Title: A Critical Evaluation of BRAC's Strategy: Exploring Models and Frameworks

Introduction

In today's complex and ever-changing global landscape, organizations must formulate and implement
effective strategies to achieve their goals and remain competitive. This evaluation report critically
examines BRAC's approach to strategy, utilizing models and frameworks explored in the module based
on Whittington, Angwin, Regner, Johnson, and Scholes' "Exploring Strategy, Text and Cases" (2022, 13th
Edition). BRAC, originally known as the Bangladesh Rural Advancement Committee, has grown into one
of the world's largest non-governmental development organizations. This report aims to analyze BRAC's
strategic approach in light of key strategic models and frameworks, shedding light on its strengths and
areas for improvement.

Overview of BRAC

BRAC is a non-profit organization founded in 1972 in Bangladesh. Its mission is to alleviate poverty and
promote social justice by empowering people and communities through a range of development
programs and initiatives. BRAC's scope of work extends beyond Bangladesh and encompasses various
sectors, including education, health, economic development, and social justice. The organization has
expanded its reach globally, operating in multiple countries and impacting millions of lives. To evaluate
BRAC's strategy effectively, we will use key models and frameworks that are essential components of
the strategic management discourse.

PESTEL Analysis

The PESTEL framework, as outlined in "Exploring Strategy," is a valuable tool for analyzing the external
macro-environmental factors that can influence an organization's strategy. It stands for Political,
Economic, Social, Technological, Environmental, and Legal factors. BRAC's strategy must consider these
factors, especially given its extensive global presence.

Political: BRAC operates in regions with diverse political landscapes, which can impact its operations.
Political instability, government policies, and international relations can affect BRAC's ability to
implement its programs effectively. Therefore, BRAC should continually monitor and adapt to political
changes in its operating countries.

Economic: Economic conditions, such as inflation rates, exchange rates, and economic growth, can
significantly affect BRAC's funding and the financial sustainability of its projects. A detailed economic
analysis is crucial to ensure long-term viability.
Social: Understanding the social dynamics and cultural contexts in its operating areas is vital for BRAC.
Social norms, values, and beliefs can influence the acceptance and effectiveness of its programs. BRAC
must tailor its interventions to suit local cultures and engage with communities effectively.

Technological: Technology plays an increasingly significant role in development work. BRAC should
embrace technological advancements to improve the efficiency and reach of its programs, such as
mobile health solutions or digital education platforms.

Environmental: Environmental factors, including climate change and natural disasters, can disrupt
BRAC's operations and affect the communities it serves. Developing resilience strategies and
environmentally sustainable initiatives should be integral to its strategy.

Legal: Legal frameworks, including regulations related to NGOs and development activities, can vary
widely across countries. BRAC must navigate these legal complexities to operate within the boundaries
of the law while advancing its mission.

SWOT Analysis

The SWOT analysis, which stands for Strengths, Weaknesses, Opportunities, and Threats, is another
essential framework for strategic evaluation. It helps organizations identify internal and external factors
that can influence their strategic decisions.

Strengths:

a. Broad Reach: BRAC's extensive global presence gives it a significant advantage in terms of impact and
reach.

b. Diverse Programs: The organization's diverse portfolio of development programs allows it to address
multiple aspects of poverty and social injustice.

c. Strong Partnerships: BRAC has established partnerships with governments, international

Weaknesses:

a. Sustainability Challenges: BRAC's reliance on donor funding may pose sustainability challenges if
donor priorities shift.

b. Resource Allocation: Resource allocation across various programs may not always be optimal,
potentially hindering impact.
c. Bureaucracy: As organizations grow, bureaucracy can become a hurdle to agility and innovation.

Opportunities:

a. Technological Advancements: Leveraging emerging technologies can enhance program efficiency and
impact.

b. Global Partnerships: Collaborating with other NGOs and international organizations can open new
avenues for funding and knowledge exchange.

c. Social Innovation: BRAC can explore innovative solutions to address evolving social challenges.

Threats:

a. Political Instability: Political upheavals in its operating countries can disrupt BRAC's operations.

b. Donor Dependence: Overreliance on specific donors may make BRAC vulnerable to changes in funding
priorities.

c. Competition: As the development sector becomes more crowded, competition for funding and
resources intensifies.

Resource-Based View (RBV) Analysis

The Resource-Based View (RBV) is a framework that examines an organization's internal resources and
capabilities to gain a competitive advantage. BRAC possesses several key resources and capabilities that
contribute to its success:

a. Human Capital: BRAC has a highly skilled and motivated workforce dedicated to its mission.

b. Knowledge and Experience: Decades of experience in development work have enriched BRAC's
knowledge base and problem-solving capabilities.

c. Reputation: The organization's strong reputation for delivering impactful programs attracts donors
and partners.

However, BRAC should continuously assess its resource base and invest in capacity building to maintain
its competitive advantage in the dynamic development sector.

Porter's Five Forces Analysis

a. Threat of New Entrants: The non-profit sector constantly sees new entrants, which can increase
competition for funding and partnerships.

b. Bargaining Power of Suppliers: Suppliers, in this context, refer to donors and funding sources. BRAC's
reputation and track record can influence its bargaining power.

c. Bargaining Power of Buyers: In the development sector, beneficiaries and communities are akin to
"buyers." Their involvement and engagement can influence the success of BRAC's programs.

d. Threat of Substitutes: Alternative development organizations or approaches can pose a threat to

e. Competitive Rivalry: Competition among NGOs for funding and attention is fierce, demanding
continuous innovation and improvement from BRAC.

Ansoff Matrix

The Ansoff Matrix is a framework that helps organizations consider growth strategies. It classifies these
strategies into four categories: Market Penetration, Market Development, Product Development, and
Diversification.

a. Market Penetration: BRAC can deepen its impact in existing markets by expanding its programs or
reaching underserved populations.

b. Market Development: Exploring new geographical areas or expanding its reach to new countries can
help BRAC grow.

c. Product Development: BRAC can innovate and diversify its program offerings to address emerging
needs and challenges.

d. Diversification: While BRAC already operates in various sectors, further diversification may be
considered to reduce dependency on specific programs or geographies.

Conclusion

In conclusion, this critical evaluation of BRAC's strategy, utilizing models and frameworks from
"Exploring Strategy, Text and Cases" by Whittington, Angwin, Regner, Johnson, and Scholes, reveals that
BRAC has several strengths, including its extensive reach, diverse programs, and strong partnerships.
However, it also faces challenges, such as sustainability concerns and resource allocation issues.
BRAC's strategic approach should be informed by comprehensive analyses of external factors (PESTEL),