Post‐project sustainability evaluation by using a complex systems approach: A framework and an application to a revolving loan fund (microfinance) project in Indonesia

Abstract

Limited evidence and less comprehensive approach to post‐project sustainability evaluation has raised the need for incorporating complexity concepts in project sustainability evaluation. This study aims to develop a project sustainability evaluation framework by using a complex systems approach and to apply the framework to a microfinance project in Indonesia. This qualitative research is based on thematic analysis. The components of the proposed framework involve mission, input, process, output, performance, governance (including stakeholders, subsystems and feedback mechanisms) and the environment of the projects. Results show that the framework is able to provide comprehensive information including project sustainability dimensions and routinization, the possibility to detect ineffective or undesirable practices, project governance, its performance, the persistent practice and changes. The application to the microfinance project reveals that the microfinance project can achieve sustainability without subsidies by achieving financial goals while maintaining social missions. Implications for project sustainability and microfinance are discussed.