Harvard Case - Skateistan
"Skateistan" Harvard business case study is written by Doreen E. Shanahan, Margaret E. Phillips, Gerard L. Rossy, Nancy Ellen Dodd, Andrea Scott. It deals with the challenges in the field of Social Enterprise. The case study is 20 page(s) long and it was first published on : Jun 1, 2017
At Fern Fort University, we recommend Skateistan adopt a hybrid organizational model that leverages its core strengths in social entrepreneurship and community development while strategically expanding its reach and impact through social enterprise initiatives. This approach will allow Skateistan to address its financial sustainability challenges while continuing to fulfill its mission of empowering youth through skateboarding.
2. Background
Skateistan is a non-profit organization founded in 2007 in Kabul, Afghanistan. Its mission is to use skateboarding as a tool to educate, empower, and create opportunities for vulnerable youth, particularly girls, in developing countries. Skateistan has since expanded to operate in Cambodia and South Africa, offering programs that combine skateboarding, education, and social work.
The case study highlights the organization's struggle with financial sustainability, despite its growing impact. Skateistan faces challenges in securing funding, managing its operations across multiple countries, and scaling its programs effectively. The organization's leadership is considering various options to address these challenges, including expanding its social enterprise ventures.
3. Analysis of the Case Study
Skateistan operates within a complex environment characterized by:
- Social and Global Issues: Poverty, conflict, gender inequality, and limited access to education are prevalent in the communities where Skateistan operates.
- Developing Countries: These environments present unique challenges related to infrastructure, political stability, and economic development.
- Nonprofit Organizations: Skateistan relies heavily on donations and grants, making it vulnerable to funding fluctuations and creating pressure to demonstrate impact.
- Social Entrepreneurship: Skateistan utilizes a unique approach of using skateboarding as a tool for social change, creating opportunities for youth development and social inclusion.
Framework: We can analyze Skateistan's situation using the Triple Bottom Line framework which considers social, environmental, and economic performance.
- Social: Skateistan excels in its social impact, empowering youth, promoting gender equality, and fostering community development.
- Environmental: Skateistan's environmental impact is limited, but it could explore sustainable practices in its operations and partnerships.
- Economic: Skateistan faces challenges in achieving financial sustainability, requiring a more strategic approach to generating revenue and managing resources.
Key Considerations:
- Impact Investing: Skateistan can attract investors seeking social impact alongside financial returns.
- Social Enterprise: Developing social enterprise ventures can provide a sustainable revenue stream and diversify funding sources.
- Strategic Partnerships: Collaborating with corporations and other organizations can leverage resources, expertise, and reach.
- Scaling Strategies: Developing scalable models and leveraging technology can increase program reach and impact.
4. Recommendations
1. Develop a Social Enterprise Portfolio:
- Skateistan Gear: Expand the existing online store, offering high-quality, ethically sourced skateboarding apparel and accessories.
- Skateboarding Camps and Workshops: Organize specialized camps and workshops for youth and adults, offering skill development, mentorship, and cultural exchange opportunities.
- Skateboarding Tourism: Partner with local businesses and tourism agencies to develop unique skateboarding tours and experiences, showcasing the local culture and Skateistan's impact.
2. Implement a Hybrid Organizational Model:
- Establish a Social Enterprise Division: Create a dedicated team responsible for developing, managing, and scaling social enterprise ventures.
- Allocate Resources: Invest in marketing, infrastructure, and technology to support the growth of social enterprise initiatives.
- Develop a Clear Social Enterprise Strategy: Define clear goals, target markets, and performance metrics for each venture.
3. Strengthen Partnerships and Collaborations:
- Corporate Social Responsibility (CSR): Partner with corporations seeking to engage in social impact initiatives, leveraging their resources and expertise.
- Government Agencies: Collaborate with local and international government agencies to access funding, infrastructure, and policy support.
- Nonprofit Organizations: Develop strategic alliances with other NGOs working in similar areas, sharing resources and expertise.
4. Embrace Technology and Innovation:
- Digital Marketing: Utilize social media, online platforms, and digital marketing strategies to reach a wider audience and promote social enterprise ventures.
