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Data analytics promotes the culture of transparency and results-oriented management for executives and the board.
The process of defining goals, measuring and making decisions about your organization can happen at every level of management and across all of the corporate functions. Creating capacity to increase community and client impact occurs across all business disciplines.
Utilize your data to increase fundraising efficiency, and effectively engage the most- likely donors to your mission.
Can you show empirically how effective your organization is at fulfilling it's mission? Can you provide data to show how you're making an impact on the community? Can you run your operations more effectively, whereby creating additional capacity/resources with which to expand your services and mission? These are just a few of the numerous insightful questions that every nonprofit organization should be asking about their operations. Then, depending on the answers, the organizations should be making adjustments to their short- and long-term business processes.
Use data to truly understand what drives your staff to higher performance and greater impact on client lives.
There is an old saying that goes "What gets measured gets managed." In 15 years of nonprofit management, I have found this to hold true 99.9% of the time. The psychology of it is simple - if you do not have a goal, you don't know what you are working toward. In today's evolving nonprofit industry, those goals (or lack thereof) are becoming increasingly transparent to stakeholders - and they want results.
Outcomes data measures an organization's effectiveness at affecting its core mission and providing value to funders.