Now, while preparing the social account they calculated an amount equal to Rs X where
X = A (number of artisans) * B (number of years for which social account is being stated) * C (amount of increase in arisans' income)This resulted in a figure that was huge giving an impression that the NGO had a profound effect on the community it was working with. Whereas this may the case, there is another statistic we should consider - The relative increase in the artisans' income. How much more is the artisan earning as compared to his income without the NGOs intervention. And see how it makes a difference.
If an artisan's monthly income is Rs. 500 then a Rs 100 increase in his income would amount to a 20 percent relative increase. However, if an artisan's monthly income is Rs 5000 then a Rs 100 increase in income would translate into a 2 percent increase. A helluva difference.
So while the NGO may have earned a lot in social accounting, it may have not necessarily made the kind of change in the lives of its stakeholders as it may seem at first glance.