- Data Analytics: Track performance metrics, analyze data, and use insights to improve program efficiency and impact.
- E-commerce Platforms: Develop user-friendly online platforms for selling products, managing donations, and engaging with stakeholders.
5. Basis of Recommendations
These recommendations are based on the following considerations:
- Core Competencies and Consistency with Mission: The proposed social enterprise ventures align with Skateistan's mission by promoting skateboarding, youth empowerment, and community development.
- External Customers and Internal Clients: The ventures cater to diverse stakeholders, including youth, families, corporations, and tourists, while providing opportunities for staff development and growth.
- Competitors: Skateistan can differentiate itself by focusing on its unique social impact mission and leveraging its established reputation.
- Attractiveness ' Quantitative Measures: The proposed ventures have the potential to generate significant revenue and contribute to Skateistan's financial sustainability.
- Assumptions: The recommendations assume a stable political and economic environment in Skateistan's operating countries, continued support from donors, and a strong commitment from leadership to embrace social enterprise.
6. Conclusion
By embracing a hybrid organizational model and strategically developing social enterprise ventures, Skateistan can achieve financial sustainability while continuing to fulfill its mission of empowering youth through skateboarding. This approach will allow the organization to expand its reach, increase its impact, and ensure its long-term viability in a rapidly changing world.
7. Discussion
Alternatives:
- Solely relying on grants and donations: This approach is risky and unsustainable, leaving Skateistan vulnerable to funding fluctuations.
- Merging with a larger organization: This could limit Skateistan's autonomy and potentially compromise its unique mission.
- Focusing on traditional fundraising: This approach may not be sufficient to meet the organization's growing needs and may limit its potential for growth.
Risks and Key Assumptions:
- Market demand: The success of social enterprise ventures depends on market demand for products and services.
- Competition: Skateistan may face competition from other organizations offering similar programs or products.
- Operational challenges: Expanding social enterprise ventures requires additional resources, expertise, and infrastructure.
8. Next Steps
Timeline:
- Year 1: Develop a comprehensive social enterprise strategy, pilot social enterprise ventures, and secure initial investments.
- Year 2: Expand social enterprise operations, establish partnerships, and refine business models.
- Year 3: Evaluate performance, scale successful ventures, and secure long-term funding.
Key Milestones:
- Develop a detailed business plan for each social enterprise venture.
- Conduct market research and identify target markets.
- Secure funding from impact investors and social enterprises.
- Recruit and train staff with expertise in social enterprise and business development.
- Develop a robust monitoring and evaluation framework to track performance and impact.
By implementing these recommendations, Skateistan can position itself for sustainable growth and continued success in empowering youth and creating a positive impact on the world.
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Case Description
Oliver "Ollie" Percovich, a world traveler and skateboard enthusiast, took three skateboards with him to Kabul, Afghanistan, where he hoped to find a research job with a development organization. The job did not materialize, but as he skated through the streets of Kabul he soon found that the children who surrounded him did not just want to watch him skate, they wanted to try skateboarding. As more and more children began to learn, particularly girls who previously were not even allowed to play any sports, Ollie realized he might have found a loophole for changes to existing Afghan cultural norms about girls and sports. The children who engaged in skateboarding crossed traditional Afghan social and economic boundaries and thus opened the door to develop education and leadership opportunities that he believed could transform a society. By 2015, Ollie had founded Skateistan in Kabul and added three more skate schools in Mazar-e-Sharif Afghanistan, Phnom Penh, Cambodia, and Johannesburg, South Africa. The mission of Skateistan was to "use skateboarding as a tool for empowering youth, to create new opportunities and the potential for change." Ollie wanted to further deliver on the company's vision to "grow a sustainable organization that is recognized locally and globally for changing the lives of hundreds of thousands of youth through skateboarding and quality programmes-creating leaders that change the world." This case outlines events that led to Ollie's development of the Skateistan concept, its launch in Afghanistan, and the organization's organic growth into other regions of the world. The case describes the organization's programmatic approach to creating systemic social change and provides information for students to identify and analyze the organization's business model. A short video available with the case includes Ollie, Skateistan's founder, talking about how this phenomenon developed and dramatic scenes of children skateboarding in war-torn Kabul.
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