Technology as a mission enabler for not-for-profits and higher eds

Modernization with strategy

When beginning a modernization journey, Afzal emphasizes that technology strategy must align directly with an organization’s mission. Unlike commercial entities driven by revenue and profit, not-for-profits and higher education institutions prioritize mission impact. Afzal frames this alignment through what he calls the “three legs of the stool”:

• Capabilities: ensuring software, hardware and services are fit to achieve the mission
• Investments: directing funds effectively to the right technology priorities
• Operations: ensuring IT functions have clear responsibilities, effective collaboration and strong engagement with the broader organization

This framework, Afzal said, can provide the foundation for a 12-to-18-month modernization roadmap. Such roadmaps can include enterprise resource planning (ERP) upgrades, customer relationship management (CRM) improvements, grant management system overhauls, infrastructure rationalization, or shifts from waterfall to agile delivery models. Rationalizing applications, such as replacing outdated point solutions with integrated cloud platforms, is a central path on this roadmap.

“The starting point is to understand the mission and then create a technology strategy aligned to it,” Afzal said. “The priority for many organizations is to move onto modern systems because they are less capital-intensive, easier to manage, and designed to be used for their benefit.” Unterman said that not-for-profit organizations and higher education institutions can over time sometimes deviate from best practices; using manual processes are one manifestation of this misalignment. That said, Unterman indicated that “leading practice is not necessarily common practice,” adding that organizations can at times resist adopting best practices due to inertia or “not invented here” mentalities.

Present vs. future-oriented solutions

Nafzal said technology is often viewed as an "overhead" expense rather than a mission-critical investment, making it difficult for nonprofits to secure adequate funding for modern hardware, software, and IT support. Further, Unterman said technology modernization alone does not prepare organizations for the future.

"When not-for-profit organizations and higher education institutions ask us for help, it’s commonly because their current system is no longer working for where they are today.  They are experiencing challenges in a variety of areas – programmatic/mission achievement, operational efficiency and effectiveness, or controls,” Unterman said. “Of course, IT systems need to work for the future too, but the problem is pressing today.” Their challenges typically are immediate: inefficiencies, lack of integration, absence of controls, or inability to leverage AI. Addressing these present issues, while positioning the solutions to scale into the future, is the sweet spot to target.

This challenge isn’t unique to mission-driven organizations — it spans industries, making modernization both a cross-sector imperative and an opportunity for not-for-profits and higher education institutions to adapt proven practices. Unterman likens the process to auto repair: “When the hood of the car is open, you might as well take a look at the engine and address all of the issues.” Modernization is the moment to review not only technology but also the ways of working behind it, including organizational processes and practices.

Unterman continued, Organizations should perform an operational review before replacing their systems. If an organization retools its technology without examining its processes, they run the risk of generating the same old ineffective results, but faster. Further, performing an up-front process review can help with the overall technology-driven, change-management journey.”

Human and cultural factors

Afzal stresses that modernization is not just a technical shift but also a cultural one. Many not-for-profit and higher education staff have dedicated their entire careers to their organizations and deeply value existing processes which can naturally create resistance to change. The first step, he argues, is building leadership consensus so that executives can frame technology transformation as a mission-enhancing initiative. Rather than focusing on financial bottom-line arguments, Afzal advises linking new tools directly to purpose – whether serving members, museum visitors, students, congregants or other beneficiaries. Successful adoption comes from showing staff how technology can make their work more meaningful and impactful.

“We approach organizational culture  differently for mission-driven organizations … it makes all the difference to provide a compelling, fact-based story around how this new way of working or this new tool would benefit them and the organization’s mission.”

Two areas are especially critical:

• Change management sensitivities: Unlike for-profits, where leadership might attempt to mandate change, not-for-profits and higher education institutions must bring staff along in the journey. Stakeholder alignment is critical, and resistance cannot be overcome through authority alone.
• Cross-functional stakeholder buy-in: Organizations rely on diverse stakeholder groups. Whether implementing ERPs in higher education or fundraising platforms in not-for-profits, projects succeed only when governance structures ensure buy-in across mission, program and support staff. This is particularly critical in mission-driven organizations.

Unterman also emphasized that change management, stakeholder buy-in, and process alignment needs to be done in an industry-specific way in the not-for-profit and higher education environment. "In not-for-profits, you can’t just pound your fist and say, ‘Make it so.’ You have to bring people along on the journey,” Unterman said. “Change is hard everywhere, but it’s particularly challenging in not-for-profits and higher education institutions, which makes adoption and communication absolutely critical.”

Addressing system ineffectiveness

Unterman notes that clear warning signs include reliance on offline databases or spreadsheets, manual processes that sit outside core systems, and fragmented service delivery — whether internal (such as finance teams serving colleagues) or external (such as programs serving constituents).

Taking a page from the for-profit playbook, he suggests not-for-profits and higher education institutions should adopt a “customer mentality,” treating both internal stakeholders and external partners as customers whose needs must be met effectively. The ultimate test, Unterman argues, is simple: does technology advance the organization’s mission and strategies? Any barrier to an organization’s mission requires attention.