Insights: Not-for-profit survey

Not-for-profit survey A sector primed for change

2022

Contents Executive summary

1

Strategic planning in a changing landscape

2

People and culture

4

Income sustainability

6

Priorities for managing capital reserves

8

ESG considerations

10

Governance priorities

12

Technology

14

About the survey Pitcher Partners is committed to supporting the Not-for-profit (NFP) sector to adapt, grow and achieve their strategic initiatives. As part of this commitment, we conducted a survey of the sector in February 2022.

The aim of the survey was to develop an understanding of how NFPs are responding to the constantly changing landscape and provide the opportunity to benchmark themselves across a range of strategic, governance and operational elements.

With the pandemic impacting the past two years we felt it was important to look beyond COVID-19 and to a longer-term future whilst acknowledging its likely impact on the landscape and the strategic planning and processes of many organisations.

We wish to thank all respondents for participating in and contributing to the survey. We trust you find our report and analysis to be a valuable contribution to the NFP sector as it evolves.

Pitcher Partners is an independent member of Baker Tilly International. Baker Tilly International Limited is an English company.

Baker Tilly International provides no professional services to clients. Each member firm is a separate and independent legal entity, and each describes itself as such. Pitcher Partners is not Baker Tilly International’s agent and does not have the authority to bind Baker Tilly International or act on Baker Tilly’s behalf. None of Baker Tilly International, Pitcher Partners, nor any of the other member firms of Baker Tilly International have any liability for each other’s acts or omissions. The name Baker Tilly and its associated logo is used under license from Baker Tilly International Limited.

Executive summary An NFP sector primed for change is a dynamic sector.

As service delivery and sustainability take a digital turn, and funding sources diversify beyond government dependence, there presents many opportunities and challenges for the NFP sector.

NFPs have not been immune to the national talent shortage. For NFPs to evolve and thrive in a rapidly changing environment, they will need to review their digital capability, governance frameworks and financial sustainability, together with continued consideration as to how they attract and retain the right talent.

Australian NFPs have the chance to reshape their sector during 2022 and beyond by addressing some of the immediate challenges highlighted by the survey respondents:

Strategic planning

People and culture

Funding sustainability

There is an increased need for strategic and financial plans together with risk management frameworks to be implemented.

Sector participants will need to better understand what employees want so they can attract and retain talent.

The desire to diminish reliance on government funding, as organisations build alternate revenue streams for sustainability.

An expansion in services and the desire to broaden revenue streams has been a primary focus in addressing strategic funding challenges and will set NFPs in good stead for realising future aspirations.

Investments

Technology

Organisations are revisiting the way their capital reserves are invested given a more subdued investment outlook and broader stakeholder awareness.

An increasing need for technology adoption and improvements to simplify processes.

The pursuit of opportunities must also be balanced against the potential for lower returns from capital reserves. The expectation of lower investment returns is placing some pressure on organisations to take on higher levels of investment risk, in order to meet funding requirements.

Following Covid, much has been said about people reconsidering their work life priorities and looking to associate with for purpose organisations. However, the reality is NFP’s are struggling to attract and retain people given the budgetary challenges for salaries and benefits to remain relevant.

As Board members are becoming more skilled and specialised, NFPs will need to consider recruitment methods that draw on a broader pool of talent.

NFPs understand what is needed with governance frameworks and forward planning key priorities.

They are focused on developing more diversified income streams and have an increased appetite for technology, such as websites and CRMs, which support fundraising and donor engagement. However, there is a risk in prioritising growth focused initiatives over risk management and controls (such as investing in cybersecurity), particularly when talent shortages may impact service delivery.

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Strategic planning in a changing landscape Talent and the sustainability of revenue dominate as the challenges for NFPs to achieve their strategic endeavours in the coming three to five years.

