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Flevy Management Insights Case Study
Strategic Growth Plan for Non-Profit Religious Organization


There are countless scenarios that require Competitive Analysis. Fortune 500 companies typically bring on global consulting firms, like McKinsey, BCG, Bain, Deloitte, and Accenture, or boutique consulting firms specializing in Competitive Analysis to thoroughly analyze their unique business challenges and competitive situations. These firms provide strategic recommendations based on consulting frameworks, subject matter expertise, benchmark data, best practices, and other tools developed from past client work. Let us analyze the following scenario.

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Consider this scenario: A medium-sized non-profit religious organization is facing stagnation due to a lack of competitive analysis and understanding of the changing dynamics in its community engagement strategies.

Externally, the organization is confronted with a 20% decline in community participation and donations over the past two years, compounded by the rise of digital platforms that offer alternative spiritual engagement. Internally, the organization struggles with outdated operational models and a volunteer base that is not effectively utilized. The primary strategic objective is to revitalize community engagement and increase donations by 30% within the next three years.



This non-profit religious organization is at a critical juncture, where embracing change and strategic redirection is imperative for its survival and growth. The initial diagnosis indicates that the organization's challenges stem from an outdated engagement model and ineffective use of digital platforms to connect with the community. Additionally, there is a significant underutilization of the volunteer workforce, which if harnessed effectively, could drive a new era of growth and engagement for the organization.

Competitive Market Analysis

The religious and non-profit sector is witnessing a transformative shift, with digital engagement becoming a central element of community involvement. Traditional forms of engagement are being challenged by the convenience and accessibility offered by digital platforms.

Breaking down the competitive landscape reveals:

  • Internal Rivalry: Moderate, with a few large organizations dominating the scene, but many smaller entities innovating in community engagement.
  • Supplier Power: Low, as there are numerous suppliers for digital engagement tools and platforms.
  • Buyer Power: High, as community members have a wide range of choices for spiritual engagement, both online and offline.
  • Threat of New Entrants: High, due to the low barrier to entry for digital-based non-profit organizations.
  • Threat of Substitutes: Very high, with digital platforms offering alternative forms of engagement that are more accessible and often free.

Emerging trends include:

  • Increasing preference for digital and virtual engagement over traditional, in-person activities.
  • Growth in individualized, spiritual experience offerings rather than one-size-fits-all approaches.
  • Higher expectations for transparency and direct impact from donations.

The shift towards digital platforms creates opportunities for reaching a broader audience and engaging with community members in innovative ways. However, it also poses risks related to the dilution of traditional engagement methods and potentially alienating less tech-savvy members of the community.

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Internal Assessment

The organization possesses a committed base of volunteers and a rich history of community service, but struggles with modernizing its engagement strategies and operational efficiency.

SWOT Analysis

Strengths include a loyal community base and a committed volunteer workforce. Opportunities lie in leveraging digital platforms for outreach and engagement, and modernizing fundraising strategies. Weaknesses are centered around outdated operational and engagement models. Threats include the rapid shift of community preferences towards digital platforms and the increasing competition from new, digitally-native non-profits.

Gap Analysis

There is a significant gap between the organization’s current state of digital engagement and operational efficiency, and where it needs to be to effectively meet the community's changing needs. Bridging this gap requires strategic investment in technology and training for both staff and volunteers.

McKinsey 7-S Analysis

The organization’s strategy, structure, and systems are currently misaligned with the evolving digital landscape. Staff skills, shared values, and style need to evolve to embrace more agile and digital-first approaches. Substantial work is required to realign these elements towards a more dynamic and engaging model of community interaction.

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Strategic Initiatives

  • Digital Engagement Platform Development: Launch a comprehensive digital platform to facilitate virtual community engagement and streamline donation processes. This initiative aims to expand the organization's reach and modernize its engagement strategy. The value creation comes from enhanced accessibility for community members and increased efficiency in fundraising efforts. Resources required include technology development expertise and digital marketing skills.
  • Volunteer Empowerment Program: Implement a program to train and empower volunteers with digital tools and community management skills. The intended impact is to maximize the organization’s volunteer workforce as a key asset in community engagement and outreach. This initiative will create value by leveraging the intrinsic motivation and community networks of volunteers, requiring resources in training programs and digital tool access.
  • Community Engagement Innovation Fund: Establish a fund to support innovative community engagement projects proposed by staff and volunteers. This initiative aims to foster a culture of innovation within the organization, encouraging new ideas and approaches to engagement and fundraising. The source of value creation lies in the diversification of engagement strategies and the potential to uncover highly effective methods. This will require financial resources and a framework for evaluating and implementing ideas.

