NFPs not doing enough to thrive in digital world
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Not-for-profit organisations need to upskill Board members, executives and operational staff if they are to embrace the benefits of the digital age, a Perpetual report has found.
The report, Non-profits and digital: Don’t just survive, thrive, found that of more than 110 NFPs embracing and utilising digital channels, only a small number (seven per cent) are taking full advantage of their digital capabilities.
Perpetual National Manager Philanthropy & Non Profit Services, Caitriona Fay, said the report highlights the work NFPs need to do to build the capability – and infrastructure – required to use digital tools effectively and efficiently.
“While non-for-profit executives see enormous value in investing in digital infrastructure for service delivery, non-profit board members are less sure,” said Fay.
“There’s a general uncertainty in the NFP sector about how organisations invest in their digital capacity, in what areas, at what time, right through to how they measure its success or failure. These are all the right questions to ask, and as an industry we need to build the capabilities – from an operational and personnel perspective – to help answer these questions.”
More than 80 per cent of the organisations surveyed have been in existence for more than 10 years, highlighting the importance of NFPs moving away from an analogue age.
“Many NFPs were set up to deliver services, work with donors, create impact and to govern themselves in a time when the daily forms of communication like Facebook and Twitter may not have even existed,” said Fay.
“Their founders would have envisaged working towards the same goals they have today but would have expected to achieve them in a very different manner.”
Fay also highlighted that although social media is seen as an important channel in many NFPs, few are utilising it effectively to convert stakeholders into donations.
“NFPs are now more reliant than ever on donors. Using digital tools is one thing, but using them in a way to connect with donors – whether it’s how they communicate through to analysing the impact of their work – is a very different mindset and a very different skillset,” she said.
The research was conducted in conjunction with the Stanford Center on Philanthropy and Civil Society as part of their three-week Australian tour.
In May, Perpetual announced a global partnership with Stanford to raise awareness of the risks, challenges and opportunities associated with operating in the digital age.