Top 3 strategic challenge for NFPs in next three to five years

27%

Attracting and retaining the right talent (staff and volunteers)

22%

Non-government funding sustainability

16%

Sustainability of government funding

Only 53% of survey respondents said they had no barriers to implementing a formal strategic plan, however, all responding NFPs recognise that their organisation must evolve in the coming three to five years to address the current challenges and to survive. The dominant solution to the challenges cited is to grow services and funding sources. For many of the organisations with this expectation and aspiration, the questions must be asked, without a strategic plan how is it known that this is the right solution, how will it be achieved, and lastly, does growth necessarily improve impact?

Strategic planning

Key challenges

COVID-19 has impacted attitudes to strategic planning.

85% of survey respondents confirmed that it has led to a refinement of future planning processes.

Most commonly, organisations are now intending for plans to be reviewed more frequently and with an increased focus on short term objectives. Almost 20% of respondents state that there will be increased long term planning, suggesting that these organisations had previously been short term focussed and not in a position to look forward beyond the numbers in the current year budget.

Examining the post COVID-19 landscape, NFPs identified that the key challenges to meet their ambitions are attraction and retention of people, and the sustainability of revenue.

Uncertainty of revenue, government and nongovernment sourced, continues to be a challenge.

It was also a leading cause for uncertainty in our last NFP survey completed in 2019. Increasingly, contestability for consumers, government contracts and grants, together with greater participation from for-profit organisations and lower expected investment yields, results in the ongoing inability to reliably plan for revenue. In response, NFPs must continue to build their brand, engage consumers, measure their performance, be ready to respond to revenue disruption, and have cost control measures in place that are being monitored and reported on an ongoing manner.

Strategic planning is not easy for all organisations, with the internal challenges of resource constraints (people, skills and financial) prohibiting nearly a third from implementing a plan. Interestingly, 25% of NFP respondents are of the view that the everchanging environment is a barrier to long term planning. This need not be the case. This ‘new reality’ can render a static plan redundant, however, working toward a vision that is broken down into incremental steps or goals, that builds on the previous achievements, can resolve this challenge. Building a strategic plan in components allows for assessment and provides flexibility to pivot if the environment changes, whilst remaining accountable to longer term priorities.

It was hardly surprising in 2022, to see the attraction and retention of talent being a threat to NFPs achieving their long terms goals. The same would be said by many for-profit organisations. Interestingly, the talent constraint was more pronounced by our survey respondents in Queensland and WA, being two states which experienced less time in ‘lock downs’.

Furthermore, the competition for talent against high paying mining and infrastructure employment opportunities also contributes to this challenge.

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If this aspiration is achieved, the NFP sector will continue to be competitive, with the likely outcome that large organisations will get larger, and some organisations might fail.

Strategic responses to challenges Finally, what do organisations plan to do in response to these challenges? The response is dominated by NFPs seeking growth through expanded service delivery and/or the adoption of technologies. One in three responding NFPs incorporate at least one growth focused solution, whether by merger (although this is significantly less popular than in prior surveys), seeking additional/diversification of revenue streams or simply obtaining a greater share of the market. None of these solutions are easily achieved, and if obtained may:

For two in three NFPs, technology is a potential solution to resolving the identified strategic challenges.

This may be a logical solution to some people challenges, and particularly in the delivery of operating efficiencies. However it does not recognise that most service delivery is ultimately undertaken by people performing tasks that automation is not yet equipped to do, or consumers are not yet prepared to accept (not to mention the capital cost of adoption). It will be interesting to observe where the technology gains are realised in organisations, beyond back-office efficiency and use of data to support decision making.

• Come at the expense of another market participant, • Require additional people resources, and/or • Need an accelerated digital transformation to deliver services.

What this means for you: NFPs should consider a health check for the organisation’s approach to strategy to ensure: A strategic plan is agreed and clearly articulated.

The strategic plan is translated to a realistic action list.

There are clearly identified owners for actions under the strategic plan.

The owners of actions are capable of delivering, without damaging other aspects of the organisation.

Organisations are tracking progress of the strategic plan.

It remains flexible enough to respond to market changes and opportunities outside of the annual cycle.

Looking for more?

Hear from Mark Harrison on whether your NFP’s strategic plan should focus on growth.

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People and culture While 75% of NFPs identified talent attraction and retention as a key challenge in the next three to five years, nearly half said they do not monitor organisational culture, a key consideration that impacts retention and staff engagement.

