Nonprofits are still very essential to our society today. They continue to play an important role in addressing a wide range of social, economic, and environmental challenges. However, they often operate in complex and uncertain environments, facing challenges such as funding constraints, changing demographics, and evolving social needs. Despite adversity, the heartbeat of societal progress is sustained by the unwavering commitment of many nonprofits in Africa.
Nigeria, like many nations around the world, has encountered economic instabilities that test the very foundation of the work of nonprofits. However, in these times of uncertainty, the importance of nonprofit organisations becomes even more pronounced. Our ability to adapt, innovate, and persist in the face of adversity is what defines our true impact.
What is Nonprofit Resilience? Nonprofit resilience is the ability of an organisation to effectively navigate challenges, adapt to change, and maintain its mission and impact in the face of adversity. Resilience is not merely about survival—it’s about adaptation and evolution. It is a combination of organisational strengths, including strong leadership, financial stability, a supportive organisational culture, and a commitment to innovation and learning. However, the question is how do we build this resilience?
Stakeholders within the social sector are currently holding conversations on the need for nonprofits to adopt ESG (Environmental, Social and Governance) strategies to navigate through the evolving nonprofit landscape. It is an undeniable fact that for any nonprofit to thrive in Nigeria and Africa, we must begin to rethink our nonprofit management strategies.
ESG encourages us to embrace eco-friendly practices by integrating energy-efficient technologies and digital solutions in our operations. Why use a lot of paper when technology reduces that? Why burn a lot of fuel for your day-to-day operations when you can consider hybrid work? While these practices help us protect our environment from certain waste emissions, they also help us operate more effectively while reducing cost.
ESG also encourages us to embrace social sustainability hinged on stakeholder engagement. How socially and culturally relevant are your initiatives and organisational strategies? Do they promote diversity, equity, and inclusion? How safe and satisfied do your employees feel working for you? How invested are you in building your staff capacity? This goes a long way to influence their commitment to your organisation and the quality of your services.
Finally, ESG encourages us to embrace effective leadership and governance structures across our organisations. How much attention do you give to building a strong governance structure? Aside from the stability an organisation enjoys from governance, your organisation is better positioned for effective collaborations and greater impact.
The importance of ESG strategies in building sustainable structures in turbulent economic times cannot be overemphasised, however, in addition to these, as I interact with several nonprofit Founders and CEOs daily including ACT Foundation’s over 90 grantee organisations across Nigeria and Africa, I have identified a few areas that nonprofits need to address as we build resilience. This list is by no means inexhaustible.
First, as nonprofits, we must diversify our funding sources. Nonprofits can no longer rely on a single source of funding, as this can make them vulnerable to unexpected changes. Now is the time to invest in strong financial management that covers budgeting, forecasting, and risk assessment. This will help you make informed decisions about resource allocation.
Second, we must foster a culture of learning and innovation. Innovation is pivotal for any organisation and as the landscape of social impact is ever-changing, innovation becomes even more necessary for an organisation’s survival and growth. Embracing technological advancements, harnessing the power of data, and adopting innovative solutions can optimise our impact and efficiency, even in the face of financial constraints. Encourage staff to learn new skills, empower your Board and team with new ideas and technologies, and experiment with innovative approaches to problem-solving. This is how we can adapt to changing environments.
Third, collaboration is key. In times of financial strain, collaboration can amplify impact and streamline resources. Sharing best practices, resources, and even combining efforts can bolster the effectiveness of our collective missions. We must find ways to collaborate with each other, with the private sector as well as with the public sector.
In addition to these, nonprofits need to prioritise self-care and well-being among members of staff and volunteers. The times are tough, and nonprofits have to operate in these demanding environments, it is therefore crucial to encourage work-life balance, provide opportunities for professional development, and foster a supportive work environment. Celebrate successes and learn from setbacks. Recognise and celebrate achievements as often as you can to boost morale and motivation within your team.
Finally, transparency and accountability are non-negotiable. Donors and beneficiaries alike value transparency in how resources are managed. Demonstrating accountability not only builds trust but also ensures the efficient use of resources.
Dear nonprofit owner, as you navigate the complexities of an economic downturn, it is imperative that you do not lose sight of our fundamental mission. Our impact on society transcends economic fluctuations. It is rooted in our commitment, our innovation, and our unwavering determination to make a difference.
While challenges persist, so does our collective resilience. We must remember that the strength of a society is not solely measured by its economic standing but by the unity and resolve of its people to enact positive change.
Alile is the CEO of Aspire Coronation Trust Foundation, grant making non-profit that provides funding to social sector organisations focused on Health, Entrepreneurship, Environment and Leadership.
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