Association leaders have the challenging job of forecasting, mitigating and managing risks for their associations.
TAS are working with clients to increase awareness of risk management and encourage all boards to think critically about their environments and to get creative with risk reducing and recovery strategies.
Read on to find out about the SOS risk mitigation model for ideas on reducing risk in three key areas of your association.
S – Surplus
Whether you are a not for profit or not, cash is an essential ingredient in the successful running of your organisation. The term not for profit does not mean that your association cannot make a surplus. Creating a positive impact for your cause and delivering value to your members often involves having a surplus so don’t be afraid to explore driving more income.
Without savings and investments your association will stay vulnerable to funding tenders, government schemes and sponsors – all things heavily influenced by economics and markets, both of which are outside of your control and can change overnight, leaving you exposed.
As it’s the end of the financial year – take this opportunity to review budgets with a focus on cash. What income streams do you have, can these be reasonably maximised to increase income, are you being mindful with spend? Assessing leavers to increase your income and reduce your spend could help your association retain more of the money generated throughout the year, helping you to build up a buffer for a rainy day.
Top tip: Challenge your board to put forward one suggestion to increase revenue for your association over the next 12 months.
O – Operating system
Is your operating system stuck in the 90s? If your key operators left your association tomorrow, how easy would it be to pick up where they left off or would your association be at risk of essential knowledge being lost?
Having the right systems in place to enhance website functionality, streamline membership processes, and provide comprehensive reporting make implementing an AMS a crucial aspect of effective risk management. Benefits can include:
- Streamline day to day operations meaning you can focus on more value-add activities
- Being more efficient could save you time and money
- Keep you compliant by protecting your data in line with current data laws
- Ensure you stay on top of renewals meaning you don’t miss out on income
- Facilitate delivering better value to your members such as through improved communication
- Reduce the risk of knowledge leaving your association when board members change
Top tip: With experience managing over 70 associations, we have seen firsthand the positive impact an AMS, like Membes, can have on an organisation. You can request a demo here.
S – Storytelling
“Storytelling is by far the most underrated skill when it comes to business.” – Gary Vaynerchuk
A compelling strategy to support your mission and vision could help to secure sponsors, attract and retain the best talent and members.
Motivating volunteers can be challenging and can be a huge drain on time if you are constantly replacing people and working hard to convince people to stay; articulating your purpose gives something for people to feel invested in and connected to.
The clearer the story for your association the easier it will be for people to believe in you and want to help you make a difference.
Is your workforce fully aligned with your organisation’s priorities? Are they committed to your mission and goals, and do they understand the milestones needed for success?
Top tip: Complete the 1-hour Strategic Planning for Boards online course from TAS eLearning Academy for a step-by-step review of your current Strategic Plan.