Strategic planning: SRA's approach. (Case Study).

Introduction

The strategic planning process provides an overview of the entire organization to its leadership. A decision made in one area is not made in isolation from others, but rather with full realization of the impact it will have on the overall operation. Strategic planning benefits all organizations; however, for nonprofit organizations, which generally have yearly turnover of volunteer leaders, it has some specific benefits necessary for their success. It enables volunteers and staff to take advantage of changing environmental conditions not only to reduce environmental threats, but also to create opportunities for the organization. In addition, strategic planning creates a proactive environment, provides clear goals and direction, focuses the organization on its long-term welfare, facilitates both volunteer and staff analysis and decision-making, and provides both volunteers and staff with a clear understanding of what is required for success because they know the desired results.

Evidenced by both history and recent case studies by the Plexus Consulting Group (2002), organizations using strategic planning significantly out-perform both their past results and other organizations that do not use strategic planning. Strategic planning provides a mechanism to effectively integrate operating objectives and policies and helps expose organizational needs (e.g., key personnel, better management and communication systems, and improved committee performance). It also provides an effective political mechanism for gaining commitment from all levels in the organization to address issues facing the organization. As Goodstein, Nolan, and Pfeiffer (1993, p.6) emphasize, strategic planning helps to "unleash the energy of the organization behind a shared vision and a shared belief that the vision can be fulfilled."

Elementary management principles address planning as one of the basic functions of senior management, and strategic planning has been used successfully in the corporate world for many years. More recently, academia, hospitals, nonprofit organizations, IT enterprises, as well as major research centers recognize strategic planning not only as a valuable tool, but as a process inextricably interwoven into the entire fabric of management (Steiner, 1997, p. 3). If there are lingering negative perceptions of strategic planning, it results from those planning documents that have gathered dust on a shelf, unread once approved by the chief executive officer, chancellor, or board and have become virtually useless until another plan is called for by a new leader.

Recognizing that an extensive amount of time and resources is required to conduct an effective strategic planning process, it is not unusual for nay-sayers to question the value of the process to an organization. Indeed, over the years there has been a great deal of discussion and debate regarding the value of strategic planning (Mintzberg, 1994). Unfortunately, much of the debate has revolved around confusion in the various models and definitions used to describe and implement strategic planning efforts. Often, those involved never see the plan implemented, further justifying the negative reactions to strategic planning.

There are a number of reasons why such plans might fall. Often it is because they include the wish lists of all contributors. They're not realistic or based on what was going on in the real world, and/or do not take into account that changes would take place both within and outside the organization in the time frame of the plan. Perhaps the leading factor in any unused plan is the lack of commitment and follow-through from the leadership. As with any change process, champions and continuous communication with constituents are essential for success (Freeland, 2001).

The Process

Although there are a number of approaches to strategic planning, the foundation begins with a formal process. While the process may differ from one organization to the next, the intent is to focus attention, stimulate discussion and debate, promote interaction, track issues, and facilitate consensus (Mintzberg, 1994, p. 384). The primary goal of the process is to formulate a framework for effective decision-making. Through the process, an organization assesses both the current and future environments and determines the impact that future trends and/or changes will have on the organization and its constituents.

As noted in SRA's Strategic Planning Retreat Report (2001), strategic planning is a decision tool; the essence of strategic planning is to reposition the organization for a better future. In formulating the strategy for dealing with the future, it is critically important to not only look inward at what one desires, but to conduct the process in the context of looking outside to see what others are doing that will affect the organization and its future. It is essentially an outside-in process. Repositioning the organization for a better future generally requires decisions on structural and/or programmatic issues--both of which are highly linked to financial and human resources. The framework, which in SRA's case included defining the organization's vision, mission, goals, principles, and strategic objectives, is then used to guide all decisions regarding the organization's governance, finances, and programmatic activities.

To develop SRA's framework, the co-chairs and facilitator designed a process that would work for the nonprofit organization with volunteers serving in leadership positions and having limited time at their disposal. Within the time constraints, a process was designed to include: (a) the distribution and analysis of a leadership questionnaire, (b) review and analysis of background documents, (c) a two and one-half day retreat with facilitation by an outside consultant, (d) the consultant's report with review and adoption by the board, and (e) the presentation of the new 2001 Strategic Plan to the membership. Other organizations, whether for-profit or nonprofit, can use a similar approach with adaptations made for the size and scope of the organization, its staff, and constituents and the environmental data available.

Perhaps the most critical component of a good strategic plan is the time spent on an environmental analysis. It is the assessment of the environment that should drive the organization's thinking about its future and is the basis for the organization's mission, goals, principles, and strategic objectives. Langley (1989, p. 626) emphasizes that a formal analysis provides the glue within the social environment that helps generate organizational commitment and ensures action. At the same time, Mintzberg (1994) warns that intellectual analyses must be coupled with intuition and creative thinking for successful outcomes.

For SPA, a leadership questionnaire with open-ended questions assessed internal and external environments of the organization as well as the organization's strengths and weaknesses in relationship to those environments. It was distributed to 47 members, among whom were the current board of directors, a diverse group of past officers, section, division and chapter leaders, and senior staff. Thirty-three questionnaires were returned for a 70% response rate. The responses were collated in summary form by the consultant and remained anonymous to the retreat participants. The Leadership Questionnaire Summary, along with other surveys previously conducted (a membership survey and a survey of sections, divisions, and chapters), as well as other back- ground information (society documents, bylaws, and publications), were reviewed as part of the environmental assessment.

Discussion

The retreat group spent considerable time identifying the critical issues and trends that currently impact or will impact the organization over the next three to five years. The assessment specifically took into account the following trends: sociological/demographic, technological, economic, legislative/regulatory, and professional/educational. The group also assessed the internal environment, including the organizations s strengths and weaknesses as well as stakeholders (constituents, allies, partners, and competitors) in analyzing the trends/issues identified.

Hence, through guided discussion and analysis of the issues, using small group processing techniques, including force-field analysis, and modified Nominal Group and Delphi techniques, SRA's retreat participants were able to let go of preconceived notions and allow themselves to think strategically regarding the crucial issues and challenges that will have a major impact on the society. Through a probability and impact analysis, the retreat participants tested those issues/trends and identified those that will have the highest probability of impacting their organization within the next few years. Through further delineation, the organization's strategic issues emerged.

1. With the emerging changes in the technological, legal, regulatory, economic, sociological, and professional environments, research administration is becoming more complex and emerging not only as big management, but also big business, requiring increased specialization, accountability, public relations with the press and the public, and more active departmental administrators.

2. Demands for increased specialization and accountability in research administration may encourage administrators and managers to seek certification of their skills and competencies, and organizations to seek recognition of their capabilities.

3. The need for professionalization of the field is growing, requiring identification of best practices and the refinement of the body of knowledge specific to research administration.

4. Reliance on technology and web access will continue to increase, placing greater demands on members and their organizations and on SRA to understand and utilize the new and changing technologies.

5. The increased diversity among research administrators (RAs), as well as new and changing technologies, will require continuing professional and technical education.

6. Competition for resources and the complexity of the research and the association environments require new partnerships, including those with and among other professional organizations, federal agencies, and training organizations.

7. The continuing need for cost-containment within institutions/organizations will limit funds available for meetings and may force organizations to conduct their own training programs.

8. RAs are facing increased regulatory burdens as well as forecasts of government involvement in research management, stimulated in part by the public's demand for accountability and ethical use of federal resources used for research.

9. More organizations are advocating for research on specific issues, impacting funding streams.

10. With the evolving technological environment, members will demand faster and more efficient communication from SRA's headquarters as well as other units within the organization (board of directors, sections, chapters, committees, etc.).

