Why Strategic Planning is Important for Organizations Across Northern Minnesota
Many people I talk to in nonprofit or public organizations—or churches—cringe at the idea of creating a strategic plan. Often, they’ve had a bad experience in which their organization spent significant time, money, and other resources developing a plan that ultimately didn’t produce results.
It’s no wonder—strategic planning services can be expensive. A quick survey of industry data shows hourly rates often range from $200 to $600+ per hour. A shorter, “lean” plan with limited scope can cost $20,000–$80,000, while a more comprehensive plan can run $80,000–$300,000. With numbers like these, skepticism about the value of strategic planning is understandable.
However, in today’s highly competitive and volatile environment, strategic planning is more important than ever. Organizations face a dizzying array of challenges: rapid technological change, social and political upheaval, economic uncertainty, and the increasingly blurred lines between public, private, and nonprofit responsibilities. As John Bryson notes in Strategic Planning for Public and Nonprofit Organizations (5th Ed.):
“Organizations that want to survive, prosper, and do good and important work must respond to the challenges the world presents. Their response may be to do what they have always done, only better, but they may also need to shift their focus and strategies.” (p. 6)
Consider this: using the IRS tax-exempt organization search, I found 323 nonprofit organizations within the city of Bemidji alone. For a community considered “rural,” that’s remarkable—323 organizations dedicated to serving their missions, facing all the challenges mentioned above. Many struggle to meet financial obligations, recruit qualified staff and board members, comply with legal requirements, and maintain ethical standards under high-stress situations.
Looking beyond Bemidji, the number of nonprofits in the surrounding counties (Beltrami, Itasca, Cass, Hubbard, Clearwater, Mahnomen, Becker, Polk, Otter Tail, Roseau, Norman, and Wadena) jumps to 3,963 organizations. That’s a staggering number of missions striving to make a difference—but most of these organizations cannot afford traditional strategic planning services.
Yet, strategic planning matters, perhaps more than many realize. A solid strategic plan aligns your strategies with your overall goals and vision. It fosters organizational learning, builds teamwork among staff and volunteers, and allows your leadership to step back and make informed decisions based on real opportunities.
Data shows the difference a plan can make. According to Funding For Good:
Companies with written business plans grow 30% faster.
71% of fast-growing companies have strategic, business, or long-range plans in place.
Organizations with a plan are far more likely to secure funding than those without.
Organizations with strategic plans are also:
More likely to collaborate with other nonprofits
More likely to have boards open to taking calculated risks
More likely to have a formal process for measuring leadership effectiveness
Yet, 49% of nonprofits don’t have a written strategic plan. That means 158 nonprofits in Bemidji and 1,942 nonprofits across Northern Minnesota are missing out on growth and impact.
If your organization is among these, it’s time to get serious about strategic planning. You’re leaving opportunities on the table to serve more people and make a greater difference.
At Mustful Strategic Consulting, we specialize in helping small to mid-sized nonprofits in Northern Minnesota navigate strategic planning. We understand your constraints—and we know your heart for service. Let’s talk about what’s possible and how a thoughtful strategic plan can empower your organization to achieve more.