New Blackbaud Institute Report Reveals Key Drivers of Effective Risk Management for Social Impact Organizations

Rhea-AI Summary

Blackbaud (NASDAQ: BLKB) has released its 2025 Risk Readiness Report through the Blackbaud Institute, analyzing risk management in social impact organizations. The study, based on a survey of 549 social impact professionals, identifies three organizational segments: Reactive (23%), Responsive (48%), and Proactive (29%).

The research reveals that organizations prioritizing technology and talent show greater resilience, regardless of size. Key findings show that while government policy changes and revenue are top concerns, only 30% of professionals feel prepared for these challenges. Notably, 57% of proactive organizations had fewer than 100 employees, and only 37% reported annual revenue over $11 million, demonstrating that strategic mindset outweighs resources in risk management effectiveness.

Positive

• Organizations implementing proactive strategies show higher preparedness across all 13 risk areas
• Strategic mindset matters more than resources for effective risk management
• Proactive organizations demonstrate successful integration of multiple tech solutions and technology continuity plans

Negative

• Only 30% of professionals feel prepared for government policy changes and revenue challenges
• Less than 25% of organizations have a staff continuity plan despite burnout being a top challenge
• 23% of organizations remain in a reactive state regarding risk management

Organizations That Prioritize Technology and Talent Investments Report Significantly Lower Concerns about Managing Risk

CHARLESTON, S.C., Aug. 13, 2025 /PRNewswire/ -- The Blackbaud Institute, a research lab at Blackbaud (NASDAQ: BLKB), the leading provider of software for powering social impact, today released a new report, Risk Readiness: A Report on Leading with Confidence in Uncertain Times. Drawing from a national survey of 549 social impact professionals, the findings reveal that organizations that embrace proactive strategies and cultivate a culture of innovation are not only weathering uncertainty but emerging stronger and more resilient.

While many social impact organizations are feeling uncertain about the next three years, the report identifies the strategic tactics that set confident organizations apart. The 2025 Risk Readiness Report takes a comprehensive look at the 13 most pressing risks facing the social impact sector and provides actionable insights to help leaders proactively address these challenges.

"Risk is universal, but readiness isn't," said Todd Lant, chief customer officer, Blackbaud. "This research shows that proactive organizations who adopt a risk-ready mindset, prioritize innovation, and invest in tech and talent, are confidently navigating change—and achieving success. What's more, the data clearly demonstrates that these tactics aren't exclusive to large organizations or those with endless resources. Confident and prepared organizations come in all sizes."

Key Findings from the Report

• Three Distinct Readiness Segments Emerge: Based on cumulative readiness scores, organizations fall into three categories: Reactive (23%), Responsive (48%), and Proactive (29%), with proactive organizations showing lower concern coupled with higher preparedness across all 13 risk areas.
• Government Policy and Revenue Are Top Concerns: Overall, government policy changes and revenue are top concerns. While only 30% of professionals feel prepared for these challenges, they share a proactive mindset and a focus on the future. They are more likely to have recently updated their strategic plans, be engaging their boards, setting clear fundraising goals, focusing on their technology strategy, and hiring to get the right people in the right seats.
• Technology Sets Proactive Professionals Apart: Technology is a predictive factor in whether an organization is Reactive or Proactive toward risk overall: the least prepared professionals worry more about efficient use of their tech platforms, data security and tech training, and they are less likely to have a cybersecurity policy. Meanwhile, Proactive organizations are significantly more likely to have upgraded their technology, integrated multiple tech solutions, and implemented technology continuity plans.
• Staff Continuity Remains Key: Staff burnout tops organization-related challenges, yet less than a quarter of organizations surveyed had a staff continuity plan. Proactive organizations are investing in talent, updating employee benefits, and improving internal communications to ensure resiliency.
• Readiness Isn't Determined by Resources: Organization size or budget doesn't dictate readiness. Among proactive organizations, 57% had fewer than 100 employees and less than half (37%) reported annual revenue over $11 million, proving that strategic mindset matters more than resources.

