Using HEA to help identify project thresholds

HEA also enables analysis of the possible impact of multiple changes. For instance, what happens to household incomes in a year when harvests are down by 50% but fodder supplies, from enclosed project areas, are up by 200%? The example below shows how the disaggregated analysis which HEA offers can help not just in monitoring impact but in project implementation, by indicating to programme managers in advance the likely effect of a shock such as drought or price rises on project impact. This allows programme managers to plan mitigation activities which will help keep the project on track, rather than leaving them to deal with the effects of the shock retrospectively.
In the design of the USAID-funded Market-led Livelihoods for Vulnerable Populations project, HEA was identified as a means of monitoring project impact and predicting the likely effects on this of a shock such as drought – thereby enabling programme managers to plan for this in advance, as shown below.