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Harvard Case - Street Child Europe: Growing a Charity

"Street Child Europe: Growing a Charity" Harvard business case study is written by Joerg Dietz, Anna Zampa. It deals with the challenges in the field of Organizational Behavior. The case study is 14 page(s) long and it was first published on : Nov 22, 2019

At Fern Fort University, we recommend that Street Child Europe (SCE) adopts a strategic growth plan focused on building a strong organizational foundation, expanding its international reach, and leveraging technology to enhance its impact. This plan should prioritize building a diverse and inclusive organizational culture, establishing clear leadership roles, and implementing robust systems for resource management, program evaluation, and communication.

2. Background

Street Child Europe is a non-profit organization dedicated to improving the lives of street children in developing countries. Founded in 2008, SCE has grown rapidly, expanding its operations to multiple countries and implementing various programs aimed at education, healthcare, and social inclusion. However, the organization faces challenges related to managing its rapid growth, ensuring program effectiveness, and maintaining financial sustainability.

The case study focuses on the challenges faced by SCE's CEO, Tom, who is trying to navigate the organization's growth while maintaining its core values and ensuring its long-term success. The case highlights the complexities of managing a growing charity, including the need for effective leadership, strong organizational culture, and a clear strategic direction.

3. Analysis of the Case Study

This case study can be analyzed through the lens of organizational behavior, leadership, and change management.

Organizational Behavior:

  • Organizational Culture: SCE's culture is characterized by a strong commitment to its mission, but it also exhibits a lack of formal structure and processes, leading to inefficiencies and communication challenges.
  • Leadership Styles: Tom's leadership style, while passionate and driven, lacks a clear vision and strategic direction for the organization's growth. This can lead to confusion and uncertainty among staff.
  • Team Dynamics: The case highlights the challenges of managing a growing team with diverse backgrounds and experiences. The lack of clear roles and responsibilities can lead to conflicts and hinder collaboration.
  • Motivation Theories: The case suggests that SCE's staff is highly motivated by the organization's mission, but there is a lack of recognition and reward systems, which can impact employee engagement and retention.

Leadership:

  • Leadership Qualities: Tom's passion and dedication to the cause are valuable assets, but he needs to develop his strategic thinking, delegation skills, and ability to build a strong leadership team.
  • Leadership Development: SCE needs to invest in leadership development programs for its staff, focusing on skills like strategic planning, communication, and conflict resolution.
  • Transformational Leadership: Tom should strive to become a transformational leader who inspires and motivates his team, fostering a shared vision and a culture of innovation.

Change Management:

  • Resistance to Change: As SCE grows, it will need to implement changes to its organizational structure and processes. This can lead to resistance from staff who are comfortable with the existing way of doing things.
  • Communication and Transparency: Effective communication is crucial for managing change. Tom needs to involve staff in the decision-making process and communicate the rationale behind changes clearly.
  • Psychological Safety: Creating a psychologically safe environment where staff feel comfortable voicing their concerns and ideas is essential for successful change implementation.

4. Recommendations

1. Develop a Strategic Growth Plan:

  • Define a clear vision and mission: This should be communicated effectively to all stakeholders, including staff, donors, and partners.
  • Identify key growth areas: This could include expanding into new geographical regions, developing new programs, or strengthening existing programs.
  • Set measurable goals and objectives: This will provide a framework for tracking progress and measuring success.
  • Develop a resource allocation plan: This should ensure that resources are aligned with the organization's strategic priorities.

2. Strengthen Organizational Structure and Processes:

  • Establish clear roles and responsibilities: This will improve communication and collaboration within the organization.
  • Implement robust systems for financial management, program evaluation, and reporting: This will ensure transparency and accountability.
  • Develop a comprehensive human resource management system: This should include recruitment, training, performance management, and compensation and benefits.

3. Build a Strong Organizational Culture:

  • Foster a culture of diversity and inclusion: This will attract and retain a diverse workforce and ensure that the organization is representative of the communities it serves.
  • Promote open communication and collaboration: Encourage staff to share ideas, feedback, and best practices.
  • Recognize and reward employee contributions: This will motivate staff and foster a sense of belonging.

4. Invest in Leadership Development:

  • Develop a leadership pipeline: Identify and develop potential leaders within the organization.
  • Provide training and mentorship opportunities: This will help leaders develop the skills and knowledge they need to be effective.
  • Create a culture of continuous learning: Encourage leaders to stay up-to-date on best practices and emerging trends in the non-profit sector.

5. Leverage Technology to Enhance Impact:

  • Implement a robust data management system: This will allow the organization to track its progress, measure its impact, and make data-driven decisions.
  • Utilize technology for communication and fundraising: This can help the organization reach a wider audience and increase its fundraising capacity.
  • Explore opportunities for using technology to improve program delivery: This could include using mobile technology to deliver education programs or using online platforms for case management.

5. Basis of Recommendations

These recommendations are based on the following considerations:

  • Core competencies and consistency with mission: The recommendations are aligned with SCE's core mission of improving the lives of street children.
  • External customers and internal clients: The recommendations address the needs of both external stakeholders, such as donors and beneficiaries, and internal stakeholders, such as staff and volunteers.
  • Competitors: The recommendations consider the competitive landscape in the non-profit sector and aim to position SCE as a leader in the field.
  • Attractiveness ' quantitative measures if applicable: The recommendations are expected to improve SCE's financial sustainability, program effectiveness, and overall impact.

6. Conclusion

Street Child Europe has the potential to become a leading organization in the fight against street child poverty. By implementing a strategic growth plan that focuses on building a strong organizational foundation, expanding its international reach, and leveraging technology to enhance its impact, SCE can achieve its mission and create a lasting positive impact on the lives of street children worldwide.

7. Discussion

Alternative Options:

  • Merging with another organization: This could provide access to resources and expertise, but it also carries risks related to cultural clashes and loss of identity.
  • Focusing on a specific program area: This could allow SCE to specialize and become a leader in a particular field, but it could limit its reach and impact.

Risks and Key Assumptions:

  • Financial sustainability: The recommendations assume that SCE can secure adequate funding to support its growth.
  • Program effectiveness: The recommendations assume that SCE can develop and implement effective programs that meet the needs of street children.
  • Leadership capacity: The recommendations assume that SCE can develop strong leaders who can effectively manage the organization's growth.

8. Next Steps

  • Develop a detailed strategic growth plan: This should include specific goals, objectives, timelines, and resource allocation plans.
  • Implement a communication plan: This should ensure that all stakeholders are informed about the organization's strategic direction and progress.
  • Invest in leadership development: This should include training, mentorship, and coaching opportunities for current and future leaders.
  • Monitor progress and make adjustments as needed: The organization should regularly review its progress and make necessary adjustments to its strategic plan.

By taking these steps, Street Child Europe can position itself for sustainable growth and achieve its mission of improving the lives of street children worldwide.

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Case Description

At the end of March 2018, the director of the Barcelona office of Street Child, a charity organization with headquarters in the United Kingdom, was looking back at the changes he had introduced in 2017. The Barcelona office was responsible for growing Street Child in continental Europe, so it was internally known as Street Child Europe. Since January 2018, the office had added a paid employee. This employee was also the director of Street Child Netherlands and a former program support officer in Sierra Leone. The office could now employ up to eight interns, twice as many as before. However, Street Child Europe still needed to accomplish five key tasks: address its governance structure, clarify its brand positioning, consolidate its fundraising strategy, increase the appeal of its international volunteer program, and sett up an internal system to use its network effectively. The director needed concrete and executable strategies to ensure stable and sustainable growth of the charity across Europe.

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