The report features a readiness assessment tool that allows readers to evaluate their own organization's preparedness and receive personalized action steps for building resilience. This offers a risk barometer for social impact organizations, backed by data from leaders across the sector.

For more information, the full Risk Readiness report can be accessed here. All Blackbaud Institute resources are offered for free, as part of Blackbaud's commitment to accelerating social impact through data-driven insight.

About The Blackbaud Institute
The Blackbaud Institute develops leading-edge research and convenes expert voices to equip the social impact community with knowledge, insight, and confidence. The Blackbaud Institute draws from Blackbaud's data set, the most comprehensive in the social impact community. In addition, the Institute facilitates public research studies to drive original qualitative and quantitative insight. Our research agenda is grounded in a commitment to topics that social impact organizations can apply immediately to better understand, benchmark, and improve their essential business operations. We are guided by our commitment to the social impact sector to provide timely, transparent, and well-rounded research that is free to access. From how organizations run to how donors give, we're 100% focused on research and resources for this sector.

About Blackbaud
Blackbaud (NASDAQ: BLKB) is the leading software provider exclusively dedicated to powering social impact. Serving the nonprofit and education sectors, companies committed to social responsibility and individual change makers, Blackbaud's essential software is built to accelerate impact in fundraising, nonprofit financial management, digital giving, grantmaking, corporate social responsibility and education management. With millions of users and over $100 billion raised, granted or managed through Blackbaud platforms every year, Blackbaud's solutions are unleashing the potential of the people and organizations who change the world. Blackbaud has been named to Newsweek's list of America's Most Responsible Companies, Quartz's list of Best Companies for Remote Workers, and Forbes' list of America's Best Employers. A remote-first company, Blackbaud has operations in the United States, Australia, Canada, Costa Rica, India and the United Kingdom, supporting users in 100+ countries. Learn more at www.blackbaud.com or follow us on X/Twitter, LinkedIn, Instagram and Facebook.

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Forward-looking Statements
Except for historical information, all of the statements, expectations and assumptions contained in this news release are forward-looking statements that involve a number of risks and uncertainties, including statements regarding expected benefits of products and product features. Although Blackbaud attempts to be accurate in making these forward-looking statements, it is possible that future circumstances might differ from the assumptions on which such statements are based. In addition, other important factors that could cause results to differ materially include the following: general economic risks; uncertainty regarding increased business and renewals from existing customers; continued success in sales growth; management of integration of acquired companies and other risks associated with acquisitions; risks associated with successful implementation of multiple integrated software products; the ability to attract and retain key personnel; risks associated with management of growth; lengthy sales and implementation cycles; technological changes that make our products and services less competitive; and the other risk factors set forth from time to time in the SEC filings for Blackbaud, copies of which are available free of charge at the SEC's website at www.sec.gov or upon request from Blackbaud's investor relations department. All Blackbaud product names appearing herein are trademarks or registered trademarks of Blackbaud, Inc.

 

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SOURCE Blackbaud

FAQ

What are the key findings of Blackbaud's 2025 Risk Readiness Report?

The report identifies three organizational segments: Reactive (23%), Responsive (48%), and Proactive (29%), with proactive organizations showing higher preparedness across 13 risk areas. Government policy changes and revenue are top concerns.

How does organization size affect risk management according to BLKB's study?

The study reveals that size doesn't determine readiness - 57% of proactive organizations had fewer than 100 employees, and only 37% had revenue over $11 million, showing strategic mindset matters more than resources.

What percentage of social impact organizations feel prepared for key challenges in 2025?

Only 30% of professionals feel prepared for the top challenges of government policy changes and revenue management.

How are proactive organizations addressing technology risks according to Blackbaud's report?

Proactive organizations are more likely to have upgraded their technology, integrated multiple tech solutions, and implemented technology continuity plans, showing better preparedness for cybersecurity and tech-related challenges.

What is the main staff-related challenge identified in BLKB's 2025 Risk Readiness Report?

Staff burnout is identified as the top organization-related challenge, yet less than 25% of organizations have a staff continuity plan in place.