Impact Measurement in the Not-for-Profit Sector: Learning from Six Varied Approaches

Impact measurement is an intriguing concept that many not-for-profit organisations want to explore. While adopting impact measurement practices can offer valuable insights, it's essential for not-for-profits to maintain a balanced perspective.

Although there's no universally accepted approach, it's worth examining how different organisations have experimented with this concept, both present and past. Let's delve into six interesting examples that provide rich learning opportunities.

  1. Flourish Australia A few years back, Flourish Australia embarked on a shift towards outcome measurement, building project logics at all levels. Their proposed Outcomes and Improvement framework aimed to be a central tool for monitoring, evaluating, and celebrating their outcomes.

  2. ChildFund Australia has historically taken a structured approach to correlate individual program outcomes to organisation-wide impact measures. Their Monitoring and Evaluation Framework aimed to provide a solid infrastructure for their diverse programs.

  3. Taskforce Community Agency devised an organisation-level program logic to articulate how their diverse programs generated outcomes. Their Outcomes Framework showcased how individual programs contributed to the organisation's overarching impact goals.

  4. Open Minds prioritised client experience by conducting an organisation-wide survey, supported by case studies and anecdotes. Their approach captured a comprehensive view of client outcomes. Check their 2018 report for a glimpse.

  5. Stride currently uses the Your Experience of Services (YES) tool for consistent data collection across their service offerings. The YES survey, created by the Australian Mental Health Outcomes and Classification Network, aids in improving services by capturing consumer experiences and impacts on their wellbeing.

  6. Mission Australia adopted the Personal Wellbeing Index (PWI) in the past to gather consistent indicators relevant to their service offering. Their Impact Measurement and Client Wellbeing Report detailed how diverse sources like ABS, HILDA, WHO, and PWI were utilised for exhaustive impact measurement.

What's notable in these examples is a common inclination towards understanding the experiences and wellbeing of beneficiaries. While some organisations, like ChildFund Australia and Taskforce Community Agency, lean towards structured frameworks to demonstrate programmatic and organisational impacts, others like Open Minds and Stride opt for holistic survey tools to gauge the beneficiaries' experiences across their organisation's services at a point in time.

Meanwhile, organisations like Flourish Australia and Mission Australia have sought to embed outcome measurement into their everyday service delivery that roll up to broader organisational impacts.

While adopting impact measurement practices can offer valuable insights, it's essential for not-for-profits to maintain a balanced perspective.

Over-investment in complex measurement systems or diverting significant resources towards this effort may inadvertently distract from an organisation's core mission and activities. Hence, rationalising the scope and depth of impact measurement is vital to ensure it complements rather than impedes an organisation's purpose-driven efforts.

These varied approaches underscore the evolving and experimental nature of impact measurement in the not-for-profit sector. Each organisation's unique method emphasises the importance of aligning measurement strategies with specific goals and operational contexts.

Even as organisations ponder the relevance and application of impact measurement, these examples present rich insights for ongoing explorations in this domain.


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