IL CASO CESVICompetitive strategies of a non-profit company

Università degli studi di Bergamo

Luca Confalonieri Mauro Giorgi Alessandro Gorbani Fabrizio Sartori

giovedì 13 gennaio 2011

Cesvi ("cooperazione e sviluppo") is one of the biggest humanitarian organizations in Italy. Founded in

Bergamo in 1985 and has about 30 offices all over the world.

Cesvi provides assistance in emergency situations, helps refugees and flood victims, supports reconstruction after

disasters, implements projects for sustainable development and environmental defence in poor

countries.

Competitive strategies of a non-profit company

Video Interview

giovedì 13 gennaio 2011

Cesvi & Mass Media

Competitive strategies of a non-profit company

giovedì 13 gennaio 2011

Time

Use

Introduction Growth Maturity Decline

Fundraising Tools

Competitive strategies of a non-profit company

giovedì 13 gennaio 2011

10%6%

11%

19%

15%

17%

22%

Emergency and post-emergency reliefHealthChildren & Young peopleFood securitySocial businessAwarness raisingEnvironment

Commitment to key sectors

1%2%

4%6%

9%

31%

47%

Africa 47%Asia 31%South America 9%Europe Educational 6%Balkans 4%Middle east 1&Other 1%

Worldwide commitment

54%46%

CostsIncome

Fundraising Income/Cost Ratio

Some data about Cesvi

1%7%

18%

21% 33%

20%

Private donorsGovernmentUnited NationsEuropean CommunityInternational organizationsOther

Funds sources

giovedì 13 gennaio 2011

0%

25%

50%

75%

100%

Cesvi Telethon Unicef Medici senza frontiere Airc Lega del filo d’oro Save the Children Emergency

Private donors Companies Institutions and associations Government Other

0%

25%

50%

75%

100%

Cesvi Telethon Unicef Medici senza frontiere Airc Lega del filo d’oro Save the Children Emergency

Income Charges & Costs

Fundraising Efficiency Index

Funds sources

Competitive strategies of a non-profit company

giovedì 13 gennaio 2011

Competitive strategies of a non-profit company

PEST AnalysisPolitical Economic

SocialTechnological

Fiscal benefits

Accurate balancesheet needed

Unstalbe world scenarios

World recession hits non-profit even more than other

firms

Great attention to the channels used to

communicate

Quick change and lot of

opportunities

giovedì 13 gennaio 2011

STRENGTHS

•high reputation, strong connections with the business world

• huge global experience in cooperation• excellent cost management and

transparency• skilled people

OPPORTUNITIES

• non profit sector is expanding• social networks can revolutionize

fundraising• growing awareness that donations have

fiscal benefits• media coverage of emergencies

WEAKNESSES

• poor branding• economical crisis deeply reflects on

fundraising• low focusing on a non profit segment

affects the effectiveness of communication

THREATS

•operative problems due to political instability of third world countries

•serious impact of a change in fiscal regulation• the failure of a project can affect reputation• the persistence of the crisis or a future

recession can cause a dramatic fall in fund raised

SWOT Analysis

Competitive strategies of a non-profit company

giovedì 13 gennaio 2011

Rivalry - high• The number of firms in

the industry: high • Brand identity: Very high• Customers' switching

costs: almost zero• Product differentiation:

medium-high

Substitutes - medium• Low switching costs• Differentiation in projects not well

perceived by donors

New entrants - medium• Capital costs: low• Competencies needed: medium• Access to market: connections are needed• No special equipment needed• Product differentiations not perceived

Customers - high• the whole funds come from

donations• It’s easier to increase the

number of small donors than increase the amount

Suppliers - medium•High concerning TLC & media for

fundraisig• Low concerning projects supplies

Porter’s Five

Forces Analysis

giovedì 13 gennaio 2011

INBOUND LOGISTICS

OPERATIONS OUTBOUND LOGISTICS

COMMUNICATION & MARKETING

SERVICES

PRIMARY ACTIVITIES

Collection and acquisition of information about needs of goods and services to develop a specific project

Project management Project implementation

Operational teams On field management Management of deliveries of goods and supply services to action areas

Advertising Fundraising

Product sales, manufactured by Cesvi's social enterprises Maintenance of relationships with action areas and local institutions even after the End of the project

PROCUREMENT Materials Energy

Transport services

Advertising spaces Fundraising office

TECHNOLOGY DEVELOPMENT

Information system development Industry researches Well-known testimonials

Purchase website

Procedures for action

HR MANAGEMENT Recruitment Training

Recruitment Training

INFRASTRUCTURE SUPPORT ACTIVITIES

Value Chain Analysis

giovedì 13 gennaio 2011