Paper Sample on Review: United Way Worldwide's Social Responsibility

Dear President Betty Stanley Beene of the United Way Worldwide, you asked me to review the United Way Worldwide organization, to determine whether it has been acting socially responsibly in the wake of many criticisms. United Way Worldwide is a privately-funded non-profit organization that is based in the United States. The entity entails about 1800 autonomous organizations that are funded and governed locally. The organization was founded in 1887 as a Charity Organization of Denver, thereby raising $21,700 for 22 local agencies in its second year of operation (Veselinova & Samonikov, 2018). In 2018, United Way had gross revenue of $3.9 billion, according to the Forbes list, with a charitable commitment of 86% (Veselinova & Samonikov, 2018). Despite being the largest charitable organization in the United States, United Way Worldwide has faced a lot of challenges and criticism regarding the utilization of resources, which requires investigation to come up with viable recommendations.

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United Way Worldwide has undergone years of turmoil that has threatened its stability and commitment of the donors with the notion of misappropriation of funds. Donors of the organization have been massively concerned about the impact of their donations with arguments that the administrative function of the entity reduced the amount that reached the intended destination. Additionally, the entity has witnessed numerous corporate scandals like the first major scandal at United Way in 1992 that entailed fraud and conspiracy of money laundering (Veselinova & Samonikov, 2018). Donors have also been concerned that the official misconduct, as well as tax oversight have been reaching alarming proportions. Therefore, this necessitates an evaluation of the challenges with the aim of developing viable solutions. Some of the issues that should be looked at include organizational openness and corporate social responsibility.

United Way Worldwide must consider openness in its operations if it has to cope with the volatile environment and protect its image among its donors and the society at large. In the organizational theory, an open system has a higher level of the organization compared to a closed system (Buch, Dopke & Pierdzioch, 2002). While many organizations tend to keep secrets of fighting competition in the market, it is imperative to release some information for communal and social accountability, especially for non-profit organizations. Sharing of crucial information regarding the donations, the amount received, and how it is utilized compared with how it was intended to be used will help in keeping donors satisfied about the organizational goals and actions. Additionally, the entity being the largest charitable organization in the US should embrace corporate social responsibility strategies that resonate with the community. For many entities, corporate social responsibility entails an important opportunity to strengthen its relations with the key stakeholders (Hopkins, 2007). United Way Worldwide should not be left behind with strengthening its deteriorating relations with the society, which is the key stakeholder.

Conclusion

In cocnlusion, Director Stanley Beene, based on my research, United Way Worldwide, needs to be more socially responsible and open because it is a charitable organization that depends on donations, and the donors must be assured that the donations achieve the intended purpose. To achieve the desired sustainability, the organization must be able to facilitate environmental sustainability. This means that the organization must go beyond the legal and ethical standards that are stated by the regulators and environmental associations to demonstrate their commitment to openness among its donors. To create a strong bond and a good relation with the key stakeholders, United Way Worldwide must adopt different strategies like developing an open leadership team, having an advisory board, and ensuring financial accountability.

References

Buch, C. M., Dopke, J., & Pierdzioch, C. (2002). Financial openness and business cycle volatility. Kiel: Institut fur Weltwirtschaft an der Universitat Kiel.

Hopkins, M. (2007). Corporate social responsibility and international development: Is business the solution?. London: Earthscan.

Veselinova, E., & Samonikov, M. G. (2018). Building brand equity and consumer trust through radical transparency practices. Hershey, Pennsylvania: IGI Global.