Food Banks Canada Case Teaching Note 1
Instructor’s Manual for Food Banks Canada Case
Synopsis of the Case
Five years after a significant transformation of its governance model and the implementation of a
new strategy and structure, Food Banks Canada and its board was revisiting these questions and
considering how to modify its strategy to better align with the environment and accomplish its
mission. Five years ago, Food Banks Canada had shifted from a loose national association of food
banks to a much stronger, national organization that sought to coordinate national food access
strategies for the 450+ food banks voluntarily affiliated with it, and be the national publically
recognized voice for those concerned with food security for the poor in Canada.
While successful in this transition to a federated governance structure and in significantly
increasing donations to the national organization, Food Banks Canada recognized that the needs
were huge. Food Banks Canada was still small ($4.6M in cash donations and 14 million pounds
of donated food in 2011), the awareness of their brand needed work, and there was much more
Learning Objectives
1. To have students understand how shifting environments requires shifts in strategic
positioning.
2. To have students learn how to consider stakeholder positions and perspectives in
formulating strategy.
3. To have students understand the federated structural form and its complexities at the
board level.
4. To have students address the challenges of implementing change in a complex volunteer
organization.
Food Banks Canada Case Teaching Note 2
Case Objectives and Use
The purpose of this case is to have students understand how shifting environments requires shifts
in strategic positioning. Students will learn how to consider stakeholder positions and
perspectives in formulating strategy and to understand the federated structural form and how the
board of the national organization, the national organization itself, provincial organizations, and
the affiliated food banks’ roles shift under a federated structure, when compared with more
traditional corporate governance and structural approaches.
Research Methodology
The authors of this case interviewed 5 senior executives / managers of Food Banks, two board
members of FBC (chair and vice-char), and two executive directors of larger affiliated food
banks. Interviews were recorded and relevant case details drawn from those recordings.
Organization files were researched and a literature search conducted on food banks. The authors
are not involved with FBC in any role other than case writer. The CEO of FBC was a graduate
student of the authors approximately 10 years before the case was written.
Student Outcomes
After studying and discussing this case, students will:
1. Understand a different structural form, the federated structure and realize the differences
required in managing these structures.
Food Banks Canada Case Teaching Note 3
Student Discussion Questions
1. What conclusions can we draw from the data in the case?
a. What are the implications of the vision and mission of FBC? What is the structure
of FBC and what are the implications of this? What was the impact of the change
in governance structure five years before?
b. How is the food banks industry structured in Canada?
i. What role do provincial associations play? How do they help or hinder?
Responses to Discussion Questions
• What conclusions can we draw from the data in the case?
o What are the implications of the vision and mission of FBC? What is the
structure of FBC and what are the implications of this? What was the
impact of the change in governance structure five years before?
As stated in the case, the mission of Food Banks Canada was “to meet the short-term need for
food and find long-term solutions to reduce hunger”. This challenging mission has two parts
to it – addressing immediate needs for food access and motivating changes to social policy that
ideally would do away with the need for local food banks. These would require significant
increases in donations to meet the immediate hunger needs and the promotion of even more
significant changes to public policy and attitudes. With 900,000 people or 3% of the population
regularly accessing food banks in Canada and with these numbers continuing to increase, the
resources required to tackle these issues were immense. The case is silent on a separate Food
Banks Canada vision statement, so students can assume the mission statement does double duty.
Food Banks Canada Case Teaching Note 4
board of directors and the board was much larger. This created governance challenges as
members sought to advocate for their regions rather than act on the needs of the national
organization, negatively affecting the national organization’s ability to advance its mission.
Consider the potential conflict when Food Banks Canada made national decisions concerning the
solicitation and allocation of funds or food to other food banks? Each representative would feel
pressure to advantage their own region or food bank, due to the food needs they were facing in
their communities.
Food Banks Canada’s level of success in increasing food and financial donation has caused some
food banks to see them as a rival for resources. For example, when national food companies
decide to focus their food donations through Food Banks Canada and not through local food
banks, this shift has the potential to create difficulties if the affected local food banks view it as
zero sum game. Initiative such as the National Food Sharing System have alleviated some of the
concerns but certainly not all, as was apparent in the fragmented approach to resource raising and
donor development. There were also disagreements over how to influence the effectiveness of
Food Banks Canada Case Teaching Note 5
• How is the food banks industry structured in Canada?
o What role do provincial associations play? How do they help or hinder?
