Philanthropy and AI: Research and Reports

Published October 29, 2024
Every two years, the Technology Association of Grantmakers (TAG) conducts its preeminent philanthropy tech survey to understand the policies, practices, and perceptions within the grantmaking community. As the only comprehensive survey focused on technology in philanthropy, it offers valuable insights into how grantmaking organizations are leveraging technology to advance their missions, deepen their impact and manage risk.

Artificial intelligence (AI) is shown to augment employee productivity at for-profit organizations, yet the effect of AI on volunteer productivity at nonprofit organizations (NPOs) remains an open question. The impact of AI in the volunteer context may differ from the employee context as volunteers are not motivated by monetary incentives. Understanding how AI influences volunteers' productivity is critical as NPOs embrace AI and rely on volunteers as a valuable labor force.

OpenAI, creator of ChatGPT, was founded as a nonprofit with a mission of ensuring that artificial general intelligence benefits all of humanity. ChatGPT was therefore intended to advance the common good, sharing an underlying principle with philanthropy and the nonprofit organizations it supports. This was not the first association of machine learning with philanthropy, particularly in terms of algorithms designed for control versus those aimed at doing good. In 1974, a white paper by Heinz Von Foerster, a polymath scientist who happened to be president of an important foundation, considered the potential of computer-based feedback systems to improve “giving with a purpose.” A review of his paper served as the impetus for this essay, which explores the antecedents of contemporary predictions regarding the potential of AI to enhance the practice of philanthropy.

This comprehensive study examines the degree to which philanthropic foundations are adopting data and technology to enhance their impact. It explores the strategies, practices and challenges that foundations face in unlocking the full potential of data.

The article suggests that adopting AI tools can help nonprofit organizations better understand the needs of donors, improve operational efficiency, and ultimately, achieve a greater impact.