Rising to the Challenge: Overcoming Economic Volatility in Grants Management
By: Rich Uphus | September 5, 2023
ARTICLE- Economic uncertainty can present many challenges for grant managers, who must navigate fluctuating funding priorities, limited resources, and increased competition for funding. According to a report by the National Council of Nonprofits, 64% of nonprofits experienced a decrease in funding due to the COVID-19 pandemic, with 77% expecting to experience financial challenges in the next six months.
In addition to changes in funding priorities, economic uncertainty can lead to a lack of predictability in funding levels. This can make it challenging for grant managers to plan and allocate resources effectively. A report by the Foundation Center found that while overall giving by foundations in the US increased by 2.5% in 2019, compared to the previous year’s growth rate of 5.5%, the growth rate varied significantly by foundation size and type. This variability in funding levels can make it difficult for grant managers to predict and plan for future funding needs.
Furthermore, economic uncertainty can also lead to increased competition for funding as more organizations seek to secure limited resources. A report by Candid found that in 2019, there were approximately 1.5 million registered nonprofits in the US, highlighting the significant competition for funding that grant managers must navigate.
Another challenge that grants managers face is demonstrating the impact of their organization’s work on funders. This requires a deep understanding of the organization’s programs and outcomes and the ability to track and report on progress. According to a report by the Bridgespan Group, many nonprofit organizations struggle to demonstrate their impact, with only 45% reporting that they have a clear sense of their impact on beneficiaries.
Moreover, nonprofits often operate on tight budgets, with limited resources to devote to administrative tasks. This can make it challenging for grant managers to manage the grant application and review process, track grant progress, and generate reports for funders. A survey by the Nonprofit Finance Fund found that 49% of nonprofit organizations reported not having enough staff to meet the demand for their services, highlighting the potential resource constraints that grant managers face.
In addition to these challenges, grant managers must also navigate the ever-changing landscape of regulatory compliance and reporting requirements. Nonprofit organizations are subject to various laws and regulations, including tax requirements and reporting obligations. Failure to comply with these requirements can result in penalties and reputational harm, making it essential for grant managers to stay up-to-date on compliance issues.
Overall, economic uncertainty presents many challenges for grant managers, who must navigate shifting funding priorities, limited resources, and increased competition for funding. To succeed in this environment, grant managers must be proactive and adaptable, leveraging technology and innovative solutions to optimize resource allocation, track progress, and demonstrate impact to funders.
Automated Grants Management: A Solution to Economic Uncertainty
PyanGo’s Automated Grants Management for NetSuite provides a comprehensive solution to the challenges faced by grant managers in today’s volatile economic environment. By leveraging advanced analytics and automation, PyanGo’s solution enables grant managers to make informed decisions and manage resources effectively.
One of the critical benefits of PyanGo’s solution is its ability to provide real-time visibility into an organization’s financial position. This enables grant managers to make informed decisions based on up-to-date data, ensuring that resources are allocated efficiently and effectively. Additionally, PyanGo’s solution provides customizable dashboards and reports, enabling grant managers to monitor performance and identify areas for improvement.
Another key feature of PyanGo’s solution is its ability to automate grant management processes, reducing the time and effort required to manage grants. PyanGo’s solution calculates the indirect or overhead costs associated with each grant. Additionally, PyanGo’s solution automates the tracking of grant milestones, ensuring that grant managers have real-time visibility into the status of each grant.
PyanGo’s solution also provides comprehensive reporting and analytics capabilities, enabling grant managers to identify trends and make data-driven decisions. By leveraging advanced analytics, PyanGo’s solution enables grant managers to identify areas of opportunity and make informed decisions regarding resource allocation.
Managing Through Economic Uncertainty
Organizations must adopt innovative solutions like PyanGo’s as economic conditions evolve to remain competitive and achieve their funding goals. Economic uncertainty poses significant challenges for grant managers, who must navigate shifting funding priorities and manage resources effectively in an increasingly volatile economic environment. PyanGo’s Automated Grants Management for NetSuite provides a comprehensive solution to these challenges by enabling grant managers to make informed decisions, automate grant management processes, and leverage advanced analytics to identify opportunities and optimize resource allocation.
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