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Competitive Analysis Implementation KPIs

KPIS are crucial throughout the implementation process. They provide quantifiable checkpoints to validate the alignment of operational activities with our strategic goals, ensuring that execution is not just activity-driven, but results-oriented. Further, these KPIs act as early indicators of progress or deviation, enabling agile decision-making and course correction if needed.


If you cannot measure it, you cannot improve it.
     – Lord Kelvin

  • Engagement Rate on Digital Platforms: Tracks the effectiveness of the new digital engagement initiatives.
  • Volunteer Participation and Training Completion Rates: Measures the success of the volunteer empowerment program.
  • Number of Innovative Projects Funded and Implemented: Indicates the vibrancy of the innovation culture within the organization.

These KPIs offer insights into the organization’s progress towards modernizing its engagement strategies and operational efficiency. Monitoring these metrics will allow for timely adjustments and highlight areas of success and opportunities for further improvement.

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Competitive Analysis Deliverables

These are a selection of deliverables across all the strategic initiatives.

  • Digital Engagement Strategy Report (PPT)
  • Volunteer Training Program Framework (PPT)
  • Community Engagement Innovation Fund Guidelines (PPT)
  • Implementation Roadmap (Excel)

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Digital Engagement Platform Development

The strategic initiative to develop a digital engagement platform was significantly supported by the application of the Resource-Based View (RBV) and the Value Chain Analysis. The Resource-Based View framework was instrumental as it focuses on leveraging an organization's internal resources as a source of competitive advantage. In the context of this initiative, RBV was pivotal for understanding how the organization's unique capabilities, such as its committed volunteer base and existing community ties, could be utilized to build a distinctive digital engagement platform. The team executed this framework by:

  • Conducting an internal audit to identify unique resources, including technical skills within the volunteer base and existing digital assets.
  • Assessing the potential of these resources to provide sustainable competitive advantage in the digital engagement space.
  • Aligning identified resources with the strategic goals of the digital engagement platform development.

Simultaneously, Value Chain Analysis was applied to dissect the organization's activities and understand how each segment could add value to the digital engagement platform. This analysis was crucial for pinpointing areas where the organization could utilize its operations to support and enhance the platform's effectiveness. The process included:

  • Mapping out the organization's value chain, from volunteer engagement to community services and donor interactions.
  • Identifying key activities that could be optimized or expanded through digital means.
  • Integrating digital strategies into these key activities to enhance overall value provided to the community and donors.

The combined application of the Resource-Based View and Value Chain Analysis frameworks enabled the organization to strategically align its internal resources and operational activities with the development of the digital engagement platform. As a result, the platform was not only successfully launched but also achieved higher than anticipated engagement rates, demonstrating the effectiveness of these frameworks in guiding the strategic initiative towards leveraging internal strengths and operational capabilities for digital transformation.

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Volunteer Empowerment Program

For the Volunteer Empowerment Program, the organization employed the Competency Modeling framework to identify, develop, and leverage the competencies of its volunteers effectively. Competency Modeling is a strategic approach that defines the skills, knowledge, and abilities required to perform roles successfully. This framework was crucial for tailoring the volunteer training program to meet the specific needs of digital engagement and community management. The implementation process involved:

  • Defining core competencies required for volunteers to support the digital engagement platform and community outreach efforts.
  • Assessing current competency levels among volunteers through surveys and performance reviews.
  • Developing targeted training programs to bridge identified competency gaps.

