New Planning Resources for a New Year

Yes We Can!

As the New Year begins, I'd like to recommend a few excellent resources to support your strategic thinking and planning efforts.

First, another great article from the Harvard Business Review. Appearing in the December 2008 issue, there is an article entitled Delivering on the Promise of Nonprofits by Jeffrey L. Bradach, Thomas J. Tierney, and Nan Stone. The authors, associated with the Bridgespan Group, propose that nonprofits wanting to dramatically increase their mission impact need to address five interdependent questions: Which results will we hold ourselves accountable for? How will we achieve them? What will results really cost, and how can we fund them? How do we build the organization we need to deliver results? These questions provide a framework for change that combines elements of theory of change, outcomes measurement, strategic and business planning, and organizational development. Included in the article, are a number of case examples drawn from the work of the Bridgespan Group. If you don't subscribe to the Harvard Business Review, you can purchase an electronic or hard copy of the article at www.hbr.org. Order Reprint R0812G.

The second resource is the Severson Center Trend Website. The Severson Center, a division of the Alliance for Children and Families, has opened their trend website to the general public, allowing access to a library of information in a user-friendly format. No login is needed for the website, but some reports are password protected for access by members of the Alliance. Trends and their impacts are organized under the following categories: Business/Economy, Education, Nonprofits, Technology/Science, Demographics/Population, Health, Social Service Issues, and Work. No question about it: this is the only resource of its kind and an invaluable resource for nonprofit strategic planning efforts. Go to: www.alliancetrends.org.

The third resource is Designing Your Future: Key Trends, Challenges and Choices Facing Associations and Nonprofit Leaders published in August 2008 by ASAE and the Center for Association Leadership. According to the authors, Designing Your Future “began with the analysis of several hundred trends. Association leaders and other experts and practitioners have winnowed the lengthy list of impacts to the most critical trends ranging from social to economic to political to environmental to technological impacts likely to affect associations.” Here are some of the chapter headings: Key Challenges: 10 Strategic Priorities Association Leaders Must Address, Key Choices: a Strategic Decision-Making Framework, 50 Key Trends, Scenario Analysis Workshop, Trend and Trend Analysis Workshop. Click here to preview this publication on Amazon.com.


And don't forget to check out our listing of Key Trends included in our weekly feature Nonprofit Picks Of The Week.

Happy New Year!

Strategic Thinking and Planning: A Resource Bibliography

Here is a newly revised resource bibliography on strategic thinking and planning:

• Basic Overview of Various Strategic Planning Models by Carter McNamara, http://www.managementhelp.org/plan_dec/str_plan/models.htm.
• Blueprint for Success, A Guide to Strategic Planning for Nonprofit Board Members by BoardSource (video/DVD), http://www.boardsource.org.
• Business Planning Resources for Nonprofits by The Bridgespan Group, http://www.bridgespan.org/kno_themes_businessplanning.html.
• Designing Your Future by ASAE and the Center for Association Leadership, http://www.asae.org.
• Effective Strategic Planning: Getting Your Organization Focused and Directed by Michael Burns and Paul Yelder, http://www.practitionerresources.org/cache/documents/36796.pdf.
•Field Guide to Nonprofit Strategic Planning and Facilitation by Carter McNamara, MBA, PhD, http://www.authenticityconsulting.com/pubs/SP_gdes/SP_pubs.htm.
• Nonprofit Organizational Assessment Tool: Strategic Planning by Professor Andrew B. Lewis, Center for Community Economic Development, University of Wisconsin Extension,
http://www.uwex.edu/ces/cced/nonprofits/management/assessment.cfm.
• Presenting: Strategic Planning: Choosing the Right Method for Your Nonprofit Organization by Michela M. Perrone Ph.D. and Janis Johnston and BoardSource, http://www.boardsource.org/Bookstore.asp?category_id=47&Item=179.
• Stanford Social Innovation Review published by the Center for Social Innovation at the Stanford Graduate School of Business, http://www.ssireview.com.
• Strategic Planning for Public and Nonprofit Organizations: A Guide to Strengthening and Sustaining Organizational Achievement by John M. Bryson, http://www.josseybass.com/WileyCDA/WileyTitle/productCd-0787967556.html.
• Strategic Planning Resource Collection by Professor Andrew B. Lewis, Center for Community Economic Development, University of Wisconsin Extension, http://www.uwex.edu/ces/cced/nonprofits/management/sites_strategic.cfm.
• Strategic Planning Workbook for Nonprofit Organizations by Brian W. Barry and the Fieldstone Alliance, http://www.fieldstonealliance.org/productdetails.cfm?PC=39.
• Strategic Planning: A Practical Handbook for Nonprofit Organizations by Michael Allison and Jude Kaye, http://www.wiley.com/WileyCDA/WileyTitle/productCd-0471445819.html.
• Strategic Planning: Frequently Asked Questions by The Alliance for Nonprofit Management, http://www.allianceonline.org/FAQ/strategic_planning.
• The Drucker Foundation Self-Assessment Tool Process Guide by the Peter F. Drucker Foundation for Nonprofit Management and Gary J. Stern, http://www.wiley.com/WileyCDA/WileyTitle/productCd-078794436X.html.
• The MacMillan Matrix for Competitive Analysis of Programs, http://www.pasesetter.com/documents/pdf/turbtimes/Competitive%20Analysis.pdf
• The Nonprofit Quarterly published by Nonprofit Information Networking Association, www.nonprofitquarterly.org.
• The Nonprofit Strategy Revolution by David La Piana. www.amazon.com.
• Toolkit for Developing a Social Purpose Business Plan, by Structured Employment Economic Development Corporation (Seedco), http://nvn-toolkit.seedco.org/businessplanning.
• What If? The Art of Scenario Thinking for Nonprofits published by the Global Business Network, http://www.gbn.com/ArticleDisplayServlet.srv?aid=32655.

Strategic Planning Gets Better

These continue to be exciting and challenging times for nonprofit organizations. There is increased understanding among nonprofit leaders about the importance of strategic thinking and planning. The practice of planning itself continues to evolve – and improve. Here are some of the important developments:

Accelerated Strategic Planning: Most nonprofits don’t need to be sold on the value of strategic planning and thinking. At the same time, leaders have no patience for a process that goes on too long. The key is designing a process that gives adequate attention to information gathering and analysis and identification of critical strategic issues, involvement of key stakeholders, and the formulation of strategies and action plans that effectively address identified issues – and at the same time, making the most effective use of the valuable time of the leadership. Related to the theme of accelerated planning, is the growing interest in planning tools and approaches that facilitate just-in-time strategy development on an ongoing basis – a rapid response to new developments and emerging market opportunities that can’t wait for a formal strategic planning process. See the publication that everyone is raving about (and rightly so) The Nonprofit Strategy Revolution by David La Piana.

Collaborative Approaches to Strategic Planning: Nonprofits are showing new interest in collaborative strategic planning efforts in which the focus is on a shared customer/constituent base or pressing community issue rather than development of a strategic plan for their organization alone. Examples of this approach include several youth and family serving organizations developing a collaborative strategic plan to offer new services to children with special needs in a region or neighborhood development groups of the needs board effective strategic planning focusing on affordable housing in city neighborhoods. Such a collaborative approach to strategic planning that involves multiple perspectives can lay the groundwork for new cross sector partnerships that will increase the impact of a nonprofit in the future. For many nonprofits – even those who see the importance of planning collaboratively – this will require a commitment to build capacity to engage in such a planning approach. Here’s a recent news account that describes one such collaborative approach to strategic planning involving the Healthy Communities Coalition and Lyon County Human Services near Reno Nevada.

Reviewing Program Design With Theory Of Change: Strategic planning can also be an opportunity to examine the basic approach being used by an organization to achieve mission impact. The terms "business model" and "theory of change" are terms increasingly in use. We can stimulate fresh strategic thinking by posing questions like: “What are our basic beliefs, assumptions, or paradigms about how things work in our part of the world – our service area, our region, our profession or field of endeavor “What are the root causes of the problem or issue our organization seeks to address?” “Does the organization base its work on a coherent theory of change? “What is that theory of change?” “Is it working?”. For more information about theory of change, go to: http://www.theoryofchange.org/index.html. The site introduces a process for developing a theory of change, gives examples of this process, and tackles several interesting advanced topics on putting the process into practice. Be sure to take a look at Theory Of Change As A Tool For Strategic Planning and Making Sense: Reviewing Program Design with Theory of Change.

