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Running Head: Organizational Analysis
Children’s House International
Organizational Analysis
By: Elisabeth Blasco & Caroline Baggett
HSP 435-Liz Jennings
Table of contents
Page 1 of 21
Organizational Analysis
Introduction……………………………………………………………………………………………………………………….…3
Mission, Vision & Values……………………………………………………………………………………………………….3
History…………………………………………………………………………………………………………………………………..4
Programs……………………………………………………………………………………………………………………………….5
Nonprofit lifecycle…………………………………………………………………………………………………………………6
Leadership…………………………………………………………………………………………………………………………….7
Board Responsibilities……………………………………………………………………………………………………….…..7
Key Leaders……………………………………………………………………………………………………………………………8
Organization………………………………………………………………………………………………………………………….9
Employees & Volunteers………………………………………………………………………………………………………..9
Decision-making & Significant Collaborations………………………………………………………………………10
Financial Governance……………………………………………………………………………………………...............11
Transparency……………………………………………………………………………………………………………………….13
Fund planning development…………………………………………………………………………………………………14
Marketing/Communication………………………………………………………………………………………………….15
Recommendations………………………………………………………………………………………………………....17-19
Conclusion……………………………………………………………………………………………………………………………19
Upcoming challenges……………………………………………………………………………………………………………20
Appendices……………………………………………………………………………………………………………………..21-30
References…………………………………………………………………………………………………………………………..31
Introduction of Children’s House International
Page 2 of 21
Organizational Analysis
We decided to do our organizational analysis on Children’s House International (CHI) a
nonprofit adoption agency in Ferndale, Washington. Children’s House International is a 501(C)3
charitable, tax-free agency, this was noted on their amended bylaws and we also verified this
with the Executive Director (ED). CHI maintains current state and local licenses for every state
that they hold an office in. They are a non-profit agency and not a business due to their mission
which is that they are humanitarian in nature and they also provide humanitarian assistance.
Mission, Vision & Values
Children House International’s mission (CHI) is:
To provide children worldwide with permanent loving homes and to provide families
with the support they need to adopt and parent their children. They provide ethical
adoption services. Their humanitarian efforts also extend to the children who are not
adopted; to provide options for them to remain in a positive, healthy environment in
their own country of birth (Children’s House International, 2011, Bylaws).
We noticed that CHI had no vision statement or values for the agency. However, their
scope and definition is:
CHI is established as a child placing agency and social services provider to families of
adopted children. These children can be from countries around the world, as well as,
from the USA. CHI is additionally encouraged as an agency to serve in humanitarian
ways in countries around the world helping children and families in need. (Children’s
House International, 2011, Bylaws).
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Organizational Analysis
History
Children’s House International started over 35 years ago by founders Ric Oddone and
Robert Yeates. They founded CHI in 1975, in Utah. Oddone and Yeates both had the dream of
wanting to make a difference in a child’s life and both began working in the juvenile justice
system. Originally, CHI was established as a charitable institution to help children in India and
now serves ten different countries. Debra Price was volunteering at the agency in 1994 when
both Oddone and Yeates were appointed as judges in Utah. At that time, Debra stepped up
and became the Executive Director of Children’s House International. She had expanded the
agency and is now also licensed in Florida and Washington State. The Utah agency stayed open
due to it being established and founded there. The Washington site was opened in 1997 due to
a move from the Executive Director. The Florida site was opened and licensed since two of
their program coordinators were living there. They believe it gives them more coverage and
name recognition to be licensed in more than one state. The agency has now placed over 2,000
children into loving homes. CHI became fully COA Hague accredited in 2009, and helps serve
children all over the world. The countries that CHI now works with are Bulgaria, China,
Ethiopia, Poland, Ukraine, Haiti, India, Hungary, Morocco and Ghana. The agency hopes to
continue to grow and help more and more countries find loving homes for their children.
