Charities future-proofing with cloud technology
The pandemic forced charities to adjust rapidly to various new digital tools, accelerating the much needed progress in digital and technological transformation within charities. But the technical revolution within the charity sector is far from over. In fact, it’s only just beginning. This is why charities should continue investing in cloud technology to future-proof their processes.
Over the last decade, charities have been asking themselves how far to invest in technology to manage their processes. Such investments were once only the domain of larger charities with the resources to build bespoke platforms to meet their unique needs, but those days are long gone. There are now numerous customisable software packages available to charities of all sizes.
One such option is cloud technology, often the foundation of any charity’s future-proofing strategy. The technology is no longer limited to those charities who can afford big up-front costs, with numerous examples of pay as you go IT software now available.
But what exactly is cloud technology? The technology enables you to access the computing services you need to do your job such as databases, networking, software, analytics and/or servers remotely. It’s referred to as “cloud technology” because it can be accessed 24/7 from any location, with internet access, without the need for on-site hardware.
Immediate solutions
It was only when the pandemic hit and the world was thrown into a new way of working that many more charities began exploring cloud technology as the solution to their immediate problems. Organisations who had already invested in this technology to support their working processes – be it administration, communication, fundraising or grant management processes – were a step ahead of the game.
Although cloud-based technology has been around for several years, the lockdown provided its moment to truly shine. As organisations scrambled to facilitate home working, they looked to new ways to connect, share and collaborate with their colleagues. With only a stable internet connection required, the trajectory in uptake for cloud technology has meant that charities can continue their work from anywhere, ensuring they could continue to operate as required.
For example, it has been possible for charities, newly using cloud-based software, to leverage their previous investment in technology so as to increase their grant values by 34% during lockdown. This utilising the potential to reduce costs via off-site hosting of data and information.
Yet the real test may be yet to come. As “the new normal” of remote and flexible work embeds itself within the charity sector, charities will undoubtedly find they need to adapt further to remain effective in an ever-changing landscape.
Of the charities who have been using cloud technology, these have enjoyed increased efficiency, reduced administration and streamlined communication through integrating technology into their processes. But what other benefits can cloud technology have for charities?
Remote working
Remote and flexible working has now become the norm across a great proportion of charities to varying degrees. A recent survey of charity sector employees showed that 73% have changed their policy on remote working since the pandemic, hence this new working style has now become embedded into the expectations of those within the sector.
In fact, 43% of charity employees stated that they wouldn’t consider moving to a new job if it required being on-site. To attract top-tier talent and keep their teams happy in their work, charities should be looking to create an attractive and competitive flexible working offer.
A key starting point for charities looking to bed in remote working is reflecting on all their internal processes. This is not just about physical equipment. With so many organisations offering improved flexibility, the real challenge is now giving teams the tools they need to succeed in the new working landscape and prepare for future developments.
Existing frustrations
While systems such as VPNs and remote desktops may have served many organisations well in the short term, they are not without their frustrations - often leaving teams pulling their hair out at the difficulty of using this unreliable technology. Fortunately, cloud technology transforms how teams can work remotely, with only a stable internet connection needed to manage their working processes.
Investing in cloud technology is a clear statement to current and future employees that remote working is here to stay to at least some extent in your charity, and that you care about ensuring your teams have everything they need to do their job well, wherever they are based.
In a recent survey, over a third of professionals said they'd increased their use of their mobile devices for work purposes since the start of the pandemic, with 75% checking work emails on their phones more than any other activity.
Smartphones have revolutionised how we work, and the lockdown and our transition into the new normal have solidified their status as a “must-have” for increased productivity when working remotely.
But smartphones can be used for much more than checking emails and sharing files. For charities, having the ability to take care of working processes on the go could be transformational.
Dispersed workforce
Most charities have stakeholders in various locations, so the concept of a dispersed workforce is not new to the charity sector. From trustees who may have other working commitments, to staff with childcare needs, being able to approve, manage, and collaborate on the go can make huge improvements to your efficiency.
By implementing cloud technology, you can provide teams with increased freedom to work on the go, which could be a game changer for talented individuals.
Security first
Charities deal with incredibly sensitive data at every stage of their working processes. It is therefore no surprise that during the pandemic data security was a top concern for the sector across the board. It’s likely to have been the first thing that came into your mind when considering the benefits and drawbacks of remote accessibility to sensitive data or information.
According to data obtained through a Freedom of Information Act request to the UK’s Information Commissioner’s Office (ICO), 88% of data breaches are the result of human error.
When the world switched to remote working without the safety of on-site data security protocols, many organisations found themselves in hot water over their handling of confidential information. In fact, during the first year of lockdown, there was a 40% rise in fines issued to charities from the ICO for breaches of GDPR.
With flexible working now both a necessity and expectation within the sector, moving your administration to a cloud-based system can protect against data breaches – holding all associated information and data within secure servers. This ensures your data is shared through a secure cloud-based system, mitigating the risk of human error.
Additional oversight
Cloud technology enables additional oversight into your network, allowing users to be identified as internal staff members, or those who are external to the network where additional security features should be used.
So when IT support services company AAG’s cyber crime statistics reveal that the UK had the highest number of cyber crime victims per million internet users, the threat posed to the charity sector should not be underestimated. Cloud helps to avoid data breaches and reduces the threat of breaches of GDPR in turn.
Giving your teams the skills they need to keep data safe and secure should therefore always be your number one priority for data security.
Increased risk of fraud
Not only are data breaches a serious threat to charities, but so too is the threat of fraud. The Fundraising Regulator has revealed that charity fraud surged by 44% in 2022 compared to the previous year, with over £2.3 million stolen.
In fact, one of the key issues for grant-making charities in particular is the risk of fraud when paying out grants to applicants. This threat will no doubt continue into 2023 and so every charity needs to be on hyper alert if they are to minimise the threat posed to themselves.
All charities should be aware that cyber criminals go where security is vulnerable rather than targeting what is valuable. As Jason Cobine of insurance broker Cobine Carmelson reveals, despite fraud being noticed quickly, one disaster story saw an accounts department of a UK charity transfer £75,000 after an “urgent” request came from an email it thought was from the CEO. With appropriate training, however, these worst-case scenarios are avoidable.
Another story from Jason Cobine similar to above involved a charity who found their security software overcome when a hacker incapacitated their IT services. The charity then received a demand for payment if it wanted access to thei systems and files which had been encrypted.
Insurance aspect
Fortunately, the charity had invested in insurance which covered the £240,000 cost to reinstate the files. This is why it is crucial to invest in secure back-ups of files in combination with insurance, though digital training of your team remains crucial to minimise risk at every stage.
Whilst the benefits of cloud technology far outweigh the negatives, it is still true that a charity with a greater digital footprint has an increased vulnerability to fraud and other cyber crime. According to the Charity Commission, the most common ways in which fraud occurs is through phishing and through impersonation. This only underscores that effective digital training is the single most effective way to minimise risk and charities should take note if they are to secure their IT services and files.
More control
If charities are to prepare for upcoming changes and challenges, they need to remain ahead of the curve by investing in upcoming technologies. Cloud technology has the power to give charities more control over their working processes, through centralisation and through securing sensitive data at every stage.
It also means they will be able to adapt to changing working patterns and enable staff to work with increased freedom, whilst making sure their processes are secure through increasing digital training. The charities who implement this today can be sure of a bright digital future tomorrow.
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