TOOL 16: COMPILING THE ORGANIZATION S BUSINESS PLAN

Transcription

1 TOOL 16: COMPILING THE ORGANIZATION S BUSINESS PLAN FARM MANAGEMENT CANADA SAMPLE BUSINESS PLAN

2 Table of Contents INTRODUCTION TO THE BUSINESS PLAN... 1 Background to the Business Plan... 1 Elements of the Annual Planning Cycle... 1 Changes to the Planning Process... 2 Accountabilities REVIEW OF ACHIEVEMENTS MISSION, VISION AND VALUES... 6 Current Mission... 6 Elements of FMC s Future Vision... 6 Vision Statement for Values STRATEGIC OBJECTIVES AND KEY RESULT AREAS STRATEGIC GOALS AND KEY RESULT AREAS: ACTIVITIES Mission-Based Key Result areas: Key Result Area 1: Delivery of Knowledge Key Result Area 2: Response to Sector Needs Key Result Area 3: Partnership Development Support Key Result Areas: Key Result Area 4: Governance and Management Practices Key Result Area 5: Communications and Messaging Key Result Area 6: Human Resource Management APPENDIX 1: BUDGET FOR APPENDIX 2: STRATEGIC INSIGHTS FOR FMC APPENDIX 3: PLANNING ELEMENTS FOR THE BUSINESS PLAN ii

3 INTRODUCTION: BUSINESS PLAN BACKGROUND TO THE BUSINESS PLAN The Business Plan for FMC is the result of: A review of available documentation of planning efforts to meet the requirements of Agriculture and Agri-Food Canada; The results of consultations with stakeholders in the past year; Consultation with the Board of Directors on strategic direction and priorities over the next fiscal year; An internal Environmental Scan to set the stage for the Board of Directors planning work sessions. Every attempt has been made for this plan to provide the means to meet and exceed the requirements set by Agriculture and Agri-Food Canada. Hence, this plan seeks to: Ensure FMC functions as a national umbrella for farm business management activity; Ensure stakeholder and partner involvement to provide a continuing message of collaboration and success for the organization; Ensure that FMC is responding effectively to emerging industry farm and farmer needs and issues; Continuously improve FMC s performance at the content level, by steadily improving its management processes and practices, providing accountability and creating a model for industry stakeholders to emulate; Extend the prestige and reputation of FMC in Ottawa, nationally and internationally. ELEMENTS OF THE ANNUAL PLANNING CYCLE Upon final approval in March 2012, FMC s Annual Planning Cycle will be made up of the following elements, among many others: A review of farm-level socio-economic trends on a provincial, national and international level; Staff and Board review of and recommendations on opportunities, issues and risks facing FMC; Staff and Board review of policies and procedures pertinent to governance, management practices and operations; Governance training, orientation and confirmation of governance processes and structures; Planning and work session(s) with various stakeholders including partners and funders; Planning and work session(s) with the Board of Directors; Budget preparation, integration and Plan approval; Sign-off on the Plan for the upcoming year; Regular reporting to stakeholders on the progress of the Plan; The year s review of achievements, contained in the FMC Annual Report and necessary reporting to funders, partners and industry stakeholders; 1

4 The Annual General Meeting of members to gather ideas, feedback and generate new ideas. CHANGES TO THE PLANNING PROCESS The key change to the Business Planning process for is the level of detail included in the plan. With the development of staff level Operational Planning, the Board level Business Plan can be more strategic in nature and contain information that is more pertinent to Directors. Accordingly, this Business Plan is shorter and links directly with funder expectations and staff project and program plans in support of the strategic direction set by the Board of Directors. ACCOUNTABILITIES The Chairman of the Board is accountable for the content of this Business Plan, on behalf of the Board of Directors. The Executive Director, is accountable for the implementation of the Business Plan and for managing the annual Business Planning process. Under the overall accountability of the Executive Director, staff members will develop an Operational Plan and work plans to ensure effective planning, oversight, performance measurement and impact management to achieve the goals set out in the Business Plan. 2

