Barriers to Implementing Technology in Nonprofit Organizations 1

Barriers to Implementing Technology in Nonprofit Organizations

CST 462S: Race, Gender & Class Digital World

California State University Monterey Bay

Spring 2021

February 23, 2021

David Kim, Ngoc Tran-Dao, Yoela Zauderer

 Barriers to Implementing Technology in Nonprofit Organizations 2

Introduction

Nonprofit organizations throughout the world provide a vital public service that benefits

their communities in many ways. Recent advancements in technology, like social media, have

enabled nonprofit organizations to spread awareness of their cause and mission to more people

around the world. The implementation of new technology may require funding, training, or

dedicated staff. These obstacles vary from one nonprofit organization to another. Our goal in this

research paper will be to identify the barriers to implementing new technology in nonprofit

organizations.

Literature Review

Throughout the current literature, there is one recurring common barrier to technology

implementation that nonprofit organizations share. In a study by Hackler and Saxton (2007), data

was collected from 1,572 responses from Gifts In Kind International, a major charity

organization. Hackler and Saxton (2007) stated “Less wealthy nonprofits are ... less likely to

have the organizational capacity ... that can facilitate the strategic utilization of information

technology (p. 482).” This study highlights that the wealth of a nonprofit organization may be

one of the major barriers to technology implementation due to the inability to staff the required

workers needed. Small nonprofits also grapple with budgetary constraints as the biggest

challenge in technology implementation. Abramson et al. (2010) stated, “Unfortunately, the

database software that small nonprofits need most are the ones they can least afford. Grant

funders are often willing to provide consultants, but not the technology upgrades themselves (p.

8).” Therefore, some nonprofits organizations are forced to use outdated technologies. Monetary

challenges seem to affect virtually all nonprofits from implementing advanced technological

systems.
 Barriers to Implementing Technology in Nonprofit Organizations 3

Addressing the need for further study about the barriers small nonprofit organizations

face, Mehruz Kamal (2020) conducted action research, specifically focusing on three nonprofits

in Western New York and the impact of technology on these organizations. The outcome of his

research aligned with previous findings, revealing that the significant factor is the limited

budgets leading to the inability to create, upgrade, and maintain technology systems and

applications. However, the article explored the idea that this constraint isn't the biggest obstacle

in technology implementation; rather, it is the lack of skills and strategies of the staff members.

Thus, even if the technological infrastructure is present, it is underutilized and fails to achieve its

greatest potential for both internal efficiency and external publicity.

This research is valuable, but it may not reflect all nonprofit organizations. The

nonprofits contacted throughout the literature came from a single source or organization rather

than representation on a global level. There are so many possible barriers to technology

implementation to explore across the range of micro nonprofits. By adding to the conversation

with additional research, the major barriers will be highlighted as a tool for nonprofit

organizations to address and minimize the disparity for technological solutions and promote

greater equality for social impact.

Research Question

What barriers to technology implementation do nonprofit organizations commonly face?

Research Design

Site Supervisor Questions

1. What are some technologies that the organization currently uses? How are they

used?
 Barriers to Implementing Technology in Nonprofit Organizations 4

2. What are some challenges to implementing technology in a nonprofit

organization? What challenges are the most difficult to overcome?

3. How would additional resources, such as staff, funding, or training, affect your

nonprofit organization’s ability to implement technology? What other resources

would affect the ability of your organization to implement technology?

4. How does the organization prioritize the implementation of technology in

comparison to its other needs?

5. How does funding directly affect technological implementation in your

organization?

6. Have you ever faced opposition to the implementation of technology within your

organization and what was the reason for opposing this technology?

Our participants for this research were our site supervisors at the nonprofit organizations.

Interview questions were sent through Google form or relayed via phone. Our participants were

instructed to contribute lengthy responses to provide our research paper with ample information.

The interviewees’ answers were recorded in the Google form or with handwritten notes. All data

is included in the appendices.

Service Organizations

Hatzolah of Los Angeles is a small nonprofit organization that provides emergency

medical services with minimal response time to the Los Angeles community. They are a

dedicated group of volunteers who drop everything to rush to an emergency and provide the best

care regardless of race, gender, or religion. According to Hatzolah of LA (n.d.), their mission is

to, “improve medical outcomes and save lives by enhancing existing medical services in the Los

Angeles area.”
 Barriers to Implementing Technology in Nonprofit Organizations 5

Another site that our team volunteered with is RRRComputer which is located in

Oakland, California. According to RRRcomputer (n.d.), their mission is to “promote digital

inclusion by repurposing computing devices for the next generation.” The nonprofit addresses

the issue of technological inequality by refurbishing old systems for students to use.

