Seven Key Steps for Managing in Hard Times

As the recession impacts the operations of nonprofit and other public benefit enterprises, let me offer seven steps for navigating through hard times:*

• Honestly diagnose your organizational condition.
• Realistically project revenues and expenses, erring tenaciously on the side of conservatism.
• Focus on your core lines of business/service – and jettison the extraneous, i.e., that which does not fit your purpose.
• Exhaust all options for stemming any financial bleeding.
• Keep your eye on cash flow.
• Maintain active intelligence on relevant external trends.
• Given the organization’s circumstances, depth of leadership, and financial capabilities, explore appropriate opportunities for (if you’re strong) acquisition) or (if you’re limited) absorption – and proceed cautiously, but for the right reasons.

*At the request of a number of readers who feel strongly about this topic — managing organizations at-risk or experiencing transition — and want to highlight “the seven steps,” I have extracted the above sectionfrom my prior blog.

Please share with your networks and associates.

Thanks.

Herb