The Leadership, Strategy, Innovation Link: A Conversation About Possibilities
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The Leadership, Strategy, Innovation Link: A Conversation About Possibilities The Leadership, Strategy, Innovation Link: A Conversation About Possibilities Presentation Transcript

  • The Leadership, Strategy, Innovation Link: A Conversation About Possibilities 2014 Nonprofit Empowerment Summit Giving It Our All! Dr. Rob Sheehan, Executive MBA Director, University of Maryland
  • Robert M. Sheehan, Jr., Ph.D. Principal Sheehan Nonprofit Consulting @SheehanImpact RobSheehan@aol.com 301.523.1864 www.SheehanNonprofitConsulting.com © Robert M. Sheehan, Jr., Ph.D., 2014 POSSIBILITIES LEADERSHIP, STRATEGY, INNOVATION LINK 2
  • ABOUT ROB SHEEHAN *Robert H. Smith School of Business, University of Maryland  Academic Director, Executive MBA Program *Center for Philanthropy & Nonprofit Leadership, UMD *Sheehan Nonprofit Consulting  Strategy, Leadership, Teamwork 3
  • ABOUT ROB SHEEHAN  Ph.D., The Ohio State University  College of Business  School of Public Policy & Management  Organization Development, Leadership, Organization Effectiveness  Published Researcher 4
  • ABOUT ROB SHEEHAN  CEO, 18 years, Two National Nonprofits  AΣΦ Educational Foundation, 1981-1990  LeaderShape, Inc., 1992-2001  CFRE (Certified Fund Raising Executive), 1986-2004 5
  • 6
  • QUICK SURVEY How many of you think that most people in the nonprofit world work very hard? 7
  • QUICK SURVEY How many of you think that most people in the nonprofit world are smart? 8
  • LEAP OF REASON “Incremental Change is Not Enough” -Mario Morino Leap of Reason 9
  • “INNOVATE OR DIE” “We’re in an environment where its innovate or die.” -Amelia Franck Meyer CEO, Anu Family Services, Hudson, WI The Chronicle of Philanthropy 10
  • BREAKTHROUGH STRATEGY The intention of the Breakthrough Strategy approach is to drive higher levels of innovation and creativity throughout an organization to it increases its Mission Impact. 11
  • A NEW MINDSET We need a new mindset. 12
  • NEW PATTERNS OF THOUGHT “The problems we face cannot be solved using the same patterns of thought that were used to create them.” - Albert Einstein 13
  • BEING UNREASONABLE “The reasonable man adapts himself to the world; the unreasonable one persists in attempting to adapt the world to himself. Therefore, all progress depends on the unreasonable man.” - George Bernard Shaw 14
  • STRATEGY DEVELOPMENT PROCESS  Establish Mission Gap  Adopt Aspirational Mindset for Creating Vision  Adopt Aspirational Mindset for Setting Strategic Stretch Goals  Discern SWOTs  Create Strategy Narrative 15
  • THE BREAKTHROUGH STRATEGY WORKBOOK  A guide for strategy development that follows the Mission Impact process.  Multiple copies may be downloaded at no cost from web site: www.SheehanNonprofitConsulting.com Other Sheehan articles may also be downloaded at no cost (see pp. 30-31).  An example of the final output from a strategy development process is included on pp. 22 – 28. 16
  • STRATEGY DEVELOPMENT MAP 17
  • Your Mission Impact 18
  • “MISSION GAP”  Imagine what the world would look like if you were accomplishing your mission 100%.  Compare that to the way the world really looks like today.  The difference between the two is your “Mission Gap.” 19
  • MERRILL COUNTY LITERACY COUNCIL Mission To assure that all adults age 16 or older in Merrill County are literate. Mission Accomplishment Measure The literacy rate in Merrill County, as reported by county officials. 20
  • MERRILL COUNTY LITERACY COUNCIL Mission Gap With 100,000 adults, age 16 and older, living in Merrill County, the Mission Gap is 20,000 adults. 21
  • BIG RIVER REGION HOUSING SERVICES Mission To ensure that all citizens within the Big River Region have access to safe, affordable, and quality housing. Mission Accomplishment Measures Percentage of households within Big River Region which meet the standards we set for affordability, quality, and safety using Success Measures© surveys. 22
  • BIG RIVER REGION HOUSING SERVICES Mission Gap With 250,000 households in Big River Region, the Mission Gap is 80,000 households without safe, affordable, quality housing. 23
  • NORTH TEXAS FOOD BANK 24
  • 25
  • YOUR MISSION GAP Do you need a Breakthrough Strategy that will drive Innovation in your organization? 26
