Mercy Corps Case – Case Study Example
Mercy Corps (Assessment of the corporate relationships) Mercy Corps is a renowned humanitarian providing NGO that was founded in the year 1979 to serve a noble cause of poverty alleviation, curb social and economic oppression, and protect the vulnerable persons from suffering. Since its inception, the NGO has reported tremendous progress in its quest to liberating the world from the yolk of hopelessness and disaster. It has achieved this by focusing its services on the neglected areas or communities that are faced with severe challenges that are caused by war, natural disasters, political upheaval, and economic crisis (Feinstein and Nagy 1).
The organization was put to real test of its capacity to offer effective humanitarian services from the year 2000 to date when many disasters such as the September 11th attack, Indian Ocean Tsunami-Katrina among others have been reported (Feinstein and Nagy 4). This prompted the need for mobilization of additional resources through strategic partnerships. The need emerged to enable it satisfy its mandate and reach out to many disaster hit victims whose numbers are increasing each day.
Before engaging in any relationship arrangement, the organization raised pertinent questions that sought to establish the ideal type of partnership, how deep the engagement ought to be including how the arrangement would affect its organization structure. The company also sought questions on the ideal persons who could pursue the engagement agreements. All the questions received credible answers that facilitated effective formulation of the engagement agreements. Firstly, the organization decided to engage both in short and long term corporate partners that included Starbucks Company (Feinstein and Nagy 5). The organization also decided to form strategic partnership with the companies instead of an absolute merger while the structure of management was to be restructured to accommodate more levels of activity and authority.
To date, the organization is able to respond to various disasters globally due to the heightened level of preparedness that has been realized through the corporate relationship arrangements. The partnering companies have been supporting the NGO financially and materially to enable it discharge its founding mandate effectively (Feinstein and Nagy 9). Their interest is to help in sustaining the programs offered by the organization to foster poverty alleviation, offer rescue services during disasters of various nature and counselling services The Company has so far managed to attract both single donating corporations and long-term donating institutions such as Starbucks Company.
Evidently, the financial scorecard of the organization shows immense advancement on performance and service delivery. Its disposable support funds have increased to a high of $168,476,336 in the year 2005 from 31,247,145 in the year 1997. The increase shows that the institutions responsibilities and levels of income whose main sources are the government and international bodies’ grants expanded. In particular, the international grants increased from $2,328,587 from $3,273,959 in the years 1997 and 2005 respectively. On the other hand, the government support grew from $13873, 224 to $77,125,488 in the years 1007 and 2005 respectively. The figures depict a positive response to the needs of Mercy Corps organization in terms of resources to enable it deliver services to the people. Therefore, the increased corporate relationships that are continuously created are bound to expand the institution’s resource base and enable it expand its geographical scope in terms of disaster management.
Feinstein Jonathan and Nagy Andrea. Mercy Corps: Sustainable Innovation Through Corporate
Partnerships. Yale Case 07-016. January 18th 2008.