Marta Hiczewski, MS conducted an education session on leveraging

Value Propositions for Community Based Organizations (CBOs) that are part of GetSET (Get Success in Extraordinary Times). The purpose of our presentation was to help agencies understand how to message and deliver their Value Propositions to their target audience.

GetSET is an initiative of the John R. Oishei Foundation, Peter and Elizabeth Tower Foundation and the Ralph C. Wilson, Jr. Foundation CBO participant agencies are paired with Organization Development consultants and undergo an organization assessment, develop of a Capacity Plan and create a Value Proposition to position the agency to compete in the marketplace.

A Value Proposition is:

  • A Business statement (not a presentation or brochure) that summarizes why a customer should contract with or fund an organization or service.
  • Addresses the needs of the customer.
  • Differentiates achievements (outcomes) compared to competitors and/or industry averages.
  • Conveys value (e.g. better outcomes at the same cost, same outcomes at a better cost) to customer.

Through GetSET agencies developed their Value Propositions with their major payor in mind. The goal of the Value Proposition is to position the organization as effective and efficient service providers to their payor.  Delivering quality services while saving money will get the attention of payors.

Key to the leveraging process is listening to the payor.  CBOs must understand first, what the payor wants from their organizations.  It’s not what you have to sell, it’s what they want to buy.

The CBO should answer the question “what are the payors goals?”  “What are they trying to achieve?” “How can we help them reach their goals?”

Understanding outcome data important to the payors is the first step in building the value proposition.  Outcomes deal with improvements in the recipients’ condition such as a cure, delay in progression and stability. The agency must then identify the value the organization can provide to meet those outcomes, determine how to find the data internally, develop a process to collect and manage outcome data and present their value compared to others offering similar services in the marketplace.  Data can then be presented to payors in the form of a Value Proposition.

Simply, this process is about Data + Messaging. The Value Proposition used outcome data and crafts a succinct message about the value offered to the payor.

Delivering the Value Proposition requires understanding who the players are within your payor organization. Developing a collaborative relationship with the payor is a significant part of the agency’s positioning. Knowing who the decision-makers and influencers are within a payor organization is important to the process.

Decisions are made when the right people are in the room.  Find supporters within the organization and enlist their help in developing your strategic approach.  As you and your payor partner develop your relationship, be ready to adjust your service delivery model and refine your Value Proposition.