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Measuring and demonstrating Social Impact

Measuring and demonstrating Social Impact. Carol Deslandes 20 th November 2013. Workshop aims To create a better understanding of:. What social impact means The importance of measuring and demonstrating social impact The different tools that are available How to demonstrate social impact.

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Measuring and demonstrating Social Impact

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  1. Measuring and demonstrating Social Impact Carol Deslandes 20th November 2013

  2. Workshop aimsTo create a better understanding of: • What social impact means • The importance of measuring and demonstrating social impact • The different tools that are available • How to demonstrate social impact • Context • NCSE framework • Defining and measuring outcomes • SROI • Big Society Capital Outcomes Matrix • Reporting

  3. Social Impact Measurement: Definition “The measurement of the impact of changes (outcomes) intentionally achieved in the lives of beneficiaries as a result of services and products, delivered by an organisation, for which the beneficiary does not give full economic value” ……..

  4. Why measurement matters now • Social need • Cash constraints in public funding • Legislation • Evolving thinking • Changing delivery landscape • Changing funder landscape • Growth of the measurement culture in policy making and public life

  5. Key drivers • The tightening public purse – more for less (Value for money) • Greater devolvement of service delivery from State control • Open Public Services Act 2012 • The Localism Act 2011 • Health and Social Care Act 2012 • Providers looking to differentiate themselves • Emerging social investment market • Public Services (Social Value) Act 2012 – social value created or destroyed with the procurement Outcome- Based Government: How to improve spending decisions across government - Centre for Social Justice Jan 2011

  6. Impact requirement for key stakeholders • Social Investors • Screening and investing for greatest scale and impact against capital • Triggers for payment • Evidence of best practice and opportunities for innovation • Commissioners • Greatest outcomes for least risk • Seeking on-going cost efficiencies against budget cuts through outcomes based commissioning • Wider cost savings across departmental arenas now being considered

  7. The benefit to organisations? Can help you to: • Learn and develop as an organisation • Plan and estimate the impact of a future initiative or organisation • Continuously improve services • Prove your impact in funding, investment or planning bids where anecdotal evidence is not enough to secure agreement • Show the community the value of their custom or volunteer time • Make an even greater difference

  8. What is Social Impact? • Tells the story of the change we bring to people’s lives • Just a new approach to doing something we have always done • Why explore it? • A problem, or something that could be done better (Original situation) • What you did in your initiative to address it (Your activity) • What happened as a result (Change in original situation)

  9. Action Plan for measuring and demonstrating social impact

  10. Defining and measuring outcomes • While outputs tell us that an activity has taken place, alone they cannot tell us if an activity is effective • Outcomes (the actual change that has occurred) provide us with information about effectiveness • Only outcomes tell you that change has occurred

  11. Problems with measurement • Financial measurement: limited measure of value • We allocate resources only to the things we can measure • Stakeholders are left out of the decision making

  12. The Challenge • Measuring “making a difference” • Providing evidence that your organisation is doing something that provides a real and tangible benefit to other people or the environment • Measurement across the “triple bottom line” • The economy • The environment • People

  13. Which Social Impact Method or Tool? • Influenced by: • Motivation • Readiness • Capacity • Impact

  14. Which Social Impact Method or Tool? • Eco Management & Audit Scheme (EMAS) • Local Multiplier 3 (LM3) • Prove it! • The Social Impact Measurement for local Economies (SIMPLE) • Social Accounting and Audit (SAA) • Social Return on Investment (SROI) • Volunteering Impact Assessment Toolkit • C3 Perform • Customer Service Excellence (previously Charter-mark) • European Foundation for Quality Management (EQFM) • Fit for Purpose • Practical Quality Assurance System fr Small Organisations (PQASSO) • Social Enterprise Balanced Scorecard • 3rd Sector Performance Dashboard • Quality First • Outcomes Star • SOUL Record

  15. SROI – The 7 Principles • Involve stakeholders • Understand what changes • Value the things that matter • Only include what is material • Do not over-claim • Be transparent • Verify the result A piece of information is material if it has the potential to affect the stakeholders’ decision

