Strategic Quality Management and Customer Satisfaction
Kim Bellamy, Crystal Elmore, LaVaughn Martin, George Oliver, and Andreameda Pollock
December 13, 2011
Stephanie Edens

Strategic Quality Management and Customer Satisfaction The American Red Cross (ARC) is an emergency response organization dedicated to providing relief to the victims of some 70,000 disasters each year (American Red Cross, 2011). They also contribute to community services that help the needy and provide support and comfort for military members and their families. The American Red Cross collects, processes, and distributes blood and blood products. They offer compassionate services to educational programs that promote health and safety and international relief and development programs. Founded in 1881 by Clara Barton, the American Red Cross has become the nation’s premier emergency response organization (American Red Cross, 2011). Quality management and customer service are among the highest ranked aspects of the organization. This is apparent in the SWOTT analysis of the organization as well as in the mission and vision statements, and the American Red Cross’s strategic planning. The American Red Cross has more than half a million volunteers and 35,000 employees and they are dedicated to providing quality relief to victims while offering excellent customer service.
SWOTT Analysis Strengths Weaknesses Opportunities Threats Trends
Strategic Position The American Red Cross is a national brand that demands global attention due to its global humanitarian efforts. According to The American Red Cross website (2011) “The American Red Cross helps vulnerable people and communities around the world prepare for, respond to, and recover from natural disasters, humanitarian emergencies and health crises by mobilizing the power of the world's largest humanitarian network, made up of 186 Red Cross and Red Crescent national societies and more than 13 million volunteers.” Although The organization’s greatest strength is in its brand, it is also one of their greatest weaknesses. Because of their international humanitarian efforts, they are often met with resistance from third world and middle eastern countries that denounces America and the entire western culture. The American Red Cross could use technology to quickly respond to disasters on a global scale. Other opportunities that the organization can take advantage of are some of the powerful software products on the market to help maintain a powerful database of information that can be useful in future campaigns and missions. By taking advance of these powerful tools the organization can position them as one of the top humanitarian organization in the world. Over the past few decades The Red Cross has been able to utilize its brand to push its strategic drivers. Based on the global economy that they operate in today they are constantly threaten by globalization, climate change, hunger, disease, and overpopulation.
According to Allain, Tucker, Hamilton, Raiker, Cao, & Dannen (2009) “The Red Cross is at a critical tipping point where it can harness the longevity and recognition it possesses or fade under a lack of cohesive vision” (p. 2). Based on a failing global economy, most nonprofit organizations are challenged with raising capital. One of the growing trends for nonprofits is to position themselves as a customer friendly organization that makes maximum impact toward their charitable goals. These organizations have to be able to measure their results as well as make this information easily accessible to their donor community.
Quality Management Approach The red cross approach to quality is driven by its leadership. In recent years the organization has developed quality processes in its customer service processes via social media. They are reaching far beyond middle America; they have accessed the world through the use of technology and social media. Additionally, they have incorporated quality processes in their CPR training, first aid courses, and water safety programs. Dealing with foreign governments and policies will be a challenge, even for a global organization like The American Red Cross. Other weaknesses they will have to contend with moving forward are the raising attrition rate in volunteers. They will have to do more with less funding and resources. The organization has the opportunity to become an industry leader in humanitarian efforts provided they can compete globally and use innovative ways to increase the popularity of the brand on a global scale. To accomplish these goals the organization will have to look more toward an ISO 9000 or six sigma approach in all of its processes and procedures. The key to their continued success is getting the volunteers to understand quality and buy into it. Because they operate in a global system, they have to incorporate quality in every policy, procedure, and process. However, if they fail to do this they stand to lose credibility and the confidence of the international community. More and more nonprofit organizations have recently incorporated quality programs in their organizational structure such as ISO 9000, TQM, and Quality Management.
Customer Satisfaction Measurements Currently the organization uses a service quality and effective survey to measure the success of their courses and services. The survey allows them to look at each course and service to see what could be better or where they may be losing revenue. Also by taking to survey the organization offers a 10% discount on items in their online store. Because the organization has such a small workforce, it is a constant challenge to update and tweak the surveys to get more useful information from their courses and services. Because the organizations have such a well known brand, they can take advantage of untapped workforces such as stay at home parents, college interns, and the unemployed to update and maintain online surveys. By not taking full advantage of the opportunities that the present economy and technology has afforded the organization, they stand to lose ground in their humanitarian efforts. Social Networking and quality processes

