AIDN’s Better Giving Framework is a key resource for funders that shares what we believe, and what our network has helped us to understand, are the key principles that underpin “better” giving and investing in today’s international development sector. The fourth Guiding Principle of our Better Giving Framework is: “A focus on impact”.  Read below to learn more about and access detailed resources on Guiding Principle #4.

AIDN believes that funders should also give with a clear focus on impact and impact measurement from the get-go. For Kevin Starr, CEO of the Mulago Foundation: “Impact is observable, knowable change, but more specifically impact is change that would not have happened otherwise”. For Starr, impact cannot be achieved unless funders think about mission, metrics, change, attribution and cost before funding, and a shared definition of impact between the funder and the doer is achieved.

For many new funders this might seem like a daunting task. However, over the past two decades, effectively measuring and evaluating impact has become a cornerstone of international development praxis. Aid agencies, INGOs and NGOs have developed considerable expertise in Monitoring, Evaluation, Accountability and Learning (MEAL) and should be thought of as potential collaborators. Similarly, intermediaries, such as Partners for Equity, can be a great way to network, share resources or fund with impact.

There are also numerous resources available to evaluate the effectiveness of charities, de-mystify MEAL and reflect on complexities such as contribution vs attribution, on the next page. Platforms such as GiveWell or ChangePath independently assess charities using a range of data and further speak to the ongoing MEAL obligations that regulated charities must adhere to in order to show impact, governance, accountability and sustainability. These resources should empower funders to feel more confident to give.

We also encourage funders to think about how impact is inherently intertwined with other Guiding Principles within this booklet. For example, AIDN has come to learn that rigorous MEAL frameworks should be co-collaborative, led by local leaders but also not overly onerous on organisations or to the detriment of them being able to conduct their vital programmatic work. Funders should also think about “paying what it takes” – i.e funders should not expect an organisation to undertake rigorous MEAL reporting requirements if the funder does not also provide any grants or capacity building to do so.

We also encourage patience and open-mindedness from funders to more diverse and dynamic measures of impact than they may have encountered in other sectors. This is because in international development, indicators, metrics, and measures of impact can vary widely, encompassing everything from the number of vaccines administered, the percentage increase in girls attending school, to shifts in an individual’s understanding or engagement with civil rights. These outcomes may be inherently harder to quantify but that does not mean that less impact has been created.

Finally, AIDN also believes that the greatest funder/doer relationships emerge when funders think purposefully about what type of organisation is most suited to the style and amount of their giving. For example, if an organisation is in an exciting period of scaling up from 5 to 7 million revenue per annum, then a grant of $50,000 might not align with the impact strategy nor produce as much impact as a funder might hope to see. Instead, if a funder is wanting to see their giving become a more critical part of the impact strategy – then $50,000 might be more appropriate for an organisation with a revenue of $1 – 2 million per annum.

For more resources on measuring and evaluating impact: