This case study documents the journey of one organization, Green Canopy Homes – and its financingarm, Green Canopy Capital – toward more systematically thinking about, measuring, and managing itsimpact. While developing the impact thesis for its resource-efficient homes, Green Canopy applied atheory of change tool, an approach common within the social sector, to systematically map the causalpathways between its strategies and intended impact. Its rationale for adopting this approach wassimple: use it to maximize impact, and understand and minimize possible harm. The tool also effectivelypositioned Green Canopy to measure and communicate about its social and environmental performance,and to make client-centric adaptations to its business.
The case study provides an illuminating example of how investors can adapt theory of change toserve their impact management needs. By demonstrating the relevance and transferability of this toolfor articulating, measuring, and managing impact, the hope is that this case study can contribute tostrengthening other investors' approaches, in turn contributing to building the evidence base for the"impact" of impact investments.