Programs
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Organizational Analysis
All of the countries are very important and have wonderful programs available for
perspective adoptive parents, but one program that we will be giving further detail on is the
China program. Like all of the other countries the Chinese government has requirements that
need to be followed for someone to adopt. Some of these requirements include, being
between the ages of 30-55, married for at least two years, have four or fewer children living in
the home, have an annual income of $10,000 per family member, have a minimum net worth of
$80,000, have no criminal history and the list goes on. Some of the countries will let you do a
waiver, such as criminal history background waiver. If you have a petty theft charge or driving
under the influence charge you can write a waiver to the country stating the circumstances of
the situation and how you have grown since. Not only does the Chinese government have
requirements that need to be followed but so does the United States of America. Another
program that CHI offers is the Special Needs Program. Every 90 days there are fifteen children
that are selected to be the focus group for the Special Needs Program. They are listed on the
agencies website with their name, birth date, biography and their special need. Perspective
parents can go online and look at these children and decided what special need is suitable for
them and their family. It also provides websites with information on the special need that is
relevant to that child and what kind of attention that child would need. CHI also offers financial
programs, such as The Brittany’s Hope Foundation. This foundation helps perspective parents
financially who are looking to adopt a child with a special need. They offer these parents a
grant that will go to the program fees. They ask the families who will be receiving this grant to
fundraise half of their grant amount to help future families bring their child home. The
foundation provides the family with goals and customized fundraising tools to help raise that
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Organizational Analysis
money. There are many other foundations and resources available for families for financial
help that CHI provides information on. Such as, The Sparrow Fund, Show Hope, A Brothers
Love and Love Knows No Borders. CHI offers many different programs and is always striving to
improve those programs and get as many children as they can home. There are many different
steps to the programs, and the CHI staff provides wonderful assistants on all of the paperwork
and questions perspective parents might have. The down fall of only having three agencies in
the United States is the direct contact with the clients. Some of the paperwork is confusing and
is easier to understand when you have someone to talk with in person. However, the CHI staff
is always more than happy to help whether it is via e-mail or phone.
Nonprofit Lifecycle
We believe that Children’s House International is at the mature-sustainability level of
the nonprofit life cycle. They have their systems, policies and procedures in place and their
staff members follow all rules accordingly. Their core programs are established and are very
successful. They are reliable and diverse and are even in the process of looking into other
perspective countries to start adoption programs. They also have culturally diverse and
specialized staff. However, we do believe they have some adolescent-growing traits, such as,
their Executive Director has never changed, the staff is old and they haven’t had many fresh
ides. Even though they show some traits of adolescent-growing we believe overall they are at
the mature-sustainability point.
Leadership
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Organizational Analysis
Children’s House International is a self-perpetuating board, all the members are elected
and approved by the board. We confirmed this from our readings, “new members of a self-
perpetuating board are selected by the existing members of the board, who identify and enlist
individuals according to criteria established by the board itself” (Worth, 2011, p. 77). There are
currently five members on the board with another member having been suggested for a vote at
the next meeting. Unfortunately, all the board meetings are held in Utah and we were unable
to contact any of the board members for interviews.
Board Responsibilities
The board members have many different responsibilities such as, the governmental
oversight, overseeing all aspects of the big picture, hiring the Executive Director, and
involvement with the federal accreditations. They also make some decisions related to some
Executive Director concerns with other supervisors. Board members are responsible for the
review and approval of financial reviews and audits. At each meeting there is a review of all of
the programs and a discussion and or approval of new programs. There are also many other
responsibilities that the board members hold.
Key Leaders
Debbie Price, the Executive Director of CHI in Washington State and is also considered
the president of Children House International in Florida and Utah. Florida requires that they
call someone the director of the agency so the social worker that works there is considered the
director of that site. Throughout all three states they have 25 staff members and two interns in
the Washington site. All three sites are fairly small.
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Organizational Analysis
CHI was fortunate enough to have someone who has personal experience and passion
to be the Executive Director of the Washington site. Debbie was domestically adopted as an
infant, and adopted her daughter from Romania in 1991. She has such a passion to help find
every child a family to come home to. She has her Bachelor’s degree in Social Work and is a
registered counselor. Previously, Debbie worked for a short time with another International
adoption agency in program development.
Another key leader at the Washington site is Heidi Hawkins, the China International
Specialist. She also has a special connection and experience with adoption, as all three of her
daughters were adopted from China. Heidi has over twelve years of experience in International
adoption and is well versed in challenges of the dossier. She is a major asset and leader in the
agency and also believes that every child deserves a home.
