Competing for Funding: Is Your Organisation Ready to Win?

By Erwin SimangunsongErwin Simangunsong · · Case studies
Competing for Funding: Is Your Organisation Ready to Win?

“Funders do not invest in proposals alone. They invest in organisations they believe can turn  resources into credible impact.” 

Over the years, I have seen good teams put enormous effort into proposals that looked strong on paper and still  did not win. The theory of change was sensible, the budget was carefully prepared and the technical team knew  the sector. Naturally, the post-mortem focused on the document: Was the design strong enough? Was the price  too high? Did we explain the impact clearly enough?  

Those questions matter. But after more than two decades working in international development, I have come to  ask a different one first: was the organisation itself ready to compete for the opportunity?  

That distinction matters because resource mobilisation is not simply a proposal-writing exercise. A proposal is  the visible product, but funders are also making a judgement about the organisation behind it: whether it has  the strategy, systems, relationships and credibility to turn funding into measurable, sustainable impact.  

The funding landscape is changing  

This question has become more urgent as the funding landscape has become less predictable. Traditional aid  budgets are under pressure, donor priorities are changing, and the disruption to USAID-funded programmes  and wider shifts in U.S. foreign assistance have shown how quickly long-established funding channels can  change.  

For NGO leaders, the implication is uncomfortable but important: we cannot build a funding strategy around the  assumption that yesterday's donors will still be there tomorrow. Organisations need a more resilient mix of  relationships across bilateral and multilateral donors, governments, foundations, the private sector and other  financing partners.  

At the same time, the problems we are trying to solve are becoming more complex. Climate risk, health,  livelihoods, inequality, humanitarian shocks and institutional capacity rarely sit neatly within the capabilities of  one organisation. In practice, this means NGOs increasingly have to compete and collaborate at the same time.  An organisation may be a competitor in one opportunity and a consortium partner in the next. I see this less as a  contradiction and more as a new organisational capability: knowing when to lead, when to complement and  when collaboration will produce a stronger result than going alone.  

Know what makes you worth choosing  

One of the most useful questions I have learned to ask is: what is our unique value proposition for this  opportunity? The answer should sit at the intersection of three things - what we are genuinely good at, what the  donor is trying to achieve, and who else could credibly do the work.  

That competitive field is broader than many NGOs assume. It can include other NGOs, managing contractors,  consulting firms, social enterprises and commercial companies. So the question is not simply, 'Can we deliver  this programme?' It is, 'Why should the donor choose us - or choose us as part of a consortium - over credible  alternatives?'  

This is where organisational self-awareness becomes important. A strong organisation knows what it can lead,  where it needs partners, and which capabilities it should not pretend to have. In my experience, that clarity  produces better partnerships and more credible proposals.  

Delivery matters more than promises  

I also believe NGOs need to be much clearer about the difference between delivering activities and delivering  impact. Funders increasingly want evidence that an organisation can move beyond outputs to measurable  change. That means implementation discipline, adaptive management, local partnerships and the ability to  work through government and community systems.  

Value for money is part of the same conversation. It should not be reduced to being the cheapest bidder. The  real question is whether the organisation can explain the value created for the resources required. What impact  can reasonably be achieved per dollar? What can be leveraged through partnerships? What will remain after the  funding ends?  

Credibility with key stakeholders matters just as much. Host-country government, regulators, local authorities,  communities and sector partners often determine whether a programme can operate at scale. An NGO that is  trusted by these stakeholders gives a donor greater confidence that implementation can be accepted,  coordinated and sustained.  

Build the organisation before the opportunity  

This is why I no longer think the best resource-mobilisation question is only, 'How can we write a stronger  proposal?' A better question is, 'How can we become an organisation that funders and partners are confident  investing in?'  

That shifts resource mobilisation from a deadline-driven activity to an organisational capability. It requires  strategic clarity, proven delivery, credible evidence, trusted relationships, disciplined use of resources and the  judgement to know when to compete, when to collaborate and when to do both.  

Before committing heavily to the next opportunity, I would ask five questions: Is this strategically important for  us? Can we demonstrate relevant results? Do we have the people, systems and leadership capacity to deliver measurable impact? Are our partnerships strong enough? And can we clearly explain why our organisation - or  our consortium - offers a stronger pathway to impact than credible alternatives?  

If several of those answers are unclear, the problem may not be the proposal. The problem may be organisational readiness.  

Good proposal writing still matters. But the organisations that consistently mobilise resources tend to build  their credibility long before the opportunity appears. The proposal is simply the final expression of the organisation behind it.