5 1. REVIEW OF ACHIEVEMENTS While FMC s achievements will be more completely contained within the Annual Report, for the purposes of formulating the Business Plan as a continuance to the Business Plan, and to assist Directors in discussion and approval of the Plan, specific and plannedfor achievements for include and are not limited to: Key Result Area: Direct Knowledge Transfer to Farmers To manage FMC s content knowledge as the go-to place for Canadian farm business management resources and information Design and development of the new website in conjunction with re-branding activities (including review of current website content and functionality and development of a client and content management system for effective response) Expanded Agriwebinar delivery through new and additional partners including live conference event broadcasts Design and development of an new, expanded Canadian Farm Manager newsletter Development of a social media strategy and plan for implementation Statistical report on the use of social media at the farm level International recognition: International Journal of Agricultural Management paper, Canadian Farm Manager newsletter feature in Japanese publication, Agriwebinar platform development for Denmark Agricultural Council, resources sent to Germany, New Zealand Key Result Area: Effective Response to Sector Needs To continue the development of FMC as a resource centre with sought-after, relevant, up-to-date materials in formats that are accessible by users Collected needs assessments on an ongoing basis to inform new projects, identify gaps and prioritize activities Contribution to Third Party consultations including Agriculture and Agri-Food Canada s National Renewal Survey, the Ontario Ministry of Agriculture, Food and Rural Affairs Advisor Training Survey, Consultation with partners and stakeholders including launch of a national tour to meet with Provincial/Territorial Ministries of Agriculture to inform new activities and enhancement to existing programs Inventory of resources and strategy for content knowledge and resource material update including development of a plan forward for establishing the learning architecture for farm business management; Designing a framework and go-forward strategy for FMC s knowledge management to efficiently and effectively collect, use and disseminate information for internal and external means Pilot projects investigation and development/design underway for National Month of Management, Growing Your Farm Profits enhancement and expansion, National succession resource, Farm Management Groups resource manual, Canadian Young Speakers for Agriculture presentation skills project, advisor education opportunities, national performance measurement coordination, 3

6 Developing a framework for a project to quantify the benefits of farm business management. Key Result Area: Partnership Development To explore and strengthen the relationships between FMC and partners to leverage resources for greater effectiveness and efficiency and directly engage with core target clients Participation in: International Congress of Agricultural Journalists, Quebec Farmers Association Food Forums, Agricultural Management Institute s Baseline Study Launch and Global Perspectives Conference, Bilingual Eastern Ontario Local Food Conference, Enhancing Data For Complex Agricultural Establishments international conference and various conferences and trade shows Presentations to: Standing Committee on Agriculture, Canada s Outstanding Young Farmer s Program, Quebec Farmers Association, Canadian Association of Diplomas in Agriculture, Centre de référence en agriculture et agroalimentaire du Québec s Colloque gestion, Canadian Young Farmers Forum, Agriculture and Agri-Food Canada s Farm Economics Analysis Division Federal-Provincial-Territorial Business Development Working Group National Workshop, Renewal Division, Strategic Policy Division, Growing Forward 2 Consultation Division. Partnership developed with Canadian Young Farmers Forum, Canadian 4-H Council, Canada s Outstanding Young Farmers Program for Step Up Mentorship program enhancement and delivery Student awards competition enhanced for earlier delivery and alignment with academic curriculum Participation on national farm shows including preparation for re-branding launch Development of HR Toolkit and participation in On-Farm Work Feasibility Study with Canadian Agricultural Human Resource Council Hosted annual Class B members meeting show and tell to inform national initiatives and collaborative opportunities Key Result Area: Positioning FMC for the Future To ensure that the governance and management practices of FMC are aligned to the provision of its services and are a model for the clients we serve Development of a Human Resource plan, including: o o o o Increased bilingual capacity Learning programs for continued enhanced capacity Alignment of the structure of the organization on program-project lines Completion of the staffing of the Project Manager, Program Manager and Administrative Assistant positions; Development of job descriptions, standard operating procedures and accountability framework documents for staff roles; Implementation of the Business Plan through project and program operational plans; Development and implementation of performance measurement mechanisms including reporting into Council operations, programs and projects through the Impact Measurement Program; Implementation of the Communications and Messaging Strategy including: o Approval for the change of name from the Canadian Farm Business Management Council to Farm Management Canada; 4

7 o o o Re-branding of the Council through messaging, visuals and reputation pieces Creating a Communications and Messaging position to staff within FMC Participation in various activities to increase reach and recognition: conference presentations, press releases, publication commentary, partner meetings Investigation and implementation of revenue building opportunities for FMC programs including a membership renewal strategy, sponsorship and advertising, and partnership development Ongoing confirmation and improvements to FMC s Governance Information Package, including the Governance Policy, Fiduciary Duties of Directors, Accountability Frameworks and Committee Terms of Reference; Governance training and strategic positioning sessions held including New Director Orientation and Director Succession Enhanced legal processes and documentation to protect the integrity and rights of FMC through professional services and partnership development Start-up of implementation of FMC business model and support processes through process integration modelling including project management, partner engagement, advisory groups, and performance review; and Hosting the Annual General Meeting of members and stakeholders, including: o o o Delivery of the FMC Annual Report Board nominations and elections Member and stakeholder engagement 5

