1. A Primer on Different Approaches to Strategic Planning
Presented by:
Frank Martinelli
The Center for Public Skills Training

3. Leadership’s Role in . . . Assuring long term financial sustainability
Alliances, partnerships and strategic restructuring
Measuring mission impact
Board and staff leadership succession planning
Nonprofit advocacy and public policy work
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4. Governance As Leadership
A Framework for Strategic and Generative Thinking

5. 3 Modes of Governance Fiduciary Mode – Key Questions
"How are we doing to date?"
“Are we in compliance?”
The board as “watchdog” - Anything wrong?
Strategic Mode – Key Questions
"What should we be doing?”
"Where are we going?“
The board as “strategist” - What’s the plan?
Generative Mode – Key Questions
“What are the new possibilities?”
“What’s the new question?”
The board as “sense-maker” - What’s coming next?”
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6. Three Modes of Governance
Type I Fiduciary
Type II Strategic
Type III Generative
Board’s role
Steward/ Watchdog
Strategist
Sense Maker
Key question
What’s wrong?
What’s the plan?
What’s the key question?
Problems are to be
Spotted
Solved
Framed
Way of deciding
Reach resolution
Reach consensus
Reach understanding

7. The Premise . . .
No perfect one-size-fits-all strategic planning model for every organization at all times.

8. It Depends . . .
What is the purpose or hoped for outcomes to be achieved by strategic planning?
Is a comprehensive planning process that includes work on mission and vision or is the organization only looking to update an existing plan at the level of strategy or action objectives?
How rapidly is the external environment changing and what level of threat to the organization do these changes pose?

9. It Depends . . .
Have past planning efforts been successful or not and what is the level of support for strategic planning this time around?
Based on organizational culture and style, is there a preference for one strategic planning approach over another?

10. Strategic Planning: A Range of Options
More Focused Process
More Comprehensive Process

11. Focused . . . . . Comprehensive
Mission/Vision Status
Issue(s) Selection/Identification
Information/Data Needs
Number of Planning Participants
Available Time
See page 2

12. Strategic Planning Approaches
Basic, comprehensive model
More narrowly focused issue- based approach
Strategic program planning
Scenario planning
Collaborative strategic planning

13. A Comprehensive Model

14. Strategic Planning Defined
Strategic Planning is the process by which the guiding members of an organization envision its future and develop the necessary plans, procedures and operations to achieve that future.

15. Make Decisions About . . .
The mission, vision and goals your organization will pursue
Whom you will serve
Your organization's role in the community
The kinds of programming, services or products you will offer
The resources needed to succeed
How to best combine these resources, programming and relationships for mission impact

16. Distinguishing Features
Attention to external environment, markets and stakeholders
Focus on developing shared vision
It’s strategic!
Addressing critical emerging issues versus putting out brush fires
Innovation versus business as usual

17. Vision of Intended Impact
Planning as a
Journey
Today’s Reality
Vision of Intended Impact
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18. Steps of the Planning Process
Step 1- Information Gathering and Analysis
Step 2 - Identification of Critical Issues Facing the Organization
Step 3 - Development of Mission Statement
Step 4 - Development of a Strategic Vision Statement that Sets Future Direction

19. Steps of the Planning Process
Step 5 - Development of Strategic Goals
Step 6 - Formulation of Strategies for Each Goal
Step 7 - Preparation for Implementation Planning Based on the Strategic Plan (Annual Objectives)

20. Levels of the Planning Process
Mission
Vision
Goals
Strategies
Objectives
“Forever”
5-10 years out
3-5 years
1-3 years
1 year
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21. Strategic Planning Benefits
Clear direction and focus
Increased program impact
Improved service delivery
Enhanced marketing and fundraising
Board effectiveness
Foundation for other types of planning
Engage others leading to deeper commitments
Be prepared for change

22. Elements of Effective Planning
Shared understanding of strategic planning
Real commitment to the process
Agreed upon outcomes for process
Leadership of the board
Involvement of key stakeholders
Structured to encourage boldness, risk- taking and creativity

23. Who Should be Involved? Organizational leadership
Executive director and board president
Other board and staff leadership
Strategic planning committee
Broad based constituent input
Internal stakeholders--all board and staff members, consumers/clients volunteers representing
External stakeholders--donors and prospective public and private funders, partners, among others

24. Step 1: Information Gathering and Analysis
External Assessment
Internal Assessment
Market Assessment

25. Types of Data
Changes and trends that impact the organization and the people we serve
Market information about needs, perceptions and services expectations
Internal assessment data that indicates capacity to deliver the mission

