How can nonprofits standardize, visualize, and leverage their data to unlock the full potential of their systems and drive greater impact?
In Grassi’s recent webinar, “Embracing Digital Transformation: How Technology and AI are Reshaping Nonprofits,” nonprofit and technology experts, David Rottkamp, Partner and Nonprofit Practice Leader, and Hassan Khan, Technology Consulting Partner, discussed how strategic enterprise technology initiatives can help nonprofits streamline operations, cut costs, and enhance their missions.
Aligning Technology with Your Mission
To effectively transform, standardize, and visualize data into actionable insights, nonprofits can implement three high-impact enterprise technologies:
- Cloud-Native ERP (Enterprise Resource Planning) Systems: ERP systems serve as an organization’s operational “backbone,” automating, integrating, and streamlining data. Cloud-native ERPs store data across key functions (such as finance, inventory, and HR) in a centralized, cloud-based platform, making accessing, managing, and analyzing information easier.
- ETL (Extract, Transform, Load) Processes: ETL processes consolidate data from legacy systems by extracting raw data, cleaning and transforming it into a usable format, and loading it into a central repository such as a data warehouse. This structured data foundation enables more meaningful insights through reporting tools like Power BI.
- Private AI Environments: With a robust data infrastructure, organizations can develop private AI environments that organize and automate tasks, enhance data-driven decision-making, and personalize stakeholder experiences.
What to Expect When Selecting An ERP
Selecting an ERP system typically takes 3–4 months and involves needs assessment, solution demos, stakeholder alignment, and pricing negotiations. Our Grassi experts recommend a “people-first” approach by evaluating your current workflows, securing stakeholder buy-in, and creating alignment early. Popular solutions include Workday, Oracle NetSuite, and Sage Intacct, though the right fit depends on your organization’s size and needs.
As you evaluate ERP options, focus on narrowing down systems that align with your business needs while taking a “configuration over customization” approach. Be realistic about how your current operations will look within each platform, and avoid over-customizing, which can lead to unnecessary complexity. Cleanse your data thoroughly before deployment, and plan for rigorous user testing.
Post-ERP Data Strategy
Modern data management is about having the correct data available to the right people at the correct times. After ERP implementation, focus on building a robust data pipeline where legacy data is accurately exported and integrated into your new system:
- Descriptive Data: Analyzes historical trends, like donor giving or event participation, to uncover patterns and trends
- Diagnostic Data: Identify patterns and root causes through techniques like data mining and correlations
- Predictive & Prescriptive: Forecast predictions, like future donor behavior, and recommend actions through algorithms and machine learning capabilities
AI in Nonprofits: Not “If” Or “When ” but “How”
According to Gartner, 89% of nonprofits believe that AI can enhance efficiency, yet only 28% currently use it. Organizations recognize the significant potential of these tools, and the growing question becomes how they can be utilized as a competitive advantage.
Currently, popular applications of AI include Large Language Models (LLMs), which generate content such as outreach emails, and Machine Learning (ML), which analyzes datasets to predict trends. Our Grassi experts expect another emerging type of AI, Agentic AI, to grow in popularity in 2025. This type of AI can reason through complex problems and adapt based on feedback to influence long-term strategic decisions.
These AI capabilities are already delivering measurable value across multiple nonprofit functions:
- Fundraising: Machine learning can segment donor lists and strengthen databases with information from sources like social media, identify gifting opportunities, and help customize communications to strengthen relationships and prevent donor churn.
- Outreach: AI analyzes vast amounts of data to understand community preferences, while generative AI reduces time spent on communications by personalizing messages to match individual interests and behavior.
- Public Sentiment: Tools like Brandwatch and Meltwater monitor online discussions, allowing organizations to respond faster and fine-tune their messaging.
- Healthcare Services: AI reduces administrative work by generating real-time case notes during patient visits and streamlining documentation processes.
- Education: AI supports personalized learning, adaptive lesson planning, and accessibility tools like speech recognition or text-to-speech.
- Community Programs: In real time, tools like UrbanistAI visualize urban planning ideas and analyze community data to support inclusive engagement.
Protecting What Matters Most
Institutions should expect the 2025 threat landscape to be filled with frequent, highly individualized attacks. AI-generated phishing emails, deepfake impersonations, and the growing use of personal AI tools in the workplace (the “Bring Your Own AI” trend) create vulnerabilities for nonprofits with limited technical infrastructure. Organizations should consider the following to protect themselves from breaches:
- Layered security practices (multi-factor authentication, biometric features, real-time system alerts)
- Third-party risk assessments and internal IT audits to uncover weaknesses before they’re exploited
- AI governance frameworks that facilitate responsible use while maintaining compliance standards
Moving Forward, Together
True transformation happens when mission and technology move in sync. By leveraging cloud-native ERPs, structured data strategies, and AI-driven insights, nonprofits can streamline operations, enhance decision-making, and maximize their impact.
Implementing enterprise technologies is a significant but valuable investment. Maximizing the impact of these tools on your organization begins with the proper guidance. Contact us to connect with our nonprofit advisory team and discuss how we can support your organization’s initiatives.
