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Associations & Technology Budgets

Systems Rewired was founded by an association management software selection consultant who felt like the association marketplace was being underserved by technology companies that provide overpriced, antiquated and proprietary software that is not scalable and easy to use.

Too many associations and nonprofit organizations are faced with the same conundrum of trying to find the right software solutions that are flexible and scalable at an affordable price. And while there may be options in the marketplace, how much will it take to get the product up and running to the specifications of the organization.

What is an association and how do they provide a critical role?

An association is a group of individuals or organizations that have come together for a common purpose or goal. Associations are typically formed around a specific industry, profession, interest, or cause. They may be formal, with a defined structure and governance, or informal, with a more loose-knit membership. Some examples of associations include:

  • Professional associations, which bring together individuals in a particular field or industry to share knowledge, resources, and best practices, and to advocate for the interests of the profession.
  • Trade associations, which represent the interests of companies in a particular industry and work to promote the growth and competitiveness of the industry.
  • Non-profit organizations, which are often established to support a specific cause or mission, such as environmental conservation or community development.
  • Membership organizations, which bring together individuals who share a common interest or hobby, such as gardening or stamp collecting.

Associations serve a variety of important functions in society. Some of the main reasons people join and form associations include:

  • Collective Action: Associations allow individuals to come together and work towards a common goal or interest, providing a platform for collective action and greater impact.
  • Representation and Advocacy: Associations can serve as a voice for their members and advocate for their interests and concerns.
  • Networking and Professional Development: Associations provide opportunities for individuals to connect with others in their field, share knowledge and resources, and build their professional skills.
  • Social and Community Building: Associations can bring people together to build social connections, support, and a sense of belonging in a community.
  • Access to Resources: Associations can provide access to resources and services that individuals may not be able to access on their own, such as legal representation, lobbying efforts, and research.
  • Service: Many associations are formed to serve communities, whether it is charitable activities, promoting education, or other causes.
  • Overall, associations play a vital role in society by enabling individuals to come together and work towards shared goals, providing representation and support, and building strong communities.

How do budgets impact an associations’ technology stack and roadmap?

The average association is typically 5-10 years behind the technology curve. This is because there are a shortage of technology vendors willing to enter the space due to business complexities, decision timeframes, and expertise. You will find that most technology vendors serving this space offer legacy proprietary solutions that are not flexible or scalable. We believe a big reason is associations take longer to make decisions, and budgets are tighter.

An association technology budget is an important part of the overall budgeting process and helps the association to plan for and allocate the necessary resources to support their technology needs. It is also a key tool for monitoring the association’s technology expenses throughout the year and for adjusting as needed. The budget is typically reviewed and approved by the board of directors or a technology committee and should align with the association’s overall strategic plan.

In some cases when an association has a large expenditure, they will need board approval to begin evaluating a new solution, and another approval on the budget after the evaluation is complete. This can take over a year before a purchase is made.

An association technology budget is a financial plan that outlines the projected expenses for technology-related costs for an association for a specific period, such as a fiscal year. It is a subset of the overall association budget and typically includes expenses such as:

  • Software and hardware: The cost of purchasing or leasing technology equipment, such as computers, servers, and software licenses.
  • Implementation: Getting the software up and running based upon your business requirements, implementation or other solutions also cover items such as discovery, gap analysis, configuration or customization, training.
  • IT support and maintenance: The cost of hiring IT staff or contracting through staff augmentation or managed services providers to maintain, update, and troubleshoot technology systems and software.
  • Data storage and security: The cost of maintaining and securing the association’s data, including the cost of data backup and recovery, and compliance with data privacy regulations.
  • Website and online tools: The cost of maintaining and updating the association’s website and online tools, such as membership databases, event registration software, and communication platforms.
  • Training and development: The cost of providing training and development opportunities for association staff.

For most associations less than 10% of their overall gross annual budget (GAB) is spent on technology. Systems Rewired has been working with associations and nonprofits for two decades and we understand that most organizations face budget constraints. This is why our service models are geared towards providing associations and nonprofits with highly experienced resources at a reasonable price.

Did you know?

Salesforce’s Power of Us Program will provide eligible associations with 10 free Sales Cloud and/or Service Cloud licenses? They will also provide deep discounts on other products and services to those associations that qualify for the grant.

Why Systems Rewired?

Our Salesforce association consultants possess a deep understanding of the unique challenges and opportunities that associations face and have the skills and knowledge necessary to help organizations effectively manage their operations and achieve their goals with less. We understand that most associations are asked to do more with less due budget constraints and our service models are geared towards helping organizations select the right solutions at an affordable price.

We believe that all associations should have the opportunity to displace legacy and proprietary offerings that are outdated, hard to upgrades, scale and support regardless of how big or small.

If you are an organization and looking for an experienced company that understands the industry, and considering or using Salesforce for your association, contact Systems Rewired today.

Systems Rewired