CHI believes that all of the employees and volunteers are key leaders and members of
their site and value everything they do for the agency. They work collectively to make their
agency successful. Children’s House International has no CEO.
Organization
Children’s House International is always looking for ways to better improve their agency.
They continuously are looking into developing new programs in other areas of the world so
every child can find a family to come home to. They hope to be able to strengthen their
fundraising efforts, which are just this year in infancy in the agency. It is clear to them that they
need this source to assist them in helping those in need in the countries where they work. CHI
wants to try and develop a committee under the board of volunteers and also have previous
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Organizational Analysis
adoptive families help the agency with fundraisers. They would also like to possibly add to their
agency in the form of general social services to help them “pay the bills”, in other words,
become more diverse in services. Overall, the agency is really looking to get more community
involvement and support. More agencies are closing down due to our government influencing
other governments to limit their adoption activities, so CHI hopes to be able to service the
families that those agencies once did. Unfortunately, the outlook is really politically controlled.
Employees & Volunteers
There are only 25 paid employees between the three different CHI sites. At the
Washington site there are two current interns from Western Washington University but they
will be finishing at the end of this quarter. There are currently no other volunteers with in the
three sites. This makes it hard to find time to focus on things like fundraising when you have all
of these families that you need to take care of and help get their dossiers ready to send to
China. The priority is finding the children a home.
With the two interns that the Washington site has they have been able to launch two
new fundraisers for their China and Ethiopia programs. One of the fundraisers that they are
doing is a cheesecake fundraiser. It is just for the month of November which is National
Adoption Month. They partnered up with Chuckanut Bay Foods, a local agency in Ferndale,
who is supplying their cheesecakes. All of the proceeds are going to the children who are in
orphanages in China and Ethiopia. The money will be for the children’s food, water, clothing,
education and medical needs. They are also doing a cookbook fundraiser which proceeds will
be going to the Ethiopia orphanages. This cookbook was homemade and includes recipes from
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Organizational Analysis
the CHI staff, parents who have previously adopted and parents who are in the process of
adopted their child. It includes stories and photos of children who have been adopted through
CHI. This money will also go to the children’s food, water, clothing, education and medical
needs. CHI has had wonderful success with these two fundraisers and has been surprised from
the great support they are getting from the Ferndale community. They have flyers in over 60
local businesses in Ferndale. They are happy to say these were successful fundraisers.
Decision-making
The decision-making process at Children’s House International is a chain; it starts with
one member and works itself up the ladder to get approved. The board, the Executive Director
and the supervisors stay in continuous communication and discuss the needs of the agency and
ways to resolve those needs. The board members gave approval to the Executive Director to
make the majority of the day to day decisions. When larger issues occur they are to be brought
to the board for thought and approval. This helps keep all members and sites up to date on
what is going on within the agency.
Children’s House International holds many respectable relationships with other
countries and their employers as well as government agencies. CHI holds a membership with
Joint Council on International Children's Services (JCICS). JCICS helps children that are in
orphanages and vulnerable children find a safe and permanent family to come home to. The
agency advocate on the child’s behalf helps them get the services they need, educated those
who serve them and raises awareness of the child’s plight. JCICS believes that “all children,
regardless of race, ethnicity, gender, health, nationality or socio-economic standing, have an
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Organizational Analysis
inherent right to a safe, permanent and loving family, by birth or adoption” (Joint Council).
They have helped provide services to 2.1 million children and families in 2010. Children’s House
International is also accredited state and federally, as well as, in the country of origin. They
believe that they are very diverse and represent children from all ethnic backgrounds and can’t
wait to help them all find families.
Financial Governance
Children’s House International (CHI) has a chief financial officer (CFO) and a bookkeeper
that manage the organizations finances. They are required to have a full-blown audit every four
years with a smaller review for the other years. What this means is that CHI makes it a priority
to get a receipt for and document every dollar accrued and every dollar spent. The finances are
also micro managed by the Executive Director before being sent to the CFO. The Executive
Director reviews the checks weekly and checks for any inconsistencies or errors. Monthly
updates are also given to the ED to review concerning expenses, cash-flow, etc. After the
finances are run through the Executive Director they get reviewed and organized by the book
keeper. Finally, the financial statements are run through the CFO whom is responsible for
overseeing the financial activities for the entire organization. The bookkeeper cuts the checks,
the ED signs the checks and the CFO balances the accounts.
