Stakeholder Buy-in

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Formerly known as the Organization of African Unity (OAU) and founded in 1963 in Addis Ababa during the reign of Emperor Haile Selassie of Ethiopia, OAU changed name in 2002 to become the African Union (AU). Still headquartered in Addis Ababa, Ethiopia, the African Union is an organization founded on the principles of advancing the nations that constitute the African continent. The only country in the African continent that is not a member of the AU is the Kingdom of Morocco (Hanson, 2009). Deliberations on important administrative and political issues that touch on member states is usually the prerogative of the Assembly of the AU whose consultative members are drawn from heads of states that hold semi-annual meetings. In the case of the AU, member states are the major stakeholders as they strive to come to terms with the issues that can make the organization self-reliant politically, socially, and economically. The AU has a 265-member Pan-Africa Parliament whose current head is Idriss Ndele Moussa of Chad who was elected in May 29, 2009. This system of power sharing among member-states is pluralistic in context as opposed to elitism where power is concentrated in the hands of an influential few.

According to Brugha and Varvasovszky (2000), actors or stakeholders have been garnering increasing role in influencing organizational decision-making and policy formulations in the last few years. The general objectives of AU member-states is to promote the political and socio-economic cooperation of the continent, protect issues of interest to member states, safeguard peace and security among member-states, and enhance democratic governance and human rights (Hanson, 2009). The current chairman of the AU is Teodoro Obiang Nguema Mbasogo of Equatorial Guinea who took over in January 2011 and has led his country since 1979 after ousting his uncle Francisco Macías Nguema in a bloody coup. The use of effective communication is the driving factor that brings together member-states with varying political and social ideals. According to Dewhurst and Fitzpatrick (2005), getting buy-in from senior level management and having the confidence and endorsement of the right people among internal circles can help alleviate future inconsistencies among stakeholders.

Organizations have a better chance of succeeding in their business pursuits when they give credence to stakeholder participation in a win-win style. Gousseau (2008) is of the opinion that stakeholders are those people in institutions and organizations that are visible in school boards, municipalities, and district hospitals. Stakeholders are an integral part of organizational businesses and therefore deserve to be treated with care to ensure strategic planning processes go according to plan. Stakeholders play a great role in the running and rejuvenation of business transactions. However, stakeholder identification and prioritization should be the prerogative of top level management in businesses (Parent and Deephouse, 2007).

Two important strategies that could be used to enhance better buy-in within the AU are a structured approach and mapping out advocacy. Since the AU is an organization that exists to be of service to a massive continent with over 50 member-states, laying the foundations for advocacy groups that will relay vital communiqués and other organizational decrees will help streamline the mapping of intended actions and procedures. Mapping out advocacy entails ensuring identified stakeholders that are at ease and in good terms with proposed strategy or activity. Having a structured approach will help affect a strategy that is conducive to the environment and major stakeholders.

References

Hanson, S. (2009). Backgrounder: The African Union. Retrieved from http://www.cfr.org/africa/african-union/p11616

Gousseau, K. (2008, July 22). Seniors key concern in strategic planning: Stakeholder meeting in city Thursday. Alaska Highway News, A.1.

Parent, M. M., & Deephouse, D. L. (2007). A case study of stakeholder identification and prioritization by managers. Journal of Business Ethics, 75(1), 1–23.

Dewhurst, S., & Fitzpatrick, L. (2005). Turning stakeholders into advocates. Strategic Communication Management, 9(6), 6–7.

Brugha, R., & Varvasovszky, Z. (2000). Stakeholder analysis: A review. Health Policy and Planning, 15(3): 239–246.

Strategic Planning and Internal Factors

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The African Union (AU), formerly the Organization of African Unity (OAU) was founded on 25 May, 1963 with the aim of improving the political, economic, and cultural aspects of the continent. OAU changed name in 2002 to become the AU. It’s headquartered in Addis Ababa, Ethiopia (Hanson, 2009). The AU is made up of political and administrative bodies. Heads of States meet yearly to deliberate on important topics that are exclusive to the continent. The Kingdom of Morocco is not a member of the AU because it disputes the membership of Western Sahara, also called the Sahrawi Arab Democratic Republic. The Union’s internal environment is populated by member representatives heading various departmental positions.

