effective strategic planning part 3: measure, monitor, report

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Effective Strategic Planning part 3: Measure, Monitor, Report

Sam Frank

May 15, 2013

Twitter Hashtag - #npweb

Part Of:

Sponsored by:

Advising nonprofits in:!•  Strategy!•  Planning!•  Organizational Development!

www.synthesispartnership.com!!

(617) [email protected]!

!

INTEGRATED PLANNING

Part Of:

Sponsored by: Part Of:

Coming this June

Sponsored by:

Today’s Speaker & Host

Sam Frank Principal, Synthesis Partnership

Founding Director, Nonprofit Webinars Assisting with chat questions: Jamie Maloney, 4Good

Part Of:

SYNTHESIS P A R T N E R S H I P

Strategic Planning Part 3: Metrics!Wednesday Webinar: May 15, 2013!

© 2013 Synthesis Partnership All rights reserved !

Sam Frank Synthesis Partnership

Strategic Planning for Nonprofits part 3: Measure, Report, Monitor

© Copyright 2013 Synthesis Partnership All rights reserved. Copies permitted only with full attribution







Why metrics matter.

What you should measure.

How to use the information you gather.

How to create a more metrics-driven organization.

Take-aways"







What do you think you should be measuring?

And why?

Question"

(Use the question box to respond at any point during the webinar) !







INTEGRATED PLANNING

Integrated Planning"!







Operations

Wisdom

Cultivation

Circumstance

Organizational Development

Aspiration

Why Plan?"







Strategic Planning Process !" Prepare

Assess

Engage

Plan

Implement







Plan Development !Structure"!

Mission-Based Goals

Supporting Objectives

Measurable Actions

Mission

•  Clear, specific action •  Measurable result •  Timeline (start and completion dates) •  Resources required •  Responsibility







Context!Qualitative Quantitative

Intangible Tangible Vision Mission

a world in which every child attains the right to survival, protection, development and participation!

to inspire breakthroughs in the way the world treats children, and to achieve immediate and lasting change in their lives!

Market share People served Admissions

Website visits Donations

Press mentions Financial KPIs

(key performance indicators)

Demolitions stopped

One day all artisans in developing countries will earn a fair wage, be treated with dignity and respect and be able to live a life of quality.!

Ten Thousand Villages provides vital, fair income to Third World artisans.!







Approaches to Planning "

STRATEGIC PLANNING

RESOURCES

OUTPUTS

ACTIVITIES

OBJECTIVES

GOALS

MISSION

BUSINESS PLANNING

OUTCOMES

PROGRAM PLANNING

STRATEGIC PLANNING

LOGIC MODEL

THEORY OF CHANGE

OPERATIONS







Approaches to Planning "

STRATEGIC PLANNING

RESOURCES

OUTPUTS

ACTIVITIES

OBJECTIVES

GOALS

MISSION

OUTCOMES

STRATEGIC PLANNING

PROGRAM PLANNING

OPERATIONS







Focus We manage what we measure.

Sustainability “Nonprofit” is a tax status, not a business model.

Effectiveness Where’s the beef ?

Communication What they don’t know can hurt you.

Why measure?"







What to measure!

Environment (trends)

Norms (benchmarks)

CHANGING NEEDS!

COST FACTORS!

REVENUE FACTORS!

PERSPECTIVE !

COMPETITION!

ORGANIZATION!

PROGRAMS/SERVICES/DEPARTMENTS!

INDIVIDUALS!

PROGRESS TOWARD MISSION/VISION !INT

ER

NA

L!

EX

TE

RN

AL!

Performance

Outcomes







Tuition Trend

$10,000$12,000$14,000$16,000$18,000$20,000$22,000$24,000

96-97

97-98

98-99

99-00

00-01

01-02

02-03

03-04

04-05

05-06

06-07

Actual Recast

Equivalent Dollar Comparison

11.8%

0.3%0%

2%

4%

6%

8%

10%

12%

MedianIncome

Tuition

Household Median Income

$30,000$32,000$34,000$36,000$38,000$40,000$42,000$44,000

1989 1999

Actual Recast

How !"Trends !







