CANPO Publication

Savvy Organizations emphasize the “IT” in non-profit

March 15, 2005 - by Gene Smith (general manager) & Jay Ecklund (senior techology specialist) of Mission Critical Systems

Technology can help make the difference between the poorhouse and prosperity for non-profit or membership organizations seeking to maintain their membership and fundraising bases. Unfortunately, IT too often is undervalued. So, technology tools that promote fundraising and membership never see the light of day.

Excellence in technology covers the full scope of IT programs and systems, from computer networks to telephone systems. Applications include developing ways for the Internet to boost profits and productivity, establishment and maintenance of targeted databases for donor management, creating computer systems to streamline workflow, data collection, resource identification and research, and improving communication flow and processes. Uses are limited only by imagination and budget.

Optimizing performance-and consequently productivity-of these systems often appears daunting (translate: time-consuming, expensive), so procrastination is the default action.

E-commerce, for example, may sound good in a seminar, but it's put aside to concentrate on established routines. Antiquated operating systems and impaired computing are major irritants, but are tolerated until the pain becomes unbearable.

Customer Relationship Management and membership management systems, both ultimately critical to financial health, can be enhanced tremendously with the use of state-of-the-art technology. Online membership renewal, extremely convenient and fast, is just one example of how technology is favorably impacting the bottom line.

Executive and development staff work tirelessly to find new funding sources, yet often fail to recognize that technology can help them raise money. The inside person or department charged with overseeing IT typically takes a "fix it when it breaks" view-without developing a proactive plan and systems that can make technology an ally instead of a perceived “necessary evil.”

Developing a technologically-sound framework to help raise a non-profit organization to the next level is a valuable undertaking. However, as with anything valuable, be prepared to "invest and investigate"-invest the time to identify options, then investigate them thoroughly. Following are issues to consider in the search:

1. Look for an advisor(s) that will first conduct a comprehensive review of your business model, industry and competitive challenges, technological needs, and desired future directions. Only after this in-depth look should the advisor make recommendations about what you need to have (not necessarily what you want). Beware of consultants who seem too eager to advance a solution without a complete understanding of your circumstances-they may just be hawking their latest, sexiest (and expensive) product or service regardless of how applicable or appropriate it might be. Likewise, beware of order takers too willing to give you what you want, without looking at what you may need. As with services provided by other professional advisors, this "review and recommendations" phase may require an investment of its own, so.
2. Be prepared to establish an annual IT planning and implementation budget. An effective, committed IT advisor can help you create a budget that maximizes your investment.
3. Seek development of a formalized, “replicateable” IT system. This is similar to the ISO9000 process through which companies document their processes and procedures so thoroughly that a new employee can walk in cold and get up to speed quickly just by reviewing the protocols and information bases. Taking a systematic approach to IT helps prevent reliance on individuals, while at the same time empowering them to be more effective because of increased efficiency and organization.
4. Look for proactivity. If you are constantly having to approach the IT “guru” with product or service suggestions, it's time to knock the guru off the mountain top. Proper IT management requires a proactive and consistent approach, utilizing tools that can open new technological doors.
5. Be committed to a goalsetting process, and subsequent development of a strategic and tactical framework for achieving desired goals. This program must be detailed, put on a timeline, and maintained.

Non-profit organizations that place a premium on IT excellence can discover a return on investment that justifies the expenditure many times over.