  • STRATEGY DEVELOPMENT PROCESS  ✔ Establish Mission Gap  Adopt Aspirational Mindset for Creating Vision  Adopt Aspirational Mindset for Setting Strategic Stretch Goals  Discern SWOTs  Create Strategy Narrative 27
  • The Power of Vision 28
  • ANALYTICAL VISIONING  Analyze Internal Capabilities & Predictable Changes  Analyze External Environment & Predictable Changes  Forecast (Extrapolate) Reasonable Future  Establish “Vision” as “Best Case Scenario” 29
  • ASPIRATIONAL VISIONING  Dream with no constraints  Create an Ideal “Future Picture” based on what is Inspirational and Drives Passion  Create New Internal Capabilities  Search Environment for Opportunity 30
  • DREAM “Some men see things as they are and say ‘why,’ I dream things that never were and say ‘why not.’” - George Bernard Shaw 31
  • CHANGING THE WORLD “Because the people who are crazy enough to think they can change the world are the ones who do.” -Steve Jobs 32
  • DIVINE MADNESS “Let us build such a church that those who come after us will think we were madmen’, said the old canon of Seville . . . Perhaps through every mind passes some such thought, when it entertains the design of a great and seemingly impossible action . . . This divine madness enters more or less into all our noblest undertakings.” -Longfellow 33
  • 34
  • STRATEGIC INTENT Companies that have risen to global leadership over the past 20 years invariably began with ambitions that were all out of proportion to their resources and capabilities. But they created an obsession with winning at all levels of the organization . . . We call this obsession “strategic intent.” - Hamel & Prahalad 35
  • CREATIVE TENSION “the gap between vision and current reality is also a source of energy . . . the gap is the source of creative energy. We call this gap creative tension.” - Peter Senge 36
  • VISION With your current environment in mind – including your “mission gap” – think about how you could make “quantum leap” progress on your “mission gap” if your organization existed in an “ideal state.” Answer the question: “If you could have it any way you wanted it, what would your organization be like?” Describe it in detail. 37
  • THE $100 BILLION CHALLENGE 38
  • Why dream a vision that can never come true? 39
  • VISION  Visions give us something to aspire to.  Visions can inspire others to help make dreams come true.  Visions provide meaning to the “day to day.” 40
  • How should leaders establish vision? 41
  • POSITIONAL LEADERSHIP Leadership by “lamination” vs. Leadership as a catalyst 42
  • TRANSFORMATIONAL LEADERSHIP MODEL PARTICIPANTSLEADERS 43
  • LEADING INNOVATION “The role of a leader of innovation is not to set a vision and motivate others to follow it. It’s to create a community that is willing and able to innovate.” Collective Genius Harvard Business Review, June, 2014 44
  • LEADING INNOVATION Creating Community  Shared Purpose & Values  Creative Abrasion: Discourse & Debate  Creative Agility: Experiment, Learn, Adjust  Creative Resolution: “And/Both” Thinking 45
  • WHAT FOLLOWERS WANT “Constituents want visions of the future that reflect their own aspirations. They want to hear how their dreams will come true and their hopes will be fulfilled . . . The only visions that take hold are shared visions . . . And you will create them only when you listen very, very closely to others, appreciate their hopes, and attend to their needs.” -Kouzes & Posner, 2009 46
  • STRATEGY DEVELOPMENT PROCESS  ✔ Establish Mission Gap  ✔ Adopt Aspirational Mindset for Creating Vision  Adopt Aspirational Mindset for Setting Strategic Stretch Goals  Discern SWOTs  Create Strategy Narrative 47
  • The Importance Of Goals 48
  • VISION TO ACTION: GOALS  Direct attention to relevant activities  Affect intensity of effort  Affect persistence  Strategic Stretch Goals: Outcome- Based & SMART 49
  • OUTCOME VS. ACTIVITY GOALS “To mail 11,000 personalized fund-raising letters to our organization’s previous donors by October 1, 2014.” 50
  • OUTCOME VS. ACTIVITY GOALS “To receive $300,000 in contributions from our organization’s previous donors by December 1, 2014.” 51
  • SMART GOALS*  Specific  Measurable  Attainable  Relevant  Time-bound *Traditional version 52
  • ATTAINABLE GOALS  Set with at least 80% chance of success  Sounds reasonable – failure can be followed by negative consequences 53
