Charities Strategy and Impact Report 2021
5. Conclusion
Our research shows that a consistent,
practical and valuable approach to setting,
monitoring and reporting on strategic
objectives is not easy. There is no one
size-fits-all methodology for charities
that vary greatly by income and area
of activity.
Even within broad income or activity segments there is
huge variation of approach and ambition. But the findings
do, hopefully, reveal some of the things that charities do
well and not so well.
Without clear, measurable aims, both high and low level
in terms of scope, a charity cannot hope to truly assess
its effectiveness and impact. Strategic plans and aims are
never set in stone, and should be fluid and able to evolve.
What seems practical or achievable when a five-year plan
is formulated, for example, may be affected due to external
circumstances, including changes in funding. Some shorterterm
aims may have been met, or new priorities emerge. A
long-term strategic vision helps set the direction of travel,
but the best road taken to reach it may be different at
certain points in time. But the important thing is to clearly
report on which aims have been fulfilled, or reconsidered,
and why.
Have you considered the time horizon of your
strategic plan?
Do you regularly assess progress against the plan?
Are you just repeating strategic objectives year
on year?
Do you introduce new objectives into longer-term
plans to reflect changing circumstances?
Do you balance aims between high and low level?
When setting aims do you assess whether they
are measurable?
Have you fully reported aims set in previous years?
Where do you report upon strategic aims
and achievement?
Who are you trying to communicate this information to?
Does your going concern disclosure accurately reflect
the financial health of your charity?
Have you considered your reserves levels, and
unrestricted funding position?
Are current levels of income sustainable?
Assessing and reporting upon objectives is crucial to a
well-managed organisation. And having robust financial
controls and reporting in place, and being honest about
financial risks, underpins an organisation's ability to fulfil
its strategic goals.