INSIGHT

Why nonprofits are outsourcing their IT operations 

Michael Sellai • September 1, 2025

Services: Managed IT Services Industries: Nonprofit

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Nonprofit organizations face a unique challenge: maximizing their mission impact while operating with limited resources. As technology becomes increasingly critical to operations, many nonprofits find themselves struggling to manage IT infrastructure effectively. The person who volunteered to “handle the computer stuff” now spends more time troubleshooting servers than advancing your cause. This scenario plays out across countless organizations, leading many nonprofits to make a strategic shift toward outsourcing their IT operations.  

The decision to outsource IT represents more than just a cost-saving measure—it reflects a fundamental understanding that technology should enable mission work, not distract from it.  

5 reasons nonprofits are leveraging managed IT services 

This article explores the primary reasons driving nonprofits to outsource their IT operations and examines how this strategic decision can transform their ability to serve their communities.  

1. Limited internal resources create operational gaps 

Most nonprofits operate with lean staffing models, and IT management often falls to someone whose primary role lies elsewhere. Your development coordinator becomes the unofficial tech support person, or your program manager spends hours battling network issues instead of serving clients. This arrangement creates several problems that compound over time. 

When staff members take on IT responsibilities outside their job descriptions, both their primary work and the technology management suffer. The marketing director who maintains your website may understand donor engagement but lacks the technical knowledge to implement proper security protocols or optimize server performance. Meanwhile, legitimate IT issues go unresolved for days or weeks, impacting productivity across the entire organization. 

The skills gap becomes even more pronounced as technology grows more complex. Modern nonprofit operations require knowledge of cloud computing, cybersecurity protocols, compliance requirements, and integration between multiple software platforms. Expecting existing staff to develop and maintain this level of technical knowledge while performing their primary duties creates an unsustainable situation.  

2. Budget constraints make dedicated IT staff prohibitive 

Hiring qualified IT professionals requires significant financial investment that many nonprofits cannot justify or afford. A single IT manager’s salary, benefits, and ongoing training costs can easily consume a substantial portion of an organization’s administrative budget. For smaller nonprofits, this expense may represent an impossible choice between hiring technical staff or program staff who directly serve their mission. 

Even organizations that can afford one IT position often find that a single person cannot provide comprehensive coverage. Technology issues don’t respect work schedules, and having only one person responsible for all IT needs creates vulnerability when that individual takes vacation, becomes ill, or leaves the organization. The knowledge transfer challenges and potential for single points of failure make this approach risky for mission-critical operations. 

Additionally, the rapid pace of technological change means that IT staff require continuous training and professional development to remain effective. These ongoing education costs, combined with the need for updated software, hardware, and security tools, can quickly escalate beyond initial budget projections. 

3. Security and compliance requirements exceed internal capabilities 

Nonprofits handle sensitive data including donor information, client records, and financial details that require sophisticated protection measures. The regulatory landscape continues to evolve, with requirements like GDPR, HIPAA, and state-specific privacy laws creating complex compliance obligations that carry significant penalties for violations.   

Most nonprofit staff lack the specialized knowledge needed to implement comprehensive cybersecurity measures or maintain compliance with evolving regulations. The consequences of inadequate security extend beyond potential fines—data breaches can destroy donor trust, damage community relationships, and threaten the organization’s reputation and viability. 

Professional IT service providers maintain current knowledge of security threats, compliance requirements, and best practices across multiple industries. They implement enterprise-grade security solutions, conduct regular vulnerability assessments, and provide ongoing monitoring that individual nonprofits cannot match with internal resources. 

4. Technology needs fluctuate with organizational activities 

Nonprofit technology requirements often vary significantly throughout the year. Fundraising campaigns may require additional server capacity and enhanced security measures, while grant reporting periods demand specific data management capabilities. Special events, volunteer management during busy seasons, and program launches each create temporary spikes in IT support needs. 

Internal IT staff may struggle to handle these fluctuations effectively, either becoming overwhelmed during peak periods or remaining underutilized during slower times. Organizations either pay for excess capacity year-round or risk inadequate support when they need it most. 

Outsourced IT providers offer scalable solutions that adjust to organizational needs, providing additional support during busy periods without requiring permanent staffing increases. This flexibility ensures consistent service quality while optimizing resource allocation. 

5. Focus returns to mission-critical activities 

When nonprofits outsource IT operations, they free internal staff to concentrate on activities directly related to their mission. Program coordinators can dedicate full attention to client services, development staff can focus on donor relationships, and leadership can concentrate on strategic planning rather than technology troubleshooting. 

This refocusing often yields immediate productivity improvements as staff members can fully engage with their areas of strength and training. The time previously spent on IT issues becomes available for activities that directly advance organizational goals and serve community needs. 

Partner with BPM for comprehensive managed IT solutions 

BPM understands the unique challenges facing nonprofit organizations and provides tailored IT outsourcing solutions that align with your mission and budget. Our team combines deep technical knowledge with nonprofit sector experience, ensuring that your technology infrastructure supports rather than hinders your important work. 

We offer comprehensive IT management services designed specifically for nonprofits, including proactive monitoring, security management, compliance support, and scalable solutions that grow with your organization. To discover how outsourcing your IT operations can free your team to focus on advancing your mission and serving your community, contact us.