Overall CHI’s financial governance seems to be withstanding the countries budget
deficiencies. In the 2010 tax year CHI’s net assets were $605,066 which is higher than the
previous year by $122,098. While looking through CHI’s 2010 IRS 990 I did find an area where
CHI possibly had a little hiccup. During the 2010 tax year CHI’s revenue has decreased since
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Organizational Analysis
previous years. In the 2009 tax year CHI received $60,598 in contributions and grant revenue
with program service revenue of $1,295,442. This allowed CHI to have total revenue of
$1,356,551 for the 2009 tax year. However, in 2010 CHI only received $6,460 in contributions
and grant revenue. This is $54,138 less that CHI received in contributions and grant revenue in
the 2010 tax year than in 2009. Although, CHI’s program service revenue did increase by $30,
0537 compared to the previous year. Overall in the 2010 tax year CHI had negative total
revenue of $297 due to fundraising losses which is discussed in further in the marketing section.
To make things a little more confusing if one looks at the gifts, grants, contributions, and
membership fees for the fiscal year (IRS, 2010, p. 16) CHI shows that they have actually
received more money in grants and contributions than is listed on the front sheet of the 2010
IRS 990. During the 2010 fiscal year CHI received a total of $123,072 in grants and
contributions. This is important to note when looking at CHI’s financial governance because it
shows the entire picture of CHI’s received grants and contributions in 2010.
Transparency
CHI has a decent transparency level. As far as the organizations internal finances go; the
Board has on-line access to review the financial situation at any time. However, this particular
information is only accessible to the board, the Executive Director, and the book keeper. Board
members are expected to periodically look over the finances. At every board meeting there is a
discussion about CHI’s budget, a review of the yearly income tax statement, and an evaluation
of the audits. CHI is incredibly transparent with its board members.
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Organizational Analysis
On a community level, CHI was not hesitant about giving us a copy of their I-90 tax form
and a copy of their annual fiscal budget. CHI will give people a copy of their IRS Form 990 if
requested via e-mail or in person. CHI’s IRS 990 is also placed on the internet by Guidstar.
Although a copy of the organizations IRS 990 can be found on Guidestar we did not need to use
this source because CHI was more than willing to hand us a copy. The Executive Director was
very willing and open to discuss and questions we had about the organization. However, we
initially found it difficult it get a hold of her directly since she is not in the Ferndale office
regularly and as the president of the United States CHI programs she is very busy.
On a client level CHI is very transparent in breaking down the expenses of adopting
internationally and what the money is specifically used for. This information is printed on the
back of their brochures, on their website, and can also be accessed via personal
communication. As stated in the previous paragraph, a copy of the organizations IRS 990 and
other forms can be easily requested through the CHI website.
Fund planning development
When deciding on a fundraising activity the process must pass through many chains.
Someone, staff, board member, volunteer, or intern, comes up with an idea for a fundraiser
and that idea is run through the Executive Director. If the Executive Director thinks that the
vision might be successful then the she runs it by the entire board of directors. Financials, time
frames, and feasibility are often discussed at this stage. If everything works out and the idea is
approved than all the members of the CHI team begins to plan and implement. At this point the
approved idea/vision now becomes a fundraiser. According to the Executive Director and case
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Organizational Analysis
manager, CHI is not yet diverse in their fundraising due to being a newer strategy (personal
communication, October 28, 2011). Since fundraising is a fairly new tactic of CHI they would be
considered to be in the start-up of fundraising stage of the nonprofit lifecycle (Simon, 2002. p.
2). Mike, one of the case managers as well as Deborah, the Executive Director both said that
their fundraising is still in infancy stage and they are working on becoming more diverse
(personal communication, October 28, 2011). Currently, CHI has two fundraisers, a cookbook
fundraiser and a cheese cake fundraiser. Although clever, these fundraisers do not show much
diversity outside of the food category.
As briefly touched on, in the 2010 tax year CHI received $54,138 less in contributions
and grants than in the previous year. Without having a chance to inquire about this drop I must
speculate as to whether some of their grants came to a close, if some of their donors could no
longer contribute funds towards CHI during this time period, or if the majority of their grants
were received outside of the Aug. 1,2010- July 31,2011 IRS tax timeframe. More than likely it is
due to many reasons. I cannot go without noticing such a huge drop in revenue because it
was/is sure to effect the organization and their hopes for advancing their services within these
months.
