Assessing the economic impact of third sector organisations is a key research priority for TSRC. It has a particular focus on the role that third sector organisations (TSOs) play in delivering public services and contributing to general community wellbeing.
Key questions
• Contrasting and combining economic and social impact
• The effectiveness of existing tools for impact assessment within TSOs
• Defining and measuring the added value of third sector activity
• Development of aggregate measures of impact
Current work
We are engaged in a review of the wide range of existing methods and tools for measuring impact within TSOs including Social Return on Investment (SROI), blended impact measures and other adaptations of cost/benefit analysis. We are also developing sector wide analysis of the economic impact of third sector activity and its contribution to the wider economy, including analysis of workforce trends, volunteering and third sector value.
We are also developing quantitative measures of aggregate impact and will utilise existing datasets to explore operationalisation of these.
Next steps
• Completion of scoping papers on different impact measures including SROI
• Expert seminar on impact measures
• Quantitative analysis of income, workforce and volunteering
• Critical assessment of classic economic tools including cost analysis, cost benefit analysis, cost utility analysis and cost effectiveness analysis
• Development and operationalisation of aggregate measures of value
Research contacts
Steve McKay (Research lead)
Domenico Moro
Pete Alcock
Malin Arvidson
Fergus Lyon
Andrea Westall