The food banks industry developed from attempts by volunteers to respond to the needs of
individuals in their local communities. Hundreds of food banks exist across Canada, ranging in
size from the very small to the quite large (such as the Daily Bread Food Bank that services the
Toronto area). Over 450 are affiliated with Food Banks Canada but, as already noted, they
operate under their own names and have their own boards, charitable statuses, policies and
procedures, and fund-raising initiatives. In addition, there many unaffiliated food banks plus other
organizations involved with hunger issues, pointing to the fragmentation in this sector. Food
Banks Canada estimated that the total number of Canadian organizations involved with hunger
issues was around 3,000.
When it comes to the advocacy role, there seemed to be a general consensus that it makes little
sense for each provincial association to develop their own advocacy materials, rather than tackle
this nationally. This was apparent in the satisfaction reported by affiliates with initiatives such as
the Hunger Count Reports and the Hunger Awareness Day, and the positive media coverage these
initiatives generated. These are recurring initiatives that speak to the food security issues in each
part of the country (as well as nationally) in human terms as well as data based evidence.
Food Banks Canada Case Teaching Note 6
From the member survey we can see that some were interested in having Food Banks Canada
develop collateral fundraising materials to help them with their local campaigns but they still
seemed to want to maintain control of those campaigns. Members of the national board
questioned how hundreds of local fundraising campaigns could be more efficient and effective
than a well thought-through national campaign. There was no sharing of local donor lists on a
national basis. The development of a strong national brand that could be leveraged by the
affiliated food bank community in the fundraising area still had a long way to go.
An area of disagreement and concern was around the role the provincial bodies should play. In
Nova Scotia, the provincial body was quite successful at managing initiatives on a provincial
basis, nurturing the development of its smaller, local affiliates, raising resources and community
support. As such, some saw it as the model of how best to proceed, arguing that strong provincial
• What conclusions can you draw from the FB Member Survey? Who are the key
stakeholders? What are their positions?
The Food Banks Canada member survey provided a broad response on the attitudes of members
to Food Banks Canada. Strong support existed from members for the national organization, as
well as for the provincial bodies. Food Banks Canada is less popular with food banks from larger
communities (the two strongest provincial bodies also tend to fall into this category), and 19% of
the respondents reported that the national organization had provided little direct value to them.
Likely they perceive Food Banks Canada as competing with them for resources, and/or
attempting to do things that they believe they are better positioned to do, and/or doing things that
they did not want or need.
Food Banks Canada Case Teaching Note 7
is reflected in the fact that one of the provincial bodies chose not to distribute Food Banks
Canada’s member survey to its local affiliates.
• What value does FBC add to the vision of solving hunger in Canada?
Food Banks Canada appears to be doing the coordinating job needed at the national level and has
worked hard to develop its brand as the go-to organization in matter related to hunger relief and
greater food security for the Canadian public. Governmental organizations view Food Banks
Canada as a credible advocacy group and national food companies have dramatically increased
their support. Food donations from national companies are increasing, the national system for
food distribution and sharing among affiliated organizations is operational, and a food handling
safety program has been established, with outreach to local affiliates so that risks in this area can
• What concepts or theories add insight to the case?
Linda Mollenhauer in “A Framework for Success for Nonprofit Federations Revised” outlined the
nature of federated systems and their rules for success. Her definition of federated structures is a
collection of other independent organizations with varying levels of centralized control. This can
be viewed as a continuum ranging from centralized to decentralized structures.
1
“At one end of
the continuum are those federations with close affiliations in which the national organization
exercises some control over its regional, provincial or local affiliates. They may have duel
reporting structures in which local boards report to the national board and local staff report to
their own board. At the other end of the continuum are federations that are characterized by a
loose association of completely autonomous organizations. ….. Single-entity national
organizations are distinct from federations because there is one board of Directors and staff report
to the national CEO/Executive Director”
Food Banks Canada Case Teaching Note 8
2. Live by shared values
3. Forge a common direction based on shared priorities
4. Delineate roles and responsibilities
5. Clarify decision making
6. Build board capacity
If we accept the wisdom in this prescriptive list, it provides guidance for Schmidt in her strategic
revisioning. The list tilts strongly to a cooperative, involving strategy for Food Banks Canada and
its affiliates. Vision and mission must be shared. The rules of the federations must be developed
in common and kept to – regardless of the immediate opportunities! Importantly, Food Banks
Canada and its board must see itself as a federation and not as an independent entity.
