Expert Guide to Creating a Successful Nonprofit Strategic Plan (with Template)

Are you a changemaker feeling lost and unsure of how to propel your mission forward? 

Successfully starting a nonprofit organization (NPO) requires more than good intentions and resources. You need a strategic plan that creates a roadmap for the organization to achieve its desired impact. 

A step-by-step plan steers your nonprofit’s staff in the right direction. This guide will walk you through the importance of a nonprofit strategic plan and the steps to create one for success. 

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What is a Nonprofit Strategic Plan?

A nonprofit strategic plan is a blueprint of actions that align the organization’s goals with its values, vision, and mission to deliver a positive impact. A good strategic plan outlines:

• Major goals and objectives.  
• Specific steps to achieve these goals and objectives.  
• A timeline spanning several years.  

While it is impossible to anticipate the hurdles that might arise in the future, a thoughtful plan prepares you for them. 

Your board members or strategic planning committee will vote on the strategic plan once completed. Remember to include them in the process to gain their support. 

Check out our free template strategic plan for nonprofits.

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Nonprofit Strategic Plan Template

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5 Types of Nonprofit Strategic Planning Models

1. Standard
2. Issue-based
3. Organic
4. Alignment
5. Real-time

There are many strategic plan models to choose from. Select the model that best fits your NPO’s structure, needs, and goals. The most common models for this include:

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1. Standard

The standard model revolves around setting goals and outlining specific steps to meet those goals within the set timeline. It is one of the top choices for NPOs since it fits most needs and planning requirements.

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Best for:

• Well-established NPOs that have stable environments and clear objectives.

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Not Ideal for:

• Nonprofits that regularly face operational or regulatory changes 
• Organizations that require flexibility and adaptability or are just starting out 

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2. Issue-Based

Issue-based strategic planning is all about responding to a problem. The aim is to identify areas of improvement for your organization and use problem-solving techniques to resolve issues.

It can also involve reaffirming your mission statement and seeing if you are sticking to it.

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Best for:

• Instances when it is important to use resources to handle a problem or achieve a specific goal.
• New nonprofits often struggle with limited management experience and non-strategic decision-making. 

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Not Ideal for:

• NPOs with diverse goals or those operating in multifaceted settings.
• Situations where focusing on one issue can lead to neglect of other key initiatives. 

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3. Organic

The organic model relies on the natural flow of your nonprofit’s activities. This dynamic and flexible approach focuses on adapting and responding to changes. 

It means you will identify one step to get closer to your goal instead of predicting all of the steps. Once the first step is complete, you will meet with the board and associated team members to plan the next steps.

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Best for: 

• NPOs with an uncertain future or those that must achieve quick wins. 
• Short-term planning to tackle unfavorable external conditions.

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Not Ideal for:

• Long-term planning. 
• When organizations have inadequate internal operations. 
• If you are dealing with large-scale external crises. 

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4. Alignment

A lot can go wrong when there is miscommunication among team members. The alignment strategy works when external conditions are stable but internal teams could benefit from improved communication. 

Imagine your fundraising team isn’t communicating with your marketing committee (or vice versa): The lack of coordination creates a gap in how well you market your nonprofit and raise funds. 

Miscommunication happens when overarching goals are unclear or when team members have misaligned priorities. 

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Best for:

• Optimizing communication and workflows in optimal, stable external conditions.
• Learning and taking measures to improve cooperation within the organization.

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Not Ideal for:

• Long-term strategic decision-making.
• When working with rough external or internal scenarios.

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5. Real-Time

The real-time strategic model works for the most code-red scenarios. It is an extension of the organic method for the most uncertain cases. As such, an NPO adopts these real-time strategies when a crisis is already unraveling.

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Best for:

• Immediate crisis management and creating a situation-based plan of action.

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Not Ideal for:

• When your NPO is experiencing external stability.  
• Long-term planning. 

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Importance of Strategic Planning for Nonprofits

Strategic planning is a forward-thinking approach that goes beyond the day-to-day operations of the NGO. Here are the top five reasons why every nonprofit should have a strategic plan. 

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Clarity and Focus

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A well-laid-out plan clarifies the organization’s purpose, priorities, and objectives. The introspection and analysis of related aspects help identify core values, strengths, weaknesses, opportunities, and challenges. 

The process focuses on setting objectives and key results (OKRs) that drive your NPO toward its ultimate vision. This gives everyone a set path to follow and avoid any mission drifts. 