Large and medium sized NFPs indicated remuneration as their top Human Resources (HR) challenge with non-wage-based incentives as the second biggest challenge.

Smaller-sized NFPs expressed attracting and retaining volunteers as their top HR challenge.

Talent attraction and retention is a challenge currently being experienced across Australia in all sectors. With record low unemployment figures (and further falls expected), combined with high job vacancy rates, experts are warning of major workforce shortages.

Like many businesses, NFPs also let go of both staff and volunteers during the early stages of the pandemic.

This was then compounded in more recent times when government requirements, such as being vaccinated when working with the vulnerable resulted in some staff being unable to continue in their roles.

The sector faces high staff turnover and given the challenges faced by organisations during COVID-19, many workers have been tempted to leave their current jobs due to staff shortages and exhaustion.

Interestingly, staff in the NFP sector are much more likely to be employed part-time or casually than in fulltime arrangements.

As people return to workplaces following the pandemic, many are reconsidering how, where and why they work. This questioning of personal purpose has been particularly evident internationally, and if replicated domestically, the NFP sector may see talented people looking for new positions and wanting to work for purpose-driven organisations. This will provide an opportunity for NFPs to attract new employees, and could assist in retaining their existing employees, if they can embrace flexibility, provide meaningful incentives and salaries that are competitive. Many will observe with interest how the NFP sector responds, as wages and salaries have been an ongoing challenge for some time.

However, this problem is not new.

Observations from our previous NFP survey in 2019 showed a consistent response 2019

65%

2022

70%

It will be important for NFPs to continue to build a strong culture that supports the mission, vision and values as this will also influence growth and motivation in the future. Given the priority NFPs place on staff retention, it was surprising to see only just over half the organisations monitor organisational culture. Of the approaches utilised, two formal mechanisms were most commonly used, staff surveys (28%) and performance reviews (25%).

Informal mechanisms of observation and conversation were also used (28%), however this may not always yield measurable and actionable insights. This is where more employee engagement and the creation of feedback loops can be an important tool to help enhance staff retention. It is important for NFPs to understand what current employees value to ensure remuneration and incentives are designed around this feedback and to ensure retention of the current workforce.

of NFPs responded that their biggest HR challenge was remuneration

‘Attraction and retention of staff’ has remained the second biggest challenge for all NFPs, behind funding sustainability (which was again the number one issue).

Looking for more?

Hear from Cheryl Mason on why your NFP needs a clear employee proposition.

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Top statistics from the survey highlighted:

58%

of NFPs monitor organisational culture Monitoring mechanisms used: Formal

Informal

28%

Staff survey

25%

75%

of NFPs said attracting and retaining staff was in their top four challenges

28%

The top people challenge is remuneration (i.e., wage pressure for attracting and retaining staff)

Observation and conversation

Feedback through performance reviews

What it means for you: The approach for 2022 will focus on ensuring COVID-19 safe workplaces, work flexibility that allows a mix of home and workplace arrangements, and the re-engagement of volunteers.

When considering HR challenges, NFPs should: Understand what current employees value (via surveys or other means) to ensure remuneration and incentives are designed around this feedback and to ensure retention of the current workforce.

Develop a clear and concise Employee Value Proposition Statement (with elements comprising compensation, work-life balance, values, etc.).

Consider the type of employment arrangement, as there is currently a market trend towards more secure employment. However, to attract employees to your organisation it will need to be flexible and aligned to mutual requirements.

Hire for the job at hand and knowing the competencies required. This will result in decision making around insourcing/outsourcing functions, core/non-core roles and modifying the arrangements to suit.

Ensure prompt decision making and communication of the outcome of recruitment processes, otherwise, potential employees will no longer be available.

Balance the needs of multi-generations working alongside each other, recognising that each has different expectations of their employer, communication styles etc. There will be the need to balance new ideas with the status quo.

Embrace a hybrid model of working remotely and in the office – this will require innovative practices to on-board, performance manage, collaborate and communicate. Options will also need to be determined regarding career advancement and flexibility to modify their career paths.