Chaitt et al in Governance as Leadership
3
describe three roles of a board: fiduciary, strategic and
generative. Fiduciary roles are those where the board deals with the stewardship of tangible
assets. Strategic roles are those where the boards create strategic partnerships with management
and others. Generative roles are those where the board struggles with the underlying purpose and
Food Banks Canada Case Teaching Note 9
The case appears to present three major options for resource development and allocation for Food
Banks Canada: building the food supply available to local food banks through donation
development; capacity building at the provincial and/or local levels; and advocacy. Each of these
can be argued to help Canadians face up to the food shortages experienced by close to a million
Canadians on a recurring basis. Decisions in these areas will influence the development of the
Food Banks Canada’s brand and what it needs to do to effectively perform in the future.
Developing capacity at the food bank level provides assistance in the medium time frame. Food
Banks Canada could develop more programs like its safe food handling program. Such programs
would assist the local food banks and create a more efficient supply chain. Some difficulty might
exist in finding the resources to operate such programs. Is Food Banks Canada best positioned to
design and deliver programs that fit all of Canada or are these better done through strong
provincial bodies or strong regional affiliated food banks? That is, do programs that work in
urban Vancouver work in rural Quebec? Likely they will not work perfectly! This suggests that
responding to the need for affiliates to develop their capacities will likely need to be addressed
differently, in different parts of the country, depending upon the issue and the capacities available
in that part of the country.
Food Banks Canada Case Teaching Note 10
Each of the above alternatives can be considered and assessed as to their pros and cons. Good
arguments for and against can be made and likely will be made. But we argue that alternatives at
this level of consideration need reframing by the board. Students need to understand that what
matters most is that the federated structure is nurtured and that the critical issues around the
degree of centralization / decentralization are addressed in a consensual manner. This will allow
Food Banks Canada and its affiliated members (via the Member Council) to work towards the
shared commitments that they agree to undertake. The key questions are more likely: to what
degree are independent local organizations or provinces the more effective way to accomplish the
mission, or are we better to approach issues with a cooperative / consultative mode.
What Schmidt should not do is get into confrontation with other stakeholders over resources and
power. Defining issues in win-lose terms will not be the most effective way of handling the food
poverty issue nationally. Even though local food banks and Food Banks Canada are different
organizations, both must feel they can influence both the national agenda and effectively respond
to local needs. And she must work with her board and the Member Council to ensure that they
comprehend the sophisticated subtle approach that this often takes. Ideology must take second
place behind effectiveness.
At the end of this discussion, challenge the students to develop a specific action plan for Schmidt,
in order to bring these recommendations to fruition. This should include a clear vision for the
initiatives, planning around stakeholder engagement in the process, and identification of the steps
in the action plan that they would pursue if they were Schmidt (including key milestones and
metrics).
Teaching Plan / Teaching Suggestions
We think a traditional case discussion format is appropriate. Below is a suggested for mat for an
80 minute class.
Time allocation
(cumulative time) Topic or Focus Intent or Outcome Desired
Pre – assignment Prepare the case. What are the
critical issues? What should Ensure students have some
background on federated
Food Banks Canada Case Teaching Note 11
Schmidt do?
Read: Mollenhauer, Linda. A
Framework for Success for
Nonprofit Federations
Revised, (2009), Mollenhauer
Consulting.
structures and are prepared to
discuss the case.
Reading Assignment
Epilogue
At a retreat, Schmidt worked with her board to develop a revised strategy. Key to this was a joint
conference sponsored by Food Banks Canada for all affiliate members. At this conference in
spring 2013, a new vision and mission were jointly developed and adopted. (Soon this will be
unveiled.) Key to this progress was the focus on the data from the member survey and the
involvement of associates and giving them real influence in the process.
Bibliography
Chaitt, Richard P, William Ryan and Barbara Taylor. (2005) Governance as Leadership. John
Wiley & Sons, Hoboken, N.J.
Food Banks Canada Case Teaching Note 12