Demand for humanitarian assistance is growing and existing financial resources are inadequate to address all areas of need. As stewards of limited funds, we have a responsibility to make the most positive change in the lives of as many people in need as possible. We can make better decisions on which activities to implement and how to implement them, based on equity, client needs, effectiveness, efficiency, and quality. The Best Use of Resources team focuses on informing decision making on efficiency and effectiveness.

Cost Analysis Methodology

The IRC uses the ingredients methodology to conduct cost analysis (Levin and McEwan, 2001). IRC’s methodology note can be found here. 

Cost-efficiency analyses compare the costs of a program, or set of activities, to the outputs achieved (e.g. children treated for acute malnutrition, students reached with a new pedagogy).

Cost-effectiveness analyses (CEAs) are used when the Airbel Impact Lab research team conducts an impact evaluation. CEAs compare the costs of a set of activities to the change in outcomes (e.g. reduction in mortality, improvements in child literacy).

See bottom of the page for IRC’s costing resources and contributions to sectoral guidance and costing methodology.

Cost Analysis to Date

Since the creation of the Best Use of Resources team in 2015, the Best Use of Resources team has completed over 400 cost-efficiency analyses, 24 cost-effectiveness analyses in conjunction with impact evaluations, and 8 scenario models to inform scale and programmatic decision making. The completed reports on a portion of these analyses can be found below.

 

The completed reports on a portion of these analyses can be found below.

This page will be continuously updated as more costing studies are completed.

IRC Cost Analysis Data Sets

The IRC is committed to transparent cost analysis and data sharing. Below are data sets of completed cost analyses, updated on a bi-annual basis.

IRC Cost Analysis Report Library

Economic Wellbeing

Efficiency Guidance

Unconditional cash for basic needs can maximize efficiency by reaching more than 1,000 households per distribution (English)

 

Cost-Effectiveness Analyses

 

Cost-Efficiency Analyses

 

External Analyses

  • Emergency Cash Assistance – Jordan 2019, CARE (English Report)
  • Conditional Cash for Shelter – Indonesia 2019, Save the Children (English Report)
  • Microenterprise Management Training – Nigeria 2020, Nigeria Joint Response (English Report)
  • Graduation Approach – Malawi 2022, Catholic Relief Services (English Report)
  • Multi-Purpose Cash Assistance – Colombia 2022, VenEsperanza Emergency Response Consortium (English Report, Spanish Report)
  • Multi-Purpose Cash Assistance – Colombia 2022, Danish Refugee Council (English Report)
  • Multi-Purpose Cash Assistance – Nigeria 2022, CRUDAN (English Report)
  • Multi-Purpose Cash Transfers – Uganda 2022, Uganda Cash Consortium (English Report)
  • Vocational and Life Skill Training – India 2022, Save the Children (English Report)
Education

Efficiency Guidance

Teacher coaching should only be implemented if coaches will not be supervisors, coaches will have or be supported to develop content-specific knowledge, and coaching will be connected to other forms of teacher professional development (English) 

 

Cost-Effectiveness Analyses

 

Cost-Efficiency Analyses

  • A Small Price to Pay: What the Ahlan Simsim initiative tells us about the cost of delivering early childhood development programs to crisis-affected children – 2024 (English Report)
  • Emergency Response Mechanism (ERM), Play Matters – Ethiopia 2022-2023 (English report, Implementing Partners Ingredient Lists)
  • Girls Education and Empowerment - Sierra Leone 2022 (English Report)
  • Teacher Professional Development  – Iraq, Lebanon, Pakistan, Afghanistan 2012-2015 (English Report)

 

Scenario Analyses

 

External Analyses

Health

Efficiency Guidance

After the early acute phase, latrine construction in large displacement camps can maximize efficiency by creating more than 10,000 person-years of sanitation access (English)  

 

Cost-Effectiveness Analyses

 

Cost-Efficiency Analyses

 

Scenario Analyses

 

External Analyses

  • Construction of Emergency Latrines – Indonesia 2019, Save the Children (English Report)
  • Latrine Construction, Hygiene Kit Distribution – Nigeria 2020, Nigeria Joint Response (English Report)
  • Treatment for Acute Malnutrition – Nigeria 2020, Nigeria Joint Response (English Report)
Power

Cost-Effectiveness Analyses

 

Cost-Efficiency Analyses

  • Community-Driven Development Programs – Somalia, Cote d’Ivoire, DRC, Afghanistan, Myanmar 2012-2015 (English Report)
Safety

Cost-Effectiveness Analyses

 

Cost-Efficiency Analyses

  • Case Management for At-Risk Children – Jordan, Lebanon, Burundi, Tanzania, Mali 2013-2015 (English Report)
  • Legal Assistance Case Management – Iraq 2018 (English Report)
  • Legal Assistance Case Management – Iraq 2015 (English Report)
  • Supporting Survivors of Gender Based Violence – Jordan, Lebanon, Tanzania 2015 (English Report)

 

Scenario Analyses

 

External Analyses

  • Construction of Child Friendly Spaces – Nigeria 2020, Nigeria Joint Response (English Report)
  • Protection Case Management – Jordan 2019, CARE (English Report)
  • Psychosocial Support at Child-Friendly Spaces – Myanmar 2020, Save the Children (English Report)

Dioptra Cost-Efficiency Analysis Tool

Dioptra (https://www.dioptratool.org/) is a web-based cost analysis software for program staff to calculate the full cost per output of program activities, compare results to available benchmarks, and learn evidence-based strategies to improve cost-efficiency. It guides users through a standardized costing methodology to ensure that analysis results are methodologically consistent, based on established metrics, and can be meaningfully compared across different contexts and organizations.

Dioptra is managed within a consortium of 8 NGOs (Accion Contra el Hambre, CARE, Catholic Relief Services, Danish Refugee Council, International Rescue Committee, Mercy Corps, Norwegian Refugee Council, and Save the Children) that provides a high-trust environment for sharing of technical capacity, analysis results, and program lessons.

IRC Contributions to Sectoral Guidance and Costing Methodology

  • A Small Price to Pay: What the Ahlan Simsim initiative tells us about the cost of delivering early childhood development programs to crisis-affected children – 2024 (English Report)
  • The State of Cost-Effectiveness Guidance: Ten Best Resources for CEA in Impact Evaluations – 2022 (English Report)
  • AIR Standards for the Economic Evaluation of Educational Social Programs – 2021 (English Report)
  • USAID Cost Analysis Guidance for Education Activities – 2021 (English Report)
  • A WIN-WIN: Multi-year flexible funding is better for people and better value for donors – 2020 (English Report)
  • Cost Measurement Guidance Note for Donor Funded Education Programming – 2020 (English Report)
  • Taking Intervention Costs Seriously: a new, old toolbox for inference about costs – 2019 (English Report)

This page is managed by the Best Use of Resources (BUR) team within the IRC’s Airbel Impact Lab. BUR supports IRC teams, and partner organizations, in conducting cost analyses to build the evidence base to maximize impact and reach per dollar spent. Please contact [email protected] for additional information or questions.