Data-Driven Decision Making:
Examine Goals to Determine Data Input

By Terri Turner, Marketing and Business Manager
Kansas City

In the age of sophisticated technology, non-profit professionals often rely on complex donor software, instant e-mail communication and even quick-to-access teleconferencing as the means to guide volunteer, member and donor relations. As we start a new year, I’d like to suggest that in 2007 we reframe this “era of technology” by engineering the tools of our trade with some clever and creative ingenuity.

Technology can serve as the “bread machine” designed to hold the ingredients that volunteers, donors, members and nonprofit professionals contribute to create a “recipe” that will meet the nutritional and sustenance needs of your nonprofit.

Just as a bread machine cannot yield the perfect loaf of bread without balanced and measured ingredients, donor databases cannot extract the perfect reports and prospect lists without careful input of information. Before spending hours cleaning your database this year, first spend time defining the goals and priorities for your organization. Understanding the big picture defines the data necessary to support that end.  For example, if your board determines that donor recognition and communication is a priority this year, the development office might suggest honoring donors on their birthdays. In order to do this, donor birthdates would need to be included in each donor profile.

Consider these sample annual goals before you begin evaluating your database.

Do you plan to expand your membership base? 
Will you host a fundraising event? 
Will you assign new duties to board members? 
Will your programs reach into new geographic regions? 
Will you begin a new fundraising campaign?

Answers to these questions will guide development staff in operating and managing how the database best supports your mission. In defining your priorities as they relate to what you want from your database, consider the following:

Cleaning The Machine

What information should you maintain? What should you discard? How should you update?

Ingredients In

What crucial information must you have in your database? Names? Addresses? E-mail addresses?  Birthdates?  Volunteer positions held?  Solicitors identified? Size of gifts?  Date of gifts?  Giving history?  Event attendees?   Leadership positions held in other organizations? 

Ingredients Out

What potential reports will you need to inform your executives and board members?  What statistics will identify strengths and weaknesses in your development operations?  What statistics will affect future decision-making?

Kneading the Dough

Once reports are generated, how can everyone in your organization personalize the recipe to yield increased results?  How can prospects be converted to donors?  How can current volunteers refer prospects to expand the membership base? Are there donors or volunteers who previously supported your mission but who have not done so in recent years?  What data can staff provide to board members to help them successfully accomplish financial objectives?

Shaping the Future

Based on answers to the above questions, a donor database can be personalized to meet the needs of your organization. Development staff can select specific data in order to generate reports that will shape future programs and fundraising direction.

While we are fortunate to have computers and software to support the efforts of non-profits, it is imperative to maintain the “human” element in all our development and philanthropic efforts. Just as convection ovens and bread machines will not replace bakers and chefs, e-mails and teleconferencing will not replace personal phone calls and one-on-one visits.

Properly functioning databases must be designed by each organization to flag timetables, generate reports relevant to goals, and offer facts germane to unique programs and services. From donor relationship building to business reports, data-driven decision making must rely on technology in concert with human resources as the road to successfully improving communities and implementing philanthropic missions.