8 2. MISSION, VISION AND VALUES CURRENT MISSION To provide leading edge resources enabling Canadian farmers to make sound management decisions. ELEMENTS OF THE COUNCIL S FUTURE VISION In five years time, the Council, known as Farm Management Canada, will be established as the national leader in farm business management. It will be branded in terms of its reputation in best practices, both for the benefit at the farm level and for the various organizations and associations that serve the producer. The reputation of FMC will have spread to other countries and the opinion of FMC s qualified resources will be respected in foreign jurisdictions. FMC will have a model relationship with all of its members, stakeholders and partners; it will have close ties with other associations in order to gain and share strength from the relationship. FMC will continue to be the national umbrella for farm business management, crossing regions, languages and commodities to facilitate the advancement of farm business management practices and delivery through national coordination and collaboration. FMC will have developed farm business knowledge management to a level that will be highly sophisticated both in process (e.g. effective Information Technology) and in content (e.g. the best information available on farm business management practices). FMC will be self-sustaining, with well-defined revenue and funding streams and with governments and industry financing specific and well-defined projects related to farm business management. FMC response mechanisms will be timely and flexible, allowing for maximum impact on the end client: the farmer. And, FMC s opinions on farm business management will be accepted, respected and included in agricultural policy development at the federal and provincial government levels. VISION STATEMENT FOR 2016 We are the catalyst for farm business management knowledge and skills and the primary resource centre for farm business management best practices and innovation in Canada and abroad. VALUES We of Farm Management Canada believe in: 1. A Culture of Management FMC nurtures a culture of business management across the nation, for the collective and individual improvement of Canadian farming and the life-long learning needed to achieve it. 2. Knowledge as our Base FMC understands itself as a purveyor of knowledge and skills to its client base and strives continuously to ensure that it is at the cutting edge of knowledge management to collect, 6

9 use and disseminate relevant information in a timely manner. As such, we will be active listeners. 3. Successful Relationships FMC works in collaboration with its provincial partners and stakeholders in providing access to the most appropriate and useful farm business management resources for Canada s farmers. We will encourage dialogue and sharing of ideas between individuals, groups, and jurisdictions. 4. Innovation The Canadian farmer will benefit not only from innovative business management practices, but from the innovative tools and resources to implement them at the farm level. 5. Managing Change The Canadian farmer is called upon to change farm business management practices on an ongoing basis in response to market needs and pressures; FMC flexes and responds to change in response to farm business needs. 6. Leadership in our Field FMC acts as the leader for the provision of farm business management resources and models effective business management to all those it serves and works with. 7. Participation in the Future of Agriculture FMC sits at the table with those in Canada who set agricultural policy and programs, aimed at providing knowledge and information on business management that will benefit the farmer. 7

10 3. STRATEGIC OBJECTIVES AND KEY RESULT AREAS Key Result Areas (KRAs) are those priorities where Farm Management Canada must be successful in order to be true to its Mission, Values and Vision and responsive to the needs of its clients, the farmers and farm managers of Canada. FMC s Key Result Areas are grouped into two clusters: Mission-Based KRAs and Support KRAs. It is understood by the Board and staff that Mission-Based KRAs will always have a higher priority than Support KRAs. It is also understood that Support KRAs are necessary for the successful delivery of those that are Mission-Based. MISSION-BASED KEY RESULT AREAS: KEY RESULT AREA 1: DELIVERY OF KNOWLEDGE Strategic Objective: To integrate and manage FMC s delivery of knowledge services overall, with FMC acting as the go-to place for Canadian farm business management resources and information. KEY RESULT AREA 2: RESPONSE TO SECTOR NEEDS Strategic Objective: To manage the ongoing development of FMC as the resource centre that delivers sought-after, relevant, up-to-date materials delivered in formats that are accessible by users. KEY RESULT AREA 3: PARTNERSHIP DEVELOPMENT Strategic Objective To further develop the capacity to strengthen the relationships between FMC and partners aimed at leveraging the resources needed for meeting client needs for greater reach and impact. 8

11 SUPPORT KEY RESULT AREAS: KEY RESULT AREA 4: GOVERNANCE AND MANAGEMENT PRACTICES Strategic Objective: To continue the development of the necessary governance and management practices of FMC to facilitate the provision of services to our clients. KEY RESULT AREA 5: COMMUNICATIONS AND MESSAGING Strategic Objective: To implement the full provisions of the ongoing Communications and Messaging strategy in the context of the change of name and branding of the organization, industry outreach and continuing to build the reputation and recognition for FMC and its activities. KEY RESULT AREA 6: HUMAN RESOURCE MANAGEMENT Strategic Objective: To continue to build the human resource capacity of FMC and ensure the most appropriate mix of staff and contract skills aimed at demonstrating leadership and providing services to the organization and its client base. 9

