Principle 3 - Delivery of Organisational Purpose
Strategy is about defining the direction your organisation wants to take and then allocating the resources and managing the risks to get the organisation to where it wants to be. Organisations need to analyse their external environment and look at their existing strengths and weaknesses as part of this process.
Positive working relationships within an organisation help to get things done effectively. Conflict in whatever form is distructive and detracts from a normal, productive, working environment. Trustees need to ensure that they are giving leadership by modelling positive working relationships, as well as taking action to improve things when there are difficulties. This is part of their duty in ensure their organisations are efectively managed.
Organisations monitor their activities and income and expenditure to ensure that they are operating in line with their plans and to ensure they are delivering their organisational purposes.
Definitions of Monitoring and Evaluation
Monitoring is the systematic collection of information for analysis.
An operational plan outlines the activities and targets which the organisation will carry out in order to work towards achieving the aims and objectives set out in the strategic plan. It provides the framework for an organisation's day-to-day operations. An operational plan covers a one year period. Your strategic plan should be supported by annual operational plans. These will often be developed by senior staff members (where there are paid staff) but must be approved by the management committee.
A business plan is a detailed plan showing how resources will be managed to achieve the strategic plan. It includes detailed operational and financial information such as budget projections, which indicate how the organisation will resource its activities and be able to meet is objectives in the future. Business plans often cover a 3 year period. A business plan is also used to present its feasability of a particular new initiative.
The Charities Act 2008 states that the purposes outlined in an organisation's governing document must be of benefit to the public for an organisation to be charitable. This is known as the public benefit requirement.
The Charity Commission for Northern Ireland states that "Benefit is about the benefit flowing from the charity’s purposes. For a charity’s purposes to satisfy the benefit element of public benefit, that benefit must have three key features, it must:
Organisations are established for all sorts of reasons. Some are to raise money for a particular cause, some to deliver a service or some to represent the views of people from a particular geographic area etc. Organisations should be very clear on the purpose for which they exist and these purposes should be clearly outlined in the governing document of the organisation.
Organisations need to have information about the challenges, opportunities and future trends, inside and outside. So whether your organisation is just starting up or is already established, the first step in the planning process is to assess the external and internal position of an organisation. A SWOT analysis is one method commonly used to identify.
S - Strengths
W - Weaknesses
O - Opportunities
T - Threats