The Top Challenges in Nonprofit Case Management—and How to Overcome Them

While case management isn’t unique to nonprofits (healthcare, financial services, and tech companies often have some form of it), it is uniquely applied and understood in the nonprofit sector.

Briefly, in nonprofits, case management involves coordinating and monitoring the services and resources that a client or community receives to address specific needs, such as connecting clients with healthcare providers, housing assistance, job training, and other essentials.

To operate effectively, case managers must be able to easily assess client needs, coordinate services, prevent crises, and continually advocate for client rights. There are, of course, challenges, which is where nonprofits are more closely connected to other industries as the top-level issues are, shall we say universal: not enough resources, not enough data (or not enough organized/accessible data), and a lack of client engagement.

In this article, we are going to explore these top challenges in nonprofit case management and present tools and tactics to help solve them.

A lack of funding, a lack of resources

The problems

The first challenge is in no way unique to nonprofits or 99% of the world’s population, for that matter: not enough money, not enough help. In the nonprofit sector, a lack of funding and resources can significantly hinder the effectiveness of case management.

Primary challenges include: staff shortages, burnout or high turnover in existing staff, limited service offerings, outdated or unavailable technology. And these challenges have an almost direct impact on case management as they result in everything from longer wait times for clients to an inability to track client progress, to decreased service levels, and more.

When nonprofits are unable to provide the necessary support due to limited funding or resources, it invariably has a negative impact on client outcomes as clients may be unable to access essential services, leading to increased hardship and potential setbacks.

The solutions

Outside the most obvious solutions—diversifying funding, increasing fundraising efforts, seeking government grants—there are internal measures a nonprofit can employ to quickly make case management a more effective undertaking.

First and foremost is reorganizing to optimize resource allocation, a wide swath of tactics that includes prioritizing needs and focusing on programs that have the greatest impact on clients, and engaging volunteers (nothing like free labor, and it’s win-win as it can further the connection between your organization and its surrounding community).

Technology can also play a key role as cloud-based case management systems (such as Dynamics) can centralize client data, streamline workflows, and improve efficiency, offering features like task management, reporting, and document storage, which can help reduce administrative overhead.

While there is an initial investment required, funds saved and resources optimized over the long haul more than offset any up-front spend.

Poor (or nonexistent) data management

The problems

Effective data management is crucial for nonprofits to deliver high-quality case management services. Poor or nonexistent data management can lead to a variety of problems, including, but in no way limited to:

• Inefficient service delivery: Without accurate and up-to-date data, case managers may have difficulty identifying client needs, tracking progress, and coordinating services.
• Missed opportunities: If client data is not well-organized or accessible, case managers may miss opportunities to connect clients with relevant resources or services.
• Difficulty measuring outcomes: Without reliable, easily understood data, nonprofits may struggle to demonstrate their impact and secure funding.
• Compliance issues: Nonprofits are subject to rigorous regulations and reporting, and poor data management makes compliance a challenge if not outright impossible, which can lead to legal or financial penalties.

The solutions

Step number one is taking a data-centric approach to case management. Teams must be trained in best practices to identify, capture, and incorporate critical information, governance policies must be established, and a strategy set down to ensure data management is connected to case management at every possible turn.

The cornerstone in improving data management in the modern nonprofit, however, is technology. It starts with implementing a centralized, cloud-based data management system, one that’s flexible enough to absorb existing case data and workflows and concurrently incorporate new ones. Integration with existing tools and systems—accounting software, fundraising databases, and more—is equally crucial.

Here's where a nonprofit should lean into the expertise of a solutions provider that knows the industry as well as the platforms. Argano has served nonprofits for decades and has deep experience in the systems and applications that help optimize data capture, analysis, and utilization through all case management workflows.

Ineffective, inefficient client engagement 

The problems

In the private, for-profit sector, they like to say, “the customer comes first.” True. But it’s the customer and the revenue streams they provide.

In nonprofit, the customer coming first is sometimes a life-or-death concern. In nonprofits, the customer comes first, second, third, and beyond. Which makes customer—or client—engagement one of the most critical functional areas in the industry.

If done successfully, a nonprofit is simply accomplishing its goals. If not, it can be disastrous. If clients feel disengaged or unsupported, they are less likely to be satisfied with the services they receive. This can lead to negative word-of-mouth, decreased trust in the organization, and a decline in donations. More importantly, clients who feel disconnected or unsupported may be more likely to drop out of programs.

The solutions

Improving client engagement is, in effect, improving case management, as clients who are engaged with your mission and objectives are typically in communication with your teams and accessing your tools. Following are some effective approaches to furthering client engagement:

• Personalized communication: Use CRM software to track client preferences and tailor communication accordingly.
• Mobile apps: Utilize or develop mobile apps to provide easy access to services, resources, and updates.
• Social media: Engage with clients on platforms they use most, sharing relevant content and fostering community.
• Online communities: Create online forums or communities where clients can connect with each other and share experiences.

Beyond technologies, training your team in creating personalized service plans that address each client's unique needs and goals, and establish feedback mechanisms for clients, team members, volunteers, and donors alike (such as surveys, interviews, or focus groups).

Meshing these tactics and tools will create a more engaging and supportive environment for all, leading to improved case management and a faster path to realizing your nonprofit’s overarching mission.

What challenges does your organization face? Argano is equipped with the tools and teams to help you address existing challenges, uncover new opportunities, and empower you to serve your clients with greater efficiency and results. Contact us and let us help further your mission by transforming case managment.