Assessment of Nonprofit Capacity and Performance
by Rosemary Bayer and Lee Gorman
Two swiftly growing trends in the nonprofit field are a desire for measurable outcomes and a greater willingness to invest in capacity building or organizational effectiveness. We talked about outcomes last month. Today we look at uncovering opportunities for increasing organizational capacity and effectiveness. This will assist with self improvement. It will also support your ability to work with outside resources to develop and implement additional capacity building or organizational effectiveness programs.
First, let's make sure we all mean the same thing when we say “capacity building.” At its simplest, it is doing things that will improve (nonprofit) effectiveness. Performance improvement is a systematic approach to improving productivity, and competence, using a set of methods and procedures. The key is measuring before and after to evaluate effectiveness of improvements and apply adjustments.
Some standard components of organizational change models include critical elements to allow organizations to objectively assess whether the changes are performing as expected. You cannot improve what you cannot measure. The nonprofit logic models that assist with analysis and measurement generally have these components:
1. Inputs (resources such as money, employees, and equipment)
2. Work activities, programs or processes (teach, deliver, do)
3. Immediate outputs of the work that are delivered to customers (# people attending program, # food baskets handed out)
4. Outcomes or results that are the long-term consequences of delivering outputs (higher graduation rates, increased numbers employed long term)
5. Impact: changes in organizations, communities or systems (reduced homelessness, reduced poverty)
There are many ways to improve your effectiveness - everything from increasing board performance to streamlining the way you register people for events. At this time, we'll focus on operational effectiveness*.
Why bother with capacity building or performance improvement? Why do an assessment?
To state the obvious, our economy is driving all of us to do more with less. We also have the gentle push from our funding partners for measurably increasing impact, or at least output and outcomes. We know, every time we streamline a process and reduce our workload by one day a week, we get one additional day every week where we can move forward in achieving our mission!
Doing an assessment can:
1. help get everyone energized and involved with making things better
2. act as a catalyst for action with the staff, management and even your board
3. give you the information you need to make good decisions and set the right priorities
4. get all your stakeholders talking about the same thing, moving in the same direction
5. unblock stuck programs or projects
6. give you the information and knowledge you need to pursue additional funding or resources to do more or do it better
7. show you if there are programs or processes which can be eliminated
8. document your processes and functions, as well as roles and tasks, which will make on-boarding and training new people much easier!
This diagram incorporates steps for analyzing improvement opportunities. Today, we focus on step 1. The next two articles will continue with steps 2-5.
|
|
Step 1: Assess
Step 2: Analyze and Prioritize
Step 3: Take Action and Measure Results
Step 4: Implement and Incorporate
Step 5: Control and Improve |
Step 1: Your Self Assessment
In the Assessment phase, we identify areas for improvement, and for each area/process/function, measure the current performance (current state), define where you would like to be (future state), and look at the gap between those, for each opportunity.
In looking around for opportunities, you may want to utilize a time-tested strategic performance management tool: the Balanced Scorecard. This can help keep a focus on what really matters.. Generally, the idea is to map your current measures and goals on the scorecard for each major area, creating a visual “gap to goal” view of the organization. For nonprofits, we might use: Process, People, Customers, and Results (Outputs/Outcomes) as the 4 quadrants. We can also use this simply to give us ideas on where to find areas ripe for improvement.
So, let's look at your internal operations. Where are you today?
1. For each major program or program area, review your Processes and Functions and how they support your mission and programs. If the process or function is too big or complex to measure or document, break it into 2 smaller pieces. If any of those are still too big, break them into 2 more pieces, until they are manageable.
2. What do your People do and how do they connect to each other and to your mission and programs? Identify your processes and functions, and for each one, document what it is, its purpose, and why it is important.
3. Where do you want to be? Measure the current state first. Define how long a process takes, how many steps, how many people, what level of quality you see. Is there duplication of effort? Document the current state in a measured way, enabling the next step.
4. Add in the desired state. Describe the gap between those two states.
5. If the gap is significant, or the opportunity for improvement, cost savings or increased achievement is large, (or even if it is a very important process where a small improvement could mean a lot) put it on the short list.
