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Batavia MainStreet Strategic Planning Project Report Danielle Hollis Tiffany Shivers Betsy Whitis Joyce Gaston Jennifer Liu November 7, 2013

Table of Contents

Executive Summary.....3 Planning to Plan....3 The Process..3 The Plan.....4 Stakeholder Analysis...4 Values & Culture of Batavia MainStreet...4 Mission Formulation.5 Environmental Monitoring/Inputs5 Regulatory Environment..5 The Competitive Environment5 The General Environment...6 Strategic Business Modeling..6 Performance Audit7 Gap Analysis.7 Closure...8 Lines of Business..8 Critical Success Indicators..8 Strategic Thrusts...8 Necessary Organizational Culture.9 Revised Mission Statement....9 Contingency Planning..10 Appendixes..11 References..19

3 STRATEGIC PLANNING PROJECT REPORT Batavia Mainstreet Batavia, IL Executive Summary Batavia MainStreet (BMS) is a nonprofit organization geared towards downtown revitalization in Batavia, Illinois. Batavia MainStreet is a part of the larger Illinois MainStreet Program. BMS works to achieve its mission to enhance the downtown area through dedicated volunteer efforts, local business partnering, and special event fundraisers. The executive director, Joi Cuartero, heads the organization. Her team consists of a board of directors, an office assistant and a large volunteer base. BMS uses a four point approach in their attempt to enhance the downtown area. This four point approach includes: improving the aesthetics of the downtown area through design; focusing on recruiting volunteers to help meet fundraising goals through organization; bringing people downtown for special events through promotion; and working to strengthen business development through economic restructuring (Batavia MainStreet, 2013). Recognizing that BMS is an already strong dynamic within the community, we formulated a strategic plan that will elevate the organizations reputation. We focused on the aforementioned four-point approach and discovered a few weaknesses. For design, we suggest they appeal to a larger student base to volunteer for the banner program. For promotion, we suggest they revise their local marketing strategies to increase awareness. For organization, we suggest they diversify their budget by increasing partnerships. For economic restructuring, we suggest they create new incentives to attract future businesses. Planning to Plan The strategic planning group consists of the following five members: Joyce Gaston, Jennifer Liu, Danielle Hollis, Tiffany Shivers, and Betsy Whitis. We communicated with the executive director of BMS to research, develop and assess the following strategic plan for the 2014 fiscal year. This report explores and evaluates the organizations values and culture, mission statement, performance, and goals. To ensure group decision-making we all agreed to be in honest and open communication through the strategic planning process. The Process We developed a strategic plan through meetings, e-mail communication between team members and the executive director of BMS. We conducted research both individually and as a group. Although the board of directors conducts an annual strategic plan review, for the next two fiscal years, our group will offer our suggestions.

The Plan Our plan will address strategic issues in Batavia MainStreets downtown revitalization project. We will give an overview of the organization, including an analysis of the environment, values, and culture. In addition, our team offers suggestions regarding the organizations mission statement and hopes to create a strategic plan that will help BMS grow over the next two years. Stakeholder Analysis Our group holds the opinions of our stakeholders highly. We will keep the board and interested community members informed of our strategic plan and the timeline of its implementation. We will attend their monthly board meetings and hold community discussions if necessary. We will maintain an open dialogue with stakeholders through email and phone calls. Values & Culture of Batavia MainStreet Joi Cuartero, the executive director of Batavia MainStreet, believes in the projects she leads and the community she helps support. Our team had the opportunity to speak with Joi about her personal and professional values. She supports local businesses, events, and residents not only at work, but also in her personal life. She is a leader who demonstrates the importance of supporting the local community. Batavia MainStreet uses a four-point approach towards downtown revitalization based on the organizations core values: design, organization, promotion, and economic restructuring. These core values shape the organization. BMS reflects its values through its work ethic. In addition to the professed values stated above, our team recognized two important values that shape the culture of BMS: integrity and collaboration. BMS is committed to developing action plans that reflect the mission and vision of the organization. Their ability to collaborate with local businesses, residents, and volunteers to enhance the identity of downtown Batavia helps preserve the integrity of BMS. BMS operates as an achievement culture (Nolan et al, 2008, p.54). This type of culture celebrates productive work and task accomplishment (pg. 55). During the strategic planning process, the executive director divides the board of directors into four committees based on the values of the organization. This process ensures that each member is involved in the development of future action plans. It is the responsibility of the executive director to make sure these action plans are both mission driven and feasible.

