Management of Not-For-Profit Organizations

472.315

Fall 2014

This Week

Projects• 1st presentation

Preparation for Chapter Presentations

Strategy• at least dipping our toes in the water

start on Reading Assessment• due in 2 weeks (Oct 14)• available at

http://buller.prov.ca/np/materials/NP%20RA1.doc

Strategy

So exactly what is strategy?

• How can profitable growth be achieved?

• How can the chances of survival be enhanced?

• How can competition be withstood?

• How can we thrive?

SWOT

• Strengths

• Weaknesses

• Opportunities

• Threats

SWOT

TOWS matrix

strengths weaknesses

opportunities SO WO

threats ST WT

TOWS matrixstrengths weaknesses

opportunities

threats

resources

5: ______________

resources

5: ______________

TOWS matrixstrengths weaknesses

1: ______________

2: ______________

3: ______________

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3: ______________

opportunities

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2: ______________

3: ______________

threats

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2: ______________

3: ______________

resources

1: ______________

2: ______________

3: ______________

4: ______________

5: ______________

TOWS matrixstrengths weaknesses

1: ______________

2: ______________

3: ______________

1: ______________

2: ______________

3: ______________

opportunities

1: ______________

2: ______________

3: ______________

a: ______________

b: ______________

c: ______________

a: ______________

b: ______________

c: ______________

threats

1: ______________

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a: ______________

b: ______________

c: ______________

a: ______________

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resources

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5: ______________

Brown: 4 Types of Strategies

1. prospectors₋ discovery

2. defenders₋ efficiency

3. analyzers₋ both discovery and efficiency

4. reactors₋ react to whatever comes through the door

Brown: 3 Main Strategy Tasks

1. need for services₋ resources available

2. mechanisms₋ to deliver services₋ to get resources

3. practices₋ to monitor performance₋ to control operations

Commenting on Brown’s text

Strategic perspectives are often held in the mind[s] of key decision makers, sometimes articulated but rarely captured in their entirety…

pg 216

Commenting on Brown’s text

“[T]o think and act strategically [means to]…make specific choices in order to accomplish particular outcomes or goals.”

pg 206

Commenting on Brown’s text

No organization can drive out all of the paradoxes and contradictions, but strategic management is the process by which to facilitate alignment among the various functions and activities in the organization….[This] is called alignment.

pg 207

Commenting on Brown’s text

Nonprofits needs to provide services, but they should also work to change the system so their services are no longer needed.

pg 221

Commenting on Brown’s text

Nonprofits that ignore the resource and market opportunities are like bike riders always heading into the wind or, worse, riders who don’t even know which way the wind is blowing.

pg 217

Commenting on Brown’s text

[D]ifferentiation is important for meeting community needs but also to attract resources.

pg 211

Commenting on Brown’s text

[C]ommitment to the organization and the mission are fundamentally important and a unique advantage for nonprofits.

pg 220

Commenting on Brown’s text

“[T]he effectiveness of organizational adaptation hinges on the dominant coalition’s perceptions of environmental conditions and the decisions it makes concerning how well the organization will cope with these conditions.”

pg 207 (quoting Miles and Snow, 1978)

Commenting on Brown’s text

…multiple “bottom lines”….multiple markets (resources & needs)

pg 213

Commenting on Brown’s text

As executives make decisions about staffing or about which programs to expand or discontinue, there need to be logic and objective criteria behind the deicison.

pg 223

A few things I’ve found useful

when you’re new:• do a10-year financial summary

₋ try to see changes₋ try to compare to oral history

• read every past annual report you can find₋ try to find repetitions

A few things I’ve found useful

when you’ve been there a while:• ask “What can we stop doing?”• take yourself to lunch once a month

₋ worries₋ hopes₋ ideas

• no-cost strategy retreats₋ worries₋ hopes₋ ideas

A few things I’ve found useful

when you’re too focused:• ask

₋ Who are the 2 or 3 best places in the world that do what we do?

₋ How did they get that way?₋ What can we copy?

• write the annual report 10 years from now₋ figure out how to make it come true

A few things I’ve found useful

when you’re stuck:• pull sub-text up into text

₋ making unspoken stuff explicit

• don’t be afraid to₋ be wrong₋ admit you’re wrong₋ let someone go₋ quit