Module 8 - Management Module 8 Objectives. Philanthropy is an integral part of the org s strategic plan your participation in the strat plan

Transcription

1 Module 8 - Management Module 8 Objectives Philanthropy is an integral part of the org s strategic plan your participation in the strat plan Design and implement short- and long-term FR plans and budgets in order to support the org s strategic goals Conduct performance analysis of the FR program Recruit, train and support staff using HR principles Use contractors Create policies that reflect the values of the org and satisfy legal and ethical standards Before raising funds, certain conditions need to be in place (pg.1) Leaders that have a clear sense of the mission. Leaders with a vision of the org s direction, knowledge of org s activities, mission, and how community is served. Continuous planning process The necessary resources to achieve plan Planning enables the organization to (pg. 2): 1) Ensure mission and purpose meets needs 2) Determine the focus of the organization 3) Outline the strategies for achieving goals 4) Establish the resources (human and fiscal) needed to design, implement, monitor and evaluation the organization s strategies and programs 5) Articulate/strengthen accountability 6) Provide a guide to manage and monitor progress 7) Provide the basis for management 8) Position itself for success Strategic Planning in Organizations (pg. 3 4) The Purpose of Strategic Focus 1) Allows organization to set course for a period of time (3-5 years) Crystal Mitchell Page 1

2 2) Names major steps org will take to achieve goals 3) Volatile environment also requires that strat plans be reviewed on an ongoing basis to ensure it remains viable and making any necessary changes to reflect reality What Strategic Planning Achieves Requires thinking at macro level Forces examination of the operating environment Engages stakeholders in the future Clarifies mission, vision values Sets/defines measureable goals/strategies Outlines responsibilities, timelines, resources Defines success and how it is measured The Strategic Planning Process: Planning Steps (appendix 105) 1. Develop consensus that planning process should be implemented 2. Determine if outside counsel is necessary to manage the process 3. Design the planning model 4. Establish a planning committee 5. Review the planning process and the role of the committee 6. Clarify group values 7. Examine the environment/marketplace (SWOT analysis, etc.) 8. Review the organization s mission 9. Determine the strategic direction and set goals 10. Outline strategies or programs 11. Determine tasks, timetable and required resources 12. Test financial feasibility of the plan 13. Draft the plan and present for approval Implementation and Monitoring 14. Outline Annual work plans, including the development plan 15. Carry out programs and activities 16. Monitor and evaluate success of plan 17. Plan for the next time Crystal Mitchell Page 2

3 Principal Components of the Written Institutional Strategic Plan (appendix 106) A written plan is result of a strat planning process. It should adequately describe the process and decisions and articulate strategies to achieve goals. Should be understandable to community of people NOT involved in planning process, as well as current and future organizational leaders. Strat plan is a communications document, a regular referral source and user s manual for staff, board members and committees. Guidelines and estimates for written strat plan include: Institution name, address, phone, date plan adopted Brief history Overview of planning process (research methodology, committee members, etc.) Statement of mission Statement of values Program and institutional capacity goals Specific strategies, those responsible, timelines for each strategy Description of resources necessary to achieve strategies including budget, staffing General comparative budget projections (income and expense) for duration of plan Description of how plan will be monitored, performance evaluated, plan extended How Development Planning Fits into Organizational Planning (pg. 5) An effective NFP has three major organizational plan documents to integrate: 1) Strategic plan 2) Development plan 3) Marketing plan Critical Factors needed to create a philanthropic fundraising environment: Donor focused research Target cases, constituents and methods Strategic communication Effective stewardship Key elements of the development plan (pg. 5): Crystal Mitchell Page 3

4 Development goals Strategies for reaching goals Analysis of potential by constituency and by strategy with income benchmarks for each Assignment of responsibilities for strategies and individual solicitations to volunteers, staff and others Marketing needs for each strategy Budget and funding for each strategy Staff and volunteers (certainly Board/trustees, but also other volunteers) must be involved in creating development plan success requires joint ownership of plan, process and outcomes Factors Impacting Plan Success Organizational reputation & credibility Urgency of case clarity and ability to articulate Well-researched prospect database Thorough pre-campaign planning Outside assessment of readiness Readiness of development office (pg. 60 Budget Planning (pg. 7-8) Building a budget can be done in one of two ways: Prior year budget Zero based budgeting Regardless of which method is used to create it, the budget should demonstrate a direct relationship between the $ spent and the $ raised. Analyzing and Evaluating Development Plan Performance (pg. 9-10) Sources of Information for Evaluation (pg ) 1) Job descriptions who s doing what and how much time spent on each responsibility Crystal Mitchell Page 4

5 2) Annual Performance Expectations for staff & volunteers based on development plan; written so achievement can be measured against standards 3) Action plan and timetable action steps, $ goals for each element of development program to be regularly monitored, adjusted accordingly 4) Department Budget supportive of FD plan through appropriate allocation of resources for each part of plan 5) Prospect records and systems maintain profiles of selected, rated prospects 6) Donor records and systems master database of all gifts; info on selection, screening, rating donors for upgrade, increased involvement 7) Results reports gift and pledge reports For sample report templates go to Appendix Results reports gift and pledge reports show an incredible amount of information about the org s development plan. They provide (pg. 11): % participation indicates success of appeal message, indicates acceptance of message Renewal rates & average gift demonstrates if solicitation method, prospect list, amount requested well-matched and worthwhile responding to Volunteer solicitation performance - % assigned prospects visited, number and size of gifts received Donor responses to recognition attendance at recognition events, responses to requests to give at higher amounts Special event ticket sales measure of public interest, clues that event design/flavour should change or if event still worth hosting There are three primary areas for reporting: 1) Sources of gifts and pledges 2) Purposes of/uses for the money 3) Results of each FR program The Governing Board s Role (pg ) 1) Policy making body a. Fiduciary responsibility for operations Crystal Mitchell Page 5