  • ATTAINABLE GOALS  What might be the downside of setting goals that are reasonably “Attainable?” 54
  • ATTAINABLE GOALS  What might be the downside of setting goals that are reasonably “Attainable?”  Goal research:  The more difficult the goal, the higher the level of performance. 55
  • The Performance Paradox 56
  • SMART GOALS*  Specific  Measurable  Aggressive, yet Achievable  Relevant  Time-bound *Doug Smith version 57
  • AGGRESSIVE YET ACHIEVABLE  Allows you to maximize performance, but with a higher chance of failure  If you are a boss & you want to use Aggressive goals, check your rewards system. If you punish failure, people will not want to be aggressive. Reward “performance” vs. goal accomplishment 58
  • SMART COMPARISONS ATTAINABLE vs. AGGRESSIVE Which SMART formula is best? 59
  • ATTAINABLE GOALS  Best when the priority is to accurately predict performance of the current system  Good for generating “quick wins”  Good for Learning Goals in new domains  Good for a team that needs to build confidence 60
  • AGGRESSIVE GOALS  Best when the priority is to maximize the performance of the current system  Maximize intensity of effort  Maximize persistence  Performance vs Goal Attainment must be rewarded 61
  • SMART GOALS Write out a goal that you are currently working on and write it so it fits the “SMART” guidelines. 62
  • A NEW ‘A’ FOR SMART*  Specific  Measurable  *Almost Impossible  Relevant  Time-bound *Rob Sheehan version 63
  • GREAT LEADERS Great Leaders Have a Healthy Disregard for the Impossible 64
  • IMPOSSIBLE . . . “Space travel is utter bilge.” - Sir Richard Van Der Riet Wooley, The Astronomer Royal, 1956 65
  • IMPOSSIBLE . . . “While theoretically and technically television may be feasible, commercially and financially I consider it an impossibility.” - Lee Deforest, American Inventor (1873-1961) 66
  • IMPOSSIBLE . . . “Well informed people know it is impossible to transmit the voice over wires and that were it possible to do so, the thing would be of no practical value.” - The Boston Post, Editorial, 1865 67
  • IMPOSSIBLE . . . “We must not be misled to our own detriment to assume that the untried machine can displace the proved and tried horse.” - Maj. Gen. John Kerr, U.S. Army (1878-1955) 68
  • IMPOSSIBLE . . . “Rail travel at high speeds is not possible because passengers, unable to breathe, would die of asphyxia.” - Dionysius Lardner, English Scientist (1793-1859) 69
  • BULLET TRAIN THINKING It used to take more than six hours to travel by train from Tokyo to Osaka. If the Japanese executives had said to their engineers: “I want you to reduce the time to six hours,” the engineers would have instinctively thought in terms of small improvements, perhaps in the way they boarded passengers and unloaded baggage. But instead, the Japanese executives set out a challenge to reduce the time of the journey to three and a half hours. Faced with such an “impossible” goal, the engineers and designers were forced to reexamine the most fundamental assumptions governing rail travel in Japan. The result of this reexamination was the bullet train. (Jack Welch) 70
  • TRADITIONAL ANALYTICAL GOALS “This is a forecast of the result we should be able to produce if we work hard at it.” ASPIRATIONAL STRETCH GOALS “This is the very best result we can imagine possible (1% chance) and we have no idea how to make it happen.” 71
  • STRETCH GOALS You can’t think outside of the box, when you are standing in it! 72
  • STRETCH GOALS  You use stretch goals, they don’t use you. They do not exist to dominate you and stress you out. They exist to give you something to shoot for, to have fun trying to see if you can make it. 73
  • STRETCH GOALS “The most fun game is one you’ve never played and your inventing as you go along.” Jerry Seinfeld Fast Company, June 2014 74
  • STRETCH GOALS  Fully achieving a stretch goal is not the main focus of your attention. You are interested in being creative, progress, and learning. 75
  • THE MOON SHOT vs CANCER  1961: President Kennedy sets the goal to send a man to the moon and return him safely by the end of the decade.  1970: Congress passes a resolution to cure cancer by 1976 as a fitting celebration for the bicentennial. 76
