It’s becoming clear that the road to recovery following the pandemic is likely to be long and rocky. Planning for the “new normal” will be complicated by the ever-shifting situation as society’s expectations change and organisations adapt to shape and meet those expectations.

This is true across all sectors.

In the business world, many companies are facing a brutal reality of markets dramatically disrupted by the pandemic and little clarity about what comes next.

For the University sector, our colleagues at CPB projects have articulated very clearly what the Higher Education Sector is facing and the potential responses.

Most charities, regardless of size or cause, face the same challenges.

Are our previous blogs on this topic suggested, it seems impossible that things will return to the way they were before Covid-19. As Government support for different sectors unwinds (particularly as the furlough scheme ends), these realities will hit many charities.

For many, survival (and, in time, thriving) will depend on how quickly and robustly they can formulate their future strategy and how agile those plans are.

New business models will be needed, often (but not always) with an increased digital focus. It is unlikely that pre-pandemic business models will deliver the public benefit they did previously; to plough on regardless would be a betrayal of current and future beneficiaries, even if the charity could survive by doing so.

In previous blogs we have extolled the virtues of a flexible, scenario-based approach to future planning, one which is supported by the great work McKinsey have done in this field. In summary, their five step approach involves:

1. Making sure you have a realistic view of your starting position - what are things really like now?

2. Developing scenarios for multiple potential versions of your future.

3. Establishing the broad strategic direction for your organisation, without locking in too many costly investment requirements.

4. Identifying and implementing the actions and investments that are common across multiple likely scenarios.

5. Setting trigger points that determine when your organisation will act and at least the principles of what those actions should be.

Trustee Boards will have a critical role to play in this and a key question all charities should be asking themselves is “do we have the right board to meet the challenges we face now and in the future?”.

For many the answer will be “no”. This may be because they have boards elected by the membership who are great at representing members’ interests but do not have people with the right skill sets. In some cases it will be because the board has “oversight-centric” skills without the strategic planning clout needed right now.

We encourage all charities to take a critical view of their current board (with a skills audit if necessary) and commit to changing its composition if necessary. Diversity will be just as important as skills; real innovation comes when different viewpoints are allowed to interact in constructive tension with each other. For larger charities, this critical reappraisal should include both staff and Trustees, with employee engagement integrated into future planning.

To find out more about the governance support (including skills audits) we offer, please contact us at julian@almondtreeconsulting.co.uk to arrange free initial telephone discussion.