The pandemic has caused disruption to many organizations. The top priority for every organization has been finding ways to operate safely. Some also seek the capacity to do even more: more emergency assistance for their community; more internal and external social justice work; more services to donors. And they need to accomplish these goals in a safe, employee-friendly way.
To address these needs, we now deliver process transformation services virtually, in-person, or in a hybrid format.
Process transformation, unlike process improvement, goes beyond tweaking work steps. It entails a total overhaul to the way work is done. Some consultants produce rudimentary improvement, but a certified process specialist identifies approaches and provides tools to recapture significant capacity. Innovation Process Design (IPD) is certified in proven operations improvement methodologies, including Lean Operations, Six Sigma, and Human Centered Design. We know how to tailor our approach to each organization’s unique mission and circumstances.
As a result, over the last twenty years, clients who have engaged our Think Differently Process Transformation™ services have achieved dramatic reductions in work steps in key areas, as shown in Figure 1.
Figure 1: Impact of Process Transformation
By reducing and improving work steps, nonprofits recaptured significant amounts of time, which they invested in new programs that have increased their community impact. Board meetings are more productive and require a fraction of the preparation time that had been invested before. Payments are made without delay, better supporting grantees’ needs. Donor gifts are confirmed in a faster and more efficient manner. Learn more about organizations’ process transformation results here: Process Improvement Case Studies.
In order for process transformation to be successful, staff members must be actively and safely engaged. IPD has had years of experience conducting transformation events in a variety of settings: in-person, virtual, and through a combination of the two. Our prior experience made it an easy transition to offer our clients three ways to engage in process transformation. The advantages of each option are detailed in Figure 2.
Figure 2: IPD Services Channels
Engaging in an in-person deep dive to transform processes is a powerful experience. Yet this face-to-face experience requires committing staff to several full, consecutive days of in-person meetings. Since all-staff in-person meetings are highly unlikely for several months, waiting for in-person services will delay the time the team has to implement their newly designed processes and as a result, delay the benefits of process transformation.
Virtual meetings offer an alternative to full, consecutive day meetings, as three-hour transformation sessions can occur over several weeks. Spreading out this time works well for many organizations’ daily workflow. In addition, there is no travel time or travel cost for a virtual event, lowering the overall event cost compared to in-person meetings by around $2,000. Employees appreciate being able to continue to safely work at home, and the transformation initiative can start any time the organization is ready.
Our hybrid service channel provides the team options regarding who attends from which location. Our transformation trainer and coach, Lee Kuntz, can be at your site or at the IPD office. Your staff can attend in-person or from anywhere they have internet access.
Since work location is becoming more fluid, the hybrid model is likely here to stay. The benefits of the hybrid model, depending on how each organization configures it, include many from both the in-person and virtual channels.
Having these channels available to forward thinking foundations and other nonprofits means employees, whereever they are located, can safely and effectively transform their processes and results.
Many leaders see that their community needs more help. Yet key to taking on this new work is increasing capacity. The good news is that leaders can begin their process transformation journey virtually, in-person, or in a hybrid fashion. Through a safe, flexible, and customized approach, organizations can start realizing the many benefits of process transformation without delay.
As founder and president of Innovation Process Design Inc., Lee has spent two decades using process improvement to solve the unique challenges facing leaders of complex service institutions. Through expert training and coaching, she helps teams look at their work with new eyes, transform how work gets done, and create real results. Learn more about Lee and how she helps organizations at improveprocess.net.
Recently a nonprofit programs director, Shannon, asked me for help when she identified gaps in her organization’s grantmaking operations. Since Shannon had seen these pain points cured in another organization, she knew the solution: transform processes to change outcomes.
Shannon’s experience is proof positive that seeing is believing. She and other leaders are now leveraging our Introduction to Process Transformation event to help their organizations to help their organizations streamline operations and learn how to improve client outcomes.
Shannon first experienced process transformation results when a consultant hired by her previous employer led the team through a process improvement project. The results were impressive, helping Shannon’s team recapture hundreds of hours of time from operations while improving the quality and speed of grants decisioning and delivery.
After Shannon accepted a promotion with a larger foundation, she immediately saw that grantee onboarding took so long that many deserving organizations dropped out before they applied for their first grant. These nonprofits just could not spend the time waiting in line for a grant application. And these frustrated organizations shared their experience with donors in the community, hurting the foundation’s reputation.
Based on her previous process improvement experience, Shannon recognized her current situation as a process improvement opportunity. She explained to operations leaders from finance, grantmaking, technology, and donor relations that their pain points were solvable through an investment in transforming operations processes. The foundation then invested in our process improvement training and coaching. As a result of their efforts, staff cut their nonprofit onboarding from 90 days to 20 days, and at the same time gathered better data and set more favorable and attainable expectations with the nonprofits they serve.
Shannon was able to get leadership on board with the funding and time investment because she had experienced the positive results of process transformation and could speak to its benefits. But how do problem solvers like Shannon gain support for process transformation when neither they nor their higher-ups have seen the benefits? Or when foundation management is not yet open to an investment in process transformation?
Recognizing that seeing is believing, we have developed an event called Introduction to Process Transformation. This live, virtual gathering entails one day of process transformation coaching with your team that fits within your organization’s existing budget. The event is tailored to your specific situation, in that leaders from your organization will identify a small process that needs improving, and you will leverage our team’s coaching to transform that process.
The expected outcomes of this one-day event are as follows:
• A detailed process and map that can drive improved outcomes.
• An implementation plan for the new process.
• Employee ownership of the newly designed process and its implementation.
• Employee engagement in the next improvement investment.
Because of the tight, action-oriented focus of this coaching, your foundation can learn and achieve the value of process transformation without stretching or exceeding your current budget. Your staff will close process gaps and solve operational pain points. Potential processes to be explored in this introductory, one-day event include creating paperless payments, gift or grant acknowledgments, and ACH payment.
Foundations don’t have to live with employee stress, reputational risk, and negative community feedback because of processes that don’t work as they should. If you are looking to cure these pain points, contact Lee Kuntz to share your foundation’s hurdles and roadblocks and hear how others are curing those pain points. Lee can suggest an adaptable process improvement coaching and training option that fits your situation. Foundations have reaped numerous rewards by investing in process transformation. You can too.
The COVID-19 pandemic has consumed our time and energy for half a year. Many organizations say it’s time to refocus, to both take care of now and build for the future. These philanthropic organizations are moving from being reactive to transformative to ensure they achieve their mission. How will organizations that are already working at capacity effectively take on their future? One tool to build that capacity is process transformation.
The Challenge: Creating the Capacity for Today and Tomorrow
Due to the pandemic, grantmaking organizations have been in reactive mode, setting up safe, remote work environments in order to continue daily operations. This has required all hands-on deck, with employees being heroes by working creatively and for long hours. Recently one foundation shared that at times employees work while sitting in their cars in front of each others’ houses, ready to hand off grant checks or paperwork to the next person for the next step.
Yet even with this all-consuming workload, philanthropic leaders are focusing on increasing their organizations’ community impact. These leaders tell me they are now attempting to step back to assess where they are in their mission while maintaining safe operations.
This is a challenging next step, as capacity is already tight. The typical work of assessing existing programs and making adjustments places a huge strain on resources in today’s already at-capacity environment.
Capacity, or the hours available to do work, is a tricky asset to manage. In my process training, I talk through this capacity constraint.
Each employee has about 2,000 hours of work capacity in a year. The tasks they perform use up that capacity. This work can add value to the community, such as issuing grants to qualified organizations. Or it can be squandered through wasted steps that add no value to the community, including rework or duplication. Each organization’s yearly capacity is based on the number of full-time people times about 2,000 hours. It is up to the organization to decide how that capacity is spent or invested.
When I coach teams, we measure their value-added and wasted steps. I find wasted steps account for between 40% and 70% of work. For example, creating grants takes many tasks for thousands of work hours to deliver the grant check to the qualified organization. Yet this process can contain rework and duplication, resulting in a waste of work hours that could be better used to serve the organization’s central mission.
Process improvement is a generic term that hints at the opportunity to improve efficiency. But process transformation—a higher level of process improvement training—builds employees’ ability to see the wasted steps and eliminate them. After receiving my team’s process transformation training, one leader said: “I just need to find these wasted steps, then solve them to get back capacity for the rest of my career.” And she did. She and her operations team took their intake for home ownership coaching processes from an average of 90 days to between 9 and 20 days. They found the capacity to deliver more, better, and faster services to their community.
Next Step: Get information on Increasing Capacity through Process Transformation
Even as grantmaking organizations struggle to get work done from their remote desks, untapped capacity is just waiting to be found. As organizations are completing this year’s work and planning for next year, including process transformation training and coaching in plans is a first step to recapturing lost or wasted capacity. With an investment in our process transformation training and coaching, organizations can recapture and reinvest $30,000 to $75,000 of labor annually. Learn more about what organizations are budgeting for in this companion blog post: This Year, Plan to Succeed!
