Yesterday, we discussed the four stages of the church budget process. As you implement the four stages, it is important to remember a guiding principle – perfect is the enemy of good! Why wait to create a collaborative and transparent budget process until you believe every aspect is perfect? No need to wait, you can start by just taking the first step.
Establish a Process
The first year of any new process can be challenging, but once established, every part of the organization will be on the same page of what is expected. For example, if your budget begins on July 1, you may want to establish that budget guidance will be distributed each April and the draft budget will be proposed by Memorial Day. Developing a schedule of key budget process dates provides everyone more flexibility so those involved can effectively manage their time. Establish a process in year one with the knowledge that it may not be perfect and that you can refine it by year two.
Reflection Questions
- What are the key dates or milestones for the various phases of the budget process?
- Have I informed others about what is expected of them by certain dates?
Provide Clear Guidance
Give clear guidance on your expectations for the process, the future, and what success looks like moving forward. If you are going to ask others for information, communicate your objectives and provide visibility in your thinking for the upcoming year.
Reflection Questions:
- Am I clear in my direction and thinking surrounding priorities?
- Do I need to simplify or improve how individuals submit calculations and estimates?
- Do I need to develop additional guidance surrounding narrative descriptions?
Open Communication Lines and Seek Feedback
The budget process should be an opportunity for all voices to be heard. When you open the budget process for the upcoming year and set expectations, hold a town hall meeting where all parishioners are welcome. Listen to the voices of the people around you. Open up the priority setting process so you can gain broader involvement and commitment by the staff and your parishioners. Ask individuals to help brainstorm ideas. If not, then be clear as to the direction you are setting. When others feel involved, they will be more committed.
Reflection Questions:
- Who are your stakeholders that need to be brought into this process?
- What voices have been missing that will help you create a spirit of openness and transparency?