Development, Strategy

A Time of Opportunity...and Peril

by Barry McLeish

This is a time of clear opportunity – as well as peril – for nonprofit organizations.

Unless your agency is grounded in a solid identity as a result of a plan that is operating and has along with it a strategic stance that allows you the luxury of clear decision making, your institution - like many others - will get lost in a competing milieu of “look-the-same” nonprofit organizations. This is the peril.

However, the opportunity is that by developing a strong strategic stance, you set yourself away from the pack of institutions that do not have an operating strategy.

Four dimensions should define your strategy, so view this as a sort of test within which you can judge the veracity of your own organization:

  1. First, you have to know where you are going to compete and which parts of your cause are going to receive the lion’s share of the dollars you are going to invest. This is a decision not only to choose what you are going to invest in, but also a choice of what you are not going to invest in. Both decisions matter greatly. All directors want instinctively to do more causally than they are able. As part of this decision you also want to think about what your work will look like in a couple of years. How will you invest in your work to grow it? Or do you expect everything in your agency eco-system to stay the same over time? Be careful if this is your attitude - today virtually nothing is staying the same. If you’re not interested in growth, are you going to stay the same? This too, is a decision. Or are you looking to get out of this part of your causal work in the future? You need to decide – your future depends on it.

  2. With what you are doing causally, which parts of it have the most appeal to your key stakeholders? Not every donor for example, loves your organization equally. Everyone picks and chooses. You should know not only the most popular parts of your work (if may have little correlation with what is the most important part of your work) but you should know why people support this part of your causal mix. Is it a good value? Is the work done excellently? Do you do extensive work in a way competitors don’t? Are you innovative? Is your cause prestigious? Whatever the reason you want to know why individuals support you.

  3. Have a clear understanding of what your organization can and cannot do. Though you may feel this unfair, most institutions only do a few parts of their work really well. They may do a lot of work, but only a few things that they do really capture the imagination of their supportive constituency. Have a firm grasp on those endeavors your agency is engaged in but does so in a marginal – or less than stellar - way. Know what you do well strategically and know what resources you have that allow you to perform at a high level. Strategic competencies underlie every good strategy.

  4. All of the above allow you to develop those strategic programs that build on your strengths and have what the stakeholder wants in mind. Perhaps your strengths are such that you can build your brand. Or, maybe they allow you to develop a very strong donor relationship program. Your agency may be at a place where you can radically change the strength of your programs and upgrade them substantially.

Use your strategy to deliver value to your stakeholders. Good luck in the days ahead.

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