Strategic Planning for Not-For-Profit Organisations
A strategic vision is essential for any organization operating in the Third sector. Having a worthy aim isn't enough – you have to be able to deliver activity in a business like way if you are going to achieve your goals. At Pro Active Resolutions we can apply our extensive experience of organisations in the not for profit sector to help you create a clear strategic vision which can be used to involve, enthuse and focus others.
There are different approaches to strategic planning, the rational 'top down' approach will be illustrated here. The approach consists of three main phases
The Johnson, Scholes and Whitington model is based on the rational planning approach, recognising that the three strategic phases outlined above are interdependent.
This consists of analysing:
- The environment: PESTLE, its opportunities and threats
- Strategic capability via resource analysis, weaknesses and threats
- Organisational culture
- Stakeholder analysis
This follows on from strategic analysis and is based on:
- Generating strategic options, e.g. growth (organic/merger/acquisition); focus; retrenchment
- Evaluating the options
- Selecting the 'appropriate' strategic path
Strategic implementation consists of three main elements
- Organisational structure
- Required resources for the strategic path
- Managing change
All organisations have to make significant decisions that will impact on their viability, sustainability and growth. The decisions are of such significance and time scale that they affect organisational structures, stakeholder relationships and partnerships, ways of working etc.
These changes may be driven by external factors, such as the economic environment, technological changes, ‘competitive' forces; or by internal factors such as personnel and management changes, deterioration in an organisations financial structure.
The not for profit sector are under increasing pressures to make major decisions. For example, the current financial crisis in the charity sector is leading to a push for mergers. There are many issues relating to mergers in terms of strategic fit, financial due diligence, merging of boards, how to reject advances, and possibly how to identify potential "partners". The new coalition government has also announced it is looking at performance measurement to assess charities, and is reviewing the role for a number of statutory bodies.
Pro Active Resolutions have extensive experience of strategic and business planning and have supported a number of organisations in development and implementation.
If you'd like more information simply call today for a FREE consultation to discuss your organisation's needs on 0116 2247122