Whether it’s a federally licensed health center or a standalone nonprofit health clinic, you work tirelessly to provide primary care services in your communities. As technology leaders in your healthcare organization, you are able to assess your center’s technologies and ensure that they contribute to your mission.
When it comes to building and evaluating your tech stack, consider choosing software that builds on the impressive results your organization touts and helps make those results even easier. Consider evaluating your technology and business processes to ensure that these two elements optimize what your organization is already doing with its resources.
As nonprofits in the United States do more with less, consider your current technology stack and assess whether it’s helping your organization save money, reduce administrative burnout, and operate as efficiently as possible. Hundreds of nonprofits have supercharged their health center technology stacks using integrated nonprofit accounting software.
According to a recent survey of 400 nonprofit professionals, including nonprofit healthcare professionals, nearly half have used six different digital tools and 23% have relied on eight digital tools to achieve their goals. These siled systems forced professionals to spend at least a quarter of their day managing information across multiple systems.
Using a versatile solution that lives in the cloud eliminates technology redundancies while improving employee efficiency. Additionally, the more siled an organization’s systems are, the greater the risk of fraud and human error. Consolidating your technology stack into a single system improves workflows because the interconnected nature allows your finance team to use automation to manage daily reporting and other administrative procedures. These systems allow your health center to focus on efficiency and realize a return on investment.
Optimizing your finance team’s technology
You work to provide for the community, but is your fund accounting solution working for your nonprofit? Your center’s finance team needs a solution that’s easy to use, integrated with your other technology systems, and has robust functionality that handles several different functions.
Whether your organization has multiple practices or you focus on the health needs of one community, fund accounting software allows your finance team to consolidate all financial data in one place. From budgeting and reporting to HR/payroll management, fund accounting solutions manage it all and ensure your finance team is doing everything to support your center’s mission.
With the right fund accounting software, your finance team can receive all the data needed to optimize workloads. Consider building your nonprofit’s data strategy around essential constituent and engagement data at various touchpoints in their respective journeys. Using data to influence your nonprofit’s operations helps leaders and board members make decisions that will have the most impact based on historical evidence and trends. A harvard business review report noted that 70% of organizations that used an analytics ecosystem reported increased financial performance and productivity, leading to lower operational risk and faster decision-making.
When your organization has the right software in place, it reduces waste. According to a study in the Journal of the American Medical Association, 25% of total health expenditure was considered unnecessary or unnecessary. Using a data-driven mindset means defining and understanding your mission and the steps needed to get there for nonprofits. When your health center uses software that facilitates the collection of this data, you eliminate inefficiencies in your operation.
The data your finance team collects should be easy to digest and help your organization tell its story. The fund accounting software comes equipped with customizable dashboards that put your team in control of the data it presents. As an industry defined by transparency, your stakeholders expect strong financial performance and reports that convey that message. Your finance team’s software should support this.
Grow as you grow
Each year, your healthcare organization may have KPIs or targets to reach a certain number of patients. Your organization can add operational and outreach efforts toward this goal to achieve greater growth. As you implement new processes and optimize workflows to reach more community members, your finance team can do the same when their technology solution evolves to meet their needs.
Some fund accounting solutions are modular and can introduce additional elements depending on your needs. Ultimately, these additional modules extend the benefits of a fund accounting solution from the finance team to the entire healthcare organization.
For example, accounting software modules exist around certain invoicing operations such as accounts payable and accounts receivable. These modules help optimize workflows. The Accounts Payable module, for example, centralizes all vendor information and automates the Form 1099 production process. To further optimize workflow, all payable transactions are entered simultaneously into vendor accounts and the general general ledger, which reduces the risk of human error and makes reporting easier because your organization can pay vendors from multiple cash accounts.
Consider evaluating your accounting process and see if the right accounting technology can help your organization succeed. Improving your technology stack helps your finance teams work more efficiently and allows them to have better data transparency. Be proactive and equip your accounting teams to improve decision-making processes and help your organization do the best for your patients.
About Neil Bullfighting
Neil Taurins is the Managing Director of Nonprofit Solutions at MIP Fund Accounting®. He has been with the company for over 12 years and is passionate about working with nonprofit organizations to provide them with solutions to improve their efficiency and better help them accomplish their mission.