Running head: CASE STUDY

Case Study Addie R Cuevas-Santiago BSHS 373 October 7, 2013 Connie Giles

CASE STUDY Case Study Magnolia Therapeutic Solutions Case Study After reviewing over the case study of the Magnolia Therapeutic Solutions (MTS), I am not in agreement with the decision that was put forth by the board of directors. The decision of the board of directors was put into action solely on the increase services they were providing to the people who suffered from 9/11. I believe this decision not be a sufficient reason to increase the budget and ask for more grant money for the next physical year. The decision that I would have made in this case would have been to continue to run the program as before and increases

the funds, budgets grants as needed. Mary's decision to expand the structure of the company was based on how much the organization had grown over a period, and the local government giving them the opportunity to treat the victims of 9/11. However, I do not believe the decision was the best at the time. MTS has revised its budget on the anticipation that their grant would be renewed for 2002. Total budget was increased to $2 million. In addition to this many developmental works were also in pipeline. Though the budgeting and forecasting is based on the anticipation but still the anticipation needed to be realistic. Previously the grant was given to the MTS because New York City came under most demolishing attacks which resulted in the need of organizations that can help the government to maintain the balance and help them to come out of the tragedy of the terrorist attacks. As the time moves on this emergency situation start to stabilize and the condition started to become normal. The grant that they received for those who suffered from the terrorist attack on September 11 was only to meet the needs, treated and the services the victims would need at the time, not to expand the organization. Because only a few organizations specialized in treating Post Traumatic

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Stress Disorder (PTSD) at the time, the grant provided to them by the city allowed MTS to aid in the helping the individuals suffering from PTSD. I believe this lead Mary to believe this would be an ongoing service she would be able to provide. However, Mary did not take into consideration of how the economy would be affected by the terrorist attack. The effect of organizational infrastructure had an effect on my decision because before Mary decided to include the grant they received in 2001 in the budget for 2002 the company seemed to be achieving their goals they intended to accomplish. I think Mary just jump the gun a little on how she believes the outcome would be just because she had gotten the grant the first time. The way that I would have taken care of the problems in this case would have been to take everything as it came. For one there was no guarantee that the victims from 9/11 would need further treated than they had already received. So I would not count on giving them treatment for more than a year. I would not have hired full time employees if extra help was needed I would have employee temporary or part-time employees who would save the organization time and money. I would have just kept things as they were and implied changes only when they were present. Therefore, I would have stayed within the budget and have money left over for any problems that may have accrued. I believe that forecasting and environmental planning could have helped. This would have allowed managers and leaders to monitor continually elements that affect their organization within and without (Paladino, 2007). This should have made Mary and other important members of the possibility that the grant would not be given another year. This would have allowed MTS to create a plan for their organization in relation to the funds available to sustain their needs and planned growth. At least, if possibility of growth renewal was not included, it could have been foreseen in beginning of the planning stages to have allowed MTS to look for other sources or

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come up with more strategies to convince the grant-giving body at renewing the funding for at least five years. The problem with non-governmental organizations when concerning funding is that managers are not trained in management correctly. Non-governmental organizations assume that there is no need to compete and employ organizing, strategic planning, staffing, and controlling policies within. However, this affects their ability to attract grants and funding as it is believe that their survival depends on kindness and official bursaries. For Profit organizations it is the opposite. They are confident at influencing the shareholders to promise good and steady returns. Most organization use key functions of management. They also anticipate and examine the market frequently to understand and use most of trends. Failing for-profit organizations display the lack of sound business policies (Paladino, 2007). This is also the same for nonprofit as illustrated in Magnolia's case. Risk management, it can easily be seen in the case study of Magnolias case but at this moment I do not believe it has been applied in the Magnolias case study.

CASE STUDY References

Paladino, B. (2007), Five Key Principles of Corporate Performance Management, John Wiley & Sons Inc., New Jersey. University of Phoenix. (na). Magnolia Therapeutic Solutions Case Study, Retrieved from University of Phoenix, BSHS/373 website.