12 STRATEGIC GOALS AND KEY RESULT AREAS: MISSION- BASED KEY RESULT AREAS MISSION-BASED KRA 1: DELIVERY OF KNOWLEDGE Strategic Objective: To integrate and manage FMC s delivery of knowledge services overall, with FMC acting as the go-to place for Canadian farm business management resources and information. Strategic Goals: 1.1. By managing the ongoing provision of resource materials to FMC clients: 1.2. By managing the new FMC Website: Reports on clients receiving needed materials on a punctual basis; resource update strategy implemented; linkage to Learning Architecture, Best Practices Database and Knowledge Management. Year-end report. New site up and running as a way of placing more emphasis on direct delivery to the farmer; alignment with Farm Management Canada branding; continuous improvement in place in response to user needs; linkage to Knowledge Management. Year-end report By managing the new Canadian Farm Manager publication: 1.4. By managing the Agriwebinar Program: Performance Indicators: 1.5. By implementing a social media program: New publication up and running with continuous improvements in place. Year-end report. Timely delivery and continuous improvements in place. Year-end report. Social media implemented to extend direct delivery; linkage to Knowledge Management and Best Practices Database. Yearend report By implementing FMC s new Best Practices Database on Farm Business Management in Canada and abroad: BPD launched; linkage to Learning Architecture, Best Practices Database and Knowledge Management. Year-end report. 1.7 By managing the Step Up Mentorship Program for partner delivery: Effective delivery and enhancements in place for expansion. Year-end report. 10

13 MISSION-BASED KRA 2: RESPONSE TO SECTOR NEEDS Strategic Objective: To manage the ongoing development of FMC as a the resource centre that delivers sought-after, relevant, up-to-date materials delivered in formats that are accessible by users, both in printed and digital formats. Strategic Goals: 2.1. By collecting, conducting and contributing to needs assessments and consultations to uncover gaps in information and inform new projects and FMC activities: Environmental Scan as an input document to Business Planning 2.2. By identifying and investigating innovative tools and resources to respond to emerging sector needs: Tools and resources identified for implementation in FY and beyond, e.g. Presentation Skills project, Accounting Standards for agriculture, special content features (crisis response, market response, etc.), information portals, leading a farm business management recognition event. Year-end reports By developing a funding application for conducting an Impact Study on the benefits of farm business management for Canada: Report on findings including qualitative and quantitative results, a communications and messaging strategy and plan for sharing results, and a framework for ongoing, longitudinal study 2.4. By developing the framework for a multi-medium learning program for farmers and farm managers based on available FMC materials and incorporating new information on farm level needs: Farm business management Learning Architecture designed for content and delivery mechanisms to map farm business management information and formats for learning available; gaps identified for new projects and partnership development 2.5 By conducting a farm business management student competition to develop communication skills and provoke commentary on farm business management challenges, opportunities and trends: Report on the effectiveness of this activity. Engagement with academic institutions to enhance business management within curriculum. 11

14 MISSION-BASED KRA 3: PARTNERSHIP DEVELOPMENT Strategic Objective To further develop the capacity to strengthen the relationships between FMC and partners aimed at leveraging the resources needed for meeting client needs for greater reach and impact. Strategic Goals 3.1. By implementing FMC s Stakeholder Engagement Framework (SEF) aimed at defining the respective roles of Board and staff in the management of the many and diverse relationships in which the organization needs to engage: SEF implemented and monitored; gaps identified 3.2. By conducting and participating in a broad range of learning opportunities in order to keep advised of industry trends, issues and opportunities: Results reflected in FMC s Environmental Scan and reporting 3.3. By managing FMC s involvement in national farm shows and industry events: Participation in Canada s major national farm shows and industry events, selected for maximum impact and reports on results 3.4. By enlarging stakeholder consultation in the development of FMC s 5 year Business Plan: Focus groups held and continuity of national tour with various stakeholders including provincial/territorial Ministries of Agriculture for strategic insights and partnership development 3.5. By determining and addressing the gaps in coordination among the provinces to improve consistency, avoid duplication, increase value and respect regional needs: Focus groups held with provincial resources and path forward identified for improved coordination and partnering, e.g. annual Class B members meeting 3.6. By determining the feasibility and logistics of hosting a national farm business management conference in Spring 2013 and thereafter: Business Case to the Board of Directors, implementation By managing FMC s involvement in the International Farm Management Association s Canadian Congress (2015): Organizational Committee established. Planning underway for 2015 International Congress in Canada in conjunction with partner groups. 12