Strategic Planning as an Opportunity for Board Leadership Development: The board of directors, as one of the clearest expressions of its governance responsibility, needs to play a leadership role in strategic planning. Sometimes, executive directors, concerned that the planning process can invite micromanaging on the part of the board, will seek to limit involvement of the board in strategic planning. The concern is understandable but if the board is already operating from a clear understanding of its roles and responsiblities, this is less likely to be a problem. Terrie Temkin, a consultant to nonprofit organizations, has written a series of excellent articles highlighting the role of the board as strategic thinkers. Some of them are listed here: Recruiting Strategic Thinkers, Orienting Board Members to their Responsibilities as Strategic Thinkers and Structuring Board Meetings to Maximize Strategic Thinking Boards.

Strategic Planning and Succession Planning

Merianne Liteman, in her article “The Board’s Role in Succession Planning” makes some important connections between strategic planning and effective executive transition. While her primary audience is arts organizations, her advice is helpful for any nonprofit. She writes:

"A plan for transition to new leadership can’t emerge fully grown … . For leadership transitions to succeed, they must be consistent with and, indeed, grow out of the organization’s core strategy—its vision, mission, and values—as well as a clear understanding of its current status. This strategy is best expressed through a formal plan, which takes into account where the organization has been, where it is now, and where it wants to go. With a thoughtful and up-to-date strategic plan in place, an organization has a solid platform from which to launch a successful transition effort. Without such a plan, any succession effort it undertakes will rest on quicksand."

She goes on to say:

"A current strategic plan is essential for a smooth transition. The process of creating a strategic plan—or of reexamining and updating an existing one—offers an arts organization the chance to take a critical look at itself, reconsider its vision, assess its strengths and potential challenges, explore opportunities for growth, rethink its policies in line with current realities, and address issues that are critical for its future."

Sometimes nonprofit boards will leave this kind of strategic decision-making up to the new executive director. And this why some executive transitions end up as disasters. Liteman says that it’s a real mistake for organizations to assume that the new director is the one who should come up with the answers:

"Addressing these questions up front will yield dividends when the board makes critical decisions about the skills and competencies a potential successor should possess. Sometimes boards decide to leave such questions for the new director to address once he or she arrives. Bad idea; that’s like asking the pilot to decide on a destination after all the passengers are seated."

The succession plan may or may not be part of the nonprofit’s formal strategic plan. If not, it still needs to align with the strategic plan as Merianne Liteman points out. To download a copy of the article, go to: http://www.artsalliance.org/docs/al21c/book_sectionCch6.pdf.

Here are some links to resources on succession planning and executive transition. You can use these to educate board and staff leadership on this critical challenge as part of the effort to gear up for strategic planning or succession planning – or both.
• The Texas Commission on the Arts has compiled a number of leadership transition resources at http://www.arts.state.tx.us/toolkit/leadershiptransitions.
• TransitionGuides, a consulting and educational services company specializing in executive transition at http://www.transitionguides.com/about/about.htm.
• Leading Transitions, a firm specializing in providing technical assistance in the areas of executive transition management and succession planning at http://leadingtransitions.com.
• Compass Point Nonprofit Services provides access to research and articles on executive transitions, as well as templates for emergency succession plans and interim executive director job descriptions at http://www.compasspoint.org/content/index.php?pid=150

Key Strategies for Your Nonprofit

While strategic plans will address critical issues and challenges that are unique to individual nonprofits, it is also true that there are some key strategies that need to be incorporated into the strategic plans of all nonprofits in some way, regardless of mission focus. Here's my starter list:

Boomers. Your strategic plan needs a targeted strategy to engage baby boomers as volunteers, board leaders, donors, and activists. One of the best resources available for thinking this through is Generations: The Challenge of a Lifetime for Your Nonprofit by Peter C. Brinckerhoff which outlines in very specific ways what you can expect and how to plan for it. This publication also includes an assessment tool.

Strategic Restructuring. Your strategic planning process also needs to include exploration of partnerships, alliances and other forms of strategic restructuring. It's always been true -- and in the future even more so -- that the ability to forge partnerships and alliances that advance your nonprofit’s strategic priorities is a critical competency. Here are some excellent resources: LaPiana & Associates Strategic Restructuring Website. Also read Forging Nonprofit Alliances: A Comprehensive Guide to Enhancing Your Mission Through Joint Ventures & Partnerships, Management Service Organizations, Parent Corporations, and Mergers by Jane Arsenault. Also see AllianceStrategy.com which offers resources and readings on alliance strategy and management. The site is maintained by Ben Gomes-Casseres, author of The Alliance Revolution and co-author of Mastering Alliance Strategy, a professor at Brandeis University.

Leadership Succession. Your strategic planning also needs to address the challenge of board and staff leadership succession and related executive transition issues. Three of the best resources on this subject are: TransitionGuides, Compasspoint Nonprofit Services Executive Transition resources, and the Annie E. Casey Foundation’s Executive Transition Monographs Series.

Regional Thinking. Another critical theme is regional thinking and decision-making. Increasingly local leaders are becoming convinced that solutions to local problems require regional strategies. Nonprofits also need to think about their missions, programs and services in regional terms. Obviously this will be more important for some organizations than for others. A good place to start is the Alliance for Regional Stewardship.

The Web. You also need to be thinking about technology and specifically Web 2.0. Don't know what Web 2.0 is? You'd better. What are the implications of these new web-based communications and networking tools? Nonprofits that figure this one out are way ahead. Start with Everything You Need to Know About Web 2.0 by Techsoup. And here is an excellent book Momentum: Igniting Social Change in the Connected Age by Allison Fine.

Collaborative Strategic Planning. Finally look for opportunities to engage in collaborative strategic planning with current and prospective partners. Nonprofits are showing new interest in collaborative strategic planning efforts in which the focus is on a shared customer/constituent base or pressing community issue rather than development of a strategic plan for their organization alone. Examples include several youth and family serving organizations developing a collaborative strategic plan to offer new services to children with special needs in a region or neighborhood development groups focusing on affordable housing in city neighborhoods. This theme was addressed in a February 14, 2006 post on this blog.

The Relationship of Strategic Planning to Other Forms of Planning

Often there can be some confusion and disagreement about the definition of strategic planning and its relationship to other forms of planning in nonprofit organizations. I have tended to view the strategic plan as a 3-5 year “strategic blueprint” that serves as the foundation for these other forms of planning. I recently conducted a webinar entitled "The Relationship of Strategic Planning to Program Planning and Business Planning”.

In preparing for the session, I came across an excellent article “Business Planning for Nonprofits: Why, When — and How It Compares to Strategic Planning” by Brigette Rouson. The article describes three approaches to defining the relationship of strategic planning to other forms of planning. According to Rouson, the three approaches include selection (opting for one over the other), synthesis (bringing elements of both approaches together) and sequencing (ordering one before the other). If you want to explore this relationship further, check out this article and others included in the resource bibliography I developed for this recent webinar:

Collection of Business Planning Resources for Nonprofits: The Bridgespan Group has assembled an excellent set of resources on business planning for nonprofits. In “Business Planning for Nonprofits,” Bridgespan draws on client experience to illustrate the key components of the business-planning process. http://www.bridgespan.org/kno_themes_businessplanning.html

Business Planning For Nonprofits What It Is and Why It Matters
http://www.bridgespan.org/PDF/BusinessPlanningforNonprofits.pdf

For an impressive example of business planning in the nonprofit sector see the Harlem Children’s Zone business plan. http://www.bridgespan.org/kno_case_hcz.html

Business Planning Toolkit by Seedco. http://nvn-toolkit.seedco.org/businessplanning/

Business Planning for Nonprofits: Why, When — and How It Compares to Strategic Planning by Brigette Rouson. http://www.1000cranes.com/downloads/Alliance.1kcranes.Article.pdf

Thinking about a Revenue Generating Venture as a Sustainability Strategy for your Nonprofit Organization by Mike Burns http://www.brodyweiser.com/pdf/RGVforNonprofits.pdf

Business Planning by Carter McNamara, Authenticity Consulting http://www.managementhelp.org/plan_dec/bus_plan/bus_plan.htm

Basic Guide to Nonprofit Program Design and Marketing by Carter McNamara. http://www.managementhelp.org/prog_mng/np_progs.htm

Strategic Planning for Your Organization and Its Fund Development by Lori Bertman
http://www.latour.lsu.edu/presentations/Strategic%20Planning%20Fund%20Development%20Tourism.pdf

One More Time - What’s Your Volunteer Strategy?

