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Strategic productivity in the third sector: Doing better, not just more

In today’s resource-stretched environment, third sector organisations are under growing pressure to deliver more.

More services, more impact, more responsiveness, often with less funding, fewer staff, and increasing scrutiny. But when capacity is limited, doing more with less isn’t always the answer. The real opportunity lies in doing things better.

This is where strategic productivity comes in, not as a call to work harder or faster, but as a smarter way to align purpose, people, and processes for greater impact.

Shifting the productivity narrative

Productivity is often misunderstood in the third sector. It's typically associated with the private sector; output per hour, return on investment, efficiency metrics. In public and non-profit contexts, however, the real question is: are you using your resources in ways that maximise your mission?

Strategic productivity lifts the conversation above immediate outputs and reframes it through a more values-driven lens. It invites you to step back and ask, “What are we really here to do?” and “Is our time and energy going where it matters most?”

In the wake of the COVID-19 pandemic, the urgency to rebuild services created a risk of slipping back into old habits, chasing volume and activity to signal recovery. But real recovery requires a more reflective approach: What have we learned? What are others doing better? And how can we adapt, not just return?

Productivity, then, is not about returning to ‘normal’, it’s about evolving towards something more effective and resilient.

Start with purpose, not output

Third sector organisations don’t exist to generate profit; they exist to deliver social good. So, any conversation about productivity must be grounded in purpose.

Start by asking:

  • Do your goals reflect what success looks like for your service users?
  • Are your activities clearly aligned with your mission?
  • Are people spending time on high-impact work, or on legacy processes and low-value admin?

Reframing productivity through this lens often reveals invisible inefficiencies: projects that continue out of habit, meetings that don’t serve a purpose, reporting processes that no longer inform decision-making. Strategic productivity helps you refocus, simplify, and prioritise.

Three levers for strategic productivity

To embed strategic productivity in practice, focus on three key levers:

1. Capabilities and skills

People are the core of any organisation. But even highly committed teams can hit a wall without the right tools and support. Building capability isn’t just about training, it’s about giving people clarity, confidence, and control.

Encourage cross-functional working. Share best practices. Make time for team reflection. Sometimes the smallest changes, like introducing a shared task board or giving people permission to say no, can unlock new energy and effectiveness.

2. Digital and data

Digital tools don’t have to be expensive or complex. Sometimes, using shared online documents or automating a repetitive process can save hours each week. Improving how data is collected and used can also reduce duplication, support better planning, and help demonstrate the impact of your work more clearly.

When data is used for learning rather than just compliance, it becomes a strategic asset, not a burden.

3. Culture and leadership

A culture that values focus, reflection, and purposeful decision-making is essential. If your team is constantly rushing from one task to the next, it’s hard to step back and see the bigger picture.

Many teams are fatigued, not because they put the bar high, but because they’re doing too many things without clarity or impact. When leaders help reframe what success looks like, focusing on outcomes instead of activity, it becomes easier to let go of low-value tasks and build a healthier, more productive culture.

Common pitfalls to avoid

Strategic productivity requires intention and awareness, and there are common traps to watch out for:

  • Confusing activity with impact: Just because people are busy doesn’t mean the work is valuable
  • Trying to do everything: Without clear priorities, teams end up stretched too thin, risking burnout
  • Underinvesting in tools: Clunky processes and outdated systems quietly erode capacity every day
  • Avoiding difficult conversations: Letting go of low-impact projects, even if they’ve been around a while, is often necessary, and healthy. 

Being more productive doesn't mean doing more with less. It means doing less of what doesn’t matter.

Productivity is a leadership conversation

Strategic productivity isn’t about squeezing more into the day. It’s about making better decisions about how time and effort are used. That starts with leadership.

Leaders in the third sector juggle complex roles, from operational oversight and fundraising to team development and policy engagement. But productivity shouldn’t be treated as a back-office concern. It’s a strategic conversation that belongs in boardrooms, staff meetings, and away days.

When leaders create space to pause, reflect, and challenge old assumptions, it encourages a healthier, more focused working culture. And over time, it builds resilience into the organisation, making it better able to navigate change, not just survive it.

From busyness to impact

Doing more with less is no longer a sustainable strategy. The real opportunity for third sector organisations lies in doing better with what you have, aligning energy with purpose, building capabilities, embracing the right tools, and empowering people to work smarter, not harder.

Productivity isn’t a measure of busyness. It’s a measure of focus, alignment, and impact. When approached strategically, it can unlock new capacity, restore team energy, and bring organisations closer to the missions they care about most.

If you'd like to learn more about how productivity can take your business to greater heights, explore our 4-day Strategic Productivity course.

Disclaimer
Blog posts give the views of the author, and are not necessarily those of Alliance Manchester Business School and The University of Manchester.

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