At the FSI, we deliver training and consultancy projects for a range of charities to help them put in place effective governance, and in particular develop and implement effective organisational strategies and business plans.  In my experience many charities, particularly smaller charities struggle with this – very often there are pressures on time and resources which means that taking that step back to formulate a strategy feels like a luxury, rather than an essential. 

Importantly for Trustees reading this, the Charity Commission Guidance on The Essential Trustee (CC3 – available here) is clear that it is a primary responsibility for Trustees to ensure that the charity is carrying out its purposes for the public benefit.  But how does that translate into practice?

From our perspective at the FSI, it means that you need to understand your charity’s purpose (as set out in your governing document) and that you are planning what your charity will do, and what it will deliver, in order to achieve this purpose.  Having a clear forward strategy is a vital part of this equation.

If you too are grappling with this, here's some things I've picked up along the way.....

Keep it simple – and fit for purpose. There is no hard and fast rule about the format your strategy should take. But it is crucial to remember that it sets the direction for your organisation and enables clear aims and focus for your staff, volunteers, and anyone else with an interest in your work.  You don’t need a 60 page essay, you should be able to articulate where you are now, where you want to be, what you aspire to achieve, and what you need in order to get there within a short document.

Be flexible. In a rapidly changing environment, your strategy needs to be flexible enough to respond to change. Your strategy should provide the overall direction of travel, you can then put the detail and targets in an annual business plan which is reviewed regularly within the staff team.

Get the balance right. In any organisation, but arguably even more so for smaller charities, finding the time to develop or review your strategy and undertake effective planning is difficult. You need to find a balance between time and process.  That is, ensuring that the process is robust enough to involve and engage your key stakeholders, whilst also balancing the time and resources you have available for strategic development.

Involve others. Strategy should not be developed in a vacuum. Your staff and volunteers are important as they are delivering your services and will understand the changing needs of your beneficiary group.  You should be involving your beneficiaries too – they are an important stakeholder group and can often be overlooked. You should identify your key stakeholder groups and how you will involve them in your strategy development process.  However…

Manage expectations. You should be clear if there are any elements of your strategy which are not open for debate. Don’t consult on anything that you aren’t prepared to change based on the feedback you are given.

Avoid analysis paralysis. There is a risk with strategic development and planning that we can be caught up in a never-ending cycle of analysing information, searching for the perfect solution.  There is no 'perfect solution' and your strategic plan is not carved in stone.  It is something that can (and should) be reviewed and adapted should your internal or external environment change or your assumptions prove incorrect.

Implement and review. The development of your strategic plan is just the beginning of the process – you need to ensure you communicate the strategy and incorporate it into organisational, team and individual work plans. Everyone in your charity should be aware of how they are contributing to your strategic objectives and what success looks like for your charity.  Ensure as a Trustee Board that you use your precious time at meetings to focus on reviewing progress against the strategic objectives rather than operational detail.