Youth Career Initiative

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1 Youth Career Initiative Strategy & Growth Plan Youth Career Initiative is a programme of the International Tourism Partnership, which is part of Business in the Community DECEMBER 2014

2 Strategy & Growth Plan Executive Summary 2 Introduction YCI Vision and Mission 4 The YCI Partnership Model 4 Governance 5 The Value Proposition For Hotels 6 For Non-Profit Organisations 7 YCI Five-Year Growth Plan 8 Partnership Development Hotels and Non-Profit Organisations 9 Operations and Staffing 10 Marketing, Communications and Reporting 11 Funding 12 Funding Sources 12 YCI Operating Budget 13 Financial Forecast 13 Growth Forecasts Growth Forecast Economies of Scale 14 Contingencies 14 YCI Strategy and Growth Plan

3 Executive Summary Background The Youth Career Initiative (YCI) teaches life and work skills to at-risk young people using hotels as its learning platform. The programme boasts a twenty-year track record of success, and currently offers opportunities for approximately 350 young people to learn employment skills annually in 14 countries across fi ve continents. By building skills and providing opportunities for legitimate employment, YCI enables vulnerable young people to break the cycle of poverty. This includes tackling human traffi cking by enabling rehabilitated traffi cking survivors to take part in the programme. Through YCI, the hotel industry is making a positive impact on unemployment by helping some of the world s most disadvantaged young people become employable. YCI is a fl agship programme of the International Tourism Partnership (ITP) and Business in the Community (BITC). Achievements The world s largest hotel companies, through their affi liation with ITP, participate in YCI as a response to the world s growing youth unemployment crisis, to engage with local communities and to help develop their own staffi ng needs. Through the dedication, passion and commitment of a very small team, YCI has achieved positive results for young people, hotels and partner organisations. YCI has received fi nancial backing from many of the major hotel companies, hotel industry investment conferences, private foundations, as well as the U.S. State Department s Offi ce to Monitor and Combat Traffi cking in Persons. Over the years, YCI has expanded its programme at a slow but steady pace. It has followed a strategy of growing primarily by expanding in existing markets, Youth Career Initiative does more than simply create entry level opportunities; we transform lives for some of the most marginalised and vulnerable in society, and in so doing create a strong pipeline of new talent to power future growth within the hotel industry. Stephen Farrant Director, International Tourism Partnership maximising ITP member participation in each location and enlarging the class size of students undergoing training at each hotel. New market development, which typically has a long lead time and a higher resource requirement, has been secondary and opportunistic, led primarily by direction from funders or ITP members. Despite this, interest in the programme, coupled with strong programme management, has resulted in the number of hotels and students doubling between 2011 and However, during this same timeframe, programme costs and staff size have tripled, hence the need for a growth model that drives greater economies of scale. YCI Strategy and Growth Plan

4 EXECUTIVE SUMMARY / continued We will grow YCI exponentially with an annual target of 2,500 graduates and more than 400 hotels by 2019 and aspire to be the hotel industry s youth employment programme of choice. Opportunity This Framework for the Future outlines a five-year growth plan for YCI that relies on a new, more flexible growth strategy requiring changes within YCI s partnership model in four areas: partnership development, operations and staffing, marketing, communications and reporting, and funding. The plan also outlines changes to current income streams and projected funding levels that will support the new operations model. As a result, YCI will grow exponentially, with an annual target of 2,500 graduates and more than 400 hotels by In addition, we aspire for YCI to be the youth employment programme of choice by the hotel industry as a means for breaking the cycle of poverty and preventing different forms of exploitation including human trafficking and social exclusion. The growth projections contained within this plan are based on a series of assumptions reflecting the extensive input ITP has had from the hotel industry, including YCI Strategy Working Group advisors at an executive level from seven hotel companies. We have confidence that the strategy, targets and projections outlined in this document are achievable. Regular reports will be provided to the ITP Executive Committee, ITP Governing Council, YCI Strategy Working Group and funding partners, which will reflect the actual commitments made on the part of hotel companies and non-profit organisations. YCI Strategy and Growth Plan

