The potential impact of technology, such as social media, on NFPs and their digital responsibilities was discussed in a recent article on the Probono Australia site. The report discussed the results of a three-year study of over 120 nonprofits and how these NFPs use technology to their benefit in the digital age.

NFPs Use Digital Tech to Improve Fundraising, but Little Else

One of the most interesting findings of the study was that even though most NFPs are able to use social media and other technology to expand their reach during their fundraising campaigns, most do not have the staff, training and other resources that are needed to stay up to date and current on the latest technological developments.

One of the most significant facts uncovered by the study is the fact that most NFPs are unable to effectively manage their risks in the digital age.  Security breaches, the potential theft of information or funds, and other forms of cybercrime are a serious threat to the stability of NFPs everywhere in the digital age, but few NFPs are able to make preparations to protect themselves from these types of intrusions.

Many NFPs also are failing to use technological advances to their best effect for the nonprofit, and so are missing out on opportunities that could increase efficiency and reduce the cost of various operations that could help them to more effectively use and preserve their NFP’s scarce resources.

Effectively Managing Digital Technology is About More than Fundraising – it’s a Fiduciary Duty for Boards

Taking steps to plan, prepare for, and mitigate or otherwise offset these potential losses are an actual fiduciary duty for most boards, and yet the study found that few NFP board members are prepared or capable of taking the actions necessary to protect themselves or their nonprofits.

As an NFP board member, instituting the proper safeguards and controls over your NFPs data and digital information is every bit a part of good governance as overseeing how your NFPs funds, time and other resources are spent. It is just one of your many roles and responsibilities. What steps are you and your fellow board members taking to become more aware of the benefits and potential risks created by digital data?

Are you still thinking like someone in the 19^th century and confining the management of information to one person? Gone are the days where you could secure money or information by locking it up in a physical cabinet or safe. In the digital age, data, funds and other resources can be stored on hard drives as well as in the cloud, and can be accessed by anyone anywhere in the world with an Internet connection unless proper digital security measures are in place to protect it.

Rather than centralising the control of data and other digital resources, it’s important for NFP board members and everyone else involved with the operations of your NFP to actively work to increase the digital expertise of everyone in your organisation. In this way, everyone connected with your NFP understands how to best use technology to accomplish more, while also ensuring the safeguarding of data, assets and other resources.