26. Sources of Data Existing statistics, studies, etc.
Secondary market research
Surveys
Focus groups
Key informant/expert Interviews
Community forums
Internal reviews, assessments and evaluations

27. An Information Gathering Plan
Board and staff survey
Key informant survey
Focus groups (Ex. for a school: parents, students, alumni, educators, community partners, donors, volunteers)
Financial trends data
Data from regional and national networks
Organizational assessments
Accreditation reports

28. Step 2: Critical Strategic Issues
Fundamental policy or program concerns which define major choices an organization faces now and in the future
Long-standing problems anticipated to have a significant impact on the organization and/or community served
Major shifts in thinking that challenge business as usual
Tension Points

29. Step 3: Mission Timeframe — “Forever”
Broad description of what we do, with/for whom we do it, our distinctive competence, and WHY we do it (our ultimate end)
Mission communicates “purpose”

30. Step 4: Strategic Vision Timeframe — 5-10 years Out
Describes the results/ impact we will have achieved and what the organization will need to look/act like in order to achieve those results
Vision communicates “direction”

31. Vision of Intended Impact
Planning as a
Journey
Today’s Reality
Vision of Intended Impact
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32. Strategic Vision
2005: The Milwaukee Public Library is Everyperson's gateway to an expanding world of information.
2014: MPL is an anchor institution that helps build healthy families and vibrant neighborhoods – the foundation of a strong Milwaukee.

33. Strategic Vision Example
We transform lives by creating a vibrant and diverse environment in which more women become independent, visible in leadership, and able to reach their full potential. Our mission and work are embraced by a community that has become intolerant of violence and oppression. (YWCA Sauk Valley)

34. Strategic Vision Example
More people, bowling more often, having more fun. (Bowling Inc.)

35. Strategic Vision Example
Every Nativity Jesuit Middle School student graduates from high school as a caring, compassionate and conscientious man poised for a life of Christian leadership and service.

36. Step 5: Goals Timeframe — 3 years out
Broad statements of what the organization hopes to achieve in the next 3 years. Goals focus on outcomes or results and are qualitative in nature.
Example
Attract, develop and retain a versatile high performing workforce.

37. Step 6: Strategies Timeframe — 1-3 years
Statements of major approach or method for attaining goals and resolving critical issues. Example
Offer a wide range of professional development opportunities for all employees.

38. Step 7: Objectives Timeframe — 1 year out
Specific, concrete, measurable statements of what will be done to achieve a goal generally within a one year time-frame.
Example
Launch a web-based professional training and development portal for employees by December 2014.

39. Goal/Strategy/Objective Progression
Attract, develop and retain a versatile high performing workforce
Offer a wide range of professional development opportunities for all employees
Launch a
web-based professional training and development portal by December 2014
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40. Objectives Responsible Party Time Frame Measure
What will be accomplished
Responsible Party
Position or group with primary responsibility for the objective
Time Frame
Identify completion date
Measure
How achievement of objective will be measured
Launch a web-based professional training and development portal by December 2014
HR Director
Dec. 31, 2014
# of portal visits;
# of tools downloaded;
# of times accessed web based resources are incorporated into professional development plans
Etc.
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41. Accelerated Strategic Planning
Responding to new opportunities faster
New models
Not a substitute for mission and vision work
“Faster is slower”
Collaborative strategic planning
Create opportunities for continuous strategic thinking

42. Focused Issue-based Approach

43. Focused Issue Approach
Highly focused effort: issue(s) clearly identified at the outset
Assessment of information/data needs
Development of strategies and action objectives to address selected issue(s)

44. Strategic Program Planning

45. Tools Sampler
MacMillan Matrix
Matrix Map
Theory of Change

46. Economic Attractiveness
MacMillan Matrix Worksheet
Program
Fit
Economic Attractiveness
Alternate Coverage
Competitive Position
Good
Poor
High
Low
Strong
Weak
Program 1 X
Program 2
Program 3
Program 4

47. 1. Fit -- Degree to which a program "belongs" or fits within an organization (Good or Poor)
Congruence with mission/purpose and vision?
Organization has existing skills and competencies?
Able to share resources and coordinate activities with other programs?

48. 2. Economic Attractiveness (High or Low)
Current stable funding?
High appeal to funders, supporters?
High market demand?
Measurable, reportable outcomes/results?

49. 3. Alternate Coverage -- competition (High or Low)
Are similar services provided?
Do customers have many other choices?
Competitors now and future?