11. With the significant changes in SRA's governance and management structures, a number of issues require immediate resolution, including: (a) leadership continuity, (b) support structure and expectations of staff and volunteers, (c) data on member demographics, and (d) communication linkages with and among all of SRA's units.

Based on the outcomes of this environmental analysis, the retreat participants worked through consensus on the development of a new strategic plan, taking into account the concept that effectiveness is more important than efficiency, i.e., it is more important to do the right things than to do things right. As Mintzberg (1994, p. 360) points out, strategies can be implemented successfully, but then prove to be inadequate. The aim, of course, is to do the right things right. The group process allowed the participants to focus on the essence of the organization and what makes SPA unique, reaffirming the organization's core values. The SPA 2001 Strategic Plan includes a vision statement, mission statement, purposes, goals, principles, and strategic objectives. (See the Appendix and refer to the member web page entry.)

Strategic planning is a tool to guide decision-making by the leadership and management on issues fundamental to the organization. Operational planning, on the other hand, describes a set of steps or tactics needed for achieving desired outcomes. To achieve the strategic plan, a business or operational plan should be developed. The operational plan details the steps or milestones expected to achieve a particular result, including identification of responsible parties, time lines, resources (financial and human), and measures of evaluation and success. Thus, strategy equals the what; operation equals the how.

The strategic plan must drive the operational plan. The development of SRA's Operational Plan began during the retreat and continues with the efforts of SRA's Board of Directors and Strategic Planning Committee. Through strategic planning and its concomitant operational plan, the organization has a road map--with clear goals and direction. Hence, good strategic and operational plans provide the guidelines for leaders to establish the organization's program of activities, allocate human and financial resources to accomplish those activities, establish priorities, assess whether objectives are being met, and evaluate programs, staff, and resources.

Importantly, with the direction provided by the strategic and operational plans, the internal structure of SRA must be assessed to ensure alignment with the organization's new strategic plan. The retreat participants identified an objective specifically to address infrastructure issues including: (a) the structure of the organization; (b) the structure, composition, and work of the board; (c) the number, type, composition, and work of committees; (d) the membership benefits and fees; (e) the financial and human (staff and volunteer) resources; and (f) the structure, composition, and work of the staff. SRA's Task Force on Infrastructure will address these issues to determine changes, if any, that will be required to ensure the organization's success in accomplishing its new strategic plan as well as the advantages and disadvantages of such changes for the organization.

Knowing the desired results will provide management, volunteers, and staff with a clear understanding of what is required for success. And, since volunteer efforts are required for most nonprofits to succeed, including SRA, and since volunteers are motivated by achieving and being recognized for their successes (Freeland, 2000), everyone wins--the organization and the volunteers.

Conclusion

The mission, goals, and strategic objectives identified by the retreat participants in SRA's 2001 Strategic Plan provide a significant challenge to the society--its leadership, members, and staff--and will require the commitment of all. To guarantee the plan's success, it is necessary for the Board and staff to give high priority to monitor implementation. Based on the outcomes of the retreat, it is clear that SRA's leadership will guard against the plan's failure, making sure the plan does not remain on the shelf. SRA's leadership will communicate the plan to members, establish priorities, commit resources for implementation, and monitor and evaluate progress. With the strong commitment of SRA's leadership, members, and staff, the mission will become reality.

Appendix

VISION STATEMENT

Taking the Lead in Research Administration

MISSION STATEMENT

The Society is an international organization dedicated to the education and professional development of research administrators, as well as the enhancement of public understanding of the importance of research and its administration.

PURPOSES

The Society shall fulfill its mission by means of the following purposes:

1. The education of research administrators, professionals in related fields, and the public through the exchange of information, individual contacts, professional presentations, formal and informal meetings, and publications.

2. The improvement of communications among researchers, host institutions and organizations, the sponsors of research, research administrators, and the general public.

GOALS

In fulfillment of its mission and purposes, SRA will direct its activities to the following goals:

1. Provide state-of-the-art professional development and education opportunities for all research administrators.

2. Advance the profession of research administration.

3. Advance the understanding of the value and importance of research and the contributions of research administration to the research enterprise.

