Orion Grassroots Network

resources blog

An efficiency audit for your organization

posted Jun 2, 2009

Halfway through the 2009 economic crisis, you probably realize that you're going to make it to 2010 thanks to the adjustments you've made to this year's budgets. But next year is going to be another story, one that will require new plans to keep your organization sustainable. In short, it’s time to give your organization an efficiency audit—an in-depth self-examination covering everything from labor costs to liquidity to back-end operations. Consider what Dick Rossman, president of RMR Consulting, suggests:

"What areas are reviewed during the audit process? Everything.

• Programs and their sustainability. Are they all within your mission, really?
• Work environment and infrastructure sustainability. Is your office space used in the most efficient ways
• Your financial opportunities. How can you reduce your labor costs while preserving openness and minimizing stress with your staff?
• Revenue opportunities. Is now the time to spend your reserves? Can donor or grant receivables that can be collected sooner?
• Collaborating and the ‘M’ word. Are there any efficiencies that can be achieved by sharing programs or staff with another organization?
• The role of the board and other volunteers. How could your board members be used most effectively at this time?
• Positioning for recovery. Can you think of this time as an opportunity to strengthen your organization, so you can be operating more efficiently and effectively when times improve?"

Full article here.

UPDATE: Dick will be doing a conference call on Efficiency Audits for the Network on July 8, 2009. Look here for audio filed under that date.

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