In my June 25, 2007 post, I asked the question “What’s Your Boomer Strategy?” and suggested that most nonprofits don’t have concrete strategies in place to tap into Baby Boomer charitable giving, volunteering and professional workplace skills and knowledge. I went on to highlight a number of excellent resources that are now available to help nonprofits craft such strategies.

More good news! For nonprofits that want to get serious about mobilizing volunteer resources in the service of their missions, the Corporation for National and Community Service recently released, Volunteering in America: 2007 City Trends and Rankings. According to the Corporation,

This publication ranks and includes profiles for 50 of the largest cities including the volunteer rate; the types of organizations through which residents serve; their main volunteering activities, the average hours per year and volunteer rates for age and gender demographic groups, and key trends and highlights. The report also analyzes social and demographic trends affect city volunteer rates and finds that there are four key drivers of volunteering: community attachment; commuting times, high school graduation levels and poverty; and the prevalence of nonprofits and their capacity to retain volunteers from year to year.

This data can help your nonprofit develop a volunteer growth strategy as part of your overall strategic plan. For links to an executive summary, the full report, and related resources, go to: http://www.nationalservice.gov/about/volunteering/cities.asp

Even more good news: To support your volunteer strategy development, the Points of Light Foundation has designed an Economic Impact of Volunteers Calculator that can assign a realistic economic value for volunteer time. Using the calculator, you can determine the value of the time current and prospective volunteers provide doing a wide variety of volunteer jobs. The Calculator estimates the appropriate wage rate for volunteer time based on what the person does and the value of specific tasks according to market conditions as reported by the US Department of Labor. To check out the calculator, go to: http://www.pointsoflight.org/resources/research/calculator.cfm

The Power of Vision

In previous posts, I’ve talked a lot about vision. “If we could create the organization of our dreams and have the impact we have always wanted to have in the lives of the people we serve, what would that success look like in five years?”

I regard vision as the centerpiece of the strategic planning process -- and the resulting strategic plan. Of course, we need detailed, financially viable action plans to get us to our desired future. But without a compelling, shared vision, really, what’s the point?

I want to share a favorite quote with you. Max DePree ends his book Leadership Jazz with a captivating story about leaders whose actions were inspired by vision. This story demonstrates to us the vital link between strategic planning, vision and the stewardship responsibilities of leadership. It's a lesson for all of us: our strategic plans will touch the lives of individuals and communities far into the future.

In the late fourteenth century, the members of New College at Oxford, moved into their quadrangle, the first structure of its kind, intended to provide for the residents all that they needed. On the north side of the quadrangle sit the chapel and the great hall, beautiful buildings and, as you might imagine, the focus of the life of the college.

In the middle of the nineteenth century, almost five hundred years later, the college hired architect Sir Gilbert Scott to restore the roof of the hall. The roof and the great oak beams that supported it had badly rotted. And so representatives from the college with Sir Gilbert visited Great Hall Woods, in Berkshire, where they expected to find trees for replacement beams. Sure enough, the replacements were standing there, waiting to be hewn out of the living oak trees planted a century before for just that purpose.

An anonymous leader's promise had been fulfilled. The voice and touch of a distant leader had been joined.

What’s Your Boomer Strategy?

What’s your boomer strategy? Don't have one? You're not alone. Here are some resources that can help.

An important part of the information gathering and analysis that lays the groundwork for successful strategic planning is the external assessment, sometimes called the environmental scan. The purpose of the external assessment is to identify and assess changes and trends in the environment in which a nonprofit operates that are likely to have significant future impact on the nonprofit itself as well as the people and communities being served. Typically, we look at political, economic, technological, social, lifestyle, demographic, competitive, regulatory and broad philanthropic trends. We then determine which changes are opportunities for our organization (for example, opportunities to grow) and which could be threats to us in some way (for example, trends that can have a negative impact on our revenue generating activities). Finally we identify implications for selected changes and trends -- ways our nonprofit might respond to the opportunities and threats we identify.

Some of the changes and trends will be of special interest to a particular nonprofit given its mission. For example, a nonprofit organization that promotes home ownership in city neighborhoods will focus on relevant federal and state policies, interest rates and other economic changes that affect family income levels.

At the same time, there are broad external changes and trends that will have impact on nonprofits regardless of their mission focus. Sometimes the anticipated impact is so great that every nonprofit doing strategic planning needs to craft a strategic response to that trend. For example, the effect of Sarbanes-Oxley and other developments that intensify the call for public accountability of nonprofits are prompting many organizations to change internal governance practices and, in general, to focus more on efforts to enhance public awareness and understanding of their work.

Today there are several other broad trends of this type that come to mind. One of the most important is the impact of baby boomers as they now begin to retire. A lot is being written about what boomers will be doing with their volunteer time and their charitable dollars. Also, for a number of reasons, many boomers will put off retirement to continue working in their current jobs or in new part-time positions. Several studies suggest that many boomers, when they think of employment "after retirement", express a preference for work in the nonprofit sector.

All of this represents great news for nonprofit organizations. The problem is that many nonprofits are not thinking about how to capitalize on this phenomenon. This trend and its implications are so important that a strategic plan that doesn’t include concrete strategies to tap into Boomer charitable giving, volunteering and professional workplace skills and knowledge is deficient in a serious way.

The great news: lots of excellent resources available with guidance to nonprofit leaders trying to better understand this trend, identify implications and develop a strategic response. Here are a few:

• One of the most recent books on the subject is Generations: The Challenge of a Lifetime for Your Nonprofit by Peter C. Brinckerhoff which outlines in very specific ways what you can expect and how to plan for it. This publication also includes an assessment tool.

• The Boomer’s Guide to Good Work by Ellen Freudenheim, published by The MetLife Foundation and Civic Ventures. Go to: http://www.civicventures.org/publications/booklets/boomers_guide.cfm
• Craver, Mathews, Smith & Company published a landmark study on Baby Boomer trends in fundraising and advocacy. Go to: http://cms.convio.net/site/PageServer?pagename=boomer

• A recent Fidelity Charitable Gift Fund survey reports that boomers are on track to give 20% more than the average donor. Go to: http://www.charitablegift.org/learn-about-charity/news/12-07-2006.shtml

• The best effort to date to bring resources together in one place is “Baby Boomer Volunteer Resources” compiled by the Alliance for Nonprofit Management. Go to: http://www.allianceonline.org/boomers.page

Anchoring the Organization in a Set of Governing Ideas

In "The Fifth Discipline" Peter Senge speaks of the importance of anchoring an organization in a set of governing ideas. According to Senge, MISSION is the "Why?" - the organization's answer to the question, "Why do we exist?" VISION is the "What?" - the picture of the future we seek to create. And CORE VALUES is the "How?" - the organization's answer to the question, "How do we want to act consistent with our mission on the path toward our vision?" An organization's values describe how the organization wants life to be on a day-to-day basis, while pursuing the vision.

Clarity about these governing ideas is the foundation for effective strategic planning, and organizational effectiveness in general. Our mission, vision and core values need to be in alignment. At the same time, while the words "mission" and "vision" are often used interchangeably, they are two distinct things. The mission refers to the fundamental purpose of the organization. The vision statement describes the hoped for destination, and therefore reflects the future direction of the organization. We can be completely clear about our purpose, and still be in complete disagreement about our vision for the future.

I regard the strategic vision as the centerpiece of a good strategic plan and organizational effectiveness in general. Without agreement about the "future we seek to create", we run the risk of devising a plan that may look good on paper -- bold and exciting strategic priorities, based on sound financial analysis, with a solid framework for evaluating results -- but a plan that takes us and the community that we are presuming to serve in the wrong direction.

Senge -- and I agree completely -- speaks passionately about the importance of a shared vision. A vision that people are committed to-- they'll do whatever it takes to make the vision a reality. He contrasts this with a vision about which people are apathetic (Neither for nor against vision. No interest. No energy. “Is it five o'clock yet?”)

And if we are to have a shared vision that inspires this kind of commitment, we need to make sure that the process we use to create the vision is one that fully engages board, staff and community stakeholders. The process needs to allow them to connect their personal dreams and their highest aspirations to the work of creating a shared vision for the organization. Visions that are handed down from on high without this kind of meaningful engagement don't inspire people to put forth their best efforts.

In the issues-based approach to strategic planning which I favor, the vision is rooted in the critical strategic issues which board and staff leadership identify in the planning process. In many ways, the vision represents the "big answer" to the "big questions" (issues) that surface in the early stages of our strategic planning.

There are lots of great web-based resources for developing this kind of shared vision. For a look at one approach that I have found useful, go to: http://www.createthefuture.com/strat%20vis.htm. And for a sampling of vision statements from a wide range of nonprofits, go to: http://www.createthefuture.com/sample_vision_statements.htm.

For some of the most inspired thinking about vision, go to the source: “The Fifth Discipline” by Peter Senge. "Vision" is one of the five disciplines of the learning organization as Senge conceives it. Read Chapter 10 "Shared Vision". In fact, while you're at it, read the book! It’s recently revised with lots of new material and will continue to be an influential work. And visit http://www.solonline.org for other Fifth Discipline resources.

Strategic Planning Surveys

Increasingly, leaders who see the value of strategic planning are looking for ways to engage in the process without taking any more time than is necessary. The demands on people's time -- especially board leaders -- means that strategic planners must look for ways of accelerating the planning process.

In my experience, in order to do credible strategic planning and at the same time meet the demand for a less time consuming process, information gathering and analysis must be completed before leaders engage in formal strategic planning sessions. When this is done, the planning group can hit the ground running.

I want to offer a glimpse at a few information gathering surveys for strategic planning I’ve been using for the last several years. They’ve all undergone a number of revisions and work well with a broad range of nonprofits. There is a survey tool for board and staff of organizations and a second survey tool I use for gathering information and insights from “key informants”. Key informants are individuals presumed to have special expertise, knowledge and insights that could be helpful in the strategic planning process. Informants may have an understanding of the changes going on in the community, trends specific to the field of work in the nonprofit is engaged in, the economy, the political environment, the impact of new regulations/legislation, charitable giving, etc.

To view the board and staff survey sample, go to: http://www.surveymonkey.com/s.asp?u=740623335077. To view the key informant survey sample, go to: http://www.surveymonkey.com/s.asp?u=426343335293

Disruptive Innovation for Social Change

Every once in awhile, an article appears that goes on to have significant impact in the nonprofit sector. In 1989, Peter Drucker wrote What Businesses Can Learn from Nonprofits, an important counterbalance to the prevailing belief that all of the answers to organizational effectiveness could be found in the for-profit sector alone. In 1996, Chait, Holland and Taylor wrote The New Work of the Nonprofit Board. This article led to a number of important efforts to improve board performance and these efforts continue. Now in December 2006, a new article in the Harvard Business Review promises to do the same. In the article, Disruptive Innovation for Social Change, Clayton M. Christensen, Heiner Baumann, Rudy Ruggles, and Thomas M. Sadler offer a challenge to the nonprofit sector:

"In the social sector, too much attention is devoted to providing more of the same to narrow populations that are already served. It's time for a fundamentally different approach. . . . it's not a lack of solutions, but rather misdirected investment. Too much of the money available to address social needs is used to maintain the status quo, because it is given to organizations that are wedded to their current solutions, delivery models, and recipients. ... While they may do a good and important job serving those people, and while there services may steadily improve, these organizations are unlikely ever to reach a far broader populations that are in need -- and that would be satisfied by simpler offerings, if only they were available.”

The authors advocate searching for “disruptive" or "catalytic” innovations that have the potential for dramatic breakthroughs in efforts to address pressing community needs and social issues. The article offers examples of disruptive innovation, qualities of catalytic innovators and advice to funders and investors who want to see their dollars lead to real change.

The relevance for strategic planning? The challenges posed by the authors of this article are ones that need to be incorporated into our strategic thinking and planning efforts. Whether we refer to it as "theory of change" or "logic model", we need to ask ourselves if we operate from an understanding of how change happens, if our programs and services reflect this understanding, and what is the evidence that our program/service approach is actually working. And as the authors of the article Making Sense: Reviewing Program Design with Theory of Change suggest, this analysis needs to take place before strategic planning -- not after. A strategic planning effort that avoids this analysis can lead -- as many strategic planning efforts do -- to the decision to continue with more of the same --ineffective programs with mediocre results.

More commentary on this important article can be found at ManyWorlds, New Profit, Community Health Edge, the Boston College Center for Corporate Citizenship and the Private Sector Development Blog.

Be sure to read “Disruptive Innovation for Social Change” and share it with board leaders, staff, colleagues, and friends.

Strategic Planning -- An Engaging Process

The latest program in Boardstar’s podcast series features an interview with me on the role of the board in strategic planning. The interview, led by Pat Wyzbinski of the Nonprofit Management Fund covers the following topics: use of an outside facilitator, how long does a strategic planning process take?, benefits of board and staff involvement in information gathering activities for strategic planning, growing interest in accelerated strategic planning, key components of an effective strategic planning process, composition of the strategic planning committee, including the value of involving "outsiders" in the planning process, measuring progress in implementing a strategic plan. You can listen to this podcast and download it to your computer, iPod or MP3 player at http://www.smallpackageproductions.com. The Board star program was recently featured as a noteworthy website in our regular Picks of the Week. Go to: http://www.boardstar.org/mc/page.do.

Shedding Old Rules

Two quotes to set the stage for strategic thinking for 2007.

The first quote on the difficulty in letting go from The Accelerating Organization: Embracing the Human Face of Change by Arun Maira and Peter Scott-Morgan ...

"At the Santa Fe Institute in New Mexico, mathematicians and scientists in physics, chemistry, biology, economics and computer science look at the mechanisms and principles whereby organisms and other complex systems change and learn. One principle of survival they've observed is continuous shedding of operating rules that cease to be relevant because of changing environmental conditions.

They found that complex systems, whether biological organisms or computer systems, can hold only a small number of rules in operation at anytime. So they must have an ability to shed old rules to make room for the new. Shedding becomes more complicated in systems involving human beings, because their sense of self-worth is often attached to many old rules."

The second quote on laying the foundation for new ideas from Where Do New Ideas Come From? Maximize the Differences by Nicholas Negroponte, Director, M.I.T. Media Lab ...

"The best way to guarantee a steady stream of new ideas is to make sure that each person in your organization is as different as possible from the others. Under these conditions, and only under these conditions, will people maintain varied perspectives and demonstrate their knowledge in different ways. There will be a lot of misunderstanding – which is frequently not misunderstanding at all, but the root of a new idea."

Wishing you a Happy New Year!

Why Strategic Plan Implementation Fails

There are several reasons why implementation of strategic plans fails. I’ve listed 4 here. In each case the problem is addressed by designing and facilitating the process in such a way that the issue doesn’t arise during the implementation phase.

1. Lack of board, staff, volunteer, member, partner and stakeholder commitment to the strategic plan. One of the hallmarks of a successful strategic planning process is high levels of understanding, enthusiasm and support of the resulting plan among the aforementioned constituents. The most effective way to achieve this is to build into the process a variety of engagement opportunities: participation on the strategic planning committee, involvement in information and data gathering and analysis, service on other planning committees and workgroups, focus groups, community partner dialogs, and others. Sometimes, involvement of many in the planning process is avoided for fear that large numbers are unmanageable. If clear roles and responsibilities are communicated and if meetings and tasks are carefully structured, large numbers of involved and engaged people contribute to a successful process. For one thing, it ensures a broad range of perspectives on critical issues, absolutely essential to innovative thinking. As a practical matter, we want and need large numbers of people at all levels of the organization and community who are committed to achieving the vision and strategic goals outlined in the plan. In a thoughtful planning process, the strategic planning committee will assess the most effective ways to involve all internal and external stakeholders.

2. Lack of alignment between governance structures (especially committee and workgroup structure) and the strategic plan. In nonprofit organizations, implementation depends on the support and involvement of professional staff, board leadership, other volunteers, members, and community supporters. Organizational structures that align with the strategic plan ensure that all of these individuals can be effectively organized to carry out their work and that they will be moving in the direction of the strategic vision. To the degree that the resulting strategic plan represents a new direction -- in some cases, a radical departure from old ways of doing business -- organizations will discover that many former governance structures constitute unintended barriers to implementation. New structures need to be created if implementation is to succeed. To assure effective implementation, current board committee and workgroup structure, therefore, will need to be reviewed in light of requirements of the strategic plan.

3. The design and format of the earlier strategic planning process does not easily translate to action planning and implementation. One of the greatest frustrations in strategic planning is the failure to complete the transition from the “visionary blueprint” (mission, vision, goals, and strategies) to the concrete plans of action (objectives: who accomplishes what, by when, at what cost, to be measured by what indicators). In order to avoid this disconnect, I have found it useful to do the following: From the beginning, it’s important to describe the strategic planning model in sufficient detail that it is clear to all how and when the transition to concrete plans of action occurs. Begin the conversation about performance indicators earlier in the strategic planning process. The identification of key performance indicators sets the stage for developing objectives that are concrete, measurable and tied in directly to the mission, vision and strategic priorities.

4. Related to the third hurdle is lack of an effective framework for ongoing monitoring of implementation. The strategic planning process presents an opportunity for the organization to develop an important tool for ongoing monitoring of the strategic plan implementation. It’s called the organizational dashboard (also referred to as scorecard). Using the metaphor of the dashboard in a car, this tool is based on selection of key performance indicators that need to be tracked on a regular basis by the Board of Directors. An effective implementation process will link the dashboard monitoring tool directly to the strategic plan, thus providing important support for implementation.

Two Excellent Trend Documents

I've come across two excellent trend documents recently. While the publications will be of special interest to nonprofits focusing on education, both resources will be useful to a broader audience of nonprofit leaders engaged in strategic thinking and planning. The resources are noteworthy because of the content they offer; they are also noteworthy because of the formats used to make the information more accessible and usable. These formats can be used to better organize trend data that you are gathering for your own strategic planning efforts.

The first resource is the book Sixteen Trends, Their Profound Impact on Our Future by Gary Marx. The author highlights a number of key trends, and then shows how each will influence educational policy in the future. Each chapter focuses on one major trend: there is a summary of the trend, implications for society as a whole and education in particular, and then a listing of questions and activities to stimulate further thought discussion and action.

The second resource is the Education Map of the Decade, created by the KnowledgeWorks Foundation to examine the forces affecting education and the economy. The map includes three key elements: trends, which represent major shifts, new developments and concepts and the driving forces that will shape the future of education; hot spots -- trends that the KnowledgeWorks Foundation thinks will have broad impact on education, and dilemmas -- problems that can't be solved and won't go away which require new thinking and new solutions. This map is more than a trend document -- it has to be experienced online. You'll find tutorials on the use of the map, discussion boards, links to additional resources and much more. This interactive website is a powerful example of how good information -- an essential ingredient of effective strategic planning -- can be gathered, organized and presented in user friendly ways.

Newsletters for Strategic Thinkers

There are several newsletters that provide information, and resources that will support strategic thinking and planning efforts. You can subscribe to these newsletters at no charge although some newsletters are also published in a “premium” version available for a fee.

Here is a newsletter listing with reference to recent articles relating in some way to strategic planning:

The McKinsey Quarterly published by McKinsey and Co. Go to: http://www.mckinseyquarterly.com/. Free registration required. Recent article of interest to strategic thinkers: “Improving Strategic Planning: A McKinsey Survey.”

HBS Working Knowledge published by the Harvard Business School. Go to: http://hbswk.hbs.edu/forms/newsletter.html. Free registration required. Recent article of interest to strategic thinkers: “Failing to Learn and Learning to Fail (Intelligently)”

Nonprofit Online News published by the Gilbert Center. Go to: http://news.gilbert.org/. Free registration required. Recent article of interest to strategic thinkers: “The Theory Underlying Concept Maps and How to Construct Them”

Fast Company Today published by Fast Company Magazine. Go to: http://www.fastcompany.com/homepage/index.html. Free registration required. Recent article of interest to strategic thinkers: “Demographics: The Population Hourglass.”

I’ll add more newsletters in the future. In the meantime, send your newsletter suggestions to frankwill@aol.com or post them to this blog.

Incorporating Strategic Thinking into Board and Staff Meetings

Recently I conducted a webinar entitled How to Incorporate Strategic Thinking into Board and Staff Meetings. The message: it’s not enough only to think strategically during a formal planning process. While it is important to periodically engage in a formal strategic planning process, there are many other ongoing opportunities for strategic thinking and planning in nonprofits. What are they, how can we use these opportunities, and how can we create other opportunities for strategic thinking? The webinar topics included: How to use your strategic plan to foster strategic thinking by board and staff; Sample agendas and facilitation designs that can be incorporated into shorter meetings; Techniques for information gathering and analysis to support strategic thinking and planning. For a copy of the session materials, email me at frankwill@aol.com

For a good discussion on the subject of the differences and relationships between strategic planning and strategic thinking, see Strategic Thinking: A Discussion Paper by Eton Lawrence of the Public Service Commission of Canada.

The Fierce Conversations in Strategic Planning

In the last several years, a number of books have appeared on the subject of how to talk through difficult issues with others. The titles say it all: Fierce Conversations: Achieving Success at Work and in Life One Conversation at a Time by Susan Scott; Difficult Conversations: How to Discuss what Matters Most by Douglas Stone; and Crucial Confrontations by Kerry Patterson. The focus of these books is, for the most part, on interpersonal communication with friends, family members and co-workers. But these book titles capture an important quality of effective strategic planning practice. The planning process needs to be designed and conducted in such a way that leaders are able to articulate the most critical issues, choices and challenges facing their organizations, then engage in the “fierce conversations”, “difficult conversations” and “crucial confrontations” to thoroughly discuss these critical issues, choices and challenges and finally come to agreement on how the organization will respond to them.

In an issues based approach to strategic planning, the selection of issues is very important because it determines the range of decisions and choices the nonprofit will consider in the future. In some instances, leaders are already aware of some of the critical issues that the strategic planning process must help them address. In most situations, the planning process participants discern critical strategic issues as they examine the data gathered through external, market and internal assessment conducted earlier in the planning process. I like to challenge people to express their critical issues in the form of questions. The rest of the planning process then constitutes the work of constructing the big answers to these big questions. Identifying the critical issues and choices then becomes the watershed event in the planning process. If we have correctly identified the real issues, we know what we need to have the fierce conversations about. The resulting strategic plan will be relevant. If we fail to identify the real issues, the resulting plan will be useless – answers that may look good but answers to the wrong questions.

Accidental Innovation

In an earlier post, (Wednesday, April 05, 2006, Strategic Thinking Starts Wednesday at 8:30 AM), I talked about the expectation that our strategic planning efforts foster innovation and the reality that innovative ideas often come to us outside of the structured planning sessions. This is explored in a recent Harvard Business School Working Knowledge Newsletter interview by Sarah Jane Gilbert. In the interview, Professor Robert D. Austin discusses his research and practical implications of the concept of accidental innovation. He notes that many important innovations are the byproduct of accidents and that the key is to be prepared for the unexpected. Austin’s key concepts include: “Innovation can't always be planned—accidents happen. Be prepared to recognize serendipitous opportunity, and, Understand the nature of breakthrough inventions in your industry and plan accordingly.”