  16. What’s involved? Every organisation – no matter how small or new – can measure social impact • Start by measuring one indicator, perhaps related to one activity • Once used to this, more indicators can be added • 3 stages: • Identifying the changes to be measured • Measuring (or estimating if you are looking forward) the amount of impact you have • Explaining the context or worth of that impact

  17. Stage 1: Identifying the changes to be measured – Looking in Identify: • Key material stakeholders? • Inputs - income and expenditure associated with the activity being analysed • Key outcomes

  18. Exercise: Case Study • Hand-out • Who are their key/ material stakeholders? • What are the inputs? • What are the outputs?

  19. Case Study: Stakeholders

  20. Case Study: Inputs

  21. Case Study: Outputs

  22. Stage 2: Measuring the changes – Looking out The key to the process is a four step model to turn aims and objectives into “indicators”. • What is the change? • Who will you ask? • What questions will you ask? • Check common outcomes and see what you need to gather data on or estimate • Measuring the “Distance Travelled” • Assess whether what you currently measure provides evidence for your theory of change • Devise a scale on which we can measure this change • Ask the questions chosen more than once so that we can measure the distance travelled along the scale

  23. Theory of change - participants By attending work- shop(s) [art, photography, film making, music, creative writing, drama, circle dancing, drumming] participants creative abilities were improved. As a result..... They felt engaged in things that have or bring meaning As a result ..... They experienced increased hope and confidence for the future As a result ...... Leading to increased confidence and self esteem Improvement in confidence and self esteem

  24. Deadweight, attribution and displacement • Deadweight • outcome that would have happened anyway, even if the activity had not taken place and for which [the organisation] cannot claim credit • Attribution • how much other people or activities have contributed to the identified outcome • Displacement • an assessment of how much of the outcome has displaced other outcomes

  25. Putting a value on results - Proxies Key principle of SROI - Value the things that matter: • SROI captures things that have no price as such • Select proxies that represent the value to the stakeholder as much as possible • Proxies used to represent the value created • Provides a common unit of measurement • Allows comparison of the return with the investment

  26. Financial Proxies - examples

  27. The Outcomes Matrix • New Philanthropy Capital, SROI Network, Investing for Good and Big Society Capital • Tool for SIFIs and social sector organisations to think through their own theory of change • Aims to establish common ground and language regarding social investment and impact assessment • Two elements: • Vertical axis; aspects of a person’s full and free life • Horizontal axis; kinds of individuals or groups who might benefit from the aspects set out

  28. Vertical axis • Education, learning and skills • Employment and training • Housing, property and essential needs • Finance and legal matters • Physical health • Mental health • Healthy living and lifestyle • Personal and social well being • Criminal justice and public safety • Local area and getting around • Culture, sport and heritage • Politics, influence and participation • Climate change and conservation of the natural environment

  29. Horizontal axis • Individuals • Families and children • Community, sector and society There are 13 outcomes maps – each documents the relevant outcomes and indicators that are currently being measured by charities, government and practitioners working in this field. N.B. They are a starting point – not intended to be definitive or comprehensive

  30. Outcomes Map: Housing and essential needs • Definition • Context • Responses to housing need • Vulnerable groups • Key outcomes • Related outcomes • Examples of typical interventions • Current approaches to measurement • Key sources

  31. Housing and essential needs: Key outcomes

  32. Measurement overview: Housing and essential needs (partial extract)

  33. Reporting • What is the purpose of the report? • Who do you need to communicate with? • Assurance/ Third party involvement? • Web-site • Twitter • Facebook

  34. Activity - summary

  35. Contact details • Inspire2Enterprise: • E mail: info@inspire2enterprise.org • Web-site: www.inspire2enterprise.org • Twitter: www.twitter.com/Inspire2E • Phone: 0844 9800760 • Carol Deslandes; Head of Strategic Development • Email: carold@inspire2enterprise.org • Phone: 07702 717592

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