- For nonprofit organizations, strategy is a statement of how the organization will use its resources to accomplish its mission.
- In today’s environment of rapid change, a static strategy is a recipe for failure.
- It is leadership’s job is to assure that the organization has a strategy that is clear, effective, and agile in response to changing conditions.
- It is everyone’s job to assure that the organization is effectively executing its strategy.
You can quickly create and assure strategic focus by applying these positive practices, which are based on Peter Drucker’s Five Most Important Questions You Can Ask About Your Organization.
- 1. Define the mission. The first step is to clearly define the mission of your organization, program or service – and make sure everyone in the organization understands it.
- 2. Focus on customers. The next step is to identify your customers (or stakeholders). Think of your primary customers as the people whose lives you hope to change. Think of your supporting customers as the service partners, funders, and others whose support you need to accomplish your mission.
- 3. Define the value proposition. Think of your value proposition as a statement of the positive impact intend to deliver for your primary and supporting customers. Here it is important to understand what your customers value and what your organization can actually deliver, and craft your value proposition accordingly.
- 4. Evaluate results. Evaluate your actual results against your value proposition to assure that you are delivering positive impact for your customers. Here it is essential to identify gaps between your intentions and reality, as well as areas of alignment.
- 5. Have a clear and agile plan. Create and refine your strategic plan to assure that you are demonstrating positive impact and effective management for your customers. Your plan can describe the vision, mission, goals, action steps, and capacity requirements for creating positive impact. Your plan should be clear but agile so you can anticipate and respond to changing conditions.
- The Five Most Important Questions You Can Ask About Your Organization (CHS Insight, 2018)
- Five Strategic Keys for Community Collaboration (CHS Insight, 2018)
- How to Demonstrate the Value of Your Organization (CHS Insight, 2018)
- Grantmakers in Health Guide to Impact Investing (GIH, 2017)
- Collective Impact (Stanford Social Innovation Review, 2011)
- Executing Strategy: Achieving Results (American Management Association)