Manage Strategically

I participated in a meeting with a group of non-profit CEO's yesterday where one of those present made the comment 'in my 50+ years I haven't seen anything like the current economic crisis. The next 18 months are going to be very difficult'.

Clearly this comment was made in context to the conversation at the time yet it made me think a little about how you might go about managing your organisation over the next two years.

There is an old adage that goes like this. When the going gets tough the tough get going. Similarly, those that are bold in troubled times will reap the benefits when times become better.

It is tempting to pull in the shutters, lock the doors and hunker down in the bunker till the storm passes over. It is a strategy. It ensures you will still be there to open the doors at a later date. It also ensures you will have missed out on the opportunties that present themselves during troubled times.

Conversely it is tempting to act in an ad hoc and reactive manner. Grabbing at everything that presents itself. This may be an equally disasterous course to steer. Troubled times need a structured approach to sustainability not just a grab for gold or a struggle for survival.

What systems and processes does your organisation have in place to facilitate strategic decision making? Are decisions made on the fly or do you have in place a framework within which major decisions are made? Do you have in place a process of collaborative consultation and discussion - not death by committee - an actual process of healthy debate? Is his process aligned to the mission and values of your organisation?

It might even be time to reconsider the mission. When things are cruising along happily, few take the time to consider what you do, why you do it, who you do it for and how you go about the process.

The environment in which we operate is changing. Assuming a sufficient level of financial support from Government funding sources is folly. The cost of providing social services, in every area of society, is likely to increase significantly over the next few years and continue for many years to follow. The increased cost will be driven by rising labour costs.

Looking at how you organisation goes about generating revenue will always be a contentious issue. Sometimes revenue raising flies in the face of being a mission-driven organisation. The reality is that if your organisation is not able to remain sustainable for the long term it will not be able to effectively deliver services to the community. Funding will then be directed to those organisations able to demonstrate effectiveness, viability and sustainability.

Bring together managers and staff. Conduct a facilitated brainstorming session on the emerging environment and the issues this presents. Then take the time to relate the future to the present. It may be time for some strategic planning.

My advice. Dont pull in the shutters. Dont hucker down to wait for the storm to pass. As a service provider you owe it to your staff and your consumers to provide them with the best opportunities and services possible. This cannot be achieved by moving backwards or standing still. The future is viewed by looking forward and having in place systems and processes for well debated decision making.

John Coxon
Taking You from Frontline Manager to CEO