Nonprofits & Strategy: Uncommon Bedfellows

All nonprofit organizations have different levels of strategic thinking in place. I’ve worked with organizations that seem to exist in a constant state of chaos and crisis management. Others are attempting to make plans, or do make plans, but then they sit on the shelf gathering dust. Finally, I’ve been in a few places that have dug in and created strategic goals that could be operationalized to guide efforts across departments and all levels of the organization. So, why do there seem to be more organizations operating close to the chaos side of the strategic spectrum and how can individuals help organizations to become more strategic?

Strategic thinking is most often demonstrated in the production of a strategic plan, a process in which leaders define their vision for the future and clarify goals and objectives. Currently, best practices suggest that leaders need to consult with community stakeholders to help determine organizational priorities. In addition, rather than taking a top-down approach, staff at all levels must be involved in the process. Mapped out over three to ten years, the plan includes the sequence of objectives that lead to the accomplishment of the goal and often crucial performance indicators to assess progress. In addition, resource needs are scoped and accounted for. Bridgespan has an excellent overview of what could look like.

Where to start with strategy and why?

While there are many processes and no one-size fits all approach, a common starting place is understanding the organization’s intended impact and theory of change. Determining the results that the organization is trying to accomplish within a specific timeframe and then identifying how this will be achieved can be a powerful exercise, revealing underlying expectations and assumptions about people, programs, and outcomes.

Having clear strategic priorities impacts staff work plans and staff morale. When staff is included in the process they feel a connection to the vision of the organization. They can develop work plans that support the goals and objectives as they relate to their departments and cross-departmental projects.

Roadblocks to Strategy

In some organizations, there is a fear that if they commit to a specific strategic direction, they will have to turn down opportunities (and perhaps funding) that aren’t aligned with their goals. This can be a hard road to walk. However, when leadership allows outside influences to redirect programs away from strategic goals the organization suffers in both staff commitment and programmatic outcomes. For organizations where scope creep has become normalized, it can be difficult to reign in the practice of constant adaption. In these cases introducing discovery-driven planning could be an effective tool to mitigate the possibility of an ever-expanding list of priorities.

Discovery-driven planning is a practical tool that acknowledges the difference between planning for a new venture and planning for a more conventional line of business. Conventional planning operates on the premise that managers can extrapolate future results from a well-understood and predictable platform of past experience. One expects predictions to be accurate because they are based on solid knowledge rather than on assumptions. Discovery-driven planning recognizes that planning for a new venture involves envisioning the unknown.- Harvard Business Review

Another roadblock to strategic thinking is the constant pressure related to program delivery and fundraising. For many leaders, there is a sense that they are constantly fighting fires and do not have the time to dedicate to planning. Utilizing outside consultants can be very effective in providing the dedicated resources to devote to crafting strategy. They can be guides to leaders and ensure that sufficient time is dedicated to moving through the process efficiently. Operating in a state of continual crisis is wearing on staff, donors, and volunteers and provides little opportunity to craft meaningful goals that unite, motivate, and effect change.

Three Ways You Can Be More Strategic

While you might not be able to change the entire organization's status from reactive to proactive, here are some ways to encourage strategic thinking from any position.

Develop your own reflective process

While it might be tempting to dive into planning as part of being more strategic, it is advisable to begin by assessing where you are currently and reporting your findings. Take a look at the last month to 90 days of your work and determine what have been the biggest successes and challenges and where you have been stuck and why. Gather data both quantitative and qualitative if possible to provide support for your reflections. You could choose to share this with colleagues and a supervisor as an opportunity to determine learning and development opportunities.

Initiate conversations about the intended impact

What unites all employees in a nonprofit is a shared sense of mission and vision related to the change that their organization is making. Often nonprofit organization leadership relies on those two statements to be sufficient to provide guidance for programmatic goals and objectives. However, by bringing attention to the intended impact there can be a greater clarity for all staff to see how their work fits into a larger picture in practical terms. Inquire if your organization has an intended impact goal or statement with your manager and how your work plan fits within it.

Intended impact defines the results your organization will hold itself accountable for achieving within a reasonable timeframe (e.g., 5–10 years). It specifies WHO your population of focus is, WHERE your organization will do its work, and WHAT specific outcomes you want to achieve.

Make meetings more effective

Sometimes strategy needs to start small and meetings are great opportunities to practice strategic thinking. Before a meeting consider what the meeting organizer seeks to accomplish and how is that being relayed to attendees. If you are unclear, ask for clarification. What will make you feel prepared and able to contribute to the conversations? Consider requesting the agenda beforehand and be prepared to bring your expertise to the table before, during, or after the meeting. If you are the meeting organizer, determine what type of meeting you are leading and be clear with attendees when scheduling the meeting about what goals you want to accomplish.

For many organizations, it is the personal strengths that a leader brings that sets the culture. If strategic thinking is a priority even in chaotic times, there will be a shared sense of direction and people will know how they fit into the larger picture. If reflection, assessment, and planning are not part of the culture, any employee can still bring those skills to their daily work which will have ripple effects in the organization.