  • STRETCH GOALS  You need to create a “safe-fail” situation with a stretch goal. You can’t treat failure as an issue. You have to play. 77
  • SAFE - FAIL ENVIRONMENT  “‘The fastest way to succeed, IBM’s Thomas Watson, Sr., once said, ‘is to double your failure rate.’ In recent years, more executives have embraced this point of view, coming to understand that failure is a prerequisite to invention. A business cannot develop a breakthrough product or process if it is not willing to encourage risk-taking and learn from subsequent mistakes.” The Failure Tolerant Leader Harvard Business Review, 2002 78
  • 79
  • STRETCH GOALS  You have to set your own boundaries on resources you will use to achieve the goal—including the amount of time you spend on it. Make this all part of the “game.” Otherwise, you stress out and/or turn your 70 hour weeks into 90 hour weeks. 80
  • Pessimists & Optimists Unite Use “Flexible Optimism” 81
  • STRETCH GOALS  Since the prospects of failing at the stretch goal are high and failure at some goals can have real life implications—when you set a stretch goal, ask yourself “Am I willing to live with the worst probable outcome?” If not, don’t set it that high. 82
  • STRATEGIC INTENT “Creating stretch, a misfit between resources and aspirations, is the single most important task senior management faces.” -Gary Hamel & C.K. Prahalad 83
  • THE WALL STREET JOURNAL “Stretch is a concept that would have produced smirks, if not laughter, in the GE of three or four years ago, because it essentially means using dreams to set business targets – with no real idea of how to get there . . . . If you do know how to get there then it is not a stretch target.” -Jack Welch, March 8, 1994 84
  • START WITH THE END IN MIND *When brainstorming new ways to go about accomplishing a goal, “start with the end in mind.” Imagine you have already accomplished the goal and discern what new ideas you must have used to do that. 85
  • STRATEGIC STRETCH GOALS  Set five Strategic Stretch Goals for the next five years which:  Inspire you!!!  Would catapult your organization toward your vision and help close your Mission Gap most effectively  Meet the Almost Impossible SMART criteria 86
  • CHALLENGES WITH STRETCH GOALS  Everyone else operates on the forecasting mindset so you have to be careful about with whom you share your stretch goals. 87
  • CHALLENGES WITH STRETCH GOALS  You may fall back into the old mindset and get stressed or feel bad if you fail. Watch for that. 88
  • CHALLENGES WITH STRETCH GOALS  The stretch goal approach does not guarantee you good creativity. It will unleash creativity, but some creative ideas will sound good and not work. You need to decide when to try it again or differently or try something else. 89
  • CHALLENGES WITH STRETCH GOALS  You should not try to “force” others to be inspired and more creative about a Stretch Goal, just because it inspires you . . . . . . . . . . unless you are Dilbert’s boss. 90
  • 91
  • The biggest challenge is setting Strategic Stretch Goals is overcoming the Fear of Failure that has been bred within us. 92
  • FAILURE  We need to transform our relationship with failure in order to leverage the aspirational mind-set and the power of Almost Impossible Goals.  What is your relationship with failure? 93
  • YOU FAILURE!!! “I am as worthless as the slugs who creep in the crevices of the deepest, darkest parts of the ocean!” 94
  • TRANSFORM YOUR RELATIONSHIP WITH FAILURE “We Celebrate Noble Failure.” 95
  • Result: Any accomplishment of positive magnitude Success: Any accomplishment which meets or exceeds its intended result Failure: To fall short of an intended result 96
  • OHIO STATE FUNDRAISING PROJECT Goal Result 1988 $40,000 $48,000 1989 $25,000 $24,000 1990 $25,000 $17,000 97
  • OHIO STATE FUNDRAISING PROJECT Goal Result 1988 $40,000 $48,000 1989 $25,000 $24,000 1990 $25,000 $17,000 1991 $50,000 98
  • OHIO STATE FUNDRAISING PROJECT Goal Result 1988 $40,000 $48,000 1989 $25,000 $24,000 1990 $25,000 $17,000 1991 $50,000 $62,000 99
  • OHIO STATE FUNDRAISING PROJECT Goal Result 1988 $40,000 $48,000 1989 $25,000 $24,000 1990 $25,000 $17,000 1991 $50,000 $62,000 1992 $150,000 100
  • OHIO STATE FUNDRAISING PROJECT Goal Result 1988 $40,000 $48,000 1989 $25,000 $24,000 1990 $25,000 $17,000 1991 $50,000 $62,000 1992 $150,000 $143,000 101
