“Definiteness of purpose and the plan to achieve it is the beginning of all achievement.”
- Napoleon Hill (Author - Think and Grow Rich)

Most leaders recognize that a well thought out strategy is critical for all organizations, but especially for non-profit organizations. However, a recent study showed that only 48% of non-profit leaders agreed or strongly agreed that their organization has a strategic plan in place that guided priorities and actions.  The same study showed that only 39% of board leaders believed that their organizations operated with a strategic plan that is high-quality. 

The study demonstrates that too often, non-profits operate without a clear strategy or plan, and as a result, they are not as effective as they could be.

Strategic planning is a tool that can be used by organizations to:

• Set priorities,
• Focus energy and resources,
• Strengthen operations,
• Ensure that the professional staff and other stakeholders are working together towards common goals,
• Establish agreement around intended outcomes,
• Assess and adjust the organization as needed.

In other words, strategic planning is the way for non-profit leaders to create a roadmap for the future of the organization they have been called upon to lead. 

Why is Strategic Planning Important?

First and foremost, without a plan, it can be difficult to make reasoned decisions about where to allocate the organization’s limited resources. Secondly, strategic planning helps engage key stakeholders, management, staff, and volunteers in the work of the organization by providing a forum for open dialogue about program and services offered, how well those programs and services are meeting the needs of the targeted community, and where improvements can be made.  Finally, strategic planning can help non-profit organizations tell their story in a more compelling way to funders and other key stakeholders.   

Bottom line - A good strategic plan will help a non-profit organization to focus its energies and resources on mission or the most important issues it must address. It will also provide a roadmap for how to best achieve its goals.

4 Steps to Creating a Strategic Plan

The process of creating a strategic plan can be divided into four main steps:

1. Conducting a situational analysis
2. Defining the organization's mission and goals
3. Developing strategies
4. Implementation and evaluation

Let's take a closer look at each of these steps.

Step 1. Conduct a Situational Analysis

The first step in the strategic planning process is to conduct a situational analysis. This involves taking stock of the organization's internal strengths and weaknesses, as well as external opportunities and threats.  Most often referred to as completing a S.W.O.T. analysis, the data from the situational analysis should be used to inform the development of strategies in step three.

In my role of providing coaching support to non-profit boards, I recommend boards engage employees, volunteers, and representatives from the client, stakeholder, funder, and donor communities into this part of the planning process.  There is no better way to determine future direction than to engage those served by the organization. 

Step 2. Defining the Organization's Mission and Goals

Considering the inputs and findings gained through situational analysis, the second step in any strategic planning process is to define the organization's mission and goals. The mission statement should be short, clear, and concise, and it should articulate the purpose of the organization. Remember, without clarity of purpose, the organization will have difficulty achieving the level of impact it could or should.

The goals should be specific, measurable, achievable, relevant, and time-bound (SMART). Once the mission and goals have been defined, they should be used to guide all go-forward decision-making within the organization. 

Step 3. Developing Strategies

After the mission and related strategic goals have been defined and the current situation analyzed, it is time to develop strategies for achieving the goals.

There are many different types of strategies that an organization can use, but some common ones include public relations campaigns, fundraising initiatives, marketing campaigns, outreach programs, or educational programs. The best strategies will make use of the organization's strengths while also addressing its weaknesses and taking advantage of external opportunities. 

Step 4. Implementation and Evaluation

Since boards govern, and management operates the organization, it is appropriate for the board to assign the responsibility for the development of the action plan to management.  There are plenty of advantages to this approach. 

Once the strategies have been developed and action plan defined, it is time for management and the operational team to implement them. This step requires careful planning to ensure that all activities are executed efficiently and effectively. Furthermore, it is important for the board to build in mechanisms for monitoring progress and assessing results so that the effectiveness of the strategies can be continually evaluated. Based on this evaluation, adjustments can then be made to ensure that the board defined direction and outcomes are met.

Summary:

Creating a strategic plan may seem like a daunting task, but it is essential for any non-profit organization that wants to be effective in achieving its goals. By following the four steps outlined above— conducting a situational analysis, defining the mission and goals, developing strategies, and plan implementation and evaluation—any non-profit can create a roadmap for success.

From prior experiences in strategic planning, what other steps or planning aspects have you found to be valuable to your organization.  I look forward to receiving them by email at [email protected].

Thank you for taking the time to read this blog post. I hope that it has been helpful. Please feel free to share it with your network. And, if you have any questions, please don't hesitate to contact me. I'm always happy to assist.

Your Friend,
Jon Close, UpCloseTeam