Non-Profits and AI: Why the Struggle?

EVERYONE'S TALKING ABOUT AI… BUT WHY ARE NONPROFITS STILL STRUGGLING TO MAKE IT WORK?

The harsh truth is that 95% of generative AI pilots are failing. But it doesn't have to be that way, especially for nonprofit back offices.

A new MIT-backed report just confirmed what many of us already suspected: most AI pilots flop.

And in the nonprofit world, where I consult almost daily, this failure rate hits harder.

Nonprofits are mission-driven, under-resourced, and constantly racing the clock.

Their back office teams? Chronically overloaded.

Their AI dreams? Often stuck in "pilot mode," unable to scale.

So, what's going wrong?

From what I've seen across dozens of organizations:
📌 Tech experiments aren't solving real operational pain.
📌 Pilots aren't designed with the staff who actually use the tools.
📌 Teams lack capacity to iterate. Most barely have time to breathe.

But when designed with the right people, purpose, and pace, AI pilots can work.

Especially, for the overwhelmed admin, ops, finance, HR, and dev staff doing the hard work behind the scenes.

If you're advising or leading an AI initiative in a nonprofit, here's how to shift the odds:

1️⃣ Design for capacity relief, not cool factor.
Start where the pain is. Manual donor reports. Staff scheduling. Board decks.
Not just where AI feels “exciting.”

2️⃣ Build with back office teams, not just for them.
If they’re not part of the pilot process, the tech won’t stick. Period.

3️⃣ Pilot tiny. Validate fast. Scale wisely.
Forget the six month rollout. Test a narrow use case. Learn fast. Document results.

4️⃣ Make AI useful before making it smart.
Even semi automated workflows can save hours. The real win isn’t perfection. It’s progress.

5️⃣ Define success like a funder would.
Clear metrics. Tangible ROI. Qualitative feedback. This isn’t about vague “innovation.” It’s about impact.

I consult with nonprofit teams every week navigating these choices.
The ones who succeed aren’t AI experts.
They’re human-centered, problem-focused, and iterative as hell.

Let’s give the people behind the mission the tools and time they deserve.
If you’re a nonprofit leader, board member, or funder wondering where to begin...

✅ Start small.
✅ Aim specific.
✅ Build with your back office in mind.