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Resilience

Strategic planning helps nonprofits navigate unexpected challenges by identifying potential risks and creating contingency plans. This can help nonprofit teams become more adaptable and resilient, preparing them for future changes and challenges. 

By anticipating and preparing for various scenarios, organizations can respond quickly and effectively when faced with a crisis, ensuring their mission stays on track.

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Resource Efficiency

Nonprofits have limited resources. A predefined and strategic investment helps the NPO to identify the most critical areas and set priorities. 

69% of NPOs anticipate an increase in revenue with strategic planning. It enables you to continue essential missions and work toward success.

Planning takes into account the available resources, funding streams, and partnerships, allowing your NPO to run at its full potential. This reduces the risks of wasteful spending and helps deliver the desired impact. 

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Data-Driven Decision Making

The steps of strategic planning use data and insights to make informed decisions. Instead of relying on intuition, you track and monitor progress based on the OKRs defined while planning. It gives reliable and valuable information, which you can use to learn and improve your strategies.

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Improve Stakeholder Management and Engagement

Strategic planning involves gaining the buy-in of stakeholders like staff, volunteers, board members, donors, and beneficiaries. Including stakeholders in strategic planning gives them a sense of ownership and inclusivity. 

When stakeholders feel heard and valued in the organization, they’re more committed to its success.

7 Steps for Creating an Effective Nonprofit Strategic Plan

1. Assess Your Need for a Strategic Plan
2. Set Your Strategic Planning Goals
3. Meet with Your Key Stakeholders
4. Analyze Feasibility and Revisit the Mission
5. Come Up with Steps to Achieve Goals
6. Get Departmental Synchronicity
7. Align Your Fundraising Strategy

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Step 1: Assess the Need for Nonprofit Strategic Plans

The first step is to define the current state of your organization to outline where and what you wish to achieve with the plan. 

Collect all the possible information related to your nonprofit so your strategic planning team is on the same page. This step is essential to describe who you are and the current status of your organization.

Here are some of the most important aspects to have clarity on:

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1. About Organization and Target Demographics

Consider asking the following questions to get clarity on who you are.

• What is the size of your organization?
• What is the location?
• What is your annual net asset value (NAV)?
• What are your staff’s greatest strengths?
• Who are your donors and volunteers?

These answers will help your team to understand the organization's capacity, reach, financial health, and other key areas. 

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2. Successes and Goals

Give yourself credit for the things you’ve accomplished in the past. It will give you better clarity on your strengths and opportunities. Starting on a positive note will also encourage your strategic planning team, making the process much easier and more enjoyable.

• What are your NPO’s biggest achievements to date?
• Are these goals relevant to the future strategic plan?

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3. Financial Background

Funds are necessary to make an impact, so ask questions about your NPO’s financial health.

• What are the fundraising options you have?
• What was the impact of your past fundraising efforts?
• Who are your donors or corporate sponsors?
• What are your other revenue streams?
• What are your current funding sources?
• Do you need a better grant management process?

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4. Stakeholders

Examine your internal and external stakeholders to determine what their roles and responsibilities are. 

• Internal stakeholders
  - Team members who are directly impacted by the strategic plan
  - They are likely already on your strategic planning team, such as board members and staff.  
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• External stakeholders
  - These include government entities, donors, other NPOs, etc.
  - They support your organization financially or otherwise.

Here are the key questions to ask about this stakeholder assessment. 

• Who are our top stakeholders (internal and external)?
• What are their expectations?
• What do we need from them (for example, capital, marketing, etc.)?
• What are your expectations from them?

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5. SWOT: Strengths, Weaknesses, Opportunities, and Threats

Now perform a SWOT analysis to learn about your internal strengths and weaknesses. These insights show how external threats and opportunities influence your nonprofit’s success. The analysis also reveals where you need to focus your efforts to achieve your goals. 

Answer questions like: 

• What is your nonprofit’s standout feature?
• What past events have impacted your success and why?
• Are there any weaknesses hindering your organization's growth?
• What opportunities can you use for growth?

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Step 2: Set Your Strategic Planning Goals and Objectives

Now that you know where your organization stands, the next step is to set goals. This will help you make the most out of resources and time. The above assessment will give you clear ideas on where to go from the current situation. 

The goals you establish will guide you through the planning process and future operations. They will be your compass to keep your efforts aligned with your organization's mission.

Beyond the internal research, consider analyzing similar nonprofits to understand a different perspective. Find what they do differently to draw inspiration and improve your donation drives. 

Gather valuable insights into what your organization needs to do to reach its goals. Use the company documents to define your:

• Mission statement -  the organization’s core purpose.
• Vision statement - how your strategic plan fits into your long-term vision.
• Core values -  what matters most for your NPO.
• Strategic priorities - the organization’s core initiatives 

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Step 3: Meet with Your Key Stakeholders

This step involves meeting with key nonprofit leaders, consultants, and other stakeholders. Doing so will allow you to remain on the same page going forward with the goals and project timelines. 

The stakeholders can include board members, chief executive directors, and department heads. Involve major donors in the process to learn what they think about the future of the organizations.

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Step 4: Check the Feasibility and Revisit the Mission

Are your goals and objectives SMART (specific, measurable, achievable, relevant, and time-bound)? Regardless of the type of goals, you should always use the SMART approach to write them. 

Include the following points in each of the goals:

• Specific:
  ‍Be specific about your goals, including what, why, and whom. For example, raise $100,000 to support 1,000 survivors of domestic violence. 
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• Measurable:
  ‍Ensure these goals are quantifiable. You should be able to measure progress to paint a clear picture of how the organization’s plan works. To set measurable goals, specify:
  - What key performance indicators (KPIs) should you measure?
  - Who will measure it?
  - What steps will they take to measure KPIs?
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• Attainable:
  ‍The goals should be realistic and encourage you to take on challenges. Unrealistic goals can demotivate your staff members and other people involved. 
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• Relevant:
  ‍The goals should be relevant to your nonprofit’s mission and vision statements. 
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• Time-Bound:
  ‍Your goals must have a clear beginning and an end. Time-based goals help track progress and create a sense of urgency with deadlines to achieve those objectives. 

Here’s an example of a SMART goal: 

Over the next 3 years, add 5 new revenue streams by applying for one government grant every year, hosting monthly fundraisers on social media (Instagram or Facebook), and conducting peer-to-peer fundraisers and bi-annual in-person charity events.

Revisit your mission statement and see if these goals align with them. Tweak the goals and objectives if they deviate from the specified mission.

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Step 5: Define Steps to Achieve Goals

Every goal must have definite steps for successful nonprofit strategic planning. You should also assign a clear departmental head responsible for each task. 

Identify and define parameters to show when a task is complete. Set indicators that will help monitor the progress throughout the plan so that everyone stays on schedule and completes tasks in a timely manner.

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Step 6: Seek Approvals for Department Heads

Every department head must coordinate during the strategic planning process. Getting feedback and buy-in from cross-functional teams is essential to keep everyone in the loop. It enables team members to know their roles and expectations. 

This gives department heads clarity on what they should expect from their staff to handle specific tasks. They can share their inputs on the feasibility of the goals and the time it will take to complete them.

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Step 7: Prepare Your Fundraising Strategy

A nonprofit’s SMART objectives and goals are unachievable without a solid fundraising strategy.  For this, include several campaigns to support your new strategic initiatives. 

Plan and schedule fundraising events and campaigns for the strategic planning duration. This can help maintain a steady flow of funds so that it is possible to allocate resources to crucial initiatives.

86% of people agree that a strategic plan positively boosts funds from grants, donors, events, and other sources. A strategic plan can be a great way to bring new donors and have them become a part of your growth. 

Review your donor database and identify major donors while creating a strategic plan outline for your nonprofit.

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7 Tips for Maintaining Your Nonprofit Strategic Plan

Consider the time, effort, and funding that go into strategic planning as an investment in your organization’s future. To ensure nothing gets wasted, here are some tips to maintain and implement the strategic plan.

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1. Involve Your Stakeholders in the Process

Consider the feedback and insights provided by your key stakeholders throughout the strategic planning process. Stakeholders such as board members, staff leaders, and donors, are crucial assets for the NPO and their support is indispensable. 

Plan regular check-in meetings to review progress and maintain accountability.

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2. Work as a Group

Create a special group to work collaboratively on your strategic plan. While individual tasks and efforts count, planning takes a team to be successful. Ensure you have enough support from a diverse group, but don’t make it so big that it becomes difficult to communicate.

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3. Conduct Robust Research

Review relevant data and deeply research the organization’s mission and objectives. Identify industry trends, potential partners, or collaborators that can help make your strategic plan successful. 

