Reallocation of Resources Around Opportunities
In its simplest form,RE-ALLOCATION is a one-word entrepreneurial approach to taking a hard look at your GOAL and then RE-ALLOCATING RESOURCES to meet those goals.
We hear this comment three to ten times a day: “We love your stuff. We really need your help. But, WE DON’T HAVE ANY MONEY/BUDGET.”
We’re convinced now more than ever, we need to:
REALLOCATE RESOURCES around OPPORTUNITIES.
Howard Schultz, CEO of Starbucks, says it this way, “Great companies recognize who they are and who they are not; but they must also have the COURAGE to examine TRANSFORMATIONAL OPPORTUNITIES.“
Here are 2 things to get your creative juices flowing:
1. TRANSFORMATIONAL OPPORTUNITIES. As Schultz says, you’ve got to have the COURAGE (which comes from the French word cour meaning HEART). This is about Vision, BHAG’s, Quantum Leaps and more. Once identified and prioritized, these TRANSFORMATIONAL OPPORTUNITIES need to be attacked with every ounce of talent, energy and money available.
2. RESOURCE ALLOCATION based on these new OPPORTUNITIES. I’ve been encouraging coaching clients to take a very hard look at the ‘NUMERATOR’, not the ‘DENOMINATOR’ in their FUNDING MODEL. In For Impact shorthand, that means you can’t CUT costs, CUT budgets (the denominator) and ‘SAVE’ your way to success. You need to significantly increase your NUMERATOR (REVENUE) through SALES!
This demands measurement and accountability of CURRENT RESOURCES used to raise CURRENT DOLLARS.
A quick example: University and College Advancement (Development) Offices need to commit themselves to high-end sales, the top of the pyramid, leadership presentations, major gifts, legacy giving, significant increase in reunion giving, etc.
That means the resources of people and time and energy and money need to be REALLOCATED (SHIFTED) to a “higher level of productivity”.
No money in the budget? REALLOCATE.
Static or decreasing operating budget? REALLOCATE.
Stagnant or decreasing programs, events, direct mail? REALLOCATE.
Read more about Reallocation here:
Reallocation by Mitt Romney and Opportunities to Excel