5 Mission Formulation The organization aims to revitalize downtown Batavia by using a four point approach. Batavia MainStreet serves all members of the Batavia community, including residents, business owners, and visitors. The organization exists to enhance the image of Batavias downtown area as the heart of the community. Current Mission Statement: The Batavia MainStreet program is a not-for-profit, community-based organization devoted to enhancing downtown Batavias identity as the heart of the community through dedicated volunteer efforts (Batavia MainStreet). Who: The community of Batavia, Illinois, specifically business owners, volunteers, and residents, and other local organizations. What: To enhance the downtown area How: Batavia MainStreet uses the four point approach as stated in the Executive Summary. Why: To instill a sense of place in the community for the community (Batavia MainStreet, 2013). Distinctive Competency: State, local, and national partnerships. Environmental Monitoring/Inputs Batavia MainStreet is a dominant entity in the community. This organization welcomes other businesses to join forces in order to collectively make the community a more inviting place to visit or live. The Industry Environment There are many nonprofit organizations in Batavia, ranging from a Blood Center to the YMCA. MainStreet is the only organization of its kind that partners with neighboring businesses to strengthen the community. The Regulatory Environment BMS has a strong internal control process and upholds a very high ethical standard. The organizations last external audit took place after the board hired Cuartero in February of 2011. External audits have not taken place since the incumbent director joined the organization in February of 2011 (J. Cuartero, personal communication, October 24, 2013). The Competitive Environment The City and the Chamber of Commerce: these entities solicit bigger chain companies to infiltrate the community in order to increase business and tax revenue. Big chain

6 companies have the potential to offer cheaper prices; this can deter smaller businesses from opening due to the fear of a reduced customer base. The General Environment BMS aims to build partnerships with new and existing businesses. The organization depends on these partnerships for a large portion of its annual budget. BMS will continue to use social media to increase the awareness of the mission. Strategic Business Modeling & Performance Audit Batavia MainStreet had four specific goals it hoped to meet in 2013, all of which corresponded to a line of business aimed at revitalizing downtown Batavia. Through an informational review produced by the executive director and a performance audit, we determined that BMS was successful in meeting most of its goals. The chart below details their L.O.B. and performance audit. Through the SWOT and gap analysis, the group found ways to improve current practices and invites the organization to consider making suggested changes starting next year. We hope to complete implementation of our suggested improvements by the end of the 2015. Lines of Business and Performance Audit Four point approach Design Current L.O.B. Beautify downtown Batavia to attract visitors. Desired goal Involve students in creating banners to use downtown. Outcome BMS was able to create a banner design competition at the local HS, which resulted in banners used downtown. BMS held 40 events last year, including farmers markets, artisan collection and Taste of Batavia BMS raised over $61K through its fundraising efforts and depended on 2,600 dedicated volunteers (Cuartero, 2013)

Promotion

Promote businesses, create special events and programs. Recruit volunteers and raise funds for BMS and its partner organizations.

Hold multiple events a month to raise money and promote BMS. Raise funds through partnerships, sponsorships, and community support and increase volunteer base.

Organization

Economic Restructuring

Strengthen and attract new businesses.

Create interest in empty downtown locations. Purchase an office for Project Mosaic, which create office space for home business owners to work downtown.

The organization created a broker tour, which attracted attention to empty buildings; a new business filled a vacant spot. BMS was not able to secure a grant for Project Mosaic.

