Capacity needs analysis is about reviewing your organisation and checking you have the skills, expertise and experience to successfully complete the proposed development.
Before moving forward with a development it is essential to do a capacity needs analysis. It sounds complicated but keep it simple. It is just a check to ensure that you have the ability to complete the project.
This is particularly important for organisations engaging in development for the first time. A capital build programme needs different skills to running a community group or operating other services. Identify any gaps at the outset before the pressure of the construction period starts.
Look at your business plan. Think about what skills are needed. Put together a top-level list (legal, financial, marketing, operations etc.). Add in the experience that you need (managed a construction project, obtained financing etc.)
Get an outside opinion. Find someone who has done similar developments before. They will be able to provide an independent check that you have considered all the necessary skills and experience needed. An outsider will also be useful in evaluating the results with a critical eye.
Once you know what skills and experience you need check this against the staff resources that you have. Use self-assessment and peer-assessment, collate the results and identify weak spots. Make sure staff are comfortable with the process and do not feel threatened.
Discuss the results within the management team and make decisions about how to resolve any problems. This may involve hiring new staff, providing training for existing staff or appointing contractors. Guidance on this can be found in the staff development and staff recruitment pages.
Where big gaps exist think of creative ways forward. Consider looking at smaller developments to build up confidence and experience. Reach out to potential partners who may be able to assist in areas of weaknesses.
A capacity needs analysis is not a project management exercise, that happens later. The focus is at a top level, do not go into every detail of the plan.
Do not see skills gaps as impenetrable obstacles. There are many remedies. The most important aspect of the development is the vision and business plan. If these are solid then skills and experience can be developed or leveraged. The important point is to be flexible, look at all the options and make an informed decision about what is best for your project and organisation.
Do not fudge issues or paper over cracks. It is better to identify gaps sooner rather than later. A thorough process improves your chances of success and boosts your credibility with funders and partners.
Avoid a process that seems threatening to staff. A new development can seem a daunting change. Reassure employees that a capacity needs analysis is being conducted to ensure the organisation is able to proceed. If done right it will reduce the pressure and stress on staff as the development moves forward, as they are not asked to do tasks they are ill-equipped for.
Be open about support needs. Try not to keep partners in the dark. The issues will emerge anyway so it is better for you to get them out in the open. Partners may be able to present solutions that you have not considered.
This skills diversity audit can be adapted to meet your needs