I am in love with the not-for-profit sector, I switched around 2006 and almost never look back. I love the idea of helping people, doing good to others, support the world, and make my living as a by-product.
However, I must say that I feel a bit worried. While many great things are happening around, the nonprofit sector seems to stay aside and wait. Wait for what?! you do a great job, however you must understand – there is an essential need to measure your performance. Do not get me the wrong way – YOU need it. not your boss, certainly not the funding organization, not your manager, and not your board of directors. You need it, and you deserve to know what works and what not.
I do believe that not-for-profit is not for profit, but if we are so confident in that – let’s ask: what are you there for? yes, I get you. You are there to help, to support, to facilitate, to give a hope. I agree, I am absolutely with you. However… how do you know that you really help, support, facilitate, etc.?
Let’s get straight to the point – you need to measure. You have to measure your impact, to benchmark between projects, to justify budgets. You cannot just do the “on the surface” stuff like counting and have nice graphs. Because the question: “how many people used our service in the last 12 months?” is a very good question, but what about the impact? what about the help, support, facilitation and so on? The question: “how many people were satisfied from our service?” is a neat question, however does not provide with any insight of your communal impact.
The questions, mistakenly perceived as unimportant, irrelevant, or annoying, are dealing with your impact. This impact can be evidently measured and give you a very clear picture of what works and what not.
Ask yourself – What is the difference between projects? Why project X and not project Y? Why project X must continue? What project holds the highest SROI? What project has got significant impact on your client’s life?
If you do not have answers to these questions – you better start to work on your impact measurement very soon.
The process of impact measurement will be described in my future posts, so stay tuned and feel free to subscribe to the newsletter.