logo logo
giving banner
Donate
    • Membership
    • Donate
  • Social Justice
    • Racial Justice
    • Climate Justice
    • Disability Justice
    • Economic Justice
    • Food Justice
    • Health Justice
    • Immigration
    • LGBTQ+
  • Civic News
  • Nonprofit Leadership
    • Board Governance
    • Equity-Centered Management
    • Finances
    • Fundraising
    • Human Resources
    • Organizational Culture
    • Philanthropy
    • Power Dynamics
    • Strategic Planning
    • Technology
  • Columns
    • Ask Rhea!
    • Ask a Nonprofit Expert
    • Gathering in Support of Democracy
    • Humans of Nonprofits
    • The Impact Algorithm
    • Living the Question
    • Nonprofit Hiring Trends & Tactics
    • Notes from the Frontlines
    • Parables of Earth
    • Reimagining Philanthropy
    • State of the Movements
    • We Stood Up
    • The Unexpected Value of Volunteers
  • CONTENT TYPES
  • Leading Edge Membership
  • Newsletters
  • Webinars

Red Cross Crisis

Peter Dobkin Hall
April 15, 2008

Any organization that has burned through four CEOs in ten years and has been constantly criticized by legislators, the press, and the public for mishandling funds, misrepresentations in fundraising, and failure to perform its job effectively is an organization with serious problems—problems that cannot be solved by replacing top managers. Nor can an organization in this situation solve its problems by merely addressing symptoms; it must engage the deep structural problems that are causing them.

ARC’s uneven performance in delivering aid in the Gulf region was not due to lack of resources: the Red Cross raised a billion dollars and deployed thousands of volunteers. But with minimal infrastructure on the ground in the region, there was a major disconnect between intentions and actions: Louisiana has only 7 local chapters; Mississippi only 6, Alabama only 9—in contrast to states like North Carolina (29), New Jersey (18), and Connecticut (13). Effective disaster response, especially in rural areas, requires local knowledge that imported volunteers can’t be expected to possess.

Why didn’t ARC make more of an effort to build local capacity in a region prone to catastrophic storms and floods? Given the organization’s Congressional mandate as the primary agency for sheltering, feeding, and providing medical care to disaster victims, building local capacity should certainly be among its responsibilities. But an organization so averse to introspection about its own governance is unlikely to be introspective about larger issues of organizational structure and process.

The American Red Cross’s congressional charter places it in a special category of “federal instrumentality”. This should render it more publicly accountable and transparent. Ironically, however, it may be this in combination with its iconic status that has impaired the ARC’s ability to make a searching and fearless inventory of its strengths and weaknesses. It has preferred to take the easier, softer way: scape-goating its CEOs in place of rigorously honest critical introspection and reform.

Sign up for our free newsletters

Subscribe to NPQ's newsletters to have our top stories delivered directly to your inbox.

By signing up, you agree to our privacy policy and terms of use, and to receive messages from NPQ and our partners.

ARC’s self-assessment should go well beyond governance reform. Its board needs to reappraise the scale and scope of the organization’s responsibilities. Such a job of rigorous self-examination is one that one would expect a responsible board to do or have done for it fairly regularly. But is ARC’s board, as presently structured, up to the task? Unwieldy in size, with 50 members, and motley in composition, with 30 members representing chapters, 12 co-opted by the board, and 8 appointed by the President of the United States, there is little reason for optimism in this regard.

The unfolding Red Cross crisis calls attention to the deplorable lack of knowledge about all federated organizations. Almost all the nonprofit scholarship produced over the past thirty years focuses on freestanding organizations rather than federated ones—despite the fact that federated nonprofits are among the most important organizations in the sector, including such entities as religious denominations, the YM/YWCA, United Way, scouting organizations, service clubs (Rotary, Kiwanis), fraternal and sororal organizations (Masons, Knights of Columbus), and the health charities (Heart & Lung Association, American Cancer Society).

The failure to produce critical literature on federated organizations is matched by the lack of research on the Red Cross itself. In its one hundred and thirteen years of existence, only two general histories have been written of the organization, neither of them by academic scholars—one in 1950, the other in 2003. None of the scholarly articles or doctoral dissertations produced over the past twenty years has addressed issues relating to its organization, management, or governance. This is a massive oversight considering the centrality of the organization to the nation’s disaster response.

About the Author
Peter Dobkin Hall is Hauser Lecturer on Nonprofit Organizations at Harvard University.

Our Voices Are Our Power.

Journalism, nonprofits, and multiracial democracy are under attack. At NPQ, we fight back by sharing stories and essential insights from nonprofit leaders and workers—and we pay every contributor.

Can you help us protect nonprofit voices?

Your support keeps truth alive when it matters most.
Every single dollar makes a difference.

Donate now
logo logo logo logo logo
About the author
Peter Dobkin Hall

Peter Dobkin Hall is Hauser Lecturer on Nonprofit Organizations at the John F. Kennedy School of Government, Harvard University.

More about: Policy
See comments

You might also like
How to Undermine Authoritarian Control: On Empowering Parallel Institutions
Gretchen Goldman and Saul Levin
What Is the SAVE America Act?
Marissa Martinez
Disability Groups Are Standing United for Trans Rights. That Hasn’t Always Been the Case.
Sara Luterman
New Student Loan Limits Could Threaten Diversity in Nursing and Public Health Programs
Lauren Nuttall
‘I’m Heartbroken’: Trans Kansans Reckon with Their Driver’s Licenses Being Invalidated
Sherman Smith and Morgan Chilson
After Years of Waiting, She Wanted to Start Gender-Affirming Care. Politics Interfered.
Orion Rummler

Upcoming Webinars

Group Created with Sketch.
April 23, 2:00 pm ET

Receiving & Giving Feedback

Essential Practices for Healthy Organizations and Communities

Register
Group Created with Sketch.
May 14, 2:00 pm ET

Equitable Compensation in Practice

A New Values-Aligned Toolkit & Discussion Guide

Register

    
You might also like
A pair of red and blue zippers, with tracks intertwined to reveal a small gap in between them. Where one zipper stops, the other zipper starts.
How to Undermine Authoritarian Control: On Empowering...
Gretchen Goldman and Saul Levin
A crowd of people hold signs that read "Stop the SAVE Act", "End Voter Suppression" and "Defend Our Democracy"
What Is the SAVE America Act?
Marissa Martinez
A person at a march holds a sign with the blue, pink, and white trans flag that reads “We See You, We’ve Got You”
Disability Groups Are Standing United for Trans Rights. That...
Sara Luterman

Like what you see?

Subscribe to the NPQ newsletter to have our top stories delivered directly to your inbox.

See our newsletters

By signing up, you agree to our privacy policy and terms of use, and to receive messages from NPQ and our partners.

  • About
  • Advertise
  • Careers
  • Contact
  • Copyright
  • Donate
  • Editorial Policy
  • Privacy Policy
  • Funders
  • Submissions

We are using cookies to give you the best experience on our website.

 

Nonprofit Quarterly | Civic News. Empowering Nonprofits. Advancing Justice.
Powered by  GDPR Cookie Compliance
Privacy Overview

This website uses cookies so that we can provide you with the best user experience possible. Cookie information is stored in your browser and performs functions such as recognising you when you return to our website and helping our team to understand which sections of the website you find most interesting and useful.

Strictly Necessary Cookies

Strictly Necessary Cookie should be enabled at all times so that we can save your preferences for cookie settings.