New Research from Decoded Futures Identifies Challenges for Nonprofits in Using AI, Outlines Roadmap for Safely Using AI to Expand Services

Today, Decoded Futures, a Tech:NYC initiative backed by Robin Hood and Google, released a new report on the challenges nonprofits in the education and workforce development space face when incorporating AI into their workflow. The report identifies recommendations for tech companies, philanthropists, funders, and other stakeholders to better support nonprofits as they explore transformative, AI-powered solutions for social services in the nation’s largest city. 

The findings from the research are steering Decoded Futures’ first training program, with an initial cohort of 22 New York-based nonprofits in the education and workforce development space. The program plans to reach over 100 nonprofits in these sectors in the program’s first two years before expanding to other sectors. 

The report found that some of the biggest challenges facing nonprofits include:

  • Nonprofits must contend with two competing voices influencing them on AI, which can lead to decision paralysis

    • One perspective emphasizes AI’s transformational potential and the risk of being left behind

    • The other warns of AI’s inherent risks, dangers, and potential to exacerbate inequities

  • Many organizations have experimented with and are interested in using AI, but face barriers including resource constraints, lack of clear starting points, and difficulty accessing relevant training and support

    • 56% of nonprofit leaders cited resource limitations as significant barriers to launching new strategic initiatives such as AI adoption. 

    • Nonprofits are often unsure of what problems AI can solve or uncertain about identifying AI opportunities. 

  • Tech companies are similarly interested in supporting nonprofits, but face challenges in providing effective services

    • Even when tech companies want to help nonprofits, they are often slow to provide AI support, and are often unsure of what AI support to provide

  • Organization-wide AI adoption requires leadership support and internal champions

  • Establishing formal AI policies at the start can be a roadblock to adoption

    • An iterative approach — which most tech companies interviewed use — allows nonprofits to learn and adjust as they go without the initial burden of rigid guidelines 

    • AI fluency follows the patterns more similar to language development rather than technical training, requiring a focus on consistent practice and experimentation One-off workshops are effective in providing introductory exposure, but establishing regular use of AI requires more consistent touchpoints

Recommendations for tech companies, philanthropic organizations, and other stakeholders include:

  • Create opportunities for nonprofits to figure out questions they should be asking when it comes to AI

  • Reimagine AI training and support to include active learning and practical application opportunities with the guidance of experts

    • The development of AI proficiency appears to follow patterns more similar to language acquisition than traditional technical training — meaning a hands-on learning approach is most effective

  • Show the ‘Art of the Possible’

    • Nonprofits might not know what issues AI can help them address in the first place, so an early step should be to help identify their specific AI opportunities and needs

  • Leverage short-term engagements to help scope problems and help nonprofits adjust to integrating AI into their workflows

    • Long-term engagement will be needed eventually, but that should not preclude us from short-term work like helping to scope problems

  • Look ahead to long-term implementation support and keep an eye on implementation challenges coming down the line

  • Creative supportive, centralized infrastructure to support the sector’s AI journey

Decoded Futures researchers polled over 80 employees from 50 education and workforce nonprofits, tech companies, and other tech-for good intermediaries. The team conducted extensive interviews with 25 organizations and ran three pilot programs based on the interviews, with the goal of identifying challenges and determining the best approach for giving nonprofits AI support.

The three pilot programs included:

  1. Office Hours: One-on-one 60-minute meetings where nonprofits could have whatever AI questions they had answered by the Decoded Futures team and volunteer AI experts.

  2. AI 101 Workshop: A half-day hands-on workshop in partnership with Playlab, training 40 nonprofit employees on AI fundamentals and practical applications.

  3. AI Learning Cohort: A six-session AI learning cohort with 40 nonprofit participants focused on building custom workflow solutions with AI.

Nonprofits face big challenges adopting AI, but we can change that with hands-on training, expert support, and practical tools to empower nonprofits in education and workforce development. The Decoded Futures team urges nonprofits, tech companies and AI experts to work together to build on these findings to help improve our city. 

Quotable:

“We launched Decoded Futures to help bridge the gap between the tech world and nonprofits,” said Julie Samuels, President and CEO of Tech:NYC. “This report helps us further understand how tech companies, philanthropists, and others in the tech ecosystem can better help nonprofits use AI to advance their core missions, ultimately helping all New Yorkers.” 

“We are incredibly excited by these early indicators of the potential for transformation as a result of enhanced AI fluency among nonprofits,” said Bethany Crystal, Program Director of Decoded Futures. “We’re hopeful this report and our subsequent programming will short-circuit the tech adoption curve among the social sector.”

“This report underscores the importance of connecting nonprofits with the tech community,” said Jake Porway, Entrepreneur in Residence at Decoded Futures. “Many people are thinking about AI or talking about AI, but until nonprofits have technologists working alongside them with their best interests in mind, we won’t see much more than talking. I’m pleased that our recommendations provide an actionable path forward and am excited to see how philanthropy applies to them.”

“I’m thankful for all the hard work by Tech:NYC, Robin Hood, and our program partners to make Decoded Futures a reality,” said Bryan Lozano, Director of the Tech:NYC Foundation. “We need to ensure that we tailor AI support to the individual needs of the many nonprofits that want to boost their impact with new technology. This report shows everyone a path toward AI for good.”

“Equipping social service nonprofits to harness AI will create a generational opportunity to lift up tens of thousands of New Yorkers,” said Amber Oliver, Managing Director of the Robin Hood Learning + Technology Fund. “This report offers both a clear view of nonprofit challenges and innovative solutions for overcoming them, serving as a vital roadmap for the sector and the Decoded Futures initiative. We look forward to continuing to support this work and see its impact unfold.”

“Pairing the expertise of nonprofit organizations and the tech sector plays an important part in unlocking the full potential of technology like AI. At Google, we recognize that deepening AI skills and knowledge within nonprofit organizations can enable their work to address some of society's most meaningful challenges,” said Sarah (Hendo) Henderson Rosenberg, Senior Manager at Google.org. “With cross-sector cooperation, we can generate informed solutions and provide organizational support as nonprofits integrate AI into their workflows. We are excited to continue supporting Decoded Futures as they expand their work to impact more nonprofits.

Previous
Previous

Companies to Watch: E-Commerce

Next
Next

Tech:NYC’s Statement on City of Yes Passing the City Council