AIESEC - Business Management (Management Functions)

Abstract: This paper provides a detailed overview of the activities of a non-profit seeking Romanian organization – AIESEC – run exclusively by students. From its foundation, up till present it has been investing in student’s talent, developing their leadership skills and providing impact on the society. As Management is about resources, goals, achievements and managing them effectively and efficiently, the report describes the organization from this perspective. It starts with its Business description, analyzing its internal structure and ongoing projects; followed by the Market Analysis, encompassing the NGOs industry, competitors, the target audiences, as well as its partners; and including, finally, an analysis of the Management Functions applied in the association.

Keywords: Internationalism, Internship, Impact, Leadership, Students.

INTRODUCTION

AIESEC is a youth-run organization, the largest international organization in Romania. It is the international platform for young people to discover and develop their potential, to have a positive impact in society, by promoting leadership opportunities and internationalism.

Its name is an acronym for “Association Internationale des Étudiants en Sciences Économiques et Commerciales” (International Association of Students in Economics and Business Management), this was the parent name of the association, but is no longer a defining status of the present activity and of its members, since anyone from any university can join AIESEC. The abbreviation is kept to honor the founding fathers of the association.

It is present in over 1700 universities from more than 107 countries and territories, offering for more than 62 years of experience, the possibility to develop both personally and professionally, and developing high-potential students with globally oriented vision and responsible leaders.

There are 15 locals in Romania: Bucharest, Iasi, Cluj-Napoca, Targu-Mures, Brasov, Timisoara, Pitesti, Ploiesti, Galati, Craiova, Constanta, Sibiu, Oradea, Arad, Suceava.

AIESEC Bucharest was the first active NGO in Romania, starting from March 1990, founded with the help of AIESEC Wien. Since then it constantly helped students and communities fill in the gap generated by the discrepancy between formal education and the desired ambitious one.

The aim of its activities has been unchanged in the last 20 years: empowering youth and developing their change agents potential, but it adapted its approach to the changes in the market.

Fig.1.AIESEC logo

1. BUSINESS DESCRIPTION

1.1 Shareholder’s Structure.

AIESEC is not an organization that exists to generate profit for shareholders. The bottom-line for AIESEC is not money, but people that are developing themselves as leaders. It is important, of course, to have enough resources and be sustainable to ensure it has the desired impact in society and invest in further improvements for the organization. However, it is guided by the ways to generate more impact and have maximum financial sustainability, rather than to simply generate more money.

The main shareholders for AIESEC are the students and its members who benefit directly from its activities and its projects, and all those who feel the impact AIESEC wants to transmit. They do not receive any money for this services provided, but knowledge and most of all experience.

Nevertheless, the organization generates money, from its partners, from its project, the fees collected from students in order to participate in the projects, but there are no persons in its structure who profit by this money. They are used in the efficient organization of the projects, or reinvested in the next projects, they are used to finance its trainings and the conferences organized for its members, they are covering the administrative and operating costs of the association. For the money management is responsible the Finance Department, which is described later on in the Management Team Chapter.

1.2 Current Business

AIESEC uses an innovative approach to engage and develop today’s youth, consisting of leadership experience, international opportunities and a global learning environment.

AIESEC’s Vision - Peace and fulfillment of humankind’s potential.

AIESEC’s Scope - it is a global, non-political, independent, not-for-profit organization run by students and recent graduates of institutions of higher education. Its members are interested in world issues, leadership and management. AIESEC does not discriminate on the basis of race, color, gender, sexual orientation, creed, religion, national, ethnic or social origin.

AIESEC’s Approach - its members live an integrated development experience. This involves leadership opportunities, international internships and interacting with a global network to support their development.

It organizes every year recruitment activities, the potential members having a detailed selection process. Those who are accepted in the organization will benefit from different trainings, thereafter being allocated in the desired and most suitable departments and, finally will start their activities.

There are 7 main departments, everyone has his responsibilities, someone handles the finance, someone else the external relations, advertising, human resources, development of the international programs, bringing foreign volunteers in our countries, providing them unforgettable experiences, etc ( all the activities are described in the following chapter, Chapter 1.3). Summing up all the individual work of each member, the result represents an efficient development of its daily activities, and the development of its basic projects.

It constantly provides trainings for its members and organizes Conferences, in order to improve its management.

Fig.2. Programs of AIESEC