No.1 people and culture challenges Attraction/retention of volunteers

Remuneration

43%

11%

21%

Non wage based incentives

5

Training

5%

7%

Workplace flexibility

13% Other

Contents

Income sustainability Although donated support from the private and public sector continues to dominate the income sources for NFPs in absolute terms, the expectation is that alternative forms of income will grow in importance.

Becoming financially self-sustainable is the ultimate goal for an NFP. Although this remains elusive for many, the survey points to a gradual improvement in this area.

Encouragingly, this reduction in government reliance and stagnation in fundraising is in part due to the implementation of self-funding mechanisms. There was a 13% increase in the number of NFPs expecting investment income to be one of their top three sources of income by 2025 and a 7% increase in the number of organisations expecting commercial activities to be one of the top three sources of income by 2025.

When asked about NFPs expectations regarding changes in their funding sources between today and 2025 the responses highlight an 8% reduction in the number of NFPs expecting government funding to be their primary income source. This said, government funding will continue to dominate as an important funding source for some time, with little reduction in the number of organisations rating government funding as one of their top three current funding sources.

Although these alternative funding sources are coming off a low base, it shows increased confidence in the ability to develop long term financial sustainability.

The number of NFPs expecting to rely on donations and fundraising as one of their top three income sources remains relatively unchanged between 2022 and 2025.

As we emerge out of the pandemic, this result was somewhat surprising, as many would have expected fundraising to see a substantial jump, as event capacity and social interaction increase following the restrictions of COVID-19. Some articles providing sector commentary suggest a ‘gradual shift by NFPs to focus on winning more major donors and reducing the effort to chase smaller donors.’

NFPs expected change in funding sources between 2022-2025 2022

2025

8%

Reduction in NFPs expecting government to be their primary income source by 2025

13%

The overall importance of donations and fundraising are expected to remain consistent up to 2025

Increase in the number of NFPs expecting investment income to be in their top three funding sources in 2025

6

7%

Increase in NFPs expecting commercial activities will be one of their top three income sources by 2025

What this means for you: When considering income sustainability: Work with professional advisers to test and model business strategy in developing alternative income streams.

If establishing an Investment Reserve, ensure that governance frameworks and resources are put into place to effectively oversee its operation.

Ensure sufficient resources are allocated to branding and promotion to assist in attracting public and private funding.

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Priorities for managing capital reserves A focus on managing liquidity, downside risks and responding to expected lower long-term returns for invested capital suggests a re-basing of priorities following the COVID-19 pandemic. Organisations have become more sensitive to ensuring liquidity is available and downside risks are managed, whilst paradoxically the expectation of sustained low interest rates has seen many contemplating investing in more risky assets to target higher returns, accepting the commensurate volatility.

For some NFPs, the initial impacts of COVID-19 saw a simultaneous freezing of traditional income sources, the prospect of increased demand for services, and capital reserves/investments (held ready to meet such needs) in freefall, creating an almost perfect storm.

Participants of the survey rated responding to the expected low return environment as their top priority.

This is understandable as investment consultants around the world have pointed to the prospect of rising interest rates and lower growth creating return headwinds for a range of investment markets. As such, Investment Committees have needed to either accept the prospect of lower returns or become more accepting of investment risk.

From our observations, this has caused many to reconsider their existing Investment Policy, to consider how they can be better positioned to respond to future shocks. Whilst this theoretically would drive an increased liquidity buffer in portfolios, those charged with investment oversight have also faced the unenviable task of balancing this objective, with the prospect of needing to take on more investment risk to potentially maintain historical returns.

Somewhat surprisingly, NFPs placed the need to upskill Boards or Investment Committees to efficiently oversee financial reserves as a lower priority, indicating those surveyed felt they had the right skill matrix in governance roles relating to overseeing capital reserves.

Another interesting observation was that despite the very high-profile escalation of ESG awareness, respondents indicated ESG considerations were important, but less so than delivering on financial expectations. Elsewhere in the survey, responses pointed to the belief that there was often a trade-off between applying ESG factors and returns.