5 Introduction YCI Vision and Mission Our Vision: To become the hotel industry s global solution to youth unemployment. Our Mission: To transform the lives of vulnerable, at-risk young people by improving their opportunities for employment. Our Objectives: To teach work and life skills through classroom and practical training that increase YCI students opportunities for legitimate employment. To provide YCI students with exposure to a variety of work experiences enabling them to make informed career choices. To build a pipeline of work-ready talent for the hotel industry and other sectors. YCI Partnership Model YCI is based on a unique partnership model, where participating fullservice hotels provide the human, operational and training resources to deliver the programme, and a local non-profit partner identifies and recruits eligible candidates who can benefit from the programme. Global Team Students Working in partnership with YCI, the hotel and local non-profi t partner adapt the model to be reflective of local needs. The programme receives support from other organisations that include business, non-profi t organisations and public agencies. Hotels Non-Profi t Organisation YCI Strategy and Growth Plan

6 INTRODUCTION / continued The YCI global team provides programme oversight and operational management including coaching hotel and non-profit partners, providing resources and tools, sharing good practice and monitoring and ensuring the quality and reputation of the programme. The YCI Global Team includes a core team based in London as well as regional representatives for the Americas, Middle East and Africa, and Asia-Pacific. The programme is designed to be delivered as part of the regular, day-to-day operations of a full-service hotel, by utilising existing training the hotels already offer to their staff. Each programme provides more than 750 hours of training through a combination of classroombased and practical instruction, with most of the teaching coming from senior managers and other highly experienced hotel staff. Governance The Youth Career Initiative is a programme of the International Tourism Partnership (ITP) a campaign of Business in the Community (BITC). BITC is both a UK registered charity and a UK company limited by guarantee. The ITP Governing Council is comprised of ITP member company representatives at CEO or C-suite level. In an advisory capacity, the council meets once a year and provides strategic and operational guidance to the ITP management and staff to further the mission of ITP, with members acting as ITP ambassadors with key stakeholder groups. The ITP Executive Committee is comprised of ITP member company representatives typically having oversight for social responsibility or sustainability within their companies. The committee meets twice a year for collaborative and action-orientated debate and discussion. It is the Executive Committee, including a YCI Strategy Working Group, that guides the activities and programmes of ITP. YCI Strategy and Growth Plan

7 The Value Proposition For Hotels The Youth Career Initiative harnesses the potential of the hotel industry, using the skills, knowledge and experience of its managers to transform the lives of vulnerable young people from the local communities. The hotel industry is well positioned to offer meaningful employment opportunities to young people completing YCI. Where hotels fi nd recruiting local talent challenging, YCI helps young people in that local community build skills that help hotels meet recruitment needs. Not only does YCI represent a practical and tangible community investment on the part of the participating hotels, but it also makes good business sense. YCI provides the brand, tools and resources, brokering capabilities and information on good practice that enable a hotel to become part of a growing global community that is creating positive change around the world. The added value that YCI brings to hotel partners includes: Maximisation of the visibility and reach of the YCI and hotel partner brands by communication of key messages, programme results and social impact through web-based and social media, as well as hotel industry, non-profit organisation and government channels. Affiliation with a youth employment brand recognised within the hotel industry. A programme that facilitates engagement with the local community. Opportunities for employee volunteerism and engagement which can have a positive impact on staff motivation, commitment and retention. Delivery mechanism to meet company s commitments to youth employment and poverty alleviation. A platform for hotel industry partners to communicate social responsibility and youth employment results. Opportunity to be part of an industry solution to youth unemployment through collaboration with other hotels and hotel companies. Documented social impact results and sharing of good practices across partner networks. A training delivery partner with an 85% positive outcome track record. A pipeline of trained, local talent. We recognise the value and the huge potential of schemes such as the YCI in helping to leverage the industry s capacity to foster local pools of talent among disadvantaged communities. Ian Carter President, Global Development, Architecture and Construction HILTON WORLDWIDE YCI Strategy and Growth Plan