50. 4. Competitive Position-- Stronger capability and potential to deliver the service than current or emerging competitors (Strong or Weak)
Stable staffing?
Ability to maintain and continually increase competency?
Cost effective?
Strong connections with consumers and stakeholders?
Good location, logistical delivery system?
Will customers remain? Grow?
Is quality superior?
Record of securing grants, funding?

51. Economic Attractiveness
MacMillan Matrix Worksheet
Program
Fit
Economic Attractiveness
Alternate Coverage
Competitive Position
Good
Poor
High
Low
Strong
Weak
Program 1 X
Program 2
Program 3
Program 4

52. High Economic Attractiveness (Easy to attract resources for support)
MacMillan Matrix
High Economic Attractiveness
(Easy to attract resources for support)
Low Econonic Attractiveness
(Difficult to attract resources for support)
Alternate Coverage
HIGH
LOW
Strong Competitive Position
1. Aggressive Competition
2. Aggressive Growth
5. Reinforce Best Competitor or Find Partner
6. “Soul of the Agency”
GOOD FIT
Weak Competitive Position
3. Aggressive Divestment
4. Invest, Find Partner or Divest
7. Consider Partner or Divest
8. Find Partner or Divest
9. Aggressive Divestment
10. Orderly Divestment
POOR FIT

53. Bell, Masaoka and Zimmerman
The Matrix Map
Bell, Masaoka and Zimmerman

54. What are your true costs?
Understand Your Finances
Specific Costs
Shared Costs
Admin Costs
Direct Costs / Program Costs
Portion of rent, liability insurance, technology, etc.
Portion of administrative costs.
What are your true costs?

55. Assessing Mission Impact
Alignment with core mission
Excellence in execution
Scale or volume
Depth
Filling an important gap
Community building
Leverage
Criteria to Consider

56. Understand How Your Activities Inter-relate

57. Strategic Imperatives

58. Strategic Imperatives
Instead of:
Taking it for granted . . .
Not involving the board . . .
Turning your attention to “problem areas”

59. Strategic Imperatives
Instead of:
Closing it because its not breaking even . . .
Making it the sacred cow that can’t be criticized . . .

60. Strategic Imperatives
Instead of:
Giving it second class status . . .
Keeping it separate from programs . . .

61. Strategic Imperatives
Instead of:
Trying once again to improve it . . .
Not thinking about it . . .

62. Theory of Change
A Theory of Change defines all the building blocks required to bring about a long-term goal.

64. Scenario Planning

65. Scenario Planning Steps
Step 1. State the focal issue or purpose.
Step 2.  List the key factors that influence the future in which our YWCA will operate.
Step 3.  List the driving forces among these key factors.
Forces that are highly predictable or predetermined (i.e. demographics)
Forces that are uncertain (i.e. public opinion). 
Step 4.  Rank the key factors and driving forces by importance and by uncertainty.  
Step 5.  Develop alternate futures.

67. Scenario Development
Develop an initial description of this scenario -- how you might expect this scenario to play out for the YWCA – what would be happening in such a future?
What is the impact of this future scenario on the YWCA and/or community served?
What are the implications for the YWCA? - What actions would we take to advance our mission if we knew this were the future?
 Write a short story or narrative that describes your assigned scenario.

68. Collaborative Strategic Planning

69. Collaborative Strategic Planning
Increasingly common – and important!
Focus on a shared customer base or constituency rather than developing a plan for one organization

70. Case Example Convener: Mental Health America - Wisconsin
Collaboration Partners: Nonprofit organizations and public agencies working in mental health
Planning Focus: Develop strategies to incorporate prevention and early intervention initiatives into the state public mental health system

71. Other Approaches and Tools
Open space
Future search conference
Whole systems
Appreciative inquiry
Real time strategic change

72. Fostering Innovation, Boldness, And Risk Taking
Include “outsiders”
Use analogies from other fields
Involve people at the edges
Meet in unfamiliar settings
Let yourselves go
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73. Preparing to Plan What do you expect to accomplish?
How much commitment is there to the process?
Is there organizational readiness for strategic planning?
How will the board and key staff be oriented to the process?

74. Preparing to Plan How long will it take?
Who else should be involved? How?
How will we encourage boldness, risk-taking and creativity on the part of planning participants?
Should a consultant be used for all or part of the process?

75. Back-home Planning: Initial thinking about the planning approach that will meet your YWCAs needs at this time

76. createthefuture.com