Top priorities for managing capital reserves Responding to low return environment 76% Managing liquidity given uncertainty

69%

Positioning reserves to minimise impact of market declines

47%

Incorporating ESG considerations

41%

8

What this means for you: When overseeing management of capital reserves, NFP organisations should: Ensure forward budgets are communicated with those who oversee the investment capital reserves, to ensure sufficient liquidity to meet any operational needs.

Make sure potential short, medium and long term calls on the reserves are accounted for in the investment approach. That is, future liability matching should be undertaken so budgeted needs are reflected in the investment approach undertaken. This will provide assurance to lenders and other parties regarding financial stability.

Reset expectations regarding future returns, given the expected lower return environment. For those seeking to maintain returns, care is needed to ensure the level of risk undertaken reflects the capacity of the organisation to withstand short to medium term losses. Scepticism is warranted where investments are promoted offering returns that seem unrealistic, given prevailing market conditions.

Ensure the risk profile reflects the organisation’s appetite and financial needs and is not a reflection of the personal preferences of the Investment Committee or Board.

This is important to invoke stakeholder trust and confidence.

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ESG considerations Environmental, Social and Governance (ESG) considerations have become a hot topic in recent years – particularly in the NFP sector. Encouragingly, the survey overwhelmingly points to the driver of this ESG focus being for organisations to ensure their investment approach aligns with its mission.

However, respondents also said personal beliefs of those on the Board or relevant Committees were influencing the ESG approach, potentially pointing to some weaknesses in governance in this area.

Incorporating ESG considerations into investments is important to respondents, but ranks below managing risk and generating returns. This suggests organisations are aware of responsible investing, however some do not have the appetite to prioritise it, as they believe there is a trade-off with financial outcomes.

Another popular response for factors driving ESG considerations in NFPs included ‘to meet donor and community expectations.’ It is likely that donors may become increasingly sensitive to how their contributions are being managed. Therefore, NFPs may benefit from the increasing focus on ESG through additional donations and sponsorships, particularly from corporate and larger sophisticated donors. The challenge for NFPs will be to utilise transparency and promote their ESG approach to all stakeholders.

As NFPs operate at the coal face of societal needs and occupy an altruistic position in the community, it might be assumed that a wide range of ESG considerations are embedded in the management of NFP capital.

However, the question remains, should a NFP have this expectation placed on them, or should the ESG approach be one that naturally aligns with their organisation’s mission and purpose?

More broadly, Boards or Committees which focus on ESG investment considerations to ‘fulfil governance expectations’ and ‘to reduce potential reputational risk’ indicate a sound governance approach and awareness of the importance of managing this, at times, emotive area.

For example, it would be expected that a NFP providing support for gambling addiction would avoid gaming investments. However, should it also be obliged to avoid investments in fossil fuels? There is a danger that the inclusion of such a restriction would more likely be reflective of the Board or Committees’ personal beliefs and preference. This seems to be supported with the survey showing 11% of respondents felt personal beliefs play a role when formulating ESG policy for an organisation.

Top ranking considerations driving ESG strategies for investing in the NFP sector:

14% other

44%

11%

The personal beliefs of those on the Board or relevant Committees

Ensuring the investment approach aligns with the organisation’s mission

11%

Reduce potential for reputational risk

20%

To meet donor and community expectations

10

What this means for you: When considering ESG strategies and practices for investments, NFPs should: Have a sound Investment Policy Statement (IPS) – ensure that your ESG approach is workshopped and clearly documented in the organisation’s IPS. Invest in education – the ESG landscape is evolving, therefore keeping those in relevant roles and the associated policy up to date, requires ongoing education and regular policy review.

Make time for self-reflection – the individuals on Boards and subcommittees should regularly reflect on their approach, ensuring their personal beliefs do not cloud their views when acting for the NFP. Implement proactive PR/communications management – ESG is an emotive topic, so effective communication to stakeholders is critical.

Looking for more?

Hear from Christian Golding on why your ESG investment strategy must align with your mission.

