II.
What are the benefits of using an application
service provider?
The
main organizations that use application
service providers are smaller organizations
with moderately sized budgets and larger
firms with a desire to outsource these same
services or a need to insure that all their
affiliates around the country can access
the same information.
The ASP system is easy to learn and use.
Because access to the software is through
the Internet, it is easy to access information
remotely or from within the office.
And for this reason, too, access is available
to more constituencies within your organization.
It is no longer staff alone that can retrieve
and enter data but volunteers, board members
and donors as well.
Flexible access to the database has many
advantages. For example, the user
can access a particular donor's file before
making a personal solicitation. No
longer do you need to print out and fax
materials ahead of time to your fellow solicitor
to study before going on the solicitation
call. And because a laptop can go
anywhere, so can your venue for accessing
data. Another big advantage of ASPs
is that you get your answers fast because
the Internet is fast.
The ASP system is easy and inexpensive to
maintain. You will not need to upgrade
your software by purchasing new editions
nor wait a year or more for an upgrade as
upgrading is a continual and seamless process
that does not require you to purchase anything
additional. You will also not need
to upgrade your hardware when youwant to
add applications. Technical support
is free. And, because you subscribe
to this service, you can get rid of it at
any time the needs of your organization
change.
The ASP system will perform more functions
than traditional software because data can
be integrated in any way that you choose.
Your data is secure because the server of
your application service provider is offsite
and secure. And lastly, for those
who feel they are not technology buffs,
ASPs make access easy and free for users
needing to learn a new traditional software
package.
III. What are the challenges of
using an application service provider?
The argument previously mentioned is the
chief argument for not using an ASP.
If your office is not very well set up in
terms of Internet technology then adding
this resource will be costly to you.
In addition, access and speed could be a
problem for users who are geographically
remote from connectivity to a line.
Often, you will need a certain volume
of transactions to contract with an application
service provider. If yours is a small office,
these service fees may not be within your
budget. You may have start up fees as well.
Because service fees are calculated according
to the number of users, large offices with
many users might find traditional software
the least expensive means.
Many nonprofits are concerned about their
ability to control the data if they sign
up with an ASP but this issue has been counter
addressed as well.
IV. What are the kinds of application
service providers available for your organization?
Identify the functions you need traditional
software to perform. Application service
providers aid the nonprofit world and the
corporate world alike in managing your data.
In some companies such as eTapestry data
can be woven into your existing web site.
However, integration to the web site is
not required with eTapestry so it is simple
to setup and use.
Generally, the list of functions that
an ASP can perform include: donor database
management, accounting, e-commerce, online
donation collections with credit card processing
and information collection, the recruitment
of volunteers, and fundraising and advocacy
functions with customized mailings.
As each application service provider offers
different functions, you will need to interview
the various providers, tell them your needs
and find out costs.
Sources:
Deane, Nicolas, “ASPs Getting Hot,”
The Nonprofit Times, June 15, 2000;
Osten, Marc and Stein, Michael, “Application
Service Providers,” TechSoup.org (reprinted
by that site from The Nonprofit Quarterly,
April 10, 2001).
Reproduced by permission of FundraisingINFO.com
and also by the Texas Association of Nonprofit
Organizations where this article appeared
in the Summer 2001 edition of Texas
Nonprofit under the title, “Application
Service Providers: A Software Solution for
Your Nonprofit Agency?” Also accepted
for publication in March 2002 issue of Fund
Raising Management magazine.