The digitization dilemma of Europe's non-profit organizations: Software as a service to the Rescue!

Abstract

Europe's 5.5 million non-profit organizations (NPOs) with their 250 million members and volunteers are an integral part of European society. They include local clubs (e. g. sports, social, environmental), governing bodies (national/regional associations) and professional associations as well as educational institutions. Radical societal and technological change is putting strong pressure on them to modernize and digitize. At the same time they suffer from an innovation dilemma. We argue that the Software as a Service (SaaS) model offers them the only path to overcome these challenges. It will transform the pressure to digitize from a challenge into an opportunity and unfold both a strong business opportunity and an enormous social return for the society.