Over the next two months, we'll take your short list and walk through analyzing, prioritizing, taking action and incorporating improvements into your operation.
See you in July!
Rosemary and Lee
Rosemary Bayer is Chief Inspiration Officer for ardentCause, L3C, a company dedicated to helping nonprofits increase capacity through operational performance improvement and the adroit use of technology. She has 25 years in the Information Technology industry, and excels at inspiring varied groups of people to pursue a common vision, as well as problem solving and inventing. Experienced in both for-profit and not-for-profit ventures, she was a founder of the non-profit Michigan Council of Women in Technology (now 650-plus members) and founder and president of the MCWT Foundation.
Lee Gorman, the founder of Barton Consulting Services, LLC, is an insightful, results-oriented executive with over 25 years of diverse experience in strategic planning, product planning, implementation and leadership. She has particular expertise in assisting organizations to understand and articulate their missions, visions, and values statements, and then to develop specific goals and strategic priorities. She has demonstrated this proficiency in health care, educational, automotive, and other for-profit and non-profit businesses.
* If you are interested in information on Organizational or Management Effectiveness, here are some places to start:
The Urban Institute
Grantmakers for Effective Organizations
The McKinsey Capacity Assessment Grid
|
It Benefits You |
npServ News |
Strengthening Communities: Nonprofit Capacity Building Program
The Institute for the Study of Children, Families and Communities at Eastern Michigan University is seeking to select up to nine agencies to participate in the Strengthening Communities: Nonprofit Capacity Building Program, Cohort II, for the period September 2010-August 2011. Chosen agencies will receive capacity building training, technical assistance, consulting, networking and mentoring opportunities. This program includes a cash sub-award of up to $50,000. Applications are due July 12.. Find the application and information about eligibility. For more information call Diane (734-487-0372). |
npServ would like to welcome our newest client, Wigs 4 Kids! Our team will be responsible for their tech support needs and helping the staff move and network their machines to a new wellness center in St. Clair Shores. We're thrilled to be supporting the organization's mission of working with children and teens struggling with hair loss, including cancer patients. Check out their grand opening featured in the Detroit News and their blog.
Update: The npServ team now provides IT support to 25 organizations in the metro-Detroit area -- that's 15 more than we were serving this time last year!
|
Special Events and Announcements
|
|
New Detroit's Closing the Gap Awards Dinner
Tuesday, June 15, 5:30pm reception, 6:30pm dinner & program
Max M. Fisher Music Center, Detroit
New Detroit believes that to achieve economic and social equity we must eliminate disparities that can be measured by race. The Closing the Gap awards recognize the exemplary accomplishments of an individual, a community organization, and a corporation toward realizing this goal. Join them to recognize this year's winners for advancing racial progress. More information.
Michigan’s Nonprofit Sector Through the Recession.
Check regularly for Michigan Nonprofit Association news that includes policy issues, job postings, and a link to this new study.
"Think it, Shoot it, Share it" -- PAH Motown
July 6-11
Madonna University, Livonia
Project Accessible Hollywood (PAH) is a nonprofit organization founded by Christopher Coppola to help everyday people express themselves and tell their story. PAH Motown is a free, week-long digital media film festival hosted by Madonna University.
The competition is open to everyone and encourages those with little or no experience in film to submit a proposal for entry. In order to be selected as part of one of the teams for this year, storytellers must submit a story idea of approximately 250 words by Tuesday, June 15. (See Harvey Ovshinsky's workshop offering below.)
The 2010 Peter F. Drucker Award for Nonprofit Innovation
All 501(c)(3) nonprofits are invited to apply for this award that is granted by the Drucker Institute to an organization that best demonstrates Drucker?s definition of innovation—change that creates a new dimension of performance. The judges look for programs that are highly effective and that have made a difference in the lives of the people they serve. The first-place prize is $100,000, second place is $7,500 and third place is $5,000. Application deadline July 1.
The 2011 Collaboration Prize
It's time to apply for the 2011 Collaboration Prize -- a national award designed to identify and showcase models of collaboration among nonprofit organizations. Celebrating nonprofits that come together for greater impact.