  • LEADERSHAPE PARTICIPANTS 0 500 1000 1500 2000 2500 1992 1993 1994 1995 1996 1997 1998 1999 2000 2001 102
  • 10X THINKING Larry Page lives by the gospel of 10x. Most companies would be happy to improve a product by 10 percent. Not the CEO and cofounder of Google. The way Page sees it, a 10 percent improvement means that you’re basically doing the same thing as everybody else. You probably won’t fail spectacularly, but you are guaranteed not to succeed wildly. That’s why Page expects his employees to create products and services that are 10 times better than the competition. Thousand- percent improvement requires rethinking problems entirely, exploring the edges of what’s technically possible, and having a lot more fun in the process. (http://www.wired.com/business/2013/01/ff-qa-larry-page/all/)103
  • A HEALTHY DISREGARD FOR THE IMPOSSIBLE Page thought big even when he was little—he has said he always wanted to be an inventor, not just to produce gadgetry but to change the world. As an undergrad at the University of Michigan, he found inspiration in a student leadership-training program called LeaderShape, which preached “a healthy disregard for the impossible.” By the time he got to grad school at Stanford, it was a natural step for him to 10X his potential thesis idea—a tool to annotate web pages—into a search engine that transformed the web and the world. 104
  • FAILURE WITH TRADITIONAL GOALS “We messed up.” 105
  • FAILURE WITH STRETCH GOALS  “Look at our results!”  “What could we have done differently?”  “I’m glad we went for it, but I wish we had accomplished it 100%” 106
  • FAILURE AND CREATIVE TENSION “Mastery of creative tension transforms the way one views ‘failure.’ Failure is, simply, a shortfall, evidence of the gap between vision and current reality. Failure is an opportunity for learning . . . Failures are not about our unworthiness or powerlessness.” - Peter Senge, The Fifth Discipline 107
  • FAILURE AND INNOVATION “Failure is just a part of the culture of innovation. Accept it and grow stronger.” - Albert Yu, SVP, Intel Corp 108
  • “The only real stumbling block is fear of failure. In cooking, you’ve got to have a what-the-hell attitude.” -Julia Child 109
  • GETTING SMARTER FASTER “ . . . there’s no substitute for getting smarter faster. And the way you get smarter is to screw around vigorously. Try stuff. See what works. See what fails miserably. Learn. Rinse. Repeat.” - Tom Peters, Fast Company, December 2001 110
  • STRATEGY DEVELOPMENT PROCESS  ✔ Establish Mission Gap  ✔ Adopt Aspirational Mindset for Creating Vision  ✔ Adopt Aspirational Mindset for Setting Strategic Stretch Goals  Discern SWOTs  Create Strategy Narrative 111
  • Clarity on Your Current Reality 112
  • STRENGTHS & WEAKNESSES  Better to use systematic tools rather than just asking “what do you think are our strengths & weaknesses?”  Use “systems thinking” as you assess the organization. 113
  • VENTURE PHILANTHROPY PARTNERS CAPACITY FRAMEWORK ELEMENTS  Aspirations  Strategy  Organizational Skills  Human Resources  Systems and Infrastructure  Organizational Structure  Culture 114
  • VPP-MCKINSEY OCAT 2.0  Now available on line: http://mckinseyonsociety.com/ocat 115
  • SYSTEMS THINKING APPROACH • A “systems” approach – focuses on the “whole” of the system and asks: What are the “essential elements” that make the system effective? • The essential elements of organization performance: • Financing • Staffing • Products/Services/Programs 116
  • BLASPHEMY “Programs do not produce impact.” 117
  • BLASPHEMY “Programs do not produce impact.” “Organizations do.” 118
  • SYSTEMS THINKING APPROACH  Evaluate the interactions of essential operations of the organization as a “system”: Funding, Staffing, Products/Programs/Services  It is the System, the Whole, which allows for Mission Impact  An over-emphasis on any one part or ignoring the impact one part may have on another can lower the performance of the System 119
  • OPPORTUNTIES & THREATS  Better to be systematic rather than just asking “what do you think are our opportunities & threats?”  Engage stakeholders, use data from government or other sources, do some research. 120
  • YOUR SWOTs  Given your vision and commitment to achieve the strategic stretch goals, what are the key strengths of your organization?  Weaknesses?  Opportunities?  External threats? 121
