the lives of marginalized women.
7. Discussion
Other alternatives not selected include:
- Merging with another organization: This could provide access to resources and expertise, but could also compromise SEWA's autonomy and identity.
- Focusing solely on microfinance: This could be a more sustainable business model, but could limit SEWA's impact on women's lives.
Risks and key assumptions:
- Financial sustainability: Expanding SEWA's operations requires careful financial planning and management.
- Leadership succession: Finding and developing leaders who can maintain SEWA's vision and values is crucial.
- Adapting to change: SEWA needs to be flexible and responsive to changing economic and social conditions.
8. Next Steps
- Develop a comprehensive strategic plan: This plan should outline the organization's goals, strategies, and implementation timeline.
- Establish a leadership development program: This program should identify potential leaders, provide them with training and mentorship, and create opportunities for them to develop their skills.
- Implement a communication strategy: This strategy should ensure clear and consistent communication with members, staff, and stakeholders.
- Monitor progress and make adjustments: Regularly assess the effectiveness of the recommendations and make adjustments as needed.
By taking these steps, SEWA can ensure its continued success and expand its impact on the lives of women in India and beyond.
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Case Description
In February 2014, a McKinsey Global Institute report proposed tracking an empowerment line that could enable India's citizens to get out of poverty by providing the resources they needed to build better lives. This prompted Ela Bhatt, founder of the India-based Self-Employed Women's Association, to take stock of her initiative to empower women working in India's informal sector. Since 1972, her organization has been widely acclaimed as a global first mover and active champion of grassroots development. Quickly approaching two million members in India and six neighbouring countries, and inspiring similar efforts in South Africa, Ghana, Mali and Burkina Faso, it exemplifies a unique form of positively deviant organizing by speaking to the centrality of human beings at work. Given resources, support and encouragement, its many members have used their own human agency even in the direst of circumstances to better their lives in ways most meaningful to them, for instance, by creating childcare, health care, banking, farming and education cooperatives. However, as she reaches retirement and contemplates the future, Bhatt wonders if the new generation of Indian leaders will take up the Gandhian socially minded path or follow the commercial careers opening up in the country's multinational sector.
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