Internal factors that often cause friction and dissent among member states include disagreeing on specific volatile issues like voting on matters that may be of particular importance to a certain state but detested by another. Member representatives may disagree on how money donated by donor nations is dispensed. The governing style espoused by a chairman may not be acceptable to others. For example, the current chairman of the AU is Teodoro Obiang Nguema Mbasogo, the president of Equatorial Guinea who came to power by the barrel of the gun. A corrupt and ruthless dictator, President Obiang heads an oil rich state whose citizens live in abject poverty. The Union is struggling with ambitious internal reforms that include security, trade liberalization, sustainable use of natural resources and energy, food security, and climate change and immigration (Laporte and Mackie, 2010).

The main actors of the AU have been drawn from nations that were at one time or the other colonized by colonial powers Britain, France, Italy, and Portugal respectively. To the north are the mainly Arabic speaking states of Egypt, Tunisia, Algeria, and Mauritania. Cultural differences among leaders often lead to misunderstandings and confusion.

References

Laporte, G. and Mackie, G. (2010).Towards a strong African Union: what are the next steps and what role can the EU play? Retrieved from www.ecdpm.org/pmr18

Hanson, S. (2009). Backgrounder: The African Union. Retrieved from http://www.cfr.org/africa/african-union/p11616

Impact of Internal Factors on Strategic planning

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Formerly known as the Organization of African Unity (OAU), the African Union (AU), the subject of my final paper, was founded in 963 in Addis Ababa, Ethiopia. It changed name in 2002 to its current name. It was founded on the basis of spearheading pan-Africanism though lately it has transformed itself into a behemoth organization that stands for continental unity, sustainable development, and economic equilibrium in an expansive sphere of the globe beset by a cornucopia of human and natural disasters (Adogamhe, 2008,). The African Union is representative of people of various nationalities and diverse cultures that include black tribal communities, a minority White race, and a sizable number of societies belonging to the Arab race. It represents various social groups speaking hundreds of vernaculars and colonial languages that include Portuguese, English, Spanish, English, and French respectively.

To date, there are eighteen strategic objectives that drive the Union’s pursuit of its desired goals. In its executive summary, the Union’s comprehensive strategic objectives include programs that highlight the importance of peace and security, development, integration, cooperation, shared values, and program for institutional and capacity building (Ping, 2009). A breakdown of the Union’s SWOT analysis specifies many negative and positive aspects. Some of its strengths include the integration of the fifty-three union members, having the mandate to make arrangements for existing institutions, having distinguished recognition in the international community of nations, a leadership that strives to implement changes, shared values that rest on the philosophy of pan-Africanism, and the capacity to call all members to a projected venue whenever required. The weaknesses that plagues the Union include challenges in administration and management, lack of funds and resources, missing rigid infrastructure, shortage of professionals, lack of commitment, missing teamwork, uncertified or weak information technology resulting from weak processes. Some opportunities that are of advantage to the Union's smooth running and operation include empowering women, gesture of goodwill and benevolence by mindful partners, expectations in the restructuring of its financial structure, and the need to speak in one voice. Threats include uncontrollable pandemics, limited resources, marginalization and gender inequality, sporadic outbreak of conflicts and unpredictable internecine warfare, stagnated economy, and scarcity or lack of commodities.

Directing an organization to the right course without having a systematic management plan can be a daunting task. According to Sherman (2007), the use of strategic management in organizations has been in place for over a century. In modern times, the proliferation of literature exclusive to strategic management and planning coupled with the presence of educational institutions of higher learning have set the stage for drastic revolutionary changes in a world brimming with technological advancement and knowledge. Besides spearheading strategic management, organizations need to endorse strategic management by highlighting the importance of strategic planning, performance measurement, integrated business planning, management reporting, and organizational culture reward systems (Aguilar, 2003).

