Six basics of wise giving:
6. Review your giving
To find out whether you are achieving your goal, you need to review your giving strategy. The strategy should have identified ways to measure your progress towards your goal. Measureable interim outcomes, proxies for outcomes, and measures of outputs can all contribute to determining how effective your investment has been.
First, you need to know that your initiative is causing no harm. Second, find out whether the money and resources are being spent in the most effective ways. Finally, evaluation can determine ‘value for money’. Is the project you are funding good enough to justify the resources being used? Is there a more effective project you can fund instead? This information is as necessary for single consecutive grant commitments, as it is for effective portfolio management.
Evaluation can be a complex topic, and evaluation processes will vary depending on your giving, accountability and reporting needs. The following diagram explains the basic principle:
Source: ASB Community Trust model