Contact Lee Kuntz to share what you see at your organization and to learn more about how your organization can thrive during these challenging times. Other organizations are moving forward during these difficult times, your organization can too.
Is your foundation installing new grantmaking or CRM software? Many times, staff are excited to have a new system, but they are hesitant to give up what is familiar and proven. Some philanthropic organizations address these emotions by developing a comprehensive software install plan. Such a plan addresses process change management steps as well as the questions, concerns, and reservations of the people who will implement them. Leaders who took these human factors into account say their investment in thorough planning more than paid off.
More than one hundred philanthropic organizations change grantmaking systems each year. This once-in-a-decade or so task is an expensive and risky venture. Given that most foundations install a new system quite infrequently, employees are understandably unfamiliar with the conversion process. And even though some employees may be tired of the old software, are they ready to significantly change their work processes, roles, and controls to maximize the new system?
One foundation spent a couple million dollars on a new grantmaking system and CRM only to have employees bypass the labor-saving features of the new system. They continued their manual work arounds, including old work steps, spreadsheets, and piles of paper. All the expensive, state-of-the-art bells and whistles that the new system offered went unused.
Achieving buy-in from staff members who will use the new system on a daily basis is a huge contributor to software success. Therefore, meeting employees where they are and readying them to implement the changes ahead is an important project step. Recently we surveyed philanthropic leaders, asking what steps they included in their new software plan to prepare employees for the pending conversion. More than half (58%) of survey respondents said they invested in human and process change management training during their new system install.
Their outcomes? Participants said their training addressed human change-management skills, empowering employees to question how work is done, business policies, and roles and responsibilities. Many also said they believed this training helped them achieve improved outcomes during the new software install and ongoing.
Is your philanthropic organization interested in learning how human and process change management training looks? Register for this upcoming free webinar: Not Just Plug and Play – Process, People and New System Install.
Also, contact Lee Kuntz to discuss your journey and challenges. Lee can share how others who have installed new software have achieved success by incorporating both human and process change management training into their installation plan. Many foundations have helped their employees embrace new and better ways to approach their daily tasks using a new software system You can too!
Here in Minneapolis and across our nation, these are challenging times for nonprofit and philanthropic organizations. Local emergencies, impactful opportunities to speak up, and the COVID-19 pandemic are creating serious new needs in communities across the country. Organizations that were already operating at or near capacity find themselves trying to stretch their resources even further while simultaneously managing the disruptions caused by a shift to remote work, declining donations, and a volatile stock market. As a result, many organizations are struggling to meet their goals.
Learn how some organizations are going virtual to improve their nonprofit operations and results to their community through my recently published article in The Sustainable Nonprofit blog from PND by Candid.
Go Virtual to Improve Results During Emergencies
Have you installed new software that was universally embraced and paid for itself quickly, perhaps even within 24 months?
Attaining widespread employee buy-in at an affordable price is a worthy but difficult goal. Yet as new software competes for funding with other good ideas, achieving this is important. Business process redesign can help philanthropic organizations realize this measure of success.
Philanthropic organizations replace software, including their big grantmaking systems, every five to twenty years. That makes sense, as the philanthropic industry is growing. Contributions to donor-advised funds totaled $37.12 billion in 2018. This represents an 86 percent increase in contributions over the past five years. The related grants increased likewise.
Growth in grantmaking often necessitates employing new tools to stay ahead of the workload. Leaders of philanthropic organizations need to build a strong case to justify investment in costly new software. The best-case scenario is when the new software pays for itself within 12 to 24 months. In order to achieve such a favorable return on investment, employees throughout the organization need to be open to change and willing to explore all that the software has to offer. Business process redesign engages employees in fully learning and embracing new software, inviting them to fully leverage it.
Recently, three experienced technology leaders and I spoke at a Technology Association of Grantmakers webinar about how to leverage business process redesign to promote software acceptance and a quick return on investment. Key points:
Check out this new, free tool that can inform your thinking about software implementation: Business Process Redesign Steps for New Software Success.
Contact me, Lee Kuntz, at firstname.lastname@example.org for a no-cost discussion of your situation and recommended steps to redesign your business processes.
Foundations have realized substantial benefits from their new software investment through leveraging our business process transformation coaching and training. You can too!