8 THE VALUE PROPOSITION / continued For Non-Profit Organisations YCI is a valuable partner to organisations with a mission to improve the lives of vulnerable young people. Through YCI these organisations gain access to potential employers in the hotel industry, which supports one in 11 jobs worldwide. 1 YCI oversees cross-sector partnerships between hotels and non-profit organisations, serving as a partnership broker and providing reporting and communications support. Non-profit organisations are eligible for small start-up grants through YCI if needed, however, over time are expected to meet their own costs around participation in the programme. The added value that YCI brings to non-profit partners includes: Maximisation of visibility and reach of the YCI and non-profit partner brands by communication of key messages, programme results and social impact through web-based and social media, as well as hotel industry, non-profit organisation and government channels. Affiliation with a youth employment brand recognised within the hotel industry and non-profit community. Access to hotel industry training, which takes place within the hotels and is taught by hotel managers. Courses include hospitality skills, English, health and safety, career development and more. Access to jobs in the hotel industry, which supports one in 11 jobs worldwide. A proven approach to achieving strong employability outcomes. A platform for non-profit partners to communicate youth employment results. Creating capacity at the local level to ensure sustainability of the programme including the possibility of start-up grants. Documented social impact results and sharing of good practices across partner networks. A training delivery partner with an 85% positive outcome track record. YCI is truly a personal development and employability opportunity. It also gives an important sense of achievement to the youth, which motivates and encourages them to continue on to greater goals. Carlos Sibaja National Director SOS CHILDREN S VILLAGES, COSTA RICA 1 World Travel & Tourism Council, Travel and Tourism Economic Impact 2014 report YCI Strategy and Growth Plan

9 YCI Five-Year Growth Plan In 2013, the Youth Career Initiative provided a transformational, lifechanging training opportunity to approximately 350 young people. With increasing youth unemployment and the desire of the hotel sector for faster growth and quicker implementation, now is the most opportune time to scale-up YCI. YCI s Framework for the Future is based on changes to be made within the partnership model in four areas: 1 Partnership Development 2 Operations and Staffing 3 Marketing, Communications and Reporting 4 Funding Barbara Szabó YCI GRADUATE, HUNGARY, 2014 Feda a Tarsha YCI GRADUATE, JORDAN, 2012 Adrian Leon YCI GRADUATE, COSTA RICA, 2008 I learned lots of new things and I gained a tremendous amount of positive experience. Without this programme, it is easy to imagine that I would still be unemployed. Without experience, there is hardly any chance to fi nd a job. Before the programme I would never have had the confi dence to stand up and present in front of a room of people. I truly believe that the hotel business offers great opportunities to women in Jordan in a safe working environment. This programme will guide me in deciding what I really want to do. The training and support they have given me are helping me discover my real strengths and weaknesses. See more YCI Graduate testimonials and success stories at youthcareerinitiative.org YCI Strategy and Growth Plan

10 YCI FIVE-YEAR GROWTH PLAN / continued Partnership Development Hotels and Non-Profit Organisations Through the piloting of a new operating model, it has been identified that barriers to growth and speed of implementation exist at both the hotel and non-profit partnership level. In the past, it has taken from one to three years to fully implement a new programme due to obstacles occurring primarily at hotel buy-in and non-profit partnership identification, buy-in and set-up stages. The role of hotel partner companies and non-profit partner organisations will be to commit to locations and timeframes for implementation and to inform and educate their own staff on the programme details. In order to overcome these obstacles, a regional approach will be taken with hotel and non-profit partners. Instead of approaching each new market separately, YCI will: Establish relationships with ITP member hotel companies that have a desire and capacity for regional implementation over the next five years which will serve as the primary means for growth. Similarly, YCI will also establish relationships with select non-profit organisations who focus on serving at-risk young people, have a network of local offices and have the desire and capacity for regional implementation over the next five years. All participating hotels are expected and required (via a partnership agreement) to engage with other hotel companies in the same location so as to encourage wider participation in and growth of the programme locally. YCI toolkits will be made available to the partner hotel and non-profit organisations so that materials can be adapted and plans put in place well in advance of local programme implementation. YCI Strategy and Growth Plan

