Getting Onboard with Strategic Planning: Why is it Important and How do we do it?

Nonprofit organizations play a crucial role by providing critical services and support in many areas of need. Strategic planning is an essential process that can help nonprofit organizations achieve their goals and objectives efficiently and effectively, while making the best use of its available resources.

What are the 5 Main Outcomes a Successful Strategic Planning Process?

1. A Clear Vision and Mission

A clear vision and mission provide the direction and purpose for the organization, which helps the staff, volunteers, and stakeholders understand the organization's objectives and priorities. A well-defined vision and mission also help the organization to stay focused on its goals and to prioritize its activities and resources accordingly.

Note: also make sure your 1023 and 990 align with your current activities and exempt status.

2. Objective-Aligned Resources

Nonprofit organizations often have limited resources, including time, money, and personnel. Strategic planning helps align these resources with the organization's objectives. By identifying the most important activities and priorities, nonprofit organizations can allocate their resources more effectively and efficiently, resulting in better outcomes.

3. The Ability to Adapt to Change

Nonprofit organizations operate in a constantly changing environment, and strategic planning helps them adapt to these changes. A strategic plan is not a static document; it should be updated regularly to reflect the changing circumstances and priorities of the organization. By regularly reviewing and updating the strategic plan, nonprofit organizations can stay ahead of the curve and respond effectively to new challenges and opportunities.

4. Enhanced Communication and Collaboration

Strategic planning enhances communication and collaboration within nonprofit organizations. By involving staff, volunteers, and stakeholders in the planning process, nonprofit organizations can build a shared understanding of the organization's goals and objectives. This shared understanding leads to better decision-making and more effective implementation of the strategic plan.

5. Improved Accountability and Transparency

Nonprofit organizations have a responsibility to their stakeholders to be accountable and transparent in their operations. Strategic planning helps improve accountability and transparency by providing a clear roadmap for the organization's activities and objectives. This roadmap can be shared with stakeholders, demonstrating the organization's commitment to its mission and vision.

Strategic planning is necessary to:

• establish a clear vision and mission

• align resources with objectives

• ensure the organization can adapt to change

• enhance communication and collaboration

• improve accountability and transparency

There are many different methods to approach strategic planning for nonprofits, and believe or not, there's really no one-size-fits-all approach. Common effective approaches include the following:

SWOT Analysis: This method involves analyzing an organization's strengths, weaknesses, opportunities, and threats (SWOT) to identify areas for improvement and growth.

Theory of Change: This method involves mapping out the steps necessary to achieve an organization's desired outcomes, and identifying the necessary resources, activities, and outcomes needed to get there.

Balanced Scorecard: This method involves setting goals and metrics in four key areas—financial, customer, internal processes, and learning & growth—to ensure that the organization is meeting its objectives in a balanced and comprehensive way.

Results-Based Management: This method involves setting measurable goals and tracking progress toward those goals using data to inform decision-making and improve outcomes.

Appreciative Inquiry: This method involves identifying an organization's strengths and successes and building on those, rather than focusing on weaknesses and failures.

Scenario Planning: This method involves imagining different possible futures and developing plans that can adapt to different scenarios.

Blue Ocean Strategy: This method involves identifying new, uncontested markets where the organization can create value, and differentiate itself from competitors.

The best approach will depend on the unique needs and goals of the nonprofit organization. It is important to involve key stakeholders in the strategic planning process. Organizations must also regularly evaluate and adapt their strategies to ensure they are effective and aligned with the mission and values.