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The ICNPO categorises not-for-profit organisations according to different activity categories. Using the ICNPO classification system in Australia nearly 10% of NFP’s in Australia are classified as ‘Social Services’. It’s the third largest classification behind “Religion” and “Education & Research”.
Social Services is made up of diverse NFP’s including groups for people living with disabilities, residential aged care facilities, some housing services, and some ethnic community services. There are over 1,454 (2019) in Australia. Providing goods and services accounted for over 42% of revenue for social services NFP’s and that percentage is even greater for larger NFP’s in this sector.
With revenue from goods and services being extremely important for large charities in this sector having the appropriate management and financial systems in place that can deal with this is vital.
The contribution of donations and bequests to revenue is also a major part of revenue. Having robust fund, grant, and donor accounting, flexible budgeting and planning, real-time reporting, and role-based dashboards in place gives greater visibility and accountability in managing donations and bequests.
And with the introduction of the NDIS legislation, charities in this space have had to purchase client management software to ensure they are compliant with NDIS regulations.
However, while many of these management solutions have provided improved functionality in the service provision area with customer-focused rostering and client plans, many do not provide strong financial systems, which is also vitally important in involvement in NDIS.
Also Now with a mobile workforce becoming much more of a given, cloud management systems allow for greater flexibility, which is essential in Covid and post Covid times. And it is vital for Not-for-profits that they can convey their health effectively to donors to ensure funding for their mission, especially with the pressure that exists in these turbulent times.
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JMT consulting Group has assisted many Social Services NFP’s to update to better solutions that allow them to manage their organisations more efficiently and with less stress on both employees and volunteers.
Phone: (03) 9874 1001
Email: hello@jmtconsultinggroup.com.au
Address: PO Box 110, Vermont, Victoria 3133
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