The last site our team serviced is Wellness Center West, located in the city of Garden

Grove, California. According to Wellness Center West (n.d.), the mission of the organization is

to provide mental health services and resources to the community. One way Wellness Center

West is accomplishing this is through community events that connect those that can benefit from

mental health services with volunteers and others in similar situations. In addition, the

organization provides resources onsite and online to help address mental health issues for those

in need.

All of these service organizations utilize and are dependent on technology in some way to

provide a service or goods to the community. Our team will be focusing on determining the

barriers to the implementation of technology for those nonprofit organizations. Exploring the

barriers they face will give insight into the struggles in relation to implementing advanced

technology to improve the delivery of services and goods to those in need.

Service Findings

All of the interviews highlight a wide variety of different technologies that are utilized by

non-profit organizations for a variety of purposes (See the appendices). The challenges shared by

the interviewees are similar; they all consider lack of funding to be one barrier they face when

implementing technology (See the appendices). ​Hue Mach, president and founder of

RRRComputer related, “Funding will increase staff to implement the apps and purchasing the

software” (H. Mach, personal communication, February 9, 2021). He also stated that the increase
 Barriers to Implementing Technology in Nonprofit Organizations 6

in funding would lead to faster implementation of new technology (H. Mach, personal

communication, February 9, 2021). ​Shlomo Todd, from Hatzolah of Los Angeles, stated that

additional funding would allow them to hire staff to improve their existing technology, namely

their computer aided dispatch system (S. Todd, personal communication, February 8, 2021). ​The

nonprofits point to the fact that funding deficits prevent them from hiring sufficient, competent

staff to implement their technology needs.

Similarly, Tuyen Phung revealed, “Money and well trained staff are two resources that

the organization is lacking” (T. Phung, personal communication, February 6, 2021). In addition,

Tuyen Phung mentioned that ​due to the lack of funding, the services provided by Wellness

Center West have declined in quality and led to the implementation of technology solutions that

were not optimal ​(T. Phung, personal communication, February 6, 2021)​.​ All three companies,

with different missions, face the same barrier of lacking funds and staff to maximize the

technology they have and effectuate technological solutions to boost their daily performance.

Another common theme across the interviews is the nonprofit organizations’ general lack

of prioritization for implementing and improving technology (See the appendices). Each

nonprofit was founded on the basis of a mission which will always be at the forefront of their

organization. As a result, technology gets pushed to the backburner as nonprofits struggle to

perform their daily operations. Shlomo Todd shared, “as long as we can get our patients the care

they need as fast as possible thats [​sic​] our priority so the tech being touch and go doesnt [​sic]​

help but we make due [​sic​]” ​(S. Todd, personal communication, February 8, 2021)​. This mindset

is shared by the other organizations as well. The main objective of Wellness Center West is

training qualified staff (see Appendix B); Hue Mach explained that RRRComputer settles for
 Barriers to Implementing Technology in Nonprofit Organizations 7

nonprofit software rather than investing in the technology they need (H. Mach, personal

communication, February 9, 2021).

While each nonprofit faces challenges implementing technology, all interviewees shared

that they face no opposition to improving their technology should the resources become available

(See the appendices). The sites recognize that technological advancements can serve as a vital

tool to propel their organizations to fulfill their missions.

Conclusion

Technology is a tool that can improve the efficiency and efficacy of any organization. All

of our nonprofit sites agreed that the implementation of targeted technology would help them

best upgrade their services and meet their mission’s goals (See the appendices). Our interviews

brought to light that the main barriers of technology advancement are primarily funding, as well

inadequate trained staff and a general lack of prioritization (See the appendices). This is aligned

with our research question which asks about the obstacles that nonprofit organizations face with

regards to technology implementation.

Our research on nonprofits was focused mainly on small sized organizations in keeping

with the three sites that we serviced over the course of this term. We found a paucity of

published research on smaller nonprofits; thus, this analysis contributes to the data available in a

meaningful way. More research on the topic is essential, as well as a larger pool of organizations

to include a variety of locations, missions, and socioeconomic status. Others can readily build

upon our data and draw further conclusions about the barriers nonprofits experience with

technology.

While all three sites were founded on the basis of offering services to the entire

community, regardless of race, gender, or class, they are limited by their own economic
 Barriers to Implementing Technology in Nonprofit Organizations 8

constraints and lack of infrastructure. Nonprofits, by definition, do not aim towards financial

gain, but without the proper funding base, they are hampered from servicing the population in a

comprehensive and optimal way. With an eye toward social justice, leaders can push to break

down the barriers to technological solutions and offer a wider net of services to all.

