Welcome to Impact Measurement & Management (IMM) by the GIIN.
As a global organization dedicated to increasing the scale and effectiveness of impact investing around the world, part of the GIIN's role as a leading field builder, is to provide critical infrastructure for integrating impact considerations into investment management. In this section, you will find guidance, information, tools, and other resources designed to help investors navigate and implement impact management into their day-to-day operating practices.
What is Impact Measurement & Management?
Impact measurement and management are integral to making effective impact investments. It includes identifying and considering the positive and negative effects one’s business actions have on people and the planet, and then figuring out ways to mitigate the negative and maximize the positive in alignment with one’s goals. Impact measurement & management is iterative by nature. Consider these four distinct actions to get started:
- Set goals & expectations: Goals should consider the effects an investment has on people and/or the planet and balance investor expectations for risk, return, liquidity and impact.
- Define strategies: There are many pathways to achieving impact goals and meeting expectations. Consider what pathways make the most sense for your portfolio, investment expertise, or client demand.
- Select metrics & set targets: Use relevant output, outcome, and proxy indicators to set targets (as appropriate), track performance, and manage toward success. Impact metrics should ultimately deliver investment decision information, help you learn and pivot when necessary, and strengthen the performance of your portfolio and investment strategy.
- Measure, track, use the data, and report: Impact measurement & management is more than counting metrics. It means considering information about risks, returns, and impact to learn, adjust, and improve investment decision-making.
Investing to create an impact means integrating impact considerations throughout the investment management process. The GIIN is committed to collaborating with other market builders to establish such practices as norms for impact investing. Fellow market builders include The Impact Management Project, OECD, world Economic Forum, and others.
Whether you are new to investing for impact or you’re an experienced impact investor, the resources below have been developed to help you integrate impact considerations into your investment management.
Set goals and expectations: The GIIN has coordinated with a variety of stakeholders through The Impact Management Project, facilitated by Bridges+, to identify shared fundamentals for understanding impact and more clearly articulating goals and expectations.
- Define impact strategies and search for evidence: The GIIN’s Navigating Impact project provides a simple means to align impact goals and expectations to credible, evidence-backed investment strategies – such as those targeting housing, clean energy, or smallholder agriculture – and use metrics that indicate performance toward their goals.
- Select metrics and set targets: IRIS is the GIIN’s catalog of generally accepted performance metrics that the majority of leading impact investors use to measure and manage social, environmental, and financial performance and evaluate deals. The GIIN manages IRIS, and offers it as a free public good to support transparency, credibility, and accountability in impact measurement & management practices across the impact investment industry.
- Measure, track, use the data, and report: The GIIN is developing the Impact Toolkit, which aims to solve for fragmentation among impact-focused resources that support the whole of impact measurement and management. Users will be able to customize their own Impact Toolkit, which matches them with the systems, methods, indicators, and data that are best suited to their specific needs.
Where can I find more information about IMM practice and performance?
The GIIN is well-regarded for its industry-defining research reports and practice-oriented cases and guidance. In service of the GIIN’s mission to increase the scale and effectiveness of the impact investing industry, the following resources have been produced specifically with impact measurement and management in mind.
Big picture resources
- The IRIS Registry houses a list of organizations and the metrics & measurement systems they use.
IRIS data briefs
Linkages: The GIIN partners with leading market builders to harmonize impact measurement metric sets, methodologies, and assessment tools. These linkages serve as a “cross walk” between otherwise independent efforts and IRIS, supporting the consolidation and effectiveness of IMM practices globally. Access the GIIN’s linkages here.
IMM Case studies:
Does IMM at the GIIN offer more tailored support to help with getting started?
To more deeply engage with our team, we encourage you to consider GIIN membership, where you can access one-on-one virtual “office hours” and receive answers to your questions from a GIIN IMM specialist, and also keep an eye on upcoming IMM trainings, which are open to non-members.