Strategic Investment Outline

Funders move quickly to the mechanisms of distribution. If government, an RFP is produced with all needed procurement compliance. If a foundation or an individual, a statement of needs areas covered and application guidelines are offered. Investors start in a different place: an intentional framework to increase both clarity and amount of results created for available money.

A Strategic Investment Outline starts with clarity on givens and assumptions—including what has been learned from past investment about approaches and groups that are more or less likely to get to high gain. We then consider portfolio balance in such terms as breadth vs. depth, large vs. small investments, relationship of risk to reward, and established vs. new organizations.

Of special focus is innovation. In what areas is the investor pleased with existing approaches and in what areas do they seek the testing of new approaches as the critical result.

The strategic outline typically works from clarity on end-state outcomes to develop a list of target areas that are aligned with that outcome. If economic development, the number of people who get and keep a job would be one example. We also work at a qualitative level. An investor may care that the jobs include health benefits, mobility, or a minimum starting salary. These are clearly stated. The point is to fully disclose to the respondent just what the investor wants to “buy”.