How !"Trends !

-12%!

-10%!

-8%!

-6%!

-4%!

-2%!

0%!

2%!

4%!

6%!

00-01 ! 01-02! 02-03! 03-04 ! 04-05 ! 05-06 !

Attendance Trends!

A!

E!

F!

H!







How !"Trends !







Values per Square Foot

$57.80

$6.60$6.30 $7.20

$0$10$20$30$40$50$60

Deferred Maintenance Operating Cost

SchoolComp

Total Bldg Area per Student

260

322

200

225

250

275

300

325

350

School Comp

Deferred Maintenance as % of Replacement Value

43%

5%

0%

10%

20%

30%

40%

50%

School Comp

How !"Benchmarks !







How !"Benchmarks !

Years of Experience (% of faculty)!

0%!10%!20%!30%!40%!

<5! 6-10! 11-15! 16-20! 21 +!

Local!







What to measure!

Environment (trends)

Norms (benchmarks)

CHANGING NEEDS!

COST FACTORS!

REVENUE FACTORS!

PERSPECTIVE !

COMPETITION!

ORGANIZATION!

PROGRAMS/SERVICES/DEPARTMENTS!

INDIVIDUALS!

PROGRESS TOWARD MISSION/VISION !INT

ER

NA

L!

EX

TE

RN

AL!

Performance

Outcomes







Mission-Based Goals


Measurable Actions

Mission


How !"Performance & Outcomes: Strategic Plan!

< P

ER

FO

RM

AN

CE!

OU

TC

OM

ES

>!







Mission-Based Goals


Measurable Actions

Mission


FriendshipWorks: Reduce social isolation, enhance the quality of life, and preserve the dignity of elders and adults with disabilities in the greater Boston area. !

Centerpoint Institute for Life & Career Renewal: offers lifelong tools to navigate uncertainty, build meaningful careers, and design courageous lives. !

Literacy Advance of Houston:!Transforming lives and communities through the doorway of literacy. !

Plan Development !Mission = Outcome "!







Mission-Based Goals


Measurable Actions

Mission


[Membership] Strengthen ties & the sense of community among all members.

[Programs] Offer access to resources for young adults with cancer, their families, and their care providers.

[Advocacy] Influence public policy in support of mission

Plan Development !Goals = Outcomes"!







Mission-Based Goals


Measurable Actions

Mission


Foster strategic relationships with decision-makers.


Develop partnerships with congruent organizations.

Plan Development !Objectives = Outcomes"!







Mission-Based Goals


Measurable Actions

Mission


Develop programs that appeal to every segment of the community.

[Membership] Strengthen ties & the sense of community among all members.

Engage new members through as many means as possible.

Cultivate all younger members as potential leaders.

Plan Development !Objectives = Outcomes"!







Mission-Based Goals


Measurable Actions

Mission

•  Clear, specific action •  Measurable result •  Timeline (start & complete dates) •  Resources required •  Responsibility



Create contact list of decision-makers!Master list completed April 2013 $ 0 Director of Government Relations

Plan Development !Actions = Outputs"!







Mission-Based Goals


Measurable Actions

Mission




Speak with each decision-maker once/mo.!Monthly contacts made May 2013 ff $ 0 Director of Government Relations








Mission-Based Goals


Measurable Actions

Mission


Increase professional development funding Increase funding by 10% / year Begin with FY 2013; ongoing for 5 years $ 65,000 CEO

Recruit, develop and retain an excellent staff.

[Programs] Offer unrivaled quality of programs and services.








How !"Performance & Outcomes: Programs!

Mission: !End isolation and improve quality of life for young adults affected by cancer

Mission-Based Goal: !Offer access to resources for young adults with cancer, their families, and their care givers

Supporting Objective 2 "Develop a robust presence in cancer treatment centers

Supporting Objective 1 "Upgrade the website to state of the art







Mission-Based Goal: Membership "Strengthen ties & the sense of community among all members.