Mission Statement
American Red Cross is a nonprofit organization led by volunteers that will provide relief to victims that are affected by disaster. American Red Cross will provide shelter to those who have lost their home to fire or other types of disasters, food to the homeless or low income families, and blood to those who need immediate blood transfusion.
Vision Statement
The American Red Cross vision statement is to continue to be people and organization’s first choice for relief. The American Red Cross will continue to be the largest supplier of blood and blood products to disaster victims around the world.
Guiding Principles
American Red Cross guiding principles that incorporate quality management:
1. Provide relief to anyone regardless of race, religion, class, or political opinions.
2. Offer top quality volunteer service without expecting any gain in monetary advances.
3. Offering comfort and relief in a timely manner to disaster victims while making sure disaster victims are placed in a clean and safe environment.
4. Make sure the organization has enough blood supply available for emergency transfusion. Supply clean and safe blood.
Strategic Plan and Objectives The America Red Cross objectives are on the basis to expect the unexpected, and efforts to enhance their internal and external communication. For years the agency focused on providing results-driven communication by fostering a caring atmosphere. In addition to emergency response, measurements are in place that monitors volunteer programs, blood drives, donations, and customer service. Even though the organization is nonprofit, customer service is ranked highest among the organization strategic goals and objectives. High quality customer service is provided through effective communication, both internal and external. When disaster occurs, the American Red Cross must be able to communicate with each other and the victims of the disaster. Internal Communication Of 70,917 disasters nationwide, 60, 256 localized, 10,681 disasters larger than one chapter could handle, and disasters requiring the support of national systems and resources, more than 54,000 people received shelter and support from the American Red Cross, (ARC Annual Report, 2006). The internal communication mechanisms the organization use are the tools used to establish and maintain information. These systems include Radio Systems, 47.42 MH2, two-way systems that provide communication over a normal range of 10 to 20 miles, and Government/Military Radio Systems that provides emergency communication for military personnel. When disaster strikes and local telephones are down, the organization uses Satellite Systems that includes Advance Technology Satellite (ATS-3), International Satellite Maritime Satellite (INMARST), America Mobile Satellite Corporation (AMSC), and computer based- communication through the components of electronic communication and text. These systems functions and pave the way for effective communication and a shorter response time when time matters the most.
External Communication
External communication is very important and is frequently used to get the word out to the public, those waiting to respond, and to anyone else in need of information. Some of the ways the organization communicates externally is through the media, government agencies, and emergency response units. Furthermore, communication associated with the media, is also beneficial to those who donate blood or choose to volunteer their services and resources. Through advances in technology the organization uses a Disaster Management System (DMIS) that is accessible to those working with the organization. The system monitor information related to disaster trends, online, external resources, and tools and databases to exchange information and support effectively. These powerful arrays of tools have paved the way for the organization Total Quality Management practices by integrating communication throughout locations and major installations in both domestic and foreign locations. This communication is exchanged to the disaster victims in need, and those rendering services. Therefore, it is vital for the organization to integrate communication effectively both internal and external because victims are structured to expect the unexpected in all types of disasters, whether by nature or manmade.
Measurements
By engaging in strategic planning methods, the Red Cross preserves the ability to reply to emergency situations. The organizations maintain their attention and focal point on where they want to go as a company. The American Red Cross is continually moving ahead by conducting monthly strategic accountability meetings with leadership and other company resources. The boards of directors along with the staff members assist the organization in supporting and maintaining to their plan and objectives. These groups of individuals also make any necessary adjustments and transition when they deem to be necessary. Randall Jones, the executive director, says the importance and essential resource to acquiring and maintaining success long term is to focus on the correct long term issues in the short term. Randall continues to affirm that those practices hold true for nonprofits and profits alike. The favorable outcome of the organization spreads throughout the departments of the local nonprofits. The association commends their success stability to hardworking, dedicated individuals. The American Red Cross technique of strategic planning and objectives spreads through all the areas within the organization (American Red Cross, 2011).
The American Red Cross thrives on quality for the organization to give the best services and assistance available for each situation. The company partners and works with well-known business that have high quality of products, goods, and services. The American Red Cross offers quality service and effectiveness courses such as first aid, CPR, AED, swimming and water safety, lifeguarding, HIV/AIDS prevention, international humanitarian law, care giving that includes babysitting training and nurse assistant training, and community disaster education that demonstrates how to be Red Cross ready. The organization presents productive, adequate services for disaster, aid to armed forces, and help to the community. The company conducts surveys in all areas to draw feedback on the assistance they give. The surveys act as a quality assurance tool to identify what the organization needs to enhance or what is working good for the association. The objectives, strategic plans, and quality of the American Red Cross is for the organization to strive to be the leader in mobilizing communities to assist in the prevention, preparation, and response of individuals to accidents, adversity, and other life pressured crisis (Strategic Plan, 2009).
Conclusion
The American Red Cross helps millions of people around the world who have been affected by natural disasters like tornados, hurricanes, and flooding due to rain. The organization offers families assistance with shelter, food, and blood. Millions of people donate blood, which makes the American Red Cross the largest blood supplier in the United States. The American Red Cross is a nonprofit organization therefore it relies heavily on donation of money, volunteer time, and blood to continue to service communities around the world. The organization uses quality management, effective communication, and customer service to provide the relief needed for victims of disasters.

References
Allain, M., Tucker, K., Hamilton, B., Raikar, A., Cao, S., Dannen, H. (2009). The red cross strategic performance analysis. Retrieved from http://userwww.sfsu.edu/~araikar/documents/Professional_StrategicPerformanceAnalysis.pdf
American Red Cross. (2011). Retrieved from http://www.redcross.org/
American Red Cross. (2011). About us. Retrieved from http://www.redcross.org/aboutus/
Strategic Plan. (2009). American Red Cross. Retrieved from http://arc- orangecounty.axxiomportal.com/custom/10/108/misc/ARCOC_Strategic_Plan_FY10.pdf