15 STRATEGIC GOALS: SUPPORT KEY RESULT AREAS SUPPORT KRA 4: GOVERNANCE AND MANAGEMENT PRACTICES Strategic Objective: To continue the development of the necessary governance and management practices of FMC to facilitate the provision of services to our clients. Strategic Goals: 4.1. By managing the implementation of FMC s Business Plan with associated metrics that measure the performance of FMC and the value to Canadian farmers and farm managers: Business Plan signed off, complete with annual environmental scan, a 5 year vision, support plans, performance report and the Annual Report 4.2. By managing the Board of Directors and FMC governance to achieve strategic directives and ensure ongoing strategic alignment of FMC to industry needs and opportunities: Annual governance training and strategic planning session and associated activities to continue to advance FMC s reach, impact and relevance 4.3. By managing the development of FMC s client and content relationship management program as part of Knowledge Management for effective collection, use and dissemination of information to key stakeholders Improved client and content management systems in place; aligned with overall FMC knowledge management for effective response; content knowledge inventory and review complete; gaps identified; legacy materials placed in archives; linked with Knowledge Management, Learning Architecture and Best Practices Database 4.4. By developing an Income Generation Strategy for FMC s long-term viability, sustainability and growth and in preparation for the 2013 Contribution Agreement submission including broadening the funding sources, increasing revenue and sources of revenue, and general contributions: Development of an Income Generation Strategy. Increased funding and contributions from a variety of sources; Engagement of Agriculture and Agri-food Canada in the strategy. Identification of the wide variety of revenue generation opportunities (advertising, sponsorship, membership, product sales, RFPs, 13

16 etc.). Use of the Foundation as a source of funding. Enhanced services-based activities. Improved engagement with partners for ongoing financial support By investigating strategic alliances with like organizations who share similar and complementary values: Report to the Board 4.6. By continuing to refine FMC s membership structure and benefits programs in conjunction with partnership, sponsorship and funder development: Changes to membership structure in place with positive impact on sustainability of FMC 4.7. By investigating FMC s foundation (F.A.R.M) as a possible mechanism for funding activities Report to the Board 4.8. By preparing for the Growing Forward 2 funding request to Agriculture and Agri- Food Canada: Strategy developed; strategic engagements with key stakeholders in building the FMC Business Case and funding proposal for renewal of funding, based upon moving towards greater financial autonomy 4.9. By diagnosing management issues and concerns using FMC s Business Model and implementing required operational process changes, e.g. to service delivery: Management process gaps identified for action SUPPORT KRA 5: COMMUNICATIONS AND MESSAGING Strategic Objective: To implement the full provisions of the ongoing Communications and Messaging strategy in the context of the change of name and branding of the organization, industry outreach and continuing to build the reputation and recognition for FMC and its activities. Strategic Goals: 5.1. By implementing FMC s Communications and Messaging Strategy and process: Communications Strategy and process implemented complete with an activities schedule and FMC Communications Policy in place; linked to appropriate FMC processes, e.g. Stakeholder Engagement Framework, Business Planning Process 14

17 5.2. By hosting the official launch of FMC s new name complete with branding, messaging and imagery Official Launch event held in conjunction with 2012 Annual General Meeting 5.3. By managing the celebration of FMC s 20 th Anniversary with various events and initiatives to recognize the history of the organization, current activities and ongoing relevance 20 th anniversary celebratory activities in conjunction with Communications and Messaging Strategy SUPPORT KRA 6: HUMAN RESOURCE MANAGEMENT Strategic Objective: To continue to build the human resource capacity of FMC and ensure the most appropriate mix of staff and contract skills aimed at demonstrating leadership and providing services to the organization and its client base. Strategic Goals: 6.1. By developing and implementing the elements of FMC s Human Resource Management Plan: Tracking of HR goals, e.g hiring and integrating additional staff, continued development of standard operating procedures 6.2. By implementing FMC s Performance Management system: 3 levels of Performance Management completed: 1) Board; 2) Staff; 3) Organization-wide 6.3. By implementing FMC s annual Continuous Learning Program, aimed at nurturing the knowledge, skills and motivation of both Board and staff members: 6.4. By completing FMC s Human Resource Policy: Continuous Learning Program in place with schedule of learning events for staff and Board Publication of the FMC Human Resource Management Policy and Guidelines 6.5. By sustaining and increasing the bilingual capability of FMC: Continuous improvement bilingual capability in FMC office, meetings and communications 15

18 IN WITNESS THEREOF, this Business Plan is duly executed, agreed to and approved by the authorized representatives of the Parties. On behalf of Farm Management Canada staff: per: Executive Director Date: On behalf of the Farm Management Canada Board of Directors: per: Chair of the Board Date: 16

