Target Stakeholder Socioeconomics (PD2541)

This metric is intended to capture the socioeconomic details of the target stakeholders of the organization's activities. Organizations can benefit people and the planet throughout their supply and distribution chains, by providing products or services, and through their operations.

"Lower income" is defined according to a consumption-based approach to measuring poverty, specifically including individuals or households living below a recognized poverty line that establishes the minimum available expenditure that would meet a household’s basic needs. Organizations should prefer to define this threshold based on a national poverty line set by the national government. If such a benchmark is unavailable, organizations can use the international USD 3.20 per person per day expenditure at 2011 Purchasing Power Parity (PPP), as defined by the World Bank. In either case, organizations should footnote their definition of the poverty threshold and its source.

"Lower middle-income" and "Upper middle-income" thresholds are defined per capita by the World Bank each year in PPP-adjusted current dollars (https://www.worldbank.org/en/country/mic/overview#1). Organizations should footnote the threshold used, the PPP adjustment applied, and any household size assumptions, if applicable.

If selecting the option "Other," organizations are encouraged to align to an existing, generally accepted standard or classification of the target socioeconomic group. If doing so, organizations should footnote the classification or standard used.

This metric may help describe the WHO dimension of impact, which details which stakeholders the investment or enterprise aims to reach with the outcome. This metric may also help clarify how underserved they were prior to the investment. For more on the alignment of IRIS metrics to the five dimensions of impact, see IRIS+ and the Five Dimensions of Impact (https://iris.thegiin.org/document/iris-and-the-five-dimensions/). No single metric is sufficient to understand an impact; rather, metrics are selected as a set across all dimensions of impact. When possible, the selection of metrics to measure and describe the five dimensions should be based on best practice and evidence.