What is social return on investment analysis?
Social return on investment (SROI) is a performance measure similar to return on investment, but which takes a broader societal perspective to valuing costs and benefits. Social and environmental factors are considered, in addition to economic variables to estimate benefits and costs. The formula used is the same as for return on investment, being benefit minus costs divided by costs, with the results expressed as a percentage. All benefits and cost must be expressed in monetary units.
When do you need return on investment analysis?
SROI models can be helpful in valuing some of the wider determinants of health such as social and environmental aspects. These can include interventions designed to improve a person’s wellbeing or to address aspects of their life such as housing which do not tend to be considered as part of standard health economic evaluations.
How can we help you?
We can help you with:
- Establishing scope and identifying key stakeholders
- Mapping outcomes including theories of change and the relationship between inputs, and outputs and outcomes
- Evidencing outcomes and giving them a value
- Establishing impact including the extent of attribution and any deadweight factors
- Calculating the SROI and presenting it in a similar format to ROI analysis
- Preparing a detailed report to accompany the SROI model
- Organising and hosting training events on the SROI model for internal or external stakeholders