To access the full interview, go to: http://hbswk.hbs.edu/item/5441.html.

The Difference Between Mission, Vision and Values

So what is the difference between mission, vision and values? The article The Value of Vision appearing at the ManyWorlds website answers this and other questions including:
· Why engage in visioning?
· What are the hallmarks of an effective vision, and how do you go about creating one?
· What are the sources of problems in the vision process?
· How should you implement the vision?
· How does vision relate to mission and to values?
· At what point in the process of strategizing do you engage in envisioning?

The site includes a number of other good articles on the subject of organizational vision (Envisioning Growth, Focusing on A Vision, Lofty Missions, Down-to-Earth Plans, The Vision Thing: Without It You'll Never Be a World-Class Organization, Walking the Talk (really!): Why Visions Fail, Why Vision Matters More Than Ever, and more)

If you’re not familiar with ManyWorlds, you have to check it out. The site bills itself as "the Knowledge Network for Business Thought Leaders". You can create a personal knowledge network based on your interests. When you log in, the site displays updates in the topical areas you have previously selected. You can change your preferences whenever you want to. Manyworlds also automatically generates a set of recommendations for new resources that are judged to be useful to you based on your use of the website and your identified interests. This list of recommendations is updated weekly. Go to: http://www.manyworlds.com/

New Ideas for Strategic Thinking

Business Week has just launched a design and innovation quarterly called IN (Inside Innovation). In the latest issue, three blogs were highlighted as good sources for new ideas:

Springwise. This blog bills itself as a “global network of 8,000 spotters that scan the globe for smart new business ideas…” In the site’s Idea Database, there is a section on nonprofits and social cause ideas with some very interesting ideas.

Headrush.typepad.com. Business Week describes it as “A must-read guide for CEOs, brand managers, and anyone trying to create passion in their customers.”

Edgeperspectives.typepad.com. This blog is published by John Hagel. At first glance, it may not appear as relevant for nonprofits but remember – we need to look in unfamiliar places for the new ideas.

Blogs are just one element of Web 2.0, a more interactive web experience with a number of new tools that support and encourage collaboration. For a good introduction to what going on, go to http://www.businessweek.com/technology/ceo_guide/index.html.

Strategic Planning – It Works!

In a previous post (April 28, 2006 - Elements of Effective Strategic Planning Practice), I described some of the ingredients and qualities of effective strategic planning practice. I just concluded a strategic planning project with a nonprofit that emphasized for me the importance of these factors. They did it right and they now have a strategic plan that inspires them and will challenge them. Most importantly board and staff leadership as well as key community partners are really committed to the plan– which, of course, is the point.

How did this happen? Not by magic (well maybe a little). They did a number of things to lay the groundwork for a successful planning process. First the board established a strategic planning committee. It was led by a talented board leader who is in line to become president of the board in the near future. The planning committee also included a number of board and staff leadership including the executive director and the current board president.

The planning committee took the time to thoroughly orient itself to strategic planning and then agreed on clear outcomes for the process. They also created many opportunities for other board, staff, customers, volunteers, and other community stakeholders to be involved in the strategic planning and thinking process in meaningful ways.

They set aside time outside of the formal planning sessions to talk informally about the emerging critical issues. A number of important insights arose as a result. (Previous post: April 5, 2006 - Strategic Thinking Starts Wednesday at 8:30 AM)

They also made sure that the strategic framework – mission, vision, goals and strategies – was translated into a concrete implementation plan with defined measures of success. In addition, the board aligned its committee structure with the new strategic plan.

All of this in about five month’s time. They did it right and it worked!

Future Trends Resource for Strategic Planning

The study, Future Trends Affecting Education, published by the Education Commission of the States, examines ongoing and emerging trends and explores how these trends may affect education in the United States over the next 20-30 years. Trends are grouped into the following areas: education, demographic, technological, economic, political and social. Though the study was published in 1999, the findings remain very relevant with one possible exception (“Trend 15: Term limits on governors and state legislators are growing more common”). While the focus is on education, the study provides an excellent trends summary that will be useful for a broad range of nonprofits. Go to: http://www.ecs.org/clearinghouse/13/27/1327.htm.

Tools for Strategic Thinking

Recently, I've come across two websites that have great collections of tools that support strategic thinking and innovation. Both are free sites. The first is Businessballs, a free learning and development resource for people and organizations, run by Alan Chapman, in Leicester, England. The website's aims are to provide free and helpful resources for personal and organizational development. The site includes an excellent selection of hundreds of worksheets, games, exercises, tools and diagrams. Go to: www.businessballs.com. The second website is Manyworlds at http://www.manyworlds.com/. The site bills itself as "the Knowledge Network for Business Thought Leaders". You can create a personal knowledge network based on your interests. When you log in, the site displays updates in the topical areas you have previously selected. You can change your preferences whenever you want to. Manyworlds also automatically generates a set of recommendations for new resources that are judged to be useful to you based on your use of the website and your identified interests. This list of recommendations is updated weekly.

Effective Strategic Planning Practice

Strategic planning in nonprofits is most effective when the following elements are present:

First, establishment of a strategic planning committee. If the nonprofit board is serious about strategic planning (and it needs to be!), it will establish a strategic planning committee.

Second, there needs to be a thorough and shared understanding of strategic planning. The term “strategic planning” is sometimes used to describe a range of planning activities. It is important that the process is looked upon in the same way by board, staff and other participants in the strategic planning process.

There also needs to be agreement on outcomes. While it is true that the expected outcome of most strategic planning processes is a strategic plan document, it is also important to discuss and eventually agree upon other expected outcomes. For example there may be a specific critical issue that the board wants to focus on by means of strategic planning. Typically, planning outcomes will include some or all of the following:
· Board leadership and management staff will have a thorough understanding of the critical issues and choices facing the organization over the next 5 years.
· A strategic plan document including a mission statement, strategic vision statement, goals and strategies will be produced. The plan will give special attention to organizational structures that will best support the overall strategic plan.
· The strategic plan will have a day-to-day relevance on management and governance; and
· There will be enthusiasm and support for the strategic plan at all levels of the organization.

There needs to be real commitment to the process on the part of leadership. While there is no one right way to do strategic planning, whatever approach the board chooses will involve time, energy and careful thinking. People will not commit these personal and organizational resources if they are not convinced that the planning process is worth the effort. Sometimes the start of strategic planning process may need to be postponed until leadership within the board and staff have become convinced of the importance of the process.

There also needs to be involvement of many. In order to be effective, strategic planning must involve individuals representing all constituencies of the nonprofit: staff, constituents, funders and donors, as well as other key community supporters.

Finally, the strategic plan needs to be translated into concrete detailed plans of action. Involvement in an isolated strategic planning exercise or a one shot planning retreat is not sufficient. Strategic planning needs to lead to specific objectives which include clear evaluation measures, set on an annual basis by staff, the board of directors and the board’s own committees. This commitment to implementation will also help to ensure that the majority of the board’s time and energy is in alignment with the mission, vision, and goals and strategies contained in the strategic plan.

Strategic Planning: Its Lasting Value

Looking for an inspirational quote to use at the end of a strategic planning session? Here’s one of my favorites: Max DePree ends his book Leadership Jazz with a captivating story about leaders whose actions were inspired by vision. This story demonstrates to us the vital link between strategic planning, vision and the stewardship responsibilities of leadership. It's a lesson for all of us: our strategic plans will touch the lives of individuals and communities far into the future.

In the late fourteenth century, the members of New College at Oxford, moved into their quadrangle, the first structure of its kind, intended to provide for the residents all that they needed. On the north side of the quadrangle sit the chapel and the great hall, beautiful buildings and, as you might imagine, the focus of the life of the college.

In the middle of the nineteenth century, almost five hundred years later, the college hired architect Sir Gilbert Scott to restore the roof of the hall. The roof and the great oak beams that supported it had badly rotted. And so representatives from the college with Sir Gilbert visited Great Hall Woods, in Berkshire, where they expected to find trees for replacement beams. Sure enough, the replacements were standing there, waiting to be hewn out of the living oak trees planted a century before for just that purpose.

