Tips for Choosing Indicators

Your donors may have specific indicators that they would like you to measure.
Often, however, it will be up to you to choose indicators for your project. In this
module, you will look at your logframe and choose indicators. For each level of
your logframe – inputs, outputs, outcomes, and impact - you should choose at
least one indicator to measure.

It is important to note, however, that every indicator you select will require time
and money to measure. So, choose your indicators wisely, and select no more
than 8-10 indicators for a single project.

Here are a few tips that will help you choose your indicators:
 Tip 1: Each indicator should measure only one thing
 Tip 2: Mix monitoring and evaluation indicators
 Tip 3: Mix quantitative and qualitative indicators
 Tip 4: Research the indicators that other projects use
Let’s explore each of these tips.
Tip 1: Each indicator should measure only one thing
Each indicator can only measure one thing. If you want to measure more than
one thing, you need to include more than one indicator.
Incorrect:
 Number of teachers trained and career guidance resources distributed
Correct:
 Number of teachers trained
 Number of career guidance resources distributed
Tip 2: Mix Monitoring and Evaluation Indicators
Some of your indicators will be more helpful for monitoring, while others will be
more helpful for evaluation. It is important to choose a mix of indicators that will
be useful for both monitoring and evaluation.

In general, indicators that measure inputs and outputs will help you with
monitoring. We often call these kinds of indicators process indicators. Process
indicators tell you whether services are being delivered, whether participants are
showing up, and whether staff are doing good work. Monitoring this kind of
information is really important for decision making.

Indicators that measure outcomes and impact are generally more helpful for
evaluation. Outcome and impact indicators will tell you whether your project
made a difference.

Of course, this distinction is not perfect. Process indicators are often used to
answer evaluation questions, and outcome and impact indicators can help with
monitoring. However, before you select an indicator, it is always a good idea to
ask: what will this indicator be used for?

Tip 3: Include a mix of quantitative and qualitative indicators

Indicators can be divided into two types: quantitative and qualitative. Your M&E
plan should include a mix of both.

Quantitative indicators measure numbers. Let’s say that your team would
like to provide a safe, positive space for youth to gather. An example of a
quantitative indicator would be the number of youth who show up to your space
every week.

Qualitative indicators measure what people think, feel or believe. Let’s

take the same example of an organization that would like to provide safe,
positive spaces for youth to gather. A qualitative indicator would be how
participants respond when they are asked: “what words best describe how you
feel about this space?”

Qualitative indicators sometimes get the reputation of being less valuable or

accurate than quantitative indicators. This is incorrect. True, quantitative
indicators have some advantages: for example, they are often easier to collect
and interpret. However, qualitative indicators tell you different kinds of
information. You will never find out whether your space really feels safe and
positive, for example, by just recording how many people show up! A complete
M&E plan will collect both types of information: quantitative AND qualitative.
Tip 4: Research the indicators that other projects use
Different organizations will often measure the same things. It might make sense
to choose an indicator that has already been used in a similar situation. Not only
will this approach save you time, but it will also ensure that the indicator you
have chosen has been tested.

MEH does not have to invent their own financial prosperity indicators. Many other
organizations measure financial prosperity. For example, the organization
Demographic and Health Surveys, which operates in many countries around the
world, has already created a sophisticated indicator for measuring wealth called
the Wealth Index. MEH may choose to use this indicator.
Try This
Do a quick Internet search of large organizations in your sector. What indicators
do these organizations use? Indicators are often listed in project or program
reports.

Another great source for indicators is the website IndiKit. Indikit has created a
list of development and relief indicators that can be easily used.
Criteria for Strong Indicators
So far, you have had some practice choosing indicators for your project. But how
do you know whether the indicators that you have chosen are strong indicators?
Well, the United States Agency for International Development (USAID) has come
up with seven criteria for judging indicators. You can use these criteria to decide
if the indicators that you have chosen are strong.

The Seven Criteria

Let's take a look at each of the seven criteria, and help MEH decide which of their
indicators is stronger.
1. Objective
Objective indicators are absolutely clear about what is being measured and the
data that are being collected. There is no room for interpretation. An objective
indicator will always mean the same thing, regardless of who is using it.