11 YCI FIVE-YEAR GROWTH PLAN / continued Operations and Staffing Several ideas for scaling the YCI programme have been considered, evaluated and tested over the past several years. The concept of a franchised approach (as an alternative to the current managed approach) was piloted in three markets with the close monitoring of the YCI Strategy Working Group. Results indicate that the pilot locations were implemented with reduced involvement from the global team including travel, and by utilising the YCI in a Box toolkit, the hotels and non-profit organisations were able to operate more independently. However, long lead times still exist between corporate level commitment and local implementation. The addition of three regional coordinators, put in place over the past three years is helping to alleviate staff pressures at the global team level. However, challenges continue to remain around hotel buy-in, identification and engagement of suitable non-profit partners, and the integration of YCI into the partners operations. One method of overcoming these obstacles will be to increase staffing over time in order to separate and define distinct roles that in the past were handled primarily by the YCI head of programme, and another will be to up-skill existing staff. The most immediate need was to establish a partnerships and operations manager at the global level to establish implementation timelines with hotel and non-profit partners. This position was filled in October Staffing Projections for YCI Global Team by 2019 ITP Communications Manager (shared with ITP) Communications & Reporting Coordinator ITP Director YCI Head of Programme Funding Alliances Manager (part time) Team Coordinator (shared with ITP) Partnerships & Operations Manager Regional Coordinator: Asia-Pacific Regional Coordinator: Americas Regional Coordinator: Middle East & Africa Regional Coordinator: TBD Regional Coordinator: TBD YCI Organisation: Existing positions Projected new or restructured positions YCI Strategy and Growth Plan

12 YCI FIVE-YEAR GROWTH PLAN / continued Marketing, Communications and Reporting Scaling-up YCI will require reaching out to an increasing number of potential hotel and non-profit partners as well as potential funders with a strategic alignment to youth employment. Key messages that convey YCI s strong history and results have been developed so that marketing to stakeholders is consistent across all channels and focused on the programme s life-changing impact on young people, societal impact on youth employment and benefits to partners. Communication plans will be developed with a focus on raising YCI s profile within the hotel industry and non-profit community and to position YCI as the hotel industry s youth employment programme of choice. The plans will include securing speaking engagements at key industry events and connecting to the communication channels of hotel and non-profit partners. Communications will be strengthened by including metrics and reporting on key performance indicators. A new customer relationship management (CRM) reporting system is being implemented in 2015 to track and report on programme outcomes. YCI Strategy and Growth Plan