19 APPENDIX 1: BUDGET FOR REVENUES Agriculture Canada $ 1,500,000 Membership Fees $ 40,000 Interest Income $ 2,000 Product Sales $ 50,000 Ag. Excellence Conference Sponsorship $ 200,000 AGM Registration & Sponsorship $ 10,000 Miscellaneous Revenue $ 5,000 Webinar Revenue $ 75,000 FBA Website Revenue $ 2,500 Step UP Program Revenue $ 50,000 In Kind Contributions $ 100,000 Advertising & Sponsorship $ 100,000 TOTAL $2,134,500 EXPENSES Strategic 2012/2013 Goal Description Budget 1.1 Provision of Resource Materials $ 150, Managing Website $ 145, CFM Publication $ 200, Agriwebinar Program $ 200, Implement Social Media Program $ 25, Implement Best Practices Database $ 30, Manage Step Up program $ 25,000 $ 775, Conduct needs assessment and consultations $ 20, Identify emerging sector needs $ 15, Impact Study for FBM in Canada $ 10, Develop framework for a multi-medium learning program $ 15, Excellence Award $ 5,000 $ 65, Implement Stakeholder Engagement Framework $ 20,000 17

20 3.2 Participate in learning opportunities $ 5, Farm shows and industry events $ 15, Stakeholder consultation for development of 5 year plan $ 15, Coordination among the provinces $ 15, FBM Conference for spring 2013 $ 200, IFMA Canadian Congress in 2015 $ 15,000 $ 285, Implement Business Plan $ 5, Board of Directors and Governance $ 300, Client and content relationship management $ 2, Broaden FMC's funding sources $ 10, Increase revenue and sources of revenue $ 5, Investigate strategic alliances $ 5, Refine FMC's membership structure $ 10, Investigate using FARM as a mechanism for funding $ 2, Preparing for GF2 $ 5, Implement operational process changes as required $ 2,500 $ 347, Implement FMC's Communications strategy $ 30, Host official launch of new name w/branding $ 10, Manage 20th Anniversary celebration $ 20,000 $ 60, Implement FMC's HR management plan $ 10, Implement FMC's Performance Measurement plan $ 30, Implement FMC's continuous learning plan $ 15, Complete FMC's HR Policy $ 2, Increase bilingual capacity of FMC $ 2,500 $ 60,000 Administration $ 300,000 In Kind $ 100,000 Total $1,997,500 18

21 APPENDIX 2: STRATEGIC INSIGHTS FOR FMC BACKGROUND This document, entitled Strategic Insights for FMC has been prepared as a result of the Board and staff engagement work that took place prior to the November 2011 Board meeting. Though a great deal more detail was captured through the Board and staff survey process that will be brought to bear on the operations of the organization, the level of the commentary in this paper is meant to be strategic and fuel discussion on the future direction of FMC. All elements have been integrated into the Strawman Business Plan of the Council. MISSION FMC exists to promote and nurture knowledge and skills in farm business management at the producer level. It is a catalyst. It also educates the entre agricultural community, i.e. the stakeholders, on the need for farm business management. As such, FMC acts as a single access point and resource base for life-long learning in terms of the knowledge and skills needed to manage the farm business. FMC is a national organization and, as part of its mission, should be the prime coordinator of Canada-wide information on farm business management, rolling up the efforts of all those stakeholders who contribute and participate in improving the farm s business. FMC should be known to enhance farm success in Canada. COMPETITORS FMC can consider as competitors such other agencies as the agricultural ministries in the provincial governments, extension work performed provincially and large institutions such as Farm Credit Canada. However, with a perspective of collaboration, it may be appropriate to consider such competitors as partners in the context of strong leadership exercised by Farm Management Canada. Therefore, FMC needs to build its branding and reputation in order to be considered the first and foremost national leader when it comes to farm business management. Other stakeholders will then see the benefit of partnering, through differing forms of collaboration. ROLE OF THE FMC FMC plays the role of national and international leader in farm business management. On the national level, it is an unbiased organization specialized in coordinating the development and dissemination of information and resources related to farm business management across Canada. FMC s national delivery is evenly split between services offered directly to farmers and farm managers and services offered by provincial, regional and local resources; FMC defines, develops and acts as a conduit for tools, resources, programs, best practices and research and development related to the management of the farm business. At the international level, FMC represents Canadian farm business management practices to the world and also acts as a repository of international best practices in farm business management. Nationally and internationally, therefore, FMC acts to promote and strengthen the culture of farm business management. 19