The application, eligibility criteria and details about the selection process are available online where you also can learn more about the 2009 Prize finalists and winners and access the Nonprofit Collaboration Database, a resource for everyone seeking real-life examples of how nonprofit organizations are working together. Each of the eight finalists will receive $12,500 and the winner will receive an additional $150,000. The finalists and winning collaboration will be announced in April 2011. Applications are due July 16.
Improve Information Flow
Have you often been frustrated by the way information gets passed -- or not passed -- along in your organization? Is there an information flow that could be more effective or efficient if it were analyzed, key issues were identified, and you were provided a set of recommendations for improvement?
If so, you are invited to participate in “Contextual Inquiry and Project Management” a 14-week client-based course at the University of Michigan School of Information. For this course, Master’s students perform an in-depth analysis of a process flow of organizational information use from several perspectives at no cost to your organization. The course description and more examples of past SI 501 clients and projects are available at this link. Please contact Kelly Kowatch (kkowatch at umich.edu, 734-936-8735) soon for more information.
|
|
Upcoming Selected Trainings
If You Can Write It, You Can Shoot It! A Two-Day Video Workshop with Harvey Ovshinsky
Saturday and Sunday, June 12 and 13, 9:30am to 4:30pm
Community House, 380 South Bates Street, Birmingham, MI
Cost: $300
With the growing demand for multi-media storytelling, simply telling a story isn’t enough. Clients, funders, legislators and the media are asking "Where’s the video?" In this workshop, award-winning producer and story consultant Harvey Ovshinsky shares his “secret sauce” for creating low budget, high impact videos. More information and registration.
 How To Get Your Board To Raise Money
Wednesday, June 16, 9am-10:30am
NEW Center, 1100 N Main St., Ann Arbor
Cost: $40 ($35 with online registration)
Join a seasoned board member in a fast-paced session about ways to get your board to be better ambassadors. Learn how to jump start their involvement in raising money!
Building Blocks for a Stronger Organization
A One-Day Organizational Development Training
Wednesday, June 16, 9am - 4pm
MSU Tollgate Education Center, Novi
Cost: $75 for land trust members, $95 for non-members
This seminar is designed for land trust and nonprofit organization leaders, such as executive directors, board members, and anyone involved in board recruitment or in ensuring the sustainability of an organization. It is offered by the Land Trust Alliance and taught by Andy Robinson, an organizational development consultant with over 29 years experience working with nonprofits.
More information and registration.
Fund/Revenue Development - Webinar
Thursday June 17, 1pm - 4pm
From the Michigan Nonprofit Association
Cost: $40
What constitutes a viable fund/revenue development plan? More information and registration.
Grant Management Class
Monday, June 21 - Tuesday June 22
From Grantwriting USA, hosted by Southeast Michigan Council of Governments
535 Griswold, Ste 300, Detroit
Cost: $595.00
In this class you'll learn how to administer government grants and stay in compliance with applicable rules and regulations. This training is recommended for grant recipient organizations across all disciplines. More information and registration.
BoardConnect Candidate Training: Serving On A Nonprofit Board
Wednesday, June 23, 9am-noon
Hannan House, 4750 Woodward, Detroit
Cost: $55 ($50 if register online)
You will learn about the five main responsibilities of board membership and how to find a board match with a nonprofit that could use your expertise.
Interpersonal Communications for Fundraising
Thursday and Friday, July 22-23, 8:30am-4pm
Kettering University, Flint.
Cost $650 (reduced from $800); limited to 40 participants
Carol Pence Consulting is sponsoring this well-respected Indiana University fundraising course that focuses on communication styles theory. You will create a framework for understanding your own style of communicating, and more importantly, those of potential donors. Receive two CEU credits toward your Certificate in Fundraising Management. More information and registration.
Thank you to supporters of NEW
|
|
Special thanks to NEW's founding partner
the McKinley Foundation
---------------
NEWSNOTES is proud to celebrate eight years of providing information to the nonprofit community.
If you have news to share, please send to agladwin at new.org
The appearance of this email may vary depending on your browser. If you are having difficulty
We welcome your .
|
|
