Nonprofit Research Institutions: Why Digital Transformation Matters

Nonprofit research institutions conduct critical research and seek knowledge for the good of humanity. Their essential scientific breakthroughs include pioneering medical research for heart disease and discovering the double-helix shape of the DNA molecule.

And while their scientific research and knowledge production is often decades ahead of widespread impact, their back-office systems and processes are often decades behind.

A new joint report from Huron and Workday, “Nonprofit Research Institutions: Why Digital Transformation Matters,” shows how institutions can put a digital backbone in place with the processes and systems to meet their digital acceleration needs. 

The benefits of a digital transformation are significant. Digitally mature nonprofits are 4x more likely than their peers to achieve their mission goals and 2x more likely to see improvement in operational efficiencies, according to the report. 

The report shares insights on:

• Improving financial stewardship. Organizations must not only show how they spend every grant dollar but also accurately predict their revenue and expenses to demonstrate progress toward their research goals. No surprise, then, that more accurate funds management is a top priority, a Workday-sponsored IDC survey found. 

• Managing expenses effectively. For nonprofit research institutions, having a single source of truth for expenses is another critical way to maximize the impact of their work.

• Planning for the future. Accurate financial forecasting allows nonprofit research institutions to pivot in the event of future disruptive events.

• Attracting and retaining talent. Keeping a hybrid workforce empowered, connected, and focused on higher-value work that supports the mission versus time-consuming administrative work can provide a better employee experience. 

• Using data for collaboration and better decision-making. Using accurate and easily sourced data insights for effective and impactful organizational decision-making remains one of the top priorities for nonprofits.

Nonprofit research leaders are starting to undertake the transformational shift required to modernize operations, empower workers, and further mission impact. 

“You want to consolidate systems and put all the data together,” says John Cunningham, product manager of grants at Workday. “That’s really where the big bang comes from beyond the more efficient transactional work. It’s insight. And if you believe where AI is going, it’s all going to be around access to data. All of that’s going to come from putting the data together.” 

To better understand how your nonprofit research institution can digitally transform, read our latest report developed in partnership with Huron, “Nonprofit Research Institutions: Why Digital Transformation Matters.”