  • STRATEGY DEVELOPMENT PROCESS  ✔ Establish Mission Gap  ✔ Adopt Aspirational Mindset for Creating Vision  ✔ Adopt Aspirational Mindset for Setting Strategic Stretch Goals  ✔ Discern SWOTs  Create Strategy Narrative 122
  • The Role of Strategy 123
  • WHAT IS STRATEGY?  Strategy is more than strategic planning  Strategy is not just a collection of goals and budget forecasts  Most organizations have plenty of plans, but very little strategy  Strategy is an integrated and coherent cause & effect performance story which has a beginning, middle, and end. 124
  • WHAT IS STRATEGY? Strategy is an integrated and coherent explanation of how an organization is going to guide its performance in the future. 125
  • NONPROFIT STRATEGY  The purpose of having a strategy is to guide the organization toward its desired future.  Crafting strategy is a creative act, not an analytical function. It is a process of creating the organization’s desired future, considering its current situation, and designing a set of actions which will catapult it forward. 126
  • NONPROFIT STRATEGY The “cause & effect performance story” tells how you will get from “here to there” while . . . . . . Leveraging your Strengths, Fortifying your Weaknesses, Seizing your Opportunities, and Blocking your Threats. 127
  • YOUR STRATEGY Your Strategy is “like” your theme song 128
  • WHAT IS YOUR STRATEGY “TUNE?”  A strategy does not tell you what actions to take in the fourth week of the second quarter of the third year of the strategy any more than a jazz tune tells musicians what exact notes to play three-quarters through the song. They know the tune to follow.  Everyone in the organization should know the strategy as well as they can recognize a popular tune. 129
  • STRATEGY NARRATIVE  A Strategy Narrative is a three – four paragraph summary explanation of the organization’s strategy.  Most organizations – in all sectors cannot articulate their strategy with a simple coherent statement.  As you design strategy, remember to think of the organization as a “system” of funding, staff, programs. 130
  • STRATEGY NARRATIVE “Leaders of firms are mystified when what they thought was a beautifully crafted strategy is never implemented. . . . They fail to appreciate the necessity of having a simple, clear, succinct strategy statement that everyone can internalize and use as a guiding light for making difficult choices.” - D. J. Collins & M. G. Rukstad Harvard Business Review, 2008 131
  • How does an organization go about creating its Strategy & Strategy Narrative? 132
  • STRATEGY DEVELOPMENT  Review each of your SWOTs and explain what “Strategic Actions” you should take regarding it.  A Strategic Action is one which will help catapult the organization toward the accomplish of the goals, vision, and mission.  Leverage your Strengths, Fortify your Weaknesses, Seize your Opportunities, and Block your Threats.  These build the “themes” of your Strategy Narrative 133
  • STRATEGY DEVELOPMENT  Evaluate Weaknesses & Threats  Look for Leverage & Opportunity 134
  • EVALUATE WEAKNESSES AND THREATS  Look at interactions of Weaknesses and Threats for necessary “damage control”  Evaluate all Weaknesses and Threats  Look at interactions of Weaknesses and Threats with Strengths for possible solutions  Fortify Weaknesses as necessary and Block relevant Threats 135
  • LOOK FOR LEVERAGE & OPPORTUNITY  Focus on the Strategic Stretch Goals  What can you use from the current reality and SWOTs to catapult forward?  Look at interactions of Strengths and Opportunities and other Strengths and Opportunities for ideas 136
  • STRATEGY NARRATIVE  A cause & effect performance story with a beginning, middle, and end  The General speaks: “First, we are going to…then some of you will…which will then allow others of us to…and that will give us the opening to…which will lead us on to victory.” 137
  • STRATEGY: MAKING CONNECTIONS NAPOLEON Greatest Military Strategist Ever? 138
  • 139
  • YOUR BATTLEFIELD 140
  • STRATEGY NARRATIVE  Make sure Weaknesses and Threats are addressed first so organization is stable enough to move forward  Be sure to have strong levers  Integrate and balance actions in funding, staffing, programs/services 141