Understanding the needs and expectations of your stakeholders enables you to develop a plan that aligns with every strategic priority.

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4. Ask Questions

Strategic planning for nonprofit organizations is about asking the right questions to identify key issues and develop effective solutions. It gives clarity on your mission, vision, and values. 

Use the questions mentioned in the steps above and consider a few more that are specific to your organization's needs.

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5. Set Measurable Objectives and Key Results (OKRs)

Use the OKR framework to set and track goals. 

For example: Suppose you want to increase brand awareness and support for the nonprofit's animal welfare initiatives. Here are some examples of measurable key results:

• Grow social media followers by 25% within the next quarter through targeted campaigns and partnerships.
• Secure $50,000 in corporate sponsorships for the annual fundraising event.
• Recruit 50 new volunteers for the upcoming pet adoption drive.

By setting a clear objective and defining specific, measurable key results, your nonprofit can effectively track its progress and align its efforts with its mission of improving animal welfare.

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6. Celebrate Small Wins

Celebrating each small win when you complete milestones throughout the strategic planning for nonprofits is an instant morale booster. 

Appreciating efforts and keeping staff and stakeholders informed of progress helps motivate the team to work collaboratively and make a difference.

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7. Set Accountability

Accountability ensures clarity, alignment, transparency, evaluation, resource efficiency, and sustainability. All these are crucial factors for implementing and maintaining strategic plans. 

Establish accountability right from the planning stage to make everyone aware of their role and expectations. This will help your nonprofit maximize its impact and fulfill the stated mission.

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Case Study: How Santropol Roulant Raised $88,000 and Saved $3,300 in Their Fundraising Campaign

Here is a nonprofit strategic plan example that helped Santropol Roulant reach their fundraising goals with Zeffy. 

Santropol Roulant's switch to Zeffy helped them raise $18,000 above their initial target of $70,000. They also saved $3,300 in transaction fees. 

Zeffy's 100% free model and integration with Salesforce proved crucial. It enabled the organization to save over $7,000 in transaction fees over two years. 

Zeffy’s peer-to-peer campaigns empower supporters to fundraise within their networks. This strategic move exemplifies how modern fundraising platforms can drive nonprofit growth and sustainability.

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Wrapping Up the Nonprofit Strategic Planning Process 

A strategic plan gives you the necessary framework to confidently reach your goals, unify your team, and help the community as intended. With a comprehensive nonprofit strategic plan, you can ensure your organization is ready for any challenge. 

Zeffy's 100% free fundraising tools support your strategic planning and decision-making processes. By ensuring all funds raised go directly to your cause, Zeffy helps you maximize your resources without hidden costs, allowing you to allocate donations where they’re needed most.

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Nonprofit Strategic Planning FAQs 

How is strategic planning different from other planning? 

The majority of nonprofit strategic planning models focus on long-term goals and the overall direction of the organization. On the other hand, traditional planning centers on immediate, short-term objectives. 

For instance, traditional planning might involve organizing an upcoming fundraising event to meet quarterly financial targets. In contrast, strategic planning involves setting a multi-year vision, defining the mission, and creating a roadmap to achieve broad organizational goals.

Strategic planning considers the larger picture, aligning activities with the nonprofit's core values and long-term vision to ensure sustained impact and growth.

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What are the 7 elements of a strategic plan? 

The 7 elements of a well-crafted strategic plan are the pillars on which the entire NPO functions. These include: 

• Mission statement - Summarizes the purpose and reason for an organization's existence. 
• Vision statement - A forward-looking statement that defines the desired future goal. 
• Core values - Fundamental beliefs and guiding principles of the NPO. 
• SWOT analysis - strengths, weaknesses, opportunities, and threats to inform strategic planning. 
• Long-term goals - Broad, overarching goals to be achieved over an extended, specified period. 
• Objectives - Specific, measurable targets to support long-term goals.  
• Action plan – Detailed plan covering specific steps, tasks, resources, and timelines to reach goals and objectives.

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Does my nonprofit need a strategic plan? 

Every organization looking for long-term success should consider strategic planning. It helps nonprofits in many ways, such as: 

• Keeps the entire nonprofit team grounded in its goals and mission. 
• Sets accountability and responsibility through detailed, actionable plans. 
• Helps track progress on the goals and why those are important. 

A strategic plan is a great way to operate an NPO and achieve the desired outcomes. It strengthens the nonprofit’s identity while steering its strategic decisions.