Organizational 20identification 20 20of 20Five 20Life 20Stages 20of 20Non 20profits by yIleSCd

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									   Five Life Stages of
   Nonprofit Organizations

 A discussion of characteristics, obstacles and
opportunities at each of the stages. Information
      from Judith Sharken Simon‟s book.
Review – Five Stages
 Imagine & Inspire
 Found & Frame
 Ground & Grow
 Produce & Sustain
 Review & Renew
Seven Arenas of
Organizational Life
 Governance
 Staff Leadership
 Financing
 Administrative Systems
 Products and Services
 Staffing
 Marketing
Nonprofit Organizations
Obstacles & Opportunities
 Obstacles – those factors and incidents
  (mostly internal) that can hinder an
  organization from achieving success.

 Opportunities – those positive elements or
  factors (internal or external) that can aid an
  organization in achieving success
Imagine & Inspire
Challenge – Dream the dream
 Organizational Arenas
     Staff Leadership – the person with the dream
     Products/Services – maybe but only in mind
 Obstacles – Too many to list
 Opportunities –
     The Dream
Tips – Imagine & Inspire
 Go or no-go
     Decision Time
          Is this the way you want to spend all of your time
           over the next several years of your life?
          Is it going to be possible to spread YOUR dream
           to others to make this a reality?
          Think about who can help make your dream
           come true!
Found & Frame
Challenge – Dream to Reality
 You decided to go and you have your formal
  nonprofit organization (501c3)
     This stage usually lasts one to two years
Found& Frame
Organizational Arenas
 Governance – Begins to be formal
      Board Formed
      Board Meeting/Thinking/Working
 Staff Leadership – Still entrepreneurial
      Focused and driven
 Financing
      There is some
      Pretty much day-to-day
Found& Frame
Organizational Arenas
 Administrative Systems
     Informal and only as needed
 Staffing
     You and some dedicated volunteers
 Products/Services
     One major activity
     Several mission-related activities
 Marketing – informal/opportunistic
Found & Frame
 Obstacles
     Fear of formality
     Fear of diluting the vision
     Vision still isolated to founder
     Need to maintain enthusiasm
 Opportunities
     Excitement
     Inspiration
Ground & Grow
 Challenge – how can we build an
  organization that will be alive?
     DURATION – two to five years
 Obstacles –
     Overwhelmed with details of organization
     Overwhelmed with possibilities
 Opportunities
     Sense of accomplishment
     Others sharing sense of purpose
Ground and Grow
Arenas of Organization
 Governance
     Expansion of board for expertise rather than
      passion
     Board – still reacting to leadership of founder
      and is not yet into strategic planning
     Working board involved with day-to-day
Ground and Grow
Arenas of Organization
 Staff Leadership – Executive Director
     Formal director named, maybe even paid.
     Makes most of PRIMARY decisions
     Significant internal/external responsibilities
     Called „pulse‟ of organization in Stage 3
Ground and Grow
Arenas of Organization
 Financing
     More financing is available
     Much financing is required
     More sophisticated budget prepared
     Funding relationships solidified
     Funding needs barely being met
     Discussing how to generate “income.”
Ground and Grow
Arenas of Organization
 Administrative Systems
     All of a sudden are required
          Office space/equipment
          Office assistance
          Accountability systems
          Sophisticated budgeting (software systems)
          Personnel or HR system being discussed
Ground and Grow
Arenas of Organization
 Staffing
     Stage Three is when staffing is needed to
      meet growing demands of organization
          New staff driven by the mission
          New staff are still often volunteers
             Volunteer recruiter/coordinator important in this stage
          HR systems are often still informal but are being
           discussed at this stage
Ground and Grow
Arenas of Organization
 Products/Services –
     Challenge – keep up with the demand
      generated by increased public awareness
     Capacity – often time to say “no” to certain
      ideas because of not having capacity
 Marketing – becomes more aggressive
     Develop a promotional tool or two
     Still rely on word of mouth
     Plan rare at this stage (but would be good!)
Produce & Sustain
Organization in its Prime
 Challenge – keep the momentum and keep
 moving forward
Produce & Sustain
Organization in its Prime
 Obstacles –
     board too involved in day to day and not
      enough involved in governing
     Not enough risk taking
     Too much risk taking
     Stagnation
Produce & Sustain
Organization in its Prime
 Opportunities –
     Recognized leader in the field
     Secure and growing
     Providing worthwhile products/services
     New staff with new ideas
     Organization is stable
     People feel good about the organization
Produce & Sustain
Arenas of Organization
 Governance –
     Board in its prime
          Rotating membership
          New ideas and broader focus
          True governing – strategic planning
          Healthy diversity
          Clear lines of authority between board and
           director
          All seeking longevity of organization
Produce & Sustain
Arenas of Organization
 Staff Leadership
     Strong Executive Director
     Strong leadership team assisting director
     Need for delegation
     Often have to recognize “founders syndrome”
 Financing
     Relatively stable
     Good systems in place
     Remains critical to survival of organization
Produce & Sustain
Arenas of Organization
 Administrative systems
     Bureaucracy is in place and helping
      organization to thrive
 Staffing
     Number of employees at peak
     Specialized functions
          Volunteers still integral and self perpetuating
          Someone might be fired
Produce & Sustain
Arenas of Organization
 Products/Services
     Well designed
     Results oriented
     Client focused
     Quality enhanced
     Beginning to expand
 Marketing – Sophisticated
     Detailed planning
     Detailed implementation
Review and Renew
What needs to Change?
 Obstacles –
     Resistance to change
     Isolation of organization
     Too much control
 Opportunities
     for new service to clients
     for new partners
     For new ideas and leadership
Review & Renew
What needs to change?
 Governance/Leadership – has the
 organization‟s leadership become stale?
     Board may need to change
     Executive director needs to be change agent
     Roles and responsibilities need to be clarified
     Exit of founder is indicator of Stage 5
     Thorough review of the mission as well as the
      organization
     Looking for collaboration opportunities
Review & Renew
What needs to change?
 Financing/Administration/Staffing
     Often expand development office to support
      changing/expanding mission of regeneration
     Centralizing many systems; revitalizing the
      bureaucracy
     Lots of staff changes with more requirements
      to collaborate with each other and others
     New staff and veterans must learn to co-exist
Review & Renew
What needs to change?
 Products/Services
     Redefine the product, program
     New, collaborative approaches

 Marketing
     Not nearly as aggressive in early stage
     Begins aggressively when new direction is
      solidified.
     Need a solid plan for the new image/vision
Decline & Dissolution
 What is the health of the organization?
     Answer to know (no matter what stage)
 How do you tell the health of organization?
     Conflict (internal or external)
     Funding
     Loss of passion
 Close/dissolve
 Implement turn-around strategy
Life Stage Knowledge
 This is a tool for helping your organization
  adapt to the changing requirements of a vital
  organization.
 Every non-profit organization will be on its
  own timetable. This knowledge may help you
  plan the next stage – or may help you help
  the founder plan the next stage.
 Serve with enthusiasm and competence!

								
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