Recommendations

As we have concluded, the lack of funding is the primary barrier to the implementation of

technology, which has affected the nonprofit’s quality of service and has slowed the adoption

and implementation of technological improvements (See the appendices). Based on our results,

there is an urgent need to increase the funding available to these sites, which has recently been

addressed by the federal government in response to the COVID-19 pandemic. According to

InsideCharity.org​ (n.d.), the CARES Act was passed to ameliorate the gaping deficits of the

nation during the pandemic, including nonprofit organizations. While this policy provides relief,

it does not consider the future financial needs of nonprofits to implement technology within their

organizations. By creating new policies that target funding for technological needs, nonprofit

organizations can focus on the permanent needs of the organization and provide a higher level of

service to their constituents.

To assist non-profit organizations with funding, a federal tax policy change is

recommended. According to CalNonprofits (n.d.), the current tax policy, passed in 2017, taxes

nonprofit organizations with a twenty-one percent tax on business expenses related to

transportation. Removing this tax would relieve the budgetary constraints that many non-profit

organizations have to contend with and allow them to fund their technological needs. Another

recommended action is to protect and enhance the Public Service Loan Forgiveness Program.

CalNonprofits (n.d.) states that the current Public Service Loan Forgiveness Program allows a
 Barriers to Implementing Technology in Nonprofit Organizations 9

nonprofit organization to hire and maintain a skilled workforce, but the program needs protection

against possible dismantling at the federal level. By protecting the Public Service Loan

Forgiveness Program, it will allow nonprofit organizations to hire skilled workers needed to

implement technology within their organization.

While our research highlights the main barriers, more research is necessary to explore

what other hurdles exist and how they hinder technology adoption. Only through a

comprehensive study of all obstacles preventing technological improvements can nonprofits

hope to mitigate these factors and maximize the missions of their critical community

organizations.
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References

CalNonprofits. (n.d.).​ Federal Policy.​ https://calnonprofits.org/public-policy/federal-policy

Geller, S. L., Abramson, A. J., & de Leon, E. (2010). The nonprofit technology gap–Myth or

reality. ​Listening Post Project,​ 20.

https://ejewishphilanthropy.nyc3.digitaloceanspaces.com/wp-content/uploads/2010/12/05

215137/Nonprofit-Technology-Gap-Dec.-2010.pdf

Hackler, D., & Saxton, G. D. (2007). The strategic use of information technology by nonprofit

organizations: Increasing capacity and untapped potential. ​Public Administration

Review​, 67(3), 474-487. http://www.jstor.org/stable/4624590

Hatzolah of LA. (n.d.). ​HOME​. https://www.hatzolahofla.org/

InsideCharity.org. (.n.d.). ​CARES Act for Nonprofits – What’s in the bill for charities?.​

https://insidecharity.org/2020/03/28/cares-act-for-nonprofits/

Kamal, M. (2020). Understanding the impact of information technology in nonprofits: Insights

from a multi-case analysis (Completed Research). ​SAIS 2020 Proceedings,​ 10.

https://aisel.aisnet.org/sais2020/10/

RRRcomputer. (n.d.). ​Donate Computers Rather Than Recycle for Kid's Education 501(c)3.​

Donate Computers for Kids' Education 501(c)3 | 1 Kid 1 Computer.

https://rrrcomputer.org/

Wellness Center West. (n.d.). ​Welcome​. https://wellnesscenterwest.org/

Barriers to Implementing Technology in Nonprofit Organizations 11

Appendix A

Interview with President and Founder at RRR Computer: Hue Mach

The interview was conducted with the President of RRR Computer, Hue Mach, through a Google

form. He was an ideal candidate for this interview since he is President of a nonprofit

organization and is directly involved in the technology implementation decisions within the

organization.

What are some technologies that the organization currently uses? How are they used?

- Google Suite, Salesforce, Kintone

- Cloud Services like GSuite, Google Drive, Zoom, Kintone

What are some challenges to implementing technology in a nonprofit organization? What

challenges are the most difficult to overcome?

- We are doing fine. Kintone is new to us.

- Finding the right one for our organization

How would additional resources, such as staff, funding, or training, affect your nonprofit

organization’s ability to implement technology? What other resources would affect the

ability of your organization to implement technology?

- Staff and funding will help with gather the Kintone software to work for Inventory

Management.

- Funding will increase staff to implement the apps and purchasing the software.

How does the organization prioritize the implementation of technology in comparison to its

other needs?

- Google Sheet versus Kintone

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- We received Google Suite, Salesforce, and Google for non profit which we prioritized for

the whole organization. We signed up for all the non profit eligible services.

How does funding directly affect technological implementation in your organization?

- Will be faster.

- We finally decided to get Kintone for $300/year due to lack of feature from Salesforce

for Inventory management.

Have you ever faced opposition to the implementation of technology within your

organization, and what was the reason for opposing this technology?

- No opposition.