The Union's internal organizational environment is populated by member states having differing leadership styles and poor governing approaches that is the cause of the appalling human development statistics. Undemocratic governing practices, abuse of office and widespread corruption, absence of accountability, state repression, appalling human rights records, financial instability, and missing regulatory frameworks remain an impediment in many African governments. Each and every African state has a representation at the Union headquarters in Addis Ababa and at the pan-African legislative assembly in Midrand, South Africa. A rotating chairmanship allows every African head of state to hold the helm at the approach of term. Within the Union there are those leaders that harbor suspicion and betrayal by not conforming to the Union’s code of ethics. Despite a handful of states espousing democracy as the preferred system of governance, on the other hand, there are those whose governing ideals rest on the advancement of feudalism, theocracy, and dictatorship which is cause for the derailment of many contentious issues.

Most African states evolved from the ashes of Anglo-Franco colonialism that dissipated when many African leaders who pioneered their nations’ right to self-determination stepped into the shoes of their former colonial masters. The newly emerged African leaders that took over the helm did little to transform the political, social, and economic sectors that required resuscitation. Instead, they embarked on the suppression of civil society leaving destruction in their wake. The divisions left behind by the colonial masters created a new social order deficient of political, social, and economic willpower. Thus, the vestiges of colonialism left a lot to be desired. Even to this day, African heads of states remain inclined to their former colonial powers militarily and economically. The schisms that exist within the AU’s inner circles deserve rectification before any leap forward can be attempted.

References

Adogamhe, P.G. (2008). Pan-Africanism revisited: Vision and Reality of African unity and development. African Review of Integration, Vol. 2 No. 2, July 2008.

Aguilar, O. (2003). How strategic performance is helping companies create business value. Strategic Finance, 84(7), 44-49.

Ping, J. (2009). African Union Commission: Strategic plan 2009-202. Retrieved from http://www.au.int/en/sites/default/files/Strategic_Plan2009-2012.pdf

Sherman, H., Rowley, D.J., & Armandi, B.R. (2007). Developing a strategic profile: The pre-planning of strategic management. Business Strategy Series, 8(3), 162-171.

S.W.O.T Analysis

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The Kansas City Missouri School District was founded in 1876 with the intention of providing education to the children of the residents of Kansas City. Initially, the school district started with 2,150 students. Prior to the current prevailing conditions, the school district employed 2,300 teachers who were responsible for the education of a staggering 17,400 students from all walks of life (KCMSD, 2011). Currently, the school district is without accreditation and that its fate remains in the hands of the state. Power jostling, self-interest, greed, and infighting among the leaders of the school district resulted in KCMSD losing its accreditation (Clark, 2011). Poor strategic planning and unregulated learning strategies, and dismal performances by the students in general education are some other factors that plunged the school district in to its current legal quagmire.

The term S.W.O.T is an abbreviation for Strengths, Weaknesses, Opportunities, and Threats and is an important tool in determining how an organization functions. As for strength, KCMSD lacks financial capability, philosophy and value, and accreditation and qualification features; it is short of the required cultural, attitudinal, and behavioral aspects because of the prevalence of power jostling, self-interest, and greed within the governing board. Dr. Covington, an African-American and former superintendent of the school district, resigned hurriedly and unexpectedly in 2010 (Resmovits, 2011). He was replaced by Dr. Steven Green (Seward, 2011), also an African-American who is faced with the heavy task of reestablishing himself in an atmosphere of opposition and suspicion. There is visible weakness in how the school district is administered-weaknesses that emanate from gaps in capabilities coupled with poor morale, commitment, and leadership. Incompetency on the part of the school district leadership and pressure from parents and the state result in general vulnerabilities.

Some of the opportunities that could enhance the smooth operations of the KCMSD include making use of existing technology and other existing innovative ideas. Relevant threats that need to be curtailed include political, legislative, and environmental effects. The school district is expected to make drastic changes and make complete overhaul to the factors that led to its loss of accreditation in a two-year period. Failure to do so will result in the intervention of the state and the court system. The school district has the potential to succeed by effectively utilizing money given by the state, making comprehensive annual reports, abiding by the fundamental principles of finance, avoiding misappropriation of funds, and regularly abiding by existing mandates.