PRINCIPLES

The society, as an international organization, its board of directors, members, and staff, embrace and support the following principles and values:

* SRA encourages diversity with members in industry, colleges and universities, non-profit research organizations, hospitals and medical centers, and government agencies, as well as other professionals involved in research support activities.

* SRA embraces research administrators from all career levels, from entry to senior level managers, and in all functions of research administration, including generalists, specialists, and policy makers.

* SRA continually seeks to identify and use cutting-edge topics and approaches for professional development and education in research administration.

* SRA encourages collaborative and cooperative initiatives with other organizations.

* SRA is committed to enhancing the abilities of members in their multiple roles as research administrators.

* SRA is committed to promoting the highest ethical standards and conduct in research & research administration.

STRATEGIC OBJECTIVES

Committed to achieving its mission and goals, SRA will direct its energy and resources to the following strategic objectives over the next three to five years:

I. Provide an effective system of communication for members.

II. Provide coordinated educational and professional development programs.

III. Analyze membership trends to link programs to member needs.

IV. Pursue collaborative efforts to identify, evaluate, and disseminate information related to the best practices of research administration.

V. Develop and implement outreach strategies to enhance the profession of research administration.

VI. Expand SRA internationally.

VII. Establish an effective and efficient organization and management infrastructure.

VIII. Enhance and maintain the society's financial viability and stability.

IX. Operationalize, support, and continuously monitor the SPA Strategic Plan.

References

Freeland, C.M. (2001). Society of Research Administrators International: Strategic planning retreat report, Arlington, VA: Society of Research Administrators International. Retrieve at: http://www.srainternational.org/NewWeb/SRAInfo/ReportFinal.pdf

Goodstein, L.D., Nolan, T.M., and J.W. Pfeiffer. (1993). Applied strategic planning: How to develop a plan that really works. NY: McGraw Hill, Inc.

Kanter, R. (1990). Thinking across boundaries. Harvard Business Review. November/ December.

Langley, A. (1989). The role of rationality: The purposes behind the use of formal analysis in organizations. Administrative Science Quarterly. 34:598-631.

Mintzberg, H. (1994). The rise and fall of strategic planning. NY: Prentice Hall.

Schwartz, M.A. with T. N. Burelle (Ed.). (1990). Guidelines for strategic planning for the colleges of pharmacy. Alexandria, VA: American Association of Colleges of Pharmacy.

Steiner, G. A. (1997). A step by step guide: Strategic planning: What every manager must know. NY: Simon & Schuster.

Wilbur, RH., Finn, S.K., and G.M. Freeland. (1994). Strategic management and strategic planning. In The complete guide to nonprofit management. NY: John Wiley & Sons, Inc.

Worth, S. (2002). Case studies on strategic planning. Washington, DC: Plexus Consulting Group. Retrieved from http://www.plexusconsulting.com 15 February 2002.

Carolyn M. Freeland, PhD, worked as a facilitator and strategic planning consultant for professional and trade organizations, foundations, businesses, educational institutions, and government agencies for the past 20 years. In her current position as president of Brandywine Group, Inc., she supports for-profit and non-profit organizations with management solutions in organizational and financial management, strategic planning, executive and staff assessment and training, and resource and program assessment and development. Previously, as principal Smith, Bucklin and Associates, a multiple association management firm, Dr. Freeland served for over 13 years as Executive Director for a number of education and health care associations in Washington, DC.

Author's Note: Most, if not all, of the initiatives of SRA's 1997 Strategic Plan were completed and the board approved a Strategic Planning Retreat for August 2001. A RFP was let and SRA contracted with Carolyn M. Freeland to work with Strategic Planning Task Force Co-Chairs Roberta (Bobbe) Nixon and Diane Watson in designing and facilitating SRA's strategic planning process. The Board of Directors adopted the proposed Strategic Plan in October 2001. Contact the author by Email at [e-mail].