Research and recommendations for effective, day-to-day nonprofit practice from ASU faculty, staff, students, and the nonprofit and philanthropic community.
High-net-worth philanthropy can be a transformational force for nonprofits. Donors with a high net-worth often provide resources that enable organizations to expand programs and scale impact in the communities they serve. This is a group of donors that nonprofits cannot afford to ignore.
According to a 2023 study by Bank of America and the Lilly Family School of Philanthropy, 85.1 percent of affluent households give to charity, and “on average, affluent donor households gave $34,917 to charity in 2022”. Additionally, ultra-high net worth donors—donors with a net worth of $30 million or more, “gave a total of $190 billion to philanthropic causes in 2022—an almost 25 percent increase from 2018—accounting for about 38 percent of all philanthropic giving.
At the same time, reliance on wealthy donors raises critical questions about trust, accountability, and alignment with community needs. There have been instances of wealthy donors becoming a liability to nonprofits. For example, the Sackler family made gifts to many well-known art museums, such as the Guggenheim, “but the Sacklers, and their company Purdue Pharma, makers of the addictive painkiller OxyContin, are now becoming much better known for a different reason — their aggressive marketing of the drug despite its known dangers, and their complicity in fueling the nation’s deadly opioid epidemic”. Similarly, the “controversy over financier and convicted sex…
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If there’s one phrase nonprofit leaders are tired of hearing, it’s “doing more with less.” Between shrinking government and donor dollars, rising costs, and unpredictable event revenue, financial stability has become a moving target. Yet the most successful nonprofits aren’t just surviving; they are finding innovative ways to diversify their funds to build long-term resilience.
Diversifying revenue streams isn’t just smart, it’s essential. Research consistently shows that nonprofits with a mix of funding sources experience less financial volatility and greater long-term sustainability. In fact, it has been found that organizations that diversify their income see more consistent revenue over time.
What does diversification look like in practice? It goes far beyond writing more grant proposals or hosting extra fundraisers. Financially resilient nonprofits tap into multiple streams: membership programs, corporate partnerships, investments, educational offerings, and fee-based services. The goal isn’t just to make more money; it’s to align each funding source with the organization’s mission and values.
For example, the International Facility Management Association (IFMA) now earns about 75% of its income from professional development, certifications, and investments, far more than from membership dues. This shift, according to IFMA CEO Mike Geary, reflects a growing recognition that education and global engagement…
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Program evaluation plays a key role in helping nonprofits understand how their programs are working, with a traditional focus on reporting outcomes for funding requirements. Evaluations do not only have to be about measuring outcomes for compliance, but they can also help make value judgments about the merit and significance of programs.
For example, evaluations can often provide the data and feedback necessary to:
- Understand what is working and what is not.
- Make evidence-based decisions.
- Promote a culture of accountability and innovation.
- Empower staff and stakeholders to contribute to change.
By shifting from traditional program evaluation focused on compliance to learning-oriented practices, leaders can ensure that programs are truly responsive to the needs of the communities they serve. Specifically, nonprofits can use their program evaluations to become learning organizations by embedding continuous learning and improvement into their culture and operations.
This topic is critically important for nonprofit leaders and managers because it directly influences how organizations learn, adapt, and improve their impact. For a nonprofit leader or manager, being aware of the power of program evaluation is essential for the following reasons:
- Evaluations help ensure that programs are not just…
Artificial intelligence is rapidly transforming how nonprofit organizations operate—from automating donor outreach to improving service delivery and analyzing program outcomes. But alongside these opportunities comes a new and evolving set of security and privacy risks that many nonprofits are not fully prepared to manage.
Why AI risk is different for nonprofits
Nonprofits occupy a unique position in the risk landscape. They routinely manage donor financial information, personally identifiable information (PII), health and social service data, and confidential program and grant records.
At the same time, many organizations lack dedicated cybersecurity teams or formal AI governance policies. This creates a gap between technology adoption and risk management, increasing exposure to both cyber threats and compliance issues.
70 to 76% of nonprofits lack a formal AI policy.
Why this matters: trust is everything
For nonprofits, a security or privacy failure is not just a technical issue—it’s a trust issue. A single incident involving donor or beneficiary data can undermine fundraising efforts, damage community relationships, weaken an organization’s reputation, and trigger legal and regulatory consequences. In a mission-driven sector, trust is one of the most valuable—and fragile—assets.
Top security risks
1. Data leakage through AI tools
AI platforms require users to input data to…
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Volunteer management is strategic investment in a nonprofit organization. Leaders must value the time and efforts volunteers contribute to an organization. As two nonprofit local leaders affirmed that without the help of volunteers, all the work towards the mission would not get done. Volunteers are a vital part in the nonprofit sector and directly impact the organization’s long-term sustainability.
Successful leadership approaches
Servant and transformational leadership approaches have proven to be effective in the nonprofit sector by increasing volunteer retention. Servant leaders exhibit the characteristics of putting volunteers’ needs before their own, building relationships, and appreciating volunteers for their effort. Transformational leaders encourage and empower people to take ownership in their given roles. These approaches create positive volunteer experiences and a space where volunteers desire to grow and remain at an organization.
Technology impact
The use of technology enhances nonprofit organizations by providing them a digital presence to communicate, share impact, and acknowledge the positive work happening for the community. Many nonprofit organizations use technology for record keeping and reaching a larger population to build more connections. Technology should not replace personal interactions, but used as a tool for nonprofit leaders to connect and enhance…
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