Grant Optimization: Why it is Important

Securing the necessary resources to sustain a mission requires more than just a compelling story; it demands a transition from passion to precision. While a single successful application can provide a temporary boost, long-term organizational stability is built on a foundation of rigorous strategy and technical expertise. By mastering the nuances of the grant development lifecycle, from the initial feasibility study to the complex requirements of post-award management, an organization ensures it is not just winning funds but managing them with the integrity and efficiency that donors demand.

The Importance of Strategy

A good strategy provides a clear roadmap, consisting of a set of guiding principles or rules, that defines the actions people in the business should take (and not take) and the things they should prioritize (and not prioritize) to achieve desired goals (Watkins, 2007). Because it drives decisions, organizations should be able to effectively use strategies to create a higher level of awareness focused on activities that increase the chances of success.

Per Chirgwin (2016), a successful strategic plan does the following:

1. Provides Direction and Action Plans
   It is established in a clear, concise, and strategically sound way through:

• The direction for the organization
• How this will be achieved, including detailed action plans

2. Prioritizes and Aligns Activities
   Strategic planning is about making choices, establishing priorities, allocating resources to strategic initiatives, and coordinating to achieve desired results.
3. Defines Accountabilities
   It defines clear lines of accountability and timelines for achieving expected results on the agreed strategic initiatives.
4. Enhances Communication and Commitment
   The strategic plan clarifies the vision and accountability, aligning all organizational activities and fostering commitment at all levels.
5. Provides a Framework for Ongoing Decision Making
   Since all decisions should support the strategy, the strategy and the strategic initiatives are the reference points for decision-making.

What Is Grant Optimization?

So, what is grant optimization in the context of strategic planning? Grant optimization is a strategic approach that helps you maximize the effectiveness and efficiency of your grant-seeking efforts, better equipping your organization for grant success. It is important to align grant-seeking with organizational goals and priorities so it’s clear to all stakeholders, including potential grantmakers. This approach provides additional opportunities to continuously evaluate and refine the grant development processes.

Why Grant Optimization Matters

The funding landscape is constantly changing, and grant seekers need to adjust their requests to align with grantmakers' needs while maintaining their mission and strategic objectives. Check out these 4 reasons why optimization matters!

• Increases Funding Success: Optimized grant-seeking significantly improves your chances of securing funding. 
• Strengthens Organizational Capacity: Builds skills and knowledge in grant seeking, project management, and evaluation.
• Maximizes Impact: Ensures your organization's resources are used effectively to achieve its mission.

• Enhanced Efficiency: Streamline grant-seeking processes and save time and resources.

Filling in the Gaps

After you identify areas for optimization (improvement), what do you do? Create your optimization plan with actionable items to promote sustainability and create ownership among team members. While creating this plan, set up a timeline with milestones to ensure tasks get completed. Make this a team effort, with all stakeholders working together.

The recommendations and outcomes can also be content that grantmakers may require, so make sure they are properly defined. Use your feasibility study results to make the grant optimization checklist your top priority and a tool for ongoing use.

Optimization Follow Through

Once you have the Optimization plan down on paper and a course of action to complete these steps, it's time to follow through.

• Have monthly check-in meetings to review the checklist as a work-in-progress
• Determine items that have been completed, and see if there are other areas of improvement that need to be identified
• Set even more specific goals for the stakeholders and parties involved as part of the accountability process
• And remember - It's an ongoing process!

Are You Grant Ready?

To help you determine whether your organization is grant ready, here’s a 6-question checklist.

1. Are you eligible? Grants have specific requirements to determine eligibility, such as State Articles of Incorporation, an EIN, 501(c)3 status, etc.
2. Can you describe a clear and compelling community need that your organization addresses? Most funders want to hear a compelling story that aligns with the community's and the organization’s objectives.
3. Do you have a clear purpose and vision? You should have a needs statement that clearly defines the organization’s goals for helping the community, as well as how they will stand out from the competition.
4. Do you have impactful programs and good community standing? Your organization must have programs that positively impact the communities it serves.
5. Does your organization have adequate infrastructure and resources? Resources include both physical and non-physical, as well as internal and external, and must be evaluated and considered.
6. Are the organization’s finances in order? Ensure financial revenue and expenses are consistently tracked, stable, and effective to support the company’s growth.

Being Grant Optimized is essential if you want your organization to drive positive change by leveraging its resources to access available grant funds from corporate, foundation, or government sectors. Ensuring your organization is optimized in every way possible will better position it for competitive grant funding and for responding to emergencies. This is where Grantegy comes in. Our strategy is designed to help you from the beginning. Becoming grant-optimized can be a significant challenge, and we are here to help. Check out our Grantegy Courses that take you through the Optimization Process HERE!

References

Chirgwin, C. (2016, February 24). The Importance of Strategy. Retrieved April 15th from https://www.lanspeed.com/the-importance-of-strategy/

Watkins, M. (2007, September 10). Demystifying Strategy: The What, Who, How, and Why. Retrieved April 23rd  from https://hbr.org/2007/09/demystifying-strategy-the-what