Moving Forward with
Strategic Planning
NorthSky Nonprofit Network
© Copyright 2008, NorthSky Nonprofit Network. All rights reserved.
“The future just doesn’t happen. It’s shaped
by decisions.”
Paul Tafliabue, former commissioner
National Football League
Workshop Objectives
• Describe the purpose & benefits of creating a
strategic plan
• Define: strategic plan, business plan, & annual
plan
• Discuss the timing for creating a strategic plan
• Review the planning process
• Discuss how to involve the Board & staff
• Outline how to prepare & get started
• Discuss the use of consultants
• Provide time for questions & discussion
Why create a strategic plan?
Articulates a shared vision for the future and
a blueprint for achieving it.
Defines the internal and external environment
that either advances or hinders the NPO from
achieving its vision
Assesses the value of the NPO to its constituents
Provides time to visualize, ponder, and debate the future
within the context of known realities and facts
Definition: strategic plan
Outlines what the organization should do, why it
should do it, and how it’s planning to do it.
Includes broad strategic goals and strategies, not
specific action steps.
Is developed and used primarily by the
Board of Directors and staff.
Definition: business plan
Business plan: takes a business concept and outlines how
to organize and deliver the service/product in a financial
viable manner; it always includes financial statements.
Often focused on development of a new program or in
generating earned income.
Strategies heavily focus on operations, marketing,
and financial performance.
Definition: annual or
operating plan
Is a conversion of the strategic goals and vision into an
annual action plan.
Outlines the specific action steps, timelines, budget
requirements, person or are by a responsible for
implementation, and evaluation plan.
Generally developed by staff and volunteers; approved by
Board.
Definition:
balanced scorecard
Balanced scorecard: is a one-page snapshot of the
strategic measures for an organization.
Generally includes objective, initiative, measure,
owner, status.
When is it the right time?
Something has changed
- Change in leadership
- Change in funding
- Change in client base
- Change in regulatory requirements
Big questions & issues are facing the organization
Need to affirm your nonprofit is on the right path
Need to ensure that the Board, management, & staff are aligned
Checklist: When is the right time?
_ Is there confusion or conflicting debate about the how
to respond to opportunities or prepare for threats; or
differing views of the direction to lead the NPO ?
_ Is a change in leadership eminent?
_ Are there concerns about the organization’s ability to
survive long term?
_ Are funders asking for your strategic plan?
_ Is there pressure from staff, clients, or other
constituents to develop a new service/program?
_ Are you being asked to partner on a major initiative?
Three approaches
The traditional strategic plan
The LaPiana Real Time Planning Process
The Balanced Scorecard
How do you involve the Board
and staff?
• Planning retreat
• Surveys/ interviews
• Discussion teams
• Planning committee
The planning process
Step 1: Educate Board and staff
Identify the planning team- full Board? Subcommittee?
Step 2: Decide- will you use an outside facilitator or consultant?
Step 3: Collect background information- Environmental assessment
- Organizational capacity assessment
- Needs assessment
Step 4: Select and use a planning template
Step 5: Identify meeting schedule –
-One-day planning retreat and/or series of meetings
Planning templates
Strategic plan:
www.northskynonprofitnetwork.org
Business plan: www.score.org/business_toolbox.html
Environmental Assessment
1) What does the local market for your program/service look like?
How many potential clients?
What is their profile – age, sex, ethnic group, education, etc.
Sources: US Census
What is your client profile versus that of the market?
Sources: internal client data
2) Who is the competition? What are their strengths &
weaknesses? Sources: NPO team, newspapers, websites
Environmental Assessment
3) What is your market share versus that of the competition?
Sources: your use data versus that of the total market
4) What will change in the environment? What are the funding
trends? New advances? Social trends? Legal/ regulatory?
Sources: experts in the field, publications, papers
Community Needs Assessment
Collects information from the community via surveys,
interviews, focus groups, or existing information/ reports
What programs, services, or service features are needed?
Which segments of the community are in need?
What other options/ providers are available?
How likely are your target segments to use your programs,
services, or features?
What are the critical success factors?
Organizational Capacity Assessment
A self-assessment of your organization’s capacity
to survive and grow long term.
A survey completed by Board and staff.
Includes assessment of: leadership, adaptability,
management, operations, and technology.
Consultants can be helpful
• Set agendas prepare materials, and facilitate
discussions.
• Pose tough questions.
• Keep things moving along.
• Introduce new concepts or techniques.
• Bring in external information.
• Provide neutrality.
• Author the document
Selecting consultants
• Define the desired outcome and deliverables.
• Develop a request for proposal and obtain
competitive bids.
• Obtain references and look at work samples.
• Create a contract or “scope of work” that outlines
the project deliverables, working relationship,
timeline, and pricing.
• Conduct a project evaluation.
Critical success factors
Strategic planning must include the Board; ideally it is led
by the Board.
The organization must be willing to scrutinize all aspects of
the organization and change direction.
The approach to planning must fit into the culture of the
organization.
Keep things moving along; don’t get bogged down.
A concise, focused plan will be more useful than
long, detailed document that addresses every
contingency.
Questions
Thank You
Contact NorthSky at:
231.929.3934
Pam Evans
231.929.3934, x 208
pevans@northskynonprofitnetwork.org
Special Thank you to: