Innovation Continues to Improve Efficiency and Stewardship
Throughout 2020, we heard from many nonprofit leaders that their organization uses data to inform decision-making and show evidence of impact, but their current technology infrastructure hampers their ability to streamline processes. Nonprofits will face plenty of uncertainty in 2021, with uncertainty around revenue, increased demand for services and programs, along with other challenges related to the COVID-19 pandemic. With the increasing need for financial performance in 2021 to sustain funding and impact, we will continue to see nonprofit leaders turn to innovative software solutions to make it possible to overcome these challenges and create a stronger return on their mission.
Increasing Automation Adoption to Cut Costs and Allocate Funds for the Cause
According to a recent survey, nonprofit leaders ranked automation among the top benefits of next-generation software solutions because of the benefits automation offers around streamlining workflow for repetitive tasks such as purchase requisitions or bills that have to be reviewed and signed. The more nonprofit leaders are able to automate certain tasks, the more funds they are able to dedicate to their cause. Adoption of automation technologies will be crucial for nonprofits looking to cut costs and thrive through 2021.
Measuring Outcomes to Maximize Funding
As the competition for donations continues to heat up and nonprofits continue to face COVID-19 related challenges, illustrating program and service impact, especially fiscal accountability, has never been more vital. Outcome metrics quantify a nonprofit’s return on mission, through a mix of indicators, data collection, analyses and reporting across multiple dimensions. With shifts in donor giving due to the pandemic, tracking and sharing metrics that define success and show good stewardship will be crucial for nonprofits looking to build confidence with existing and prospective donors in 2021.