Australia’s NFPs should lead the way in leveraging AI for social good

There is a common misperception that the not-for-profit (NFP) sector lags behind its for-profit counterparts on technology, held back by small budgets and immature processes. But what if the very constraints NFPs face (tight budgets and complex social missions) make them uniquely positioned to innovate with AI for maximum impact?

Australia’s NFP sector is quietly pioneering technology-driven solutions that rival, and sometimes surpass, those of the for-profit world. Australia’s NFP sector is large and diverse, encompassing more than 600,000 organisations that make significant contributions to society. The largest among these are household names, social services organisations that operate multi-sectoral programs at scale, ranging from aged care services and family support services to homelessness supports. 

These organisations know they need to invest in robust tech to achieve their goals and are increasingly trialling varied and sophisticated use cases of AI, typically in the same areas as their for-profit contemporaries. This includes using AI to personalise their services at scale, provide instant customer support, and help their staff complete tasks more efficiently. 

To seize the AI opportunity, there are a few key questions NFPs should ask themselves:

1. What are the pre-existing organisational pain points that AI might help to solve? This could involve using machine learning or AI to boost donations through integrating predictive analytics in the CRM, to increase the effectiveness of reach outs to potential donors, which has been successfully done by UNICEF Australia. Or it could involve using AI-powered tools to free up the time of frontline staff for high-quality care by reducing their administrative workload, such as through drafting case notes and risk assessments, and developing staff rostering. 

2. What are the opportunities to scale resource intensive services? AI can support responsive, person-centred support services at scale by extracting insights on client or cohort needs and preferences from vast amounts of unstructured data, such as customer feedback and file notes, or summarise research findings to strengthen an evidence-based approach. For example, Australian Red Cross has developed tailored AI tools to pull out key insights from complex research documents. 

AI can deliver location-based maps of available services, with tailored results for specific cohorts. In turn, this data can support organisations to use AI to identify gaps, optimise resource allocation, and ensure services are accessible to the people that need them.

3. What are the opportunities to improve service quality or coverage through virtual collaborators or intelligent automation? This could look like using AI-powered analytics to boost understanding of client needs and support triaging. For instance, Justice Connect’s AI model translates the everyday language of people into an articulation of their legal problem and has been found to reduce drop-out rates in the online intake process. Or boosting innovation in program design by using AI to push the team’s thinking on how to address client needs most effectively.  

The ’how’ of designing AI tools can be just as important as the ‘why’. Co-designing AI tools with clients and people with lived experience will help ensure the tools are targeted at providing higher-quality services that better meet client needs.

NFPs are uniquely placed to set the standard for ethical AI because of their deep commitment to social good, and address some of the critical barriers to adoption.

Protecting privacy. While NFPs need to protect the data privacy and security of all their key stakeholders, privacy protection for clients needs particular attention given that many of their clients are experiencing vulnerabilities. This needs careful consideration and appropriate governance. Some ways to address this include in-house AI tools which do not share inputs or outputs with other customers or other AI models. NFPs can lead the way in privacy considerations by developing gold-standard privacy protocols, demonstrating how AI can be used responsibly with vulnerable populations.

Ensuring accuracy and objectivity. There have been several very public failures over the past year where AI tools generated inaccurate information which was not checked before publishing. Humans need to stay in the loop to cross check AI outputs and ensure AI is used to amplify quality work, rather than replace it. Previous automation fails, like Robodebt, have highlighted the significant stress and hardship that inaccurate information or systemic biases can have on clients, particularly those experiencing vulnerabilities. By embedding human oversight and co-designing with clients, NFPs can ensure AI tools are both effective and fair.

Finding the resources to invest in AI. With limited budgets, many NFPs have struggle to secure additional funds to invest in AI.  The growing availability of off-the-shelf AI products and solutions offer a viable pathway for NFPs to harness AI capabilities without the need for substantial investment. Many of these can be easily integrated into existing systems and allow NFPs to scale their AI usage according to their specific needs without incurring large upfront costs. 

Tackling the AI talent shortage. Given tight staffing models, there is often a gap in AI capabilities within NFP organisations, making it necessary to either develop or acquire these skills. This skills gap is increasingly easier to bridge. No-code and low-code AI platforms lower the entry barrier for AI adoption by enabling users to create and deploy AI applications without deep programming knowledge. Forming partnerships with universities and technical schools can be another way to access AI expertise and resources.

For NFPs in Australia, AI tools offer a gateway to much greater efficiencies and capabilities. Unlocking the opportunities requires strategic investment and a willingness to embrace change and experiment. 

Collective effort can help to accelerate AI adoption. The recent National Disability Services AI Summit is a good example of how this can work in practice. The Summit brought the sector together to explore real-world examples of AI in disability service organisations, understand what is required for the ethical adoption of AI, and hear from other disability services professionals on how they are adopting AI. Participants shared case studies and practical learnings from their use of AI, including on good governance. The collaboration will be taken forward through a Community of Practice and further workshops. This kind of sector-wide collaboration is exactly what is needed to ensure AI serves the public interest.

As NFPs pivot towards a more AI-integrated future, they have the potential to lead by example, ensuring that their vital work continues to make an impactful difference in communities across Australia. Embracing these opportunities can enable the sector not just to keep up but to lead the way in leveraging technology to drive positive change at scale. Now is the moment for Australia’s NFPs to claim their place at the forefront of AI for social good and demonstrate that technology, guided by purpose, can transform lives and communities.

Get in touch to discuss how your organisation can leverage AI for social good.

Connect with David Diviny, Marianna Brungs, and Tess O’Brien on LinkedIn.