- We looked into the cost of the implementing the technology as well as the advantages.
Barriers to Implementing Technology in Nonprofit Organizations 13

Appendix B

Interview with Treasurer and EMS Supervisor at Hatzolah of Los Angeles: Shlomo Todd

This interview was conducted through a Google form with the Treasurer and EMS Supervisor at

Hatzolah of Los Angeles, Shlomo Todd. In addition to these official roles, Shlomo’s IT

background has led to his heavy involvement with the organization’s technology use and

implementation. As one of Hatzolah’s key players, Todd is on top of all aspects of its operation

and can provide valuable information regarding the nonprofit.

What are some technologies that the organization currently uses? How are they used?

- Our Org. is utilizing many different technologies ranging from 2 way radios to ipads to

servers. We are a 9-1-1 type EMS agency that has its own dispatch center staffed 24/7

and around 80 Volunteer EMTs on Call 24/7

What are some challenges to implementing technology in a nonprofit organization? What

challenges are the most difficult to overcome?

- when it comes to a non profit run by volunteers, the hardest part is funding and getting

time out of the volunteers other than just responding to emergency calls

How would additional resources, such as staff, funding, or training, affect your nonprofit

organization’s ability to implement technology? What other resources would affect the

ability of your organization to implement technology?

- Our current dispatch system is touch and go at best and needs so much needed TLC from

people that understand the language. The CAD (computer aided dispatch system) is

capable of being tied in with our Kenwood radio system but will be very expensive and

need some engineering to get that squared away. Our responders are using their personal
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cell phone to do the Patient Care Reports as our ipads are all to outdated for the chrome

browser required to sign into it. to start those pieces can really help our organization

How does the organization prioritize the implementation of technology in comparison to its

other needs?

- as long as we can get our patients the care they need as fast as possible thats our priority

so the tech being touch and go doesnt help but we make due

How does funding directly affect technological implementation in your organization?

- everything we do with technology cost, the internet the hosting the maintenance our

radios cost monthly the software we use cost annually

Have you ever faced opposition to the implementation of technology within your

organization, and what was the reason for opposing this technology?

- no, all approvals for tech really just depend on the funds being available and the doesnt

happen to often so thats the only blocker there

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Appendix C

Interview with the Program Director at Wellness Center West: Tuyen Phung

This interview was performed via phone. Tuyen Phung directs all departments at Wellness

Center West and ensures that all programs run smoothly and effectively. As Program Director,

Phung has access to the organization’s information and acts as an advocate, presenting the needs

of the organization how they can be helped.

What are some technologies that the organization currently uses? How are they used?

- The organization is currently using Webex software to communicate with the clients. It

allows the staff to connect over the internet. However, standard phone lines are still

required due to the fact that some of the clients are not comfortable with operating a

computer. Webex is free but it has its limitations. Therefore, the company needs to

upgrade to the paid version to host multiple meetings at the same time. The company also

uses Mailchimp, an application for collecting client data to help improve the services. For

hiring or looking for employees, Wellness Center West uses Indeed.

What are some challenges to implementing technology in a nonprofit organization? What

challenges are the most difficult to overcome?

- One of the organization's challenges is funding due to set budgets that allocate funds for

specific purposes within the company. For the first couple years, the employees at this

location clocked in and out with pen and paper. Phung stated, “Now we are lucky

enough to be able to upgrade to fingerprint to sign in and out.”

- One of the most difficult things the organization has to overcome is the current pandemic.

Staff and clients are both not able to come to the facility for face to face services. Phung
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shared, “Face to face is more ideal for us to meet our requirements for the year.” Many

staff members struggled with the transition to remote services and it took time to train

them to utilize video conferencing to communicate with the clients over the internet.

How would additional resources, such as staff, funding, or training, affect your nonprofit

organization’s ability to implement technology? What other resources would affect the

ability of your organization to implement technology?

- Phung answered, “More to everything is better.” Money and well trained staff are two

resources that the organization is lacking. The nonprofit requires experienced staff to

facilitate group services; new employees can work with clients one on one, but require

more training.

- Phung related, “We just need more funding. Funding will create all other aspects of what

we need to have better services.”

How does the organization prioritize the implementation of technology in comparison to its

other needs?

- The program requires well trained staff. Tuyen shared, “I personally want to spend

money on training programs for the staff rather than getting more staff or extra vehicles.

We like to have quality over quantity.” However, the director had trouble convincing the

sponsor to fund training programs.

How does funding directly affect technological implementation in your organization?

- According to Phung, “We are very limited in funding.” Due to a shortage of staff to aid

the smooth running of the programs, Wellness Center West has a hard time meeting the

expectations of the sponsors.

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Have you ever faced opposition to the implementation of technology within your

organization, and what was the reason for opposing this technology?

- Tuyen answered, “Due to the limited budget, we are stuck with a horrible login program.

It has bugs, glitches, and so many flaws.” Therefore, Phung must double check the logs

before approving the hours for payroll.