4. Where Will You Invest?
Option 1 Option 2
A Salman Khan movie that pays you
15% per 100 prints
A Tiger Shroff movie that pays you
10% per 100 prints
5. How Did You Figure That Out,
Sherlock?
Anticipated impact depending
on circumstances
The X - Factor
The returns you’re getting on
the offer
6. Impact Measurement is the process of
identifying the impacts of a development
intervention, on those social, economic
and environmental factors which the
intervention is designed to affect or may
affect and then monetizing them.
14. SROI
If you can’t measure it, it doesn’t
exist!
15. What Is SROI?
• Social return on investment
• SROI = Present Value
-------------------------------
Value of inputs
• A method to measure the value that you create with
your work, be it social, environmental or economic.
• Value be identified by involving all the stakeholders to
determine what is relevant.
16. Why
• Demonstrate your impact
• Assess a project
• Figure out how to improve.
• Helps you communicate your value
• Puts a value on things that are usually ignored
by the companies.
17. Types Of SROI
Formative
Evaluative
Conducted before starting a project or
NGO.
Conducted after you complete the works.
Predicts how much value you create if
your activities meet their intended
outcomes.
Based on outcomes that have already
taken place.
Used to judge the worthiness of a project
for investing.
Used to evaluate impact.
18. How do you calculate?
• Choose stakeholders.
• Decide on outcomes that matter.
• Choose indicators.
• Give a monetary value.
• Establish impact.
• Calculate SROI
19. Out of School Program
Input Output Outcome Impact
Rs. 1,50,000 50 students
taught in a year.
80% students at
grade level.
No dropouts.
40% more students pass
10th - better jobs.
Less expenditure for the
govt. on unemployment
benefits and health costs.
20. Present Value
• A dollar today is worth more than a dollar
tomorrow.
• PV = C
---------
(1+i) ^n
21. Lets count the beans!
Impact : 40% of 50 = 20 kids. Year 6 Year 7 Year 8 Year 9 Year 10
(A) Increased income per student. 5000 6000 7000 8000 9000
(B) Reduced expenditure to govt
due unemployment benefit
1000 1000 1000 1000 1000
(C) Reduced healthcare
expenditure
1000 1000 1000 1000 1000
(A + B + C ) Total gains per student. 7000 8000 9000 10000 11000
[(A + B + C)* 20] Total impact. 140000 160000 180000 200000 220000
Present Value ( Interest – 6%) 98694 106409 112934 118380 122847
Total Present Value =
559264.
SROI = PV / Input.
22. GP Time!!!
• Form group of 5’s
• Look at your handouts.
• From the logic models you have developed,
choose indicators for your outcomes.
• Calculate PV.
• Find out the SROI.
23. How To Not Use SROI
• Do not compare!
• Do not focus only monetization.
• Choose inappropriate indicators.
24. What do we know till now?
How To Arrive At Outcomes – Logic Framework
Is your outcome ambitious yet achievable? -
SROI
25. Measurement Methods
•Which outcomes are most important
for Investors?
•How will you measure these
outcomes?
•What challenges do you see in
measuring these outcomes?
26. Measurement Methods
A teacher training program was conducted in an academic year. It
led to increase in Maths scores by 85% in 1 year on a standardized
test taken in the beginning and in the end of the year.
Was the program a success?
27. Measurement Methods
A teacher training program was conducted in an academic year. It
led to increase in Maths scores by 85% in 1 year on a standardized
test taken in the beginning and in the end of the year.
Additional information
In other schools without the teacher training program, the
average increase in Maths scores was 83%. Now, do you think the
program was a success?
Now, was the program a success?
28. Control Groups
We need CONTROL GROUPS to do benchmarking!
Even Captain Vijaykant Agrees yay!
29. What Is A Control Group?
School 1 School 2
1. Baseline Survey
2. After school program for weaker
kids
3. Teacher Training program
4. Administrative Support
5. Surveys to measure impact
1. Baseline survey
2. No intervention
3. Surveys to measure results
A group established for studying the improvement in outcomes without the
inputs of the program in consideration.
30. Important Strategies In A Control Group
1. Baseline Surveys - Figure your start point
•Identify stakeholders
•Make Surveys
•Make sure it’s aligned to your outcomes
31. Important Strategies In A Control Group
2. Measurements – Qualitative And Quantitative
Nayeem Bhai plans on taking
a customer feedback on his
Haleem.
32. Important Strategies In A Control Group
Quantitative
Qualitative
How do you feel about the service of our
restaurants?
A rating system is incorporated for both qualitative and quantitative systems