Feedback needed on donation workflow

MicheleJeican
MicheleJeican Posts: 22 ✭✭✭
Voter Third Compass Anniversary 10 Comments Grant Lifecycle Manager (GLM)
edited February 26 in Finance & Operations

Hi everyone,

I’m looking for feedback on our current donation workflow to see where we might improve efficiency, strengthen internal controls, or streamline steps. We have a part-time gift entry person and another staff member who assists with gift entry. Below is our current process:

Current Donation Workflow

  1. Mail Opening
    • ED opens mail, makes notations where needed, and distributes donation checks to Gift Entry staff.
  2. Gift Entry
    • Gift Entry staff makes a copy of the check and envelope as well as any other materials included from donor.
    • Donation is entered into CSuite.
    • Staff completes deposit slip.
    • Check copies and deposit slip are provided to Finance.
  3. Finance Review & Posting
    • Finance verifies deposit slip total against enclosed checks.
    • Finance posts donations and runs TIL in CSuite.
  4. Bank Deposit
    • Finance takes deposit to the bank.
  5. Acknowledgment Letters
    • Gift Entry staff prepares acknowledgment letters.
    • Letters go to ED for signature.
    • Signed letters are returned to Gift Entry.
    • Signed letters are scanned with copies of the check, envelope, and any additional materials.
    • Signed letters are mailed.

I’d appreciate input on:

  • Separation of duties / internal control improvements
  • Opportunities to reduce handling steps
  • Electronic deposit best practices
  • Acknowledgment processing efficiencies
  • Any automation you’ve implemented successfully

Thank you in advance for sharing how your organization handles this!

Michele Jeican
Director of Finance
Northern New York Community Foundation
Watertown, NY

Michele R. Jeican, Director of Finance

Northern New York Community Foundation

131 Washington Street

Watertown, NY 13601

Tagged:

Comments

  • NikkiHilchey
    NikkiHilchey Posts: 11 ✭✭✭
    Solution Finder 10 Comments Second Compass Anniversary 5 Up Votes

    Hi Michele. Our process flips a couple pieces compared to yours:

    1. Mail Opening
      1. Administrative Officer opens mail, notes in our group Slack channel any gifts of $1,000+ and their designation, and distributes donation checks to the Finance team. If the designation is unclear, the team chimes into the chat to share what they know (e.g., where the donor usually gives, a recent solicitation, a conversation that's not documented in CSuite yet).
      2. Controller receives communications for all direct desosits, wire and stock transfers: notes gifts in our group Slack channel to confirm designation.
    2. Finance Review
      1. Controller scans a copy of the check and envelope as well as any other materials included from donor or documentation for all electronic donations to a secure, shared folder.
      2. Controller completes an electronic bank deposit.
      3. Controller files hard copies of donation documentation per our retention policies.
    3. Gift Entry & Acknowledgments
      1. Development Officer enters and posts donations in CSuite.
      2. (Controller runs TIL in CSuite.)
      3. Development Officer prepares acknowledgment letters.
      4. Letters go to Vice President of Philanthropy for review and signature.
      5. Signed letters are mailed. If any donor has asked for tax acknowledgement by email, signed letter goes to Development Officer to scan and email.

    For separation of duties /internal controls, every staff member has an assigned secondary person who can take over during time off, and some have limitations:

    • The Administrative Officer's second can be any member of our Donor Services Team who is not the Development Officer. If the Controller is out, the Administrative Officer can assist with creating the scan of gifts.
    • The Controller's second is our Data Management and Technology Officer. The Controller (or their second when acting as the Controller) cannot open mail.
    • The Development Officer's secod is also our Data Management and Technology Officer; he cannot serve in both roles at once, so we are careful with scheduling time off across the team. (This has not been an issue in the 2 years I've been on staff.) The Development Officer cannot open mail.

    Most of our team works hybrid and are typically in the office 3-4 days/week, with the exception of the Administrative Officer who is in every day. This process works well to keep things flowing regardless of each person's work location for the day.

    Happy to answer any questions you might have, or refer you to a team member who can answer them!

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