22 ROLE OF THE PROVINCES AND TERRITORIES The provinces and territories play a partnership role with FMC. They promote FMC as the national leader in farm business management. They contribute resources to FMC and use FMC s pooled resources for their own work. They collaborate with FMC on a broad range of projects related to farm business management, such as the development of learning programs, research and development related to new farm business management practices and development of more immediate information flows to and from the farm level. Since the provinces and territories are in closer proximity to the farm operation, they represent to their producers the best that Canada has to offer, as coordinated by FMC. Provinces and territories ensure a national economy of scale through the pooling of farm business management resources and tools for the benefit of all stakeholders. VISION In five years time, FMC will be established as the national leader in farm business management. It will be branded in terms of its reputation in best practices, both for the benefit of the farm level but also for the various organizations and associations that serve the producer. The reputation of FMC will have spread to other countries and the opinion of FMC s qualified resources will be respected in foreign jurisdictions. FMC will have a model relationship with all of its members, stakeholders and partners; it will have close ties with other associations in order to gain and share strength from the relationship. FMC will have developed farm business knowledge management to a level that will be highly sophisticated both in process (e.g. effective Information Technology) and in content (e.g. the best information available on farm business management practices). FMC will be selfsustaining, with well-defined revenue and funding streams and with governments and industry financing specific and well-defined projects related to farm business management. FMC response mechanisms will be timely and flexible, allowing for maximum impact on the end client: the farmer or farm manager. And, FMC s opinions on farm business management will be accepted, respected and included in agricultural policy development at the federal and provincial government levels. ENSURING THE PATH TO THE VISION In order to sustain the path to the vision, the leadership of FMC, i.e. the Board of Directors and staff will develop and implement the long term business plan that contains both strategic and operational elements. In so doing, it will be modeling the kinds of behaviours that will brand FMC as a national leader in planning and implementation. As part of the annual renewal of the Business Plan, FMC will install and maintain the necessary features and functions of leadership, e.g. communications and messaging, research and development, continuous improvement, quality management, relationship management, revenue and funding strategies, marketing and branding, to name but a few. Virtually all that FMC will develop for its own use will become products and services available to its client base, i.e. the farmer and those who serve the farmer. FMC will remain focused on its core competency and will demonstrate its worth to the outside world through benchmarking and through measuring the impact of its activity on farm business management in Canada. GOVERNANCE AND OPERATIONS As the national leader in farm business management, FMC is also a model and teaching resource related to excellence in governance and in the implementation of operations. The FMC Board of 20

23 Directors is defined as strategic and its members, carefully selected for their competencies and ability to model leadership behaviours, provide the overall direction of the organization. Staff members not only execute the will of the Board, they also bring to the strategic level of the organization ideas related to the future of the organization and issues that might impact it. The Board is often consulted on matters of strategy and acts as a catalyst for communication, messaging, revenue generation, partnership development, etc. Board Directors and Advisory Council members are engaged and active in their pursuit of the development of FMC as a national leader and are willing to focus on tangible, real life programs that will be accepted and used by the farm audience because they are mainstream, fast to market and interesting. GATHERING AROUND THE FMC TABLE There are a great many FMC stakeholders and there exists an excellent potential for many more. In the next fiscal year, the FMC Board of Directors and staff will have developed a robust Stakeholder Engagement process and policy that organize all of the relationships that the organization engages in. Everyone, from the producer, to partner organizations, to academia, to financial institutions, to the international community, to the general public, will have their place in FMC s engagement approach, aimed at linking together people and ideas for the greater benefit of farm business management. Engagement must also include and link to funding organizations, not only Agriculture and Agri-Food Canada, but any other funding association, agency or foundation that can play a role in supporting the development farm business management practices in Canada. FINANCING THE FMC DREAM To meet the needs of its farm level clients, FMC will develop a fully integrated funding strategy, involving, for example, the sale of its products and services, sponsorships, project resourcing from both the private and public sectors, linkages with other funded organizations, joint ventures with industry, responses to Request for Proposals aimed a revenue generation, among others. FMC will be aiming at a broad and diverse base of revenue generation and funding opportunities, in order to have the resources to perform its work and to act as an innovation leader in the development of state of the art farm business management practices. This will link FMC s research and development to its partner development, and in turn, to its coordination role. FMC will be ensuring that all of its projects and programs recover costs and provide seed money (e.g. a funding pool) to other projects, without breaching the conditions of its not for profit status. PRIORITIES The FMC needs to remain focused on achieving its vision of the future. To that end, a glance at the past through 20 th anniversary celebrations will be in order, while FMC continues to develop itself as a leading organization. For example, FMC will move briskly towards measuring its organizational performance through its newly minted Impact Measurement Program; it will strengthen all of its management processes through its Process Integration Model; it will redesign its brand through the roll-out of its new name and persona. FMC will look forward to its international linkages through its hosting of the International Farm Management Association Congress. To assist its partner organizations, FMC will model the development of its policies: Governance, Human Resource Management, Project Management, Program Management, Communications Management, Stakeholder Engagement, to name but a few. FMC will inventory and update all of its resource materials and plan the filling of gaps in its line-up of needed 21