13 YCI FIVE-YEAR GROWTH PLAN / continued Funding In most recent years, YCI has been funded by two primary income streams. Approximately half of the programme s funding has been provided through two multi-year grants/donations and a further 37 percent from opportunistic and one-off grants. Funding Sources SOURCE BASELINE PROJECTED Growth of the programme over the past several years has in large part been due to increased and more diverse funding. To ensure a more sustainable and secure funding base, YCI will continue to move toward a broader base of multi-year strategic funding alliances. STRATEGIC MULTI-YEAR FUNDERS OPPORTUNISTIC AND ONE-OFF GRANTS ITP MEMBERSHIP 49 % 150, % 115, % 35, % 350,000 HOTEL INDUSTRY- BASED 3 % 18 % DONATIONS 9, , % 87,000 7 % 40,000 The key to achieving this will be to secure multiple strategic partners that see YCI as a delivery mechanism TOTAL ~ 309,000 ~ 583,000 for their own commitments to youth employment, poverty alleviation, reintegration of trafficking survivors or to supporting other vulnerable youth. In addition, this plan includes capitalising on existing funding streams within the ITP hotel membership (e.g. loyalty points, guest donation and payroll/workforce giving programmes). Programmes that include trafficking survivors will require additional funding due to added programme complexities and survivor needs. The financial forecast set forth in this document does not include this additional funding. Designated funding will be sought as and when trafficking survivors are integrated into the programme in select locations. YCI, as a programme of ITP, is covered by ITP s five percent annual contribution to a reserve fund required by its parent organisation BITC, which serves as financial protection in cases of budget shortfall. Therefore YCI does not budget for its own reserve fund. YCI Strategy and Growth Plan

14 YCI FIVE-YEAR GROWTH PLAN / continued YCI Operating Budget Financial year: 1 July June 2015 INCOME AMOUNT ( ) Carry-over 2013/14 5,731 Programme funding private 283,426 US State funding 75,000 ITP Membership contribution 32,000 General restricted fund opening 10,000 Other (to be sourced) 27,335 EXPENDITURE AMOUNT ( ) Staffing & resourcing 251,230 All staff and other training recharges 1,200 Travel (all staff & contractors) 53,400 Communication costs 1,700 Grants for non-profit partners 56,000 Database software costs 4,000 Research & development 7,400 Marketing & printing costs 10,000 Website & online publication costs 2,000 Support function 31,437 Accommodation costs 13,275 Other business costs 1,850 Total Income GBP 433,492 Total Expenditure GBP 433,492 Financial Forecast BASELINE INCOME 309, , , , , ,727 EXPENDITURE 302, , , , , ,727 BALANCE* 5, * See Funding section on page 12 regarding reserve balances YCI Strategy and Growth Plan

15 Growth Forecasts Growth Forecast Based on commitments vs. programme start dates BASELINE in existing markets HOTELS in new markets Total STUDENTS (assume 8 per hotel) ,208 1,872 2,536 3,336 GRADUATES (assume 6 per hotel) ,404 1,902 2,502 Economies of Scale BASELINE YCI s cost per student 1, YCI s cost per hotel 3,986 4,379 3,023 2,170 1,782 1,397 1,200 5,000 3, ,750 2, ,500 1,500 / 300 1, YCI s cost per student ( ) 0 YCI s cost per hotel ( ) 0 # graduates / Contingencies The growth projections outlined above are based on a series of assumptions refl ecting the extensive input ITP has had from the hotel industry, including YCI Strategy Working Group advisors at an executive level from seven hotel companies. We have confi dence that the strategy, targets and projections outlined in this document are achievable. Growth targets and key performance indicators will be reported on to the ITP Executive Committee, ITP Governing Council, YCI Strategy Working Group and funding partners regularly, and adjusted, if necessary, to refl ect actual commitments made by hotel and non-profit partners. YCI Strategy and Growth Plan

16 Charitable Status The Youth Career Initiative, developed and run by the International Tourism Partnership is part of Business in the Community (BITC), a U.K. registered charity number Charitable donations designated for the Youth Career Initiative are made through BITC. U.S. donations for the Youth Career Initiative may also be received through The Althea Foundation, a social venture fund established in 2003, committed to the educational development of youth worldwide. The Althea Foundation is a 501c3 organisation. Contact Us We would be pleased to prepare a proposal or grant application tailored to your partnership requirements. Please contact us at: Youth Career Initiative c/o Business in the Community 137 Shepherdess Walk London N1 7RQ United Kingdom +44 (0) yci.strategicalliances@bitc.org.uk youthcareerinitiative.org Youth Career Initiative is a programme of the International Tourism Partnership, which is part of Business YCI Strategy in the Community and Growth Plan

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