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Governance priorities Clarity of purpose and group strategy were the top identified governance priorities of responding NFPs, emphasising the increasingly professional and formal approach adopted by the sector. Furthermore, the growing sophistication and diversity of Boards, together with an increasingly risky operating environment has encouraged Boards to demand additional frameworks to oversee and manage risk exposures, aimed at: 1 Improving organisational sustainability, and 2 Mitigating potential director liability.

Although such risk frameworks are important, the challenge for many organisations has been having sufficient resources (people, skills and financial) to implement these risk frameworks, without impacting the capacity to deliver on group strategy and 'business as usual' operations.

NFP governance has evolved as the professional community have increasingly decided to ‘give back’ seeing them take active roles within the sector. This has led to an increase in professional and formalised governance models, which have benefited NFPs with more defined and measurable strategies that deliver on the vision and purpose. Although overall clarity in strategy and purpose was the highest ranked priority, there were significant differences in responses based on organisation size, with it rating as the highest priority for smaller organisations. This likely reflects medium and larger organisations already having this organisational structure in place, whereas smaller organisations with fewer resources and a higher percentage of volunteers are still working through this process.

Good governance frameworks require having the right structures in place including:

With NFPs experiencing an increasingly complex and higher risk operating environment, understandably Board member’s sensitivity to potential personal exposure is increasing. In response to this environment Boards are increasingly prioritising the identification and management of risk. However, this awareness of the need for Risk Management Frameworks has not translated into universal action, with approximately 20% of respondents not having anything formal in place.

Governance needs to support and guide operations whilst maintaining focus to deliver on the NFPs mission. Therefore, Boards need to plan for adequate resourcing, to allow the strategic direction to be achieved, whilst balancing this against the need for a structured risk management framework (to ensure key strategic risks are identified, prioritised, and managed).

• Appropriate involvement of the board and/or relevant board committees, • Tested systems for identifying business and financial risks, and • Policies and procedures for guiding operational compliance, monitoring and decision-making purposes.

Although creating the frameworks is the first step, the responsibility for delivering and implementing these often falls to management, which can create resourcing challenges.

20%

of respondents do not have formal Risk Management Frameworks

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Most common governance priorities Clarity of Purpose and group strategy Clear Risk Management Framework Sufficiently resourced management roles Open communication between board, management and broader organisation Organisational compliance with policies and confidence incidents are resolved appropriately Board structure and composition

64% 48% 47% 43% 40% 35%

What this means for you When implementing a sound governance framework NFPs should consider these simple steps: Ensure purpose and strategy flow through the organisation to guarantee engagement of staff, volunteers and other key stakeholders. Surveys can be an effective means of assessing internal engagement and seeking honest appraisal.

Develop a Risk Management Framework which details potential threats and opportunities, and assesses the risks, as this will assist in prioritising strategies and allocating resources.

A Risk Framework should be formally overseen by an internal Committee and should be regularly challenged by the Board and/or Board Committees.

Have an independent party (either internal or external) complete checks to provide oversight and assurance to Management and the Board to strengthen governance.

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Technology While technology investment in Client Relationship Management Systems (CRMs) and websites are the top two focus areas for NFPs for the next three years, the question remains whether prioritising revenue over managing risk is a smart strategy.

For surveyed NFPs, CRMs and investment in websites were the top two areas of focus for technology spending in the next three years. This is unsurprising considering these two technology platforms are key tools to driving revenue for many NFPs.

It appears that a collegial approach to solving these issues isn’t a high priority with only 17% of respondents stating they would collaborate with similar organisations to assist in finding the right solutions.

It seems that there is an opportunity for NFPs to learn from their peers when implementing technology, and collaboration could open the doors for further mutual benefits from an education and knowledge sharing (e.g. lessons learned) perspective.

By investing in CRMs and websites, NFPs hope to improve digital functionality and efficiency as well as improve processes, communication and fundraising abilities.

Remarkably, less than 40% of respondents indicated that cybersecurity frameworks form part of their technology investment roadmap for the next three years.

With 2022 being the third iteration of Pitcher Partners NFP sector survey, it is interesting that CRMs remain a high priority. 40% of 2019 respondents had introduced or planned to introduce, a CRM that year, however 60% of current respondents still plan to invest in a system.