SWOT Analysis

Gap Analysis In order to properly implement the strategic plan, we will have to close the gap between Batavia MainStreets current and future goals. The critical success measures and goals we hope to reach by FY15 are an extension of BMSs current L.O.B. The new L.O.B. will help BMS reach more community and business members and help enhance the identity of Batavia. If BMSs board and volunteers continue to remain actively involved in the organization, the planning group will be successful in closing the gap between the current and future critical success indicators. There is a lack of youth engagement in the downtown area. Involving more high school

8 students in the banner program will give the students a connection to the downtown. The banners also help bring vibrancy and color to the downtown. Batavia MainStreet continues to be an untapped resource to some area businesses and residents. In order to increase their presence in the community, we need to improve our marketing strategies to reach a broader customer base. We will send volunteers door to door at local businesses to distribute fliers and promotional items. A large portion of BMSs budget depends on property taxes. A downturn in the economy could decrease homeowners and the amount BMS receives from taxes. If BMS increases its revenue from partnerships, it would create a more balanced budget. In order to do that, they will need to increase the amount of high level partners. Downtown Batavia has several vacant commercial real estate properties . We need to research ways to recruit new businesses to the downtown area. We can also promote BMSs growth assistance programs as incentives to attract new businesses to the downtown area. We are requiring each committee to research and present their plan to the entire board by the end of FY14. They will begin implementation at the start of FY15. Closure BMS is an asset to Batavia because it provides a platform for residents, business owners and visitors to collaborate and work together to enhance the identity of the downtown area. It is crucial that the planning group work with BMS to develop effective strategies to break down technical and day-to-day barriers. We hope this results in a more unified and stable community for Batavia. L.O.B., Critical Success Indicators and Strategic Thrusts Four point approach Design Purpose Beautify downtown L.O.B. Get more businesses to sign up for banner sponsorship Increase Facebook and Twitter presence. Critical Success Indicator & Goal Increase number of businesses involved in the banner program by 5% each year Increase Facebook likes from current level of 960 by 25% each year, increase Twitter followers from current level of

Promotion

Promote businesses, create special events

9 510 by 25% each year, Increase Twitter and Facebook posts to twice daily Increase $2500 Founder level from zero to three, increase $1000 Challenge level from one to five Recruit 10 more businesses to move downtown to fill empty lots

Organization

Raise funds for BMS and its partner organizations

Increase number of high level partners to improve revenue

Economic Restructuring

Strengthen existing businesses, recruit new businesses

Recruit business to move to empty lots downtown.

In an effort to increase the efficiency of Batavia MainStreet, our group suggests that the executive director take the necessary steps to carry out and manage the following strategic thrusts within the next two years: Move the office location into a bigger building with more meeting room space and parking. Retain current volunteers, increase office interns to help improve internal office efficiency and create funding for an additional full time employee. Purchase a van with the BMS logo on it to transport event materials and serve as an advertisement for BMS. Necessary Organizational Culture The current organizational culture at BMS is the best model for the organization to achieve its proposed goals. The achievement culture is best suited because it allows each committee to focus on specific tasks under one of the four L.O.B: design, promotion, organization, and economic restructuring. Last year the board added an event called Celebrate Success to the organizations L.O.B. The event recognizes and congratulates volunteers and board members on their work over the last year. The purpose of this event is to motivate current volunteers to help out again and also encourages new volunteers to participate in next years events. Revised Mission Statement Why who

Enhancing Downtown Batavia Together what how

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Contingency Planning Potential business and homeowners affect Batavia MainStreets growth. Part of BMS revenue depends on taxes from homeowners. New business owners also offer the opportunity to create another partnership and sponsor revenue. The economy is better than has been in recent years, but there is still not a substantial amount of new homeowners or new businesses. Large business owners who are not interested in joining BMS as partners and organizations that compete for grants threaten BMS. BMS can focus its efforts on improving revenue from special event fundraisers and increase annual dues from business partners to decrease dependency on grant funding. Because BMS only has two employees, they suffer from the threat of a decreased volunteer base. BMS should establish a partnership with the local high school to create volunteer opportunities for students. This will create a wider volunteer base for BMS while providing students volunteer experiences. Construction downtown decreases the amount of visitors and shoppers. Encourage visitors with discounts at downtown businesses.

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Appendix

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19 References Batavia MainStreet. Downtown Batavia. Retrieved October, 2013 from: http://www.downtownbatavia.com Cuartero, Joi. Batavia MainStreet An Informational Review [PDF document] Nolan, T. M., Goodstein, L. D., & Goodstein, J. (2008). Applied strategic planning: An Introduction (2nd ed.). San Francisco, CA: Pfeiffer.