The time always comes when your nonprofit's donor management software needs to be upgraded or completely replaced.
When do you know when that time has come, and then what do you do? Several nonprofit pros gave these answers when I asked them to complete this sentence: "I knew it was time to get a new donor management system when...."
- when the one we had couldn't report out the data in the ways we needed.
- when the dog ate my index cards.
- when I wanted to know stuff about my donors, and it took an absurd amount of staff time to find the answer.
- when the last "system" left with it in their head.
- when the only person who had a clue how to use the system (an old Access database) was retiring.
- when a volunteer's computer crashed and we lost everything.
Do those reasons ring true for your nonprofit?
Deciding that you need a new system is, however, the easy part. There is a world of confusing information about competing systems out there, and no easy way to put it all together.
I turned to the "Consumer Reports" of nonprofit technology to find the answers. Idealware is a nonprofit that helps other nonprofits make smart software decisions by performing unbiased research and then translating it into easy-to-understand reports, articles, and training.
Andrea Berry, Director of Partnerships and Learning at Idealware, agreed to talk to me about how an organization should go about choosing a new donor management system. Here are the steps that Berry suggested:
Figure out if you really need a new system.
Berry says to start by evaluating why you don't like your system. The problem may not be what you think, and it is not easy to switch. It takes time, effort, and money.
Berry said, "There is no silver bullet system out there, so make sure that your current system really is inadequate. For instance, you may just need to learn more about the system you have, rather than switching completely to a brand new system."
Determine what the problem really is. Could it be one of the following?
- You need more training. Perhaps your current system has features that you don't understand or know how to use. Ask your vendor if there are training options that you can take advantage of.
- You need more support. What are the support options for your current system? Is there available and affordable support? Does the vendor understand your problems and try to help, or do they talk down to you? Do they have a solution for your particular problem?
- You don't understand all the capabilities of your current system. Do you really know for sure that it doesn't do what you want? Is there accessible documentation? Some vendors are working hard to provide more help such as videos, forums where you can ask questions, and documentation written for non-techies
- Your system is too weak or too robust. Right sizing a system to your process and your budget is important.
- Your system is too expensive. Are you paying for more functionality than you need? Berry says, "When talking to a vendor, remember that this is a sale...the nature is to 'up-sell.' Understanding your needs will help you not be distracted by 'shiny object syndrome.'"
- Your system is out of date. Perhaps it is missing new features. It should be updated regularly, either by you or the vendor. Most online systems update regularly. Just be conscious of how your system stays updated.
- Your system is no longer supported by the vendor. Berry says this is not common but does happen, especially if a smaller vendor is bought by a larger one.
Idealware provides a workbook, Do You Need A New Donor Management System? that will help guide you through this self-assessment process.
Identify a team of stakeholders.
So you've made the decision to switch. What is next?
Berry said, "What we see all the time is the development director decides to get a new system but doesn't consult with the marketing department, or the executive director, or the volunteer coordinator, all of whom will be using the system."
It is a good idea to consult everyone who is going to use the system. When you're brainstorming features that you need, let everyone have a say. Make sure everyone who will use or be affected by the system is represented.
Understand your current processes.
Make a detailed list of your fundraising processes. Then standardize them. Evaluate everything you do with your databases. Ask why do we do it this way? Do we have to keep doing things that way?
Berry said, "Standardization gives you flexibility in choosing a system...the less expensive systems do not afford great flexibility so the fewer 'oddities' the better. Look for best practices in the field and avoid completely unique procedures."
Eliminate redundancies before you invest. How many times do you enter an address for instance...do you need to? Don't carry over quirky tactics that have proliferated over the years.
Prioritize a features wish list.
Get everyone together who will use the system or who will get reports from it. Brainstorm everything you could possibly want, and then rank these features. Determine what you absolutely need, without which the system is useless. Doing this first will keep you from going off into a level of complexity that could wreck your budget.
Berry recommends creating a three tiered list:
- What do you need or else the system is useless?
- What would be nice to have but isn’t a deal breaker?
- What would you want if money was no option?