This consistency acknowledges the important role the system can play in attracting and retaining the right donors, generating revenue and managing engagement with important stakeholders.

This may be because the investment in cyber technology is not going to drive more donations or revenue, so it is not high on the priority list.

NFPs store a significant amount of personal data, so the risk is great. However, there is a tendency not to focus on cybersecurity until there is an issue, and associated complacency can lead to irreparable damage via a data breach. Unfortunately, it becomes a focus when an organisation loses money, or their reputation is damaged as a result of an incident.

Additionally, the reasons why CRMs remain the number one technology focus could indicate:

1

the lack of time, knowledge and resources to implement or update the system,

2

confusion over scope clarity and managing the integration with existing systems, and/or

3

plans to invest in CRMs or upgrade were shelved during the pandemic.

Historically organisations may have substituted cyber insurance with cybersecurity however as the risks rise, they may be forced to reprioritise their technology spend in prevention as insurers are less likely to offer coverage without it going forward.

The focus on CRMs and websites points to the NFP sector prioritising its fundraising and donor engagement over risk management and controls, at least from a technology perspective. This is a legacy of limited resources but with close to 1 billion* cyber threat attacks occur each day, it is potentially a significant risk.

Taking into consideration all of the above, CRMs may have been identified as difficult to implement or upgrade and historically have been considered too challenging for organisations to implement at the time.

Risk CRMs

+

Websites

Looking for more?

Hear from Melissa Alexander on why NFP boards should be talking about cybersecurity.

*source www.imperva.com based on daily threat count between 24-25 June 2022

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=

Cybersecurity risk

3 year technology investment 2022

2025

>60%

of respondents indicated that they would look to invest in CRMs

52%

of respondents indicated website investment was a priority

<40%

of respondents have included cybersecurity as part of their future technology investment

What this means for you When considering technology investment NFPs should: Consider a greater/more regular focus on cybersecurity frameworks – not just technology solutions but regular training to avoid human error.

Ensure that they have a well-documented cybersecurity plan in place to ensure adequate cyber insurance protection.

Look for the opportunities to learn from other NFPs when implementing/upgrading technology solutions.

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Making business personal Ben Brazier

Pitcher Partners has the resources and depth of expertise of a major firm, but with a smaller firm feel. We give our clients the highest level of personal service and attention. That’s the difference.

Managing Principal, Adelaide p. +61 8 8179 2800 e. ben.brazier@pitcher-sa.com.au

Robyn Cooper Partner, Brisbane p. +61 7 3222 8431 e. rcooper@pitcherpartners.com.au

Mark Harrison Partner, Melbourne p. +61 3 8610 5136 e. mark.harrison@pitcher.com.au

Michael Minter Managing Partner, Newcastle and Hunter p. +61 2 4923 4000 e. michael.minter@pitchernewcastle.com.au

Christian Golding Executive Director, Perth p. +61 8 9322 2022 e. goldingc@pitcher-wa.com.au

Pitcher Partners is an association of independent accounting and business advisory firms located in Adelaide, Brisbane, Melbourne, Newcastle, Perth and Sydney. We have a strong reputation for providing personal service and quality commercial advice to our clients across a broad range of industries.

We specialise in providing services to family controlled, privately owned and small public businesses as well as high net worth individuals, the public sector and not-forprofit organisations. Our clients require high technical standards, matched with a personal understanding and involvement in their affairs.

Pitcher Partners is also an independent member of Baker Tilly International, one of the world’s leading networks of independently owned and managed accountancy and business advisory firms. Our strong relationship with other Baker Tilly International member firms has allowed us to open many doors across borders for our clients.

Melissa Alexander Partner, Sydney p. +61 2 8236 7754 e. melissa.alexander@pitcher.com.au

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Pitcher Partners is an association of independent firms. Liability limited by a scheme approved under Professional Standards Legislation. Pitcher Partners is a member of the global network of Baker Tilly International Limited, the members of which are separate and independent legal entities.

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