Before we can answer the question, it is first necessary to delve a little deeper into impact reporting as a whole. Click on one of the links below to go straight to the topic.
The purpose of impact reporting is twofold:
to calculate the value of voluntary efforts in the community,
and to valaute the support that organizations, and those seeking help, receive from the community.
This helps you communicate the impact your volunteers make by validating and celebrating it. In addition, it provides accountability, creates a business case and builds credibility for your organization.
A clear framework for measuring the impact consists of a good balance between qualitative and quantitative data. At the moment we see a big emphasis on the qualitative side because it is easier to understand and easier to read. But don't forget: stories create connections, numbers convince people. They bring a sense of precision to even the most inaccurate stories. This is also important for the funding party, who wants to see that your project has demonstrable value for local communities and individuals.
A good approach works as follows:
Start by determining the value before organizing the quantitative data. Numbers mean nothing if you don't know what value they represent.
Ask yourself who your target group is, what they care about and how you or your organization make a difference.
Then, organize the data you collect and decide which metrics best represent this change.
Then combine the qualitative and quantitative data. For example: start with a volunteer story about person X. Follow this up by saying there are 3,400 other volunteers like
There are of course also other questions you can ask to convey what you do as best as possible.
Sample questions:
Are we helping people as we promised?
Are we supporting the people we said we would?
Is there a clear demand for the service we provide?
Is there a lot of demand for the service we provide?
Is the demand constant - do people come back?
Is the problem we are solving the most important in our context?
We recognize that there is no one-size-fits-all approach to impact reporting. Want to know more about this? Watch our Inspiration Session "The art of impact reporting" here.
Impact calculator, net monetary value and your Social Return on Investment (SROI)
But impact reporting also has another side. Because what if we look at the monetary or economic value of voluntary efforts? Can we put a price tag on something that is priceless?
We think you can at least estimate the monetary value (costs saved directly) of volunteering in your organization using our impact calculator.
The calculator estimates the monetary value of volunteer work, based on:
the number of matches,
or, if you have those exact data, the number of hours of volunteer work (possibly classified based on different sectors).
If you also record the investments made (salaries, project costs, overhead costs and more), you can estimate the net monetary value of your impact and the Social Return on Investment (how much value 1 invested euro represents).
Net monetary value = (number of matches in a period X 4.1 hours per week X minimum wage) - costs
SROI = (number of matches in a period X 4.1 hours per week X minimum wage) / costs
If you know the exact number of hours, the calculation is easier and more reliable.
Net monetary value = (number of hours X minimum wage) - costs
SROI = (number of hours X minimum wage) / costs
Don't forget that the economic value (direct and indirect costs saved) is much higher than this value, but also much more difficult to calculate.
A fun fact: we have estimated the monetary value of volunteer work in the Netherlands between 15.5-24.67 billion. That is between 1.35% and 2.46% of GDP! And we haven't even been able to calculate the economic value yet. Amazing, right?
Good luck measuring and gaining insight into your impact using our impact calculator. Would you like to know more or discuss this with someone? Watch our inspiration session or contact us.