Why non-profit organizational efficiency is necessary, and not just nice.

 A recent study by The Foundation Center (November, 2009; see here) reported that giving from foundations to non-profits is likely to decline in 2010. The report indicates that non-profit organizations will need to become increasingly smarter, more transparent, and more creative in how they manage their funds. As part of the strategy of adapting to the new economic realities, many organizations are cutting back expenses in operations, conference travels, and employees, to name a few.

While I found the report to be very insightful, I was troubled with the report for two reasons. First, the outlook is difficult for many non-profits. The harsh reality is that many smaller non-profits may not be able to weather the storm. These are tougher times when our collective belt is squeezing tighter than many of us have known in our lifetimes. The troubling aspect is that people in need may no longer have the same access to valuable resources as they have previously. Second, the tone of the report was of “cutting back” and “scaling down.” Yes, I agree that may need to happen. But, I also believe that improvements in organizational efficiencies can save money without compromising—and even improving—the services provided. Duplicating information, administrative time spent in grant reporting, buying multiple computer programs for various functions, and clunky collaborations between organizations are just a few of the domains that silently siphon money from non-profits. That money—provided as grants for the purpose of offering services—could be spent in priceless services, and as a moral imperative to get the biggest social bang for the philanthropic buck, should be.

The Foundation Center article proposes that organizations that can survive the economic storm will emerge stronger. Such strength, however, will not result if these organizations continue to do what they’ve always done. Instead, the strength will result from fundamental changes in how health, human, and social service organizations provide their services. These core changes need to be considered carefully and completely. Non-profits need to seek enduring strategies that will sustain and grow their organizations. Among these enduring strategies, health, human, and social service agencies need to learn from the administrative efficiency of corporate America, while retaining the commitment to compassionate service that has motivated them for years. This call to efficiency is not simply a lofty aspiration or a mere suggestion; it’s a necessity for the vitality of non-profit service organizations. Those organizations who heed this call will survive, and those who don’t, won’t. Organizational efficiency for non-profits is now necessary, and not just nice.

ClientTrack provides efficiency. ClientTrack helps health, human, and social service agencies do more with fewer resources. It’s not a gimmick. It’s not a marketing spin. It’s powerful software that offers real solutions that health, human, and social service organizations need now more than ever. ClientTrack reduces information duplication, saves administrative time in grant reporting, consolidates multiple administrative functions in one program, and facilitates smooth collaborations between organizations. Additionally, ClientTrack allows organizations to measure the outcomes of their services and share those outcomes with current and potential funders and their communities. ClientTrack is the right software, at the right time, for the right purposes.