24 materials and tools through a learning architecture of farm business management. And, FMC will begin the long march to financial independence with the ongoing support and assistance of AAFC. These efforts include preparation for the 2013 Contribution Agreement and proven revenue and funding resources outside of AAFC. THE LOOK OF SUCCESS Apart from measuring our impact on the farmer and farm manager s business management practices, FMC will demonstrate its ability to gather around it an increased number of members, partners, stakeholders and partners, whose willingness to participate in FMC s future will provide significant energy towards attaining the vision. Other measures of success will include the degree to which FMC is able to become independent financially (through new, additional funding), measurable improvements of farm business management at the producer level, the numbers of young entrants to the agricultural sector, increased coverage by the various media, increased usage of social media, involvement in international events and continuous improvement in the management of all relationships. Innovation in farm business management will also be a certain mark of success, for example, calibrating farm business management needs in terms of differing production, size of operation, region, climate, etc. and designing and delivering more customized business management packages along with common denominator information. This will require a great deal of accuracy in defining the most appropriate delivery agent to reach the farm and renewed focus on what such agents need in order to be effective and to demonstrate their effectiveness in measurable terms. THE RISK OF FAILURE FMC faces significant risk in following its path to its vision. One key risk is the inability of the Board to provide consistent strategic direction to staff, discouragement and loss of needed employees and subsequent blunting of FMC s change and renewal efforts. Should FMC not follow through on its mission, then it is likely to lose the interest of its stakeholders, e.g. members, partners and sister agencies. Slavish adherence to AAFC funding constraints is also likely to limit FMC s growth; effective dialogue with the funding agency based on FMC s stated desire to become independent will be a pre-requisite to moving forward in terms of new products, decreased administrative costs and innovations. FMC cannot be an also-ran in providing resources and tools to the farm community, since it will rapidly be overcome by those agencies that could have been partners but instead have become competitors, because of dissatisfaction. FMC will need to keep the focus on the principles and practices, knowledge and skills and tools and resources of farm business management. FMC will need to manage its enterprise risks well, since in its leadership role, it can also extend help to farmers as they deal with the risks that impact on farm management, such as well-meaning but restrictive legislation related to Business Risk Management, issues at WTO, competition by cheaper and unrestricted imports, loss of consumer support for the Canadian farmer, environmental concerns related to the farm, the growing role of agri-business at the farm level and long-term debt management. 22

25 APPENDIX 3: PLANNING ELEMENTS FOR THE BUSINESS PLAN This document, entitled Planning Elements for the Business Plan is the result Board discussion during the Strategic Planning session November 4-5, Seven key result areas were identified. Details concerning priority activities within these Key Result Areas are captured below. 1. Knowledge Management - Review of resources (materials and tools) i.e. an inventory - Development of learning architecture for farm management needs to be structured into a curriculum - Technology integration how to use and move into social media - Definition of scoping what is FBM linked to branding - Scoped development - Effective response (definition development) linked to measurement piece - Development of Key Skills including HR, Communications, and financial management 2. Stakeholder Engagement - Partnership development - Development of international relations - Development of client relationship management - Development of service lines for partner organizations - Development of political engagement (meeting with ministers, heads of other structures) - Membership (organization, sorting, structure and consultation) 3. Marketing and Branding - Implementation of the name and image - Anniversary celebrations - Communications management - Advertising strategy - Branding through others i.e. co-branding - Influencing - The Brand itself clearly defined - Valuation (value proposition - of FMC and its products) - Farm Management Certification 4. Funding and Financial Management - Analysis of the farm as a funding mechanism - Contribution agreement preparation - Development of the funding and revenue strategy (factors in membership dues, advertising, products) 5. Governance 23

26 - AGM development (or alternative) - Membership rationalization, renewal management - Classification rationalization - Conformation of Policy Development (process and output) - Committee Development: Executive Committee Election Committee Nominations Committee Membership Committee 6. HR Management - Policy development - Staffing of key positions - Team building and management (to meet challenges of different skill levels and willingness to do things) - Development and implementation of staff and board learning (training) - Development of a stable of resources (i.e. if FMC is expert in farm management, then who are the experts that can be deployed to go to the field to help farmers) - Leadership development (i.e. farm) needs to be resurrected. (ex; CALL but that was an expensive program) (very interesting piece per Paul) - Move leadership also to Stakeholder engagement - Added by Heather - And add stable of resources for the organization in terms of organizational management, but development for farmers can moved to knowledge management 7. Operational Management - Impact Measurement - Process integration (connection of the various programs) - Operations Policy Development (will be separated out) - Definition of delivery agents (who will deliver what to whom at the farm level and how) - Risk Management - Benchmark development (across the country, and what are the comparisons, and how do we compare with other countries) - Best (smart) practices development and management (what constitutes a smart practice and how do we transfer that to the farm) 24