In tandem with Competency Modeling, the organization adopted the Theory of Change framework to map out the desired outcomes of the Volunteer Empowerment Program and to design interventions that would lead to these outcomes. This framework helped in articulating the connection between volunteer empowerment, enhanced digital engagement, and increased community participation. The Theory of Change was implemented as follows:

  • Identifying long-term goals of the Volunteer Empowerment Program related to digital engagement and community outreach.
  • Mapping out required interventions, including training and support structures for volunteers.
  • Establishing indicators to measure the program's impact on volunteer performance and overall digital engagement.

The strategic application of Competency Modeling and the Theory of Change frameworks to the Volunteer Empowerment Program resulted in a more skilled and motivated volunteer workforce. This, in turn, significantly enhanced the organization's capacity for digital engagement and community outreach, evidencing the frameworks' effectiveness in aligning volunteer development with strategic organizational goals.

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Community Engagement Innovation Fund

To guide the establishment and operation of the Community Engagement Innovation Fund, the organization turned to the Diffusion of Innovations Theory and the Strategic Philanthropy framework. The Diffusion of Innovations Theory, which explains how new ideas and practices spread within a community, was pivotal for understanding how to effectively implement and encourage innovative community engagement projects. Following this theory, the organization:

  • Identified innovation champions among staff and volunteers to lead and advocate for new projects.
  • Established criteria for selecting projects that were likely to be adopted and have a measurable impact on community engagement.
  • Developed a communication strategy to share successful innovations and encourage their adoption across the organization.

Simultaneously, Strategic Philanthropy was utilized to ensure that the Innovation Fund was aligned with the organization’s broader goals and could achieve significant, measurable impacts. This approach emphasized the importance of strategic alignment and impact measurement in philanthropic activities. The implementation steps included:

  • Aligning the Innovation Fund’s objectives with the organization’s mission and strategic goals for community engagement.
  • Creating a framework for measuring the impact of funded projects on community engagement and digital interaction.
  • Engaging donors in the Innovation Fund, demonstrating how their contributions directly support impactful projects.

The integration of the Diffusion of Innovations Theory and Strategic Philanthropy into the establishment of the Community Engagement Innovation Fund led to the successful launch and management of numerous innovative projects. These projects not only enhanced community engagement but also fostered a culture of innovation within the organization, showcasing the effectiveness of these frameworks in driving strategic philanthropy and organizational change.

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Key Findings and Results

Here is a summary of the key results of this case study:

  • Launched a digital engagement platform, achieving a 25% increase in online community participation within the first year.
  • Completed volunteer empowerment training for 80% of the volunteer workforce, leading to a 15% increase in volunteer-led community initiatives.
  • Funded and implemented 10 innovative community engagement projects, resulting in a 20% increase in community feedback and interaction.
  • Observed a 10% increase in donations through the digital platform, attributed to enhanced donor engagement and transparency.

The strategic initiatives undertaken by the organization have yielded notable successes, particularly in expanding its digital presence and enhancing community engagement. The 25% increase in online participation and the 10% increase in donations through the digital platform are significant achievements that underscore the effectiveness of the digital engagement platform development. The volunteer empowerment program has also proven successful, as evidenced by the substantial completion rate and the subsequent increase in volunteer-led initiatives. However, while these results are promising, they fall short of the ambitious goal to increase donations by 30% within three years. This shortfall may be attributed to the steep learning curve associated with new digital tools and the time required to fully integrate innovative community engagement projects. Additionally, the high threat of substitutes and the competitive digital landscape present ongoing challenges that were perhaps underestimated in the initial planning phase. An alternative strategy that could have enhanced outcomes would be a more aggressive digital marketing campaign to increase platform awareness and a partnership model with tech-savvy organizations to accelerate digital adoption among less tech-savvy community members.

Given the current progress and challenges, the recommended next steps include doubling down on digital marketing efforts to increase awareness and usage of the digital engagement platform. It's also advisable to explore strategic partnerships with technology firms to enhance the platform's features and accessibility. Further, conducting a detailed feedback survey among the community members and volunteers will provide valuable insights into areas for improvement and potential new features that could increase engagement and donations. Finally, continuing to foster a culture of innovation by increasing the funding and support for the Community Engagement Innovation Fund will ensure the organization remains at the forefront of community engagement strategies.

Source: Strategic Growth Plan for Non-Profit Religious Organization, Flevy Management Insights, 2024

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