Not-for-profits need to ensure that their operations are stable, so that they can focus their energies on their core mission. They also need to be able to demonstrate to donors that their money is going to the cause for which it was intended.

The business of charitable giving in New Zealand was recently described as too “opaque” by Dr Michael Gousmett, a charity taxation expert, talking to The Herald recently. Tax exemption should come with an obligation to account for it in a meaningful way, he told the paper, suggesting that we follow the example of Britain and require charities to report in plain language just what benefits they’re providing and where the money is going.

Technology can help to do this and a good ERP system can deliver the accountability, efficiency and stability required.
“If they’re drawing funding from government agencies, or getting tax breaks, transparent accountability is vital,” says Peter Dickinson, CEO of business solutions provider Greentree.

The Oxfam Shop Australia, for instance, created a new supermarket channel for its Fair Trade products with the help of its business system’s EDI and supply chain functionality.

“A successful business model is crucial,” says Oxfam’s Chief Information Officer, David Horner. “We’ve managed to get Fair Trade Products into the big supermarket chains, Coles and Woolworths. This has given us a great opportunity to increase the awareness of our brand and increase its distribution throughout the country.”

Another example is WSX, which supports start-up businesses in southern England, and is a valuable resource to the local economy. Because it draws EU funding, it needed real-time data to ensure strict compliance – “Financial control is tight, and so real-time data is essential,” explains its financial controller Samantha Leeds.

Finally, Queensland-based FSGA specialises in support services for the disabled and disadvantaged, and major changes to service funding drove it to seek a modern, flexible business system.

“It’s critical to our future success that we upgrade our infrastructure and processes throughout the organisation,” says FSGA’s chief financial officer, Paul Teefy.