References

Clark, M. (Sept. 20, 2011). Missouri Department of Elementary Education. State board reclassifies KCMSD to unaccredited. News releases Vol. 45, No. 79. Retrieved from http://dese.mo.gov/news/2011/kcmsdaccreditation.htm

Kansas City, Missouri Schools District (2011). About KCMSD. Retrieved from http://www2.kcmsd.net/Pages/AboutKCMSD.aspx

Resmovits, Joy (August 26, 2011). John Covington, Kansas City Superintendent, Resigns Suddenly Amid School Board Drama. http://www.huffingtonpost.com/2011/08/25/john-covington-resigns-kansas-city_n_937241.html

Seward, L. (August 31, 2011). Dr. Steve Green is Kansas City Missouri School District's new interim superintendent. http://www.nbcactionnews.com/dpp/news/education/dr-steve-green-is-named-kansas-city-missouri-school-district-interim-superintendent

Comprehensive Financial Annual Report (CAFR)

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Formed in the sprawling suburbs of Addis Ababa, Ethiopia, in 1963 under the tutelage of the renowned Statesman Haile Selassie, the Organization of Africa Unity changed named in 2002 to become the African Union (AU). The AU was formed exclusively to spearhead social, economic, and cultural values in the African continent that is populated by diverse communities speaking various vernaculars and divided along colonial powers Italy, Britain, Portugal, and France respectively.

A Comprehensive Financial Annual Report (CAFR) is a large document that is produced by organizations to provide vital information to officials, citizens, auditors, and investors (Mikesell, 2011, pp. 77). It is a report that is available to the general public and generally documents how funds are dispensed and accounts utilized. The AU's CAFR is one collected from a broad range of willing donors that include the United States, the European Union, and member states whose economies show signs of stability. The money collected in the form of aid is then used to serve the various departments that are part of the Union. Some of the aid coming from donor nations is used to fight pandemics and keep peace in volatile regions of the world such as in Somalia, Darfur, and other conflict prone areas of the mighty continent. Poor tax collection, bleak transparency index, misuse of resources, widespread corruption, and mismanagement are some factors that make the Union financial to operate below average and show signs of decline.

The report is geared towards giving donors vital information on how finances are utilized and how transparency and poverty reduction is being tackled. A $200 million budget was released in 2010 to finance various developmental projects. 30% of that money was earmarked for restoration of peace in afflicted areas, 77% for development, and 10% for fighting corruption (Tekle, Sudan Tribune, January 31, 2010). Citing Schick (1998), Sophia (2002) explains that the budget composition of poor countries within the continent is by far different from those of developed countries. An aspect know as the common pool problem where officials involved in the budget decision-making process fight over public resources hamper efforts to distribute or dispense finances equally (Sophia, 2002). The African Union budgetary processes suffers unrealistic budgeting where the budget is commonly accepted as a farce, hidden budgeting where the budget is known to a select few, and escapist budgeting where expenditure is authorized while knowing it will never materialize. Unpredictable governments hinder stakeholders’ prospects of comprehending its aims, objectives, and outcomes.

References

Mikesell, J.L. (2011). Fiscal Administration: Analysis and applications for the public sector (8th ed.). Boston, MA: Wordsworth Cengage Learning.

Sophia, G. (2002). Budget Institutions and Fiscal Performance in Africa. Center for Research in Economic Development and International Trade, University of Nottingham. Retrieved from http://www.nottingham.ac.uk/credit/documents/papers/10-02.pdf

Schick, A. (1998) A Contemporary Approach to Public Expenditure Management: World Bank Institute.

Tekle, T.A. (Sudan Tribune, January 31, 2010). USD 200 million agreed for 2010 Africa Union Budget. Retrieved from http://www.sudantribune.com/USD-200-million-agreed-for-2010,33967

Balancing Budget

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The best way to overcome budget deficits is through spending cuts or raising taxes (Yaya, 2010). Citing Buchanan and Wagner (1978), Yaya (2010) contends that an increase in taxes could be a remedy for deficits. There is agreement among economists that balancing the budget would allow interest rates to fall, savings and investment to go up, trade deficit to contract and the economy to grow more rapidly over a longer period of time. However, that is not the case for congressional leaders who have made budget balancing a subject of furious debate every time the issue is raised up for discussion. Budget balancing may not be good for every American. A good number of Americans, especially those of lower income who disproportionately rely on government assistance could be affected if the budget is balanced. Balancing the budget may have ramifications at times. Results may vary from year to year for different households and things could go distorted.

