Impact measurement

Measuring the social return on investment


A central part of Lind Invest’s approach to social responsibility is to measure and evaluate if there is a reasonable relationship between the input and output of the projects to benefit the target group as well as society in general.
1 Danish Kroner used in one place cannot be used elsewhere – that is why we are aware that donations for social projects are appointed to projects with the highest value creation and impact. Expectations for impact measurement depend on the size and approach chosen by the project.

In order for us to put the projects’ value creation into numbers, we validate it by composing Social Return on Investment (SROI) analyses for projects. The SROI-method puts a monetary valuation on voluntary work and social effects by comparing the investments made in the social effort with the value created for the stakeholders involved.

Being socially responsible is important to Lind Invest, and the measurable value creation is of particular importance to us, which is why we measure the impact of the project by composing a SROI analysis before we commit us to support a project.

Another approach is to follow up on if the impact that you expect the target group will experience is manifested. This includes a close follow-up of the users in the project and evaluating if this impact is maintained and if it is reflected in a concrete value for society. Therefore, we do and use quantitative observations and questionnaire surveys in gathering data for our analyses of Social Return on Investment (SROI) of the individual projects.

Research by both Gallo Kriserådgivning and Fundamentet shows that users and clients express a large degree of satisfaction with Gallo (95% of respondents) and Fundamentet (100% of respondents). Similarly, many volunteers indicate that the practical experience they get from doing voluntary work is invaluable for Gallo Kriserådgivning. From a societal perspective calculations show that Gallo gains an SROI ratio of 6.43 and Fundamentet an SROI ratio of 7.74, both of which are indeed satisfactory. More specifically this means that every time DKK 1 is invested in Gallo Kriserådgivning, DKK 6.43 of social value is returned to society in the form of saved costs to for example doctor’s visits, psychological consultations and hospitalisations.

Similarly, Fundamentet returns DKK 7.74 of social value to society every time DKK 1 is invested in the organisation. These numbers clearly show that Gallo Kriserådgivning and Fundamentet create added value per DKK invested and thereby extensive value for individuals and for society in general.

Yearly we evaluate and update the SROI-method used for analyses in the individual project and we evaluate how we conduct the data. We use these evaluations to evaluate on the projects’ impact.


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