Organization Studied: Boys and Girls Club of Long Beach

 

PART A: (10 points)

 

You are a team of Business Consultants that have been solicited to make a presentation to the Executive Officers of the Boys and Girls Club of Long Beach (our Corporate partners) as to areas of potential risk in their current operations throughout Long Beach.

 

Each team will present a Risk Management Plan that (a) identifies existing and potential areas of risk and then (b) recommends a proposed list of corrective actions that are can be taken to allow them to avoid the identified risk, the associated liability and the potential for dollar payouts from adverse litigation.

The Plan must synthesize the theory you have learned in this course and others, which will allow you apply the legal principles of law and business management.  Focus the plan so as to achieve our stated course objectives of managing risk, avoiding liability and the potential resultant dollar payouts.

Preparation:

You will be provided access to organizational, financial and operational information for the national organization of Boys and Girls Clubs as well as the same for the local Long Beach organization. In addition you will be required to perform independent research to potential areas of risk that could lead to potential liability for the company. (Refer to Information Package of Background Materials for Boys and Girls Club Distributed in Week 2 and additional material in Week 5)

 

You are to review and understand the fundamental concepts and methodology of Risk Management and Due Diligence and what is involved in preparing a Corporate Compliance Plan.

 

Approach:

 

Each team will be assigned its own unique perspective from which to address this assignment.

 

Teams will be assigned the following roles which represent the  perspectives of the major stakeholders of the BGCLB:

 

                (a) The members of the BGCLB (the parents)

                (b) The employees of BGCLB

 

 

The Assignment                                                                                                                                                                                                             Background Information:

 

Using the material given you throughout the course, your text and other outside sources of research including the internet, address the following areas:

 

(1) Provide an overview of the Boys and Girls Club of Long Beach. How is it organized? What are its major departments and programs? What is its mission and vision statement? What are its stated program objectives? How do they support the objectives and programs of the national organization?

 

(2) The Boys and Girls Club is a 501-C-3 organization which depends on contributions and grants to operate. What are the specific concerns of a 501-C-3 and what requirements are they expected to conform to?

 

(3) The Boys and Girls Club offers services to boys and girls primarily in after-school activities. What are the unique issues in providing services of this type to children?                                                                                                             

 

Corporate Compliance Plan

 

(1)  In designing a corporate compliance plan, we first must differentiate between what is "due diligence" and "risk management". Define each and differentiate these concepts from each other as to their purpose and objectives.

(2)   Define "internal controls"? Why are they important to avoid risk?

(3)   Analyze the Sarbanes Oxley Act of 2002. What was its purpose? Why was it enacted? To whom does it apply? What kinds of requirements are set forth to insure compliance? How does it apply to not for profits such as the BGCLB?

(4)  What is the Business Judgment Rule? How is the Board of the BGCLB affected by it? What could happen if they make poor business decisions and perform ultra vires actions?  (Use outside research including the text and other sources as well.)                                                                                                                                                                    

 

Risk Management Plan

 

            From the perspective of the group interest you have been assigned:

 

            Identify activities and procedures that represent potential areas of concern and risk to the group you are

            representing-members (parents) or employees.

            (Refer to Areas of Concern contained in the Package of Background Material for Boys and Girls Clubs Handed out

             in Week 2 and supplemented in Week 4 )

 

For each area of potential risk identified:

 

(1)    What is the team's consensus as to what potential liability and potential dollar payouts this situation might result in for the group you are representing?

 

(2)     Which areas of the law are implicated by this potential risk and liability (i.e. torts, contract, employment, agency etc)

 

(3)      What is the team's consensus as to how the BGCLB should address each of the identified concerns.

 

Include in your analysis:

(1)   what actions need to be taken,

(2)   by whom

(3)   under what timeline,

(4)   what outside resources might be used

(5)   how the changes will be communicated

(6)   how the changes will be monitored for effectiveness.

 

Form of Assignment:

 

Learning Team Paper:

Your Risk Management Plan will be summarized in an APA paper which will be submitted via the Assignment Link prior to 6pm on the night of class in Week 6.

 

Learning Team Presentation:

The team will decide on pertinent points from the paper highlighting areas of potential risk and liability from your assigned perspective and then present those areas in class before your classmates and the Executive Management from the Boys and Girls Club of Long Beach on Week 6 in the form of a Team Power Point Presentation.

The presentation format will be distributed in Week 5 class

Team will make 5 copies of the slides that are to be presented for BGCLB Executive Management and UOPx Observers

 

Other requirements:

Use APA format to create your compliance plan

Use subject headings to separate components of the plan in addressing each of the foregoing inquiries

Submit with an APA compliant cover sheet and a Certificate of Originality as required by the APA and the University