How to prove your nonprofit makes a difference
Thunder Valley Community Development Corporation staff in Porcupine, South Dakota, training on data collection and survey entry.
The recent surge of executive orders aimed at nonprofits has created a five-alarm fire for the organizations, people, and communities they serve. The scope and speed of the orders has left hundreds of dedicated people and programs reeling in the wake.
As a mission-driven organization focused on creating positive change, measuring the impact of your initiatives is crucial. Your work must be accountable to your funders, board, employees, partners, and your community. Today, showcasing your organization’s value has never been more important, and how well you tell the story of your impact depends on the data you collect. You need data-driven evidence of the effectiveness of your programs to help communicate your successes. Not only that, impact data reporting sheds light on your organization’s opportunities and challenges and helps pinpoint where to focus your efforts and resources.
So, where do you start? How do you collect and share data that meets both your immediate and long-term needs?
Create your impact tracking strategy
Step 1: Determine the type of information you want to collect. What is the change or impact you want to make? What outcomes are necessary to achieve your mission and goals? What actions are necessary to produce those outcomes?
Step 2: Establish the metrics you’ll use to measure the outcomes and indicators. How will you track your progress? What measurements will you use and when?
Step 3: Identify your data sources and make a plan. Where will you collect data from? Who will collect it? What methods will you use? What is your timeline?
Step 4: Analyze your data. What insights did you gain from the data you collected? Why are they significant? How can you and your team access this data?
Step 5: Tell your impact story. How will you share your findings and showcase your impact? How will the data help your organization improve?
Step 6: Review and refine your approach. Where do you want to make changes? How can you streamline your processes to become even more effective? What new information might you need to collect as your organization grows?
Implementing a responsive and flexible impact measurement plan can transform how you operate, make decisions, and grow.
Once you’ve determined the who, what, why, and how of your data collection strategy, it’s time to determine where your data will be stored and accessed. In our work supporting dozens of nonprofits and CDFIs with over 65 database management projects, we know selecting an impact measurement software can be daunting. We’ve seen firsthand how a platform can make or break a project, and how even the most well-thought-out plan can hit roadblocks when a platform doesn’t match a client’s needs.
When researching and choosing a platform that’s right for you, focus on answering some key questions:
How many users or licenses do you need?
Will the new software integrate with or replace your existing tools?
What else can the new software do — grant and donor tracking, financials, document storage, email marketing?
Can existing data be migrated to it?
How much customization will it require?
How much training will you need?
Do you have someone internal to manage it?
Can the platform grow with your organization?
Will it meet your necessary data protection standards?
Are there nonprofit discounts or grant-funded opportunities?
One of the most important things to remember when building your data measurement plan is that it’s not a one-and-done effort. It’s an ongoing process that involves continual input, assessment, and focus from your team. It should, though, be an essential part of your organization’s business strategy. Developing an impact tracking framework allows you to demonstrate your value, refine your programming, and successfully tell your impact story.
Thunder Valley Community Development Corporation staff in Porcupine, South Dakota, training on data collection and survey entry.
What you can do right now
Whether or not you have a comprehensive impact measurement plan in place, start telling your story. Share the data you do have and show the faces of the people your organization is helping. Highlight how your programs and initiatives address the needs of your community and illustrate the ways your work brings real value. If you can, include testimonials from those you’ve helped and share their individual success stories. Keeping your donors, funders, partners, and community members informed is key to sharing your impact.
Our implementation team has five highly experienced and dedicated Salesforce professionals who know technology and the needs of nonprofits. From identifying the right data to collect, to creating reports and dashboards, to training your staff to manage your entire database, we’ll work with you every step of the way.