Creating and following a pre-determined plan is essential when designing a grant management program. When we consider all the steps involved in advance, we can better foresee any obstacles or issues. Similarly, following well-designed grant management processes is highly beneficial to organisations when giving out grants.
Grant management is the method grant-making organisations use to allocate funds in a way that best meets community needs. It is a complex and lengthy process encompassing many varied and overlapping administrative tasks, in addition to numerous challenges in grant management.
The grant management process typically includes two main groups:
- The Grantor
- The Grantee
Any organisation that provides grants for the community’s welfare is called a grantor. Grantees are nonprofits or individuals seeking funding from grantors.
Key Steps Involved in the Grants Management Process
Each grant program requires grantors to carefully execute a combination of steps that include creating applications, announcing the grant, distributing the grant money, and collecting reports. While activities or the order in which they are carried out could differ between two grant programs, these foundational steps help deliver a positive impact within the community.
Below are the steps typically performed during the three major stages of the grant management process: pre-award, award, and post-award.
Pre-award Stage
Many activities within the pre-award stage need to be completed before funding can be awarded. In the early stages of the process, the grant-making agency plans and develops a funding program based on its mission. From there, the grant-making organisation will formally announce the funding opportunity, advertising it to applicant communities and inviting proposals that address the program mission. This grant stage includes creating clear guidelines for applicants and collecting and reviewing applications.
Establish the Grant Program
Grantors should set aside enough time to clearly define the primary aims and objectives of their program before they become deeply involved in drafting the application form and guidelines for the grantees. Grant making best practices map out the desired outcomes of the project, while ensuring the funding goals closely align with the organisation’s broader vision and mission.
Define the Grant Guidelines
Guidelines are an opportunity for the funding organisations to clearly outline the eligibility criteria and program timeline, as well as any other requirements necessary for a grantee to receive the funding. Include all essential details around the terms and conditions, purpose, scope, reporting requirements, and grant eligibility.
Announce the Grant Program
Once the guidelines are created and the program has been set up, grant makers announce the program and ensure the right information is communicated to the applicant pool.
Collection of Applications
Grantees become the focus at this step. Once the grant program is announced, grantees fill out the grant application form and gather the necessary documentation.
Modern grant management solutions enable grantors to simplify their process of collecting, storing, and reviewing applications. An end-to-end grant management system (GMS) enables grantors to request and manage additional information from grantees, communicate effectively, and maintain records through a single platform.
Review and Shortlist Applications
Grant managers at this step assess and evaluate all the applications they have received against the funding objectives. The applications that closely align with the organisation’s funding goals are shortlisted to receive the funding.
Award Stage
Funding organisations at this stage are looking to communicate their decision to applicants and distribute funds. Once grantors are ready to release the funds, it is important to finalise the grant agreement. Clearly outlining the terms and conditions of the program and ensuring both parties agree is critical at the award stage.
Notify Grantees
It is essential to keep your applicants updated, regardless of whether you choose to approve their application or not. This step involves notifying applicants of the status of their application and if they’ll receive funding. An effective grant management system can automate this task, so grantors can remain focused on their goals.
Distribute Funds
Once applicants have been notified, the agency begins working with the award recipient to finalise the legal framework for the funding agreement. Following this, the funds are disbursed.
Post-award Stage
After an award has been disbursed, a grants management officer at the funding agency oversees the awardee’s reporting compliance. This process lasts for the lifetime of the grant award and involves reviewing reports submitted by awardees.
The post-award phase also includes providing support to grantees, tracking program milestones, making amendments to the original plan or timeline if things are not going as anticipated, and responsibilities associated with closing the grant.
Reporting
Without reporting and progress tracking, it’s hard to determine if the grant program was a success or failure. Collecting progress reports from the grantees and monitoring the results are the primary tasks. Tasks related to requesting and managing reports or even sending out reminders before any information is due can be easily automated in a grant management system. This step requires grantors to monitor how the grantees spend the allocated funds and whether they are aligned with the agreed terms and timeline.
Close the Grant
The final step of the grant management process involves the grantee sending the reports and financial data to the grantor agency. Upon completing all the requirements, including a review of the awardee’s final financial and technical reports, the grant lifecycle comes to an end.
Once you have a firm idea of all the steps involved in the process, this information will assist you when you’re required to carve a plan for your grant rounds in the future.
Best Practices for Each Stage of the Grants Lifecycle
Pre-award Stage
The pre-award stage lays the foundation for the entire grant process. Planning at this stage is essential in preventing issues down the line. Grantors need to define their goals clearly and make sure their funding aspirations match the needs of potential applicants. This means providing clarity on eligibility criteria, deadlines, and intended outcomes.
Streamlining the application process using guided online forms with in-built validation reduces administrative overhead for both grantors and grantees. The more intuitive the process, the easier it is to attract high-quality applications that align with the program's mission.
Award Stage
The award process is based on open communication and well-structured applications. Grantors should seek to communicate with applicants promptly, providing clear explanations and forwarding procedures where appropriate. This builds trust, maintains professionalism, and improves applicant satisfaction.
Strong documentation processes at this stage also reduce compliance risk. Customisable templates maintain consistency while allowing grantees to respond to the unique needs of each program.
Post-award Stage
During the post-award stage, grantors need to support grantees in tracking progress and set clear expectations around reporting and milestone delivery. A shared dashboard and periodic check-ins help maintain momentum and are instrumental in identifying issues early.
Data collected during this stage upholds compliance requirements and informs future programs. Information captured post-award positions grantors to design programs that better demonstrate their impact to stakeholders in the future.
What Type of Skills Do You Need to Manage a Grants Process?
Grant officers or managers require specific skills to deliver grant programs effectively. Below, we have included some of the key skills managers need to effectively deliver grant programs.
Communication and Leadership
Effective communication, strong leadership skills and problem-solving capabilities are required for project management. A grant manager needs to be a clear and consistent communicator who ensures the program does not suffer at any point. They should also have the capability to lead everyone involved in the right direction at all times.
Technical Skills
Grant managers need to be flexible when adopting new technologies. Nowadays, most grant-making organisations are adopting robust grant management systems and require their staff to be trained in using these online platforms.
Time Management
Being proactive in approaching and completing tasks within the relevant timeframe is necessary for effective management of any grant program. Grant managers who understand the importance of time can better prioritise tasks and stay focused on their goals.
Attention to Detail
Strong attention to detail is a critical skill when managing grants. Single decisions can have a significant influence on the entire program. Paying attention to the smallest details by carefully analysing each step of the process ensures that grant programs deliver tangible impacts.
How a Grant Management System Supports the Entire Process
An end-to-end grants management system benefits organisations at every stage of the grant lifecycle, from planning and application receipt to distribution and reporting.
Systems simplify the application process with smart forms, automate checks for eligibility, and direct communication with applicants. This improves the applicant experience and reduces back-and-forth for grantors.
At the award stage, document automation helps generate consistent award letters and agreements. OmniStar’s workflow and process automation make it simpler to track approvals and keep stakeholders aligned, with timelines and conditions documented and stored centrally.
Post-award, grantors can rely on tailored dashboards to track grantee performance, monitor budgets, and prepare for reporting deadlines. Connectivity to finance or CRM systems allows for seamless movement of data throughout grant-giving organisations.
By providing visibility, form, and automation at every stage, a well-planned system transforms grant management from a time-consuming chore into a strategic asset.
Manage Your Grants Effectively with OmniStar
At OmniStar, we understand the importance of saving time in every step of the grant administrative process. OmniStar ensures efficiency at every stage of the grant management lifecycle by simplifying complex processes and automating repetitive tasks, freeing you to concentrate on maximising the impact of your grant program.
Get in touch with us to book a demo of OmniStar Grants and discover how you can transform your current processes and increase your grant-making impact.
