Social Return on Investment
SROI is an impact measurement tool which looks at the complete story of an organisation's outcomes using a combination of narrative, qualitative and financial measures.
SROI is a way in which an organisation can look at what it does, measure the difference that activity makes to people's lives, and tell a robust story about that difference or impact. It provides a financial proxy value of the impact made by an organisation or programme, which can be understood alongside traditional financial costs. It is transparent and consistent and aims to demonstrate the social value of activities in a tangible way that everyone can understand.
SROI has become increasingly significant over the past few years especially for third sector and voluntary groups who are seeking tools with which the impact of their work can be valuated, measured and proven.