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The international development and humanitarian aid sector plays a vital role in the

organisational and social functioning of citizens and entities, not only within Australia, but also in many nation states around the globe.

This sector is dominated by a number of large INGDHOs in Australia, the top ten accounting for almost two-thirds of funding.16 _{Although all focus on alleviating the plight of the poor,}

suffering and in need, Australian Red Cross has a mandated focus on humanitarian aid17 _in

times of conflict and as well as non-conflict situations (natural or man-made disaster relief, health services and social programs), in contrast to the more general focus of other institutions on development alongside humanitarian relief predominantly in non-conflict situations (ARC AR 1984, p.1; 2014, p.12-13).18

This section provides an overview of Australian Red Cross, outlining the organisation’s functioning within the Australian context and its role within the International Movement. This provides a contextual background by which to view the subject case entity of this study, Australian Red Cross.

3.2.1 Australian Red Cross

Australian Red Cross was founded in 1914, nine days after the commencement of WWI, by Lady Helen Munro Ferguson as part of the IRCRC Movement – the world’s largest

international humanitarian organisation, which dates back to 1863. On 13 August 2014, Australian Red Cross marked its 100-year anniversary. It is an organisation that has become entrenched in the Australian political, social and institutional landscape, having experienced both highs and lows, and is currently in a transitional phase as it attempts to reclaim its once dominant role in the now highly competitive international development and humanitarian aid arena (IFRC 2013, p.4). Table 2 provides a summary of the evolution of the organisation, including its name changes and the foundational links held with the British Red Cross Society (B.R.C.S.).

16 _{In the 2013-2014 financial year there were 132 ACFID members and five non-ACFID members included to determine the size of}

the sector. Although ACFID acknowledges that there are many small organisations (raising below $1 million per year) that contribute to the sector (see ACFID 2015, p.19, 31).

17 _{Humanitarian aid is material or logistical assistance typically provided in response to natural and man-made disasters. The}

primary objective being to save lives, alleviate suffering and provide short term emergency relief until long term assistance can be provided by the government and other institutions. It is generally distinguished from international development assistance which seeks to address underlying socio-economic factors (ACFID 2015, pp.28-30; Everett & Friesen 2010, pp.468-69; IFRC 2013, pp.11; OECD-DAC 2016, p.28; UN 2016, p.11).

From the outset, political, social and cultural factors were an intrinsic part of Australian Red Cross’s organisational fabric. State Divisions were formed in each of the six states under the guidance of Divisional Presidents, who were also the wives of State Governors. Politically connected and socially active, Australian Red Cross rapidly grew through an extensive network of rural and metropolitan branches, to the extent where few Australian communities were left out (Oppenheimer 2014).

Following the cessation of hostilities at the end of the WWI phase (1914-1920), Australian Red Cross continued to mobilise volunteers, playing a significant role in Australia’s political and social landscape throughout the Inter-war phase (1921-1939), providing much-needed services to the community beyond the scope of its original mandate.

Table 2 Evolution of the organisation

Year Name

1914 The British Red Cross Society, Australia Branch

1917 Australian Red Cross Society (B.R.C.S.)19

1927 Australian Red Cross Society (B.R.C.S.)20

1939 Australian Red Cross Society21

1941 Australian Red Cross Society (Incorporated by Royal Charter 1941)

1961 Australian Red Cross Society (Incorporated by Royal Charter 1941 and granted Supplemental _{Royal Charter 1961)}

1992 Australian Red Cross22

2010 Australian Red Cross (Revised Royal Charter)

Source: Australian Red Cross annual reports (1915-2014)

Accepted by the community from the outset, due to the politically-connected leadership, galvanizing social impact of war and impressive organisational culture, by the end of the WWII phase (1940-1945), Australian Red Cross had become Australia’s largest charity with nearly half a million members23_{, mostly female, from a population of around seven million (ARC AR}

1915, pp.5-8; 1945, p.38).

In the post-war reconstruction and regeneration phase (1946-1964), Australian Red Cross successfully refocused the organisation on social welfare, national emergencies, natural

19 _{The name of the ‘Australia Branch’ is amended to the ‘Australian Red Cross Society (B.R.C.S)’, being a Branch of the B.R.C.S.} 20 _{Australia is recognised as a national society in its own right by the ICRC in 1927.}

21 _{The Australian Government formally recognised the Australian Red Cross as a national organisation on 5 May 1939.}

22 _{The Australian Red Cross Society shortens its name to Australian Red Cross. However its legal name remains the Australian Red}

Cross Society.

23 _{Membership of the Australian Red Cross is based on a financial subscription, which in the year the organisation was formed}

disasters, the blood bank and first aid programs, although the organisation was still generally viewed as a war-time institution (ARC 1964, p.2). This was despite the organisation providing most the nation’s social services until well into the 1940s, at which stage the government took on more responsibility for constructing the social protection systems constituting the modern welfare state.