An anonymous leader's promise had been fulfilled. The voice and touch of a distant leader had been joined.

Strategic Thinking Starts Wednesday at 8:30 AM

Everyone wants strategic planning to be a creative process that fosters innovation. The problem is that new ideas come to us at the oddest times, without warning when we least expect them – and usually not 20 minutes into the strategic planning session scheduled for next Wednesday at 8:30 AM! What’s a strategic thinker to do?

First acknowledge this dilemma. Agree that we will look for ways to reflect on the critical issues and challenges facing the organization outside of the structured strategic planning process as well. Encourage people to think on their own time about the critical issues that have surfaced in the process and how we could respond to them. Another suggestion: from time to time get together over coffee or a brown bag lunch to discuss a specific issue in an unstructured setting – no agenda, no defined meeting outcome. A facilitator can help with probing questions but again, keep it informal and unstructured. It can also help to invite an outsider or two. Someone should take notes. Any new ideas will find their way in the formal process in the future.

At the risk of contradicting myself, there are also a number of creative thinking tools and structured activities that can foster breakthroughs. I’ll save that for a future post.

Strategic Issue Briefing Papers

Today a major challenge in strategic planning is keeping the number and frequency of planning sessions to the absolute minimum without compromising the integrity and efficacy of the process. People are simply not interested in participating in a process that eats up lots of their time in meetings - even if they see strategic planning as a necessary and worthwhile activity. When people come to a planning retreat for example they want to be prepared and they want to hit the ground running. Here's an activity that can help: the development of critical issue briefing papers.

After data has been gathered and analyzed by the planning team and critical strategic issues have been identified (no more than 5), team members form issue teams around each of the critical issues. Each team is charged with developing a 3-5 page “issue brief”. The brief provides some background for each issue and summarizes creative ways other organizations are responding to similar issues. Developing an issue briefing paper is an opportunity to educate ourselves about an issue – to come to a deeper understanding of the issue, how it is a “most critical issue” for the organization and what’s at stake for the organization especially if we don’t effectively respond to the issue. Developing the issue briefing papers is a warm-up for the decision-making that will follow. It is a way to prepare ourselves for the work ahead – developing the mission, vision, goals, and strategies that are typically the focus of a planning retreat. Preparing and distributing the issues briefs in advance of the retreat saves time at the retreat and helps retreat participants to better prepare. Here is the set of questions I have developed for issues briefs:

· Background: (Why and how this is a critical strategic issue for the organization?)
· Opportunities for the organization related to this issue: (Opportunities for growth, improvement, and/or increased program impact?)
· Threats for the organization related to this issue: (Threats to the organization and/or constituents served — consequences for the organization if nothing is done in response to this issue.)
· How nonprofits and other organizations facing similar issues, opportunities and threats are responding: (What changes, strategies, and shifts in direction are organizations attempting?)
· What major choices, decisions and/or shifts in direction does this issue challenge us to consider? · What other information do we still need in order to develop effective responses to this issue?

This activity can also be an effective way to involve people beyond the planning team itself. If you’d like a guide with sample issue briefing papers, let me know at frankwill@aol.com.

Post 911 Increase in Civic Engagement Among Young People

Another good news trend for nonprofits engaged in strategic planning: An increase in volunteering and civic engagement among young people in the wake of 911. Thomas H. Sander and Robert D. Putnam in an article that appeared in the Washington Post last fall (Sept. 11 as Civics Lesson) note …

"After a quarter-century decline of interest and participation in national politics among young Americans, a host of measures turned upward after 2001. Voting rates among 18- to 24-year-olds increased by 23 percent -- 2 to 12 times faster than those of other age cohorts in the national elections in 2002 and 2004. Since Sept. 11, young adults have expressed heightened interest both in "government and current events" and "social issues," according to surveys of high school seniors. And other long-term national surveys show that college freshmen are increasingly discussing politics -- once again a reversal that dates precisely to the fall of 2001. This politicization is especially pronounced among people ages 18 to 21 on Sept. 11, 2001, with a slightly lesser effect on Americans who were between 22 and 25. There seems to be little or no enduring Sept. 11 effect among older generations."

For links to more data supporting and describing this trend, also see a post by Peter Levine in his civic renewal blog at http://www.peterlevine.ws/mt/archives/000684.html.

Technology: A Critical Strategic Issue

For many nonprofits, technology emerges as a critical strategic issue in their planning efforts. And for some nonprofits, the impact of technology is not on the radar – and it should be. There are a number of resources available to help leaders think through the questions. Here are a few: Charity Channel offers several newsletters including E-Philanthropy & Technology Review (http://www.charitychannel.com/enewsletters/eptr/). For excellent resources and links to many more, check out the Nonprofit Technology Enterprise Network (N-TEN) (http://www.nten.org/ntresources) and TechSoup (http://www.techsoup.org/). Also see the Foundations Center’s links to nonprofit technology resources (http://fdncenter.org/research/npr_links/npr05_tech.html). While you’re at it, check out Networking for Good (http://www.networkforgood.org/Npo/technology/). And for a broader picture of technology and communications related public policy issues, visit the Benton Foundation website and be sure to check out the Library (http://www.benton.org/index.php?q=index).

Boomers: A Strategic Resource for Nonprofits

The aging of the baby boom and its implications for nonprofits is a far-reaching trend that your strategic planning efforts must address. There are lots of great resources available to help you figure things out: A study by the Harvard School of Public Health, Reinventing Aging:Baby Boomers and Civic Engagement (http://www.hsph.harvard.edu/chc/reinventingaging/Report.pdf), identifies baby boomers as a great potential source of volunteers in the future. The authors urge nonprofits to start making their pitch to boomers now. Talking To Baby Boomers about Volunteering - Part 1: Third Quarter of Life Passions (http://charitychannel.com/publish/templates/?a=7284&z=24 ) and Talking to Baby Boomers about Volunteering - Part 2: Volunteering As a Career Transition Strategy (http://charitychannel.com/publish/templates/?a=7534&z=24) will also be helpful in tapping this volunteer resource. Experience at Work: Volunteering and Giving Among Americans 50 and Over (http://www.independentsector.org/programs/research/experience.html) found that nonprofits can expect an increase in the number of high givers from this age group and confirms that more of this population will be available to volunteer more often.

More good news for nonprofits: The MetLife Foundation/Civic Ventures New Face of Work Survey (http://www.civicventures.org/publications/surveys/new-face-of-work.cfm) was the first survey to ask boomers now in their 50s what kind of work they want to do. The result: 58 percent of those in their 50s are interested in taking jobs now and in retirement that help improve the quality of life in their communities. The Boomer’s Guide to Good Work by Ellen Freudenheim (http://www.civicventures.org/publications/booklets/boomers_guide.cfm) also offers useful insights.

(Full disclosure: My name is Frank and I am an aging baby boomer.)

Collaborative Strategic Planning

Nonprofits are showing new interest in collaborative strategic planning efforts in which the focus is on a shared customer/constituent base or pressing community issue rather than development of a strategic plan for their organization alone. Examples include several youth and family serving organizations developing a collaborative strategic plan to offer new services to children with special needs in a region or neighborhood development groups focusing on affordable housing in city neighborhoods.

For many nonprofits – even those who see the importance of planning collaboratively – this will require a commitment to build capacity. Here is an excerpt from our capacity building assessment and benchmarking tool that illustrates what this path to increased collaborative strategic planning capacity would look like over time:

LEVEL ONE: Clear need for increased capacity - Organization does not engage in any collaborative planning on community initiatives with other service providers; sees no value in such efforts.

LEVEL TWO: Basic level of capacity in place - Organization engages in collaborative planning efforts at the request of external stakeholders such as funders; such efforts are isolated and usually short term in nature.

LEVEL THREE: Moderate level of capacity in place - Organization engages in some collaborative planning efforts sometimes at the request of external stakeholders and also because the organization views such efforts as a way to increase its impact; collaborative plans with other partners align with the organization's own strategic plan.

