Strategic Restructuring:
Partnership Options for Nonprofits

What is Strategic Restructuring?
Types of Strategic Restructuring

	What form of Strategic Restructuring is Right For Us? Use our decision tree to help you decide. Click Here The Negotiation Processes for Various Forms of Strategic Restructuring Click Here

Strategic restructuring occurs when two or more independent organizations establish an ongoing relationship to increase the administrative efficiency and/or further the programmatic mission of one or more of the participating organizations through shared, transferred, or combined services, resources, or programs. Strategic restructuring ranges from jointly managed programs and consolidated administrative functions to full-scale mergers.

The Strategic Solutions Partnership Matrix displays the range of strategic restructuring options for nonprofits, demonstrating the potential extent of integration among partners and the distinction between programmatic and administrative partnerships.

Strategic Alliance

An alliance is a strategic restructuring that includes

• a commitment to continue, for the foreseeable future,
• shared or transferred decision-making power, and
• some type of formal agreement.

However, it does not involve any change to the corporate structure of the participating organizations. Specific types of strategic alliances include:

• Administrative Consolidation
• Joint Programming

Corporate Integration

An integration is a strategic restructuring that

• involves changes to corporate control and/or structure, and
• may involve the creation and/or dissolution of one or more organizations.

Specific types of integrations include:

• Management Service Organization
• Joint Venture Corporation
• Parent-subsidiary structure
• Merger