VA
Insights

In recent years, people become more passionate about getting involved in philanthropy. However, careful consideration is always needed before launching a charitable project. The effectiveness of a charitable project depends on a series of factors, including a clear mission/goal, a feasible implementation plan, a transparent operational model and a normative evaluation system, etc. Setting up a replicable and sustainable operation and monitoring mechanism is critical to ensure professionalism and social impact of charitable projects.

Initiators of charitable projects should always ask themselves the question of “How” – how to plan the project. By doing so, they can better pinpoint customers’ needs, analyze the capacity of the team and anticipate potential challenges and risks. They can also have a proactive understanding about the possible achievements. “Logic Model” serves as an important tool for project planning. It includes multiple dimensions such as resource inputs, project outputs, outcomes and impact (intermediate, long-term). Shortly speaking, the question of “How” helps people form a clear picture of what they already have and what they need. A rational philanthropic practitioner is not simply running charitable projects; more importantly, his/her work should promote the establishment of standard in the filed of philanthropy.

If the question of “How” is about strategic planning, the question of “What” is about performance review – what to evaluate. A scientific evaluation system not only supervises the project team and project progress, but also supports project optimization. The role of independent professional evaluation agencies cannot be underestimated. For example, Foundation Strategy Group is a nonprofit consulting firm specializing in strategy, evaluation, and research. It serves many of the world’s leading corporations, NPOs, and charitable foundations. In China, currently, evaluation of charitable projects is still at a nascent stage, not to mention independent evaluation. But there are still a few players. For example, founded in 2004, Beijing Ruizhi Sunshine Information Consulting Company has completed lots of evaluation projects for leading domestic foundations such as China Youth Development Foundation and China Foundation for Poverty Alleviation. Venture Avenue (VA) has been an active player in this filed as well since early 2009. We have completed more than 200 independent evaluation projects for leading nonprofits both at home and abroad, including One Foundation, British Council, Youchange Social Entrepreneur Foundation, the Carter Center, etc.

Admittedly, there are challenges regarding evaluation methodology and technique even for those professional and experienced evaluation agencies. The following is what VA has observed:

• How to present project impact

The impact of a charitable project goes far beyond measurable results – those numbers. It also depends on descriptive notes. As a leading professional consulting company aiming to empower philanthropy in China, VA has long been working on a comprehensive evaluation system combining quantitative methods and qualitative methods, which aims to deliver a holistic project assessment.

• How to collect and manage big data

For many reasons, a lot of charitable projects fail to collect data during the operation process. This creates barrier for evaluators for many data may be lost upon the time of evaluation. Now the marriage of project evaluation and new media can make some breakthrough. People can record and track project progress using multiple tools, such as words, pictures, video, etc.). Meanwhile, new media also provides an easy way to communicate with various stakeholders.

• How to adapt to and promote a new mechanism

Important elements for a well-functioned evaluation system include project team’s awareness, enough attention as well as building a professional internal evaluation team. An independent professional evaluation agency will be a great help when getting involved at the planning phrase of a charitable project. It is necessary not only for the enhancement of project evaluation but also for shaping people’s scientific understanding of evaluation.

Everybody who is actively engaged in philanthropy should think about the two questions above. Scientific planning and evaluation are indispensible for running an effective a charitable project. They not only increase the impact and transparency of a project itself but also set up a benchmark for other projects, representing a milestone for sustainable development in the philanthropic sector.