The Global focus – Domestic challenges phase (1965-1984) witnessed a significant jump in the number of national Red Cross and Red Crescent organisations. On the back of this, Australian Red Cross continued to enjoy a high profile domestically as it transitioned towards an

international focus. However, an inability to come to terms with the changing environmental context and community needs saw the organisation’s place as Australia’s leading humanitarian organisation gradually come to an end (IFRC 2013, pp.4, 9, 12).

The International development phase (1985-1999) saw Australian Red Cross struggling to deal with the more competitive nature of the international development and humanitarian aid sector, having previously relied on its entrenched political standing and favourable public profile. Those responsible for organisational management were slow to react to these NPM style institutional changes in the INGDHO sector, and Australian society was also impacted by the decision of governments to contract out service delivery in the development assistance arena (IFRC 2013, p.6).

Towards the end of the century a sense of urgency developed around the need to develop ongoing income streams and rationalise the cost of administration. Early in the Sector reforms phase (2000-2014), this led to the National Society aligning under a single organisational strategy. In essence, this involved the state and territory divisions relinquishing their autonomy and independence (IFRC 2013).

The present day Australian Red Cross is a leading humanitarian organisation within Australia that works towards making vulnerable people safer and more resilient through the delivery of services and the promotion of humanitarian laws and values. With an annual turnover of more than $500 million24 _{expended on humanitarian services in 2013-2014, Australian Red Cross is}

one of the most influential INGDHOs within Australia, with 680 branches, 19,910 members, 31,623 volunteers and 2950 staff (ARC AR 2014, p.36-37; IFRC 2013, p.11). Although impressive on many fronts, Australian Red Cross has experienced significant political, social,

24 _{Total revenue for the Australian Red Cross Society in the 2013-2014 financial year was $1.1 billion, of which $555 million was}

expended on the Australian Blood Service, $370 million on domestic humanitarian programs and $43 million on international aid and development programs (ARC FR 2014, p.45).

economic and institutional stresses from the environment in which it functions – the significant decline in membership25 _{from almost half a million members following WWII being reflective}

of its changing circumstances (see appendix 1 for a chronology of some of the most important events in the history of Australian Red Cross).

Australian Red Cross’s overarching mission is to be a leading humanitarian organisation in Australia, improving the lives of vulnerable people through programs delivered and promotion of humanitarian laws and values. Its vision is to improve the lives of vulnerable people in Australia and internationally by mobilising the power of humanity (ARC AR 2014, p.12).

To facilitate this, Australian Red Cross is now focused on seven priority areas:

 Strengthening national emergency preparedness, response and recovery

 Increasing international aid and development (primarily in Asia and the Pacific)  Championing international humanitarian law

 Addressing the impact of migration

 Working with Aboriginal and Torres Strait Islander people

 Overcoming social exclusion by providing bridges back into the community  Working with youth, families and communities in areas of locational disadvantage  The blood service as a separate division, officially constituting an eighth priority area

(IFRC 2013, p.11).

3.2.2 A global presence - the International Red Cross Red Crescent Movement

Australian Red Cross is a member of the world’s largest and most influential humanitarian organisation that has over 97 million members, volunteers and staff operating in over 189 countries (ARC 2014, p.36; IFRC 2013). The three components of the International Movement are the International Committee of the Red Cross (ICRC), 189 National Red Cross Red Crescent Societies, and the International Federation of Red Cross Red Crescent Societies (IFRC).

Initially established by Henry Dunant in response to the battle of Solferino where no medical assistance was provided to thousands of dying and wounded, the ICRC commenced its journey

in 1863 as an impartial and neutral organisation whose exclusively humanitarian mission is to protect the lives and dignity of victims of war and other situations of violence and to provide them with assistance. The ICRC promotes the importance of international humanitarian law (IHL) and draws attention to universal humanitarian principles. As the custodian of the Geneva Conventions, the ICRC has a permanent mandate under international law to visit prisons, organise relief operations, reunite separated families and undertake other humanitarian activities during armed conflicts (ARC AR 2012, p.5). The ICRC was awarded the Nobel Peace Prize in 1917, 1945 and jointly with the IFRC in 1963.

The IFRC is a global humanitarian organisation, which coordinates and directs international assistance following natural and man-made disasters in non-conflict situations. The IFRC provides support and policy guidance to the 189 National Societies that are members of the International Movement and combines its relief operations with development work including disaster preparedness programs, health and care activities and the promotion of humanitarian values (ARC AR 2012, p.5).

The International Movement’s mission is to prevent or reduce suffering, wherever it is found. This mission is enacted by the Fundamental Principles of the IRCRC Movement which guide and inform all aspects of organisational life (see appendix 2 - International Movement’s Fundamental Principles).

These Fundamental Principles, ratified at the at the XXth International Conference, Vienna in 1965, form part of a code of conduct that have enabled the many affiliates of the International Movement to operate in geo-political contexts like few other organisations in history. This places this study into the Australian Red Cross in a unique perspective, the institutional functioning of the International Movement unparalleled in world polity (see Everett & Friesen 2010; ARC AR 1965).

3.2.3 Summary

This section provided an overview of Australian Red Cross, outlining the organisation’s functioning within the Australian context and its role within the International Movement. This provided a contextual background by which to view the subject case entity in line with the seven temporal phases identified.