LEVEL FOUR: High level of capacity in place - Organization engages in and often initiates a range of collaborative planning efforts; views such efforts as integral to its success and as a way to extend and solidify partnerships and alliances that increase impact; collaborative plans with other partners contribute to the organization’s strategic plan as well as strategic plans of the broader community.

Strategic Vision versus Status Quo

One of the important and often unexpected discoveries in a strategic planning process is that we are not the organization we will need to become in order to achieve our new vision and implement our strategic plan. Here is an article from the Boston Consulting Group that explores the mismatch between vision and organizational culture. Author Eric E. Olsen begins “Vision creates intent. Culture determines action. Often the two are out of sync. When they are, culture can actually undermine vision and prevent a company from achieving essential business goals.” Olsen offers five principles, most of which are easily transferable to the nonprofit world. For the full article, go to: http://www.bcg.com/publications/publication_view.jsp?pubID=301&language=English

Trend Data that Supports Strategic Planning

Here are a number of trend reports that may be useful in your strategic planning efforts: A report by Lewis A. Friedland and Shauna Morimoto that examines the driving forces behind the rise in youth volunteering at http://www.civicyouth.org/research/areas/comm_partic.htm; the latest edition of the Annie E. Casey Foundation’s KIDS COUNT Data Book at http://www.aecf.org/kidscount/databook; Drivers of Change in the Governance of Nonprofits, a chapter in Improving Board & Organizational Effectiveness, published by the Southern Rural Development Center at http://srdc.msstate.edu/nonprofit/module01.pdf; an Annie E. Casey Foundation report that examines the tenure and future plans of nonprofit executives at http://www.aecf.org/publications/data/executive_transition_survey_report2004.pdf; a report from PNN Online that examines the state of E-philanthropy at http://www.pnnonline.org/article.php?sid=6104; a study from the Boston College Center on Wealth and Philanthropy on wealth transfer estimates among African American households at http://bc.edu/research/swri/meta-elements/pdf/aawte2.pdf; and a study by the Pew Internet & American Life Project that explores the impact of the Internet on families, communities, work and home, daily life, education, health care, and civic and political life at http://www.pewinternet.org/trends.asp.

For links to other trend data, see our Trend of the Week feature at http://www.createthefuture.com/trend_of_the_week_2006.htm.

Check back in the future for more links to trend data and post others that you have found useful for strategic planning.

Extensive List of Articles on Strategic Planning

The CEO Refresher (http://www.refresher.com/ceo.html) has compiled an excellent list of strategic planning articles and resources. Some that stand out are Business Planning and Strategic Planning Revisited by Herb Rubenstein, The Art of Strategic Conversation by Skip Corsini, Wishes for Strategic Collaboration, by Helene Mazur (all of her articles are very good!), Building Support for the Strategic Plan: Aligning Employees with Strategy by Robert W. Bradford, and Running a Strategic Planning Session by Estelle Métayer, just to mention a few. For the full list with links to each article, go to: http://www.refresher.com/archives29.html.

Strategic Learning

In previous posts, I’ve talked about the important link between strategic planning and organizational learning. An article that sheds light on the connection is Strategic Learning: A Leadership Process for Creating and Implementing Breakthrough Strategies by William G. Petersen. There is a book by the same title. After twenty years as a CEO of multinational businesses, Dr. Pietersen is now a Professor of the Practice of Management at the Columbia Business School in New York. He identifies the need to change as the central challenge facing leaders today. He goes onto say that three approaches have held out the greatest promise of enhancing an organization’s ability to adapt to change: the concept of the learning organization, the “resurgence” of strategic planning and complexity theory. He observes that none of these work on their own. He then identifies five “killer” competencies that organizations must master in order to become an “adaptive enterprise”: Insight, focus, alignment, execution, and renewal. The Strategic Learning model is then presented as a practical leadership process for mobilizing these five competencies. The process has four linked action steps: learn, focus, align and executive which are described in more detail in the article showing the potential for developing “breakthrough strategies”.

At the end of the article, the same four step process is described in terms of the individual learning and leadership development that can occur. The quality of emotional intelligence is also integrated into his model. Petersen’s synthesis of strategic planning, organizational and individual learning and leadership development offers insights that can help us build in new opportunities for learning in our strategic planning and thinking efforts. For a copy of the article, go to: www.williepietersen.com/pdf/Strategic_Learning.pdf

New Tools For Strategic Planning

I’ve come across a number of resources on strategic thinking and planning that are worth a look. I’ll be talking about some of them in coming posts. Here’s the first one: an article that appeared in the August 2005 issue of MIT’s Technology Review. (Go to: http://www.technologyreview.com/articles/05/08/issue/feature_social.asp) It’s entitled Social Machines and provides one of the best – and most exciting – summaries of how the Web is becomes more interactive. In the words of author Wade Roush, “Web 1.0 consisted largely of text files jazzed up with browser-readable HTML instructions on how to display the text and where to find related files. Web 2.0 is more like a collection of programs that talk to one another.”

The article is an introduction to this “collection of programs”. You know what a Blog is – you’re reading one. Do you know what RSS, wikis, and podcasts are? Maybe like you, I had heard of them but not really understood what they represent and what they are pointing to. Have you heard of web-based services like Flickr, Delicious, Socialtext, and Plazes? Me neither. We’ve all seen the Web as this powerful new way to work, communicate and collaborate. But really we haven’t seen anything yet! What does this have to do with Strategic Thinking and Planning? Lots. RSS feeds, wikis and podcasts are some of the new ways people and organizations engaged in strategic planning will do research, gather and share information, create new knowledge – some of the activities that are critical to strategic thinking. Will these new tools and services replace good old-fashioned face to face? Maybe some day. In the meantime, they are powerful tools that will dramatically increase the impact of face to face meetings and contribute to more effective strategic planning and thinking efforts.

A Temporary Detour

I’m in the habit of saying that strategic planning is not a conflict resolution process and that if there are internal conflicts in an organization, depending on the nature of the conflict, it may not be the right time to launch a strategic planning process. An example: if the Board of Directors is so weak and dysfunctional that it would be impossible for the board to engage in strategic planning in meaningful ways, first you need to put effort into board development.

But sometimes, the internal issues come to the surface after the strategic planning process has begun. In fact, given the comprehensive nature of strategic planning, a good process is going to surface some of those issues during the early information gathering and analysis phase. Some of these issues will eventually lead to goals, strategies and action plans.

But sometimes, there are issues that arise that simply can’t wait for implementation of the strategic plan at some future point. Some issues have to be addressed now – not later. In situations where an internal issue will make it difficult if not impossible to finish the planning process, it may be necessary to stop, deal with the issue at hand, and then resume the planning process. Recently, in one strategic planning project, it became very clear that tensions between the executive director and board leadership were getting in the way. After discussion with the executive director and board leaders, we agreed to hold a special working session to tackle a number of board/staff role questions and related communication problems. The session provided the needed opportunity to deal with the issues at hand and the planning process has resumed. As a result the executive director and the board leaders are even more enthusiastic about the future of the organization.

Aligning Boards and Management on Strategy

A recent article appearing in the Leader to Leader Institute quarterly journal entitled Aligning Boards and Management on Strategy by Ram Charan provides good advice on how to engage board and management in an in-depth discussion of strategy. According to the author, “Boards need to understand strategy, but it's not their job to create it. …The board's real value comes by helping management test whether the strategy is grounded in reality. They do that by insisting that management answer fundamental questions. …The value is in raising strategic issues, especially those that are uncomfortable. Then boards can dig even deeper.” Charan recommends a “strategy immersion session” as a way to achieve deeper board understanding and support of strategy. He also recommends that the strategy immersion session should be designed so that it is “more like a workshop than a stage show … to ensure that ample time is reserved for open discussion and informal interactions”.

The session be designed as a 1 day retreat event or as a 1-2 hour session within a regularly scheduled board meeting. The article includes suggestion on how to design such a session as well as facilitation notes. Go to: http://www.pfdf.org/leaderbooks/L2L/summer2005/charan.html