Six Nonprofit Data Quality Management Issues and How to Solve Them
After you have implemented your donor database, how can you ensure that the data coming in is clean, correct and up-to-date? Not only that but how can you make sure it stays clean? Accurate data quality is crucial for any nonprofit that relies on precise data to make informed decisions. However, so many organizations struggle to adequately manage their data, causing serious challenges for development managers and grant writers.
The amount of missed opportunities to develop business with prospects and donors or the lack of ability to successfully plan and execute events will have any marketer or business development professional banging their head against a wall. But the good news is that data never stops flowing in, so you have forever to get better at it. Additionally, there are many proven data management strategies and processes you can implement to improve it.
1. Inconsistent Data Entry
One of the biggest issues nonprofits deal with is inconsistent data entry. Inaccurate, incomplete, or misspelled data can lead to incorrect analysis of data and ultimately mislead the decision-making process. To address this issue, nonprofits should implement data validation processes, like mandatory fields, dropdown lists, and input masks. Additionally, training courses and awareness programs should be regularly held to educate employees about the importance of accurate data entry.
2. Lack of Data Standardization
During a new donor database project, thousands, or even hundreds of thousands, of records flow into the database from various sources bringing in data entered by multiple individuals with inconsistencies in formatting and naming conventions. To create uniformity across the organization, nonprofits should establish data standard guidelines. This can act as a sort of ‘data dictionary,’ defining naming conventions and implementing data profiling while standardizing data entry and improving its quality.
3. Data Duplication
Duplicate data not only takes up storage space but seriously impacts the decision-making process. By utilizing new technology, nonprofits can implement algorithms that regularly check databases for duplicate records. Organizations can also regularly conduct deduplication exercises amongst departments or pilot groups to tackle these data issues in an isolated manner. Additionally, implementing unique identifiers and data-matching techniques can help identify and merge duplicate records effectively.
4. Lack of Data Governance
The term ‘data governance’ refers to the establishment of policies, procedures and roles to ensure data quality and integrity. Without this framework, nonprofits run the risk of losing the integrity of their data and can find themselves being uncompliant with certain data privacy regulations. To maintain healthy data and regulatory compliance, nonprofits should designate data stewards to enforce data access controls and regularly audit the system for regulation violations.
5. Insufficient Data Integration
Many times, we see nonprofit organizations struggling with integrating data from disparate systems or departments, leading to fragmented or siloed data. To overcome data silos, nonprofits should invest in robust data integration tools that allow for the seamless transfer of data between systems. Implementing a master data management solution can also be helpful as it creates a unified and accurate view of data across the organization.
6. Inadequate Data Quality Monitoring
The most important thing to remember about data quality is that it is not a one-time effort; it requires continuous monitoring and improvement. Lack of proper data quality monitoring can lead to undetected errors and a build-up of dirty data. Dashboards should be set up within the donor database to monitor and track data quality metrics in real-time, like email deliverability, bounces, and spam reports. Regular data profiling, validation and cleaning processes should also be implemented to identify data issues proactively.
Maintaining high-quality data is a fundamental aspect of any successful nonprofit. By addressing these data management issues head-on, organizations can enhance their decision-making processes, gain a competitive advantage, and improve operational efficiencies. Through a robust data management strategy that validates incoming records, standardizes data entry, and has integrated solutions that continuously monitor data quality, you can pave the way for accurate, reliable data-driven insights.
Remember, data quality is not a one-time fix, but an ongoing commitment that requires attention, resources, and a culture of data stewardship throughout the organization. Embrace these solutions, and your organization will be well-equipped to conquer data quality challenges and harness the full potential of its data assets.
For almost 20 years, the team at CLIENTSFirst Consulting has been helping nonprofits, professional services firms and other organizations successfully select, implement, and integrate CRM, eMarketing, Donor Databases and other marketing technology systems to maximize value, adoption and return on investment. If you need help with CRM Success, please contact us at 404-249-9914 or Info@ClientsFirstConsulting.com.