6 b. Hires and supervises the CEO c. Defines the roles of key committees d. Defines the Board s legal responsibilities and its involvement with the development program e. Regularly review the development program to ensure on track and remain true to organizational goals as articulated in strategic plan 2) Investment Policies a. Parameter for rate of return b. Who makes investment decisions c. Where and how are the funds to be invested d. How gifts of stock handled e. What types of gifts, gift restrictions will or will not be accepted 3) Management and Marketing of the FD Plan Policies a. Giving instruments b. Gift Negotiation c. Conflicts of interest d. Hierarchy of interests (donor-centric) e. Use of legal counsel f. Use of external consultants g. Ensuring pressure tactics not used in gift solicitation h. Establish safeguards i. Establish timing of payments j. Final disposition of testamentary gifts k. Meeting tax authority requirements Staff Management Fund Development The responsibility of staff lies with implementing the policies and programs set by the board. The CDO, CEO and other senior mgmt are responsible for managing the staff to ensure that implementation occurs. 1) Defining an Effective Staff Structure (pg ) i. Assessing current structure against the FD plan ii. Examining resources (those present and those needed) iii. Making decisions about building org capacity 2) Evaluating Existing Staff Expertise (pg. 16) i. Assess staff skills, knowledge, expertise Crystal Mitchell Page 6

7 ii. iii. iv. Examine staff interactions and relationships within organization Determine current levels of staff teamwork and other success factors Staff effectiveness and interaction with other parts of organization If needed consider developing new department or org structure based on current staff skills, effectiveness and available resources. Seek approval from Board, senior admin and leadership. 3) Planning to Acquire New Staff (pg. 17) i. Define skills, expertise gap specific positions, qualifications, salary ranges in accordance with org personnel policies, procedures, funds avail. ii. Create justification for new positions and probably impact on success of development program, process for recruiting iii. Determine compensation based on organizational practices and in keeping with professional association guidelines. iv. Determine what is needed to support development plan & articulating it v. Gain support of Board for expansion according to defined timeframe 4) Recruiting new staff (pg. 18) i. Be familiar with org policies ii. Identify most effective vehicles for recruitment iii. Publicize and follow up on inquiries 5) Processing new applicants (pg. 19) i. Determine a system ii. Identify candidates to interview and who will interview iii. Conduct the appropriate interviews iv. Offer the position 6) Orienting new staff (pg. 20) i. Establish formal orientation ii. Determine what should be included for every new hire 7) Ongoing staff training (pg. 21) i. Committing time and resources to a formal staff development program ii. Determine areas for staff training Crystal Mitchell Page 7

8 iii. iv. Identify internal and external sources of training Encourage staff participation 8) Building and Enhancing Teams (pg. 24) i. Creating and maintaining effective teams ii. Developing agreed upon norms iii. Utilizing staff meetings as team building activities iv. Handling disputes and other conflicts 9) Evaluating Staff Performance (pg. 26) i. Establishing an organization wide performance evaluation system ii. Regularly conduct evaluations iii. Handling negative/destructive behaviour Working with Consultants and Other Vendors (pg. 29) Come in to support work of the organization short-term, long-term or project basis Often where missing expertise on staff or volunteer rosters Can be solo consultant with specialized expertise or firm contracted to perform certain ongoing work such as fund management or PR Must have certain parameters in place for this to be successful Before any Consulting Relationship Begins Clear understanding of need Timeline, budget, staff roles and desired outcomes Agreement to provide information/access Process to ensure consultant understands critical issues Organizational commitment to the process and the time it will take and follow-through What can be outsourced? (pg.30) Prospect Research Development audit Facilitation of planning activities Direct mail operations Marketing activities Planned Giving Permanent fund management Campaign counsel IT Crystal Mitchell Page 8

9 Proposal development Organizational assessment Finding the right partner (pg.31) Consider a wide variety of sources to locate partner consult stakeholders, similar orgs, other consultants Develop formal RFP However some consultants won t respond to RFP because often written in restrictive way that won t allow consultant to share creative/unique/alternative approaches to project Alternately org can consider writing specific needs and desired outcomes in form of project guidelines for review and discussion with potential partner Due diligence check credentials, experience, etc. Assess FIT arrange meetings between partner candidate and org personnel who will be involved in project to help ensure synergy Managing Relationship for Success (pg. 33) Clearly defined scope of work mutually acceptable letter of agreement or contract include project steps, timelines, deliverables, fees/expenses, payment schedules etc. Identify single organization contact helps avoid having too many people guiding project Clarify roles and responsibilities, including oversight, follow up and follow through for both consultant and staff to ensure nothing slips through cracks Monitor work and maintain regular communication Anticipate challenges and plan for avoidance of them Outsourcing can be highly effective way to overcome staffing challenges or take on special projects you might not otherwise be able to do. The key is open communication, consensus on the scope of work, active monitoring and a partnership/team perspective. Crystal Mitchell Page 9