  • STRATEGY DEVELOPMENT PROCESS  ✔ Establish Mission Gap  ✔ Adopt Aspirational Mindset for Creating Vision  ✔ Adopt Aspirational Mindset for Setting Strategic Stretch Goals  ✔ Discern SWOTs  ✔ Create Strategy Narrative 142
  • “SO WHAT” MINUTE  What three things will you do during the next week to apply some of the ideas we have discussed today? 143
  • “SO WHAT” MINUTE  Design a new strategic planning process  Use the next staff meeting to brainstorm a vision for your organization “if you could have it any way you wanted it.” 144
  • “SO WHAT” MINUTE  Review all of your goals and make sure they are SMART.  Distribute the VPP Organization Capacity Assessment Tool to everyone on staff to identify capacity building opportunities.  Share your key learnings with others at your next staff or Board meeting 145
  • THE BLOG  Check it out:  http://strategyleadershipmissionimpa ct.blogspot.com/  Email me if you want on the distribution list: RobSheehan@aol.com 146
  • THANK YOU VERY MUCH!!!  For your leadership!  For your commitment!!  For the difference you make!!! 147
  • Robert M. Sheehan, Jr., Ph.D. Principal Sheehan Nonprofit Consulting 301.523.1864 RobSheehan@aol.com www.SheehanNonprofitConsulting.com @SheehanImpact FOR MORE INFORMATION 148
  • THE SEVEN DEADLY SINS OF NONPROFIT STRATEGY #1: “It’s Just Sitting on the Shelf.” The rest of the sins are not necessarily in order of severity, but this is clearly #1 because it is so pervasive and represents a huge waste of money and time – from staff and volunteers. This sin can be deadly, indeed, when board members realize the hours they have wasted – making strategic plans that are never implemented. And for the attorneys on your Board, those are billable hours. 149
  • THE SEVEN DEADLY SINS OF NONPROFIT STRATEGY #2: Insular Mountaintop Planning. It can be good for a strategy planning group to go to the “mountains” to get away from distractions to do work together. But, before you go, gather input regarding the organization’s future from stakeholders – and check in with them when you get back for more input before you publish and laminate the plan (Peter Block calls this error “leadership by lamination”). 150
  • THE SEVEN DEADLY SINS OF NONPROFIT STRATEGY #3: Over-Emphasis on Fund-Raising. “What?!?” “Impossible!” I can just hear my fund-raising colleagues’ reaction. Of course we frequently find new fund- raising initiatives as a part of a new strategy. The problem is that as these efforts are highlighted, other important aspects of a strategy are under- emphasized – such as program innovation, leadership succession, strategic partnerships, and more. 151
  • THE SEVEN DEADLY SINS OF NONPROFIT STRATEGY #4: Too Rushed. Rather than rushing (e.g., “We are doing our strategic plan at an all day retreat two weeks from Friday, are you available?”), it is wiser to take the time to thoughtfully design and implement a strategy development process. Of course, it should not take forever either. Taking the time can lead to inspiring visions, innovative strategies, and empowered stakeholders – which produce higher performance. 152
  • THE SEVEN DEADLY SINS OF NONPROFIT STRATEGY #5: Lots of Plans, No Strategy. Strategic planning documents can contain volumes of plans, activities, and environmental analysis – but many don’t include a real “strategy.” A true strategy articulates the dynamic levers which will catapult an organization toward its desired future, as well as how its key operational areas will interact to create a cycle of higher performance. 153
  • THE SEVEN DEADLY SINS OF NONPROFIT STRATEGY #6: No Annual Review. No one can see into the future when developing a strategic plan! So, we make certain measured assumptions about the future – including changes in our internal and external environments. An annual review of assumptions and results is important to keep the plan relevant. You may not change your mission or vision, but you may need to change plans and activities. 154
  • THE SEVEN DEADLY SINS OF NONPROFIT STRATEGY #7: Not Ambitious Enough. A strategy and its associated goals and plans should be focused on a vision that is big, bold, and inspiring. Many strategic plans are based simply on an analytical forecast of the way things are currently headed. How dull. It was Goethe who said “Dream no small dreams for they have no power to move the hearts of men” and Mandela who stated “Your playing small does not serve the world.” 155