Marketing/Communication
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Organizational Analysis
CHI gets the word out in a magnitude of ways. One way that CHI gets the word out is
through their Website. The staff member that is in charge of marketing is constantly making
sure the website is up to date with relevant information, current and upcoming trainings,
fundraiser information, and a highlight of the current children of need. Similar strategies are
used through their blog. CHI aims to maintain an updated blog with useful and valuable
information about what’s going on with CHI and the children. CHI also relies on positive word
of mouth referrals. They have an entire section of the website that revolves around the
references of the families that CHI has worked with. In this area donors and prospective
adopters can read experiences and reviews of CHI written by other families that have gone
through the process. The goal and mission of CHI is that each person has a positive experience
within the warm environment and they hope that this translates through increased referrals.
Another marketing tool that CHI uses is Facebook. By keeping CHI’s Facebook page
updated they are hoping to keep reminding people that they are many children out there that
need a loving and caring family. CHI posts everything from their fundraising events to showing
the faces of the children that are ready to adopt. Currently CHI has 381 people who have
“liked” CHI and receive continual updates on adoptable children. On the Facebbook website CHI
posts pictures of the adoptable children, and a brief description of the childs attributes and
medical/developmental status. Facebook is also used to market fundraisers for CHI and post
announcements. Currently the organization is holding a cookbook fundraiser and Facebook
allows people who have bought the cookbook to give feedback/reviews on it. This marketing
strategy has the potential to be another word-of-mouth tool.
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Organizational Analysis
Fundraising not only helps supply funds to assist families with adoption costs it assists
with outreach. Fundraisers allow an organization to get in touch with the community and let
locals know that we are here. Through knowledge and outreach CHI may have an opportunity
to become more diverse and interest a wider population.
According to CHI’s IRS 990, in the 2009 tax year (Aug 1 2009- July 31, 2010) CHI spent
$8,648 on professional fundraising. However, in 2010 tax year (Aug 1 2010- July 31, 2011) CHI
spent $0 fundraising. During the 2009 tax year CHI may have been planning and implementing
their upcoming cookbook fundraiser, and cheesecake fundraiser. It costs money to have all of
the pages professionally printed up, and turned into a finished product that people would buy.
Once CHI decided how many pages and how many full cookbooks that their funds would allow
they were able to plan. Much time was spent finding geographically correct recipes, attaching a
child’s photo with a recipe, and finding out the child’s story. These fundraising activities flowed
into the 210 tax year. After looking further into CHI’s 2010 IRS 990 I was able to find that CHI’s
net fundraising expenses were $0 because they had taken a loss of $297 and “as a reduction of
revenue on the 990. The net impact is $0” (IRS, 2010, p. 20-21).
Marketing is very important because CHI would not exist without marketing and
communication. Marketing allows CHI to have a voice in the community and let others know of
the wonderful services that they have to offer.
CHI uses the marketing strategy of storytelling throughout every component of the
organization. Their website and social networking pages are filled with pictures of children
around the world who are waiting to be adopted. Under each child that is waiting to be
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Organizational Analysis
adopted it tells a little about their history as well as any possible medical need. CHI’s brochures
are also filled with the faces of the children of the region that are waiting to be adopted.
Pictures tell a story and each child on the brochure is subliminally telling the folks that are
looking through the brochure of their story. I even saw a terrific use of storytelling within the
CHI’s cookbook that they are using in their fundraiser. Each recipe has a picture of a child who is
from the region that the recipe stems from. Many of the pages also tell of the child’s story.
Story telling is a useful marketing tool because it sings to the reader’s heart.
Recommendations
1. Our first recommendation is that CHI needs a more accessible Executive Director.
Currently, the Executive Director is hardly accessible unless an appointment is made
due to her extremely busy schedule.
2. Our second recommendation is that it would be beneficial to have individualized CHI
e-mail addresses listed on the CHI website. This way a potential customer knows
who they are sending an e-mail or inquiry to. Currently there is only one general e-
mail address to send inquiries to. This format can give an impersonal impression
3. Our third recommendation is that it may be useful if clients can access each
programs brochure through a link on the CHI website. Currently, CHI has brochures
but they are only readily accessible at the CHI site.
