A system dynamics approach to simulate social return on investment in public academic building projects

The decline in investments in public sector universities and their physical infrastructure in most low-income countries has negatively impacted their functions. Since the reason for investment disfavour may be the "expected socio-economic benefits," this research aims to structure and simulate a dynamic model of the social return on investment (SROI) formation process to study and propose required policies to improve it. A system dynamics modelling approach was applied to develop and validate the system's "stock-flow" diagram, based on primary data from three case buildings. The model was simulated for different policies on six leverage parameters using VENSIM software. The study identified three policies for improving the SROI and their implementation strategies. Policy 1 minimized the number of unpaid students and their budget. Policy 3 optimized the number of students. Policy 4 maximized the effectiveness of building uses. The limitations in system elements, the type of institution, and data sources constrain the study. It is expected to contribute to the Sustainable Development Goals, the “SROI” and “system dynamics” methodologies, and “engineering economics.” The recommended topics for further and future research may address the limitations and improve the subject.