Illustration 5.1 Oxfam's infamy Oxfam reveals governance problems as it disappoints stakeholders over Haiti. Oxfam International is a confederation of 19 national char- it had concealed their exact nature. One of the departed ities - stretching from Australia to the USA – dedicated to staff members had since been temporarily hired by Oxfam fighting poverty and injustice around the world. It started America. When the scandal broke in 2018, chief executive- in 1942 as a group of British volunteers called the Őxford Mark Goldring explained to The Guardian newspaper why Committee for Famine Relief. Ironically, it would be staff the charity had not fully disclosed the Haitian problems: 't: at Oxfam GB (Great Britain) that nearly brought down the was done in good faith to try to balance being transparent whole organisation in 2018. That year, The Times newspaper and protecting Oxfam's work. I don't think [Oxfam] wanted revealed that seven senior staff working in Haiti after the 2011 earthquake had been using local prostitutes, some Haiti] programme.' Goldring suggested some of the attacks allegedly under-age, and using Oxfam GB accommodation to do so. Within two weeks of the revelations in 2018, Oxfam GB to promote a sensation and damage the delivery of [the- on Oxfam GB were political, aimed at undermining the aidi sector in general and Oxfam's anti-poverty campaigns in particular: "The intensity and ferocity of the attack makes had seen the cancellation of over 7,000 regular donations. you wonder, what did we do? We murdered babies in After criticisms from senior politicians, Oxfam GB announced their cots?" it would suspend its bids for government contracts, the source of about 40 per cent of its funding. The Haitian government banned Oxfam GB from its territory. Two celeb- rity ambassadors for the charity, Bishop Desmond Tutu and actress Minnie Driver, resigned from their roles in protest. reported widespread allegations about the use of prosti- Soon after, Oxfam GB's chief executive, Mark Goldring, announced his early retirement. Oxfam International is based in the Netherlands. It is a strong believer that good governance is essential to poverty declared: "However difficult it is to meet the demands of relief, publishing 577 reports on the subject by early 2018. Its transparency, and however hard it is to confront mistakes own governance has two tiers: a board of supervisors made up of its own chair, its executive director and the chair of meaningful action and become more effective in our mission each of the 19 affiliates; and an executive board made up of to tackle poverty and help people hit by disaster'. the executive directors of all the affiliates. There are about Sources: www.oxfam.org: The Times, 9 February 2018; The Guardian, 80 Oxfam International staff, with an operating budget 16 February 2018; The Lancet, 23 February 2018. of around €10m (recent figures are unavailable). Affiliates typically have their own boards of trustees overseeing local executives: for example, Oxfam GB has 11 trustees, with a Chair who had previously been chief operating officer at the British Broadcasting Corporation (BBC). Many affiliates are 1 Identify Oxfam GB's various stakeholders along the lines large: Oxfam GB has over 5,000 employees and an annual income above €500m. Oxfam GB investigated the Haitian operation back in 2 Adapt the corporate governance chain described in 2011, and dismissed four members of staff, allowing three more to resign early. However, while the charity had reported problems to its regulator, the UK's Charity Commission, The increased scrutiny following the revelations brought out new issues. For example, Oxfam GB had suffered 123 cases of alleged sexual harassment and carried out no crim- inal record checks for its 23,000 volunteers. The BBC also tutes in Africa by staff at another prominent international charity, Medecins sans Frontières. During 2018, Oxfam GB introduced stringent new safeguarding policies and of the past, we believe that ultimately, this will help us take Questions of Figure 5.2 and assess their engagement in terms of the power/attention matrix in Figure 5.3. Figure 5.5 to Oxfam GB. What were the weaknesses in this chain?
Illustration 5.1 Oxfam's infamy Oxfam reveals governance problems as it disappoints stakeholders over Haiti. Oxfam International is a confederation of 19 national char- it had concealed their exact nature. One of the departed ities - stretching from Australia to the USA – dedicated to staff members had since been temporarily hired by Oxfam fighting poverty and injustice around the world. It started America. When the scandal broke in 2018, chief executive- in 1942 as a group of British volunteers called the Őxford Mark Goldring explained to The Guardian newspaper why Committee for Famine Relief. Ironically, it would be staff the charity had not fully disclosed the Haitian problems: 't: at Oxfam GB (Great Britain) that nearly brought down the was done in good faith to try to balance being transparent whole organisation in 2018. That year, The Times newspaper and protecting Oxfam's work. I don't think [Oxfam] wanted revealed that seven senior staff working in Haiti after the 2011 earthquake had been using local prostitutes, some Haiti] programme.' Goldring suggested some of the attacks allegedly under-age, and using Oxfam GB accommodation to do so. Within two weeks of the revelations in 2018, Oxfam GB to promote a sensation and damage the delivery of [the- on Oxfam GB were political, aimed at undermining the aidi sector in general and Oxfam's anti-poverty campaigns in particular: "The intensity and ferocity of the attack makes had seen the cancellation of over 7,000 regular donations. you wonder, what did we do? We murdered babies in After criticisms from senior politicians, Oxfam GB announced their cots?" it would suspend its bids for government contracts, the source of about 40 per cent of its funding. The Haitian government banned Oxfam GB from its territory. Two celeb- rity ambassadors for the charity, Bishop Desmond Tutu and actress Minnie Driver, resigned from their roles in protest. reported widespread allegations about the use of prosti- Soon after, Oxfam GB's chief executive, Mark Goldring, announced his early retirement. Oxfam International is based in the Netherlands. It is a strong believer that good governance is essential to poverty declared: "However difficult it is to meet the demands of relief, publishing 577 reports on the subject by early 2018. Its transparency, and however hard it is to confront mistakes own governance has two tiers: a board of supervisors made up of its own chair, its executive director and the chair of meaningful action and become more effective in our mission each of the 19 affiliates; and an executive board made up of to tackle poverty and help people hit by disaster'. the executive directors of all the affiliates. There are about Sources: www.oxfam.org: The Times, 9 February 2018; The Guardian, 80 Oxfam International staff, with an operating budget 16 February 2018; The Lancet, 23 February 2018. of around €10m (recent figures are unavailable). Affiliates typically have their own boards of trustees overseeing local executives: for example, Oxfam GB has 11 trustees, with a Chair who had previously been chief operating officer at the British Broadcasting Corporation (BBC). Many affiliates are 1 Identify Oxfam GB's various stakeholders along the lines large: Oxfam GB has over 5,000 employees and an annual income above €500m. Oxfam GB investigated the Haitian operation back in 2 Adapt the corporate governance chain described in 2011, and dismissed four members of staff, allowing three more to resign early. However, while the charity had reported problems to its regulator, the UK's Charity Commission, The increased scrutiny following the revelations brought out new issues. For example, Oxfam GB had suffered 123 cases of alleged sexual harassment and carried out no crim- inal record checks for its 23,000 volunteers. The BBC also tutes in Africa by staff at another prominent international charity, Medecins sans Frontières. During 2018, Oxfam GB introduced stringent new safeguarding policies and of the past, we believe that ultimately, this will help us take Questions of Figure 5.2 and assess their engagement in terms of the power/attention matrix in Figure 5.3. Figure 5.5 to Oxfam GB. What were the weaknesses in this chain?
Chapter1: Taking Risks And Making Profits Within The Dynamic Business Environment
Section: Chapter Questions
Problem 1CE
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Question 1.
Identify Oxfam GB's various stakeholders and assess their engagenent in terms of the power/attention matrix.
Question 2.
Adapt the corporate governance chain to Oxfam GB and What were the weaknesses in this chain?
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