4. Our forth recommendation is for CHI to have more transparency on their website? I
would recommend a list under “about us” that states the staff names and their
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Organizational Analysis
role/title. This may help employees feel valued and as an important part of the
team. Potential customers may also like to visually see who works for CHI and their
roles.
5. Our fifth recommendation is that CHI needs a stronger presence in the community.
Through diverse fundraising activities and becoming an active part of the community
a stronger presence is sure to follow.
6. Our sixth recommendation is for CHI to become more diverse in its methods of fund
development. It is great to seek funding through donors an fundraising but it is also
try to seek funding through other avenues as well, such as grants. The Bellingham
Library offers a free training and free access to the foundation center’s grant
database
7. Our seventh recommendation is that CHI finds a way to make the board meetings
more accessible or maybe periodically change up the location to the different CHI
sites in the USA. All board meetings are currently in Utah and the board members do
not see what the culture of every organization and get a direct feel of how to serve
them.
8. Our eighth recommendation is that CHI use video conferencing (or another source)
in order to get the feel of direct contact between out of area clients and staff.
9. Our ninth recommendation is for CHI to look into some fundraising seminars/
webinars in order to become more diverse in their fundraising techniques and get
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Organizational Analysis
them out of the infancy stage. Right now their fundraising is all about food…what
else can they do?
Conclusion
Overall I think that this organization is successfully doing what it set out to do. CHI does
a great job at providing personal care for families in every step in the process. As the Executive
Director, Deborah Price states “we have good contacts and arrangements the countries we
work in” (personal communication, November 18, 2011). Unlike many agencies CHI’s families
remain with one case manager throughout the entire process creating a strong level of trust.
Another one of CHI’s great strengths is storytelling. Storytelling is a part of everything that CHI
does. I truly believe that a large part of this organization’s clientele is drawn in and influenced
through the stories of the children whom need homes. Another personal touch that the staff of
CHI has to offer is a personal passion and commitment to the particular field. The majority of
the staff has either been adopted internationally or has adopted internationally.
If I had to pinpoint the weakest areas of CHI I would say, as CHI knows, they need more
diversity in their fundraising. Through seminars, trainings, and practice CHI can begin to
broaden their scope and use a wider range of fundraising techniques to enhance their services
for customers. I would also like to see a more open line of communication between all
members of the organization. Currently, many of the employees either work the majority of
their hours outside of the office or are difficult to reach. Regular staff meetings may add a
bridge and develop a stronger line of communication
Upcoming challenges
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Organizational Analysis
Many of the upcoming challenges that I see for CHI are the ones that are caused by
outside influences. One challenge is with the Government, ours and other countries, over-
regulating. This causes more expense for the agency as well as the families, which in-turn can
result in less families adopting. Working with outside governments can be extremely difficult
because each country has their own restrictions and regulations. Another challenge is the rising
costs of international adoptions, especially with this economy. There are fewer and fewer
expense assistance options out there for families hoping to adopt. Local adoptions are
expensive. International expenses have the added costs of flying internationally to pick up a
child and the other internationally related expenses. This is definitely a rising concern that
Children’s House International is facing with the economic downturn. The third challenge that
this organization faces is with policies. One policy is that children have a right to a permanent,
loving home. It is children’s house’s international defend that this policies includes those who
not of this country. Also, governments/politics play a part in deciding if a country is open for
child placement or not. If a government decides that they are no longer willing to place children
then CHI’s services will be diminished or demolished. The Fourth challenge that CHI faces is
fighting against other organizations and people who don’t support CHI’s mission. Some people
believe that we should adopt within the United States and help our own children before taking
in those from other countries and adding to our depletion of resources.
References
Children’s House International: Bylaws. (2011). Retrieved from
http://childrenshouseinternational.com/
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Organizational Analysis
Joint council: On international children’s services. Retrieved from http://www.jointcouncil.org/
Simon, J. S. (2002). The 5 stages of nonprofits. Retrieved from
http://www.Speakmanconsulting/
Worth, M. J. (2012). Nonprofit management: Principles and practices (5th ed.). Thousand Oakes,
CA: Sage Publications
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