One way to increase the objectivity of an indicator is to carefully define any

words that might be misinterpreted. For example, if your indicator is "girls will be
healthy," you might add a definition for the word healthy.
Healthy: participants have not been hospitalized in the past 12 months.

It is best practice to clearly define any words that might be confusing in your
Indicators Document. You will have a chance to do this in this module’s
assignment.
2. Direct
A direct indicator measures the input, output, outcome, impact or risk itself. An
indirect indicator will measure something else.
3. Practical
In a perfect world, you would be able to get all the data that you want.
Realistically, however, there is some information that will be too difficult or
expensive to get. That is why it is important to think about our third criteria:
practicality. Before you choose an indicator, ask yourself: Will this be too
expensive to measure? Will it require too much work for my team or for my
beneficiaries?
4. Adequate
A group of indicators is adequate if, all together, they give you enough
information to measure success. If you’re interested in measuring something
very accurately, it is a good idea to define 2-3 indicators that will help you
measure it. For example, to measure their output (girls will receive microloans),
MEH would probably want to measure both the number of microloans and the
size of each microloan.
Keep in mind, however, that 2-3 indicators are ideal – in reality, it might be too
expensive or time-consuming to collect that much data! Your goal is to balance
adequate measurements with practical considerations.

Neither of MEH’s two indicators is adequate on their own. In fact, it might be a

good idea to use both.
5. Useful for Management
Remember, one of the goals of M&E is to be able to adjust your plan and make
good decisions based on the information that you receive. If the indicator that
you chose is not going to help you make good decisions, it is probably not a
strong indicator.
6. Attributable
Would the change that this indicator measures have happened without the
project? Strong indicators are attributable to the project activities. This means
that they measure changes that the project caused. One note of caution: it can
be very difficult to reliably measure attribution without a thorough evaluation!

Both of MEH’s potential indicators (the number of businesses that participants

register with the local government and how successful each new business is)
might be attributable to microloans. However, there are lots of other factors that
could lead to new businesses or successful businesses.
7. Disaggregated
Finally, most strong indicators are disaggregated. This means that the data is
separated into categories. For example, you might disaggregate this indicator:
Number of participants receiving HIV treatment
into these categories:
Gender: Male/Female
Age: 0-5, 5-15, 15-25, 25-35, 35+

It is important to disaggregate your indicators because activities will affect

different types of people in different ways. Note, however, that not every
indicator needs to be disaggregated. If it is not helpful to break an indicator into
different categories, then don’t do it.
Try This: Logframe Update
Review the logframe that you submitted in the last module. Do your indicators
meet the seven criteria we just covered? If not, revise your indicators. The seven
criteria are:
 Objective
 Direct
 Adequate
 Useful for Management
 Attributable
 Practical
 Disaggregated
Introduction to Targets
Now that you have selected your indicators, you are ready to think about targets.
Remember, a target states the level that your project will meet by a certain date.
Targets are a commitment to reach certain results. Setting targets can be a
powerful exercise. It motivates your team to achieve success, and it also ensures
that everyone - team members, beneficiaries, partners, and donors -
understands what is going to be accomplished.

Your targets should look almost identical to your indicators. However, they will
specify the level that you plan on reaching, and the date that you plan on
reaching it.

For example, let’s take MEH’s output indicator and turn it into a target:
Number of loans given out >>>
400 loans will be given out by December 2019

