Unit4, a leader in enterprise cloud applications for people-centric organizations, has unveiled a new global study conducted by Pierre Audoin Consulting (PAC) focused on the nonprofit sector. Insights from over 200 senior strategy leaders across North America and Europe reveal cautious optimism—yet a pressing need for radical digital transformation to secure long-term sustainability and operational agility.
After two tough years, nonprofit organizations are optimistic about 2025, expecting improved fundraising performance. However, 79% anticipate rising service demands alongside increased costs. To cope, 22% have reduced the number of fundraising events and 32% have scaled back services. The study highlights that digital transformation is a key enabler to reverse this trend by improving cost efficiency, boosting competitiveness, and enabling smarter, faster decisions.
“Nonprofit leaders recognize that small, incremental changes are not enough to enhance their financial position and growth prospects at a time of increased volatility,” said Nick Mayes, Principal Analyst, Pierre Audoin Consulting. “Success hinges on smart data use, whether it is shaping programs to support new areas of demand, pinpointing the areas where the biggest efficiency gains can be achieved, or mitigating compliance risk.”
Key findings of the report include:
- Slow decision-making: 72% of respondents report it takes two to seven days to gather operational or financial data, with only 7% able to access data in real-time.
- Limited forecasting visibility: 40% say they only have a partial view of the data necessary for forward-looking decisions.
- Legacy systems hinder agility: 45% cite reliance on outdated applications as the top barrier to innovation and transformation.
Most notably, 85% of nonprofits report it takes one to two weeks to launch new fundraising initiatives, while 37% say it takes just as long to activate field programs. These delays are attributed to siloed data and a lack of integration. The report suggests that breaking down organizational silos and investing in shared services could significantly accelerate time-to-market. Already, 40% of nonprofits have centralized HR and IT functions, and 50% aim to centralize finance and accounting within the next three years.
Top digital investment priorities include:
- Project management systems
- Governance and compliance centralization
- AI for strategic decision-making (cited by 33% of respondents)
“The nonprofit sector thrives on innovation, driven by the need to prove the impact of every spend. But in 2025, that challenge will be greater than ever,” said Chris Brewer, Global Director Nonprofit, Unit4. “Digital transformation is already benefiting nonprofits, but a water-tight business case is crucial to win stakeholder support. PAC’s research reveals where to invest to tackle legacy tech debt and drive more agile, real-time decision making.”
Survey Methodology
Industry analyst firm Pierre Audoin Consulting (PAC) conducted the study in November and December 2024. It included briefings with over 300 senior leaders from nonprofit organizations across North America and Europe, spanning sectors such as health and human services, faith-based organizations, humanitarian relief, and environmental groups. The study predates recent changes introduced by USAID in early 2025.
About Unit4
Unit4’s next-generation enterprise resource planning (ERP) solutions power many of the world’s mid-market organizations. The company integrates Financials, Procurement, Project Management, HR, and FP&A capabilities to deliver real-time insights and agile decision-making. Unit4 serves more than 5,100 customers worldwide, including Southampton City Council, Metro Vancouver, Devoteam, Save the Children International, and Oxfam America. For more information, visit www.unit4.com.