Supporting Objective 1:"Develop programs that appeal to every segment of the CBE community.

Supporting Objective 4:"Reach out to members only partially engaged in the CBE community.

Supporting Objective 8:"Cultivate all younger members as potential leaders.

Supporting Objective 1:"Communicate the financial facts more clearly to the membership.

Supporting Objective 3:"Make prudent choices about programs that can be supported.

Supporting Objective 4:"Build understanding about the need to enhance the endowment.

Mission-Based Goal: Finance "CBE will operate in a fiscally responsible manner.

How !"Performance & Outcomes: Support Functions!







How !"Performance: Strategic Plan Measurable Actions !







!!

How !"Performance: Strategic Plan Measurable Actions !







How !"Performance & Outcomes: Strategic Plan Tracking & Monitoring !!







How !"Performance & Outcomes: Dashboards!







Dashboard 41.7% January 31, 2013: 41.7% of FY 2012 Engagement & GovernanceEvent guests per trustee (#) 3.6 5.75 10 74% 3.45 8.2 138% 82%New donors per trustee (#) 1 2 5 150% 1.36 2.4 76% 48%Non-trustees on committees (#) 0 0 4 N/A 0 2 NEW 50%Non-trustees fundraising (#) 0 0 2 N/A 0 1 NEW 50% Finance Budget vs. Actual ($ million) 1.76 1.94 3.00 55% 0.96 1.43 49% 48%Cash reserve at FYE ($ thousand) 0.98 1.21 1.67 38% 1.19 1.65 39% 99%

Legend

LAGGING

PROBLEM

FY '12 YTD

YTD % Growth

YTD % FY Goal

STRONG GROWTH

ABOVE GOAL

ON TARGET

FY '10 Actual

FY '11 Actual

FY '12 Goal

increase '11 - '12

FY '11 YTD

How !"Performance & Outcomes: Dashboards!







Creating a culture of metrics!

Identify what matters most to your organization. Find meaningful measures to get at these issues.

Share your reporting broadly.

Mandate staff to set and manage metrics

Be clear that metrics will drive decisions (“the data shows that this isn’t working, so here’s what we’re going to change”)




Resources !"! Critical Issues

# 1 Why Plan? http://bit.ly/SyPci01 # 2 The Secret Life of Surveys http://bit.ly/SyPci02 # 5 The Structure of Planning http://bit.ly/SyPci05 # 7 On Mission http://bit.ly/SyPci07 # 8 The Measure of Success http://bit.ly/SyPci08 # 9 Brand Identity for Nonprofits? http://bit.ly/SyPci09 #11 Integrated Planning http://bit.ly/SyPci11 #12 Managing Change http://bit.ly/SyPci14 #15 Strategic Action http://bit.ly/SyPci15 #17 Fear & Loathing of Strategic Planning !http://bit.ly/SyPci17

Arguments Against Planning Blog post from prior webinar http://bit.ly/SyParguments

Other Webinars on Strategic Planning Strategic Planning Part 1: Cultivation & Organizational Development http://bit.ly/SyP2013plan1 Strategic Planning Part 2: Plan Development http://bit.ly/SyP2013plan2

Complimentary consultation !"(by e-mail or phone appointment) [email protected]





Advising nonprofits in strategy, planning, & organizational development

Questions?!

!!!!!!!!!!683 Commonwealth Avenue"!Newton MA 02459!""617 969 1881 "[email protected]!

www.synthesispartnership.com "!© Copyright 2013 Synthesis Partnership!

All rights reserved.!Copies permitted only in entirety and with full attribution!

Sam Frank, Principal "Synthesis Partnership!

Sponsored by:

Find listings for our current season of webinars and register at:

NonprofitWebinars.com

Part Of:

effective strategic planning part 3: measure, monitor, report

Business

metrics matter

strategic planning process

metricsdriven organization

plan development

monitor copyright

development andparticipation

world treatschildren

integrated planningpartof