This is a re-post from the blog post of Grassroots Reconciliation Group (GRG).
The Grassroots Reconciliation Group (GRG) has one of the highest per capita societal impacts of nonprofit organizations around the world, according to an independent evaluation done by a Swiss-origin firm that assesses the impact of charities globally.
GRG achieved a social return on investment (SROI) of 35:1 compared to a normal ratio of 5:1 to 15:1 of other nonprofit organizations. Read the full assessment below.
“For every dollar invested in GRG, $35 of equivalent societal value are created.”
The impact evaluation was done by Valuing Impact (VI), an international independent monitoring and evaluation company that helps organizations integrate the value of human, social, and natural capital into decision-making by providing innovative methods, data, and experience.
VI’s clients include Nestlé, Ikea, Olam, Natura, Wilstar, Novartis, Nespresso, and more. VI was founded in Switzerland and now operates in Guatemala, Brazil, and other locations.
GRG’s social return on investment (SROI) of 35 puts it among the top performing organizations globally.
The assessment for GRG considered the societal benefit per year of activity, using the reported beneficiaries over a 5-year cycle.
The assessment showed that GRG provides a total societal benefit of $1.5 million USD per year.
Most of the positive societal benefit is derived from the education provided to children (a complete year of education), thanks to the community microfinance [and related income generating] activities.
How this compares to other NGOs. Valuing Impact states that “In general, ratios of 2:1 ratio are considered beneficial and worth investments. Meanwhile SROI ratios below 1 are deemed underperforming and require improvement. … The SROI ratio of [GRG] is in a range of high performance.”
GRG has created $1.5 million of societal value through its activities on its average budget of $43,000/year.
The study said that there is also a high societal benefit from GRG’s trauma counseling work through psychological support to a large number of beneficiaries (386) per year, as well as its land rights work. In the latter, a proportion of GRG women participants (93) gained access to land rights. The increased mental health from trauma support and cultural activities oriented to heal trauma are important for beneficiaries, that have been through a [traumatic] experience.
“Some organizations targeting very challenging situations with success have a higher SROI, although it is rare. Grassroots has a SROI of 35, which belongs to the top performing organizations.”
The study has also helped GRG improve its programs, as it allowed us to reflect on the activities that give the most societal benefit. Since the evaluation, GRG has:
doubled down on microfinance programs
started a new direct program with a school
helped communities plan for impact through their group development plans, and
hired a full-time trauma counselor.
We plan to continue to learn from our projects and activities through annual assessments. And we will continue to strive to have the biggest possible impact to help former child soldiers and impoverished communities recovering from war.
More information on the analysis and results is provided in the following PDF document:
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