What stakeholders have provided services to the Red Cross?

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In organizational theory, a stakeholder is someone who has an interest, claim, or stake in an organization, including its activities and success at performing them. Stakeholder participation is generally motivated by inducements whose value exceeds that of required contributions. "Inside" and "outside" stakeholders may be contrasted: insiders are those with...

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In organizational theory, a stakeholder is someone who has an interest, claim, or stake in an organization, including its activities and success at performing them. Stakeholder participation is generally motivated by inducements whose value exceeds that of required contributions. "Inside" and "outside" stakeholders may be contrasted: insiders are those with the most direct claim on the organization's resources, such as shareholders, managers, and workers. Outsiders are basically everyone else, including customers, the government, local communities, and even the general public; they do not work for the organization but have an interest in it.

In part because of the longevity of the organization, which was established in the 1860s, and in part because of the wide range of services that the Red Cross provides, the organization's stakeholders are virtually unlimited. This range is further expanded because the Red Cross and Red Crescent operate in many countries. For example, the American Red Cross conducts frequent blood drives. Anyone who donates blood is a stakeholder who has provided a service. Public perception of the Red Cross is generally high, so members of the public are stakeholders who are likely to provide additional services, including donations of money and time.

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The Red Cross, a charitable non-profit organization, has many stakeholders, including corporate donors that fund the organization. For example, UPS helped the Red Cross position and equip trailers to help victims of Hurricane Sandy. Donors include individuals and small and large corporations. As the Red Cross was created by an act of the U.S. Congress, the government is also a stakeholder in the organization. In addition, the Red Cross has over 500,000 volunteers who give time and resources such as blood donations to the organization, and they are also stakeholders. The Red Cross employs about 30,000 people, and their employees are among their stakeholders. Hospitals are stakeholders in the Red Cross as well, as they receive blood donations from the organization that are vital to their patients. Finally, communities across the country in which the Red Cross works are stakeholders and help the Red Cross reach people who need help. 

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There are two main sets of stakeholders who provide services to the Red Cross.  These are the organization’s own employees and the people who volunteer with the Red Cross.

Services are things that are done for a person (or in this case an organization) by others.  Services are different from goods.  Goods are tangible things that are sold or given to an organization.  What this means is that someone who donates money or clothing, for example, to the Red Cross is not providing them with a service.  By contrast, someone who does work for the Red Cross is providing that organization with a service.

Many of the people who do work for the Red Cross are volunteers.  Red Cross volunteers perform many kinds of services for that organization.  For example, in this link, we read about a retired doctor named Bipin Shah who was helping provide medical services to victims of the recent flooding in Colorado.  Dr. Shah was providing services to the Red Cross and, through them, to the victims of the flooding.  The Red Cross also has paid employees.  They, too, provide services of all sorts to the organization. 

The services that the Red Cross requires are mostly provided by two main groups of stakeholders.  These are volunteers and Red Cross employees.

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