Strategic planning is vital for success, allowing leaders to map and share their vision for organizational growth, but what is strategic planning’s role in nonprofit organizations? Are these strategies always the best planning options, or do they necessitate any requirements before professionals can work on implementing them?
Leadership of nonprofit organizations must appreciate the benefits of strategic planning while filtering through the various misconceptions. For those seeking the critical-thinking skills to weigh these factors as well as the insight to implement strong strategic plans, the online Master of Business Administration (MBA) in Nonprofit Management program from the University of Mount Saint Vincent (UMSV) is an ideal setting to foster that growth.
What Is Strategic Planning?
Strategic planning is how organizations determine goals and chart their course. It’s like making a roadmap with established priorities and the actionable decisions to achieve them.
The idea of strategic planning isn’t new. Popularized in the 20th century, tools and methods like SWOT analysis, PPBS (planning, programming, and budgeting systems), and management by objectives gradually emerged. By the 1980s, strategic planning spread to schools and other fields, showing the importance of flexibility and change management.
Strategic Planning and Nonprofits
For nonprofit organizations, strategic planning is crucial. These groups aim to make a positive difference in areas like education, healthcare, and the environment. Here are some reasons they find planning essential:
- Direction and time saving: Strategic planning helps nonprofits figure out their mission and vision, which saves time and effort in the long term.
- Smart use of resources: With limited funds and resources, nonprofits must be careful about where they invest their time and money. Strategic planning helps them prioritize projects to maximize their resources.
- More impact: Having the right systems in place is the best way to streamline growth. Strategic planning helps nonprofits make a bigger impact while also securing a structure that supports ongoing growth and stability.
- Teamwork: By involving everyone from volunteers to staff members in the planning process, nonprofits can ensure they hear from different perspectives. This teamwork can lead to better decisions and more support for their mission.
The Importance of Engaging Stakeholders
Whether donors, volunteers, community members, or beneficiaries, stakeholders are key to strategic planning, fostering a sense of ownership and commitment to the organization’s mission.
This inclusive approach not only ensures that the strategic plan reflects diverse perspectives but also cultivates a network of support that will be necessary for long-term sustainability.
Misconceptions About Strategic Planning
Misunderstandings about applications and costs can keep people and organizations from fully leveraging and benefiting from strategic planning. The following are a few examples of common misconceptions:
Only for Large Organizations
Many believe strategic planning is only necessary for large nonprofits with significant resources. In reality, strategic planning is beneficial for organizations of all sizes. It helps smaller nonprofits identify their strengths, weaknesses, opportunities, and threats, enabling them to make informed decisions and allocate resources more effectively.
Not Adaptable
Some think strategic plans cannot be changed once they are in place, which is not the case. A strategic plan should be a dynamic document that adapts to changing circumstances, such as shifts in funding, community needs, or organizational priorities. Regularly reviewing and updating the strategic plan ensures it remains relevant and actionable.
Takes Too Much Time and Money
While strategic planning does require an investment of time and resources, the benefits often outweigh the costs. A well-executed strategic plan can increase efficiency, improve decision-making, and fortify alignment with the organization’s mission and goals. Moreover, many affordable tools and resources are available to help nonprofits with strategic planning, making it accessible even for organizations with limited budgets.
Strategic Planning: Essential to Nonprofit Success
In summary, even though strategic planning is a highly used term in business, it can also be a helpful resource for nonprofit success. According to business executive and Forbes author Rita L. Soronen, it is not simply an option but lies at the heart of nonprofit success.
The MBA in Nonprofit Management program from UMSV provides the tools and knowledge to navigate this critical process. By aligning goals, involving everyone, and addressing misconceptions, nonprofits can use strategic planning to further improve their communities.
Learn more about The University of Mount Saint Vincent’s online MBA in Nonprofit Management program.