Before you start setting your own targets, here are a few important things to
know about targets.
1. Targets can express quantity, quality or efficiency
Quantity counts the number of something. Example: 1,000 children will receive
health care.
Quality measures how good a product or experience is. Example: 90% of
participants will rank their experience as "satisfactory" or better.
Efficiency measures how well resources like time or money are spent. Example:
80% of project funding will be spent purchasing school supplies.
2. Set your final targets firsT
Final targets - the targets that you plan on reaching by the end of the project -
are usually the most important targets. That is why it is usually a good idea to
set final targets first. Then, you can begin planning all the smaller targets that
you will hit along the way to your final target.
3. Targets can SOMETIMES be adjusted
You make a commitment to reaching your targets, so it is always a good idea to
keep your original targets if possible. In some cases, however, it may be
acceptable to adjust your target. Some of these situations include:
 If funding changes
 If your scope of work changes
 If there is a major change in your target audience
You will want to discuss any changes to your targets very carefully with your
donors, team, and beneficiaries.
4. Targets should be ambitious but realistic
It is important to set ambitious targets because it will motivate your team to
reach high levels of success. Additionally, targets tell your donor how much work
you are planning on doing. If you set your targets too low, your donors may be
reluctant to give you the money you need.

However, targets should also be realistic. When you set a target, you are
committing your team to reaching that target. If you miss a target because you
were unrealistic, everyone involved will end up disappointed: yourself, your
team, and your donors.

Setting ambitious yet realistic targets is a tricky task. We will explore how to do
this in the next part of this lesson.
Setting Targets
Setting targets can be tricky. If we are feeling optimistic, we may set targets too
high. Likewise, if we are feeling pessimistic, we may set our targets too low. To
set targets like an M&E expert, we will need to use data, not feelings, to set
targets. This will ensure that we are not letting our biases or assumptions
influence our decisions.
Baselines
The baseline is the level that your indicator is at before the project starts. For
example, let’s say that your project is distributing Vitamin A supplements to
children. The indicator you have decided to measure is:
Percentage of children who receive Vitamin A supplements

Before you set your target, you find data from the World Health Organization that
states that 20% of the children in your area already receive Vitamin A
supplements. 20% is your baseline. You will set your target higher than 20%.
There are three ways to set a baseline:
 By finding an existing, reliable data source: A previous project or
government agency may provide this data.
 By collecting data: If no data source exists, you may have to collect it
yourself.
 By starting at zero: If your project is providing a new type of service,
your baseline may be zero.
Historical Trends
It is important to know not only the baseline level of your indicators but also if
the indicator has been changing in recent years.

For example, let’s say that your project is trying to increase school enrollment.
You learn that 2 years ago, school enrollment was 55%. 1 year ago, school
enrollment was 60%. Now, school enrollment is 65%.

You can use this pattern - the historical trend - to predict what will happen in the
future. If the historical trend continues, in one more year school enrollment will
be 70%.

So, if you set a target of increasing school enrollment to 70% in the next year,
you might just be helping along a change that would have happened whether or
not your project was implemented. 70% would not be an ambitious target.
Other Sources of Information
When you are setting targets, you may also want to consider these sources of
information:
 Expert opinion: Interviewing people who are experts in the topic and the
local context can be helpful for setting targets.
 Research findings or previous projects: What targets were others able
to hit?
 Stakeholder expectations: In some cases, your donors or beneficiaries
will tell you the targets that they would like you to reach.
 Project Budget: Your budget will determine what you are able to do. For
example, you might want to distribute 80,000 mosquito nets, but only
have the funds to purchase 40,000.
You may not have access to all of these types of information when you set your
targets. However, it is always a good idea to get as much information as you
possibly can before you set your targets.
 Indicators, Targets, and Results: Indicators are the things that you will
measure. Targets are the goals that you plan on reaching, while results are
the levels that you have already reached.
 Strong indicators meet several criteria. These criteria are Objective,
Direct, Adequate, Practical, Useful for Management, Attributable and
Disaggregated.
 Targets should be ambitious yet realistic.
 Collect as much information as you can before you set
targets. This information may include baselines, historical trends, expert
opinions and stakeholder expectations.
Click on the links below to download a blank template version of the indicators
document you completed for your assignment
Additional Resources
Excited to learn more about selecting indicators and targets? Here are a
few optional resources.
 Indikit
Indikit has compiled a list of development and relief indicators
across several major sectors. Each of the indicators in Indikit is
accompanied by practical tips.
 7 Criteria for Choosing Indicators
This short document explains the seven criteria for choosing
indicators in slightly greater detail.