The COVID-19 health crisis has created serious needs in nearly every community, and for the philanthropic and nonprofit organizations that serve those communities it has created a unique challenge: Organizations that were already working at capacity now see even more opportunities to carry out their mission, but they are struggling to find the resources to meet those needs. Disruptions caused by a move to remote work, declines in giving, and an unpredictable stock market are all making it more difficult for organizations to meet their goals.
Employees who were already 100% committed now find they need to commit 200%. So, where does that extra 40 hours come from? Increasing your organization’s capacity to have a positive impact on targeted populations is key at this time of scarce resources; and live, online, process improvement training and coaching is the perfect tool to help build organizational muscle while keeping staff safe.
Is your organization working to help your community more at this challenging time? Are you hindered by your systems? You will have the opportunity to continue your organization’s system discussions later this year. Will your team be ready to transform your processes to fit the new system?
Adding new software is a major investment. It’s a big job, and new software alone is no guarantee that an organization will improve outcomes enough to cover the cost of installation. Learn the business process redesign best practices shared by those who have succeeded on that journey in this report. Summary of Reimage Processes for New Software Survey
Is your office in remote mode? So many teams are now working from home as we collectively battle the COVID-19 pandemic. Remote work can reduce personal and community health risk. Yet it can be unhealthy for your organization. Remote work can be slower and less accurate, impacting your organization and your community. A key question in this transition is: With this big change of unknown duration, how will your team continue to serve your community in a seamless way?
Teams that move to remote work find key risks.
o Paper piles of work are no longer visible, resulting in stalled or forgotten work.
o In-person double checks and communication may not happen, resulting in errors and embarrassment.
o Quickly made process adjustments to fit remote operations create the risk of errors and missed steps.
o Back-and-forth online communications may slow work down, consuming already tight capacity.
Remote work is an opportunity to redesign your processes to regain capacity, maintain quality, keep up speed, and preserve your reputation. Some organizations are using proven process transformation tools to achieve these goals. For example, as a result of our process transformation work, one foundation recaptured time while delivering error-free results for three years. This group became an effective cross-organization team, performing better and accomplishing more in a consistently high-quality manner.
Is this what you are looking for?
If your team is going remote, connect with process improvement coach Lee Kuntz about a live, online checkup for your key processes. We use our proven process transformation coaching, training, and tools to help you mitigate risk and deliver upon your organization’s commitments. Checking up on small processes can be done in a couple hours.
Contact Lee to discuss how your team can create a seamless transition to remote processes while maintaining and growing great results.
Private and community foundations across the nation are flexing their process improvement muscles. They are achieving impressive results, including:
• Recapturing hundreds—even thousands—of work hours
• Delivering better or faster grants
• Maximizing a big technology investment
• Breaking down crippling silos across the organization
• Creating a culture of improvement
For example, one foundation used process improvement training and coaching to transform a grants process from 75 to 39 steps. They immediately started recapturing time, which enabled them to reinvest it in serving their community. They expect to recoup over one thousand hours from their investment.
Is this an anomaly? Actually, many philanthropic organizations report these impressive results. In fact, every nonprofit foundation we worked with significantly streamlined its processes. As shown in the graph below, these leaders reduced their number of steps by 52 percent. With each wasteful step removed, these foundations better positioned themselves to accomplish their central mission of increased impact.
Leaders and staff can learn how to achieve measurable results through our Think Differently Process Transformation Workshop™. Designed specifically for community and private foundations, this workshop equips you and your colleagues by taking you through an intensive day of learning and practice. Attendees bring and solve a process pain point in the workshop. Attendees routinely say they take home improvement ideas they can implement immediately, particularly by addressing “pain points” that slow down their work processes. They often comment how process improvement opportunities will help them save time, deliver better service to donors and grantees, and create bigger impact in their community.
“Lee’s custom process for foundations is transformational. I was able to implement her process immediately and see results.”
Community Foundation Executive Director
“We all get complacent in doing things the same way. The Process Improvement training provided the opportunity to examine our processes for alternative ways that save time without compromising accuracy.”
Foundation Vice President and CFO
In 2020, philanthropic organizations will have two opportunities to learn these skills: Online May 18 and 19, and September 10 in Novato, California. Learn more at: Think Differently Process Transformation Workshop. Or contact Lee Kuntz to get detailed registration information.
Over a thousand hours of work time are just waiting to be recaptured by your team so you can reinvest them in your community. Take the first step to learn more!