General Discussion
In reply to the discussion: Crossing Off the Red Cross --Stunning Report Shows Millions Wasted in Hurricane Sandy Aid [View all]KoKo
(84,711 posts)(One wonders if she was just a bad match for a Disaster Relief Charity)
The modern-day Red Cross was created by congressional charter more than a century ago and plays a unique part in responding to disasters. The iconic charity has a government mandate to work alongside the Federal Emergency Management Agency in relief efforts.
The Red Cross has endured patches of trouble in the recent past. It faced allegations of financial mismanagement after Sept. 11 and Hurricane Katrina and a series of chief executives were forced to resign. Congress forced an overhaul. The Red Cross recruited McGovern to the top job in 2008.
McGovern had spent her career as an executive at AT&T and Fidelity and was teaching marketing at Harvard Business School. This is a brand to die for, she said in an early interview as the Red Cross chief executive.
Indeed, the Red Cross remains a magnet for wealthy and corporate contributors, drawing more than $1 billion in donations last year, including at least $1 million each from Lady Gaga, Nicolas Cage and the oilman T. Boone Pickens.
When McGovern took the reins, she inherited a sprawling operation with hundreds of chapters across the country. The Red Cross has more than 26,000 employees. After a storm, the full-time staff mobilizes volunteers and a smaller corps of disaster relief experts, known as reservists.
While often praised as a stabilizing presence by those outside the Red Cross, McGovern initiated a series of changes inside the organization that roiled the venerable charity. She executed layoffs and reorganizations that closed local chapters and centralized power at national headquarters in Washington. In part, these changes reflected several years of operating in the red. In its most recent year, the Red Cross ran a $70 million budget deficit. Fundraising fell short of our target in a year without any huge national disasters, McGovern wrote in a September email to executives.
More at:
ProPublica Documents: TRULY DISGUSTING READ...
. http://s3.amazonaws.com/propublica/redcross/the-red-cross-secret-disaster.html