Whitepaper: The Goldilocks Zone of Grant Standardisation

Standardisation done 'just right'.

A practical guide for governments, funders & grantmaking teams.
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Grant standardisation is one of the fastest, most effective ways to improve efficiency, transparency and outcomes across your funding ecosystem. But it only works when you strike the “Goldilocks Zone” - the balance between consistency and flexibility.

This guide distils more than two decades of experience from Our Community’s Institute of Grants Management and insights from over 776 SmartyGrants accounts across Australia and New Zealand.

Why Standardise Grants?

Efficiency

Create once, reuse everywhere. Launch programs faster, reduce admin load, and minimise reinvention.

Accountability

Meet expectations under frameworks like Commonwealth Grants Rules & Principles.

Fairness & Access

Clearer forms and consistent language reduce confusion and support more equitable access.

Better Data

Standard fields underpin reliable reporting, whole-of-government insights, smarter decision-making and data sharing.

The Goldilocks Principle

Standardisation fails when it is either:

  • too rigid (ignores real-world complexity), or

  • too loose (leads to fragmentation and unusable data).

The Goldilocks Zone sits between the two - a space where:

  • key elements are standardised,
  • but programs retain controlled flexibility.

This principle underpins all of SmartyGrants’ standardisation tools, including standard fields, templates, taxonomies, outcomes frameworks, workflow stages and centralised governance features like SmartyCentral, SmartyHQ and Analytics.

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Common Areas for Standardisation

1. Program design & approval

Standard templates, workflows and governance structures guide funders through repeatable, auditable processes.

2. Eligibility criteria

Clear, consistent definitions minimise ineligible applications and improve fairness.

3. Application/forms

Standard questions, fields, budgets, choice lists and taxonomies reduce cognitive load and enable comparable data.

4. Assessment criteria & scoring

Repeatable merit frameworks support transparent, defensible decisions.

5. Reporting & acquittal

Standard milestones and measures give a coherent view of progress and impact across programs.

6. Due diligence & risk processes

Consistent checks help reduce risk and improve accountability.

7. Legal agreements

Right-sized templates for different risk profiles streamline contracting.

Success Factors

Grantmakers who standardise effectively tend to have:

  1. A clear purpose
    Everyone understands why standardisation matters — for applicants, for staff, for decision-makers, and for the community.
  2. Strong leadership buy-in
    Executive sponsorship accelerates adoption.
  3. A dedicated governance or grants systems team
    Even a small central team dramatically increases consistency.
  4. Templates, policies and shared language
    Documents and forms that staff can pick up and use immediately.
  5. Flexibility where it matters
    Rigid rules fail. Allow variations for risk, scale and cohort while protecting core data elements.

What We Learned from the Data

Based on analysis of 776 SmartyGrants accounts and 10,490 programs, plus practitioner surveys:

Key Insights

  • 83% of programs use standardised decision recording.

  • 96% of organisations reuse stage names across programs - indicating high potential for process standardisation.

  • The most-used standard fields: Project Title, Brief Description, Total Amount Requested.

  • Philanthropy uses standard fields least — a major opportunity for sector uplift.

  • Resource constraints and diverging stakeholder priorities are the most common barriers.

Outcomes Standardisation is emerging but growing

21% of accounts have enabled the Outcomes Engine, and most start with a single standardised outcomes section before moving into deeper metrics.

The biggest motivators

  • Efficiency

  • Better applicant experience

  • Improved reporting

  • Compliance with minimum standards

Moving Toward Whole-of-Government Standardisation

Across Australia, several large-scale initiatives are proving what’s possible when the Goldilocks principles of “not too strict, not too loose” are applied to grants administration.

Together, these examples show that effective standardisation is both achievable and impactful when structure and flexibility are balanced thoughtfully.

The foundations of this success are always the same: shared frameworks + flexible implementation + sector-wide taxonomies + strong central leadership.


NSW OneGMS has transformed grants management across 50 government agencies, delivering a single, user-friendly system that streamlines processes, reduces duplication, and provides richer whole-of-government reporting.

DFAT’s grants hub operates a centralised mini-hub overseeing standards across 45 accounts, enabling consistent forms, processes and data, while still allowing programs to tailor what they need.

Bendigo Bank’s Community Impact Hub standardises grants, scholarships and sponsorships across hundreds of Community Banks, reducing administrative burden and improving transparency and reporting across a highly distributed network.

Local government collaborations (such as the western Sydney councils project) show how shared forms and data schemas can support cross-council insights, reduce effort, and create consistent applicant experiences - even across very diverse community contexts.

Things to avoid

Avoid Fantasy-Land Design

Systems and schemas designed without feedback from “coalface” staff will break.
Real-world grantmaking is messy — your standards need to accommodate that messiness.

Avoid over-classifying

Trying to categorise grants into neat boxes (“small/medium/large”, “evaluation required/not required”) rarely works in practice.

✗ Don’t mandate where consultation is required

Successful projects include real co-design and iterative feedback.

How SmartyGrants Supports Standardisation

✔ Standard Fields & Sections

Consistent data capture across programs.

✔ Choice Lists & Taxonomies

Including CLASSIE and national classification systems.

✔ Outcomes Engine

Common frameworks for outcomes and metrics.

✔ Standard Templates

Forms, reports, dashboards and communications.

✔ SmartyCentral

Whole-of-government governance of forms, fields, lists and workflows.

✔ SmartyHQ

Enterprise reporting across multiple business areas.

✔ Analytics & Data Dictionaries

Standardised dashboards, filters and widgets.

✔ CLASSIEfier (AI classification)

Automatic classification of grants to a shared schema.

We can help

Our Community’s Institute of Grants Management and SmartyGrants teams work with governments, funders and networks around the world to design practical, scalable standardisation frameworks.

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