As generative artificial intelligence (AI) tools, like ChatGPT, become increasingly accessible, nonprofits face new opportunities—and responsibilities—in how these tools are used to support fundraising efforts. AI can help cash-strapped organizations maximize their impact, streamline operations, and connect with supporters. However, to stay true to the nonprofit mission, it’s essential to ensure AI is deployed ethically, protecting both the organization and those it serves.
The following are three foundational ways nonprofits can ethically leverage AI in fundraising while aligning with their values and social good mission.
1. Keep Human Needs at the Core
A common pitfall when adopting AI is becoming captivated by the technology itself rather than focusing on the mission-driven needs it should address. An effective and ethical approach to AI starts by "falling in love with the problem, not the technology." For nonprofits, this means asking key questions: What fundraising challenges could AI help us solve? How will this improve relationships with donors or make services more accessible? When AI tools are implemented to solve real, mission-relevant challenges, nonprofits can utilize technology without losing sight of their primary purpose—serving communities. As I always remind nonprofit leaders, relationships are the key to successful fundraising.
In practice, consider using AI to improve donor engagement and help stewardship efforts by analyzing donor preferences and tailoring communications to their interests. Rather than focusing on AI’s novelty, nonprofits should emphasize how it deepens human connections.
2. Evaluate and Mitigate Bias Proactively
As with any technology built on historical data, AI can inherit and potentially amplify biases present in that data. If left unchecked, these biases could misguide fundraising strategies or inadvertently alienate key supporter groups. For example, an AI-driven tool that analyzes donor behavior may suggest strategies that favor specific demographics while overlooking others, resulting in an inequitable approach to donor engagement. Always be mindful of your own biases when creating prompts in ChatGPT or other AI tools.
To avoid these pitfalls, nonprofits should implement bias-evaluation protocols from the beginning. This includes assessing datasets for representational fairness and regularly monitoring AI outcomes to ensure equitable impact. By proactively evaluating for bias, nonprofits demonstrate a commitment to inclusivity, ensuring their AI-driven approaches honor the diversity of their donors and communities.
3. Create an Ethical AI Policy
A comprehensive AI policy is crucial to guide ethical usage organization-wide, minimizing risks while setting clear boundaries and expectations for AI use. An AI policy can cover ethical standards, transparency, data privacy, and best practices, all tailored to reflect the nonprofit’s mission and values. For instance, policies can specify when human oversight is needed in AI decision-making processes, such as in sensitive donor interactions. Or have guidelines on when and how AI can be used in grant applications or donor communications.
A well-crafted AI policy serves not only as a safeguard against unintended consequences but also as a public commitment to responsible AI use. It can reassure supporters that the organization uses AI transparently and ethically, strengthening trust and credibility.
Overall, while AI offers transformative potential, nonprofits must adopt their use of these tools carefully. By prioritizing human needs, mitigating bias, and establishing ethical guidelines, organizations can embrace AI as a mission-aligned tool that supports rather than disrupts their work.
Cheers,
Michelle Crim, CFRE
Dynamic Development Strategies can help. We offer coaching, grant writing, and fundraising services for our nonprofit clients. We specialize in small to mid-size organizations because we understand your challenges. Please contact us for more information.
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