Whenever a budget is balanced, there always emerge winners and losers. Beneficiaries include those who benefit from tax breaks, families with young children who benefit through income tax breaks, college students aided by tuition tax credits and higher scholarship grants, and investors who gain from selling stocks and bonds. Balancing the budget is a very difficult issue to deal with. The recent stand-off between President Barack Obama and Speaker Boehner shows how American leaders often times fail to reach consensus on budgetary issues despite seeing the explosive rise in national debt.

References

Yaya, K. (2010). Budget balance through revenue or spending adjustments? An economic analysis of the Ivorian budgetary process, 1960-2005. Journal of Economics and International Finance Vol. 2(1) pp. 001-011.

Buchanan, J.M. and Wagner, R.W. (1978). Dialogues concerning fiscal religion., J. Mon. Econ., 4: 627-636.

The African Union Stakeholder Analysis

Formerly the Organization of African Union (OAU) and founded in 1963 under the auspices of the former emperor of Ethiopia Haile Selassie, OAU changed named in 2002 to become the African Union (AU). With headquarters in Addis Ababa, the capital of Ethiopia, AU constitutes over fifty states excluding the Maghreb kingdom of Morocco. Stakeholder analysis can be used as a tool to determine the purpose and information to be used and help focus on more or various dimensions that will help set the stage for analyzing past, present, near or distant events (Brugha and Varvasovszky, 2000). Since the AU is an amalgamation of third world nations and that it cannot sustain its commitments to the continent by itself, there are economically powerful nations such as those in the western hemisphere that make it operational by providing the necessary financial resources and military gear.

Making stakeholders out of advocates requires a structured approach, mapping out advocacy, and finally closing the gap (Dewhurst and Fitzpatrick, 2005). Of the various organs of the AU, the most important stakeholders that make the organization effective include the Assembly, the Executive Council, and the Pan-African Parliament. However, it is the Assembly that holds the banner for the AU as it is thus far the most important stakeholder in policy implementations. The Assembly is the gathering of Heads of States who converge at a certain venue once every year to deliberate on the issues affecting the continent. The Assembly has the power to expel any rebel state from the Union for a certain period of time. The Executive Council gets directives from the Assembly on matters pertaining to war and restoration of peace by supplying peacekeeping troops where applicable especially in conflict-prone areas. Also, it is the prerogative of the Assembly to appoint the African Court of Justice Members and the Chairman of the Commission. As for the Executive Council, ministers are drawn from member states and they deliberate on certain areas that include foreign trade, social security implementations, agriculture and food subsidies and communication.

The three stakeholders described above work in concert to create a common ground for spearheading the interests of member states. They generally constitute an assemblage with common interests that include a governing body, a union, and interest groups. They are bound by a charter which is inviolable and commensurate with union legislation. However, some countries may have leverage over others for providing the financial means necessary for driving the activities. An example of a country that enjoyed greater influence in the Union was the North African state of Libya whose previous leader, Muammar Gaddafi, shone above every other leader because he spent a lot of money either for a just cause or through using manipulative means to drive a particular agenda to his advantage. Muammar Gaddafi’s economic clout enabled the Union to have a sponsor to give it legitimacy.

By striving and working collectively the AU has developed an initial agreement which is to advance the political, economic, and cultural values of the nations that constitute the broader union. This system has materialized since the founding of the Union in 1963. Finding the right people has been made possible by the various branch members that come together at certain times of the year to choose the right people for the right functions. So far, the Union has had tangible process-oriented outcomes in its determination to succeed. The Union has a process guideline which is separation of powers as in a democratic institution where every level of government strives to reach required expectations while keeping in touch now and then to sort out differences. The level of support given by the sponsor and the joint workings of the three branches is what is giving the Union legitimacy while at the same time driving it to the right course. The participation of stakeholders in the Union increases the chances of buy-in and commitment. Co-optation is another aspect that makes the Union to succeed in its endeavours.

References

Brugha, R & Varvasovszky, Z. (2000). Stakeholder analysis: A review. Health policy and planning, 15(3): 239-246.

Dewhurst, S. & Fitzpatrick, L. (2005). Turning stakeholders into advocates. Strategic communication management, 9(6), 6-7.